Trends and evolution of transport networks. F.-Joachim Westphal SL SI, IBU Telco, SSC ENPS (known as Technology Center before)

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1 Trends and evolution of transport networks F.-Joachim Westphal SL SI, IBU Telco, SSC ENPS (known as Technology Center before)

2 Carriers Dilemma... Presented 2001 Demand growing slowed down but it still exists But network costs are growing faster than revenues (Dana Cooperson) page 1

3 Carriers Dilemma... Presented 2004 OpEX, revenue per bit and margin trend not showing improvement OFC 2004 Market Watch: Global ON (Dana Cooperson) page 2

4 Carriers Dilemma Standard Business is eroding (Example of Fixed Voice Revenue) page 3

5 What does the Carrier need? Cost reduction Investment Operational costs New, future proof flexible services, to survive on the market... Fast provisioning of the services Service differentiation... page 4

6 Cost Reduction In operators have successfully decreased CapEx, Capex Opex but OpEx reduction is not consistent; it remains high Million calculated by Alcatel: Consolidated CAPEX and OPEX figures for 5 major European operators Note: CapEx and OpEx figures are consolidated figures page 5

7 OpEx is not (only) about headcount reduction Asian operators need to cut their OPEX as well provided by Alcatel page 6

8 What does the Carrier help? Addit. Revenues Simple Operation Efficiency/ Utilisation Cost Efficient Elements Revenue Generating Applications and Network Services High Degree of Automation; Plug and Play Self-Management Just in Time Implementation Efficient Architecture Functional Integration Low Cost Components Technology page 7

9 Evolution of Optical Networks Several options... Switching centric approach OADM - static, ULH R-OADM- flexible ULH Transparent Islands; static Transparent Islands: flexible TIME Optical Networks Evolution TIME The High speed channels approach 40G 160G high speed ptp systems; practical range <= 600 Km Low cost-technology approach CWDM, GBIC, SDH GBIC Integration ( O/E/O + mux ) Low cost ptp systems, <= 300 Km, moderate channel number TIME page 8

10 Characteristics Low Cost & ULH WDM-Systems Low Cost WDM-System low cost components G.709 functionality (ODU1, 2) appr. 300 km range Reduced overall system capacity manuell optical bypassing SDH/OTH-XC R-OADM IP-Router ULH-WDM-System up to 3000km range G.709 functionality (ODU1, 2, 3) optical bypassing in (R) - OADMs high overall system capacity (120 x 40 Gb/s) high cost components reduced reliability more sophsticated network planning page 9

11 Charateristics of different approachs Deployed LH WDM-systems Low Cost WDM-systems ULH WDM-System long range, up to 80 channels expensive network elements no G.709 functionality sensitive to CD and PMD practically no optical by-passing low cost network elements G.709 functionality shorter range, up to 40 channels enhanced range, up to 120 channels G.709 functionality saving of transponder ( optical by-passing) network element cost like LH-WDM higher cost of maintenance page 10

12 Comparison of WDM-System Approachs System Price (per distance) Transponder Price Transmission Range Number of Wavelengths (Fiber Utilization) System Bandwidth Reliability Scalability on network level Optical bypassing G.709 Functionality Maturity Deployed LH WDM-Systems Low Cost WDM-Systems ULH WDM-Systems page 11

13 What type of WDM System does the Carrier need? One platform with a unified, modular approach Covering metro-/low cost- and ULH-/backbone-network-elements Allowing to implement opaque and optical by-passing links Simplified operation ( plug & play ) High reliability is key G.709 support 40G support Robustness (new modulation formats,...) Cost optimized interfaces (pluggables, tunable laser,...) page 12

14 Reducing the Cost of O/E/O O/E/O Converters: 3rd Party Technology; Multi-Supplier-Agreement Gigabit Interface Converter (GBICs) up to 2.5 Gbit/s CWDM and DWDM available; Ultra Long Reach > 70 km Small Form Factor Pluggable (SFPs) CWDM and DWDM at 100 GHz ITU-T Grid available in 2004 Ultra Long Reach > 70 km up to 2.5 Gbit/s Price History of GBIC ($) GbE Interface Gbit/s GBIC 10km 1Gbit/s GBIC 70km 2000 Xenpack, XFP, X page 13

15 WDM Interfaces with Optical Line Amps WDM transmitter Tx 1 l 1 Carrier WDM receiver l 1 Rx 1 Tx 2 l 2 MUX fibre OA OA OA DEMUX l 2 Rx 2 Tx n l n MPI-S M R M S M R M MPI-R M l n Rx n One Vendor ITU-T G.692 Sup.N.39 Optical System Design G Intra-domain DWDM Interfaces ; G.otf Physical Transfer functions of Optical Networks Elements Revised G (??), other Recs in future (??) page 14

16 WDM Interfaces without Optical Line Amps WDM transmitter Tx 1 l 1 Transmission fibre WDM receiver l 1 Rx 1 Black Box Approach Tx 2 l 2 MUX DEMUX l 2 Rx 2 l n l n Tx n Rx n Vendor A Carrier Vendor B Vendor B Tx 1 λ 1 λ 1 Rx 1 e.g. GBIC Black Link Approach Vendor A Vendor X λ 2 Tx 2 Rx 2 Tx n λ n MUX DEMUX λ 2 λ n Rx n e.g. STM-16 Pluggable WDM modules WDM Black Link CWDM: G.695 DWDM: G.dapp page 15

17 Pluggable Modules Examples Agilent page 16

18 Standardized Multi-Channel Interfaces ITU-T G 959.1: OTM-16r.m IrDI Signal (m=1,2,3,12,23,13,123) λ Frame Alignment, OTUk, ODUk & OPUk Overhead Payload (4 x 3808 bytes) OTUk FEC (4 x 256 bytes) OTM-16r m IrDI λ 5 λ 3 λ 4 λ 2 λ Frame Alignment, OTUk, ODUk & OPUk Overhead Frame Alignment, OTUk, ODUk & OPUk Overhead Frame Alignment, OTUk, ODUk & OPUk Overhead Payload (4 x 3808 bytes) Payload (4 x 3808 bytes) Payload (4 x 3808 bytes) OTUk FEC (4 x 256 bytes) OTUk FEC (4 x 256 bytes) Frame Alignment OTUk, ODUk & OPUk Overhead Payload (4 x 3808 bytes) OTUk FEC (4 x 256 bytes) OTUk FEC (4 x 256 bytes) Up to 16 lambdas, fixed grid independent of bit rate (2G5, 10G, 40G) Optical parameters according to ITU-T G Bit rate and format of the associated overhead according to ITU-T G.709 No Optical Supervisory Channel (OSC) Reduction of intra-office interfaces / cabling page 17

19 Levels of Competition Quantity Quality Larger Area Cheaper Price Area Faster Speed Price Area Higher Service Quality QoS Speed Price Area Levels of competition: Price Bandwidth Quality / Service diversity "The killer application of the Internet is speed, Lee Yong Kyung, CTO KT Corporation, 05/2003 page 18

20 Availability: Typical Values FIT-Rates Cable: 380 FIT per km (1 cut/300 km. a) MUX: FIT Tx/Rx: FIT OLA: FIT XC: MTTR FIT Cable: 12 h Equipment: 9 h 25 km fiber double stage optical ampflifier same FIT Transmitter + receiver availability distance [km] page 19

21 Resilience Concepts Protection Pre-planned routes and resources no update of topology and resources after failure event Restoration Topology and resources updated after failure event dedicated (1+1) resources shared resources link path (E-to-E) link (SNCP) path (E-to-E) link path (E-to-E) Fast Large additional capacity Centralizied or distributed control Good efficiency Slow Distributed control page 20

22 Restoration Time / Spare-Capacity / Reliability Shared protection Restoration 1+1 restoration time capacity reliability , ,99 no protection variable depending on operational concept restoration restoration restoration 1+1 restoration shared protection 2 w capacity w page 21

23 Under discussion: Intro of Optical Transport Network Overlay Basic approach: Intro of Next generation WDM systems (amongst others: G.709 enabled) Intro of configurable network (Optical Transport Hierarchy, OTH) based on ODU1 (2.5 Gb/s) granularity (ITU-T recomm. G.709 / G.798 ) Overlay focused on ultra broadband services, 2.5 Gb/s and beyond Would address CAPEX and OPEX reduction The new overlay network would consist out of these basic building blocks: Core transport (NG-WDM) Core nodes (OXC) Metro WDM equipment Network Termination (NT) elements page 22

24 OTH definitions OTN defines a new standardised frame for high speed connections digital analog OTH Frame Non-associated overhead Associated Alignm OTUk Enables transport of whole SDH OH Client Signal OPU k Payload OTUk frames (carriers carrier business) ODUk mapped in FEC Adopts monitoring & protection OPUk Payload mechanism of SDH Enables mapping of broadband Client signals like 10GBE. OH OPUk FEC enables very long optical transmission without electrical OH ODUk regeneration OH OTUk FEC OPU-overhead enables monitoring of client specific signal OCh ODU overhead enables carriers to OCC OCC OCC monitor path (can be subdivided via TCM OH OTU-overhead enables monitoring OH OPS per transmission section OOS 0 OTU enables standardized TDM OS OSC multiplexing of 2.5G to 10G and of C Optical Transport Module 10G to 40G OH overhead OPUk OH *) FEC: Forward error correction OMSn OTSn page 23

25 OTN/OTH: Challenges and Chances Reasons for implementation In combination with new set of functionality intro of NG-WDM systems cost effective compared to further upgrade of deployed systems In more detail Approved ITU-T G.709/G.798 standard Network Level connectivity and transport (ODU1, ODU2 and ODU3) - connectivity ODU1 granularity / transport level ODU2 and ODU3 Transparent SDH (STM-n) Platform enabled for high bit-rate data transport (e.g. ODU3 (40Gbit/s) Full set of management functionality - Configuration, Performance and Fault Management - end to end (path) as well as section based monitoring enabled Foreward Error Correction (FEC) Advanced protection schemes (1+1 today, restoration and shared protection tomorrow) improves availability of existing services and enables new services System selection with focus on potential CAPEX and OPEX savings page 24

26 Possible Future Platforms Service Separation: Separated SDH- & OTN-Platform 2M M NT SDH NT GbE service separation FC 10GbE 2,5G... 40G STM-16 STM-64 NT OTN NT page 25

27 Common WDM Infrastructure Services SDH WDM fibre Today Services (2M...GbE) SDH WDM Services (FC...40G) OTH WDM (new) fibre Future WDM will be a common transport-infrastructure of SDH and OTH page 26

28 Control Plane Enabled Transmission; ASON / GMPLS Reduced Complexity of Network Management and Control Management Plane Centralized management view and functionality Control Plane Distributed topology view Distributed restoration Discovery mechanisms Signalling for connection provisioning CC CC CC CC Control Plane XC XC XC XC Transport Plane page 27

29 Thank You very much for Your attention! Now, it is time for Questions, Comments, Flames

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