Albtelecom NGN network

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1 Albtelecom NGN network Network descriptions Network capabilities Broadband deployment and regulatory challenges Presentation for Cullen International Forum 3: Monitoring electronic communications and information society services in Enlargement Countries

2 Albtelecom NGN network Albtelecom is the former incumbent operator in Albania providing fix telephony and broadband and network services. Albtelecom principal shareholder Calik Holding. Eagle Mobile, until recently a 100% subsidiary of Albtelecom has undergone the acquisition process, and now Albtelecom is provider of mobile network and services too. The ongoing investments for modernizing the network aim to expand the presence of Albtelecom network coverage and services, to increase the quality of service and the variety of range of products and services. The main investments are focused on substituting TDM technology with IP technology. Full implementation of NGN will be finalizes within first semester of Albtelecom ambition is to provide the platform for fully supporting with connectivity the growth needs of Albanian economy.

3 Structure and topology of Albtelecom network

4 Core Network Currently, Albtelecom services are still being offered based on both TDM and IP technologies (up to now more than 90% of exiting subscriber are transferred from TDM to IP network (NGN)) TDM Switching systems There are 2 technologies for TDM systems which are being removed and their services will be substituted from NGN (MSANs) and NGN (TMGW) networks. NGN Core There are actually three NGN operating technologies supported from world class equipment providers.

5 IP Core All traffic (voice, data, video) is planned to be transported over IP core network. Best technology is used for IP core part. Internet service, and all transportation in IP level for broadband and voice service are being offered through two main systems of access. o DSLAMs o MSANs In the core part these services are supported from o BRAS-es o Internet Gateways (IGW) o Internet Exchange Point (IXP) VAS Platform o This platforms enables value added services. Actually Number Portability and Unified Message Service is already provided through this platform.

6 Transmission network Deployment of transmission network with optical fiber will ensure increasing of speed and capacity provided and quality of service for our subscribers. The deployment of FO has made possible: Connecting of main cities of the country Implementation of back up rings to protect the FO Connecting of Albtelecom with neighbouring countries through terrestrial or submarine ways Important objective is also realizing of FTTx in the main cities. The main problem for finalizing the huge project for optical fiber deployment through all the country has been refusing for issuing of the respective legal permits from local and central governmental authorities to operate with the work, especially in national roads and urban areas.

7 Map of existing FO backbone Total FO deployment Total FO backbone 3,346 Km 2,125 Km Total capacity from 4 up to 192 Total FO Investment 49,816,560 Euro Total backbone FO investment 21,042,400 Euro Total deployment of FO for 2011/2012 1,722 Km Total Investment for FO for 2011/2012 9,737,773 Euro

8 Transmission network (DWDM, SDH, MW) Transmission of high capacity traffic (voice, traffic and data) between city centers is realized through: Transmission systems over optical fiber based on DWDM technology. SDH transmission systems. MW microwave transmission systems. The IP MW systems (hybrid one, up to 1.6Mb/s capacity). IP/MPLS network Is supported by best world class providers The brand new IMPLS network deployed recently will transport and collect the IP traffic from different levels of access nodes. (IP/MPLS network topology is given below)

9 MPLS Network Topology

10 Access Network Access network consists of: DSLAM (total capacity of ports, ZTE technology) MSAN (though which it can be provided POTS, ISDN,PRI, ADSL, SHDSL, VDSL, ZTE (more than 80%), Huawei and NSN technologies) This access network offers high quality voice service and high speed internet up to 100 Mbs (based on VDSL technology) Currently, it is still going on the implementation of the MSAN-s all over the country. At the end of the project, there will be at least 850 MSAN-s. Full deployment of MSAN shortens the distance to the subscriber and improves bandwidth performance. The target for subscriber line is to be less than 1Km. Local network consist of copper lines terminating to MSAN and providing the aforementioned services. Albtelecom aims at increasing the presence of FO even in the local network and get use of GPON technology (under testing).

11 Infrastructure sharing in NGN network Bit stream broadband access Albtelecom is obliged from NRA (AKEP) to provide bit stream access in four different levels of the network. The operators shall share Albtelecom infrastructure or get use of the backhaul network depending on the level of accessing the network hierarchy. LLU access services Albtelecom is obliged from NRA (AKEP) to provide LLU access services. In the NGA deployment, infrastructure sharing currently consist of accessing in the sub loop of copper line from MSAN to the subscriber Internet Exchange Point It is a physical infrastructure though which national ISPs may exchange IP traffic locally De-commission of interconnection points Due to obligation from NRA to offer access and interconnection, Albtelecom has actually finalized passing of all operators from TDM switches to new IP network soft switch and TMGW based on ZTE technology.

12 NGN Expectations post-implementation Full implementation of NGA on (first semester) 2013 will give Albtelecom the guaranty: to offer higher bandwidths to clients (as a result of shorter copper local loops and new technology using). to offer shorter provisioning times (in days), and fewer provisioning errors, for double and triple-play service customers: it is quicker and easier to provide a double or triple-play customer on an MSAN than it is to provide that customer using a separate voice switch and DSLAM. to improve the quality of the local loops (by making them shorter). Better network performance in terms of QoS. Allow for more concentration on the Mobile 3G and LTE deployments.

13 Albtelecom costs on the Implementation of NGN network Analysing the cost of its products, due to the NGA implementation and the trends of traffic downward for 2012, the costs are increased comparing with 2011 year on per minute basis, while access cost has been reduced. On Fixed networks is characteristic that even the volumes are decreasing, the number of assets cannot be reduced as service has to be provided in the same number of places. The solution and the attention of Albtelecom is to enlarge its presence in the market in order to compensate the traffic decreases by a surge in data usage, particularly internet access. Decrease of retail prices not always good for the health of industry and provision of services.

14 ALBTELECOM cost findings considering NGN network Product 2011 Actual 2011 considering NGN 2012 Estimate 2012 estimate inc.ngn Voice Services ALL/minute ALL/minute Wholesale PSTN Termination local Wholesale PSTN Termination regional Wholesale PSTN Termination Inter- regional Wholesale PSTN Origination local Wholesale PSTN Origination regional Wholesale PSTN Origination Inter regional Wholesale PSTN Transit single tandem Wholesale PSTN Transit double tandem ALL/minute ALL/minute Access Services ALL/month ALL/month Retail access subscription/installation fee 1,264 1,050 ALL/month ALL/month 1, Note: Albtelecom Cost model was developed by AETHA Consulting LTD Most of the costs will go to voice, due to the average speed of 2 Mbps chosen by most subscribers in As ADSL speeds increase in the future a larger proportion of costs will be allocated to these services. The costs per minute are now higher but they will decrease if the ADSL speeds increase; however more importantly, the access deficit is reduced.

15 Concluding Notes Albtelecom NGN network is a robust network able to provide full range of NGN services. Current and future market needs can be fulfilled with maximum efficiency. Internet speeds up to 100 Mbit/s are offered to individual subscribers. Bandwidth hungry subscribers can be served with FFTX technology Combination of fixed and mobile access technologies will allow for faster penetration increase. More support is needed to facilitate investment and avoid unnecessary infrastructure duplication. Promotion of ICT services is crucial for demand take-up. Enation of Regulatory obligations should be proportional, reflect country characteristics and situation and not risk to compromise or give confusing investment opportunities

16 FALEMINDERIT! TEŞEKKÜRLER! THANK YOU! Ilir Zela Albtelecom Address: Autostrada Tirane-Durres, Km 7, Kashar, Tirana, Albania Phone:

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