Challenges in moving towards the Next Generation of Fixed and Mobile Networks
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1 Challenges in moving towards the Next Generation of Fixed and Mobile Networks Fulvio Ananasso Director of Studies, Research & Education F.Ananasso MTR&CL Brussels, 28 January 2010
2 AGCOM 2009 Research Program Ultra BroadBand Infrastructures & Services (ISBUL) Objective: paving the road to AGCom permanent presidium on technological, juridical, economic, aspects in Ultra Broad Band Next Generation Access Network infrastructures (UBB - NGAN): Fiber To The x (FTTx) Access in NGAN Development Broadband Wireless Access (BWA) Digital Dividend Radio Spectrum below 3.5 GHz Net Neutrality & Telecommunications Infrastructures Security Audiovisual & Media Contents Normative Aspects / Civil Works / Ducts & Infrastructures Sharing Economic Aspects, Business Planning and Financing Options Public Private Partnership (PPP) Investments Impact of Regulation on Economy;. F.Ananasso MTR&CL Brussels, 28 January /24
3 The AGCOM Research Programs The ISBUL Research Program (2009) addressed juridical, technical and economic aspects of Infrastructures and Services for Broadband and Ultra-Broadband Networks ISBUL has been carried out by AGCOM in collaboration with several Italian Universities: - Milan (Bocconi and Polytechnic) - Naples (Federico II) - Rome (LUISS, Roma Tre, Sapienza e Tor Vergata) - Siena - Polytechnic of Turin - Imperial College (London) The SCREEN Research Program (2010) subject to approval by AGCOM Council - will focus on Services and Contents for Next Generation Network F.Ananasso MTR&CL Brussels, 28 January /24
4 ISBUL Program Work Breakdown Structure F.Ananasso MTR&CL Brussels, 28 January 2010
5 basic BroadBand (bbb): 2 Mbps to everyone copper local loop - best effort / no QoS, typically asymmetric (up / downstream) e-government; e-banking; basic e-health / e-education / e-home; wireless possible also anti digital divide (rural / underserved areas) extended (or Fast) BroadBand (ebb / FBB): 7 20 Mbps symmetry / QoS / speed not guaranteed (focus on average speed) copper local loop (FTTC) - ATT, Qualcomm, Belgacom, BT,. web 2.0, photo / file transfer, fair quality TV, music, videoclips,.. wireless possible (HSPA, LTE, ) caveat on # of users in the cell Ultra (or Super Fast) BroadBand (UBB - SFB): > 30 Mbps, trend Mbps -- QoS / speed / link symmetry guaranteed substantially optical technologies wireless breakthroughs possible Radio over Fiber (RoF) outdoor islands Femtocells (with FTTH) Broadband-vs vs-ultrabroadband in general terms: BB < ~10 0 Mbps; UBB > ~30 Mbps F.Ananasso MTR&CL Brussels, 28 January /24
6 Context Delivery Architecture (CoDA) [2018]. Context-aware computing", "context-enriched services SOA evolution. Augmented Reality (AR) [~2020]. Technologies superimposing computer-generated virtual reality to the real one perceived by the user to provide augmentation of information on the real environment through virtual objects. Green IT (green computing) [ ]. Novel computing paradigm dealing with Society complex problems, aiming at reducing pollution and energy consumption, improving electronic waste disposal and quality of life e.g.ftth / FTTB are Green IT broadly speaking Cloud Computing Some UBB Applications Advanced Teleconferencing ( telepresence ) F.Ananasso MTR&CL Brussels, 28 January /24
7 Advanced teleconference ( telepresence ) F.Ananasso MTR&CL Brussels, 28 January /24
8 Next Generation Access (NGA) is the access layer of fiber network, usually referred to as Next Generation Network (NGN) NGA throughput is usually higher than Mbit/s: the architectural model is FTTx (Fiber To The x) for fixed network and mobile backhaul for 3G / 4G (HSPA and LTE) in mobile network. Some issues: FTTx Architecture Technology (GPON-vs-P2P) Copper Network replacement Network Interconnection & Infrastructure sharing Next Generation Networks F.Ananasso MTR&CL Brussels, 28 January 2010
9 Copper-vs vs-fiber Optics Curb xdsl: xdigital Subscriber Line Home NT: Network Termination OLT: Optical Line Termination Local Exchange Cabinet Building copper ONU: Optical Network Unit UNI: User Network Interface UNI OLT NT FTTEx ADSL OLT ONU NT FTTCab ADSL/VDSL OLT ONU NT FTTC/ FTTB VDSL OLT fiber NT ONU FTTH F.Ananasso MTR&CL Brussels, 28 January /24
10 Capital & Operating Expenditures (CapEx / OpEx) CapEx: substantially (60%-80%) civil works costs home passed / connected OpEx: NTT / Verizon: 40-60% OpEx decrease with FTTH networks w.r.t. copper local loop F.Ananasso MTR&CL Brussels, 28 January /24
11 Aerial Access Network (Japan) F.Ananasso MTR&CL Brussels, 28 January /24
12 Metropolitan Network (optical fiber) SGU / SL OLT ODF Exchange DF Distribution Frame GPON Gigabit Passive Optical Network ODF Optical Distribution Frame OLT Optical Line Termination ONT Optical Network termination P2P Point to Point SDF Subloop Distribution Frame Metropolitan Network (optical fiber) FTTH P2P-vs vs-gpon primary optical fiber access network - FTTH P2P (single fiber per home) to Home SGU / SL OLT ODF Exchange SDF Cabinet secondary optical fiber access network FTTH GPON (single - fiber per many homes) primary optical fiber access network to Home to other Buildings splitter SDF SDF horizontal vertical F.Ananasso MTR&CL Brussels, 28 January /24 DF DF manhole indoor adduction secondary optical fiber access network SDF Home ONT floor N floor 0 DF horizontal vertical Home ONT floor N DF to other Homes splitter indoor adduction manhole
13 Normative aspects, civil works, ducts & infrastructures sharing (1/2) Active-vs-Passive Remedies Passive Remedies Unbundling LL LL /SL /SL Colocation Ducts Ducts Optical Optical Fiber Fiber WDM WDM Active Remedies Wholesale Bitstream (IP (IP// Ethernet based) based) Interconnection QoS QoS Classes = CoS CoS & SLA SLA Duct / Fiber National Inventory FTTH P2P allows LLU - FTTH GPON allows wavelength unbundling both allow SLU F.Ananasso MTR&CL Brussels, 28 January /24
14 Normative aspects, civil works, ducts & infrastructures sharing (2/2) OLT OLO 1 OLO 2 OLO n Local Loop Unbundling Wavelength (λ)division Multiplexing (WDM) approach λ 1, λ n+1 λ 2, λ n+2 λ n, λ 2n WDM Switch n:1 λ 1, λ 2,..., λ n λ n+1, λ n+2,..., λ 2n Passive Splitter 1:m λ 1, λ 2,..., λ 2n OLT Optical Line Termination ONT Optical Network Termination OLO Other Licensed Operator λ 1, λ 2,..., λ 2n ONT... λ 1, λ n+1 λ 2, λ n+2 λ 2, λ n+2 λ 3, λ n+3 λ n, λ 2n Ethernet speed on a single colour: 1, 10, 40 or 100 Gbit/s coarse WDM: up to 18 colours dense WDM: up to 162 colours F.Ananasso MTR&CL Brussels, 28 January /24
15 EU27 Broadband Penetration (July 2009) EU27: ~500 m people ~120 m lines Italy: ~60 m people ~11,9 m lines (~11,5 m DSL) Source: EU Communications Committee, November 2009 F.Ananasso MTR&CL Brussels, 28 January /24
16 World BB & UBB Subscribers Total: ~444 million subscribers ~378 million BB (xdsl & Cable Modem); ~56 million UBB FTTx ~10 million wireless technologies Broadband & UltraBroadBand Subscribers per Geographic Area access technology (millions) xdsl Cable Modem FTTx Western Europe 90,98 15,95 1,93 Southern & Eastern Asia 81,14 1,10 22,19 North America 39,70 48,92 4,06 Asia - Pacific 29,13 11,53 24,36 South America 19,80 7,81 0,01 Eastern Europe 13,50 4,98 3,60 Africa and Middle East 11,90 0,87 - World 286,20 91,30 56,20 Source: PointTopic, September 2009 F.Ananasso MTR&CL Brussels, 28 January /24
17 What kind of broadband technologies for the future fixed or wireless or both? the gap between the two classes of technologies tends to remain ~constant F.Ananasso MTR&CL Brussels, 28 January /24
18 Femtocells (1/4) from The Role of Cooperation in Establishing an Efficient Femto Economy by Prof. Simon Saunders (Femto Forum Chairman), 2007 F.Ananasso MTR&CL Brussels, 28 January /24
19 Femtocells (2/4) Building walls sufficient to prevent signal from leaking out into the streets in the same way they prevent the signal getting in F.Ananasso MTR&CL Brussels, 28 January /24
20 Femtocells (3/4) F.Ananasso MTR&CL Brussels, 28 January /24
21 Femtocells (4/4) FEMTOCELL FEMTOCELL FEMTOCELL Improved indoor coverage FEMTOCELL Improved capacity through multiple coverage zones Health Smart home: remote monitoring & control Video/audio download & store F.Ananasso MTR&CL Brussels, 28 January /24
22 Digital Divide and USO Effective policy against Digital Divide (DD) needs structural actions to address socio-economic, technological and cultural issues in order to boost BroadBand (BB) adoption in the presence of: technological digital divide cultural digital divide e-government / P.A. BB policy plans to play a major role against DD Universal Service Obligations (USO) definition does not presently include BB services but strong debate in progress on whether or not to extend present USO provisions to BB economical, demographical and cultural situations to estimate optimal BB coverage detect over- and under-performing areas BB access as a new social right -- 4th generation right? New USO approach? from demand spreading to social utility? F.Ananasso MTR&CL Brussels, 28 January /24
23 Options for transition to NGA Total Replacement Total replacement of of existing networks --transparent customer migration // PSTN services emulation Overlay Gradual replacement of of existing networks --voluntary customer migration An important issue is the interconnection between NGNs and non-ngns, aiming at ensuring a fast transition to NGN Service Mixed Approach NGN Transport Access non-ngn F.Ananasso MTR&CL Brussels, 28 January /24
24 State aids only in white areas (market failure) in Europe Public private partnership (PPP) in gray areas? Private investments in black areas full (infrastructure / service) competition Switch off from analogue to digital TV digital spectrum dividend State as facilitator to achieve the necessary levels of investment National strategy on ICT ICT Industrial Policy / digital plan ICT as an accelerator of economic crisis recovery address ICT illitteracy Financing options Role of Government F.Ananasso MTR&CL Brussels, 28 January /24
25 How to share the risk of NGN development and charge NGN usage? Revised accounting approach considering: NGN long run maintenance costs or replacing costs for digging new trenches / providing new ducts / a nominal Rate of Return (ROR) on the NGN assets. Key issue in NGN regulation: the role of national and local governments pursuing administrative simplification -- access to ducts, price of digging, public money to fund infrastructures investments, NRAs play a fundamental role in this process as a market regulator, bearing the responsibility to adopt specific regulatory measures in order to protect competition in NGN related markets -- ULL, bitstream, interconnection costs, migration procedures, Effective investment promotion / risk sharing F.Ananasso MTR&CL Brussels, 28 January /24
26 Should everything happen sooner? F.Ananasso MTR&CL Brussels, 28 January 2010
27 Thank you for your attention F.Ananasso MTR&CL Brussels, 28 January 2010
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