Next Generation Networks

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1 TEL EC O M ITA L IA G R O U P BBWF Paris October 11, 2006 Next Generation Networks Telecom Italia Strategy Te l e c o m It a l i a

2 NGN Deployment Is it time to invest in Next Generation Networks (in access or and in core)? and at what speed? (big bang,gradual...) The emergence of HD TV The appetite for new contents (image,music,blogs...) in particular user generated ones The change to come in the way the customers are using some products at home (for example each member of the family with its own PC or TVset to see personnalized content rather than family watching broadcast TV on unique TVset) The growth of integrated fixed mobile products... All these facts (and some other drivers such as OPEX cuts ) are leading us to NGN but what kind of NGN and when? 2

3 NGN2 Architecture PERSONAL COMMUNICATION PLATFORM IT - PLATFORM CRM DATA WAREHOUSE BILLING ERP SERVICE DELIVERY SERVICE ASSURANCE TRAFFIC & USAGE NETWORK MANAGEMENT CUSTOMER DATA BASE WORK FORCE MANAGEMENT NETWORK NEUTRAL EM NETWORK DATA BASE P2P VOIP VIDEO OVER IP MSG IMS HSS DIRECTORY MSG IP-DSLAM (4.000) ADSL2+ ( 10Mbit/s) // // // MULTIMEDIA PLATFORM // C2P WEB CPE BBAN - CN FTTB RAN - CN GPON OPTICAL PACKET BACKBONE // FTTC VDSL2 ( 50Mbit/s ) FTTH / B ( 100Mbit/s ) CPE IP- MSAN (ONU) DVB-H CONTENT ENGINE/DRM MUSIC VIDEO GAMES ICT SERVICES PLATFORM STORAGE OPTICAL PACKET METRO IPTV B2B+C MULTISERVICE EDGE NODE (POP) MANAGED SERVICES MESSAGING COLLABORATION AP PLICATIONS SOA UTILITY COMPUTING STORAGE ON DEMAND MESSAGE STORE DISASTER RECOVERY SERVICE CENTERS (DATA & APPLICATION CENTER) METROPOLITAN AREAS 3

4 Mobile NGN2 Access Backhauling su f.o. (FTTB) per maggiore capacità trasmissiva (es. per HSDPA) A p p a ra t o M a c ro c e llu la re m ic ro c e lla P u n ti d i A p p a ra t o Mdici raromc ae zilluo lan ere r e te M o d u lo R F sree cmo on tdiza zr iaa t oin ra m e ONU S ede S L c e lla S e d i S G U (a re e u rb a n e ) ONU G be 35 m q T.I. Pool di BANDA BASE delle stazioni che hanno il modulo RF remotizzato su ROF. ONU ONU m ic ro c e lla m ic ro c e ll a Soluzione RO F: utilizzo fibra per remotizzazione modulo RF delle stazioni radio micro/macro AGW C o p e rtu r a in d o o r 4

5 Fixed access NGN2 development plan : 90% by 2018 Accessesi (000) C o p e rt u ra 70% Cabinets (000) 43 0, U lt e rio ri c e n t ra li Central Offices Cities

6 Mobile access NGN2 development plan S o lo G S M U M TS e U M TS /G S M L TE /U M TS S iti macro (m ig lia ia ) 15,3 15,5 3,0 2,4 12, Microcelle (M ig lia ia ) 13, ,5 1,4 14, ,5 0,4 15,5 0,8 15,1 14, ,2 2,0 13, ,0 14,7 14,7 14,7 14,7 2,9 4,0 5,0 5,9 6,9 12,0 10,7 9,7 8,8 7, Microcelle UMTS 33,7 Microcelle LTE 7,0 8,4 2,0 7,0 8, ,0 9,8 9, ,7 11, ,7 17,7 4,0 21,7 8,0 25,7 12,0 29,7 16,0 20,0 13,7 13,7 13,7 13,7 13,7 13, S cenario UM TS /LTE con s oluzione microcellulare ROF 6

7 Invesment plan M

8 NGN S ervices What are and will be the key services? What kind of video and content delivery services? What kind of Convergent Services? What link between content services and communication services? Is Qos a differenciator? 8

9 NGN and the new convergent services (from ICT to IM CT) NET CENTRIC INFORMATION TECHNOLOGY NET CENTRIC DIGITAL MEDIA High Definition IPTV MOBILE TV IT Managed Services Media Portals, Video Blogs Net Computing Web Applications (CRM, ERP, SCM) Advertising Health Care, Intelligent Trasportation System TLC 100 MEDIA 50 IT 50 9

10 Business e M ass M arket convergent services in NGN networks Business Market 3play Universal f-m corporate access Communication IP centrex - pbx call center Telepresenza (HD videoconf.) Messaging ( , SMS, MMS, Istant Messaging, Voice&Video Mail) Broadband Broadband VPN Extranet & LAN Office Automation, Collaboration, Security IT IT Managed Services Net Computing Web Applications (CRM, ERP, SCM) Health Care, Intelligent Trasportation System, Logistic Mass Market 3play Universal f-m personal access Communication VoIP Videocommunication Messaging ( , SMS, MMS, Istant Messaging) Broadband Broadband Internet Access Home Networks, Home Automation & Security Home Office, Home CAre Media High Definition IPTV MOBILE TV Media Portals, Video Blogs Advertising 10

11 Internet Video Portals Services Available to all Italian users PC based Payment: by credit card or phone bill (Alice subscribers only) Music, Sports, Games, Cinema, News, Communication services 11

12 IPTV December 2005 Launch of IPTV service Alice Home TV TV Broadcasting (La7, MTV Italia, Class) VoD service (movies, soccer games, sport, news, finance, lifestyle) Live Events (Soccer, Sport, Music) TV Browsing IPTV Portfolio Target: ~0.9 Mln in /350 Mln. capex in H06 TV Broadcasting Free (RAI) and Pay TV Packages (SKY movie package) Expanded VoD service (movies, vertical channel) New live Content (Big Brother live, live concerts) New sitcoms Ex panding the offer from VoD and streaming to a complete bouquet of broadcasti ng serv ices 2H06 Self-installed solution available Low cost Set Top Box (single chip solution Mpeg4 for high performance video) HDTV ready Enhanced user interface & functionalities 2007 Time shifted TV Multiroom DVR Multiscreen TV Remote Programming (e.g. from cell phones) Further expansion of thematic areas and vertical channels HDTV and HDTV contents New Vertical Channels (Travel, Lifestyle, Woman, Documentaries, Educational) 12

13 Mobile Video Portal Access to the services via the TIM WAP 3G Portal (xhtml) Entertainment Mobile TV Multiplayer Gaming Serie A TIM (Football) i.music Store (library, concerts and live events) Surfing Internet + Wherever you are! Personal Communication File/Video Sharing VideoCall Community Push to talk A New Way to Communicate! 13

14 Mobile Television DVB-H 1H06 Field trial during 2006 Winter Olympic Games. Agreement with RAI for content Preliminary commercial launch (May): limited coverage 2H06 DVB-H portfolio target: ~1.0 mln in 2008 Coverage extension up to 70-75% pop. Full scale launch on Sept. Content: Free channels, Premium content, Serie A and Champions League soccer games Handsets portfolio from Samsung and Sagem Integration with Alice Home TV (IPTV) and Rosso Alice (PC BB Portal) UMTS streaming offer already available with RAI channels and videoclips (sport, soap, music, reality, etc.) 14

15 Net Centric IT S ervices Dedicated Services Piattaforms Technology Enablers Shared On Demand 4 IT Services Management 3 Application Services 2 Messaging and Collaboration 1 Net Computing Facilities (es. Data Center) Computing Software (es. Storage, Network) (es. SAP, Fleet Mgmt) Control Room (es. CNA) 15

16 Net Computing Platform 3rd Party Service Mgmt Piattaforma di Net Computing Accounting Ad Servi mi ce nis Cr tra eat tio ion n / 1 Assurance Inventory Service Execution Provisioning Infr. Adap. Vendor Independent Abstraction Layer Vendor Specific Net Infrastructure Services Net Application Services 16

17 Net Centric ehealth Platform Net Centric IT Service Management CRM DATA WAREHOUSE ERP Messaging Collaboration Devices Management Lan & Wan Management System & Application Management Security Management ASSETT DATA BASE AM BULATORI (48000) NETWORK DATA BASE IP-DSLAM (4.000) PAZIENTI STORAGE OPTICAL PACKET METRO MULTISERVICE EDGE NODE (POP) Telemedicina RAN - CN GPON ehealth Portal FARM ACIE (17000) ebooking (CUP) M EDICI DI BASE (400000) OPTICAL PACKET BACKBONE eprescribing BBAN - CN ehealth Middleware CPE MPI Università PACS METRO & CORE NETWORK CPE CENTRI DI SERVIZI (DATA & APPLICATION CENTER) Regioni ASL (200) EHR CPE Ospedali Cliniche (700) 17

18 3 Infomobility Platform ADDITIONAL SERVICES BUSINESS APPLICATIONS Presence Identity Mgmt CTI Application Services Infomobility Platform - ESEMPIO GESTIONE FLOTTE TRASPORTO PUBBLICO -validatrici contactless Messaging & Collaboration Fleet Fleet Management Management Mobile Workforce Payment Management Gestione Logistics autoveicolo Gestione Avanzata traffico Payment Gateway 3rd Party Gateway Context Awa reness Technologies Localizzazione -Centrale SATELLITARE operativa Localizzazione CELLULARE ad es: GPS ad es: CELL-BASED -terminale per la gestione della flotta -conteggio passeggeri Dati rilevati da Sensoristica TERRESTRE UMTS ADSL -biglietteria a bordo -strumento di localizzazione -Informazioni audio e video -comunicazione lungo e corto raggio 18

19 IT S ervices M anagement Platform Service Assurance, SLA Mgmt e Service Quality Mgmt Fault & Surveillance Mgmt Platform System Performance Mgmt Network Performance Mgmt Application Monitoring Application Monitoring System Monitoring Network Monitoring Application Domain Network Domain Device Monitoring Device Domain Security Mgmt IT Services Management Asset Inventory 4 19

20 NGN co-petition How to cooperate and or compete with content owner and software suppliers For sure we need more contents and we need intelligent devices (phones,stbs gateways,pcs,tv sets...) using nice piece of softwares We do not want and we should be unable to do it all by ourselves : so what kind of partnership,with whom, What openness to whom? what are the most important standards that need to be adopted to keep enough opennesss? and what are the business plans? 20

21 NGN2 : the role of devices Any Devices Creativity (Den/office) Entertainment PC (Living Room) Life Style (Bedroom, Kitchen) Media Notebook (Anywhere) Cool Content Creativity Music & Video Games Personal Video Recorder High Definition On the Go Around the Home Note Book Portable Media Players PDAs, Media Adapters DVD Players Game Boxes Cell Phones Digital Video Recorder Home Theater in a Box A/V Receiver Set Top Box TVs 21

22 Cooperative S trategies with IT and M EDIA players IT services Select the best software platforms available in the market (eg Oracle ehealth, HP IT Service Management, Microsoft Exchange and Istant Messaging, ) Select the best System Integrators to customize the platform for the customer needs (Accenture, Engineering, ) Provide an high level of IT Service Management (centralized and on site) with our own Professional Assistance Center and other partner service organization (HP) Digital Media Services Direct contact and partnership with content providers (MGM, Sony, FOX, Disney, Mediaset, RAI, ) Re-broadcasting agreement 22

23 Cooperative strategies with authorities NGN2 needs a very high volume of investments and for this reason is difficult to be replicate by different operators It s important to understand that in each country probably we will have only a single NGN2 Network Provider and multiple NGN2 Service Providers High quality bit streeming access could be the key to open NGN2 to many Service Providers but is very difficult consider a cost based approach to define the price of this service. The risk is to delay the investment and the NGN2 plan A cooperative approach of the main operators and authorities is needed to solve this critical problem 23

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