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AUG 2007 ˙ ISSUE 32
Huawei Technologies
The old Morocco, which was
once a “TV desert” is gone
forever. Moroccans are currently
enjoying a much richer cultural
and entertainment experience.
What influences are responsible
for bringing about this dramatic
change? By Liu Qingliang
AUG 2007 ˙ ISSUE 32
12
COVER STORY
Multi-Play gives Moroccans more TV enjoyment
Once a “TV desert”
“I fell in love with you watching Casablanca,
back row of the drive-in show in the flickering
light…” Do you remember this song, Casablanca?
orth of the vast and sun-baked Sahara
Desert, and bordered by the Atlantic
and the Mediterranean oceans, lies a
beautiful country, with a mild climate
and a myriad of flowers that bloom
in every season. This country witnessed a romantic
love story, which in turn gave birth to the popular
song, Casablanca. The name of this country, which
is often referred to as the “Garden of North Africa”,
is Morocco.
N
In summary, an average Moroccan family basically
needed to pay approximately 4200 Dh (USD 480.4)
in order to be able to watch TV programs each year.
In comparison with the cost for watching TV, yet the
average annual income for a Moroccan family is quite
small, a mere USD 1600. So for most Moroccans,
watching TV was considered a luxury. How could
this problem be resolved?
Everything starts with
broadband services
Compared with other continents in the world,
Africa’s telecom development has lagged behind and
Despite its beautiful scenery and romantic
setting, the real Morocco was once a virtual
“TV desert”. The most popular cultural and
entertainment TV channel was once considered
a luxury which few people could afford.
Despite its beautiful scenery and romantic setting,
the real Morocco was once a virtual “TV desert”. The
most popular cultural and entertainment TV channel
was once considered a luxury which few people could
afford. Moroccans can hardly order the classic movie,
Casablanca, via the movie channel, as in Morocco’s
not too distant past cable resources were almost
non-existent, so most ordinary Moroccans watched
satellite TV by using expensive antennas. For each
family, watching TV first meant that they would be
required to purchase an antenna and receiving box,
costing approximately 1200 Dh (USD 137.2) which
allowed them to view up to 50 somewhat boring and
uninteresting foreign-language channels. In order
to watch more local channels, which featured more
attractive programs including, movies, sports and news,
the family was forced to buy an additional decryption
card, which cost about 250 Dh (USD 28.6) each
month, and required signing a service agreement for
at least one year.
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AUG 2007 ˙ ISSUE 32
is considered to be unsatisfactory. However, parts
of North Africa and South Africa have experienced
quick development in terms of telecom services. For
instance, over the past 10 years Morocco Telecom, the
largest multinational integrated carrier in Morocco, has
experienced rapid business development and enjoys a
monopoly in Morocco, largely due to its progressive
business ideas and cooperation with several renowned
equipment suppliers.
In December 2004, Morocco Telecom was listed on
both the Paris and Casablanca stock exchanges, with VTI
of France (51%) and the Ministry of Finance of Morocco
(32.5%) being the major shareholders. Statistics in
2006 showed that Morocco Telecom supported nearly
1.3 million fixed voice service subscribers in Morocco,
with 100% of the market share, 11 million mobile
subscribers, representing 80% of the market share, and
another 400,000 broadband subscribers, which made up
90% of the market share. Such data also indicated that
Morocco Telecom had become a flagship enterprise in
Huawei Technologies
the telecom domain of Morocco and North
Africa.
However, caught up in the global trend
of what is generally considered to be a major
recession for traditional fixed network voice
services, the number of Morocco Telecom
family voice subscribers has been declining
by 5% each year, along with the voice
income derived from these subscribers. The
old service-centered network construction
approach has resulted in the formation
of several independent networks (ATM,
IP/MPLS, fixed PSTN, GSM, etc.),
which not only lacked the ability to share
resources, but also had quite high operation
largely depends on subscribers’ requirements
for new services. The All-IP trend for
traditional services relies on the existence
of mature and stable technologies. Today’s
subscribers are searching for the most
cost-effective, stable and reliable service
combination which integrates voice,
broadband, video and mobile experiences.
More importantly, they are looking for more
customer-centric service experiences.
Morocco Telecom explored this market
opportunity and began to focus on how to
resolve the problem of most Moroccan’s
inability to watch TV due to their low
annual income. In combination with
second step called for a halt in the expansion
of the ATM DSLAM, and at the same time
to gradually replace the ATM DSLAM and
Modem with the IP DSLAM and Home
Gateway. This would help to integrate the
MPLS (Multi-Protocol Label Switching)
core network with the ATM core network,
allowing it to offer the VOD (Video On
Demand) service in IPTV. The plan would
also make use of softswitches to reconstruct
the traditional PSTN and GSM networks
and to gradually establish an IP-based core
control layer oriented to the NGN and 3G,
enabling VoIP.
The third step called for a build-up of
and maintenance costs as well. Thus, the
traditional services of Morocco Telecom
faced several severe challenges.
As the well-known saying goes, “When
God closes a door, somewhere he opens a
window!” Thanks to the explosive growth
of broadband requirements, Morocco’s
broadband market has developed quickly.
Due to a serious deficiency in its cable
resources, the broadband market gave
Morocco Telecom a chance to change
a disadvantageous situation into an
advantageous one. By making full use of its
existing subscriber line resources, Morocco
Telecom quickly developed ADSL broadband
services, allowing it to gain a monopoly
position in terms of the country’s broadband
market, with an annual subscriber growth
rate of 50%.
The development of broadband services
the development of broadband services,
it customized a strategic plan to provide
subscribers with integrated information
services. In particular, the carrier would
be able to offer subscribers such features
as Multi-Play services, integrating data,
voice and streaming, based on an All-IP
network.
the Metro Ethernet and to set up clear
network architecture, from the access layer,
to the core layer, as well as on the service
layer. The fourth step called for building a
unified All-IP bearer network and to make
use of key technologies to guarantee QoS,
finally building a reliable All-IP network.
The whole plan is expected to be completed
over 5 years, from 2003 to 2008.
To help achieve such a large-scale and
lengthy strategic plan with transformation
significance, Morocco Telecom began
looking for a strategic partnership with
a supplier with long-term development
potential to provide end-to-end complete
solutions and offer customized schemes.
After a period of strict, comprehensive
checks and competitive testing, Morocco
Telecom finally selected Huawei as its
strategic partner and required them to
Bearer network for MultiPlay services
In terms of execution, Morocco Telecom
devised a four-step plan. The first step called
for making use of the MSCG (Multiple
Service Control Gateway) and the existing
large-scale ATM DSLAM, so as to support
multicast services in the network, quickly
enabling IPTV service operations. The
AUG 2007 ˙ ISSUE 32
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COVER STORY
Multi-Play gives Moroccans more TV enjoyment
Rich service packages
Thus far Morocco Telecom has officially launched Multi-Play services,
represented by the IPTV service. Via the Home Gateway and STB, subscribers
can also enjoy fixed telephone service, Internet surfing, and IPTV, using only
one telephone line. IPTV service also makes use of H.264 coding technology
that enables a high-definition visual effect. Additionally, three cost-effective
program packages were released, which covered such areas as sports, movies,
entertainment, music, and information channels so as to better satisfy
differentiated requirements from subscribers.
Bouquet Access, for 40 Dh (USD 4.55) HT/month
This program package includes all Morocco TV channels, such as 2M, TVM
of ground transmission digital quality, channel 4, Al Maghribiya, as well as
TV Alouyoune. It also covers many public channels, such as, Al Jazeera, LBC,
international channel TVE, CNBC Arabia et al. Jazeera, and the children’s
channel.
Bouquet Discovered, for 65 Dh (USD 7.4) HT/month
This program package offers such services as Entertainment ART Teenz, Art
Hikayat, and France 2 channels, in addition to all programs covered by the Bouquet
Access package. It also offers the Art Tarab channel for music lovers, ART sports
channels 1 and 2 for sports lovers, as well as the CNN channel.
Bouquet Prestige, for 125 Dh (USD 14.23)HT/month
This represents the richest brand program package and covers all programs
of the Bouquet Discovered package. In addition, it offers ART sports channels
3 and 4, FoxLife, ART Aflam 1, ART Aflam 2, the Rotana movie channel, and
the TCM movie channel. Music fans can also enjoy programs on Trace TV, MTV
and Rotana Clip channels. People wanting to know more about the world they
live in can find many pleasant surprises with such programs as, Voyage, National
Geographic, and the Planète channels. Children are not forgotten either, as they
are offered such entertaining and educational programs as the Cartoon Network,
space travel, Nickelodeon, and game channel 1.
In 2006, Morocco Telecom planned year-long World Cup Special programs and
launched its World Cup 2006 package. Costing 500 Dh (USD 56.93) HT per
month, the package broadcasted all the games in the 2006 World Cup series and
highlighted extracts and special features on two channels. The package also offered
detailed introductions and comments on all competing teams and announced game
results at the earliest possible time.
Morocco Telecom has considered the various aspects and details of IPTV service
in every conceivable way. First, they provide subscribers with whole-process services.
Once a subscriber requests IPTV service, Morocco Telecom’s engineers install the
TV on ADSL product package in the subscriber’s home and adjust the device
to enable proper service. Second, to ensure that children watch only wholesome
programs, any family can conveniently and flexibly select programs to suit their own
particular needs and block those programs which are not appropriate for children.
And finally, by purchasing the copyrights to its programs, Morocco Telecom
guarantees the validness and quality of all received international channels.
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AUG 2007 ˙ ISSUE 32
provide an end–to-end Multi-Play solution
that would cover fixed terminals, broadband
access network, IP bearer network, optical
transmission network and IPTV service
system. As a part of the Multi-Play solution,
the IPTV whole-course solution requires
that the system covers a variety of key
parts, such as headend (including antenna,
satellite receiver and encoder), Middleware,
Home Gateway, STB, and CDN (Content
Distribution Network).
In regards to the All-IP network, Morocco
Telecom’s particular situation called for an
end-to-end solution and professional bearer
network optimization services. It also
required perfect coordination between the
network equipment and the IPTV system
platform, as well as a reduction in terms of
network building complexity. The solution
was also expected to offer a network
guarantee for QoS, MPLS VPN, multicast
and security, as well as providing overall
improvement in operation efficiency of
the IPTV service. In addition, the solution
was expected to use the ATM DSLAM of
the existing network in order to protect
investments.
Based on years of experience in the access,
data communication and transmission
fields, Huawei provided a total solution
that was especially designed to cater to the
requirements of Morocco Telecom. This
included IP DSLAM SmartAX MA5100
and MA5600 that would enable broadband
access, MSCG MA5200G and Service
Router NetEngine 40 especially oriented
to All-IP services and offered multicast,
together with ATM, as well as metro and
backbone optical transmission networks
to provide reliable transmission of All-IP
services.
In terms of system reliability, Morocco
Telecom required a complete back-up
solution providing content protection,
whole network back-up, along with IRD
and encrypted back-up. The system that
Huawei provided not only met the above
requirements, but also offered security
deployment on key equipment via the
active-standby or load balancing mode,
which eliminates single point faults and
improves overall system reliability. As a
result, maintenance costs for Morocco
Telecom were greatly reduced.
To enable all Moroccans to watch TV
Thanks to Morocco Telecom andHuawei
Multi-Play,
Technologies
ordinary Moroccans can enjoy watching
various kinds of entertainment, and more,
in the comfort of their own homes.
in the most cost-effective mode, Morocco
Telecom requested that IPTV service be
quickly deployed. Huawei subsequently
implemented phase supervision on the
whole delivery process to guarantee delivery
progress and quality. Within a short period
of time, Huawei was able to complete
the following: equipment installation,
configuration, commissioning and testing.
The whole project lasted only two months,
from kick-off to deployment, thus laying
a solid foundation upon which Morocco
Telecom could receive quick returns on its
investments.
In orientation to the customization
requirement of Morocco Telecom,
and in order to enable differentiated
service combinations, Huawei set up
EPG (Electronic Programming Guide)
customization development in the following
areas for Morocco Telecom: interfaces,
services, products and functions.
Multi-Play gives
Moroccans more TV
enjoyment
Since the IPTV service was launched in
June 2006, it has quickly gained popularity
among subscribers, with the number of
subscribers increasing dramatically. For
instance, during the 2006 World Cup,
nearly 500 subscribers registered for the
service each day. Later, Morocco Telecom
witnessed mass market requirements, with
over 10,000 new subscribers registering in
less than a month. To date, the 50,000subscriber-line IPTV phase 1 project of
Morocco Telecom, which covers the capital
city of Rabat as well as Casablanca, is close
to being fully loaded. Phase 2 of the project
is in the process of being built, and it will
be able to support 200,000 subscribers
and offer 200 channels, covering the entire
country.
As far as mobile experiences are
concerned, Morocco Telecom has made
sufficient preparations. By adopting
Huawei’s Multi-Play solution to provide
a fixed-mobile integrated streaming
platform, Morocco Telecom will be able
to support both fixed-network IPTV and
mobile TV in a 3G environment. Morocco
Telecom recently decided to build a
UMTS/HSPA network as a 3G solution,
with Huawei providing a whole set of IP
mobile softswitch based circuit domain
core networks and a UMTS/HSPA wireless
access network, which will be able to offer
subscribers more diversified high-speed
mobile broadband services. As Morocco
Telecom continues to execute its strategic
step-by-step plan, Moroccans will be able
to enjoy fixed-mobile integrated voice,
data and streaming services. This will offer
subscribers the most complete customercentric Multi-Play service experiences.
Mo r o c c o Te l e c o m’s i n t e g r a t e d
information service strategy plan and its
achievements have not only brought about
increases in terms of its revenue, but has also
won unanimous acknowledgement from
global investors. Morocco Telecom’s annual
financial report showed that for 2006, the
consolidated revenues of the carrier reached
22,615 million MAD (USD 2,587 million),
which was up 10.1% from the previous
year. In addition, the EFO (Earning from
Operations) increased by 15.7%; and the
number of broadband subscribers increased
by 59%. On the Casablanca stock exchange,
the average share price of IAM (Morocco
Telecom) has also increased, and once
reached a record high of 141.8 MAD per
share. According to Mr. Abdeslam Ahizoune,
the Chairman of the Management Board
of Morocco Telecom, “One more time,
Morocco Telecom has registered outstanding
results. We have boosted the market through
our acquisition efforts, customer loyalty
improvements and innovations, which have
allowed us to exceed our forecasts.”
“I fell in love with you watching
Casablanca, back row of the drive-in show in
the flickering light…” This enchanting song
is still winning the hearts of many listeners,
and the romantic scenes in the classic film
Casablanca, are still as vivid and moving
to a new generation of movie goers today.
Once, this type of entertainment could
only be enjoyed in movie theaters, but now,
thanks to Morocco Telecom and Multi-Play,
ordinary Moroccans can enjoy watching this
kind of entertainment, and more, in the
comfort of their own homes.
Editor: Pan Tao [email protected]
AUG 2007 ˙ ISSUE 32
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