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CDMA2000: An Overview of Trends, Drivers, and the State of 3G Technology

CDMA2000: An Overview of Trends, Drivers, and the State of 3G Technology Orange County IEEE ComSig. February 12, 2002. Contents. Introducing the CDG Overview of cdmaOne™ Drivers and Considerations in Deploying 3G Current State of 3G Deployment Concluding Remarks.

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CDMA2000: An Overview of Trends, Drivers, and the State of 3G Technology

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  1. CDMA2000: An Overview of Trends, Drivers, and the State of 3G Technology Orange County IEEE ComSig February 12, 2002 1

  2. Contents • Introducing the CDG • Overview of cdmaOne™ • Drivers and Considerations in Deploying 3G • Current State of 3G Deployment • Concluding Remarks 2

  3. Introducing the CDG 3

  4. Charter • To lead the rapid evolution and deployment of CDMA-based systems, based on open standards and encompassing all core architectures, to meet the needs of markets around the world in an emerging, information-intensive environment Technical Service Development Deployment Assistance Information Distribution Conferences Newsletter Website Etc. Wireless Local Loop Advanced Systems Evolution Etc. Time-to-Market Int’l Roaming Interoperability Etc. 4

  5. Interactions with Other Organizations • Market Representation Partner (MRP) of Third Generation Partnership Project - 2 (3GPP2) • Member of the International Telecommunications Union (ITU) • Member of the Operator Harmonization Group (OHG) • Strategic alliance with the Association of Telecommunications Enterprises of the Andean Community (ASETA) (Latin America) • Member of the Cellular Telecommunications and Internet Association (CTIA) • Member of CITEL (Latin America) • Active with government entities (e.g., China, Korea, Japan, Latin America, U.S., etc.) • Liaison to WAP Forum 5

  6. Membership The CDG is a consortium of 115 member companies from around the world. Members are involved in many aspects of CDMA system deployment and support. Operators Subscriber Equipment Componentsand Subsystems Network Enhancement/ Optimization Network Interface & Access Network Infrastructure 6

  7. CDG Membership ETRI Fujitsu Network Gemplus Corp. Giga Telecom Inc. Glenayre Electronics Grayson Wireless GTRAN, Inc. Himachal Futuristic Communications Ltd. Hitachi Telecom (USA) Hutchison Telecom (HK) Hyundai CURITEL, Inc. InnovICs ISCO IUSACELL 3G Cellular, Inc. AAPT Communications Access Systems America Acer Communications Acterna Airbiquity, Inc. AirPrime Inc. Airvana Inc. ALLTEL Alpine Electronics Angola Telecom Anritsu AnyData Corp. ArrayCom Audiovox Communications Bell Mobility BellSouth International Celletra Ltd. China Unicom CIBERNET Corp. COM DEV Wireless CommWorks Corp. Compaq Computer Corporation Comverse Conductus, Inc. CTIA Denso International Ditrans Corporation Ericsson, Inc. 7

  8. CDG Membership (continued) KDDIKomunikasi Selular Indonesia Korea Telecom Freetel, Inc. Kyocera Corporation Leap LG Electronics, Inc. LG Telecom, Ltd. LinkAir Communications, Inc. Logica LSI Logic Lucent Technologies, Inc. MTNL Metapath Software Int’l Metawave Communications Motorola Nextel Communications Nokia Corporation Nortel Networks Novatel Wireless Openwave Operadora Unefon Pacific Bangladesh Telecom Ltd. ParkerVision, Inc. Pegaso PCS Pele-Phone Communications Pixo QUALCOMM, Inc. QuickSilver Technology Qwest Racal Instruments Reliance Infocom Limited Repeater Technologies Research In Motion Rhode & Schwarz RITT Samsung Electronics Co. Ltd. Sanyo Fisher Company Schema Ltd. SchlumbergerSema ScoreBoard, Inc. Sharp Labs of America 8

  9. CDG Membership (continued) Shinsegi Telecom, Inc. Shyam Telelink Limited Sierra Wireless, Inc. SignalSoft Corp. SK Telecom SmartServ Online, Inc. SmartTrust Sony Electronics Spirent Communications Sprint PCS Starent Networks Corporation Synertek, Inc. Tahoe Networks Tantivy Communications, Inc. Tata Teleservices Ltd. TDK Corporation Telecom Mobile Limited Telespree Communications Tellus Technology, Inc. Telstra Corporation Ltd. Telus Mobility Cellular, Inc. Texas Instruments U.S. Cellular Verizon Wireless WaterCove Networks Western Wireless Wherify Wireless Willtech, Inc. Winphoria Networks, Inc. Wireless Test Systems ZTE Corporation 9

  10. Fundamental principles of the CDG • Activities and requirements driven by the operators • Ensures standards and systems meet market need • Operators and manufacturers work closely together • Maintain flexibility to quickly respond to operator needs • Keep close relationships with standards organizations and other industry associations • Facilitates standards development and implementation 10

  11. Technical initiatives • Teams formed by Executive Board • Active technical teams: • Evolution/3G • System Test • Wireless Local Loop (WLL) • Mobile Station Certification • Over-the-Air Activation (OTA) Handset Management • International Roaming • Interoperability Specification (IOS) 11

  12. Technology Membership Marketing andPromotion • Address technical aspects of deploying applications on CDMA, including: • Interoperability • New capabilities • Etc. • Grow and evolve the membership to ensure the organization has the composition to address what needs to be done (technically, business, etc.). • Applications providers • Platform providers • Content providers Promote capabilities and other information relevant to developers. Promote what is being deployed on CDMA and impact on use. Applications initiative • Purpose is to ensure CDMA and the industry address the evolution toward an applications-focused wireless market • Complement existing industry and company initiatives • Program has three main components: 12

  13. Marketing, promotions, and education • Includes the following: • Website (for public promotion and members’ Intranet) • Public relations/press/media • Publications (contributed articles, member newsletter) • E-mail blasts on CDMA worldwide status • Conferences and forums • Platform presentations • Webcasts • Brochures, position papers, advertorials, advertisements 13

  14. Overview of cdmaOne 14

  15. IS-634 IS-95 Public WiredPhone Network(PSTN) “A” Switch Wireline Telephone Mobile StationsIS-98 Base StationsController IS-41IS-124 WIN Base StationsIS-97 Other CellularSwitches Intelligent Add-OnFunctions andDatabases What is cdmaOne? • cdmaOne is: • A global technology designator for IS-95 based CDMA systems • A term representing the entire wireless system and specifications (e.g., air interface, network interfaces) • The CDMA technology deployed in mobile wireless systems today 15

  16. Location-based Local Events Weather Restaurants Personal PIM Personal Home Page News & Finance Photos M-Commerce Shopping Stock Trading Banking News & Publications Entertainment Movie Listings Tickets Sports Gaming Music Enterprise Email Calendar Enterprise Apps How is cdmaOne being used today? • Like other technologies, voice remains a key driver for CDMA use • Operators are expanding on voice with new capabilities, e.g.: • Voice command • Voice portal • Integrated offers • In addition, there continues to be innovation in vocoder technology (I.e., selectable mode vocoder) • Today CDMA operators are also providing wireless Internet and data, and will build on this with CDMA2000 16

  17. What is cdmaOne presence in the market? • Approximately 112 million subscribers at the end of 2001 • North America represents the largest base of subscribers • Asia Pacific is second highest region; China expected to contribute significantly in the next couple of years • Latin America continues to be a strong growth region 17 Note: prior to March 1998 the Caribbean and Mexico are included in North America; after March 1998 they are included in Caribbean & Latin America

  18. Drivers and Considerations in Deploying 3G 18

  19. A number of factors are driving the wireless Internet and wireless information... • Societal trends • Emerging computer literate society • Increasing travel and mobility • Desire for entertainment • Need for enhanced productivity • Technology enablers • High speed, cost effective mobile systems • Integrated multimedia applications • Small, powerful, application-rich user devices • Market trends • Rapid growth in mobile • Rapid Internet adoption • Accelerating pace of electronic commerce (aka M-commerce) • Rapid growth of portable and palmtop computers 19

  20. …enabling exciting vertical and horizontal applications Enterprise Workgroup Mobile Professional Consumer • Specific IT Applications • Business Verticals • Group Chat, Email, Instant Messaging • Wide Area Intranet • Mobile Workforce Management (dispatch), Telematics • Business General • Horizontal Business • Internet / Intranet • Email, Chat, Instant Messaging • Personal Information Management • Personal Interest • Horizontal Consumer • Internet • Entertainment, Infotainment, Lottery, Sports • Navigation, Map Search • Electronic Cash (M-Commerce) Weather, Travel, News, Gaming, Stock Quotes Email, Intranet Access, Legacy ApplicationsAccess, Vertical Applications 20

  21. Wireless Data Users Millions 1,800 1,200 1,600 1,000 1,400 800 1,200 1,000 600 800 400 600 400 200 200 0 0 1999 2000 2001 2002 2003 2004 2005 1999 2000 2001 2002 2003 2004 2005 Data indicates that this convergence is creating enormous opportunity for the wireless industry Worldwide Wireless Subscribers Millions Source: The ARC Group, Wireless Internet Report, 2000 Source: EMC Database, 2001 21

  22. Solutions that are globally recognized and meet adopted, international standards Solutions that work, enable quick time-to-market and meet industry expectations Spectrum flexibility, efficiency and cost Broad range of competitively priced devices for end users (consumers, enterprises) Broad range of applications for end users Seamless and cost effective migration from today’s systems Certain factors are important in a 3G solution This section addresses each ofthese success factors 22

  23. The ITU formed the IMT-2000 program to coordinate standards to meet 3G needs IMT-2000 Terrestrial Radio Interfaces IMT-2000 CDMA Direct Spread IMT-2000 CDMA Multi-Carrier IMT-2000 CDMA TDD IMT-2000 TDMA Single Carrier IMT-2000 FDMA/ TDMA UWC-136/ EDGE DECT WCDMA(UMTS) CDMA2000 UTRA TDD & TD-SCDMA 3G CDMA Although there are five terrestrial standards, most of the attention and energy in the industry has been toward the CDMA standards 23

  24. WCDMA and CDMA2000 • What are some of the similarities and differences? 24

  25. Analog cdmaOne TDMA 1x 1x 1x 1x 1x 1x 1x 1x 1x GSM/GPRS Spectrum flexibility is a key consideration for any technology • CDMA2000 3G services operate in a small amount of spectrum • Effective use of spectrum, significant to all operators • Effective both in overlay or greenfield deployments Current Spectrum Or New Spectrum • CDMA2000 is defined to operate in existing and IMT spectrum: • 450 MHz • 700 MHz • 800 MHz • 900 MHz • 1700 MHz • 1800 MHz • 1900 MHz • 2100 MHz 1x Analog ANSI-41 Based Systems cdmaOne 1x 1x 1x 1x 1x TDMA GSM-MAP Based Systems 1x GSM or GSM/GPRS 5 MHz 25

  26. What is the CDMA2000 evolution path? CDMA2000 is a solution for all operators, regardless of technology starting point • Voice • Data up to 14.4 kbps • Voice • Data up to 115 kbps • 2x increases in voice capacity • Up to 307 kbps* packet data on a single (1.25 MHz) carrier • First 3G system for any technology worldwide • Optimized, very high-speed data, aka DO • Up to 2.4 Mbps* packet data on a single (1.25 MHz) carrier • Integrated voice and data, up to 4.8 Mbps, aka DV 26 *downlink

  27. PSTN Core Elements Internet What is the CDMA2000 network architecture?Is quite clean, and does not require a parallel network. Uses the same core network standard as TDMA and AMPS. CellPhones HLR/AUC MSC Smartphonesand PDAs IS634 AAAServer BSC R-P PSDN IWF Laptops withCell Phones IP Router 27

  28. CDMA2000 for GSM: • CDMA2000 1X-MAP (IS-833) • CDMA2000 1X lower layers using GSM signaling Developed by 3GPP2 with support from 3GPP GSM operators can also migrate to CDMA2000 • GSM carriers can use CDMA2000 1X-MAP (IS-833) • 1X-MAP (IS-833) applies the CDMA2000 radio interface to GSM-MAP networks • Allows GSM operators to retain international roaming capability • 1X-MAP is an ITU standard, developed by 3GPP2 with support from 3GPP • 3GPP also included changes in Release 99 for 1X-MAP support 28

  29. WCDMA* $1200 GPRS WCDMA handsets capable of peak data rates of 2 Mbps (stationary) CDMA2000 1X $1000 * Mid Tier and Entry Level WCDMA handsets are not expected to be commercially available in volume until 2004 $800 $600 High Tier GPRS handsets capable of peak data rates of 19.2 kbps to 38.4 kbps $400 $200 Mid Tier 1X handsets capable of peak data rates of 144 kbps to 2.4 Mbps (mobile) Entry Level $0 Q4 ‘00 Q4 ‘01 Q4 ‘02 Q4 ‘03 A look at expected pricing for handsets • Notes: • Average Q4 wholesale pricing for CDMA2000 is based on 300,000 unit shipments. • WCDMA pricing is based on smaller volume shipments since Gartner does not expect volume order for WCDMA until after 2003. • WCDMA pricing represents single mode 2.1 GHz and multimode dual band terminals for W. Europe and Asia. • GSM/GPRS pricing represents 900 MHz and 900/800 MHz terminals for W. Europe and Asia, plus GSM 1900 MHz terminals for N. America. • CDMA2000 1X pricing represents 800 MHz and 1.9 GHz, single mode, dual mode and tri-mode handsets for Asia and N. America. 29 Source: Gartner Group, April 2001

  30. Voice Voice Mail Fax Telephone (Voice) Data Weather, Traffic, News, Sports, Stock updates CDMA enables the kind of capabilities needed to realize significant advancements in services 1G Analog 2G CDMA 3G CDMA 2,000 384 144 128 Data Transmission Speed - kbps 64 32 9.6 0 30

  31. Data Weather, Traffic, News, Sports, Stock updates CDMA enables the kind of capabilities needed to realize significant advancements in services (cont.) 1G Analog 2G CDMA 3G CDMA 2,000 Text Messaging Audio Streaming 384 144 Voice 128 Data Transmission Speed - kbps 64 Mobile Radio Electronic Newspaper Voice Mail 32 Fax E-Mail Telephone (Voice) 9.6 Electronic Publishing 0 31

  32. Data Weather, Traffic, News, Sports, Stock updates CDMA enables the kind of capabilities needed to realize significant advancements in services (cont.) 1G Analog 2G CDMA 3G CDMA 2,000 Video Streaming High-speed Internet Text Messaging Audio Streaming 384 Remote Medical Service (Medical image) 144 Video Conference (High quality) Voice M-Commerce 128 Data Transmission Speed - kbps 64 Mobile Radio Electronic Newspaper Voice Mail 32 Fax E-Mail Telephone (Voice) 9.6 Video Surveillance, Video Mail, Travel Mobile TV Electronic Publishing 0 32

  33. Current State of 3G Deployment 33

  34. thousands 3G subscribers • 3.5 million CDMA2000 users at the end of 2001 (thousands) • Approximately 27 thousand subscribers on WCDMA (Japan)* 34 Source: Gartner Group, as of 12/31/01

  35. CDMA2000 products • Approximately 40 CDMA2000 products in the market 35

  36. 3G deployments • CDMA2000 deployments • 11 commercial networks deployed • 26 more commercial launches planned for 2002 36

  37. Concluding Remarks 37

  38. Summary • The wireless industry is on the verge of enabling applications and services never before imagined • Several factors are critical to the rapid adoption of 3G, including: • Current economic pressures and cost-effective solutions • Compelling and useful applications • Well-understood value proposition for the marketplace • Comparable experience with the wired network (as applicable) • Operators are faced with different alternatives for enabling capabilities and addressing these factors • CDMA2000 is making early successes in this new world 38

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