1xEV-DO + VoIP = CDMA Operator Advantage

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1 1xEV-DO + VoIP = CDMA Operator Advantage Randy Battat President and CEO Airvana, Inc. CDMA Americas Conference September

2 Why VoIP? It s probably the most significant paradigm shift in the entire history of modern communications, since the invention of the telephone. Michael Powell Chairman, US FCC World Economic Forum Davos, Switzerland January,

3 CDMA VoIP Advantage DO/Rev. A Networks Are The Best Technology For VoIP No other wide area wireless technology will be able to match the performance. Greater Erlang capacity than 1xRTT. Wireless carrier VoIP opens up vast new business opportunities in wireless/wireline convergence: Capitalize on the rapid migration to VoIP for residential and business use. 3

4 Voice Connectivity Options Cellular POTS Cellular SP PSTN For For years years consumers have have been been able able to to use use landline landline telephony providers as as well well as as cellular cellular service service providers. Internet Broadband Internet SP ISPs ISPs have have been been providing data data access access for for a a somewhat shorter shorter period period of of time. time. 4

5 Cellular Operators Attract Landline Customers Cellular POTS Cellular SP PSTN percent percent of of adults adults who who use use a a landline landline said said they they are are likely likely to to give give it it up up and and use use only only a a wireless wireless phone phone at at home home within within the the next next two two years. years. Internet Broadband Internet SP National Consumers League, July

6 However, new competitors are on the scene Cellular Cellular SP POTS PSTN Internet GW Broadband Internet SP Your Your broadband connection it s it s not not just just for for data data anymore. 6

7 And they are making headway Cellular Cellular SP POTS PSTN GW Broadband Internet Internet SP percent percent of of those those who who have have heard heard of of VoIP VoIP (Voice (Voice over over Internet Internet Protocol) said said it it was was likely likely that that they they would would switch switch from from their their traditional landline landline service service to to this this technology. National Consumers League, July

8 The VoIP Opportunity for CDMA Operators Competitive advantage relative to other wireless technologies VoIP demands network support 1xEV-DO has it. Others do not. Competitive advantage relative to wireline VoIP operators CDMA operators have wide-area mobility. Others do not. 8

9 Superior to 1xRTT 1xRTT Targets Per Sector Capacity: > 26 Erlangs End-to-End Latency: < 285 ms Seamless Mobility: comparable to 1x soft handoff Voice call setup time: < 2 seconds Voice signal quality: > 8 kbps EVRC vocoder quality; Frame loss rate < 2% Coverage 100% 90% 80% 70% 60% 50% 40% Latency and quality of 1xRTT at capacities of up to 40 Erlangs! 20 Erlangs 30 Erlangs 40 Erlangs 30% 20% 10% 0% End-to-end delay [msec] 9

10 1xEV-DO is the technology for wireless VoIP Technology Enablers EVDO Rev0 HSDPA EVDO RevA Commercial Network Launch 06/2002 Q4 2006E Q4 2006E Proportional Fairness Scheduler at BTS Forward Link Hybrid ARQ Channel Quality Feedback Adaptive Modulation and Coding Reverse Link Hybrid ARQ Low-latency Reverse Link Intra-user QoS with Multiple RLP Flows Data over Signaling DSC Channel for fast sector switching High capacity reverse link HSDPA (R5) Data Channel comparable to 1xEV-DO Rev 0, not Rev A 1xEV-DO Rev 0 Commercialized 4 Years before HSDPA 10

11 1xEV-DO and UMTS Roadmap 1xEV-DO Rev. 0 1xEV-DO Rev. A NxEV-DO Rev. B UMTS R99 UMTS HSDPA R5 UMTS HSDPA/ HSUPA R6 Carrier Size (MHz) (ex.) Peak Forward Data Rate (Mbps) Typical Forward Data Rate (Mbps) (est.) Peak Reverse Data Rate (Mbps) Typical Reverse Data Rate (Mbps) (est.) Forward Capacity (Mbps/Sector) (est.) 2.5 (est.) Reverse Capacity (Mbps/Sector) (est.).6 (est.) Forward Spectral Efficiency (est.) Reverse Spectral Efficiency (est.) Estimated Commercial Deployment H (est.) H2006? 2008? 11

12 UMTS Evolution to VoIP UMTS HSDPA/HSUPA, like 1xEV-DV, is an evolution of a circuit-based technology UMTS evolution is constrained by requirement to maintain circuit-based voice and data services HSDPA/HSUPA systems must continue to support voice services using a circuit model As in IS-2000/1xEV-DV, UMTS can continue to rely on existing circuit voice services Optimization for VoIP has not been a priority; initial support for UMTS VoIP services is not available until HSDPA/HSUPA R6 (2008?) UMTS HSDPA/HSUPA system designs are hampered by circuit service legacy compatibility requirements 12

13 Contrasting 1xEV-DO to HSDPA/HSUPA 1xEV-DO has been designed from inception as a packet data technology 1xEV-DO systems are based inherently on an all-ip architecture 1xEV-DO is optimized for VoIP operation 1xEV-DO implementations are committed to VoIP/IMS service model Examples: Optimized MAC/PHY design for VoIP frame formats Low-latency VoIP packet delivery while maintaining packetoriented opportunistic scheduling for optimal VoIP capacity Data Source Control (DSC) for seamless cell selection UMTS HSDPA/HSUPA standards and products are still in catch-up mode compared to 1xEV-DO for evolution to VoIP/IMS Model 13

14 VoIP Infrastructure Opens New Markets Cellular Cellular SP VoIP Infrastructure POTS PSTN Internet Broadband Internet SP With With VoIP VoIP infrastructure in in place, place, 1xEV-DO operators can can re-capture the the flow flow of of voice voice users users away away from from POTS POTS providers, and and also also from from stand-alone VoIP VoIP providers. 14

15 1xEV-DO Operators will Own Wireless/Wireline Convergence Home Mobile Enterprise EV-DO Enterprise Data Network Broadband Provider IP-PBX 1xEV-DO PDSN MGW PSTN IP Network Internet Interworking Function PDIF 15

16 Summary VoIP is a major change to the communications landscape Wireless VoIP will enable wireless/wireline service integration 1xEV-DO Revision A will provide all the tools needed for a carrier class VoIP service EV-DO operators will have a competitive edge over both other wireless technology operators, and pure VoIP service providers. Your broadband wireless phone will soon be the only phone you will ever need 16

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