Features and Challenges of 3G in INDIA

Contents
Introduction What is 3G? Why 3G? Technical Aspects of 3G Value Added services in 3G Scope of 3G in BSNL

Constraints of 3G
Conclusion

Introduction-Objectives to develop 3G
Achieving significantly higher transmission speed capability, encompassing circuit- and packet-switched networks as well as support of multimedia services.

Higher spectral efficiency and overall cost improvement by utilizing advanced technologies Maximizing the commonality by radio interfaces for multiple operating environments. Compatibility of services within IMT-2000 and fixed networks.

Introduction-Key Properties Emphasized in 3G

Improved performance over 2G, including:
Improved capacity; Improved coverage, enabling migration from a 2G deployment.

A high degree of service flexibility, including:

Support of a wide range of services with maximum bit rates above 2 Mbps and the possibility for multiple parallel services on one connection; A fast and efficient packet-access scheme.

A high degree of operator flexibility, including:

Support of asynchronous inter-base-station operation; Efficient support of different deployment scenarios, including hierarchical cell structure and hot-spot scenarios; Support of evolutionary technologies such as adaptive antenna arrays and multi-user detection.

Third Generation Vision

Common spectrum worldwide 1920-1980 MHz and 2110-2170 MHz Wide range of new services Data centric (eg. Internet) and multimedia oriented Data bit rates up to 2 Mb//s Seamless global roaming Improved security and performance Support a variety of terminal (from PDA to desktop) Intensive use of Intelligent Network (IN) technology

What is 3G?
The Third Generation of Telecommunication hardware standards and general technology for mobile networking, superseding 2.5G 3G networks enable network operators to offer users services like wide-area wireless voice telephone, video calls, and broadband wireless data, all in a mobile environment Provides data rates up to 14.4 Mbps on the downlink and 5.8 Mbps on the uplink. Based on the International Telecommunication Union (ITU) family of standards under the IMT-2000

An organization called 3rd Generation Partnership Project (3GPP) has continued work by defining a mobile system that fulfills the IMT-2000 standard. This system is called Universal Mobile Telecommunications System (UMTS).

Why 3G?
Limitations of 2G
Voice centric
Designed mainly for telephony application Circuit-switched High BER (Bit Error Rate) Low data bit rate (< 14.4kbps)

Too many standards globally

GSM, CDMA, PDC, PHS etc.

Isolated networks

MAP based IS-41 based Difficult to roam between these networks

Features of 3G
Higher bandwidth enables a range of new applications! For the consumer Video streaming, TV broadcast Video calls, video clips news, music, sports Enhanced gaming, chat, location services For business High speed teleworking / VPN access Sales force automation Video conferencing Real-time financial information

GSM evolution to 3G
High Speed Circuit Switched Data Dedicate up to 4 timeslots for data connection ~ 50 kbps Good for real-time applications c.w. GPRS Inefficient -> ties up resources, even when nothing sent Not as popular as GPRS (many skipping HSCSD) Enhanced Data Rates for Global Evolution GSM Uses 8PSK modulation HSCSD 9.6kbps (one 3x improvement in data rate on short distances timeslot) Can fall back to GMSK for greater distances GSM Data Combine with GPRS (EGPRS) ~ 384 kbps Also called CSD Can also be combined with HSCSD

GSM

GPRS

WCDMA

General Packet Radio Services Data rates up to ~ 115 kbps Max: 8 timeslots used as any one time Packet switched; resources not tied up all the time Contention based. Efficient, but variable delays GSM / GPRS core network re-used by WCDMA (3G)

EDGE

3G Handsets availability
Now that government has announced 3G Policy,handset manufacturers are gearing up to launch 3G compatible phones at affordable price. Huawei Technologies is planning sell 3G entrylevel phone within $80 to $100. LGs KU250 3G phone is priced at $100.

Motorola has about three 3G models ranging from Rs 14,000 to Rs 19,000 (i.e. $350.-$475)

3G Handsets

Why lower subscribers

Pricing.
Lack of awareness of its benefits. The lower subscriber numbers are a testimonial to the fact that private players should be allotted spectrum at the earliest - after all, government is losing money by delaying 3G auction and the ones who have been allotted spectrum arent able to market/position it to consumers All said and done, government owned companies need serious (and aggressive) competition from private players otherwise, expect a suboptimal and mediocre 3G story.

Ericsson is BSNL's strategic partner for 3G roll-out

Ericsson is using its WCDMA/HSPA technology to help BSNL, India's second largest telecom operator, achieve India's biggest simultaneous launch of 3G services to date, across 11 leading cities. The commercial launch of much awaited 3G services in India will allow consumers to . experience enriched communications including rich voice, video and data services. Ericsson is BSNL's strategic partner for 3G roll-out in over 400 of these cities. The mammoth roll-out will also strengthen BSNL's position as a leading player with a broad offering including Wireline, GSM Mobile, CDMA mobile, Internet, Broadband, Carrier service, MPLS-VPN, VSAT, VoIP services, IN Services to Indian consumers.

Why delayed?
3G services were delayed because of the spectrum issues, licensing issues and auction process. There is still not enough clarity on the policy front and there are lot of questions to be answered.

Will price-sensitive Indian consumers shift in large enough numbers to a 3G system? While there's no doubt the market is low-value with each customer yielding just Rs 400 a month to the mobile phone companies (after deducting the licensing revenue share), around 5 to 10 per cent of customers pay monthly bills of more than Rs 1,000 per month.

How fast exactly is 3G?

The data speed of 3G is determined based on a combination of various factors including : Chip rate Channel structure Power control Number of users in a cell Distance of user from cell User is moving or stationary Synchronization There is no clear definition of the speeds users can expect from 3G equipment or providers. Thus customer using the 3G service may not be able to point to a standard and say that the speed it specifies are not being met.

Issues continue to hamper its growth

Several issues continue to hamper its growth. Huge capital required to build infrastructure for 3G services. High spectrum licensing fees for the 3G services. Health impact of electromagnetic waves. Prices are very high for 3G mobile services.

Will 2G users switch to 3G services.

Takes time to catch up as the service is new.

90 Million 3G Subscribers In India By 2013?

According to a study by industry association Federation of Indian Chambers of Commerce and Industry (FICCI) and telecom consulting firm BDA, 3G revenues in India will reach $15.8 billion or 46% of the total wireless revenue, by 2013. The 3G subscriber base is expected to reach 90 million in five years, accounting for 12% of the total telecom subscriber base of 746 million

3G SERVICES & INDIAN MARKET

Market Trends

Service Promotion

Cost Structure

Existing Market Competition

Technology Requirements

Evaluation of Policies

Business Base

Scope Of 3G in India

Market Shares of Telecom Operators

Revenue Breakup for GSM & CDMA

Commercial 3G Services

Challenges of 3G :
UMTS is a multi-service network, GSM experience is not enough. UMTS is an immature network technology, Continuous change is a fact. Up gradation from 2G network. Monitoring peer-to-peer.

Issues related to 3G
Expensive input fees for the 3G service licenses & agreements Lack of member state support for financially troubled operators Expense of 3G phones Lack of coverage, because it is still a new service Current lack of user need for 3G voice and data services in a hand-held device

Conclusion:
Its a new technology but has vast unexploited market and revenue base. 3G - Anywhere Anytime Connectivity. Challenges makes everything perfect!!! Coming 4G and beyond.. Its not the end, Way ahead