Transcript Mobile Wireless 101

Mobile Wireless 101
PA Broadband Conference
September 2010
Carl Povelites, AT&T
©2010 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual Property.
Presentation Overview
- Historical Trends in Market
- What is the Wireless Network?
- Evolution of the Network
- Demand, Capacity and Impacts on the Network
- Economic Impact and Broadband
- Current Issues and Where are we Going
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©2010 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual
Property.
Tech Cycles Tend to Last 10 Years
Mainframe
Mini
Personal
Desktop Internet Mobile Internet
Computing
Computing
Computing
Computing
Computing
1960s
1970s
1980s
1990s
2000s
Entered Mobile Internet cycle about 3 years ago
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The Last Five Years in Mobile
 From Keypad to Touchscreen
 From Text to Twitter to Facebook: The
Socialization of Mobile
 From 2G to Broadband in Your Pocket
 There’s an App for That!
The Future: Faster and more efficient wireless
networks and devices will supplant the laptop
and desktop as dominate technology.
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Property.
5 Fundamental Components of a
Wireless Network
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
Wireless Device

Cell Site/Tower

Radio Spectrum

Wireless Switch

Backhaul Lines and Transmission
Facilities
5 Fundamental Mobile Network
Components
1st level text, Verdana 18pt
• 2nd level text, Verdana 18pt
– 3rd level text, Verdana 17pt
• 4th level text, Verdana 15pt
– 5th level text, Verdana 15pt
Radio Access
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Backhaul
Core Network
Examples of Cell Towers
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Property.
Spectrum
- Provides the wireless link between the device
and the cell site’s antennas.
- May be the only part that is truly “wireless”
(the remainder may be handled by wireline
facilities such as fiber and copper transmission
networks, or by microwave radio.
- Various frequencies used (e.g., 850 MHz,
1900 MHz, 700 Mhz, etc.)
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Property.
Wireless Switch
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Property.
Backhaul
Backhaul is the network
connection between the cell
tower and the operator’s core
network. Depending on
traffic volumes, the backhaul
connection can be:
 Copper (1.544 Mbps per DS1)
 Microwave (~50 Mbps)
 Fiber (virtually unlimited)
Source: FCC’s 14th CMRS Competition Report - 2010
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Property.
Wireless Networks Are Beginning Their
4th Rebuild
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4G: Long Term Evolution (LTE)
 Greater Capacity/Lower Cost per Bit
 ~10Mbps per subscriber is up to 4x speed of 3.5G technologies
 1/10th the cost of 3.5G technologies
 Simple IP Core Architecture
 Allows common applications and services across
multiple/disparate fixed and wireless access technologies
 Spectrum Flexibility
 Can be deployed across 450MHz-2600MHz bands
 Scalable between 1.5MHz and 20MHz channels
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©2010 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual
Property.
Consumer Demand for Mobile Data is
Surging
Cisco Forecasts 3.6 Million Terabytes per Month of
Global Mobile Data Traffic by 2014
4000
108% CAGR 2009 - 2014
3,600,000
Terabytes
Terabytes Per Month
3500
3000
2500
ROW
2000
No America
1500
1000
500
North America:
U.S. and Canada
90,000
Terabytes
0
2009
2010
2011
2012
Source: Cisco, VNI Mobile, 2010
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Property.
2013
2014
Typical Data Applications
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Putting Data Traffic in Perspective
 The Library of Congress (LoC) contains about 33 million
books. Each book is approximately 1 megabyte (MB). The
LoC thus contains about 33 terabytes (TB) of books. One
exabyte is therefore equal to about 30,000 Libraries of
Congress.
 In 2009, world Internet traffic was approximately 10 exabytes
per month, or 300,000 LoCs.
 By 2015, the U.S., Europe, and Asia could each transmit the
equivalent of two Libraries of Congress every second for the
entire year.
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Property.
Video Driving Rapid Growth in Mobile
Data Traffic
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Network Demand vs. Capacity
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Property.
Meeting the Mobile Broadband
Bandwidth Demand
 Increasing Available Spectrum
 Accelerating Network Efficiencies
 Capitalizing on Wi-Fi and Femtocells
 Ensuring Application Efficiencies
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Property.
The Mobile Wireless Ecosystem
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U.S. Wireless Cumulative Capital
Investments : 1986-2009
Source: CTIA’s Wireless Industry Indices, Year-end 2009
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Property.
Consumers Have Choice Among
Providers
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Property.
U.S. Mobile Virtual Network Operators
(MVNO) Carriers

There were at least 60 MVNOs (mobile
resellers) operating in the U.S. in the first
quarter of 2010

Tracfone is the largest MVNO with over 14
million subscribers at year end 2009

Virgin Mobile, another large MVNO, was
acquired by Sprint Nextel in 4Q2009

Most MVNO are privately held, and do not
report their subscriber numbers
Source: FCC’s 14th Mobile Wireless Competition Report - 2010
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Property.
U.S. Ranks 1st in World in Mobile
Broadband Subscribers
HSPA: High Speed Data Access. EV-DO: Evolution – Data Optimized
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Property.
Emerging Devices Taking Off and
Expected to Maintain Growth
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Property.
Economic Impact of
U.S. Wireless Industry - Jobs
 More than 2.4 million jobs are
either directly or indirectly
dependent on the U.S. wireless
industry
 Wireless jobs are compensated
more than 50% more than the
national average of other
production workers
Source: CTIA Semi-Annual Survey
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Property.
Economic Impact of U.S.
Wireless Industry - Investment
Wireless service providers have spent more than $229 billion from
1999-2009 to build, expand and upgrade wireless networks

This does not include the $33 billion paid to the U.S. Treasury
to acquire spectrum in just the last 2 spectrum auctions
U.S. wireless companies generated more than $95 billion to the U.S.
GDP in 2007

The economic contributions of the U.S. wireless industry
outpace the economic impact of the motor vehicle, airline,
railroad and water industries
As of December 2009, U.S. wireless providers deployed more than
247,081 cell sites
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©2010 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual
Property.
Snapshot of Wireless Industry in PA
PA Subscribers
•
December 1999: 2.76 million
•
June 2008: 9.89 million
PA Employees
•
4,915 (carriers, not agent staff)
PA Annual Wages
•
$305 million
FCC Competition Report May, 2010
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©2010 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual
Property.
Future: AT&T Labs has a Piece
AT&T is working with other companies to develop new and
innovative accessibility applications for mobile devices. Many
rely on previous AT&T Labs inventions such as AT&T Watson
(voice-to-text) and AT&T Natural Voices (text-to-voice).
Under Development

Miracle: Automatic transcription, indexing and retreival
of video

iWalk: Walking directions for people with low vision or
blindness
Currently Available
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
Vlingo: Speech control of your phone

Video Relay Service and IM Relay
©2010 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual
Property.
Future: Public Policy and Regulatory
Initiatives impacting Broadband
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
Net Neutrality for Wireless

Title II Classification of Wireless Broadband

Spectrum Policy

Wireless Data Roaming Proposals

FCC Wireless Competition Docket

Siting
Summary
Q:
How does the wireless industry benefit the
consumer?
A:
Competition, Investment, Jobs and
Affordable and nearly ubiquitous
mobile broadband are closing the
digital divide.
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©2010 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual
Property.
Questions?
Carl Povelites
[email protected]
Dave Kerr
[email protected]
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©2010 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual
Property.