News | February 3, 2000

Motorola, Logica Launch GPRS Billing Solution

With data potentially accounting for more than 80% of mobile network traffic by 2005, the billing capability of voice networks must evolve to meet the multiple requirements of charging for data usage, as opposed to the traditional minutes-of-use scenario. With voice, it is a simple time transaction. The average generation of CDRs per GSM voice customer is three per day. For data, the volumes are 20–50 CDRs per day.

At the GSM World Congress, Motorola Inc. (Schaumburg, IL) and Logica plc have launched a key component of the new general packet radio service (GPRS) mobile data system solution—their jointly-developed Smart Mediator charging gateway for GSM/GPRS network operators.

How It Works
With the advent of mobile Internet access, it can be difficult to determine who earns what in providing the applications and content. The product addresses the operator-subscriber relationship from within the GSM/GPRS network by recording and analyzing the subscriber call detail records (CDR) from the data network and provides statistics to the operator's billing system.

Smart Mediator sits within the GSM/GPRS network, compressing and collating data records that are then delivered, neatly packaged, to the billing system for invoicing—by event, call duration, amount of data transferred, application accessed, time of network access, location of subscriber, and type of subscriber device.

Integrated System
The product forms part of Motorola's end-to-end GPRS solution, giving carriers an integrated system with a single point of responsibility. The solution offers a strong technical foundation, supporting ESTI Standard GSM 12.15.

Smart Mediator meets the challenge of charging for data by:

  • realizing the network operator's investment and enhancing profitability by enabling ownership of the subscriber data usage activity

  • ensuring efficient use of available network bandwidth by compressing CDR activity

  • providing reassurance to the subscriber by providing the means for a clear, itemized statement of activity

  • allowing simple integration with existing billing infrastructure enabling faster revenue earning potential for new services.

The methods of charging for GPRS will vary from carrier to carrier. As with any new market, the key to success is flexibility. The product provides this flexibility, giving the operator control to charge as the market and business dictates.

Benefits

  • Dramatic reduction of CDR data volumes, thus reducing the load on existing billing and other downstream systems

  • The delivery of CDR data to existing (circuit-switched, voice) billing systems

  • Optional pre-rating of CDRs, again reducing the load on the billing system

  • Flexibility of configuration, facilitating straightforward implementation of new business models

  • Scaleability—the modular format allows operators the 'pay as you grow' scenario while providing full support to the expected rapid growth in data subscribers

Edited by Ellen Jensen