| | December 20168CIOReviewIn my opinionWe are in the midst of a major digital media transformation. Customers are demanding more flexibility and convenience in the way they consume content. Exciting new content formats like Virtual Reality, Augmented Reality and Ultra High Definition with High Dynamic Range are paving the way to deliver immersive experiences. This shift in consumer viewing behaviours rely on technologies that use IP-based online delivery, which is driving explosive traffic increases in fixed and mobile broadband networks--video being the main driver for growth. In fact, according to the Cisco Visual Networking Index 2016, mobile networks are expected to grow eightfold between 2015 and 2020, and video is expected to consume 75 percent of all IP network traffic.Along with the growth in video popularity comes an increase in customer expectations. Today customers expect their online content experiences to be good quality and uninterrupted. Content providers identify "Quality of Experience" (QoE) as the most important metric for internet content profitability, with delivery issues accounting for nearly 70 percent of viewers' frustration with online video, as stated by The Guardian. Service providers understand the importance of customer QoE, and are recognizing they can dramatically improve the efficiency of content delivery, beyond adding capacity through the deployment of advanced emerging technologies.Much of the new forms of content are being delivered "Over The Top" (OTT), meaning the content is delivered over the internet without the involvement of the broadband service provider. However, both content providers and service providers share the same customers and both have a vested interest in supplying a great QoE. Therefore, both can benefit by working closely together to efficiently deliver content with the aim of creating a materially better customer experience. Disruptions Beckons Change:The majority of content consumed over the internet is delivered by Content Delivery Networks (CDNs); reaching 62 percent of all IP traffic by 2019 globally, according to the Cisco Visual Networking Index. CDNs provide better performance and availability by replicating and distributing the content across geographic locations. Content is stored or "cached" at each CDN server, then delivered to customers from the closest location (Figure 1). There is a growing gap between existing content delivery capabilities and emerging needs of guaranteed QoE for customers. This gap is creating opportunities for service providers to participate in the content delivery value chain.The approach is to expand the capabilities of the service provider's CDN to take advantage of unique capabilities of Media Optimized Network: Service Provider-led Opportunity for Content DeliveryGary Traver, Director-Media Networks, TelstraBy Figure 1: The CDN landscape.Figure 2: Turn demands into opportunity.DemandProtability2015201620172018 2019OutlookOpportunitySolutionNetwork EciencyQuality of ExperienceMonetizable Value-addsOptimizeCacheConnect...Leverage last mile network assets and capability, and connect with content providersto address the full media value equationIn order to capture the full demand-drivenopportunity the operator must now addressALL aspects of media delivery. Cost mitigationalone is not the futureMedia Optimized NetworkOperatorNetwork
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