Evolution of the Wireless Network to LTE

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1 Evolution of the Wireless Network to LTE Stéphane Jacquelin Mobile Access Product Marketing The 19th of February 2008

2 7 3G/LTE Overview Version 1.1 July 2007 All Rights Reserved Alcatel-Lucent 2007 LTE Market Trends 1 Markets are changing Evolution of Services Change of end-user s behaviour Applications are changing Users are changing Markets are Changing Access My Content Knowledge Access Share My Life Be with Friends Baby Boomers Today s Older Generation Gen X Today s business and Prosumers Gen Y Teens and 20 s Millennials Silent Generation Future Business User trends shifting from personal to community due to generation evolution 2 Device Trends From All in One to a constellation of devices 3 Reduced Cost per subscriber More Bandwidth at a lower cost Cost per User Operator s Margin ARPU Throughput per user HSPA LTE 4 Wireless Technological Trends Low latency, High throughput, Flat IP, MIMO/OFDM across 4G technologies 5 LTE Market Growth Will benefit from 2G / 3G market predominance and installed ecosystem 2 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

3 LTE Market LTE the common standard for next generation evolution for both WCDMA and CDMA operators LTE market is expected to be worth over 2.1Bn by 2012 according to ABI research (3Q 07) Analysys forecast over 400M LTE subscribers by 2015 LTE Market Timing Forecast LTE subscribers [Source: Analysys Research, 2007] W. Europe 2010/11 E. Europe 2015 onwards Long Term Evolution but short Time To Market North America 2010/11 China 2011/12 Japan & Advanced Asia 2009/2010 Start in 2009/2010 with major operators in Asia (NTTDoCoMo) and North America Western European will follow very closely CALA 2016 onwards 1 Presentation Title Month 2008 Africa 2018 All Rights Reserved Alcatel-Lucent 2008 Developed Asia 2015 Initial deployments will focus on Hot Zone areas to maximise access to high data users Hot zone coverage will be driven by distributed BTS solutions for high density, high Data speed areas 3 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

4 Compelling LTE Performance Mbits/s Bps / Hz/ cell Uplink Dow nlink 5 Peak throughput in MBits/s 14 Average Spectral efficiency Uplink Dow nlink 0.74 x HSPA (Rel 6) HSPA + (Rel 7) LTE x Peak LTE throughput (high spectral efficiency) DL : 100Mb/s SISO; 173Mb/s 2x2 MIMO; 326Mb/s 4x4 MIMO for 20 MHz UL: 58Mb/s 16QAM / 86Mb/s 64QAM (based on 1 Tx UE) Spectrum efficiency DL : 3-4 times HSDPA for MIMO (2,2) UL : 2-3 times E-DCH for MIMO(1,2) Ultra low Latency Reduced call setup times (50-100ms) & RTT (10ms from UE to server) wired user experience Capacity 200 users for 5 MHz, 400 users in larger spectrum allocations Flexible spectrum use maximizes flexibility 1.4, 3/3.2, 5, 10, 15, 20 MHz All frequencies of IMT-2000: 450 MHz to 2.5 GHz Latency ms 20 0 HSPA (Rel 6) HSPA + (Rel 7) LTE 0 HSPA (Rel 6) HSPA + (Rel 7) LTE 4 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

5 3G LTE Characteristics Key Principles OFDMA (DL) / SC-FDMA (UL) : Robust modulation in dense environments Increased spectral efficiency Simplified Rx design cheaper UE Scalable - go beyond 5 MHz limitation MIMO: Increased link capacity Multiple-input, multiple-output UL& DL Collaborative MIMO (UL) Overcome multi-path interference enode B MME High availability IP Backbone Call Servers Media Gateways S/P GW IP Core: flat, scalable Short TTI: 1 ms (2 ms for HSPA) Backhaul based on IP / MPLS transport OFDM / MIMO - perfect long term marriage Achieve considerable increase in capacity, peak rates & coverage Fits with IMS, VoIP, SIP 5 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

6 LTE Architecture Application servers X2 enode B IP transport backbone MME Service IP backbone MDS Multi-standard User Database enode B S1 3GLTE S/P GW Network simplification User Plane : 3 functional entities : enode B, Serving Gateway and PDN Gateway (the gateways can be combined into a single physical entity) GGSN S/P-GW Control plane : GGSN SGSN RNC EPC - Network Simplification C-plane U-plane C-plane MME U-plane S-GW P-GW SGSN MME (Mobility Management Entity) RNC enode B NodeB enode B 6 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

7 LTE Spectrum Vision LTE FDD deployable in any of the 3GPP bands, (and more) 2.5/2.6 GHz, 2.3 GHz, 2.1 GHz,1,1800 MHz,1700/, 1500 MHz,, 850 MHz, 700 MHz, 450 MHz () - Asia Initially for Japan, Korea, and maybe Europe ()- Europe Operators are looking to migrate 900MHz to LTE for rural scenarios (coupled with 2.6 GHz for urban) 1800 MHz ()- Europe & Asia Pacific Band not widely used, may see some re-farming, as for Trials (07-08) AWS MHz Japan/EU 1700/2100 NAR 700MHz NAR MHz World 900MHz Europe 1800MHz Europe & APAC 1900MHz NAR 850MHz NAR MHz Europe (Digital Dividend) 450 MHz - Europe 1700/ (AWS) Americas much interest in this band (1700 also for Japan) 700 MHz Americas Digital Dividend already decided MHz (IMT 2000) Worldwide Likely the only band with 20 MHz of spectrum available for LTE Likely to be popular for worldwide roaming / device availability MHz (Digital Dividend) - Mainly Europe In competition with TV broadcasters and other technologies, due to larger cell sizes and better inbuilding coverage. 7 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

8 LTE Spectrum - New or Re-use : Main Trends Today 2010 LTE 2600 MHz Capacity driven New spectrum application Hot spots / femto cells 1800 MHz LTE Free needs for 1800 MHz contiguous coverage, but will provide favourable range 900MHz Or 1800 MHz Free 1800 MHz more adapted to hot spots capacity driven scenario Smooth LTE introduction in existing band, pre-empting a narrow BW in, 5 MHz carrier in 8 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

9 LTE Time to market L1 specs System specs 3GPP LTE Specifications OFDM/MIMO demos LTE Technology trials LTE First commercial availability Friendly User Trials & IOT Initial LTE Deployments Ready for massive deployment Strong commitment to an accelerated Time To Market for LTE 9 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

10 Alcatel-Lucent LTE value proposition Leveraging on all our assets Partnering with NEC Accelerate Time To Market Lead LTE innovation Build LTE products with strong credibility Establish global 4G market leadership Technical leadership OFDM know-how with WiMAX MIMO (We invented it! First proposal 2000) Flat IP architecture with BSR + # 1 in IP access Leader in wireless transmission enode B Call Servers Strong Ecosystem AGW High availability IP Backbone Media Gateways Strategic partnership with Appli & Terminal players to secure LTE Ecosystem (e.g. LGE) Ecosystem growing beyond traditional devices Enhanced broadcast solution (#1 in IP TV) Smart Evolution Evolution path from 3GGP/3GPP2 to LTE Multiple frequency band availability Ensuring service continuity and roaming Commitment to LTE Trials as soon as Q Leading LTE/SAE TI for early validation Collaborating with NGMN since 2005 Many approved items in 3GPP 10 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

11 Presentation Title Month 2008 All Rights Reserved Alcatel-Lucent 2008, XXXXX

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