Moving Forward to a 3G Era

8/13/2019 Moving Forward to a 3G Era

1/71

Moving Forward to 3G Era

CMPak Regional HQ

Lahore, Pakistan July 19th,2


2/71

Introduction to 3G

3G Standardization

3G Business Model

3G Market in Pakistan

Content


3/71

July 23, 2012 3

Global Mobile Industry Analysis

Global mobile Subscribers keep fast growing since 2004, and the trend of the whole mobile communication industry is still

going on. Global mobile subscribers will reach to 6.2 billion by 2014


4/71

July 23, 2012 4

3G

Telecoms Golden AgeThe Broadband Drive!


5/71July 23, 2012 5

Customer Expectations: Better Experience

Simple and Convenient

At anywhere

On anytime With any terminal

Content

Multi-media

Personalized

Enjoyable User Experience

Quality Privacy

Security

My


6/71July 23, 2012 6

What comes with 3G?

Users in 20105,300,000,000

Users in 20102,000,000,000

Mobile Internet

Mobile Internet

Users in 201046,000,000

In 2015, 80% internet users will use mobilehandset to visit the internet.

Huge market potential in Mobile Internet Era

Prediction:Users in 2015

3,400,000,000


7/71July 23, 2012 7

Fast Growth of Mobile Broadband

Rich MobileInternet

Applications

PowerfulIntelligent

Terminal

2G3GLTE

2M/100M~200kFast

Access

SmartPipe

Simple

Application

SimpleData

Terminal

LowAccess

DumbPipe


8/71July 23, 2012 8

Mobile streaming basedTraffic MonitorWeb CAMvideo messagevideo mail

Subscribers Expectations: Enhance User Experience

LBS based APPMobile MAPMobile followingArea SMS

Convergent APPMobile searchMAP searchPicture searchRBT search

Video searchE-ticketMobile paymentTicket bookingMobile bankSMS Weather forecastRegister to hospitalRemind on calendarMobile StockRecommend marketplace

Download basedMobile GameMobile DownloadMusic full track download Message based APP

Message forwardingAD in-messagingMobile News PaperMessage signatureMMS Album

Voice based

Missed call alertIVR

Access Call

RBT basedMusic PlatformRBT CopyTime RBT

SMSC MMSC WAP GW Streaming MSC/CSCF USSD Facebook VMS Twitter Monitoring Web Cam

payment Search engine LBS IM Presence SS


9/71July 23, 2012 9

Advantage of Multimedia services helping increase ARPU Keeping customer loyalty and avoid user churn when combined with voice services

Personalized services and multimedia content ensures a betteruser experience

Communication

Important Role of Multimedia Services


10/71July 23, 2012 10

Development Situation of Mobile Broadband

0.1

1

10

100

1000

Cablemodem

ISDN

ADSL

ADSL2+

FTTH

VDSL

GPRS EDGE

UMTS

HSPA7.2

HSPA3.6

HSPA+

LTE

LTE+

Today FuturePast

Broadband Bandwidth: Fixed vs Mobile

Throughput(Mbps)

Subscribers of mobile broadband will increase at 400 million e

year After 2009 , total number is large than f ixed at 2010 and w

reach 1200million on 2012

--OVUMStrategy Analytics & Inte

Bandwidth of mobile reach 100 Mbps today, it is equal to

fixed access, which is still growing with new radio

access technology such as HSPA+ LTE, LTE+

Fixed

Mobile

MBB development is more fast than the fixed one


11/71July 23, 2012 11

Broadband Trend in Wireless Technology

Bandwidth in wireless network is increasing 10k100k1M10M100M

The interval of 10 times the bandwidth is getting shorter and shorter. The increasing in system capacity and frequency spectrum decreases the bearer cost of

packet service every bit.

Many kinds of wireless technology co-exists at the same time

IMT-Advan

4G

CDMA2000 Evolution

2001-2005 2006

HSDPA Phase I

1.8M/3.6Mbps

HSDPA Phase II

7.2/14.4MbpsHSUPA

2M/5.76Mbps

LTE

DL:100Mbps

UL:50Mbps

GSM/GPRS

EDGE171/384kbps

WCDMA

R99/R4384kbps

WCDMA Evolution

2007 2008 2009

HSPA+

DL >40Mbps

UL >10Mbps

1xEV-DO Rev. 0DL: 2.4Mbps

UL:153.6kbps

DO Rev. B(MC DO)

DL46.5Mbps

UL: 27Mbps

1xEV-D0 Rev. ADL: 3.1Mbps

UL: 1.8Mbps

CDMA 1X153kbps

2010 2011

IEEE802.16e70Mbps

IEEE802.16mDL:100Mbps

UL: 50Mbps

WiMAX Evolution

IEEE802.16d20Mbps


12/71

July 23, 2012 12

Voice Revenue Down vs. Data Revenue UP

CMPak should focus on non-voice service such as data

communication , broadband access and other IP/Packe

based services

Source: Ovum 2

Tips

Worldwide Mobile Revenue Forecast (2011~2014)

Asia Pacific Mobile Revenue Forecast (2011~2014)

Data as % of Total Mobile Revenue (2011~

Voice revenue shows continuous decreasing

while the data revenue keeps stable increasing

worldwide

Data Revenue will hit 32.86% of total Revenues

worldwide in 2014 The ratio of voice revenue of China Telecom was 74%

2005 and it lowered to 43.2% at the end of 2010

In some developed market , the portion of voice reve

falls to a lower levelsuch as35% by NTT in 2009


13/71

July 23, 2012 13

Pe

Telecom Developing Trend

Explosive growth

of PS

Voice servicegoes on

Internet pipe isstill the key!

In 2010 the global data was 60Billion Bytes that is expected to be doubleevery two year.

Packet Data traffic will grow 50 times in 5 years 95% of radio network will be bearing packet traffic.

Voice service will be no more dominant position in total revenue

Voice service will last for quite a long time

Pipe will contribute much to the income.

MBB is the future of telecom industry

With the IT and telecommunication revolution, core network should evolve accordingly
http://www.easyicon.cn/icondetail/508424/http://www.easyicon.cn/icondetail/508424/


14/71

July 23, 2012 14

GSM and UMTS are the Most Popular Technology531 GSM/EDGE Networks Launched

100% WCDMA Operators Have Upgraded to HSPA

410 UMTS/HSPA Commercial Networks Launched

GSM/UMTS/HSPA have already been the

global mainstream of mobile standard

GSM/EDGE: > 4940 Million

WCDMA: > 697 Million

HSPA: > 450 Million


15/71

July 23, 2012 15

UMTS/HSPA is the First Choice of Mobile Operator

Mobile Carrier Network

AT&T GSM/UMTS/HSPA

NTT DoCoMo PDC/UMTS/HSPA

China Mobile GSM/TD-SCDMA

T-Mobile GSM/UMTS/HSPA

Telefonica GSM/UMTS/HSPA

FT GSM/UMTS/HSPA

Vodafone GSM/UMTS/HSPA

TIM GSM/UMTS/HSPA

Sprint Nextel CDMA1x/EV-DO/WiMax

BT GSM/UMTS/HSPA

HSPA is the first choice for mobile data services.

8 operators of Global TOP10 select UMTS/HSPA as

its 3G mobile data network


16/71

July 23, 2012 16

HSPA/HSPA+ Dominates the Wireless Broadband

HSPA+ era is coming

The worlds first HSPA+ system was launched by Telstra

Australia on February 23rd, 2009.

Wireless broadband custom ers wor ldwide, by

techno logy, 20082015

HSPA/HSPA+ dominates in broadband market

170 HSPA+ Networks has Been Launched at The End of 2011

182 HSPA+ Devices Launched


17/71

July 23, 2012 17

Trend: HSPA+ /LTE Will Be The Future of Mobile Evolution

Yesterday

Now

Future

GSM/EDGEUMTS

HSPAHSPA+

LTE

2G/3G coexistence is mainstream170 HSPA+ Networks Launched in 69 Countries

182 HSPA+ Devices Launched by 11 Suppliers


18/71

July 23, 2012 18

Key Points Of Global Telecom Industry Trend

1. Mobile Broadband: Voice revenue shows continuous decreasing

while the data revenue keeps stable increasing worldwide.

2. Key Drivers of MBB: The of fast deployment 3G, 4G and LTE

networks,. Innovative subscription plans, Huge shipment of smart

terminals and rich multimedia services are the key drivers.

3. Data Service: Global Accelerating Trend of data service, Evolution

to high speed data service in some countries may be earlier than

we can imagine.


19/71

Introduction to 3G

3G Standardization

3G Business Model


Content


20/71


21/71

July 23, 2012 21

Standardization Organization of 3G

3GPP 3GPP2

IETFCWTS T1P1

TTA

TTC

ARIB

ETSI

ARIB

TTC

CWTS

TIA

TTA

Parlay

MWIF

UWCC

MPEGForum

MSF

WAP-Forum

W3C3GCF

LIF

TIPHON

IPv6

GSMA

GSA

3G.IP

ITU-RWP8F ITU-T

SSG


22/71

July 23, 2012 22

International Standardization

ITU (International Telecommunication Union) Radio standards and spectrum

IMT-2000

ITUs umbrella name for 3G which stands for International

Mobile Telecommunications 2000

National and regional standards bodies are collaborating in

3G partnership projects

ARIB, TTA, TTC, T1, ETSI .. etc

3G Partnership Projects (3GPP & 3GPP2)

Focused on evolution of access and core networks


23/71

July 23, 2012 23

The 3rd Generation Partnership Project (3GPP) is a collaboration

between groups of telecommunications associations, known as

the Organizational Partners.

The initial scope of 3GPP was to make a globally applicable 3G

mobile phone system specification based on the GSM

specifications within the scope of the IMT-2000 project of ITU.

Later on GPRS, EDGE, IMS was also included.

3GPP standardization encompasses Radio, Core Network and

Service architecture.

The project was established in December 1998.

3GPP


24/71

July 23, 2012 24

3GPP Organizational Partners

Organization Base region

Association of Radio Industries andBusiness(ARIB)

Japan

Alliance for Telecommunication IndustrySolution (ATIS)

USA

China Communication Standard

Association (CCSA)China

Europe Tlcommunication StandardInstitue(ETSI)

Europe

Telecommunication TechnologyAssociation (TTA)

Korea

Telecommunication Technology Committee(TTC) Japan

3GPP Organizational Partners

The six 3GPP OrganizationalPartners are from Asia, Europe

and North America.

Their aim is to determine thegeneral policy and strategy of3GPP.

Approval and maintenance of the3GPP scope.

Take the decision to create orcease a Technical Specification

Groups and so on.


25/71

July 23, 2012 25

3GPP Standards

21 series Requirements specif ication s

22 series Service aspects

23 series Technical realization

24 series Signall ing proto cols

25 series UTRA aspects

26 series Codecs

27 series Data

28 series Reserved for future use

29 series Signall ing proto cols (NSS)

30 series Programm e management

31 series UIM (User Identity Module)

32 series Operation and Maintenance

33 series Security aspects

34 series Test specif ication s

35 ser ies Algor i thms


26/71

July 23, 2012 26

3GPP specification work is done in Technical Specification Groups (TSGs) and

Working Groups (WGs).

There are four Technical Specifications Groups:

GERAN(GSM/EDGE Radio Access Network): GERAN specifies the GSM radio technology,

including GPRS and EDGE.

RAN(Radio Access Network): RAN specifies the UTRAN and the E-UTRAN.

SA(Service and System Aspects): SA specifies the service requirements and the overall

architecture of the 3GPP system. It is also responsible for the coordination of the project.

CT(Core Network and Terminals): CT specifies the core network and terminal parts of 3GPP.

It includes the core network - terminal layer 3 protocols.

The 3GPP structure also includes a Project Coordination Group, which is thehighest decision-making body. Its missions include the management of overall

timeframe and work progress.

Specification groups


27/71

July 23, 2012 27

Project Coordination Group


28/71

July 23, 2012 28

Technical Specification Group

TSG CN (Core Network)

WG1 (MM/CC/SM) (Iu)

WG2 (MAP/GTP/CAMEL)

WG3 (Interworking with external networks)

TSG RAN

WG1 (Radio Layer 1)

WG2 (Radio Layer 2 and Radio Layer 3 RR)

WG3 (Iub, Iur, Iu, UTRAN O&M

requirements)

WG4 (RAN performance, protocol aspects)

AHG1 (Ad-hoc group on ITU (internal) co-

ordination)

TSG SA

WG1 (Services)

WG2 (Architecture)

WG3 (Security)

WG4 (Codec)

WG5 (Telecom Management)

TSG CT WG1 (Mobile Terminal

Conformance testing)

WG2 (Terminal Services &Capabilities)

WG3 (USIM)`

ll f h


29/71

July 23, 2012 29

Spectrum Allocations for Third-Generation Systems

Work started in 1992 by World Administrative Radio Conference (WARC) of ITU.

A band around 2GHz was identified for the future IMT-2000.

Five air interfaces were defined for 3G based on either CDMA or TDMA.

The original target of the third-generation process was a single global IMT-2000 air

interface.

The same WCDMA air interface is deployed in Europe, Asia, Australia, in North and

South America and in Africa.

Most of the WCDMA deployments use the identified IMT-2000 spectrum around 2 GHz.

19201980 MHz for uplink

21102170MHz for downlink.

The first licences for that spectrum were granted in Finland in March 1999, followed by

Spain in March 2000. WCDMA will also be deployed in the existing second-generation frequency band

currently used by GSM or CDMA. That approach is called refarming.


30/71

July 23, 2012 30

3G Spectrum Definition in 3GPP

Band Uplink DownlinkDuplex

Mode

1 1920 MHz 1980 MHz 2110 MHz 2170 MHz FDD




5 824 MHz 849 MHz 869 MHz 894MHz FDD




9 1749.9 MHz 1784.9 MHz 1844.9 MHz 1879.9 MHz FDD


-- -- -- --

S d d
http://en.wikipedia.org/wiki/Service_layer


31/71

July 23, 2012 31

StandardsVersion Released InfoPhase 1 1992 GSM FeaturesPhase 2 1995 GSM Features, EFR Codec,

Release 96 1997 Q1 GSM Features, 14.4 kbit/s User Data Rate,

Release 97 1998 Q1 GSM Features, GPRS

Release 98 1999 Q1 GSM Features, AMR, EDGE, GPRS for PCS1900

Release 99 2000 Q1 Specified the first UMTS 3G networks, incorporating a CDMA air interface

Release 4 2001 Q2 Originally called the Release 2000 - added features including an All-IP Core Network[

Release 5 2002 Q1 Introduced IMS and HSDPA

Release 6 2004 Q4 Integrated operation with Wireless LAN networks and adds HSUPA, MBMS, enhancements to IMS suchPush to Talk over Cellular (PoC).

Release 7 2007 Q4Focuses on decreasing latency, improvements to QoS and real-time applications such as VoIP .This specification also focus on HSPA+ (High Speed Packet Access Evolution).

Release 8 2008 Q4First LTE release. All-IP Network (SAE). Introduce OFDMA and MIMO based radio interface, not backwacompatible with previous CDMA interfaces. Dual Cell HSDPA.

Release 9 2009 Q4 SAEs Enhancements, WiMAX and LTE/UMTS Interoperability. Dual-Cell HSDPA with MIMO , Dual Cell H

Release 10 2011 Q1LTE Advanced fulfilling IMT Advanced 4G requirements. Backwards compatible with release 8 (LTE). MuHSDPA (4 carriers).

Release 11Planned to2012 Q3

Advanced IP Interconnection of Services. Service layer interconnection between national operators/carriwell as third party application providers.

Release 12 Planned Content still open (as of January 2012).

3GPP V i R l d R d


32/71

July 23, 2012 32

SF

3GPP Versions Released Records

* 21.6Mbps using 64QAM and 28.8Mbps using 2*2 MIMO or DC

* * HSPA+ = 42 Mbps @ 64QAM + MIMO, 84 Mbps @ DC-HSDPA via change MIMO from 2X2 to 4X4 or use 4 Carriers .

LTE-A

LTE/SAEEnhance,

LTE-AdvFeasibilityStudy

Started

HSPA+Phase II,LTE/SAE

1stVersion

EPC BasicFrameworkdefined

HSPA+Phase I,

LTE/SAEFeasibility

Started

2X2 MIMO

DC

HSUPA,

MBMS,

WiLAN-UMTS

16QAM DL

2 ms TTI

2 SF2 + 2SF4 UL

HSDPA,

IMS

16QAM DL

BPSK UL

2ms TTI DL

10ms TTI UL

BICC,TD-SCDMA

QPSK DL

BPSK UL

CS & PS,R99 RadioBearers

10ms TTI

Main Function

50050UL

1000100+DLLTE/LTE-A

Mbps

11 or 2211.525.760.3840.3840.384UL

42 or 84**21.6/28.8 *14.414.40.3840.384DLWCDMAMbps

Mar 11Mar 10Mar 09Dec 07Mar 05Mar 02Mar 01Dec 99Frozen Time

Rel-10Rel-9Rel-8Rel-7Rel-6Rel-5Rel-4R993GPP

Network Evolution


33/71

July 23, 2012 33

GMSC

MSC/VLR

HLR

HLR DB

BSS

BSS

MAP

Other PLMN

MAP

2G 2.5G R99 R4 R5 R6 R7

A

Network Evolution

First digital Cellular Technology deployed in 1991

Pure CS like POTS/ISDN in Land Line worldOffer CSD services similar to analog modem

Offers data rates 2400/4800/9600/14400bps

HSCSD is Channel Bundling CSD

Bundles up till 4 GSM TS to achieve 38.4Kb

Network Evolution (C t )


34/71

July 23, 2012 34

GMSC

MSC/VLR

CS Domain

HLR

HLR DB

BSS

BSS

MAP

Other PLMN

Internet

SGSN

PS Domain

MAP

MAP

MAP

GGSN

IP

2G 2.5G R99 R4 R5 R6 R7

GbA

GTP

Network Evolution (Cont..)

First deployed in 1999.

A separate independent network to GSM using the same modulation/Channeling and Time Slot structure.Packet Switched not Circuit Switched , no need dedicated channel for bandwidth transmission.

Provide a IP bear for mobile network

EDGE use the same channel/bandwidth /TDMA as

Physical layer uses 8PSK instead of GMSK

Network Evolution (C t )


35/71

July 23, 2012 35

GMSC

MSC/VLR

HLR

HLR DB

BSS

BSS

MAP

Other PLMN

Internet

SGSN

MAP

MAP

MAP

RNS

CS Domain

PS Domain

GGSN

IP

2G 2.5G R99 R4 R5 R6 R7

Gb

Iu-PS

Iu-CS

GTP

Iu-CS interface based on ATM and Iu-PS interface based on ATM/IPAir interface adopts WCDAM interfaces providing higher access rates.

AMR introduces as voice codec.CS network adopts TDM as inter NE interface


UMTS Network Architecture


36/71

July 23, 2012 36

User Equipment

Radio NetworkSystem

Core Network

UMTS Network Architecture

UMTS System is consisting of Core Network (CN), UMTS Terrestrial Radio Access Network (UTRAN)

and User Equipment (UE)

RRC

Network Structure of R99


37/71

July 23, 2012 37

Network Structure of R991. Brand UTRAN is introduced in initial phase of

3GPP R99, to reduce the influence of UTRAN on

CN. Introduction policy of CN is developed from

GSM/GPRS CN.

2. In 3GPP R99, one RNC can only connect one MSC

or SGSN, resulting in low utilization ratio of

resources.

3. UTRAN is based on WCDMA radio interface

technology. Its signal bandwidth is 5 MHz. Its codechip rate is 3.84 Mbps. Its cell downlink service

bandwidth is about 2 M

4. From R99 version, WCDMA has differences from

GSM/GPRS in mobile management, including soft

handover, Iur interface, re-positioning, handover

and reselection between 2/3G.

5. UTRAN in R99 versions adopts TDM and ATM.

Network Evolution (Cont )


38/71

July 23, 2012 38

HLR

HLR DB

BSS

BSS

MAP

Other PLMN

Internet

SGSN

MAP

MAP

MAP

RNS

MGW

MSC Server

MGW

GMSC Server

CS Domain

PS Domain

GGSN

IP

2G 2.5G R99 R4 R5 R6 R7

Iu-PS

Iu-CS

GTP

Control and bear separate in CS domain.CS domain adopts IP and ATM apart form TDM interface

BICC introduced QPSK DL and BPSK UL


R4 Changes

GiPSTN Gp

PSTNPSTN


39/71

July 23, 2012 39

R4 Changes

1. During the evolution from R99 to R4, CN

realizes the separation of CS domain control

layer and transmission layer.

2. R4 version has no large change in radio access.

3. UTRAN in R4 versions adopts TDM and ATM.

4. In 3GPP R4, one RNC can only connect one MSCor SGSN, resulting in low utilization ratio of

resources.

5. CN in R4 version successfully introduces the

base of IP transmission technology.

BSSBSC

RNSRNC

CN

Node B Node B

IuPS

Iur

Iub

USIM

ME

MS

Cu

Uu

MSC server SGSNGs

GGSNGMSCserver

GnHSS(HLR)Gr

GcC

D

Nc

HEIR

F Gf

IuCS

VLRBVLR

G

BTSBTS

Um

R

Abis

SIMSIM-ME i/f or

MSC serverB

PSTN

cell

CS-MGWCS-MGW

CS-

MGW

AuCNb

T-SGW R-SGW

Mc Mc

Nb

Nc

Mc

Mh

AGb

E



40/71

July 23, 2012 40

HSS

HSS DB

BSS

BSS

MAP

Other PLMN

Internet

GGSN

SGSN

MAP

MAP

MAP

IP

RNS

MGW

MSC Server

MGW

GMSC Server

IMS Domain

P-CSCF

S-CSCF

CS Domain

PS Domain

IM-MGW

MGCF

MRFP

MRFC

2G 2.5G R99 R4 R5 R6 R7

SLF

Iu-PS

Iu-CS

GTP

All IP InterfacesPS domain overlaid with IMSHSDPA introduced




41/71

July 23, 2012 41


R5 CN adds IMS (IP Multimedia Subsystem)) basing on

SIP (Session Initiation Protocol)

In R5, Iu-Flex is introduced between CN and UTRAN, realizing

the UTRAN resources sharing among several nodes of one

operator. It saves the cost on UTRAN and substantially

develops the network sharing technology.

In R5 version, HSDPA is introduced. It adopts 16 QAM

modulation mode, which greatly increases spectrumutilization ratio. Cell downlink peak rate reaches 14 Mbps. In

the field, the system support.

3GPP UTRAN in R5 version also introduces IP transmission

technology. IP transmission is a selective technology of

UTRAN and it makes UTRAN transmit based on IP core

switching network. As a result, flexibility of transmissionnetworking is increased and construction cost of operators is

reduced. IP transmission is also UTRAN transmission

development trend.

SGSN

GGSN

MGW MSCS/

VLR

MGW GMSCS/

VLR HSS

IMS-MGW MGCF

CSCF SGW

PSTN

N

Inte

RAN

CSPS

IMS



42/71

July 23, 2012 42

HSS

HSS DB

BSS

MAP

Other PLMN

Internet

GGSN

SGSN

MAP

MAP

MAP

IP

RNS

MGW

MSC Server

MGW

GMSC Server

IMS Domain

P-CSCF

S-CSCF

CS Domain

PS Domain

IM-MGW

MGCF

MRFP

MRFC

2G 2.5G R99 R4 R5 R6 R7

SLF

PDG

AAAAAA Server

I-WLAN

WLAN

WAG

Iu-PS

Iu-CS

GTP

( )

Interworking with WLAN and othermultimedia network.

HSUPA & MBMS Services introducedCapability of IMS network enhances tosupport conference Services.


43/71

Flatter Architecture


44/71

July 23, 2012 44

Flatter Architecture

SGSN

GGSN

RNC RNC

NodeBNodeB NodeB

NodeB

RNCRNC

SGSN

GGSN

SGSN/MME

GGSN/SAE-GW

eNodeB

eNodeB

Step 1 DTS is introduced in PCN: SGSN is in charge of signaling processing only, packets aretransferred from GGSN to RNC directly.Step 2 Flatter architecture in RAN: RNC and NodeB is integrated to eNodeB for LTE and HSPA+

Smooth Evolution of Mobile Network


45/71

July 23, 2012 45

IMS

Circuit Core Legacy Packet Core Evolved PacketCore

Core Network

2G

Phase Out over time

LTE Non-3GPP

Voice Service Network(PSTN etc.)

Packet Service Network(Internet, Operator data service)

Service Network

3G

To pure EPS

LTE

3G

2G

Leverage Existing Equipment for Smooth Migration via ZTE Uni-RAN an

Uni Core Solution


46/71

July 23, 2012 46

Uni-Core Solution

ZTE GGSNZTE SGSN

ZTE HLR

S1S1 IuGb/A Gb/A

Resource is shared by each RAT flexibly, Dynamical capacity transfer from 2/3G to LTE.

ZTE MGWZTE MSCS

ZTE uMAC:MME

ZTE HSS ZTE xGWSAE-GW

ZTE IM-MGWZTE MGCF

SGi

CS

Core

PS

Core

I

C

E

Iu

IP is supported by legacy network, Multi-access is supported by EPC,

LTEUTRAN/GERAN UTRAN/GERAN

ZTE uMAC:SGSN+MME

ZTE HSS/HLR

ZTE xGW:GGSN+SAE-GW

EPC+2/3G PS

ZTE MGWZTE MSCSCS

Core

LTE

The Future Belongs to Mobile Broadband


47/71

July 23, 2012 47

1. Open Standard: 3GPP is focusing on 3G evolution of GSM &

UMTS standardization.

2. Future is All-IP : Open, Flat & Converging LayeredArchitecture.

3. Smooth Evolution to the future Network: This can be guaranteedby unified hardware platforms providing smooth evolution to the

future network architecture.

Content


48/71

Introduction to 3G

3G Standardization

3G Business Model


Overview of 3G Business Model Evolution


49/71

July 23, 2012 49

3G Module

Inside

App 1

App 2

00:00

App 5

Thin TerminalSmart phone

USB Dongle

3G

Mobile Handset Apps

Mobile VoIP

Portal of Digital-to-real

Revenue Sharing

Cloud Computing

Internet of ThingsInternet Access on Laptop

Business Model Revolution New Opportunity

M2M

Phases

Application

Terminal

Business

Model

Access Charge

Service Charge

Cloud Computing Connectio

M2M Connection

Time

Telcos Role in the Coming 3G Era: Pipe + Platform


50/71

July 23, 2012 50

Telco would be an open platform for telecom services instead of Dumb Pipe.

Telco would integrate unique abilities of SP/CP, terminal vendors, relevant industries to developservice timely.

Telco would integrate customer segmentations by understanding different customer patterns

Integration of

Customers

SP/CP

RelevantIndustries

Terminal

Telco

Integration of

Developers

IT Industry

Telecom

Industry

Media Industry

Others

PC

PC Game

Internet

LAN

Web

E- commerce

Finance

Government

Transport

Manufacture

Agriculture

TV

Film

Music

Newspaper

WLAN

PSTN

2G

3G

Broadband

New Business Model : Supermarket


51/71

July 23, 2012 51

SP

CP

Partners

SP, CP =Vendors Operator = Supermarket Brands

Consumers

Ent

erprises

Users

Challenge Faced by the Operator and Vendors
http://images.google.cn/imgres?imgurl=http://fuentesdeciencia.files.wordpress.com/2009/09/carrefour_logo.jpg&imgrefurl=http://fuentesdeciencia.wordpress.com/2009/09/01/bolsa-caca-carrefour-comienza-a-retirar-las-bolsas-de-plastico/&usg=__mY6n13CrK_e8XvnhbCifM_JIJgk=&h=475&w=612&sz=25&hl=zh-CN&start=1&um=1&itbs=1&tbnid=QmXrN_HfEqFLLM:&tbnh=106&tbnw=136&prev=/images?q=carrefour+logo&hl=zh-CN&sa=G&um=1&newwindow=1


52/71

July 23, 2012 52

To be a dump pipeNeed to seek a new operation mode

Simple monthly charging drives P2P applications, which are occupying lots of Internetbandwidth. So, only expansion does not solve the problem.

Few subscriber use most of the network resource . Some P2P abuse users affect other user'sexperience.

Service traffic control becomes the key of success for operators. refined management ofdifferent users is inevitable.

P2P Throughput

Other

Services

Reconstruct the Value Chain


53/71

July 23, 2012 53

With own portal, telecom operators would have the same on value distribution, sothat enable introducing new revenue model

Value

Portal of Digital-to-Real

Tri-polarized Value

Chain

Industry Chain

Terminal Provider Service ProviderOperator

Dual-polarized Value

Chain

Indispensable sector

Pipe

Take Control Of Value Chain


54/71

July 23, 2012 54

LTE

UMTSGPRS

Fixed WiMAXWLAN

WAP/MMS

PCRF/SPR UBAS

Gy/Gz

OCS/OFCS

Enterprise

Other Services

Deep Packet Inspection

PDSN/SAE-GW Integrates dedicatedDPI chips for content charging and

service control, and provides PCC

features.

PCRF and SPR provide dynamic policiesmanagement and decision based on

subscriber and service information.

UBAS analyze user service behavior andstatistics of SP and services to provide

the information for Fine operation.

GW/DPI PCRF/SPR UBAS

OCS/OFCS provide chargingmanagement based on L3~L7 servi

content.

OCS/OFCS

Gx Reporting Interface

Operator

Users

Users

Users

Users

In-Built High Performance DPI Engine

ZXUN xGW(GGSN/PDSN/HA/SAE-GW)

CDMAEVDO

Fair Usage of the Network Resource Policy


55/71

July 23, 2012 55

User 4

10%

User 3

12%

Other

18%

User 1

52%

User 2

8%

User 2

19%

User 1

24%

Other

18%

User 3

20%User 4

19%

FUP

Few user Occupy Most Resource Fare Usage of the Network Resource

PCRF

GW

PolicyUsage

Internet/ISPUser 1

User 2

When user consumed lessthan threshold ,user got hispre signed Qos Level

When the usage more thanthreshold ,lower the user QLevel so as to control the

usage of the resource

Some time based packagewithout throughput limit attractlots of user for operators.

Few users occupy mostnetwork resource by someservice(like P2P)

Operators faced huge pressure

for n/w expansion, but withalmost no revenue increase

Issues Faced Normal Solution

By ZOOM, Operator can dynamic adjust user QoS level by usage ofthe network resource, realize the FUP

Known the Network BetterKnow Your Users Better


56/71

July 23, 2012 56

CELL B

UBAS Report: Expand Capacity in cell B

CELL A

PCRF Policy: Allow P2P service in cell A

PCRF Policy: Limit P2P service in cell A

UBAS Analysis 3: Location: Cell B-Square

Traffic congestion affectsuser experience

UBAS Analysis 2: Location: Cell A-Business

Center Network is in a light load

UBAS Analysis 1: Location: Cell A-Business Center P2P consumes too much

bandwidth interfering work

efficiency

Busy cell detection

Finding hot spot by cell analysis

Service Control

Provide Qos indication to PCCaccording to cell state

Expansion more Precisely

GW: Allow P2P service in cell A

GW: Limit P2P service in cell A


57/71

July 23, 2012 57

How To ZOOM In to Your Network?


58/71

July 23, 2012 58



59/71

July 23, 2012 59



60/71

July 23, 2012 60

Optimize and Accelerate Your Contents


61/71

July 23, 2012 61

3G Providing A New Business Model


62/71

July 23, 2012 62

1. Operate Network Like Super Market: Provide Unified Vendor

Management , Unified Portfolio, Unified Brand.

2. Operate the Network Intelligently:Know your internet pipe,

share the revenue with the SP/CP.

3. Implement Police control : Fair Usage for Every one, Treat VIP asVIP. Make the contents as close as possible to access.

Content


63/71

Introduction to 3G

3G Standardization

3G Business Model


Basic Information of Pakistan


64/71

July 23, 2012 64

Source: CIA World Factbook

Graphs to be substituted by specific case

Population : 190,291,129 (July 2012 est.)

Annual growth rate: 1.551% (2012 est.)

Age structure

0-14 years: 35.4%

15-64 years: 60.4%

65 years and over: 4.2%

Religions : Muslim 95% (Sunni 75%, Shi'a 20%),

other (includes Christian and Hindu) 5%

Population grows very fast, youth is still the important group

Mobile penetration has a large potential space. In Asia, penetration in a lot of countries have exceed 100%

UMTS Subscription Potentials in Pakistan


65/71

July 23, 2012 65

Rapid growth from the second year, reaching to 13.78 million in 2017

Source: Ovum, ZTE Analysis, 2012

Million

Market Share of Mobile Subscribers in the Country


66/71

July 23, 2012 66

3G will be the key driver for CMPak to be the leading operator in Pakistan.

Decreasing Mobile ARPU


67/71

July 23, 2012 67

39 3528 24 22 21 21 21

156

128

112100

93 88 85 82

233

200182

168158

150143 138

$0

$50

$100

$150

$200

$250

2008 2009 2010 2011 2012 2013 2014 2015

Annual Mobile ARPU Trend

Pakistan

Asia-Pacific

World

ARPU decreased fast, 3G service can prevent the drop of mobile blended ARPU, and may

improve ARPU after 3 years

Source: Ovum, 2012

Competitors analysis for CMPak


68/71

July 23, 2012 68

Market Position

Market Leader

Cover all segmentation

Dominate high-end market

Widely expand in middle-low end market

Market Challenger

Go all out to snatch incremental low-endmarket

Penetrate into middle-end market

Competition Advantage

Good coverage and netw

quality

Good services

Strong brand influence

Low tariff

Attractive promotion

Operators

Low tariff

Launched Big Promotion

Market Challenger

Low market share

SWOT of CMPak


69/71

July 23, 2012 69

Opportunities & strengths Weaknesses & Threats

Market Growth

Fastest subscriber base

Fast growing mobile needs .

Emerging Broadband data market with

the auction of 3G license in the near

future.

Low ARPU market

Investment pay-off pressure

Competitive

Environment

The 4th position in market share, but

user are increasing very rapidly.

Fixed local loops for data service are

not prevalent

Pakistan is one of the most vibrant and

competition telecom market in the world

Competitors3G to be launched, time

window is short

Regulation

Stable regulatory environment with a

clear licensing framework

Same environment to competitors

To be or not to be , 3G is Coming!!!


70/71

July 23, 2012 70

1. 3G has Huge Potential in Pakistan: Pakistan being a young

nation provides great opportunities for 3G. Big competitionexpected among Telecom operators.

2. 3G improve ARPU:Operators can provide MBB services that will

help them to control the churn and stabilize ARPU.

3. 3G can increase user base for CMPak :The operator can increase

its subscriber base via providing innovative MBB services.

Moving Forward to a 3G Era

Documents

Transcript of Moving Forward to a 3G Era