http://www.ericsson.com/real-performance/maximizing-the-streaming-experience What happens when we access sound and video from the cloud instead of drives? And how can networks make the ever-growing number of streams run smoothly? With more than 9 billion mobile devices globally and a 10-fold increase in mobile data traffic expected by the end of 2019, the demands on mobile networks are changing, and nowhere more so than in the field of streaming.

1. Streaming
the future
What happens when we access sound
and video from the cloud instead of
drives? And how can networks make
the ever-growing number of streams
run smoothly?
With more than 9 billion mobile devices
globally and a 10-fold increase in mobile data traffic expected by the end of
2019, the demands on mobile networks
are changing, and nowhere more so
than in the field of streaming.

2. Executive summary
During the 2012 Olympics, around 33 percent of traffic went to mobile or tablet devices, rising to
almost half of the content on weekends. Additionally, there were more views on mobile devices
than on traditional TV during the entire Olympic Games. Music services like Spotify (whose number
of global subscribers increased by 240 percent in 2012) and Rhapsody continue to grow, but it is
video that is the key driver of data growth in mobile networks.
Video is expected to make up more than 50 percent of
all mobile data traffic by the end of 2019. YouTube now
gets more than 1 billion views a day from mobile devices,
which is 25 percent of the total views – a tenfold increase
since 2010.
Downloading comes from a point in the past when devices
were not connected. Consumers who wanted to access
their audio and video content on the move had to transfer
it to their mobile devices – the devices were mobile, but
their connectivity wasn’t.
Streaming has changed all that forever as evidenced
by the fact that video is the key driver of data growth
in mobile networks. By the end of 2019, more than
50 percent of all mobile traffic data will be video, and
operators that can deliver video traffic consistently and
efficiently will have a crucial part in the streaming value
chain.
The real revolution has already started
With more than 9 billion mobile devices globally and a
10-fold increase in data traffic expected by the end of
2019, the demands on mobile networks are changing, and
nowhere more so than in the field of streaming. And as
streaming outstrips downloading in terms of data traffic,
it becomes even more clear, the revolution has already
started.
Consumers are rapidly moving from downloading content
and storing it locally to streaming it from the cloud. They
expect to be able to access it on demand and on a variety
of platforms, wherever they may be.
We’ve come a long way since the Sony Walkman made it
easier for consumers to enjoy their media on the move in
1979. Apple’s iPod refined and expanded that experience
in 2001 allowing us to transport extensive media libraries
on devices that fit into our pockets.
Back in 2007, it seemed to make perfect sense when
Apple co-founder Steve Jobs stated that “people want
to own their music, not rent it”. But the game changed
rapidly and today more and more consumers want to rent
their music, rather than own it – streaming is the new way
forward.
A whole new ball game
The widespread adoption of streaming by consumers
means we are now entering the third era of mobile
entertainment, and this is where the real revolution takes
During the 2012 Olympics, around
33 percent of traffic went to mobile
or tablet devices, rising to almost half
of the content on weekends.
place. Not only for music and video, but also for real-time
multiplayer gaming. Social and intelligent apps, smart
network technologies, real-time streaming capabilities
and subscription-based business models support
spontaneous user behavior anytime, anywhere and on any
device.
But all of this depends on the network for delivery. The
user experience is becoming more and more dependent
on a network that performs consistently.
A social user’s behavior, where content is shared
seamlessly between consumers and creators in the forms
of clips, playlists and mixtapes, increases the speed and
accuracy of exploration. Sharing and recommendations
are replacing albums, channels and magazines. 20 million
users with 20 million songs can create 1 billion different
playlists – the possibilities are almost infinite.
Then there are live events like news, concerts and sports,
which users don’t just consume on mobile devices, they
comment on them and share them via social media,
transforming them from individual events to communal
experiences.
Building for the future
Service providers have been quick to respond to this
multiscreen, online environment, granting access from
a variety of platforms and allowing the consumer to
choose whatever suits them best at any given time. In
many cases, such convenience enables them to charge a
premium for access from mobile devices.
To satisfy the need to secure the user’s streaming
experience, service providers also take the initiative to
stabilize and improve performance from their end.
Streaming is also making waves in other industries;
for example, automobile manufacturers like Ford are
integrating different music streaming apps into the in-car
audio experience. Such new innovations accentuate the
shift from platforms to apps as the way of the future.
New methods, new models
For operators, this new landscape offers different business
models.
Operators can seek to make the multiscreen experience
work as flawlessly as possible, teaming up with content
and service providers to offer a seamless experience to
consumers, or to act as a retail partner to content and
service provider by bundling entertainment and mobile
connectivity.
This focus on providing the best experience and offering
to consumers allows them to attract loyal subscribers who
are happy to pay a premium for great service and great
content.
Real Performance, real possibilities
Real Performance is key to delivering such premium
services and to attracting and keeping subscribers –
simply being good is no longer good enough. The quality
of the experience depends to a great extent on the
network performance.
There is a lot operators can do as they seek to develop
and improve their network performance to provide a better
streaming experience:
One thing is to create service-aware networks that
automatically enhance streams and create a differentiated
experience.
Secondly, content can be moved closer to users. Caching
media content close to the users will improve the
experience and optimize delivery while minimizing cost.
Another way of optimizing the use of network capacity
and improving the user experience is to manage streaming
where people gather in large numbers. This could be done
by letting users share a single stream through broadcast
on demand, rather than serving them all individually.
Also apply app coverage for streaming and ensure
capacity and coverage in the network to provide a robust
streaming experience.
How operators respond to the challenges posed
by streaming depends on a lot of factors. Existing
infrastructure, user behavior and third-party relationships
all contribute to making each set of circumstances
unique, and there are as many solutions as there are
circumstances.
Whatever way service providers and operators decide
to approach the streaming opportunity, the customer’s
experience of streaming, and its performance is all that
counts.
We call it Real Performance.
www.ericsson.com/real-performance

3. Ericsson is a world-leading provider of telecommunications equipment and services to
mobile and fixed network operators. Over 1,000 networks in more than 180 countries use our
network equipment, and more than 40 percent of the world’s mobile traffic passes through
Ericsson networks.
We are one of the few companies worldwide that can offer end-to-end solutions for all major
mobile communication standards. Our networks, telecom services and multimedia solutions
make it easier for people, across the world, to communicate.
And as communication changes the way we live and work, Ericsson is playing a key role in
this evolution. Using innovation to empower people, business and society, we are working
towards the Networked Society, in which everything that can benefit from a connection will
have one.
Our vision is to be the prime driver in an all-communicating world.
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