PCCA Journal|3
rd
Quarter 2015
29
Cisco VNI Forecast
Implications for Service
Providers
Due to the increasing number of devices
(e.g., tablets, smartphones, and M2M
connections) that will need to be authen-
ticated to gain access to fixed/mobile
networks (enhanced security and intel-
ligence required), increased bandwidth
capacity is not the only requirement in
the next half decade.
The evolution of advanced video ser-
vices (e.g., HD/ultra HD video, spheri-
cal video) and M2M applications are
expected to create new bandwidth and
scalability requirements for service
providers (SPs). Residential, business,
and mobile consumers continue to have
strong demand for advanced video ser-
vices across all network and device types
(quality, convenience, and price are key
factors for success).
Continued business video adoption
(i.e., HD and web-based video confer-
encing and business VoD) may prompt
greater growth in network virtualization
and leveraging the Internet for video
transmission (network ramifications for
SPs/OTTPs).
By 2019, more than 14 percent of
monthly global IP traffic will come from
cellular connections and 53 percent of
monthly IP traffic will come from Wi-Fi
connections (i.e., more than two-thirds
or 67 percent of total monthly IP traffic).
Differentiated and monetizable mobile
strategies will be important for all SPs.
IP networks must be intelligent and
flexible enough to support the constant
introduction of new/updated applica-
tions for fixed and mobile networks.
Many SPs are actively collaborating with
application and content developers to
differentiate their services.
Cisco VNI Methodology
The Cisco VNI Global Forecast and
Service Adoption study for 2014 to 2019
relies upon independent analyst fore-
casts and real-world mobile data usage
studies. Upon this foundation are layered
Cisco’s own estimates for global IP
traffic and service adoption. A detailed
methodology description is included in
the complete report. Over its 10-year his-
tory, Cisco VNI research has become a
highly regarded measure of the Internet’s
growth. National governments, network
regulators, academic researchers, tele-
communications companies, technology
experts, and industry/business press and
analysts rely on the annual study to help
plan for the digital future.
Source: Cisco Visual Networking Index
Global Traffic Forecast Update, 2014-2019.
More information is available at www.
cisco.com.
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