Network Architecture Evolution

Workshop on NGN Regulation and Migration Strategies Network Architecture Evolution Naveen Sood naveen.sood@alcatel-lucent.com RU INDIA Alcatel-Lucent 1 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Agenda 1. Drivers & the evolution to a High Leverage Network 2. PSTN Migration Scenario & Approaches 3. Evolution steps in the Session Control 4. Reference Solution Architecture for PSTN Migration 5. Case Studies for PSTN migration 6. Summary 2 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

A demanding market reality for service providers Falling revenue from voice services competition from alternative communication means (VoIP, churning to mobile, IM, etc) Cost Challenge Traffic Aging TDM voice switches High maintenance cost Revenues and users expect more Simple, innovative, personalized communication across any device, any network, anytime, anywhere Mainly voice Multimedia/multiservice Time Requires a change from keeping value in the network to extracting value from the network 4 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Wireline network transformation HSI only DSL gateways ATM DSLAM ATM switch BRAS ADSL Access Service edge IP/MPLS core Residential/ enterprise gateways VDSL/ GPON/ Ethernet Ethernet/ MPLS/ Transport BNG Policy manager IMS Access Service edge IP/MPLS core Triple play bundle Web and Enterprise 2.0 MSE Enhanced residential and enterprise services Improves capacity/reach of copper and roll-out of fiber to the most economical-point Optimized for IPTV, VoIP, high speed Internet, business VPN services New revenue generating opportunities: HDTV, PPV, TSTV and PVR Application Assured business VPN services, Ethernet services 5 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Wireless network transformation 2G/3G (all radio) HSI only BTS Access Cell site access TDM and ATM aggregation Backhaul BSC RNC MSC SGSN PDSN GMSC Softswitch MGW Circuit switched core (voice) GGSN Home Agent Node B Packet switched core (data) LTE enode B Cell site access Ethernet/ MPLS/ Transport SGW MME PCRF PGW IMS Access and backhaul Evolved Packet Core IP/MPLS core Wireless network transformation Ensure smooth evolution to LTE Scale backhaul to keep up with growth of data traffic Prepare network for growing demand for multimedia services 6 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Service providers are transforming to a High Leverage Network After the transformation, wireless and wireline networks look very similar... LTE enode B Cell site access Ethernet/ MPLS/ Transport SGW MME PCRF PGW IMS Access and backhaul Evolved Packet Core IP/MPLS core Web 2.0 Part of the HLN, a Converged Session Control Residential/ Enterprise Gateways VDSL/ GPON/ Ethernet Ethernet/ MPLS/Transport BNG Policy manager IMS Access Service edge IP/MPLS backbone Triple play bundle Web and Enterprise 2.0 MSE The vision is for IMS to support all types of access, including legacy fixed, legacy mobile, WLAN, and new 4G access, including WiMAX, LTE 7 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

PSTN Migration Scenario: Final Instead of Transitional Softswitch architecture Traditional Switch Model Consolidated SoftSwitch Model 3GPP/3GPP2 IMS Model IN Services IN, AIN, & Camel App Servers JTAPI, Parlay, & Proprietary Subscriber Data App Servers App Servers App Servers Wireline Subscriber Data Features Call Control Signalling Bearer Path Control Switch Fabric, H.323, & MGCP IP Wireline Subscriber Data Embedded Services single step approach Call Control Signalling Gateway Media GW Controller Media Gateway H.248/MEGACO XML Session Control CSCF IP MGCF Signalling Gateway Media GW Controller Media Gateway H.248 Analog Circuit Wireless Limited 3 rd rd party app support Custom hardware/software No IP Support Bearer follows signaling IP Endpoints Analog Circuit Wireless + Call control separate from bearer + IP and multi-media media enabled + Commodity hardware and standardized interfaces + Better 3 rd rd party application support Limited 3rd party API standardization 3rd party application interactions limited by embedded services/call model Internal element integration limits deployment options Endpoints Analog Circuit Wireless + Standard interface to multiple 3 rd rd party applications + Applications can be blended together serially or in parallel for unique combinations + Single sign on into session layer for voice, data, video, etc. applications + Common subscriber data leveraged by each application 9 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Investment Strategy Objective Invest in the most future proof technology possible in the context of asset lives and revenues possible Deploy Converged Core for all types of access network Strategy Invest in one-step approach instead of two step approach Use IMS for access agnostic core Use service control layer to enable subscribers enjoy similar user experience across domains Deploy IMS which makes FMC possible Invest for ease of operations cost All-IP network and common core reduces the OPEX costs 11 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Example of network evolution Step 3a: Migrate POTS ISUP SS7 PSTN SG -I MG MGCF MGCF H.248, M3UA IMS Session Control TAS AGCF ihss ISC H.248 H.248 Voice H.248 Access GW. Web Portal Optional Presence, etc V5.2 VISC MSAN Next Gen Legacy Access Voice FTTN 2G/3G Legacy DLCs IP IP LAG ISAM Voice 15 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Example of network evolution Step 3b: VoIP for DSL ISUP SS7 PSTN SG -I MG MGCF MGCF H.248, M3UA IMS Session Control TAS AGCF ihss ISC ISC H.248 H.248 Voice H.248 Access GW. Web Portal Optional GPON OLT Presence, etc IP DSLAM V5.2 VISC MSAN Next Gen Legacy Access Voice FTTN GPON ONT IP Access H.248 GPON ONT RG Note: Can also support -based endpoints. RG 2G/3G Legacy DLCs IP IP LAG ISAM Voice FTTU GPON VoBB 16 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Example of network evolution Step 4a: Wimax ISUP SS7 PSTN SG -I MG MGCF MGCF H.248, M3UA IMS Session Control TAS AGCF ihss ISC ISC H.248 H.248 Voice Access GW H.248. Web Portal Optional GPON OLT Presence, etc IP DSLAM WAC V5.2 VISC MSAN Next Gen Legacy Access Voice FTTN GPON ONT IP Access H.248 GPON ONT RG Note: Can also support -based endpoints. RG 2G/3G Wimax Legacy DLCs IP IP LAG ISAM Voice FTTU GPON VoBB 17 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Example of network evolution Step 4b: LTE ISUP SS7 PSTN SG -I MG MGCF MGCF H.248, M3UA IMS Session Control TAS AGCF ihss ISC ISC H.248 H.248 Voice Access GW H.248. Web Portal Optional GPON OLT Presence, etc IP DSLAM WAC epc V5.2 VISC MSAN Next Gen Legacy Access Voice FTTN GPON ONT IP Access H.248 GPON ONT RG Note: Can also support -based endpoints. RG 2G/3G Wimax LTE Legacy DLCs IP IP LAG ISAM Voice FTTU GPON VoBB 18 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Reference Architecture in NGN/IMS Standard Functions Applications XDMS Web Portal Presence IM EMS/NMS ENUM, DNS LIG Session control CSCF Functions: I/S/E-CSCF, BGCF, iagcf TAS Basic/Supplementary Services HSS CCF Media server Line Media Gateway Trunk Media Gateway IP interconnect border MGW and controllers Access MSAN MGW I-BGF/A- BGF MGCF/SPDF/I-BCF Clients CPE UE 20 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Class 5 PAN INDIA Architecture Central Web Portal Presence EMS/NMS ENUM, DNS HSS Zonal CSCF CCF MGCF/SPDF /I-BCF CSCF MGCF/SPDF /I-BCF CSCF MGCF/SPDF /I-BCF CSCF MGCF/SPDF /I-BCF TAS CCF TAS CCF TAS CCF TAS BGF MGW BGF MGW BGF MGW BGF MGW BGF MGW BGF MGW BGF MGW BGF MGW Circle MSAN MRF MSAN MRF MSAN MRF MSAN MRF MSAN MRF MSAN MRF MSAN MRF MSAN MRF LIG LIG LIG LIG LIG LIG LIG LIG CPE CPE CPE CPE CPE CPE CPE CPE 21 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Brasil Telecom (Brazil) Largest IMS deployment in Latin America Compelling event Replacing outdated Class-5 network with IMS solution. 10 large areas, 423 Sites (Class-5 Replacements). Over 600,000 subscribers. Major Multi-Unit project valued at millions of dollars Alcatel-Lucent s contract signed in March 08. Benefits: Under NDA Cope with regulatory Number Portability. Opex reductions. Offer integrated value-added services. Success Factors: Innovation offered through our IMS solution End-to-end integration Long-standing partnership Easily evolves, enabling multimedia services Alcatel-Lucent s tightly integrated Solution. Brasil Telecom: Incumbent in Region II of Brazil (41 million people, 25% of GDP) involved in bundled Fixed/Mobile and Broadband services. Subscribers: 8M Fixed, 4M Mobile, 1.6M ADSL. With this advanced platform, we will be able to offer new value added services and integrated voice, data and multimedia solutions to our corporate and residential customers 23 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Brazil Telecom IMS Based Class 5 Migration Compact IMS 5020 MGC-12 Session Control Feature Server, Session Mgr, Resource Mgr MGCF/SG H.248 H.248 5450 AGCF AGCF IP Network H.248 H.248 7510 MGW MGW PSTN 7515 MGW MGW Media & Endpoint 7302 ISAM-V AGW IP Access 7302 ISAM-V AGW POTS/ADSL POTS Applications Class-5 Replacement, due to obsolescence 5060 ICS IMS in a Box Solution 5450 ISC 5420 CTS 5020 MGC-12 5450 AGCF 7510 & 7515 MGW 7302 ISAM-V Notes In addition to the PSTN replacement project they are working on an IMS project. They recently purchased the 5060 ICS (ATCA) IMS solution (EOY 08) for their IMS project. 24 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

TNZ (New Zealand) IMS Primary Line Voice Program Compelling event Regulatory undertaking that enhance competition Aging TDM network Declining margins in tradition business Benefits Protect and grow traditional revenues Improve operational efficiency (reduced Opex) Invest in world class IP infrastructure Develop and grow new service revenues Success Factors: Reasonable price offer for an e2e IMS solution Existing partnership in both mobile and wireline TNZ incumbent Fixed-Mobile operator with 2M Mobile, 1.6 M Fixed and 1M Broadband subscribers investment in IMS will allow the development of world leading products that allow our customers to enjoy the very best in voice, video and application services Frank Mount, group chief transformation officer, Telecom 25 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

TNZ (New Zealand) Prime Line Voice (VoIP) High Level Architecture ID Card Applications Comm. Mgr. Web Portal Session Control Converse VMS Media & Endpoint USDS HSS 5450 MS Media Server 5420 CTS Feature Server 5450 ISC Session Manager IP Network AcmePacket RG SBC IP Access 1357 LI LI Support Systems OMC-P, XMC, esm EMS 5020 MGC-12 MGCF/SG H.248 7510 MGW MGW 8615 IeCCF CCF VitalQIP ENUM PSTN Application Primary Line Voice (PLV) VoIP in a pull mode (customer willing to migrate to VoIP and buying RGW) Start with 25K in 4Q 09 and plan to scale to 1M+ IP-PBX trunking and PSTN replacement (Push mode) start trial in 2H 09 Status Network ready for Service 4Q 08 with IMS R6.1 Field trial completed in 1Q 09 Commercial deployment in progress Alcatel-Lucent ALU Partner Other Vendor Notes Turnkey project managed by Alcatel- Lucent incl. Design, Installation, Integration, Test, Deployment and operation Lot of integration work with OSS/BSS 26 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Service providers around the globe are implementing IMS convergence as a clear focal point Scott Alcott, Belgacom, April 2008 with IMS we can grow our services. Bill DeMuth, SureWest Communications April 2008 We ll be able to build an application once Dick Lynch, Verizon Wireless - April 2008 build converged services with design anticipation of IMS Dave Elmendorf, BT - 2008 IMS is a key technology to further develop VoIP Hsieh Chun-Ming, Chunghwa Telecom December 2007 IMS as a future-proof technology Wojciech Lubczyński, Exatel S.A. October 2007 We adopted IMS to be used as a session layer piece of our architecture. Siroos Afshar, AT&T October 2007 27 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Subs on IMS on the rise IMS Subs base is expanding (Infonetics) There are currently over 80 IMS networks with commercial services. The majority of these networks are for fixed-line VoIP services. 29 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Subs on IMS on the rise cont. Dominated by Fixed Line (Infonetics) In 1Q10, the majority of core IMS sales came from fixed line networks (64.2%) rather than mobile deployments. The growth in mobile network IMS revenue will greatly expand in CY12 thru CY14, with a number of mobile operators deploying mobile messaging,rcs and LTE. 30 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

What is Alcatel-Lucent s Position in the Market? Strong Customer Experience.... 61 Customers and Growing! Consumer VoIP Public: AT&T, Belgacom, Delta, Exatel, ICE, KPN, North Rock, Sure West, Westelcom Non Public: Australia, Canada, France, Italy, Mexico, New Zealand, Peru, USA, UK 13 13 19 6 Class 5 Migration Public: Oi/Brasil Telecom, Enitel, Manx Tel. Non Public: Bolivia, Dominican Republic, Guatemala, Mexico, New Zealand, UK Business VoIP Public: Belgacom, Exatel, KPN, NWT, Westelcom Non Public: France, Norway, Thailand, USA Enhanced Communication Services Mobile Public: AT&T, Bouygues Non Public: Australia, France, Ghana, Korea, USA IP Border (Access & Interconnect) Public: Telenor Non Public: France, Germany, Italy, USA 32 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010

Class 5 Migration Approaches EO Existing Endpoints ISUP MGCF MGW Legacy VoBB Growth Endpoints Growth /IMS IP ISAM-V RG Operators in emerging markets are still experiencing line growth There are benefits to investing in IP, rather than circuit-based technology (e.g., new services) Markets with line growth include Africa, the Middle East, the Commonwealth of Independent States (CIS), and areas in Asia-Pacific EO Legacy Endpoints MGCF MGW /IMS or IP H.248 ISAMV Legacy Endpoints Replacement Some operators are considering replacing their TDM Class 5 switches with IP-based technology The goal of this replacement is primarily for operational savings Service providers who have advertised this strategy include BT and DT EO Existing Endpoints ISUP MGCF MGW /IMS IP ISAM RG VoBB Endpoints Broadband Overlay Many service providers are investing in an overlay broadband infrastructure for new services End-users can be enticed to move their voice to the broadband network as part of bundles with data and video services AT&T, KPN and Verizon are examples of operators in this category 33 Migration to a HLN All Rights Reserved Alcatel-Lucent 2010