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UMTS Deployment
Issues and Economics
Davide Grillo
UMTS Task Force
Rel-99
" Full set of WCDMA technology
from GSM to support the new RAN
" Evolution of the core network
Rel-4
" More reliable packet transfer
in the core network
" Evolution from GPRS
and « best effort »
Rel-5
" IP real time application support
3G Radio Access
Release 1999 Release 4 Release 5
• Completely new Radio • New TDD mode (1,28 Mcps) • Intra-domain connection of
Access Network (UTRAN), for narrowband applications RAN Nodes to Multiple Core
built “from scratch” Network Nodes
• Radio interface
• Different base technology • High Speed Downlink
improvements, e.g.:
compared to GSM: Packet Access
− UTRA repeater
Wideband CDMA instead
of TDMA
• Radio Access Network • Evolution of UTRAN
improvements, e.g.: transport:
• FDD and TDD − Robust Header support of IP and radio
(both 3.84 Mcps) Compression (first use bearers for efficient IP-based
• Adopted by ITU as part of IETF RFC 3095) • multimedia
Separation services
of resource
of the IMT 2000 family reservation and radio link
activation benefits to high
bit-rate users
Core Network
Release 1999 Release 4 Release 5
• CAMEL Phase 2 and 3 • Evolution of Transport in the CN • Provisioning of IP-Based
• Basic UMTS Security issues • Non-Transparent Real Time Multimedia Services (SIP Call
Facsimile Control protocol)
• EDGE
• Circuit Switched (CS)
• ACSI (Advanced Speech • Packet Switched (PS) Emergency
Emergency Call Enhancements
Call Items) Call Forwarding Call Enhancements
Enhancements • Enable Bearer Independent • CAMEL Phase 4
• GPRS CS Architecture • Intra Domain Connection of
• Transcoder-Free Operation RAN Nodes to Multiple CN
• GPRS Tunnelling Protocol
• ASCI Enhancements Nodes
Enhancements
• Operator Determined Barring • Reliable end-to-end QoS for
• Handover
(ODB) for Packet Oriented Packet Switched domain
• GSM-UMTS internetworking
Services
• Mobile Station Classmark
• Multicall
• Circuit Switched Bearers
in UMTS
• OSA
• Unstructured Supplementary
Service Data
UMTS Deployment, Version 3.1.3 DG/Slide 6 of 24
UMTS Deployment
UMTS Release 99
Circuit Domain
BSS BSC
BTS
2G-3G 2G-3G PSTN/
MSC MSC
PLMN
IP/ATM
Transport Plane
IuCS 2G-3G
SGSN INTERNET
UTRAN RNC
IuPS
GGSN
Node B
Packet Domain
HSS SCP
Service & Home
IM Domain Environment Plane
Application
Server Multimedia
Session
MGCF Control Plane
MGCF: Media Gateway Control Function
CSCF: Call State Control Function CSCF T-SGW
T-SGW: Transport-Signalling Gateway
MRF: Multimedia Resource Function MRF MGW PSTN/
MGW: Media Gateway PLMN
QoS Enabled
IP Transport Plane
SGSN
INTERNET
UTRAN IuPS
RNC GGSN
Node B
Packet Domain
UMTS Deployment, Version 3.1.3 DG/Slide 8 of 24
UMTS Deployment
UTRAN transport solutions
Node B
Backhaul RNC
Node B
Network
Hub Hub
Node Node
Node B
UMTS
Access Hub Hub
Network Node Node
Node B
RNC
Node B
Node B
Node B
! Topologies
# Tandem
# Ring
# Star
GGSN GGSN
RNC
RNC
Region 2
RNC MSC Gn
RNC
Region 1 RNC Iu
Gn
Iur Control
RNC Iu Plane
Iur Control
Plane
Iucs
User
Gn Plane SGSN
User MSC
Plane SGSN
Gn
RNC
Region 3
RNC Iu
Iur Control
Plane
IP & ATM/SDH-WDM
User
Plane SGSN
MSC
! Multimedia services
3G Applications
Unified
Others
Messaging
Video-Audio Convergent
Streaming Applications
Location Common Services and
Content Infotainment
Gaming
Based Operations & Business
Providers Services Support
Presentation Users
Services
MultiMedia Payment
Portal Customer Data M-Commerce
GW & SCS
Users
UMTS Network
¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
Traffic Traffic Traffic Traffic
loading loading loading loading
Userservice 2 Y
penetration
population &
Customer
Dense urban
User service
Customer
Urban
Customer
Suburbanl
Customer 1 Rural Y
base penetration
base
population & base base
Customer
Dense urban Consumer
Business
service
Customer
Urban
Business
Customer
Consumer Suburbanl
Business
Customer
Consumer
0
Rural
Business
Y Consumer
base base
penetration base base
Business Consumer Business Consumer Business Consumer Business Consumer
Customer CS Customer Customer Circuit switched services
Customer
base base base base
Dense urban Urban Suburbanl Rural
CS
12 ¦ ¦ ¦ Circuit switched
¦ services ¦ ¦ ¦ ¦
Dense urban
Business
64
Consumer
¦ Business
Urban ¦ Consumer ¦Suburbanl
Business
¦Consumer ¦ Business
Rural ¦Consumer ¦ ¦
12 128 ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
Business 64
Consumer
¦Business ¦Consumer ¦Business ¦
Consumer
¦Business ¦
Consumer
¦ ¦
Dense urban Urban Suburbanl Rural
CS 128 ¦ ¦ Circuit ¦switched services
¦ ¦ ¦ ¦ ¦
PS Packet switched services
Business
CS Consumer Business Consumer Business Consumer Business Consumer
12 ¦ PS 64 ¦ ¦ ¦ Circuit¦switched
¦ services ¦
¦ Packet switched
¦ ¦services ¦ ¦ ¦ ¦ ¦ ¦
64 ¦ 128¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
CS 12 128 ¦ ¦ 64¦ 384¦ ¦ ¦ Circuit
¦ ¦ ¦ ¦services
¦switched ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
64 ¦ 128 ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
12 128 ¦ ¦ ¦ 384 ¦ ¦ ¦ ¦ ¦ Traffic
¦ ¦ ¦ ¦ ¦ Traffic ¦ ¦ ¦ ¦ Traffic ¦
PS Packet¦switched services ¦ ¦ ¦ ¦ ¦
Traffic
64 ¦ ¦ ¦ ¦ loading ¦ ¦ loading ¦ ¦ loading loading
128 PS ¦ ¦ ¦ ¦ ¦ ¦ ¦ ¦
64 ¦ ¦ Traffic ¦ Packet switched¦ servicesTraffic ¦ ¦ Traffic ¦ ¦ Traffic
128 ¦ ¦ loading ¦ ¦ loading ¦ ¦ loading ¦ ¦ loading
14000 [MEuro]
12000
SM+ & SP+ & TE+
10000
6000
SM- & SP- & TE-
4000
Reference offering
2000
Y0 Y1 Y2 Y3 Y4 Y5 Y6 Y7 Y8 Y9 Y10
0
-2000
-4000
-6000
[time]
-8000
SM: Service Mix SP: Service Penetration TE: Tariff Erosion
UMTS Deployment, Version 3.1.3 DG/Slide 21 of 24
UMTS Deployment
UMTS business plan: Sensitivity
analysis
Deviation from
SP+ ⇒ Y3: +10%, Y10: +25%
assumed service
SM- ⇒ Y3: -10%, Y10: -25%
penetration
16000
Alternative offering
14000 [MEuro]
Alternative scenario
12000
SM+ & SP+ & TE+
10000
6000
SM- & SP- & TE-
4000
Reference offering
2000
Y0 Y1 Y2 Y3 Y4 Y5 Y6 Y7 Y8 Y9 Y10
0
-2000
-4000
-6000
[time]
-8000
UMTS Deployment, Version 3.1.3 DG/Slide 23 of 24
UMTS Deployment
Conclusions