Are you in telecommunications? Altibase helped SK Telecom to eliminate revenue loss from undetectable free usage and uncollected negative balances while increasing customer satisfaction.
ALTIBASE® HDB™ is the only Hybrid DBMS in the industry that combines an in-memory DBMS with an on-disk DBMS, with a single uniform interface, enabling real-time access to large volumes of data, while simplifying and revolutionizing data processing.
Altibase is provider of In-Memory data solutions for real-time access, analysis and distribution of high volumes of data in mission-critical environments.
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In-Memory Database Solutions for Telecom - SK Telecom
1. Case Study: SK Telecom
– Real Time Rating System
(RTRS)
CASE STUDY FOR TELECOMMUNICATION INDUSTRY
2. ■ Overview
■ Problems
■ Solutions
■ Results
■ Technical Details
AGENDA
CASE STUDY FOR TELECOMMUNICATION INDUSTRY
In-Memory Database Solution
3. + Overview
Altibase
Altibase is provider of In-Memory
data solutions for real-time access,
analysis and distribution of high
volumes of data in mission-critical
environments.
SK Telecom
SK Telecom is the largest mobile
service provider in South Korea. It had
50.6% of market share representing
over 50 million subscribers in 2010.
Summary
Altibase helped SK Telecom to eliminate revenue loss from undetectable
free usage and uncollected negative balances while increase customer
satisfaction. ALTIBASE HDB delivered the performance, reliability and
functionality for SK Telecom while significantly lowering TCO.
In-Memory Database Solution
4. + Problems
SK Telecom utilized a legacy, mainframe-based IT infrastructure for
its Real Time Rating System (RTRS).
In 2002, SK Telecom identified the limitations of its legacy system.
SK Telecom’s billing service suffered from major delays as the number of
subscribers grew. The sheer number of increased billing placed strains on
the legacy systems1.
With growing demands on the legacy system, total cost of ownership (TCO)
became progressively onerous.
SK Telecom was unable to detect and shut-off service when prepaid
balances were depleted.
The inability to accurately detect customer balances resulted in negative
balances and uncollected funds.
1) Average of 20 days from creation and delivery of customer
bills.
In-Memory Database Solution
5. + Solution
SK Telecom adopted ALTIBASE HDB In-Memory DBMS in 2002
for its RTRS.
ALTIBASE HDB delivered the performance, reliability and
functionality for SK Telecom while significantly lowering TCO.
In-Memory Database Solution
6. + Results
SK Telecom has the system performance to precisely check and act on customer balances1.
SK Telecom has the capacity to process customer usage on a per-second basis. This
dramatic shift provides substantial savings to customers igniting new marketing channels2.
Revenue loss resulting from undetectable free usage and uncollected negative balances are
eliminated.
Customers have access to their balances in real-time and without error.
Customer satisfaction, loyalty, retention and acquisition are maximized.
SK Telecom replaced its aging and expensive mainframe-based legacy system with an open
UNIX platform lowering TCO.
SK Telecom has the ability to efficiently integrate billing services for subscribers using
multiple services3.
1) The new system is 5.3 time faster than the legacy system with the added
benefits of High Availability (HA) and replication.
2) Per-second charging scheme saves SK Telecom customers an average of
14.5 million USD per annum.
3) SK Telecom acquired Hanaro Telecom in 2007 to offer internet services
with SK Broadcom division. In-Memory Database Solution
7. + Technical Details
SK Telecom achieved outstanding results with their new Real Time Rating
System (RTRS) by leveraging the key features of ALTIBASE HDB, specifically in
the areas of high-performance, high availability and open platform.
ALTIBASE HDB ALTIBASE HDBReplication
Rating Server 2
Oracle DBMS
Rating
Process
Rating Server 2
Rating
Process
In-Memory Database Solution
8. + ALTIBASE HDB Performance
Before the new RTRS, powered by ALTIBASE HDB, was put in production, SK
Telecom’s old billing and rating system was built and operated on a legacy IBM
mainframe with an IBM DB2 DBMS in the back-end.
The legacy system only allowed billing and rating processes to execute in
batch/day processing windows. Increasing number of subscribers and the
introduction of new services resulted in an unmanageable number of
database transactions, making batch-mode operation impossible.
Furthermore, new services (i.e. Pre-paid) came with additional requirements
demanding SK Telecom to detect and manage usage balances in real-time -
impossible with the legacy system. SK Telecom could only achieve a
throughput of 150 million calls a day while the system resource utilization was
maxed out.
In-Memory Database Solution
9. + ALTIBASE HDB Performance
SK Telecom designed its new RTRS using a combination of ALTIBASE HDB and
Oracle DBMS instances. ALTIBASE HDB was deployed in-memory DBMS mode
to host recent data (up to 3 months old) as a front-end to an on-disk Oracle
DBMS which was used as the repository for hosting historical data.
Data integration between ALTIBASE HDB and Oracle was achieved by using
Altibase’s OraAdapter tool. The new system allowed billing and rating
processes to execute in real-time. This real-time process was critical for pre-
paid services since SK Telecom had to accurately detect negative customer
balances.
In addition, the new system achieved a throughput of 450 million calls a day
while system resource utilization was only at 50%.
In-Memory Database Solution
10. Open Platform High Availability (HA)
With a mission-critical system built on a
legacy mainframe platform, SK Telecom
faced difficulties in several areas. Due to
high system procurement, upgrade and
ongoing incremental maintenance costs,
TCO was unmanageable. The legacy
system did not offer flexibility for new
application development. SK Telecom had
a pool of application developers and
administrators who were trained on
legacy mainframe systems, and the net
result was more wasted cost.
ALTIBASE HDB was the textbook solution.
As an open system, it allowed SK Telecom
to move to a UNIX based platform. As a
standards-compliant DBMS, it enabled SK
Telecom to take advantage of a readily
available, large pool of application
developers and administrators at low
cost.
Using the built-in replication feature, SK
Telecom implemented ALTIBASE HDB
based on Active-Active HA architecture. In
this architecture, there were two
instances of ALTIBASE HDB configured to
simultaneously service different rating
servers with improved reliability and
fault-tolerance.
In-Memory Database Solution
11. In-Memory Database Solution
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1. Average of 20 days from creation and delivery of customer bills.
1. Average of 20 days from creation and delivery of customer bills.
1. The new system is 5.3 time faster than the legacy system with the added benefits of High Availability (HA) and replication.2. Per-second charging scheme saves SK Telecom customers an average of 14.5 million USD per annum.3. SK Telecom acquired Hanaro Telecom in 2007 to offer internet services with SK Broadcom division.