Ethernet Over Any Infrastructure Yesterday, Today and Tomorrow
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- Gyles Gilmore
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1 Ethernet Over Any Infrastructure Yesterday, Today and Tomorrow Tower Cloud, Inc. Ronald Mudry, Chief Executive Officer Intellifiber Networks Gabe Venturi, Vice President of Sales Operations Positron Access Solutions Hossam Salib, Vice President of Product Management and Marketing MRV Communications Zeev Draer, Vice President of Marketing Fujitsu Network Communications, Inc. Ralph Santitoro, Director of Carrier Ethernet Market Development
2 Smartphones and 4G are Game Changers Driving Evolution to Mobile Internet 1 1 New wireless technologies enable true broadband speeds 4G projected to deliver 12 meg down and 5 meg up All Other 26% AT&T 2 Smartphone Mix RIM 20% iphone 54% 1Source: Pyramid Research April Source: Morgan Stanley April 2010 All Other 52% Verizon RIM 48% SMARTPHONE PENETRATION (Postpaid) 39% 23% 30% 37% AT&T Verizon Sprint T Mobile Page 2 Confidential
3 Tower Cloud Markets Overview Targeting Southeast Region Markets Existing Markets Orlando Launched April 2007 Miami Launched May 2008 Atlanta Launched Jan 2010 Markets under Construction Augusta, GA Montgomery, AL Daytona Beach, FL Area of Focus in 2010 Tower Cloud provides backhaul services to support 2G, 3G and new 4G wireless networks in Southeast Page 3 Confidential
4 Typical Backhaul Network Example Atlanta Fiber and microwave network to maximize market coverage Tier 1 markets average 80% 90% Fiber sites, 10% 20% Microwave Smaller markets and rural will require more use of microwave Developed unique 591 mile fiber network by combining dark fiber from 5 different providers Serving three wireless carriers Typical colocation 15t 1.5 to customers/site Revenue Growth Engine Page 4 Confidential
5 Backhaul Demand is Exploding Voice Texting and Mobile Internet Backhaul lcapacity Backhaul Capacity 3 8 Two (3 Meg) T 1 s ( T 1 s Meg) (3 Meg) (5 10 Meg)k Backhaul lcapacity meg 50 in Meg 5 yrs 300 Meg in 5 yrs Backhaul Capacity Key Customer Needs End to end service Network growth plan to quickly provision future capacity needs 300 Mb/site <5 day provisioning Low latency (<5ms) and Jitter (+ 1ms) High quality (5 9 s) Broad coverage Fiber preference Cell Site Example Ethernet Equipment Architecture 1G Access Ring POP 10 Gig Switch Ring MSC Ethernet TDM Traffic Page 5 Confidential
6 Owns and operates a high capacity fiber network spanning 17,000 route miles. Its scalable, reliable connectivity solutions for service provider, enterprise, and government customers include custom built private networks, low latency routing, SONET, wavelength, Ethernet and data services. Intellifiber Networks Confidential & Proprietary
7 Why Ethernet? Everyone knows Ethernet Universal appeal Laptop, desktop, etc Less alternatives Multiple mediums Fiber, copper, wireless Intellifiber Networks Confidential & Proprietary
8 Intellifiber Ethernet Portfolio Ethernet speeds from 3 Mbps to 10 Gbps Ethernet t over Copper capability across entire network via 300 Central Offices Access to 100, business locations Ethernet NNI provides single interconnect, one price platform across entire network Global reach via CENX Ethernet Exchange in NYC Intellifiber Networks Confidential & Proprietary
9
10 Affordable 50 to 100 Mbps Ethernet Positron Positron Access Access Solutions Solutions Positron Confidential
11 EoCu Opportunity Fiber is The ultimate solution, but requires CapEx and time for build-out EoCu can Be deployed everywhere 5M, 10M or even 50M services Turn-up services in days (not months) Up sell customers Bundle value-add services Upgrade bandwidth testing Migrate customers to Fiber Deferring CapEx $$$s Positron Access Solutions Positron Confidential
12 Typical EoCu Applications Business Ethernet Campus U N I V E R S I T Y Government Business HQ IP DSLAM Backhaul 5 to 50Mbps Symmetric WiMAX Backhaul Cell Site Backhaul Multifunction units ATM DSLAM / BDLC Backhaul Business HQ Single function units 45 Mbps DS3 Clear Channel Data DS3 Access Link Positron Access Solutions Positron Confidential
13 MIMO on DMT Technology Delivers 50 to 100 Mbps Bandwidth Up to 4x Legacy Technologies Aktino Rate vs. Reach Performance Bandwidth [M Mbps] MIMO on DMT +4X> Legacy Loop Length [Kft, 24awg] Pair MIMO-DMT Down 8 pair E.SHDSL 8 pair MIMO-DMT Symmetric 8 Pair MIMO-DMT upstream Positron Access Solutions Positron Confidential
14 Aktino Product for 50 & 100 Mbps Business Ethernet Services AK5000 Point-to-Multipoint Ethernet Aggregation AK500 AK500 AK500 AK500 Point-to-Point Ethernet AK355 Point-to-Point DS3 and/or Ethernet up to 16 pairs AK500 AK355 Jason Mills, founder and CEO of Utility Telephone. Embracing Positron s Aktino MIMO on DMT No other copper-bonding solution even came close technology, allows us to deploy significantly higher to Aktino s rate and reach performance. The unique bandwidths above and beyond the limits of traditional ability to deliver cost-effective, high-bandwidth ADSL, T1 or other bonded solutions, said Joe services quickly to large segments of our Pilcher, President of Datavo. In addition, using Aktino customer base on copper represents a tremendous gives us the unique flexibility to deliver both high opportunity. bandwidth symmetric and asymmetric Ethernet business services Positron Access Solutions Positron Confidential
15 ETHERNET OVER ANY INFRASTRUCTURE - YESTERDAY, TODAY AND TOMORROW Zeev Draer VP Marketing MRV Communications zdraer@mrv.com 15
16 Ethernet is Everywhere Ethernet LAN Carrier Ethernet MAN WAN Services Applications are Changing Networks are changing 16
17 Key Applications Mobile Backhaul High-performance Data center EPL/E-Line Services Storage Video Wholesale interexchange Triple Play Backhaul 17
18 Case Study CATV / MSO US Managed optical transport and demarcation services 10GE & GigE UNI LAN-to-WAN for high-bandwidth applications Low latency service for financial sector Video transport Business Ethernet service (active and dark fiber) Multiplexed services over single wavelength 18
19 Case Study Wholesale Carrier US Business Ethernet Services Mobile Backhaul Ethernet Services Cell Tower Long Range Wholesale Mobile Backhaul Service over Fiberlight Fiber Optics Carrier Ethernet Network Mobile Switching Center 19
20 Ethernet over Any Infrastructure Yesterday, Today and Tomorrow Ralph Santitoro o Director of Carrier Ethernet Market Development, Fujitsu Founding Member and Director, MEF September 13, 2010
21 Customers want to purchase Ethernet services based on service capabilities, not technology Fundamental Capabilities Ports (UNIs/ENNIs) 10/100Mbps electrical 10/100/1000Mbps electrical 10Gbps optical Connectivity of Ports (EVC) Point-to-Point Any-to-Any (Multipoint) 3 or more locations Bandwidth of EVC Line rate of port Sub-rate (CIR < Line Rate) 40Mbps on a 100Mbps port Differentiating Capabilities Service Availability MTTR Protected or Unprotected Service Multiplexing Port-based service single service (EVC) per port VLAN-aware service Multiple services (EVCs) per port Classes of Service Service Performance One-way or round trip delay Maximum packet loss Fujitsu Network Communications, Inc. All rights reserved. Comptel Fall Dallas, TX
22 How Ethernet Services Are Sold Today Services typically defined based on transport technology over which they are delivered Ethernet over SONET (EoS) service Ethernet over WDM (EoWDM / Eoλ) service Ethernet over TDM/PDH (bonded T1s) service Ethernet over Copper/DSL (EoCu) service Ethernet over Fiber (EoF) service Ethernet over MPLS service (VPLS) This is problematic for two reasons: Sales personnel have many products to learn that all offer almost the same capabilities How do they position an EoS service versus an EoF service? Customers have to sort through so many product/technology choices They just want to specify the service capabilities to meet their requirements These choices just delay their purchasing decision How do you meet customer needs over a diverse set of access network assets? 9/13/ Fujitsu Network Communications, Inc. All rights reserved. Comptel Fall Dallas, TX
23 EoX Gateway and Applications Customer Premises Ethernet UNI EoX Access CPE FW CDS FW CDS FW 9420 FW 9420 xdsl CPE FW 4100 ES FW CDS NxDS-1 NxDS-3 FW 4100 ES Access Network EoF GbE GbE/10GbE EoPDH PDH Access Network EoCu Copper Access Network EoS SONET FW 4100 ES IP DSLAM FW 4100 ES FW CDS OC-n GbE EoX Aggregation F W Eo ox Gat teway Ethernet Internet Service Edges Access Service Ethernet ENNI/UNI Internet Access Voice VoD&IPTV MPLS / OTN Inter-Metro Transport Retail E Line E Access Services to E LAN Services Wholesale E Access Services Mobile Switching Office E-LAN / VPLS Services Ethernet Exchange 9/13/2010EoX Gateway unifies Ethernet Services over Any Access Network 9/13/ Fujitsu Network Communications, Inc. All rights reserved. Comptel Fall Dallas, TX
24 Summary Customers want to purchase Ethernet services based on service characteristics Port speed/type, connectivity (EVC), EVC Bandwidth, etc. Ethernet services sold today based on transport technologies EoS, EoTDM, EoWDM, EoMPLS, etc. Deliver a unified Ethernet service portfolio with an EoX Gateway Based on Ethernet service characteristics Independent of transport technologies EoX Gateways connected to Ethernet Exchanges creates new opportunities for Wholesale Ethernet access services Opens up and accelerates new revenue opportunities that leverage your existing access network assets Fujitsu Network Communications, Inc. All rights reserved. Comptel Fall Dallas, TX
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