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Broadband Challenges - FDIS ’ 99

Labs. Broadband Challenges - FDIS ’ 99. Glenn T. Edens Vice President Broadband Technology edens@att.com. Overview: 10 Broadband Challenges. Consumer Perspective. Offers. Delivery. Political Perspective. Multiple Vendors. Standards & Retail. Backbone. Technical Perspective.

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Broadband Challenges - FDIS ’ 99

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  1. Labs Broadband Challenges - FDIS ’99 Glenn T. Edens Vice President Broadband Technology edens@att.com

  2. Overview: 10 Broadband Challenges Consumer Perspective Offers Delivery Political Perspective Multiple Vendors Standards & Retail Backbone Technical Perspective Regional Hub HFC Plant Gateway Home Network Devices

  3. Challenge 1: Offers • Entertainment • Watch television programming & movies • Listen to radio & music • Games & the web • Communications • Talk on the phone, IM, BL, chat & mail • Forwarding, alerting, notification & messaging • Information • Access the web, directories & guides, study, work & play • Life maintenance, transactions, buying & selling stuff

  4. Challenge 1: Offers • Video & Audio • Digital to provide EPG, more channels and highest quality picture and sound • High Definition to provide the ultimate home theater • Interactive to provide web access and transactions • Voice (Local and Long Distance Telephony) • Primary line, LEC replacement with more lines & features • High Speed Data • Broadcast data embedded in television programming • High speed internet access for PC, TV & appliance-style devices (web pads, internet stereo, web phones, etc.)

  5. Challenge 2: Sell, Install & Provision • Bundles of video, voice, data, LD & cellular will provide significant consumer value • Consumer, retailer, product vendor & service provider converge in a process • Learn: marketing & positioning • Buy: taking the order, verification & scheduling • Get: installation, provisioning & OOB experience • Use: training, utility, experience & quality • Pay: establish value, meter, bill & collect • Support: diagnose, repair, improve & enhance

  6. Challenge 2: Sell, Install & Provision • 101 Million U.S. households - 99 Million have TV • 90 Million households passed by cable • 66 Million cable customers • Operating revenue of $27.8 Billion • Average $36 per customer per month = $24 Billion • Other revenue (ad, home shopping, etc.) = $3.8 Billion • 34% of the customers churn each year • 1.87 M per month = 22.4 M per year • Employees • Direct Employees 122,000 • Linked Employees 83,000 • Indirect Employees 674,000 • Total 879,000 Source: CableLabs

  7. Challenge 2: Sell, Install & Provision • 66,000 Truck Drivers (including supervisors) • 35,000 Installers; 8,800 Service Techs; 13,200 Line Techs; 4,400 Headend Techs; 4,600 Others • 35,000 Customer Service Representatives • Customer telephone calls per month Billing 21,450,000 Sales 10,725,000 Service 10,725,000 Total 42,900,000 per month or 515 M per year • 2% of customers experience problems each month • 1.32 M per month = 15.8 M per year • Truck rolls, residential CPE and wiring installation is key limiting factor to deployment Source: CableLabs

  8. Challenge 2: Sell, Install & Provision Travel Data Video Analog Type Site Survey RF Check New coax Splitter Drop Telephony Digital No No Existing Coax Existing Coax New coax Splitter BTI, Drop UPS Provision No Single PC Yes External Modem Yes New coax New jack Splitter Drop New STB Download SW Provision Remove Inter- diction devices New coax New jack Splitter Yes Yes Existing LAN No Internal Modem Replace LEC No LAN NIC(s) Yes No Need STB Re-home existing LEC TP Install SW Configure Provision Yes New STB Existing TP Yes No Test New TP New jack Demo Pack up

  9. Challenge 2: Sell, Install & Provision

  10. Challenge 3: Backbone Networks Internet PSTN HITS Seattle, WA NDTC & NCAC Denver, CO • Backbone networks are well understood • PSTN and Nationwide LD network • Private IP networks and the Public Internet • Headend In The Sky (HITS) Satellite Programming HITS Satellite San Francisco, CA Salt Lake City, UT

  11. Challenge 4: Regional Hubs & Headends 60,000 - 100,000 Homes Passed PSTN Primary Hub Internet Local Hub HITS DWDM Master Hub Primary Hub Over the air LocalHub Primary Ring Local Origination Local Hub Primary Hub 1,000,000 + Homes Passed 10,000 - 20,000 Homes Passed DWDM Fiber rings provide reliability and capacity

  12. Challenge 5: HFC Local Plant • 11,000+ Headends • 450,000 Miles of Fiber • 1,150,000 Miles of Semi-rigid Coax Trunk Cable • 70% Aerial & 30% Underground • 2,400,000 Miles of Drop Cable to residence • 1,440,000 Miles Active & 960,000 Miles Inactive • Constant rebuilds and upgrades • 40,000 Plant Miles rebuilt every year • 80,000 Plant Miles upgraded every year Source: CableLabs

  13. Challenge 5: HFC Local Plant 60,000 - 100,000 Homes Passed • Fiber is moved further into the network • FTTC and FTTH still too expensive • As traffic grows system can easily expand • Add more Fiber Nodes or Local Hubs • Reduce homes passed by a Fiber Node • Transition to Mini Fiber Node (mFN) architecture FN DWDM Primary Hub Primary Ring LocalHub FN Local Hub 10,000 - 20,000 Homes Passed 500 - 2000 Homes Passed

  14. Challenge 5: HFC Local Plant mFN mFN FN FN TV TV New IP New IP New IP New IP DTV DTV DOCSIS DOCSIS Upgrade toHFCPhase I mFN Local hub Local hub AnalogTV EmergingServices AnalogTV EmergingServices 5 50 500 750 1G 5 50 500 750 1G Phase II mFN Local Hub MuxNode mFN mFN 50 Homes Passed AnalogTV EmergingServices Fiber Coax 5 50 500 750 1G

  15. Challenge 5: HFC Local Plant CONTENT SOURCES General Instruments Headend SUBSCRIBER SYSTEM Locally Encoded Analog Signals DHEI IRT 1000 DCT-1000/1200 QPSK Digital Satellite Multiplexes C6U 64QAM I Mult. IRT 2000 DCT-2000 Digital Satellite Split Multiplexes QPSK C6U 64 QAM Q Mult. Digital Satellite Signals QPSK MPS C6U 64/256QAM DS3 DCT-5000+ Digital Transport Digital Broadcast Signals 8-VSB OC-3 RPD 1000 DOCSIS Cable Modems Ethernet NC 1500 DAC 6000 The Internet OM 1000 NC 2000 NETSentryTM Digital Domain Manager KLS 1000 PSTN Video Server Content HFC DANIS/DLS Interactive Application Servers HCT 1000 CMTS

  16. Challenge 6: Interface & Gateway PSTN Circuit Switched Telephony Architecture Cable NIU Primary Hub Local hub Fiber Node Tap HDT

  17. Challenge 6: Interface & Gateway Internet Router CMTS PSTN Cable Modem High Speed Data Architecture CM Cable NIU Cable NIU Primary Hub Local hub Fiber Node Tap HDT

  18. Challenge 6: Interface & Gateway PSTN Internet Router CMTS VOIP Telephony & Cable Modem Architecture Telephony Gateway CM BTI Primary Hub Local hub Fiber Node Tap

  19. Challenge 6: Interface & Gateway Basic Digital Splitter Media Access Point CATV In Digital CATV Re-homed telephone wiring PC LAN BTI-DOCSIS DISK SERVER PWR & BATT PBX Option Cable/LEC mode switch or relay Back plane. distributes CATV, analog phone lines, AC and DC power and high speed digital data bus Optional Modules To TV’s & STBs Re-homed telephone wiring with remote switch-over PC home network new & existing wiring or wireless Toll quality & lifeline service - existing telephone wiring or wireless From RJ11 Jacks of Telco NID

  20. Challenge 6: Interface & Gateway Structured & standardized installation tool Digital CATV output is filtered from premises noise sources Re-homing of telephone wiring Remote switch over of house telephone wiring from LEC to Cable could eliminate truck roll Supports premises or plant powering and Cable GFI Could be engineered to support Angel and DBS Targeted as low cost device $30< Installed on “all” the next truck rolls with customer permission Basic Digital Splitter CATV In Digital CATV Re-homed telephone wiring Cable/LEC mode switch or relay To TV’s & STBs Re-homed telephone wiring with remote switch-over From RJ11 Jacks of Telco NID

  21. Challenge 6: Interface & Gateway • Supports multiple vendors, PnPDIY installation and retail sales which can eliminate truck rolls • Backplane supports: • Digital clean CATV to each slot • 8 Analog phone lines to all slots • TTL Ethernet for UPnP • High speed TDMA 100 Mbytes/s • DC and UPS power • Easy connection to Digital Splitter • Wide range of optional modules • Supports remote diagnostics, telemetry, control and service level provisioning • Should be low cost device $50< and $100 - $300 per module Media Access Point PC LAN BTI-DOCSIS PWR & BATT DISK SERVER PBX Option

  22. Challenge 7: Home Networks • PC needs are driving most home networking technology today • HomePNA is key activity • Microsoft Universal Plug and Play is key activity • Cable needs will become critical driver of home networking technology next year • Copy protection, conditional access, encryption, device discovery and control protocols are key • Precision clock distribution, low latency, sub-Ns jitter, quality of service and higher bandwidths are key • No new wires is ok but no wires is better

  23. Challenge 7: Home Networks C = control D = data T = telephony A = CD audio V = MPEG video and audio

  24. Challenge 8: Devices • Television activities centered on set top box • DCT2000 set top box deployment today • DCT5000 advanced set top box deployment 2000 • Retail set top box via OpenCable in 2001 • PC activity centered on DOCSIS cable modem • Migrating from DOCSIS 1.0 to 1.1 • Telephone activity centered on interfaces and multiple line multiplexing • Circuit switched deployment today • PacketCable VOIP in 2000 • New devices on the horizon • Webpad, webphone, internet stereo, managed systems for security, energy management and home control

  25. Challenge 8: Devices General Instruments DCT2000 State of the Art Audio & Video MPEG-2 Video Decoder Wide screen capable Dolby AC-3 Digital Audio Two-Way Communications ALOHA RF return path Starvue II RF Return Path modem Interfaces RF, Baseband Output Ports Low Power IR Blaster Port RF, Baseband Output Ports Internal Application Interface Port High and Low speed Data Output Ports Low Power IR Blaster Port Full Feature Access from Front Panel Application Features 27MHz CPU 6.3 Mb total memory 2.048 Mbps out of band data receiver 8-bit Graphics capability GI/VRTX O/S API support Macrovision Anti-Copy Protection Optional Features Analog Descrambling BTSC Stereo Decoder High Power IR Blaster Port High or Low Power Tethered IR Blaster Module Serial Data Connector High-speed telco return modem Networking Features 54-860MHz tuner 64/256 QAM modulation Messaging Capabilities DES based Encryption

  26. Challenge 8: Devices General Instruments DCT5000 Additional interactive capabilities Integrated DOCSIS cable modem File sharing Person to person games IP telephony Powerful Hardware/Networking Platform Powerful CPU - 347 MIPS; 167MHz High-end graphics capability 24 Bit graphics 3D and animation capable Greater Memory Capacity 14.3MB total memory Field upgradeable Optional internal IDE disk storage Dedicated Upstream Bandwidth • TDMA Return Triple Tuner Architecture • Watch, Talk & Surf functionality Open & Flexible Software Platform Run a Variety of O/S & Middleware • Windows CE • Aperios • VRTX • NCI • PersonalJava • Others Supports OpenCable software interfaces • HTML and Run-time Engines • JAVA Scripting Robust Applications Environment

  27. Challenge 8: Devices OpenCable STB POD OpenCable Set-top QAM RX Demux Demod MPEG Cable QPSK TX CPU QPSK RX CA CPU OOB POD Module OpenCable STB POD • The Point of Deployment (POD) separable security module contains all security functions and out of band signaling functions. • The POD security module enables any OpenCable compliant device to deliver a cable system’s secure digital video services.

  28. Challenge 8: Devices DOCSIS 1.1 Cable Modem • Released to Interim Status on March 11th 1999 • Fully backwards compatible with DOCSIS 1.0 • DOCSIS 1.1 builds on top of the DOCSIS 1.0 specification • provides key enhancements to DOCSIS 1.0 • complete set of QoS functionality and features • CMTS controlled fragmentation in the upstream • efficient use of both Downstream and Upstream bandwidth via Payload Header Suppression • standardized approach for IP Multicast support over cable. • increased protection against thief of service via CM authentication • complemented by the Baseline Privacy Plus Interface Specification • Provides all necessary underlying services required to support large scale deployment of Voice over IP (VOIP) and other latency sensitive applications

  29. Challenge 8: Devices Features/Functions: Market trials Migration to DOCSIS 1.1 Utilizes DOCSIS 1.1 CMTS Network call signaling Interoperable clients, Call agents, gateways Common billing event messages Standard network management of clients Common calling features Announcement servers Limitations: P-QoS allows telephony, may limit other application deployments Proprietary CMS-PSTN GC Signaling Single zone on-net calling: greater use of PSTN for terminations IP address privacy not addressed PacketCable 1.0

  30. Challenge 8: Devices Features/Functions: 2 call signaling models: network based and client-based feature support 2 QoS signaling models:Provisioned, Dynamic Future multimedia applications IP address privacy Carrier class reliability Limitations: Single zone on-net calling: greater use of PSTN for terminations D-QoS requires changes to DOCSIS 1.1 CMTS D-QoS- Additional signaling traffic [bandwidth, setup time] Distributed Call Signaling: More powerful clients required PacketCable 1.1

  31. Challenge 9: Multiple Vendors • AT&T committed to three principles • Multiple vendor competition based on standards • Increasing consumer choice of devices at retail • Rapid deployment of advanced services to consumers • AT&T - Microsoft Agreement • Increased order for Windows CE from 5 million to 7.5 million units with an option for up to 10 million • Agreed to evaluate TVPak client and server software • Showcase city deployment of TVPak, client & server, in one large and one small city • Showcase city deployment of TVPak client only with non-MS server in third city • Sold overseas properties to MS and accepted MS investment of $5 Billion in AT&T

  32. Challenge 10: Retail & Standards • Telecommunications Act of 1992 & 1996 • Cable subscribers can own their equipment • FCC NPRM, February 1997 • Goal of assuring competition in the set-top market • FCC Report and Order, June 1998 • Security module prototype by July 1999 • Security module form factor by January 2000 • Separable security module available by July 2000 • No embedded security after January 2005 • Hundreds, if not thousands, of potentially conflicting industry specifications and standards • DVB, IETF, IEEE, ISO, HAVI, UPnP, HomePNA, HomeRF, ATVEF, DOCSIS, PacketCable, OpenCable, . . .

  33. Challenge 10: Retail & Standards • It’s not easy: • Retail channel wants to duplicate DSS business model with subsidy and annuity for each STB sale • Retail channel & vendors want “one architecture” • Consumer Electronics vendors want standards but complete freedom to innovate as well as subsidy and annuity • Consumer Electronics vendors want to integrate STB into TV and other devices without cost impact • Existing head end and STB vendors want their proprietary CA and upstream systems to continue in the market • The EPG problem is a whole presentation just by itself • ISPs and AOL want completely open access platform • Broadcasters want support for all video and data formats • PC vendors want progressive scan

  34. Glenn’s Broadband Challenge Meter Easy Hard Way Hard Offers Sell, Install & Provision Backbone Networks Regional Hubs & Headends HFC Local plant Interface & Gateways Home Networks Devices Multiple Vendors Retail & Standards

  35. Acknowledgements I would like to thank David Nagel, President of AT&T Laboratories, Tony Werner, EVP Engineering of AT&T Broadband and Internet Services, Dick Green, CEO of CableLabs and everyone at CableLabs for their help in preparing this presentation. I would also like to thank Misha Pavel of AT&T Laboratories for being kind enough to present this talk at FDIS ’99 in my absence.

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