Service level agreements: a main challenge for next generation networks

Service level agreement (SLA) specification and management becomes a key differentiator in a service provider´s offerings. SLA management allows a service provider to offer different levels of service guarantees and to differentiate itself from its competitors. It improves the service provider´s ability to satisfy customer expectations, as the customer knows exactly what to expect in terms of quality of service. SLAs are also a key requirement for the deployment of multimedia over the Internet, i.e. for next generation networks. The Internet today is, however, a best-effort network, without the need for such strict contractual guarantees. Therefore, numerous initiatives are currently being undertaken to specify SLAs and to identify the new challenges for the provider´s service and network management. The aim of this paper is to present a high-level overview of the main SLA-related issues: the actors involved in SLA negotiations, the technical specification of SLAs and the mapping of SLAs to service classes. We give an overview of ongoing SLA-related initiatives in the industrial world, standardisation bodies and the research community.