Balancing network and business planning for cable telephony

The past several years upgrading the cable networks to support next generation end-user services, multiple system operators (MSOs) are looking for new ways to generate incremental revenue while reducing subscriber churn. It is widely believed that the so-called "triple play " of voice, video, and data services will help the MSOs to achieve these goals. However, offering voice end-user services is a complex issue, both from a business and a technical perspective. The MSO must decide what markets to enter, how to price the offerings, what technology and vendors to select, how to design the network, and how to ensure optimal performance and reliability. An integrated approach to business and technology planning allows key economic trade-offs in design and launching new voice services that can\´t be done piecemeal. A modeling approach that incorporates both technical and business aspects of deploying IP based cable telephony is critical to success. A computer-based model was developed that allows the user to determine how changes in any market, business, or engineering parameters can impact the overall business case (NPV, discounted payback period, internal rate of return, etc.) and the network design (equipment sizing, performance, reliability, etc.). This work will describe the components of business and network planning for cable telephony, the modeling approach, and sample results for some hypothetical scenarios.