Is there such a thing as real real-time?

HOT TELECOM

insight

Is there such a thing as real real-time?

The biggest barrier in the race towards real real-time is statistical uncertainty.

Is there such a thing as real real-time?

insight

Real real-time information allows networks and systems to maximize both margins and quality For years, the goal of major voice termination networks and systems platforms’ algorithms and analysis has been to get closer and closer to real-time, so that new calls are processed and routed as quickly as possible, based on the best information available.

For those old enough to remember, this was often a daily, manual process, with call detail records (CDRs) being gathered from the switches into back-end databases, processed and analyzed to produce a trend of supplier performance to different destinations so that the routing plan could be created for the next day.

As a result, the operations staff were often the front line for fixing problems that occurred during the next twenty-fourhour cycle.

2

www.hottelecom.com

In that scenario, calls were routed into the equivalent of a black hole if a supplier suddenly had a network issue.

Eventually an alarm was raised and the operations staff took that problem supplier route out of service. When emergency manual actions were taken to re-route calls, margin protection often went out of the window and much hard-earned cash quickly evaporated.

But we have come a long way. Today’s technology empowers systems that are all about making use of realtime information to allow novel call routing engines to make their own decisions, in such a way as to maximize both margin and quality for customers, at all times.

what is real-time?

The unification of switching and systems makes real real-time a reality But first things first, what is real-time? That is the intriguing question in today’s networks. To most it means that: 1. A call is routed, connected and then ceased 2. A call detail record (CDR) is written into a database (a key step for customer rating and billing) 3. The record of the call is made available to the network support systems for statistical analysis of quality and network performance in order to drive the next change to the routing plan That sounds pretty real-time. But in reality, it isn’t. As we can see, the information is processed after the event has taken place, and often the network support systems cannot be programmed to react, as each new CDR is loaded into the database.

That would result in endless re-calculations of some of the key statistics used in the algorithms. So, for real real-time to be achieved, the network and routing platform must be made aware of what is happening as calls are in progress – so that truly instant decisions can be made that are acutely aware of the business rules and objectives.

For this to occur, some of the questions that must be answered during the call include: • Was a call dropped by the network rather than by the end users?

• Are the conversational media packets being lost such that the callers will no longer be able to hear each other?

• Are there signs of a fraudulent call setup occurring?

And, to be useful, the network and its systems must be able to use that information in a valuable way, so that the next decisions to be taken can be influenced, and so on, in a virtuous circle. Furthermore, the solution must act before, during and after each call, so that each and every decision is made with all currently available information – and grow the pool of information on which to act.

So why is it possible now? In one word, virtualization.

Actually, perhaps in three words, as we should also add machine learning.

A software-based platform, with a real-time routing engine that is separated from the underlying switching elements, is essential to enable instantaneous decisions.

Such a platform can effectively be aware of any event, as it occurs, so that actions can immediately be taken.

Compared with past networks, which were constrained by the hard coded switches, modern networks are now often virtual, with software running in private or even public cloud environments. Systems have merged into that same virtual environment, so that it is difficult to draw clear delineating lines between the two.

A call routing engine would once have been an integrated part of a switch in the past. Today, it exists as a distinct software process – a centralised network function – that is linked to both switching and support systems, and thus able to make decisions based on quality, commercial and technical requirements.

Innovators in this field, such as Digitalk, have led the way, delivering fully virtual call routing engines that make real real-time a reality.

Only a fully software-based platform, with real-time routing engine distinct from the switching element, can be aware of events as they happeN. www.hottelecom.com

3

the complexity of real real-time Networks must use more than a statistical approach to assess true quality The biggest barrier in the race towards real real-time is often statistical uncertainty. Voice termination systems are designed to maximize quality. But they are also focused on maintaining a balance between maximizing margins (and meeting the terms of deals that may have been struck), while maintaining that quality. This sounds easy, but the truth is that achieving this is difficult.

On one hand, pricing is relatively static, with rate sheets determining the offered price for destinations around the world often being stable for 7 days or so. On the other hand, quality is a very indeterminate and unpredictable factor.

From customers’ point of view, quality is relatively simple.

They make a call, it connects quickly at the first attempt and they are able to conduct their conversation with clarity until they decide to hang up the connection.

On the contrary, quality is very difficult to gauge from the network point of view. Network elements see the different events enabling a call and are able to record those messages as time stamps in their call detail records.

Some can certainly see the packets of data that form the basis of the audio connection and can see if any packets

are being dropped or delayed. But the quality of the actual voice conversation is much more difficult to assess.

As a result, networks have, for years, used statistical approaches to assess quality. In particular, the connection percentage (successful calls as a percentage of total calls) and the duration of the conversation itself. But that is not enough, as one call tells you nothing, while two only give you a basic percentage. Consequently, a good statistical measure of quality needs several hundred calls to provide some certainty, and this can be challenging.

Added to this, there are many more inputs impacting the routing choices. Origin based routing is just one new element, more direct routes, portability corrected routing and so on are adding layers of new decision factors into the mix. Instead of simply processing a decision based on the two factors of cost and quality, each new layer multiplies the number of potential decisions exponentially.

A real real-time system in today’s environment therefore must be able to process these options using rule-based and learned behaviour, rather than a massive matrix of ‘if, then, else’ type statements.

the benefits of real real-time

Real real-time intelligence is the ultimate tool to optimize efficiency, agility and resilience With this real real-time understanding of the network and its call patterns, network operators can truly maximize not only quality, but also revenue and margins, while helping to de-risk the business and minimize the impact of fraud.

Put simply, they can make decisions based on commercial and quality factors, to optimise the outcomes for their business and customers.

4

www.hottelecom.com

Maximizing quality In a real real-time environment, calls can be routed away from a sudden network failure as soon as the switching component involved in a failing call sees the appropriate signals. Taking this further, the core intelligence integrated into the network then needs to test that supplier at intervals to confirm that the issue has been resolved. But in the meantime, calls are protected and revenue continues to be earned.

Even more importantly, carriers sending you the call don’t see any failures, which prevents them having to route calls away to someone else. In fact, the more that real real-time approaches are adopted by others, the more important it is to handle issues in real real-time in your own network.

In the fast-paced world of international telecoms, you can never afford to be the person who cannot spot and resolve issues as they happen.

Maximizing revenue and margin But beyond failures, real real-time can help to precisely balance commitments in bilateral deals, up to the minute or the call. Instead of just pumping traffic to a supplier until the deal terms are completed, the real-time system can not only space out the traffic (and know that sufficient calls will be available going forward), but it can also route the best originating calls into that deal to maximize the margin of each of those calls.

Choosing the optimal route for each call is the best way to sustain your earnings – and constantly adjusting these decisions in the light of new information for every call processed, will ensure that you can really do so.

Minimizing risk This industry is also one that encourages new suppliers to establish themselves as soon as a new niche opportunity arises. It might be because of a revision to pricing for a destination and perhaps that pricing depends on the origin of the call, but if there is an opportunity, a smaller supplier will try to address it.

Being small and perhaps short of capital, these new suppliers need rapid payment. Having the information available in real-time allows for invoices to be created in much shorter timeframes and payment cycles improved, hence enabling smaller suppliers to be added into your routing at minimal risk.

On the other side, small suppliers often buy termination from others to build their business and credit for them can be difficult to arrange. As a result, carriers with traditional monolithic centralized systems can rarely afford to take on such potentially risky, if competitively priced, players.

Real-time rating means that not only you can balance sales and purchases of termination as they occur, but the virtualized platform can also react instantly when an agreed balance has been met and stop all future calls until that balance is refreshed.

In fact, a call could be ceased mid-flow once that threshold has been reached, which might be an appropriate action for a very high-cost destination.

Minimizing fraud It is certainly true that the normal measures of quality, such as that Answer Seizure ratio or Average duration, are less useful in a “micro-time” environment. Single call events need to be analyzed much differently and here machine learning comes to the fore. Fraud is an interesting case in point.

Real real-time benefits

Maximizing quality Calls can be routed away from a network failure as soon as the switching component sees the appropriate signals.

Maximizing margin Choosing the optimal route for each call is the best way to sustain your earnings.

Minimizing risk You can balance sales and purchases as they occur, and react instantly when thresholds are reached.

Minimizing fraud You can be protected from handling fraudulent calls as they occur.

www.hottelecom.com

5

It is almost impossible to look at one call and determine if it is fraudulent, as there is nothing about that one call that can indicate that it was machine generated to a high-cost destination, for instance.

to further increase its accuracy. It can therefore prompt not only the blocking of future calls with that pattern, but initiate actions to take down a call that is already in progress.

But a machine learning algorithm that has been silently studying the patterns of normal calls in terms of the timing of the various messages, the variability around those timings, and so on, can work out that calls with certain fixed timings are highly likely to be fraudulent.

With this full integration of network and systems, the operator can be protected from handling fraudulent calls as they occur. Finally, with solid APIs back to the originating carriers, they too can determine that fraud is happening and can trace the event back to the source.

Tying that with the source and the destination information that is available for the call in question, allows the system

a dream or a reality

Real real-time intelligence is rapidly becoming a must have Is this feasible now? In one word, yes. The world of virtualized network functions, coupled with the development of core routing engines that are fully integrated with those network functions, and the operation of these software elements in cloud environments (such that the processing capacity can grow to meet real-time demands), is with us now thanks to a few innovative players such as Digitalk.

These capabilities can replace an existing switching platform and business support system environment or can be implemented in phases to enable growth and then more slowly take over the main functionality.

6

www.hottelecom.com

The full benefits perhaps come with the full replacement, but there are clear advantages to be gained in both scenarios. The key message here is to not be the operator continuing with historic routing approaches, when your customers or partners are evolving to real real-time decisions.

Being behind in this area is a recipe for a slow decline, as traffic is migrated, in real-time, away from you.

The world is changing and you better change with it!

the author Steve has a lifetime of experience in designing, engineering and operating networks, both domestic and international. With leadership experience in small technology start-ups through to global service providers, he has deep experience in a wide range of products, technologies and geographies.

He has the rare skill of being able to explain complex technical issues in easily understood concepts and uses that extensively in his consulting work with HOT TELECOM.

Steve Heap

CTO, HOT TELECOM

Steve Heap CTO, HOT TELECOM

Digitalk is an agile, experienced provider of innovative, cloudbased real-time communications platform-as-a-service solutions. We are a reliable, trusted partner that works with customers in the long-term.

Our solutions deliver outstanding breadth and completeness of services, high availability, great value for money, scalability, stability, security, and a global presence. We provide a onestop shop to meet all communications service provider needs, allowing them to offer the services they want and enable the delivery of real-time services from a fully virtualised, cloudhosted environment.

Digitalk has been responsible for the delivery of hundreds of solutions globally, supporting billions of sessions each year. The proven expertise, innovation and scale provides the foundation of success for our partners and customers.

The insights we deliver help them to evolve and refine their offers. www.digitalk.com

www.hottelecom.com

7