Interactive Intelligence - Using CaaS for Contact Center Automation

I'm a contributor to the UC Strategies portal, and my most recent piece was an article about contact center automation, and what Interactive Intelligence is doing with CaaS - Communications as a Service.

It's yet another twist on the cloud and hosted services that I think we're going to see a lot more of in 2010. My article is based on an interview I did with their CEO, Dr. Don Brown, and he shares his thought on what CaaS brings to this burgeoning area of contact center automation. Pretty interesting stuff, and you can read the article here. Comments, as always, are welcome.

December Media Roundup

Had lots on the go last month, and just wanted to provide my usual roundup of media activity. You never know when the press will call, and last month I had to decline almost as many requests as I could make time for. It was particularly busy in Canada with the launch of Globalive's Wind Mobile service, the first real challenge to our wireless oligopoly. I expect we'll see more of the same when the other new wireless players launch in 2010.

First, some articles I was cited in:

- ITWorld Canada - Globalive adds Calgary to cellular service area

- IT in Canada - Globalive is go – New wireless entrant gets gov approval

- Tech Media Reports - Novatel Wireless' MiFi service helps Bell drive data revenue and backhaul – for now

CBC Radio interviewed me for a couple of stories that ran nation-wide (MP3 files avalable upon request):

- BlackBerry Service Outages, December 23

- CRTC Update - Broadcasters vs. Cable Battle, December 9


Switching media modes, I participated in the 2009 year-in-review podcast with UC Strategies:

- UC Experts Review 2009 in Unified Communications, and Look Ahead


For my Service Provider Views column on TMCnet, last month was a double shot. Both my November articles got held up, so they ran in December along with my regular articles for that month.

- Will the Next Decade be Good for Service Providers and Bad for Privacy?

- How Can Service Providers Add Value?

- The Importance of QoS for IP Communications: Interview with Packet Island, Part 2

- The Importance of QoS for IP Communications - Interview with Packet Island, Part 1


Aside from this, I had my regular contributions to the Smart Grid portal, which will continue to be busy this month as the Smart Grid Summit fast approaches.

Looking Ahead - 2010 Thoughts on Service Providers and Privacy

As per my last post, I have a lot of thoughts about what's transpired over the past decade in our space, as well as what might be in store for 2010. Since the future hasn't happened yet, I have a bit more poetic license to write about what's coming, and I plan to do that in the coming weeks.

For now, though, my latest Service Provier Views column on TMCnet will have to do. The column ran earlier this week, and you can read it here.

My premise is that the concept of a service provider is becoming quite fluid, and is being driven as much by Web 2.0 as much as conventional telephony. In many ways, I think Google is being more than disruptive and will have a lot to do with this evolution - whether we like it or not.

Most of this will not be news to you, but what I'm not hearing much about is the price we're paying along the way. Call me old school, but the efficiencies we're getting from targeted advertising, smart browsing, semantic web, etc. are being offset by the erosion of privacy and even our sense of personal identity.

Lots to explore here, and I hope you keep the dialog going, as I plan to write more about this in the New Year. Until then, Happy New Year, and we'll connect again in the next decade.

Looking Back/Looking Ahead - Some 2009 Trends of Note

Been off blogging for over a week - and not really by design. No doubt the holidays, the kids, family get togethers, etc. have been the priority, but for the better part of two weeks I've had almost no use of my PC. Seems like viruses have found me, and I still can't get these stupid things under control.

My PC is mostly fixed up, but just semi-functional, and in the midst of this massive inconvenience, I went out and bought not one, but two PCs. Whoo hoo. My current notebook cost about $1,700 back in the day, and it has served me well. Haven't bought one since, and for a little under $1,000, I just bought a new notebook and a netbook - both are Lenovo's. Gotta like that. Will be setting these goodies up over the weekend, and I can't wait to start using my netbook when I head to Miami later in January for the ITExpo/Smart Grid Summit.

With that preamble out of the way, it's New Year's Eve, and I haven't had a chance to reflect much on 2009, let alone the past decade. I really did have a bunch of posts planned out in my head, but life happens, and at this point, I'm sure you've had your fill of year-in-review articles. If anyone still has a burning desire for my take on things, let me know, and I'll come up with something.

That said, I've got two posts for you. This is my looking back post, and it's pretty straightforward. I participate on a podcast series done by UC Strategies as time allows, and we did one last week on 2009 UC highlights. It was a round robin session - about 40 minutes - with each speaker touching on a specific topic related to UC that stood out for them in 2009. Mine was cloud computing, and how this has now crept into the Unified Communications vernacular this year. I think it's going to be huge in 2010, and am sure we'll do more podcasts in this area soon enough.

The podcast was posted to the UC Strategies portal a few days ago, and you can access it here. I hope you give it a listen, and if you think our ideas are on target, I encourage you to visit the portal often.

That's my looking back post, and if you could pop into my head, you'd see there's a whole lot more, but time's up for now. I'm now going to write my "looking ahead" post, so watch for that in a few minutes.

Wind Mobile - Wireless Competition comes Canada

Mobile competition came to Canada last week, and there are more questions than answers. No doubt the market could stand some competition, and the federal government has gone to great lengths to make sure that happens. I have long contended that the economics are not workable, but now billions of dollars have been sunk into creating a new set of operators who are chasing the few million people who haven't gone mobile yet, as well as the zero sum game of stealing subscribers from the incumbents.

It's too late to turn back, and with last week's surprise news from Industry Canada, Globalive's Wind Mobile service has been allowed to launch. They've gambled big time and done a of things to look and act like an operator in anticipation of a favorable ruling - hiring staff, building kiosks, erecting statues, etc. - and now they can finally be one. I still have a sneaking feeling that something isn't quite right in how they got the green light, but they're here, and the market can finally decide with their wallets if it's time for a change.

There's a lot of fat to chew on here, but I'll save that until the early results are in. Until then, here's a good starting point - an article from Friday's ITWorldCanada that included some comments from me.

There's a pretty major shopping center in my neighborhood, and here's what the Wind Mobile kiosk looks like:



Pretty good crowd, and after a few visits over the weekend walking by, you can quickly gauge the type of customer they're attracting. Mind you, it's not always this busy. I walked by at 3pm this afternoon, and it looked like this:



Sure, you can argue it's mid-week, mid-afternoon. However, it's Christmas week and school's out. Sorry, but I would have expected a bit more than this. Anyhow, if Wind is new to you, here's the basic story. They've come to market with a basic value proposition - simple plans, simple service, great prices. Fair enough - they've done tons of research to validate this, so it must be true, right? We all want these things, no doubt, but whether it's a strong enough pitch to win over the market, only time will tell.

If you're looking for this kind of plan, sure, Wind is a great deal. And I have no doubt they'll capture a decent share of the market. However, they're not alone. This is basically a prepaid service, and all 3 incumbents have well-established budget brands that cater to this market - Koodo (Telus), Fido (Rogers), and Solo (Bell). Makes you wonder why Globalive didn't keep the same theme and called their service Wino - then again, maybe not.

As prepaid plans go, they have lots of appealing packages and features - feel free to review them at their website - however, I'm not interested in those details. Give or take, prepaid is prepaid, and I don't really see that much here to get excited about. The service will be appealing to first-time mobile users, but so will the incumbent's budget brands, which have far more visibility. Fido built its base around this market, and long term, it's a tough haul to make money. Since there are no contracts, you have to buy the phone up front, and given how price conscious the prepaid market is, they'll probably be selling more low end $100 phones than $300 smartphones. That makes it hard to upsell customers to more lucrative plans.

I have to tell you, hanging around their kiosk a few times, it doesn't take much to see that these are novice technology users, and are going to need a lot of hand holding just to explain how the plans work. Then you have to tell them they have to fork over the cost of the phone as the price of admission. Hmm. If all you can afford is a $15 plan, you're not likely buying anything to write home about for a phone. I don't know about you, but I wouldn't be taking on almost a billion dollars in debt to chase a market like this.

Having no contracts cuts both ways of course. Easy to join and easy to leave. There's a reason why mobile carriers like contracts - it takes time to earn back the phone subsidy that so often serves as the hook to get you on board. On the other hand, with no contract, the carrier gets their money upfront for the phone, and it's less of a issue when customers moves on once a cheaper plan crosses their path.

Bottom line - loyalty is hard to build with prepaid, and when the other new entrants come to market - most notably DAVE - they will likely have to resort to the same tactics just to get a foothold. I just don't know how much greenfield market there really is out there - even my 13 year old has a cell phone. I don't know anybody who doesn't have a cell phone these days, so I don't know where this 30% of first timers is that this whole fuss was started over. They sure don't live around here, and if they do, they're either too young or too old to care.

If I sound cynical, you're right. The incumbents are already serving the prepaid market with their budget brands, and we have MVNO's like Virgin Canada chasing this market too. Wind Mobile may be a good service and a well executed marketing package, but how are they going steal business from these competitors, who can easily match them on price to keep them out of the market? Price and features are good short term levers, but competitors can usually match these, especially if they already control the market. It's also worth noting that Wind was planning to be in the market in time for the Christmas season, which could have jump started them nicely. They're just going to catch the tail end now, so it's not quite the splash they were expecting.

Let's not forget the postpaid market, which is where the vast majority of subscribers and revenues lies. I don't know how much of Wind's business plans are based on capturing these customers, but this will be a tough market to crack since most are tied into contracts. Sure, Wind can buy them out - we've seen that before - but that just puts them on the same treadmill as Vonage, buying market share and then spending a fortune to keep them.

I'm just not seeing the light here, especially when you consider how much money was spent - and borrowed - to get into the game. In this day and age with 4G and LTE being the next wave, one would think that with a brand new network, there might be some innovation here - something new to leverage all that wonderful technology. Maybe I'm barking up the wrong tree, but there's nothing here that changes the game and really challenges the market - both subscribers and carriers. Zero.

On the other hand, this is Canada after all, and people generally play things a bit safer here. Industry Canada has pushed for more competition so we can have more choice and lower prices. I guess we'll get that, but we're sure paying a high price for it, and not getting much more. For all that money, you'd like to think the market would get something better. This isn't Android, this isn't Apple, this isn't Skype; it's more of the same - just a little cheaper, a bit more flexible and a bit easier to understand. I know - it's hard to take risks when so much debt has been incurred - but you'd think there would be more to it than this. More to come, but don't hesitate to jump in now with your thoughts!

TMC ITExpo - Canada/Ontario Business Breakfast, January 22

The winter edition of TMC's ITExpo - in its 10th year, by the way - is about a month away, and it's time to start thinking about Miami.

Normally, I'd be talking about sessions that I'm moderating, but this time my focus is primarily on the Smart Grid Summit, which regular readers will know all about by now. I'll leave that for another time, and will now switch back to my ITExpo hat.

One thing I'll be doing for sure at the ITExpo is host a networking breakfast jointly sponsored by the Governments of Ontario and Canada. They've been doing this the past few years at the Expo, with the idea being to showcase Ontario-based startups in the communications space. So far, they have six companies lined up, and the breakfast is being held as a friendly forum to meet with them away from the din of the show floor. The companies confirmed to date are:

- PIKA Technologies
- Comwave Telecom
- SVK Software
- Hostopia
- Phybridge
- InGenius

The breakfast takes place Friday, January 22, and requires an RSVP. If you want to meet these companies and see more about what's coming out of Canada, please drop me a line - jon@jarnoldassociates.com. To learn more about the details as well as the companies being showcased, I'll have to send you the invitation - or check my website - it should be posted there shortly.

Service Provider Views - How can they provide value?

My latest Service Provider Views article is running now on TMCnet. I'm focusing on a big topic - how can service providers add value? - and am really setting the stage for an ongoing exploration of this theme in 2010. I think it's going to be big deal going forward, and am hoping you'll follow my musings.

This article was basically triggered by my impressions from recent analyst events, and how I see vendor solutions getting stronger and stronger. Combine this with what Google is doing now with their own handset, and it's getting harder to see where/how carriers can add real value. Of course there are lots of ways they can do this, and I'll speak to those in future articles. However, it seems to me like the vendors have most of the momentum right now, and that puts the pressure on operators to be more innovative.

As an aside, Canada is going through its own convulsions in the mobile market with the recent turn of events with Globalive. That's a whole topic unto itself, but I can't get into that right now. I've been speaking to the media about it, but haven't had time yet to write something.

Back to the main story - the article is posted now, and you can read it here. As always, comments are welcome!