addressing the broadening of the mobile data market · PDF fileGPRS. EDGE. UMTS. HSDPA. ......
Transcript of addressing the broadening of the mobile data market · PDF fileGPRS. EDGE. UMTS. HSDPA. ......
LTE / EPC
Vivek
Badrinath
executive vice president networks, carriers, platforms and infrastructure
France Telecom
June, 29th
2009
addressing the broadening of the mobile data market
2
agenda
2France Telecom timeline for LTE3conclusion
LTE is part of our mobile broadband strategy1
4
LTE main characteristics
3services delivered through a consistent utilization of single technology family: GSM, EDGE, 3G (UMTS phase 1), HSDPA and HSUPA
France Telecom Orange has successfully delivered mobile broadband in Europe1
3G coverage of population, end of 1Q09
HSDPA launch date
HSUPA launch date
1Q0794%
1Q09
Orange UK
3Q0680%
2Q08
Mobistar
3Q0675%
1Q08
Orange France
2Q0683%
1Q08
Orange Spain
2Q0789%
4Q08
Orange Switzerland
4Q0653%
2Q08
Orange Poland
3Q0661%
4Q07
Orange Slovakia
4Q08
launched 4Q08
4Q08
Orange Moldova
2Q0747%
4Q07
Orange Romania
2Q07~70%
3Q08
Orange Austria
4
coverage and technology rollout for mobile broadband resulted on a rapid rise of multimedia usage
cumulated mobile data traffic in France, UK, Spain & Poland
data AUPU in mbytes
per month
1
10
100
1000
2G 3G/3G+
datacard
consumerdatacard
businessiPhone3G+ handset &unlimited
option
3G/3G+ handset
iPhone
EDGEonly handset
source: Orange France, 11/2008, active customers
penetration of broadband in mobile customer base
1
22
6
2
0
5
10
15
20
25
140
160
100
0
120
2008
122
2007
110
2005
14
98
2006
84
180
broadband out of total mobile (%)
mobile customers (in million)
note: broadband is EDGE / 3G / HSPA
mobile data traffic was multiplied by more than 5 over 2008 in the four major Orange countries
traffic growth driven by new HSPA capable devices and video / Internet based services
x ~ 5.5
12 / 2007 12 / 2008
5
10
100
1 000
10 000
100 000
1 000 000
1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014
mobile: capacity shared by users in a cell
moreover, fixed broadband capacity is dedicated to each line, whereas mobile broadband capacity is shared by all customers located in same cell
max. theoretical throughput (in kbps)
FTTH
VDSL2
ADSL2+
ADSL
GSM
GPRS
EDGE
UMTS
HSDPA
HSPA+
LTE
ISDN
mobile broadband is continuously advancing to cope with new usages, however always trailing behind fixed broadband1
fixed: dedicated capacity per line
6
within next 3 years, a combination of levers will help absorb mobile data traffic growth
corebackhaulradio access
beyond 2012, LTE offers an opportunity to benefit from higher spectrum efficiency, leveraging refarming and new allocation
higher spectral
efficiency
spectrum refarming
new spectrum
migration to IP
new routing
algorithms
RAN sharing
1
7
specification of a new standard required by
operators as early as 2004
technology requirements for mobile broadband beyond 20121
LTE / EPC is the answer to the new requirements
improved spectrum performance whatever the
band
increased throughput and reduced latency
converged voice and data all-IP end to end network
best use of all spectrum resources
current GSM and UMTS bands, but also new bands such as UMTS extension bands and digital dividend band
increased bandwidth requires new backhaul and core economics optimized for IP traffic
8
agenda
2France Telecom timeline for LTE3conclusion
LTE is part of our mobile broadband strategy1
4
LTE main characteristics
9
2G 3G LTE
packet
circuit
flat architecture
backward terminal compatibility
accessnetwork
core
network
packet
circuitpacket
RNC
nodeB
BSC
BTS
LTE eNodeB
LTE will bring significant improvements2
new radio interface, with —
various bandwidth (from 1.4 to 20 MHz)
—
improved efficiency compared to 3G (high throughput UL&DL, lower latency, higher cell capacity), providing tens of Mbps for a 20 MHz channel
packet only, no circuit mode in the standard
circuit : dedicated path between two terminals over which a communication session is established
packet : shared network which routes each packet independently from all others and re-assembles them at both terminals
10
radio efficiency is one key landmark of LTE
R99
2004
R5 3.6 Mbps
Rake
2006
R5.1 1.8 Mbps
Rake
2005
R5 3.6 Mbps
Rake
2007
R6 7.2 Mbps
LMMSE
2008
R6 14.4 Mbps
LMMSE
2009
R7 28 Mbps
MIMO 2X
2010
R8 LTE
MIMO 2X
2012
2
average carrier capacity multiplied by ~15 for higher throughput per user
round trip time divided by 5, allowing better response time and application interactivity
x ~ 15
÷ 5
11
yet, peak theoretical radio throughput does not directly translate into end user bandwidth experience
14.4
170
peak theoretical
radio throughput –
headline advertised rate
HSDPA 14.4
LTE R8in 20 MHz band ~ 1 -
35
2in Mbps
practical data rate
for a user, depending on: distance from transmitter*number of active users in the cell profile of services used
* higher data rates can be achieved if user is closer to the transmitter
~ 1 -
6
12
LTE is widely adopted by operators
supported by GSMA as the natural evolution for GSM/UMTS operatorsdeclared by NGMN as the technology closest to objectiveschosen by many EVDO operators, such as Verizon and KDDI
2only GSM and UMTS operators in Europe, committed to LTE
ongoing migration from GSM to UMTS, easily upward compatible with LTE
LTE is natural evolution path for current GSM / UMTS operators; furthermore significant EVDO operators (e.g. Verizon) are rolling out LTE, as there is no evolution path beyond EVDO
mostly GSM and / or UMTS operators, easily upward compatible with LTE
LTE will extend the GSM / UMTS world footprint, with greater economy of scale and wider roaming
13
delivering voice to LTE customers 2
target architecture
VoIP is to be steered by IMS, with efficient use of radio resources and IMS-enabled support of advanced servicesrich communication suite (RCS) trial in France
handover at the border of LTE coverage, SRVCC will provide hand-over with 2G and 3G coverage by same operator
roaming international roaming with 2G-3G networks is warrantedall LTE terminals will be multimode terminals, therefore at least benefit from voice service on legacy networks
interim solution
if LTE handsets were available before IMS deployment, interim solution would be to fall back on 3G network for voice, as standardized by 3GPP (use of CSFB)
14
impact on CAPEX and OPEX
reuse of radio site power and infrastructure
2flexibility of the roll out thanks to the fall back
on HSPA layer
HSPA coverage
flexibility on CAPEX for rollout
initial LTE rollout can focus on dense areas, on existing sites (co-sited with 3G), with an order of magnitude of €50-100 m CAPEX (excluding licence) for inner districts of two major French citiesfurther rollout will be driven by market demand
reduced OPEX
self-optimized network (SON)improved spectral efficiencyIP induced lower cost of transport per bit
LTE coverage
15
agenda
2France Telecom timeline for LTE3conclusion
LTE is part of our mobile broadband strategy1
4
LTE main characteristics
16
timeline for LTE deployment: current view for commercial launch around 2012
spectrum allocations
network equipment readiness
terminal equipment readiness
end-to-end quality of service
capacity constraints on
existing networks
2009 2010 2011 2012 2013
trialcommercial hardware &
software
3
early
devices data centric
devices smartphones
lab
tests commercial launch
for data services
customer
tests
datacard
base seeded with LTE compatible devices
network roll out
3GPP standards finalised
2.6 GHz awards
across
Europe digital dividend
available
release 8 release 9 release 10
marketing and economic requirements will drive commercial launch
Ora
nge
fact
ors
indu
stry
fact
ors
17
impact on CAPEX: typical phasing in European countries
3
2009 201120052003 2007
only maintenance
CAPEX on 2G
initial roll-out at 2.1 GHz, coverage extension with UMTS-900
2G
3G
LTE
CAPEX to sales ratio for mobile to remain approx. constant
18
4 conclusion
commercial launch only when LTE end to end customer experience
superior to the one with
HSPA+
LTE / EPC is the new horizon for mobile technology
on going efforts to resolve outstanding issues
higher spectrum efficiency
reduced latency
reduced costs thanks to flat architecture
compatibility with the GSM/UMTS family
modular roll out on the back of HSPA+
technology adopted by both GSM/UMTS and EVDO worlds
multimode device availability
open interfaces
SON features availability
easy roll-out of network equipment
19
glossary
20
glossary
(1)
3G UMTS Rel. 993G+ HSDPA, HSUPA, HSPA+AUPU Average Usage Per User BSC Base Station Controller BSS Base Station Sub-system CAPEX Capital ExpenditureCSFB Circuit Switched Fall-Back EDGE Enhanced
Data GSM EnvironmentEVDO Evolution Data Optimized (same family as IS95 and cdma2000)GSM Global System for Mobile communicationHSDPA High Speed Downlink Packet AccessHSPA High Speed Packet AccessHSUPA High Speed Uplink Packet AccessIMS Internet Protocol Multimedia
SubsystemIP Internet ProtocolLTE / EPC Long Term Evolution / Evolved Packet CoreLMMSE Linear Minimum Mean Square Error HoM/MIMO High-order modulations /Multiple-Input Multiple-Output NGMN Next generation mobile NetworksOPEX Operational ExpenditureRAN Radio Access Network
21
glossary
(2)
RNC Radio Network Controller
SON Self Optimized Network
SRVCC Single Radio Voice Call Continuity
UMTS Universal Mobile Telecommunications System
UTRAN UMTS Terrestrial Radio Access Network
VoIP Voice over Internet Protocole
WiMAX Worldwide Interoperability for Microwave Access