NGNuk Executive Meeting - 13th March 2008

Attendees

Peter Black NGNuk

Rod Smith NGNuk

Peter Ryde NGNuk

Mark Dalziel NGNuk

Andy May (CW)

Angus Flett (BT)

Phil Male (Thus)

Neil McArthur (CPW)

Marcus Webb (Vodafone)

Stuart Shutt (Orange)

Ben Phillips (Sky / Easynet)

Marina Gibbs (Ofcom)

Gareth Davies (Ofcom)

 

Apologies; Robyn Durie ( T Mobile), Andy King (Virgin Media)

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Agenda

  • Minutes and Actions of last meeting
  • Ofcom NGN Consultation
  • Charging Framework Update
  • 2008/09 Budget
  • NICC Update
  • Presence and Location
  • AOB

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Minutes and Actions

The minutes and actions of the last meeting were approved

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Ofcom NGN Consultation

Rod Smith provided an introduction to the session. At the last NGNuk Exec there had been discussion about the ongoing role of NGNuk. There had been strong feedback from members that it should continue as a forum where senior industry representatives could debate and review key issues. Such a body would only be useful and effective if, following such review, the Secretariat carried forward the output to brief and inform those organisations who were likely to be affected. In discussing this remit with senior members of Ofcom it was highlighted that Ofcom were considering a further NGN consultation during 2008. In this context it was felt appropriate to invite Ofcom to attend the Executive to outline their objectives for the consultation and for the Exec to feedback on issues they feel Ofcom might wish to include in the consultation. It was recognised that whilst the Exec could offer its opinion, that Ofcom could reject such advice and that NGNuk was in no way involved in the setting of policy.

Gareth Davies from the Competition group represented Ofcom.

Ofcom last consulted on NGNs in 2005 and it now considered it important to update this work. There were two key objectives for the consultation, these being an understanding of:

  • The impact of NGNs on Competition
  • The impact of NGNs on Consumers in terms of the benefits and also the impact of migration to NGNs. Note: in the context "consumers" represents both residential and business users

The project within Ofcom is split into a number of sub-elements with the project overall looking at both the short term imperatives and the longer term issues. The sub elements are:

  1. NGN deployments and strategies by UK Operators
  2. The implications of NGN deployments on Competition including:
    • What forms of competition are supportable and how this might differ from today?
    • A review of the possible scenarios will be undertaken for differing competitive models linked to various options for NGA
    • Reviewing what the impact of NGNs on existing bottlenecks and identifying what new bottlenecks might be created. Furthermore in such circumstances identifying what regulated products might be required to overcome these.

There was some discussion within the Exec of how broad the competition review would be. Gareth indicated that whilst the review covered all areas affected by NGNs (such as the relationship between fixed and mobile markets) Ofcom would seek to prioritise the development of principles that could be consistently applied across all areas but would focus in on a few priority areas such as voice. In addition it was stressed that the aim was not to duplicate existing work, rather to help draw these separate strands of work together.

1  Interconnection
2  Consumer

There was some discussion over the potential to focus too heavily on 21CN migration issues given the ongoing presence of LLU operators (where customers had effectively migrated to an NGN). It was also recognised by the Exec that consumers would be impacted for several years because of both the mix of TDM and IP across networks and also the relative immaturity of IP technology in this market.

There were several areas of questioning and discussion:

  • Ofcom were asked what would constitute success within the context of the consultation. At a macro level the consultation would be deemed a success if it was seen to promote the interests of consumers through competition however , whilst economic benefits to the UK were accepted as an important aspect for NGNs to deliver , this is outside of the remit of Ofcom (and therefore the NGN consultation).
  • Currently Ofcom look at the market as being Mobile, Fixed and Broadband. In future the potential for seamless operation of services across NGNs requires Ofcom to look at the industry as a whole, not as discrete elements in order that a "level playing field" is created for all parties. An Example of cross industry issues was cited as Presence/Location.
  • The effectiveness of price signals was discussed as having been a significant problem for operators in the past. In today's economic climate operators need stability when developing business models as companies are vying for capital within the industry, amongst industries and across international borders. In this context a concern was expressed that if, as a result of the consultation, Ofcom focused on a narrow range of issues and subsequently shifted their focus this could change Operator business models too rapidly and unexpectedly for investors.
  • Ofcom were asked whether they favoured deep build NGNs or whether competition is really about keeping BT honest? .Ofcom stated that it is not their role to impose a vision on the market, rather they seek to enable competition. Some views were expressed amongst the Exec that at a time when the industry faced such a discontinuity, there needed to be some form of "thought leadership" to ensure UK plc reaped the full benefits of NGNs and avoided the pitfalls.
  • Some discussion took place regarding whether there was a need to facilitate the disaggregation of services from the underlying infrastructure. This was felt more likely to stimulate competition and innovation within the market but each would need to be regulated separately.

Gareth led a discussion on how best to seek industry input. It was accepted by the Exec that it was highly unlikely within NGNuk to reach consensus on many issues that would be discussed however they felt it important that the views and concerns of industry, be they general or specific, regarding the consultation be captured to inform Ofcom's considerations. Ofcom stated it is already in discussions with BT and UKCTA regarding the consultation.

In terms of the way forward the following was agreed:

1. Ofcom will be asked to attend the Exec meetings, as appropriate, to provide an update to the Exec on progress. In addition where appropriate Ofcom will provide specific questions where it seeks the views and feedback of the NGNuk Exec

Action 1 - 13/03/2008: Peter Ryde to liaise with Ofcom to schedule attendance, as appropriate, to provide feedback on the progress of the NGN consultation to the Exec.

2. The Secretariat should provide a base set of questions to the Executive covering suggested areas where the Exec may wish to provide more detailed feedback regarding the objectives and remit of the consultation. The Exec would then be asked to amplify, add or delete as appropriate. These would then be reviewed at the next Exec on 24th April to decide on which issues NGNuk should seek to provide feedback to Ofcom and how this feedback should be collated.

Action 2 - 13/03/2008: Secretariat to circulate to the Exec a draft "issues list" by end March

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Charging Framework

The Executive had previously discussed and agreed that the Charging Principles for PSTN Emulation should follow those long established for PSTN ( i.e. predominately CPNP and usage based)

The Objective of seeking further feedback was to review the existing charging elements for PSTN and agree which elements remained valid for voice over NGNs or which new factors needed to be considered (if any).

Individual interviews were undertaken with 14 Members regarding their views on which potential factors should be considered within a replacement charging mechanism for voice. A record of the interview was produced by the Secretariat and validated with CPs. The CPs that contributed were: BT, Colt, CPW, CW, H3G, Orange, Sky/Easynet, Thus, Tiscali, T-Mobile, VirginMedia, Verizon, Viatel, Vodafone.

Ten factors were identified and discussed. Of these six were stand alone issues (Time of Day, Duration, Volume Discounts, QoS, Reciprocity and Ported Numbers) and four which were linked (Distance, Number of Elements, Rural vs. Urban and Call Set Up)

On the stand alone issues the consensus of the Commercial group was that:

  • "Time of Day" and "Duration" remain relevant criteria within an NGN charging framework  for the future charging of voice interconnection for NGNs<//font>
  • "Volume Discounts", "QoS", were not felt appropriate for inclusion within the Charging Framework<//font>
  • Ensuring that the charging mechanism promoted use of the CDB and the correct routing of traffic was considered important. However, the commercial group had considered that as this related to "ported numbers", it would be more appropriate to be addressed by UKPorting. The Exec (including Peter Black, Executive Chairman of UKPorting) disagreed on the basis that the issues raised were outside of the UKPorting remit.<//font>
  • Reciprocity was considered outside of the Charge Framework but needed to be developed in parallel to the framework itself

On the "linked" issues there was consensus within the feedback and discussions of the Commercial Group of a desire for the network elements to be fully reflected in the charging framework. There was however, no consensus on which elements were appropriate or the relative importance of

Distance / Network Topology, Call Set Up / Splitting media and signalling. Furthermore, the majority of the group did not support the introduction of rural vs. urban (dense / non dense MSAN) as a suitable charging factor.

Responses from members on these issues were distributed as follows:

 

Distance

# of Elements

Density

Call Set Up

Relevant

8

13

3

5

Undecided

0

0

3

4

Not Relevant

5

1

9

5

The primary driver for most members is NGN interconnection with BT. As cost data was not available to allow discussion of the validity of the suggested element based charging mechanisms, the consensus of the Commercial Group had been that BT be requested to provide an outline of the charging structure they support, but which took into account the views expressed by NGNuk members. It was anticipated this would help crystallise debate. This recommendation was not accepted by the Exec since it focused on BT rather than a cross industry framework. It was agreed that the appropriate action to complete the NGNuk involvement in any future replacement Charge Framework for voice is for the Secretariat to fully document the views of members prior to submitting this information to Ofcom.  

Action 3 - 13/03/2008 - Peter Ryde to document the output of the Charging Framework discussions and circulate this to the Executive for sign off prior to submission to Ofcom.

There was a brief discussion regarding the ending of NCC in September 2009. The focus of the debate related to how easily the detail of a replacement charging mechanism (and a future reciprocity agreement) could be agreed and its relationship to Ofcom's decision on whether to "roll over" NCC beyond this date. Differing views across the Executive were expressed with respect to whether NCC could or should be extended. Some members felt that given the current status of 21CN voice planning the imperative for a replacement charging mechanism had less urgency and that "rolling over" NCC was the safest approach in the near term. This view was not supported all members, some of whom felt that the current arrangements where already problematic and they would not be willing to extend these beyond Sept 2009.

Reciprocity

Feedback from respondents had been split on the relevance of Reciprocity within a charging framework. The subsequent discussion at the commercial group reached consensus that whilst reciprocity was an important issue it was outside of the Charge Framework itself.  

The existing reciprocity arrangements end with NCC in Sept 09. As NGN architectures and topology differs significantly between CPs it is likely that there will be winners and losers from a revised reciprocity agreement. A discussion took place amongst the Exec regarding where such an agreement might be taken forward and also the urgency of this.

There were differing views regarding the urgency and timing for replacement reciprocity arrangements. Whilst it was agreed that it was within the scope of NGNuk to consider what is at stake for operators and the underlying principles that might reasonably underpin a reciprocity agreement applying to all, no specific action was agreed by the Exec.

There was a suggestion that Ofcom might consider addressing reciprocity within the Narrow Band market review. Further to this there was additional discussion on whether the NGNuk Exec needed to consider its views on the key issues the narrowband market review needs to address and whether this should be provided to Ofcom as pre consultation input .  The Secretariat was requested to invite the appropriate Ofcom representative to attend the Exec to discuss the opportunity for the NGNuk Exec to provide pre-consultation input to the NBMR.

Action 4 - 13/03/2008 - NGNuk Secretariat to invite the appropriate Ofcom representative to attend the Exec to discuss the opportunity for the NGNuk Exec to provide pre-consultation input to the NBMR.

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2008/09 Budget

Rod Smith circulated a proposed 2008/09 budget for review by the Exec. This was predicated on a reduction in the annual fees of approximately 60% to all members.

The revised fees suggested were: £100k for BT, £15k for Exec members and £1.5k for Participating members.

In discussions with the Exec it was agreed that:

  • An actual/forecast vs. budget would be presented at each Exec meeting<//font>
  • Resources could be diverted to support OTA activity when not required to support NGNuk. <//font>
  • The Exec expressed some concern that the revised focus and approach of NGNuk might constrain the influence of Participating members. The Secretariat were asked to meet with Participating Members and provide reassurance that the Exec valued their support and that should members have issues they wished to raise they could do so at the Exec. <//font>

Action 5 - 13/03/2008 - Secretariat to meet with Participating  members to outline the changes in approach and budget for 2008/9 and to provide reassurance , on behalf of the Exec , of their value to the NGNuk Exec.

It was agreed unanimously that the budget for 2008/9 was approved.

Rod Smith stated that the invoices would be issued immediately and requested that members paid promptly.

Action 6 - 13/03/2008 - Secretariat to request that Ofcom immediately issues the 2008/9 invoices at the agreed rates

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NICC Update

Green Release

  1. Common Numbering Database.  Standards on 28 day approval & will form part of UKPorting tender process. <//font><//font>
  2. Voice Line Control.  Standards nearing conclusion; expected April. <//font><//font>
  3. Fixed Mobile Integration Services.  Resourcing has proven problematic, so this has now been slipped to the Orange Release.

Orange Release

Suggestions for the content of the release were reviewed during Q1 to provide better clarity of the scope and requirements. Progress has been hindered by the activity required to finalise Green .Prioritisation of the requirements has yet to be undertaken although two further meetings are planned during April.

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Presence and Location

A review of feedback on Presence and Location was undertaken on 11th December.

This identified wide ranging views across the membership and no clear consensus of anticipated services. It was agreed to await NICC draft "Orange" requirements as a starting point for NGNuk. NGNuk actioned at joint NICC/NGNuk Orange release meeting on 7th February to review initial scope and requirements. We are currently awaiting the draft from author.

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AOB

Angus Flett informed the Exec that due to internal changes within BT Wholesale he would be stepping down from the NGNuk Exec. Although an individual had accepted the position, he was not yet able to announce the name of the individual.

Peter Black confirmed he would be standing down as Executive Chairman of NGNuk at the end of March 2008 .Rod Smith will be taking over as Executive Chairman as of April 2008.

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Next Meeting

The next meeting will be 10.00 to 14.00 on 24th March at Riverside House. It was agreed that subsequent meetings would be bi monthly.

Action 7 - 13/03/2008 - Secretariat to issue the Exec with details of the revised meeting dates and locations  

Peter Ryde

NGNuk Office

07771 555 048

020 7783 4688

peter.ryde@ngnuk.org.uk

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Update on Actions

Action 6 - 27/09/2007 - The secretariat to request feedback from the Exec members on their thoughts regarding the key aims and attributes of the service principles. These to be collated by the secretariat and represented for discussion at the October Executive meeting. One response (Thus) to date. Held pending Exec discussion on 2008 priorities and focus

Secretariat

Ongoing

Action 8 - 27/09/2007 - The secretariat to request feedback from the Exec members on their thoughts regarding the key aims and attributes of the principles that need to be considered for Numbering and Addressing. These to be collated by the secretariat and represented for discussion at the October Executive meeting. Request sent to Exec, 2 responses. Held pending Exec discussion on 2008 priorities and focus

Secretariat

Ongoing

Action 2 - 29/11/2007 - Prepare documentation covering the background and approach to the charging work, the summarised responses of the members and recommendation for publication on the NGNuk web site. Exec sign off will be required prior to release.

Peter Ryde

Ongoing

Action 3 -29/11/2007- Update UKCTA on the Exec's views regarding NGNuk providing an agreed industry position for UKCTA. Confirmed in writing to UKCTA 22/01/2008

Peter Ryde

Completed

Action 4 -29/11/2007- Update UKCTA on the Exec's views regarding the development of an Industry Heads of Agreement. Confirmed in writing to UKCTA 22/01/2008

Peter Ryde

Completed

Action 1 - 13/12/2007 - Secretariat to provide their views (for discussion) at the January Exec on how the aims for 2008 outlined by the Exec will be achieved. Awaiting Exec output regarding 2008 priorities

Secretariat

Ongoing

Action 2 - 13/12/2007 - Exec members should table those initial policy areas they wish NGNuk to consider during 2008 at the January Exec .2 responses to date ( CPW and Orange)

Exec

By 24th Jan

Action 3 - 13/12/2007 - Peter Ryde to circulate Neil McArthur's email regarding policy areas for consideration

Peter Ryde

Completed

Action 4 - 13/12/2007 - Exec members to table those policy areas they believe Ofcom should have as a priority for development during 2008 for discussion at the January Executive No input received , however superseded by Ofcom consultation discussion

Ofcom

By 24th Jan

Closed

Action 5 - 13/12/2007 - Secretariat to provide an outline budget for 2008 at the January Executive ( including a suggested  process for obtaining  additional funding where additional activity is requested by the Exec) See minutes above

Secretariat

Completed

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New Actions

Action 1 - 13/03/2008: Peter Ryde to liaise with Ofcom to schedule attendance, as appropriate, to provide feedback on the progress of the NGN consultation to the Exec.

Peter Ryde

Action 2 - 13/03/2008: Secretariat to circulate to the Exec a draft "issues list" by end March

Secretariat

Action 3 - 13/03/2008 - Peter Ryde to document the output of the Charging Framework discussions and circulate this to the Executive for sign off prior to submission to Ofcom.

Peter Ryde

Action 4 - 13/03/2008 - NGNuk Secretariat to invite the appropriate Ofcom representative to attend the Exec to discuss the opportunity for the NGNuk Exec to provide pre-consultation input to the NBMR.

Secretariat

Action 5 - 13/03/2008 - Secretariat to meet with Participating  members to outline the changes in approach and budget for 2008/9 and to provide reassurance , on behalf of the Exec , of their value to the NGNuk Exec.

Secretariat

Action 6 - 13/03/2008 - Secretariat to request that Ofcom immediately issues the 2008/9 invoices at the agreed rates

Secretariat

Action 7 - 13/03/2008 - Secretariat to issue the Exec with details of the revised meeting dates and locations

Secretariat

 

 

 

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