Building a New World of Mobile Communications

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1 Carrier Networks Business Building a New World of Mobile Communications The Migration to All- Wireless Networks Todd Landry Vice President Carrier Networks Business 3Com Corporation

2 Worldwide Internet Subs By Access 700,000 Subscribers (000s) 600, , , , , , ,000,000! Wireless 27,600 64, , , ,000 Satellite 206 1,838 4,695 10,583 18,497 DSL 3,378 7,350 20,564 32,143 63,579 Cable 1,578 5,294 10,807 16,047 23,956 Dial-Up 177, , , , ,136 Source: Dataquest, Ovum, Yankee, IDC, 3Com Carrier Business Intelligence page 2

3 Worldwide Wireless Voice and Data Subs 1,200,000 1,000,000 Subscribers (000s) 800, , , , WW Wireless Subs 464, , , , ,300 1,056,600 WW Wireless Data Subs 27,600 64, , , , ,500 Source: Ovum, Oct 1999 Wireless Data Penetration Projected At 27% By 2004 page 3

4 Wireless Voice and Data Traffic Gigabytes Of Traffic/ Day Source: Merrill Lynch Nov, A 1999E 2000E 2001E 2002E 2003E Voice Data By By 2003: --Mobile Traffic Projected To To Grow More Than Times --Data To To Account For 45% Of Of Total Mobile Traffic page 4

5 Market Drivers! Voice! Internet Access or Portals (a.k.a the wireless web)! Handset Availability (or Wireless Devices)! Today s Applications Information (Weather, Stock, Traffic, ) Messaging / SMS (Mobile PC Connectivity)! Future Applications Content Rich Internet Access / Service Oriented Content Video, Gaming, More Forms of Messaging M-Everything (devices beyond those with humans attached) Mobile Data Bandwidth is is a Portal to to Services Revenue! page 5

6 Carrier s Challenges! Services/Support/Quality/New Solutions Focus on customer needs! Time to market advantage over competition Generate revenue early! Network Capacity Requirements Support new services (m-commerce, multi-media, etc.)! Continue services offered in current network Low impact 2G -> 3G transition for operations " No service interruptions! Future Proof Architecture Migration to 3G standards page 6

7 Multiple Access Technologies Endless Service Possibilities Common Service Creation Environment Carrier Core Network Carrier Access Networks Core cdmaone cdma2000 W-CDMA Subscribers page 7

8 Multiple Access Technologies Endless Service Possibilities Common Service Creation Environment Carrier Core Network Carrier Access Networks Subscribers Core cdmaone cdma2000 W-CDMA Broadband W-LAN PAN page 8

9 Multiple Access Methods Common Access Profile Wireless Access Corporate Networks Dial Access Systems Subscriber Aggregation Internet HFC Cable Access Systems DSL Access Systems page 9

10 1xRTT Wireless Data has Arrived! Internet RN R-P PDSN FAAA RADIUS Carrier Network WORLD S FIRST cdma2000 1x NETWORK, DEVELOPED BY 3COM CORPORATION AND SAMSUNG ELECTRONICS, IS DEPLOYED BY SK TELECOM IN KOREA SPRINT, SAMSUNG, QUALCOMM AND 3COM ANNOUNCE COMPLETION OF FIRST SUCCESSFUL NORTH AMERICAN VOICE AND DATA FIELD TRIAL FOR CDMA THIRD-GENERATION TECHNOLOGY Standards-based 3G cdma2000 1XRTT Network Gives Mobile Subscribers Access to Data Services at Speeds Up to 144kbps LENEXA, Kansas October 23, 2000 Sprint PCS (NYSE: PCS), Samsung Telecommunications America Inc. (Samsung), QUALCOMM Incorporated (Nasdaq: QCOM) and 3Com Corporation (Nasdaq: COMS) today announced the completion of the first successful voice and data field trial using standards-based third-generation (3G) Code Division Multiple Access (cdma2000 1x) logy. The full-scale trial, the first in North America, took place throughout July and August on ANTA CLARA, Calif., and SEOUL, Korea October 10, 2000 The world s first ma2000 1XRTT (1X) wireless data and voice network, developed by 3Com rporation (Nasdaq: COMS) and Samsung Electronics Co., Ltd., is now in 3Com Products page 10 he results of the trial validate the anticipated benefits of cdma2000 1x less consumer and business services. data in one cell at the same radio frequency faster data rates and h 35 full-rate mercial service, the two companies announced today. SK Telecom of Korea, ng the world s leading wireless telecommunications operators, unveiled its third ration (3G) network on October 1. new 3G cdma2000 1X network from 3Com and Samsung allows SK Telecom mers to access mobile data services at speeds of up to 144 kbps dramatically than data transmission speeds common today. Other features of the cdm work include support for simultaneous audio, video and text d ed packet data technology for enhanced networ in wireless channel capacity. itial service rollout, SK rs in the

11 1xRTT Wireless Data has Arrived! Internet Home Network RN R-P PDSN FAAA RADIUS HAAA Home Agent Carrier Network RN R-P R-P RADIUS 3Com Sec PDSN Foreign Agent Mobile 3Com Products Foreign Agent Control Node page 11

12 The Setting for All Wireless Networks! Wireless Data High speed packet data services New investments in core infrastructure 3G Upgrades and greenfield deployments! Telephony Technology stability Successful landline deployments! Convergence Opportunity Today: Wireless Data Access Step 1: Packetized Voice Backhaul Step 2: Full Packet Voice Integration page 12

13 Telephony is Now! CommWorks 7000 Series Back-end Servers (Accounting, Directory and Web Provisioning) Service Management CommWorks 4200 Call Server (NOC) CommWorks 4200 Call Server Network Management On-ramp Off-ramp LEC Calling Party Tandem Switch TC1000 gateway Backbone TC1000 gateway LEC Called Party LEC s Network A Link SS7 Network IXC s Network A Link LEC s Network page 13

14 The Foundation for All Wireless Networks Carrier RAN Signaling Control Node MSC BSC PDSN/ Foreign Agent BTS BTS Home Agent Circuit Voice Data Signaling Home Network page 14

15 Interim Steps? Wireless Packetized Voice Carrier RAN SS7 PSTN Class 5 Switch Vo GW Vo GW Signaling Control Node MSC BSC PDSN/ Foreign Agent BTS BTS Home Agent Circuit Voice Data Signaling Home Network page 15

16 The All Architecture Full Integration of Voice & Data Carrier RAN SS7 PSTN Class 5 Switch Vo GW MSC BSC PDSN/ Foreign Agent Vo GW Softswitch/ Signaling Control Node BTS BTS Home Agent Circuit Voice Data Signaling Home Network page 16

17 Consumers All Networks Services Evolution Both Corporations Pre/Post Paid Calling Internet Call Waiting Web Provisioning PC-Phone Phone Unified Messaging Follow me Mobility Fax CLASS Centrex Web Call Center Web Conferencing Voice VPN Open Service Creation Environment Packet Network page 17

18 CommWorks A R C H I T E C T U R E Service Creation Layer Control Layer Media Processing Layer page 18

19 CommWorks A R C H I T E C T U R E Service Creation Layer Telephony Unified Messaging Solution Open Standards Compliant Interfaces Control Layer Foreign/Home Agent Control Node Service Management Media Processing Layer RF Layer Open Standards Compliant Interfaces Total Control 2G & 3G Data PDSN, IWU, Media Gateways Open Standards Compliant Interfaces cdmaone cdma2000 W-CDMA page 19

20 The New World of M obile Communications Carrier Networks Business page 20

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