Transcript Explaining Where Ethernet Fits Into the Mobile Operator’s

Explaining Where Ethernet Fits
Into the Mobile Operator’s
Network Evolution Plans
IIR Transport Networks for Mobile Operators
Amsterdam, May 2008
The Pseudo-Wire Company®
Mobile Backhaul - Key Market Trends

Enhanced user-experience demands
higher-speed data rates
– HSDPA – the “killer application” for
mobile backhaul – Flat rate

4G technology (WiMAX and LTE)
standardization is in the final stage of
approval process
– Will take 3-4 years till mass deployment
– Many operators will use PW as IP
solution till LTE availability in order to
skip one hardware upgrade phase

Access is definitely the bandwidth
bottleneck
– PDH/TDM is not a scalable solution

Backhaul networks migrating to Ethernet
– The mobile RAN is migrating from
TDM and ATM to IP/ETH

All IP RAN evolution will happen
gradually and not in one step
– 2G/3G Base Stations will co-exist for
a long time with 3G taking over gradually
– Base Stations with TDM/ATM I/Fs
will stay for at last 3~5 years
2 - © 2008 Axerra Networks®. All rights reserved.
Source: Heavy Reading, Ethernet Backhaul
Quarterly Market Tracker, November 2007
Typical 2G/3G RAN Backhaul Architecture
Radio Access Network
BTS
BSC
Abis
E1/
ChSTM-1
Abis
DXC
E1
Iub
A
E1/
ChSTM-1
PDH/SDH
TDM Leased Lines
RNC
ATM/IMA, n x E1
NodeB
E1/
ChSTM-1
ATM
Switch
Iub
STM-1
ATM
Iu
Both, 2G TDM and 3G ATM traffic are backhauled over TDM leased lines
Leased lines for backhaul accounts today 40%-60%
of Mobile Operators Operational Expenses (OpEx)
3 - © 2008 Axerra Networks®. All rights reserved.
Global Market Dynamics – Cell Site Growth
Worldwide M obile Backhaul Connections: Installed
vs New
5,000
Source: Infonetics Research
Mobile Backhaul Equipment,
Installed Base & Services, March 2007
Connections (K)
4,000
3,000
New connections
Installed connections
2,000
1,000
0
CY05
CY06
CY07
CY08
CY09
CY10
Calendar Year

Installed Worldwide Cell Site connections will grow from 2.9M in 2006
to 4.8M in 2010
– The vast majority of today Installed Cells are T1/E1 based
– Many of the Cells can’t be upgraded to Ethernet

Ethernet to the Cell Site will be required in order to support future NodeB

Many want pseudowire to support 2G BTS and NodeB cell sites (and site with
collocated 2G/3G)

Increased pressures to use Ethernet for all traffic from a cell site
4 - © 2008 Axerra Networks®. All rights reserved.
TDM Backhaul Hits the Breaking-Point
Ethernet Solutions for Cell Backhaul
Source: Heavy Reading (11/2007) – A large European mobile operator
5 - © 2008 Axerra Networks®. All rights reserved.
3G is great, but what is next?
Ethernet Solutions for Cell Backhaul is driven by WCDMA/HSPA Evolution

WiMAX and 4G (LTE) technologies standardization coming soon

Continuous Improvement of Data Capabilities
–

T1/E1 will not scale, Ethernet is the only solution
Ethernet will be supported in latest releases of NodeB
–
During this year new NodeB will support Ethernet
–
This will increase the demand for Ethernet to the cell site
6 - © 2008 Axerra Networks®. All rights reserved.
Ethernet is the Accepted Solution
Ethernet Solutions for Cell Backhaul

Ethernet Backhaul will become available before Ethernet RBS
–
This gap will force the early use of Pseudo-Wire technology
–
Pseudo-Wire will stay in the cell in order to support Hybrid cells
7 - © 2008 Axerra Networks®. All rights reserved.
Migrating to Ethernet Transport - MEF Use Cases
Hybrid RAN/HSDPA Offload Enables phased migration to
Ethernet while:
Utilizing low cost and available
broadband technology for
transport HSDPA traffic

Packet offload over Carrier Ethernet (HSDPA offload)

Overlay MEN does bandwidth offloading onto Ethernet services

Legacy network continues to transport voice and deliver timing/signaling

Voice services are migrated onto Ethernet in a second phase
“Big Bang”

Emulation over Carrier Ethernet (legacy services over Ethernet)

RAN nodes with legacy interfaces transport all traffic over Ethernet services using
emulation technologies – from Day 1
8 - © 2008 Axerra Networks®. All rights reserved.
Multiple Services Over PSN with PWE3 Solution
Examining the application of Ethernet to GSM, GPRS, UMTS & HSPDA/HSUPA
Pseudowire Tunnel
CES T1/E1
ATM IMA
nx E1/T1
3G
EVDO
WiMAX/
LTE
Service
CES Pseudowire
ATM Pseudowire
BSC
PWE3
Gateway
Cell Site
2G
MSC
PWE3
Access Device
Ethernet
TDM
ATM
Ethernet
GigE
Ethernet
Supported Service
Multiprotocol
Pseudowires
Cell Site Interface
RNC
MSC Interface
AMPS, GSM, CDMA
TDM: T1/E1, DS3/E3,
OC3/STM-1
TDM: T1/E1,
DS3/E3, OC3/STM-1,
UMTS, HSDPA
ATM & ATM IMA: T1/E1,
DS3/E3, OC3/STM-1
ATM: T1/E1,
DS3/E3, OC3/STM-1
HDLC
Pseudowire
1xRTT, EV-DO, Abis
HDLC: T1/E1, DS3/E3
HDLC: T1/E1,
DS3/E3, OC3/STM-1
FR Pseudowire
iDEN
FR: T1/E1, DS3/E3
FR: T1/E1, DS3/E3,
OC3/STM-1
Ethernet
Pseudowire
RNC
Service
EV-DO, WiMax, 4G
switching
9 - © 2008 Axerra Networks®. All rights reserved.
Ethernet: FE
Ethernet: GigE
Benefit
B/W gains from
DS0 grooming
Stat-mux gains
No ATM switch
needed in CO
Stat-mux gains
HDLC data
interface
Stat-mux gains
FR data interface
No TDM
interfaces
needed on CO
router
Traffic Differentiation and QoS with PWE3 Mobile Backhaul

Three level of Priorities are required as minimal
–
Priority 1 for Voice and Management
–
Priority 2 for R99 3G Data
–
Priority 3 for HSPA/HSUPA
–
Priority 4 might be needed for HSDPA (Best Effort Service)
10 - © 2008 Axerra Networks®. All rights reserved.
Pseudo-Wire – the Packet-based RAN Migration Enabler

For the next few years the vast majority of cell site connections will be
based on T1/E1 interfaces

About 1/3 of overall cell sites are collocated 2G/3G sites
Growing demand for Ethernet connectivity to high capacity cell sites

– The amount of bandwidth per cell site is estimated to grow by 3x to 4x over time
– New 3G and 4G NodeB will use Ethernet interfaces

Most additions of 3G cell sites will take place in existing 2G cell sites
– Operators use existing foot print of 2G cell sites

All traffic originating from Hybrid cell site will be carried over Ethernet
using PWE3 gear
Use PWE3 gear to serve
collocated 2G/3G sites
Use PWE3 gear with
advanced functionality
(Ethernet Link/Services OA&M and PM)
PWE3 CPE will become an
Ethernet Demarcation Device
11 - © 2008 Axerra Networks®. All rights reserved.
Widespread Consensus on the need for Pseudo-Wires

Major operators are deploying PW solutions at the cell site and it plays
an important role in the evolution of mobile backhaul networks
to IP/Ethernet
– T-Mobile, Telecom Italia, Swisscom, Taiwan Mobile and eMobile (Japan) are
just few operators that announce PW deployment in 2007
– For many carriers Pseudo-Wire is not a question of “if” any more but a
question of “where?” and “when?”
Emulated TDM/ ATM/HDLC PW Service
BTS
BSC
TDM
E1
ETH
ETH
ATM
ATM/IMA
NodeB
ETH
PWE3 Cell
Site Device
G.823/824
Compliant Clock
R5/4G/
WiMax
12 - © 2008 Axerra Networks®. All rights reserved.
Carrier Ethernet
RAN
PWE3
Gateway
RNC R99
IP
RNC R5
Different Design Topologies For Pseudo-Wire in the RAN
(1) Stand-alone Pseudowires in the RAN
PSN Tunnel
PWE3
Access Device
Iub - ATM Pseudowire
Abis - CES Pseudowire
BSC
T1/E1
IMA
ETH
PSN Tunnel
ETH
ETH
ETH
Carrier
Ethernet/
MPLS
PWE3
Gateway
Abis
ETH
Iub - ATM Pseudowire
Abis - CES Pseudowire
RNC
Iub
(2) Integrated Pseudowires in the RAN
Both
The
integrated RAN and stand-alone PWE solutions are valid and will
be deployed in volume during the next few years
market will be dominated by stand-alone solutions through 2008
13 - © 2008 Axerra Networks®. All rights reserved.
PWE3 CPE will become an Ethernet Demarcation Device
Monitoring SLA Over 3rd Party Transport Networks
Network
Interface OAM
Subscriber
Interface
OAM
CE
AC
Ethernet Link OA&M: Discovery,
Link Monitoring, Remote Failure Indication,
and Loopback
PWE3
CPE
PE
PSN Tunnel
Network
Interface OAM
PE
UNI
UNI
Eth Link OAM
802.3ah
Subscriber
Interface
OAM
PWE3
Gateway
Eth Link OAM
802.3.ah
Ethernet Service OAM
802.1ag
PW OAM
Ethernet
demarcation features enables:
– End to End Service Level Assurance
–Ethernet QoS
– Investment protection
–PWE3 CPE of today will evolve to Ethernet Demarcation device
– Lower total cost of ownership
–Fewer boxes in the Cell Tower
14 - © 2008 Axerra Networks®. All rights reserved.
AC
CE
Mobile Backhaul over Ethernet Case Study
HSPA Mobile Backhaul – Tier 1 Mobile operator in Japan
AXN10-A55
STM1 ATM
FE
NodeB
Iub
GigE
STM-1 ATM
Ethernet Network
AXN10-A55
STM1 ATM
NodeB
Iub
RNC
HPCR Clock
Transmission
FE
AXN800
Emulated ATM circuits

HSPA data traffic runs over Ethernet network
– 3rd party Ethernet network is used
– Clock recovery over Packet is supported
– Fast, easy deployment with perfect migration to Carrier Ethernet
– Hundreds of cells already deployed
15 - © 2008 Axerra Networks®. All rights reserved.
Mobile Backhaul over Ethernet Case Study
Taiwan Mobile - GSM/UMTS Backhaul over PSN
3G
NodeB
NMS
1xT1/E1 ATM
(Iub)
Ethernet LL
3G RNC
2G
BTS
T1/E1 TDM
(Abis)
FE
Metro Ethernet
from 3rd party SP
3G
NodeB
OC3/STM-1
ATM (Iub)
GigE
with LAG
1xT1/E1 ATM
(Iub)
Abis
PWE3 GW
CH OC3/STM-1
or T1/E1
FE
2G
BTS
T1/E1 TDM
(Abis)
PWE3
CPE
Wireline / MSO Domain
2G BSC
Emulated TDM and ATM Circuits

Use of Pseudo-Wire technology for TDM (2G) and ATM (3G) Circuit and
Service emulation over Carrier Ethernet
–
Support HSDPA and HSUPA

No changes to the existing RAN infrastructure

Clock architecture not changed

Future-proof investment, including ability to add IP/Ethernet in the Cell
16 - © 2008 Axerra Networks®. All rights reserved.
Conclusions

Migration to IP/MPLS backhaul networks is inevitable
– Drivers are RAN capacity growth, IP base stations, and service evolution

Immediate OpEx savings and short ROI
– Carriers will deploy Ethernet for 3G and 4G backhaul to realize significant
cost advantages and close the gap between mobile revenue and expense
– Pseudo-Wire allows OpEx saving with minimal CapEx investment by skipping
some upgrades on the way to LTE

Investment protection
– Shifting to Ethernet Assurance and other added value features…

RAN Evolution versus Revolution
– 2G/3G Base Stations are collocated and will co-exist for a long time
with 3G taking over gradually
– Migration to All IP RAN will happen gradually and not in one step

PW Mobile Backhaul solutions are picking up, becoming mainstream
– Pseudo-Wire is the Packet-based RAN Migration Enabler
– Field proven with large deployment over ANY packet transport network

PW Mobile Backhaul Solutions Available Today..for 2G, 3G, and Beyond
17 - © 2008 Axerra Networks®. All rights reserved.
Thank You
The Pseudo-Wire Company®