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October 8, 1999

HITACHI AND GMD FOKUS TO DEVELOP POLICY BASED IP METER SYSTEM

Hitachi, Ltd. and GMD FOKUS today announce that they are to develop a Policy Based IP Meter 
System as a core component of a new solution for next generation Internet services accounting.

From 1997, Hitachi, Ltd. and GMD FOKUS have been collaborating on developing new network 
technologies, such as Mobile Intelligent Agent technology and its application to network management 
systems, and Active Network Architectures for providing new network infrastructure.

Meeting in June 1999, the Hitachi and GMD FOKUS Executive Committee agreed that Hitachi and 
GMD have entered a new stage of R&D collaboration aimed at development of new Internet Protocol 
(IP) network technologies for next generation service provisioning platforms.  The first step towards 
the new stage is the collaboration on the development of Policy Based IP Meter Systems which are 
enabled by Hitachi's QoS guaranteeing technology for IP network and GMD's network metering 
technology.

Recently, IP as robust and global carrier protocol among multiple network technologies is gaining 
ever growing popularity not only among computer networking specialists but also among traditional 
telecommunication bodies.  Moreover, a range of new, value added services based on IP has 
emerged. Internet Service Providers (ISPs) face the challenge from customer demand for high quality 
of service (QoS) of, e.g. voice and video delivery over the Internet, reliability of all service 
components, and of course, more bandwidth.

To answer the growing demand for QoS, the Internet Engineering Task Force (IETF) is engineering 
the architecture that will provide both end-to-end QoS guarantees and robustness at the network 
backbone level.  Vendors have already been shipping QoS assured IP devices based on these 
architecture, and some of the ISPs have started providing value added services. As customers are 
ready to pay for service quality, it is being widely recognized that so called flat rate charging for 
Internet services is no longer appreciated by ISPs that support QoS assured IP.

The Policy Based IP Meter System will provide an efficient and economically viable solution for 
differentiated charging for QoS assured and other added value IP services. The Policy Based IP 
Meter System will consist of multiple, possibly heterogeneous meters controlled and configured by 
policy rules issued by ISP management software, and follows IETF standardisation efforts for real-
time flow measurements and policy framework definitions. The Policy Based IP Meter System will be 
also able to perform its measurement function in Gigabit routers without disturbing forwarding 
performance.  Furthermore, it will be able to flexibly react on a wide range of changes of IP traffic 
flow characteristics and charging requirements.

Instrumentation of the Internet with metering devices will bring benefits to all: to Internet Service and 
Content Providers, to backbone network operators, and to end-users. It will allow ISPs to offer their 
customers different classes of services (digital TV broadcasting, videoconferencing, IP telephony, 
distributed interactive gaming, and of course fast Web surfing) at competitive and fair prices. Value 
added services may be introduced in parallel to existing best-effort ones and their accounting will rely 
on actually used network resources. Network operators - typically traditional telecommunication 
companies - will benefit from the possibility to retain their legacy billing systems now receiving a new 
impetus with accounting for IP services running over their cables and fibres. Last, but not least, the 
Policy Based IP Meter System will allow large customers and single human end-users to validate and 
verify both the quality of consumed services and the would-be applied charge for these services.

The one year joint project, known as IPMM (IP Meter Modules) has started and produced preliminary 
results proving that the defined roadmap is promising and that the defined objectives will be met by 
the IPMM team in Hitachi and GMD FOKUS - Global Networking.

Mr. Mitsuhiko Kodaira, General Manager of Strategic PlanningĦĦof the Hitachi's Information & 
Telecommunication System Group, said: "The Policy Based IP Meter System proposed is very 
encouraging.  We expect it to be a technological trigger, boosting future IP network technology and 
solution." 

Prof. Dr.  Dr. h.c. Radu Popescu-Zeletin, Director of GMD FOKUS added, "we are very pleased with 
the scientific and the development results achieved so far within the Hitachi-GMD FOKUS co-
operation. The IPMM project will provide the basis for our collaboration towards the next generation 
Internet." 


Press Contact UK:-				Japan:-
Masao Takebayashi				Atsushi Konno
Hitachi Europe Ltd.				Hitachi, Ltd.
+44 1628 585000					+81 3 3258 2056
mtake@hitachi-eu.com				atskonno@cm.head.hitachi.co.jp


WRITTEN BY Secretary's Office
All Rights Reserved, Copyright (C) 1999, Hitachi, Ltd.