Topics

1. ImplementingHome NetworkingFor 1999/2000 PCsMark A. CarpenterDirectorCommunications And Home ConnectivityCompaq Computer Corporation

2. Topics • Understanding today’s consumer needs • Defining opportunities for the PC industry • Elements for success • Technical, marketing, support • Hardware design considerations • For PC-based broadband, network media, and Internet sharing • What comes next?

3. What Consumers Are Demanding Today • Engaging Internet content and services throughout their home • At faster than 56K speeds • Peripheral sharing between different PCs • Printers, files “I like the Internet sharing so I don’t have to get a divorce. You know, we’re killing each other [over access].” - Houston focus group respondent

4. Consumers Demand Broadband Internet has become #1 reason for new PC purchase • Internet-based from stand-alone PC activities • Current speeds limit usefulness 80% are willing to pay for high-speed access (Parks Associates Survey, 10/98) • $39-$49/month target acceptable • High-speed access: key enabler to fully integrate into home lifestyle • Truly useful higher speed Internet requires new digital infrastructure “Web Lifestyle”: personalized information and entertainment driving Home PC demand Percent PC-buyers cite each of the top-6 reasons for purchase as “very important” in national survey (Forrester Research, 9/98)

5. Consumers Demand Sharing • 12-15 million multiple PC families today, worldwide * • Annual growth rate of about 30% = 25+ million by 2001! • Home Internet access mostly during evenings and weekends • When family members are home together • Creates need for shared access in multiple PC homes • Today’s solutions for Internet access conflict • Multiple phone lines and ISP accounts • Time sharing with single line and account • Broadband complicates the contention problem • Cable and full rate ADSL drops accessible to only one machine • Splitterless ADSL (G.Lite) requires multiple modems • Like normal modems, doesn’t resolve contention Tangible consumer needs are here now. Fortunately, so are the home networking technologies to meet them * Source: Dataquest, Oct. ’98

6. 1999 Home Networking GoalsIndustry-wide opportunities • Consumer PC market expansion • By solving real customer needs and demands • Focusing on the platforms they are buying today • “Transparent networks” from the start • Easy and robust initial experiences • Required for long-term interest and acceptance • Foundation for Universal Plug and Play • Eventual connection of all home devices • Seamless connectivity between industry brands • Solutions for new PCs and installed base • New PCs with integrated home networking • New and installed base PCs without

7. What Will It Take?Key elements to a successful 1999/2000 home networking program • Robust technical solutions • Consumerized package offerings • Intuitive marketing programs Consumers will measure us as an industry on our delivery of robust, complete “cooperative” product programs

8. Robust Technical Solutions • Integrated Internet access solutions • For narrowband and broadband • Easy signup and provisioning • Automatic dialing and connections • Standards-based home network media • Not requiring costly new wiring infrastructure • Seamless setup and configuration • Client and gateway protocols setup • Gateway discovery • Diagnostic tools • Automatically detect and correct problem environments

9. Consumerized Package Offerings • Complete and intuitive products • Obvious in how they connect together • Independent of brand and model • Without requiring new wiring • Comprehensive service model • Collaboration between manufacturers • To optimally support mutual customers • Interoperability is essential • Provide specialized training to your support specialists

10. Home Network HardwareDesign Considerations

11. 1999 Home Net Building BlocksWidely supported standards are key • Standard Internet access solution • V.90 modems most prevalent in 1999 • Broadband option available for customers • Simple, standard provisioning is key • Standard network media, without rewiring • HomePNA phone line here now for 1999 products • HomeRF wireless an option for 2000 • Standard Internet sharing engine • Microsoft delivering in 1999 Windows releases • Easy setup and configuration tools • OEM enhancement, without jeopardizing interoperability

12. Standard Broadband PC integration will drive proliferation • Standard technologies ramping up in 1999 • G.Lite: splitter-less ADSL, up to 1.5 Mbps downstream • Lowest support option • G.DMT: splitter-based ADSL, up to six Mbps downstream • Requires phone company installation • Cable modem (DOCSIS) • Internal partitioning options, e.g., on PCI • DSL only modem: G.Lite, G.DMT, or both • DSL + V.90 modem • DSL/V.90 modem + phone line network • Preferred external connection: USB • For Plug and Play installation and configuration • 10baseT will require more configuration support

13. Standard Phoneline NetworksProven technology available now • Cost effective: PC integration for $25 or less • Retail adapters < $50 per node • Familiar user model and technology • Most PCs already near phone jacks • Adding phone jacks is common practice, inexpensive • HomePNA standard in place, with future roadmap • Certified products guaranteed to interoperate • Logo established as “Seal of Approval” • Charter for backward compatibility • Proven to work, widely tested geographically • See http://www.HomePNA.org for whitepaper • Complements future wireless and powerline standards

14. Home Phoneline Network AllianceFirst home connectivity cornerstone • 1998 accomplishments • Announced formation June 22, 1998, 11 Founding Members • Increased membership to nearly four times size since incorporation (September 1998) • Endorsed, field tested, and solidified base 1 Mbit/s technology • Published HomePNA V1.0 specification • Established Independent Interoperability and Certification test lab (CIC PlugLab) • 1999 objectives • Establish 10 Mbit/s home phoneline networking specification • Continue membership growth and engagement • Increase public awareness of home phoneline networking options

15. Home Phoneline Network AllianceField Test Introduction • HomePNA Field Test Overview • 500 Homes tested 9/98-11/98 • North East, North West, Mid-West, Southwest, West Coast • Single family, Multi-Family, 90+ yrs old and newer dwellings • Field test units implemented HomePNA Phy • 6 hour duration, packet send/receive loop • Primarily targetted 6pm-midnight • Prime Time for activity in the home and projected for home network use • Measurement Criteria and Baseline Measures • Selected based on direct relevance to Consumer Experience • Maintain Network Link • Packet Error Rate • Based on measurements on a TCP/IP over Ethernet Link • 1% or less PER translates into no noticeable degradation (900kbps at the application level) and robust link • less than 10% PER translates into up to 40% degradation (550kbps+ at the application level) and robust link • 10% or greater PER translates into unacceptable performance characteristics

16. Home Phoneline Network AllianceField Test Results • 98%+ Homes Successfully Passed • 88% of homes reported 1% PER or less and maintained Link • >10% of homes ran with less than 10% PER and maintained Link • <2% of homes ran with 10% or greater PER • Homes with >1% PER were analyzed • Root Cause • Induced noise directly from telephony devices attached very near the HomePNA test unit or via coupling of AC line through powered telephony devices • Signal Attenuation theorized as attenuation due to wire taps • Both problems eliminated by introducing low pass filter between offending device and wall outlet • Frequency to be filtered out is >600Khz • Covers both voice band (V.90) through G.Lite • Other observed interactions - low pass filter resolves • Few reports of audible hiss in home telephones • Some models of V.90 modems experience performance degradation when sharing same wall outlet with HomePNA device

17. Implementing HomePNA • On system board • Requires silicon, magnetics, and RJ-11 connector • Lowers cost, keeps slot free • On PCI or Cardbus adapter • Options: stand-alone, 10baseT combo, V.90 combo • Avoids system board homologation • Easier to isolate signals from system board and power supply noise • Combo 10baseT card can use existing MAC • Frees system board space, but uses slot • Use shared RJ-11 port with modem • Multiple ports a usability problem • Reduces connector space requirement

18. Standard Internet SharingArriving in Windows releases this year • Microsoft Internet Connection Sharing (ICS): • Network Address Translation (NAT) based • Most efficient method for simple translation • Standard address allocation • DHCP services for connected networks • Standard name resolution • DNS services • Supports Windows and non-Windows clients • Compatible with any IP attached device

19. Adding To Internet SharingBuilding value-add applications • Develop application extensions • Leverage ICS APIs • Complement and enhance OSR functionality • Remote monitoring/control of Internet Session • Automated resource sharing • Monitoring of Internet traffic • Set specific guidelines for your ISVs • Requires well behaved applications • Avoid reserving IP ports • Avoid using client IP address in application flows

20. Home Networking SetupMaking it easy for the user • Pre-install and configure hardware on gateway • Include appropriate drivers and other components • Offer consumers easy way to install home networking on client PCs • Plug and Play installation of home network adapters • Easy setup and configuration • Utilize Windows 98 service release features • Includes setup functionality for client and gateway PCs • Build additions to Windows 98 OSR setup

21. Where Do We Go From Here?

22. Home Networking Evolution2000 objective: proliferate broadband and media support, deliver greater simplicity and new applications

23. Call To Action • IHV/OEM community • Select broadband and home network partitioning • Deliver Plug and Play networking products • Pre-install drivers for options you’ll offer • Follow PC 99 Guidelines • Ship home network media standards, e.g., HomePNA • Certification/interoperability testing and plugfests • Implement value adds important to your customers • ALIGN your support organizations • BACK industry standards efforts for phoneline, wireless, powerline • ISV community • Enable applications now for home networks • Reconfiguration of connection settings • Upgrade existing applications as necessary

24. References Summary • Home Networking Standards • Home Phoneline Networking Alliance http://www.homepna.org • Home RF Working Group http://www.homerf.org • PC 99 System Design Guide http://www.pcdesguide.org • Broadband and Home Networking Adapters • Modems • Network Communications • Network Communications References