Transcript Doc14 - ITU-Arab Regional Office

Deployment of DSL within
Gulf States
with more emphasis on Bahrain
Mahmood Hashimi
Manager Internet & Messaging Services
Bahrain Telelcommunication Company (Batelco) - Bahrain
Presentation Overview
What was the problem (Prior to introduction of DSL)?
Why ADSL is a/the Solution
ADSL Deployment within Gulf States
ADSL Deployment in Bahrain
Issues to address when deploying DSL
Conclusion
(Problems/Solutions)
What was the problem (Prior to introduction of ADSL)
Bill Gates "gave his vote toward digital subscriber line (DSL) technology as
the next big step in bandwidth" in his keynote address at the Comdex/Fall
'97 trade show. - (Source: COMTEX Newswire dated November 11, 1997)
"We're sucking information through a straw when what we really need is a
fire hose.” -Eckhard Pfeiffer, President and Chief Executive Officer,
Compaq (Source: Comdex Keynote Presentation, December 1997.)
"The new DSL technologies are expected to drive a wide variety of
applications in education, health care and telecommuting... allow(ing)
consumers in homes and businesses to have access to high-speed services
normally requiring expensive fiber optic line connections.” -Vinton Cerf,
MCI's Executive Vice President of Internet Architecture. -(Source:
interview published April 22, 1997 in the CyberTimes on-line version of The New
York Times)
"We want to get more bandwidth and capacity out of our existing copper
loop using ADSL.” -Duane Ackerman, President and CEO of BellSouth
(Source: interview published March 31, 1997 in CommunicationsWeek, p. 14)
Why ADSL is a/the Solution - 1
Full ADSL
G.lite ADSL
ISDN
56K
28.8K
14.4K
0
1000 2000 3000 4000 5000 6000 7000 8000
Maximum Speed - Actual speed will vary
Why ADSL is a/the Solution - 2
Providers:
• Cost effectiveness (relative to fiber)
• Marketability of Applications
• Off-load Internet Traffic from Switches
Users:
• Economical Bandwidth
• Always on Connectivity
• Used for more than one service
• Security
• Quality
What can I use ADSL for?
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High-speed Internet access
Corporate Local Area Network (LAN) access
E-Commerce
Telecommuting / Virtual Private Network (VPN)
Distance learning
Video-On-Demand
Voice over Internet Protocol (VoIP) / IP dialtone
Video conferencing
Medical imaging
Real-time information exchange
Entertainment - online gaming
ADSL Deployment within Gulf States - 1
Suppliers of DSL
Gulf State
DSL Supplier
Bahrain
Alcatel
UAE
Ericsson, Lucent, Juniper, Cisco
Saudi
Alcatel, Lucent
Kuwait
Alcatel
Qatar
Alcatel, Lucent
Oman
ADSL Deployment within Gulf States - 2
20.0
18.0
16.0
14.0
12.0
10.0
8.0
6.0
4.0
2.0
0.0
18.9
10.5
5.1
(
xDSL Connections 000)
xDSL Internet Connections in the Gulf States by
Country, 2002
Kuwait
Bahrain
0.2
Qatar
1.4
0.0
Saudi
Arabia
UAE
Oman
ADSL Deployment in Bahrain - 1
Speednet is Batelco’s internet access
service through ADSL
Asymmetrical Digital Subscriber
Line (ADSL) is a high-speed Internet
connection over regular twisted
copper pair phone lines. DSL makes
use of previously unused bandwidth on
the phone line and uses it to transport
large amounts of data to and from
computers while allowing voice calls
over the same line.
ADSL Deployment in Bahrain - 2
ADSL Deployment in Bahrain - 3
How do we connect our
Speednet customers?
Inet Platform
PSTN
ATM NODE
DSLAM
ATM
ADSL Deployment in Bahrain - 4
e
Video Server
DSLAM
TV
e
Management Controller
1
Amulet
ADSL
STB
Splitter
e
PC for
Internet
Access
Encoder
DSLAM
TV
e
BRAS
1
Amulet
ADSL
STB
Splitter
PC for
Internet
Access
Splitter
Internet
TV
e
1
Amulet
ADSL STB
PC for
Internet
Access
ADSL Deployment in Bahrain - 5
Tariff
Country
Market
Segment
Speed
(KBPS)
Tariff
Flat Rate
256
BD40
Flat Rate
384
BD50
Volume Based with Threshold
128
Volume Based without Threshold
128
Flat Rate
256
BD280
Flat Rate
512
BD450
Volume Based with Threshold
256
Volume Based with Threshold
512
Scheme/Package
Residential
Bahrain
Business
BD15 for up to 400MB,
BD0.035 per MB above the
BD5 Fixed monthly charge,
BD0.045 per MB.
BD80 for up to 2GB, BD0.035
per MB above the 2GB.
BD120 for up to 2GB,
BD0.035 per MB above the
ADSL Deployment in Bahrain - 6
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Speednet
Inet LL & FR
Inet Prepaid
Inet 900
Inet ISDN
Inet Dial-up
Ju
l
Au
g
Se
p
O
ct
N
ov
D
ec
Ja
n
Fe
b
M
ar
Ap
r
M
ay
Ju
n
%
of Total Access Revenue
Internet Acccess Services Revenue Comparison
(2002)
Worldwide Broadband Connections
DSL Continues to Dominate
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Worldwide BB to reach 225 million
connections in 2006
DSL largest market worldwide, and
expected to remain so to 2006:
Relies on current infrastructure, self
installation as high as 70% in US
Cable modem most viable in
markets with already installed cable
systems
FWB not suitable for mass market
deployment: costs, not suited for
wet or mountainous geographies,
high license fees in Europe
250
200
150
100
50
0
2002 2003 2004 2005 2006
Metro ethernet
FWB
Cable modem
DSL
Issues to address when deploying DSL
(Problems/Solutions) - 1
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Bandwidth and Backbone
IP addresses (dynamic, fix,
multiple, PPPOE/PPPOA)
Cannibalisation
ISDN back-up
Traffic (in/out)
Billing
CPE (modem)
Packages
Residential/Business Tariff
Networking (illegal)
Metering (stats for customers)
Future applications
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Size, Tariff, Threshold
Sell
Look for mass, Tariff
Watch for assigned Ips
Sum-up
Flexible
Provide and support initially
Suite all
Communicate
Limit
Web based
Look ahead, plan
Issues to address when deploying DSL
(Problems/Solutions) - 2
Test Equipment
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Database
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Brand name
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Available PCs
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Broadband markets can differ
tremendously by geography
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The Level of competition in
telecom environment
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Cultural factors impacting
application adoption
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Government ICT policies
• Regulatory environment (LLU,
speedy co-location, wholesale
tariff regulation, etc)
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To pen point problems
To keep records/update
Must reflect the service
Copper quality, distance.
Must have USB port.
Normally pushes the price
down.
Speed of adopting to the
new applications
Set frame work
Very challenging
Local Loop Unbundling 
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Doomed to failure?
Efforts to loosen incumbent grip on local loop by
regulators generally fruitless in Europe, US, A/P
Incumbent NSPs protecting their competitive
advantage (sole access to local loop)
Forcing incumbents to permit competitive NSPs access
to local loop misguided:
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Lack of information on condition of local loop to competitive
NSPs (sometimes, even to incumbent)
Technical & logistical complexity: outdated technologies
Time: Long legal challenges by incumbent detrimental to
competitive NSP business models
Wholesale Network Access 
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The only viable solution?
Experts believe creating equitable wholesale market
(most practical solution).
Regulators must:
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Ensure incumbent offers wholesale service
Bring down wholesale prices in rapid timeframe
Proper & equitable wholesale price controls is a must
Avoid cross-subsidization by incumbent through transparency
and accounting separation of incumbent wholesale & retail
operations
Conclusion
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ADSL provides a new way to use existing phone lines.
It’s faster!
It’s always on!
Voice and data on one line at the same time!
DSL leading the way in broadband deployments
Cable modem is limited by low CATV installed base
Broadband Satellite & Metro Ethernet sporadic and limited
ADSL is the best way to get online!
As an interim solution
Using existing copper wire
for broadband access
To DSL
be or not to be
Very cost effective
Very quick deployment
Standardised already
Thank You

Appendix
Other Gulf States Tariff - 1
Qatar
UAE
Residential
Flat Rate
512
BD77.70
Residential
Flat Rate
384
BD25.60
Business
Flat Rate
512
BD112.80
Other Gulf States Tariff - 2
64
128
Kuwait (Qnet)
Residential
Flat Rate
256
512
1024
1 Month
BD23
3 Months
BD66
6 Months
Annually
BD126
BD237
1 Month
3 Months
BD32
BD90
6 Months
BD170
Annually
BD263
1 Month
BD51
3 Months
BD148
6 Months
BD290
Annually
BD480
1 Month
3 Months
6 Months
BD82
BD240
BD448
Annually
BD859
1 Month
3 Months
BD139
BD398
6 Months
BD758
Annually
BD1,440
Other Gulf States Tariff - 3
Kuwait (Qnet)
Business
Flat Rate
64
442
128
821
192
1,200
256
1,560
384
1,894
512
2,715
768
3,473
1024
4,887
2048
9,282
Other Gulf States Tariff - 4
64
Saudi (Atheer)
Flat Rate
128
256
Gold
Silver
Daytime
Government
Gold
Silver
Daytime
Government
Gold
Silver
Daytime
Government
BD72
BD62
BD52
BD47
BD108
BD98
BD88
BD65
BD143
BD133
BD123
BD82
DSL History
1985 1990 -
Bell Labs discovers a new way to make traditional
copper wires support new digital services
Phone companies start deploying High-Speed DSL
(HDSL) to offer T1 service on copper lines without the
expense of installing repeaters.
1995 -
Phone companies begin to promote ADSL as a way to
enter the video market.
1996 -
Innovative companies begin to see ADSL as a way to
meet the need for faster Internet access
1997 -
Singapore Network launched the first commercial
ADSL
Now -
ADSL is being deployed for fast Internet access in the
United States, Europe, East Asia, South America and
across the globe