February 2005
3G UPDATE
3G Update
February 24, 2005
Ming LiVP, Southeast Asia and Pacific
Qualcomm International
February 2005
3G UPDATE
• Internet (enabled by IP, DWDM optical transmission, and broadband access)
The Mega-Trend in Communications
• Wireless mobility and wireless broadband
• Coming together of multimedia and the above
February 2005
3G UPDATE
Worldwide Mobile Subscriber Growth
February 2005
3G UPDATE
How Does Cellular Network Work
Base station (BTS)
Cell
BSC
BSC
BSC
BTS
BTS
BTS
MSC MSC
Cell
Core Network Access Network
Air link RF
handset
handset
February 2005
3G UPDATE
Mobility Technology Development
80’s Analog (TACS, AMPS) 1G
90’s Digital Voice(GSM, TDMA, CDMAone) 2G
00’s Multimedia(GPRS) 2.5G(EDGE) 2.75G(WCDMA/UMTS/3GSM, TD-SCDMA, CDMA2000) 3G
February 2005
3G UPDATE
CDMA2000 1xCDMA2000 1xMore Capacity, High Speed Data
Capacity/Quality
Roaming
Mobility
AMPS
TDMAGSMPDC
cdmaOneIS-95A
cdmaOne IS-95B
cdmaOne IS-95B
Medium Speed Data
Multi-ModeMulti-Mode
Global Roaming
1G 2G IMT-20002.5G
Multi-BandMulti-Band
Multi-NetworkMulti-Network
GPRSGPRS
CDMA2000 1xEVCDMA2000 1xEV
WCDMAWCDMA
Key Drivers for Mobile Market
Time
February 2005
3G UPDATE
Technology and Spectrum Relationship
• Any technology can run on any spectrum but infrastructure and handset availability determined the spectrum used.
• Spectrum that commonly used for CDMAone and CDMA2000 450MHz
800MHz1900MHz
• Spectrum that commonly used for GSM 900MHz1800MHz1900MHz (Americas)
• Spectrum that commonly used WCDMA/UMTS2100MHz
February 2005
3G UPDATE
In 1999 ITU defined key requirements for IMT-2000 services, more commonly known as 3G
IMT-2000 requirements:Improved system capacity, backward compatibility with second generation (2G) systems, multimedia support, and high speed packet data services meeting the following criteria:
2 Mbps in fixed or in-building environments 384 kbps in pedestrian or urban environments 144 kbps in wide area mobile environments Variable data rates in large geographic area systems (satellite)
* ITU approved IMT-2000 terrestrial radio interfaces
3G Technology Choices
ITU approved family of standards that meet IMT-2000 criteria*--
February 2005
3G UPDATEGlobal IMT-2000 EvolutionGlobal IMT-2000 Evolution
GSM
PDC (Japan)
CDMA2000 1xEV-DO
2002 2003 2004 2005 2006
FOMA (WCDMA)
Voice
CDMAone
UMTS (WCDMA) HSDPA
EDGE
GPRS
TDMA
New bandNew band
New bandNew band
= 3G
CDMA2000 1XDoubles voice, same bandwidth
1xEV-DV
3.1 MbpsRev A
3.1 Mbps
Voice
154 KbpsRev 0
384 Kbps
2.4 MbpsRev 0
12-14 Mbps
307 KbpsRev A
February 2005
3G UPDATE
Approximate transfer timesfor a 3 minute MP3 song file
How Fast is Wireless Mobile?
Download TimeAir Interface Data Rate In Seconds GSM 9.6 kbps 2466 (41 minutes) ouch!IS-95A CDMA 14.4 kbps 1852 (31 minutes)
GPRS 45 kbps 526 (8.8 minutes)IS-95B CDMA 64 kbps 364 (6 minutes)EDGE 80 kbps* 295 (5 minutes)
CDMA2000 1X 144 kbps** 161 (2.7 minutes) with 1.25 MHz
WCDMA 384 kbps*** 61 (1 minute) with 5 MHz
1xEV-DO 2.4 Mbps 11 (0.2 minutes) with 1.25 MHz
* Maximum data rate of Nokia 6200 EDGE phone on AT&T Wireless network, as of May 20, 2003** Peak data rate for first commercial release of 1x MC terminals will be 153.8 kbps*** At launch of service, the WCDMA’s reverse link will only support 64 kbps
February 2005
3G UPDATE
WCDMA vs. EDGE
0
20
40
60
80
100
120
140
160
180
1 2
Ave
rag
e T
ran
sfer
Rat
e (k
bp
s)
EDGE
WCDMA6060
8080
160160
130130
• WCDMA can achieve peak data transfer rate at 230 kbps and 180 kbps during WCDMA can achieve peak data transfer rate at 230 kbps and 180 kbps during Normal Hour and Peak Hour, respectivelyNormal Hour and Peak Hour, respectively
• EDGE usage is lightEDGE usage is light• Tests conducted in HK in Aug 2004Tests conducted in HK in Aug 2004
(was 180 in Feb)
(was 170 in Feb)
February 2005
3G UPDATE
3G Network Increased Voice Capacity
Lower Cost Voice Drives Minutes of Use
February 2005
3G UPDATE
QUALCOMM Corporate Overview
QUALCOMM develops, delivers & enables innovative digital wireless communications products & services
Pioneer of CDMA technology
Established 1985 in San Diego, California
$4.9B revenue in FY 2004
Over 7,000 employees
Offices in 21 countries
Market cap at US$50B+
Major business : technology licensing and chipset
Over 3,200 patents (issued and pending)
World’s largest fabless semiconductor company
February 2005
3G UPDATEQualcomm’s Unique Patent Position
February 2005
3G UPDATE
3G Operators
• As of Jan 12, 2005, there were 125 commercial 3G networks in 56 regions
• CDMA2000 1x : 73 operators CDMA200 1x EV-DO : 13 operators WCDMA : 43 operators
Source : 3gtoday.com
February 2005
3G UPDATE
• SKT is the biggest 3G operator with 17M+ subscribers as of Dec 2004
3G Operators (continue)
• In Oct 2000, SK Telecom launched the world’s 1st commercial 3G network based on CDMA2000 1x
• DoCoMo launched world’s 1st WCDMA 3G network (FOMA) in Oct 2001
• Hutchison 3 launched “real” WCDMA services in Italy in March 2003
• In Greater China region :China Unicom CDMA2000 1x (Jan 2002)APBW Taiwan CDMA2000 1x (July 2003)Huchison 3 WCDMA (Jan 2004)
February 2005
3G UPDATE
Global 3G Subscriber Growth
February 2005
3G UPDATE
Is 2G To 3G an Upgrade or a Migration?
For CDMAone (2G) to CDMA2000 (3G) is an upgrade.• Swap channel cards inside the BTS and do a software upgrade.• No need to change frequency band.• Original 2G handsets can continue to obtain voice service over the new 3G network.
For GSM (2G) to WCDMA/UMTS (3G) is a migration.• Re-build entire access network at different frequency band. Operator needs to maintain two access networks (i.e. GSM network for 2G and WCDMA/UMTS network for 3G).• GSM handsets supported by GSM network; WCDMS/UMTS handsets supported by WCDMA network; while there is no WCDMA coverage, it will be switched to GSM network for voice service only.
February 2005
3G UPDATE
What Caused the Delay of 3G WCDMA/UMTS?
• Huge spectrum fee drained capex investment
• Over optimistic towards product development time
• Immature product (hardware as well as software)
• Interoperability challenges
• Lack of volume to drive down handset cost at the initial stage
• Total rebuild of the wireless access network is costly
February 2005
3G UPDATEChip Set Integration
Reduce size, cost and battery consumption
February 2005
3G UPDATE
Over 614 3G CDMA/WCDMA device models have been commercialized by 56 vendors
February 2005
3G UPDATE
Initial Milestones Impacting 3G Subscriber Transition
February 2005
3G UPDATE
WCDMA is Now On The Move
Hutchison has been the driver of 3G WCDMA.DoCoMo is the largest WCDMA operator with 9M subscribers.
Estimated 15M+ WCDMA Subscribers globally at 2004 year end
36 WCDMA operatorsLaunched services
February 2005
3G UPDATE
Wireless Growth Driver : 3G Devices
February 2005
3G UPDATE
Batteries: The Key Technical Constraint
February 2005
3G UPDATE
Mobile Phone Processor Power Today Compares to PCs of 1990’s
February 2005
3G UPDATE
Mobile Phone Memory TodayCompares to PCs of 1990’s
February 2005
3G UPDATE
2003 Camera Phone Resolution Exceeds 1999 Digital Cameras
February 2005
3G UPDATE
Your Mobile Device Will Do It All For You
February 2005
3G UPDATE
February 2005
3G UPDATE3G Providing New Applications
From commoditized voice to differentiated data services
Shopping Mall
February 2005
3G UPDATE
3G Data Services Improves Operator ARPU
February 2005
3G UPDATE
February 2005
3G UPDATE
Success Factors for 3G
Seamless Coverage• Need broad coverage for consistent provision of
services
Data Rates to Meet Throughput Requirements
• Video telephony – 64-384 kbps
• Video and audio streaming – 32-384 kbps
Handsets
• Availability of wide range of devices
• Functionality: color displays, MP3 players, MPEG4, integrated cameras, GPS, voice recognition
• Low prices (reaching below $200)
• Battery life = 2G/2.5G Phones
Content
• Mass market: Multi-media messaging, downloadable ringtones, games
• Wide range of applications for market segments
• Enterprise: Real-time access to email and Intranet
• Partnering with leading content providers
Pricing• Understandable, Affordable, flexible
• Offer flat pricing, and range of data services
February 2005
3G UPDATE
Thank You !