The way to WIN: Lucent positions software as the road to network profit

Consider the core elements of a wireless network: switches, radio base stations and various means of interconnection and transmission. Properly configured, that system will provide functional, reliable service for a long time. It's like a car with no options.

That network's about to be souped up. Having garnered a large chunk of the wireless network equipment market, Lucent Technologies is now pushing its wireless intelligent network (WIN) software platform as the options package that will make its systems more interesting to drive.

"Customers are not in this just to buy equipment," said Jack Barnett, wireless operations systems offer manager for Lucent's communications software business. "The software component allows them to turn that equipment into profit."

At the center of Lucent's strategy is a stand-alone home location register (HLR), the network element containing the databases that comprise the core of the WIN (see figure).

With an HLR in place, wireless carriers have myriad options. They can concentrate on generating additional revenue by offering options such as short messaging services (SMSs) that set their networks apart from the competition and give end customers more reasons to use their phones.

"Carriers need to keep looking for ways to introduce new services that will differentiate them and simulate additional airtime," said Dave Barclay, WIN offer manager for Lucent's communications software business. Making the necessary network configurations to provide SMS allows wireless carriers to offer other data-type services as demand dictates, including smart phone functions such as stock quote delivery and e-mail, he said.

Systems like Lucent's and those of other end-to-end network equipment providers are considered solid investments for carriers because of the flexibility that the software allows, said one analyst.

"They look at all the different platforms and think that maybe they should go with a one-stop shop," said Clint McClellan, senior analyst for wireless programs at Dataquest. "The wireless intelligent network is implicitly a one-stop shop."

Software flexibility and functionality also affects responsiveness, giving wireless carriers more control. Carriers can keep a finger on the pulse of the network with software that allows fault, configuration and performance management functions at a centralized network operations center.

It also means the ability to offer services such as over-the-air activation, a function that allows a customer to activate a handset only 20 minutes after purchasing it through direct interaction with a carrier's customer service center. That option, driven by Lucent's Actiview service management solution, changes the retail purchase process and shifts the customer's relationship from the retail outlet to the carrier, Barnett said.

In Lucent's view, a stand-alone HLR also prepares wireless carriers for a future in which wireless is a primary communications mode and local number portability becomes a necessity. Until that day, the ability to perform the LNP database query themselves can save wireless carriers money, Barclay said.

"The wireless carriers were looking for a short-term alternative to the wireline carriers doing a [number portability] dip on every call," he said.

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