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What is the role of data mining for the Telecommunication Industry?
The telecommunication industry has quickly evolved from providing local and long-distance telephone services to providing several other comprehensive communication services, such as fax, pager, cellular phone, web messenger, images, e-mail, computer and Web data transmission, and several data traffic.
The integration of telecommunication, computer network, the Internet, and several other means of communication and computing is also underway. Furthermore, with the deregulation of the telecommunication market in several countries and the development of new computer and communication technologies, the telecommunication industry is rapidly expanding and hugely competitive.
This makes a huge demand for data mining in order to support understanding the business involved, identify telecommunication designs, catch fraudulent events, create better use of resources, and enhance the quality of service. The following are a few methods for which data mining can improve telecommunication services −
Multidimensional analysis of telecommunication data − Telecommunication data are intrinsically multidimensional, with dimensions including calling-time, duration, location of the caller, location of the callee, and type of call. The multidimensional analysis of such data can be used to recognize and compare the data traffic, system workload, resource management, customer group behavior, and profit. For instance, analysts in the market can wish to regularly view charts and graphs concerning calling source, destination, volume, and time-of-day usage designs.
Fraudulent pattern analysis and the identification of unusual patterns − Fraudulent activity costs the telecommunication market thousands of dollars per year. It is important to identify potentially fraudulent users and their atypical usage patterns. It can detect attempts to gain fraudulent entry into customer accounts.
It can discover unusual patterns that may need special attention, such as busy-hour frustrated call attempts, switch and route congestion patterns, and periodic calls from automatic dial-out equipment (like fax machines) that have been improperly programmed. Some patterns can be found by multidimensional analysis, cluster analysis, and outlier analysis.
Multidimensional association and sequential pattern analysis − The discovery of association and sequential patterns in multidimensional analysis can be used to promote telecommunication services.
Mobile telecommunication services − Mobile telecommunication, Web and data services, and mobile computing are becoming increasingly integrated and common in our work and life. The feature of mobile telecommunication data is its relations with spatiotemporal data. Spatiotemporal data mining can become important for finding specific designs.
For instance, unusually busy mobile phone traffic at specific areas can denote something abnormal happening in these areas. Furthermore, ease of use is essential for enticing users to adopt new mobile services. Data mining will play a major role in the design of adaptive solutions allowing users to obtain useful data with relatively few keystrokes.
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