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ZTE is a leading global provider of telecommunications equipment and network solutions. The company delivers innovative, custom-made products and services to over 500 operators in more than 100 countries. Fan Qingfeng, executive vice president of ZTE, shares his views on the prospects of wireless technologies, engineering services, green revolution, and customer services.
ZTE is a leading global provider of telecommunications equipment and network solutions. The company delivers innovative, custom-made products and services to over 500 operators in more than 100 countries. Fan Qingfeng, executive vice president of ZTE, shares his views on the prospects of wireless technologies, engineering services, green revolution, and customer services.
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ZTE is a leading global provider of telecommunications equipment and network solutions. The company delivers innovative, custom-made products and services to over 500 operators in more than 100 countries. Fan Qingfeng, executive vice president of ZTE, shares his views on the prospects of wireless technologies, engineering services, green revolution, and customer services.
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Attribution Non-Commercial (BY-NC)
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Descărcați ca PDF, TXT sau citiți online pe Scribd
and Services As the New Year rings in, we interview Fan Qingfeng, executive vice president of ZTE Corporation. Fan Qingfeng is responsible for global marketing and sales and shares his views on the prospects of wireless technologies, engineering services, green revolution, and customer services. Tech Forum LTE Business Model In the foreseeable future, LTE business models may be found in high-speed and high-bandwidth Internet services, mobile Internet platforms, on-line wireless communities, and M2M communications. Business Opportunities in TD-LTE The abundant spectrum resources, technical advantages, and flexible networking features of TD-LTE may translate into great market opportunities. As the industry chain matures, TD-LTE has promising commercial prospects. LTE-A: Trailblazing Towards 4G Solution LTE Network Design and Deployment Strategy The pace of LTE development has quickened, and people have high expectations. However, it is a new technology and the whole industry needs time to optimize networks and develop mature terminals. 3 7 10 13 15 3 7 10 15 2 ZTE TECHNOLOGIES Pebruary 20ll Editorial Board Editor-in-Chief: Jiang Hua Deputy Editor-in-Chief: Huang Xinming Editorial Director: Zhao Lili Executive Editor: Yue Lihua Editor: Paul Sleswick Circulation Manager: Wang Pingping Subscription / Customer Services Subscription to ZTE TECHNOLOGIES is free of charge Tel: +86-551-5533356 Fax: +86-551-5850139 Email: wang.pingping@zte.com.cn Website: wwwen.zte.com.cn/endata/magazine Editorial Office Address: NO. 55, Hi-tech Road South, ShenZhen, P.R.China Postcode: 518057 Tel: +86-755-26775211 Fax: +86-755-26775217 Email: yue.lihua@zte.com.cn ZTE Profile ZTE is a leading global provider of telecommunications equipment and network solutions. It has the widest and most complete product range in the worldcovering virtually every sector of the wireline, wireless, service and terminals markets. The company delivers innovative, custom-made products and services to over 500 operators in more than 140 countries, helping them achieve continued revenue growth and shape the future of the worlds communications. Success Stories CSL: LTE Creating Blue Ocean Opportunities With a bit-cost advantage over 2G and 3G technologies, LTE can greatly reduce network deployment costs and increase an operators profit margin. For CSL, LTE is the ultimate technology for implementing a blue ocean strategy. VoLTE Takes Of at Mobile Asia Congress 2010 Third Eye Global IMS Market 2010 During 1H10, estimated 18.8 million IMS subscriber lines were shipped for deployment in wireline networks worldwide. Ericsson leads the market with 24% share worldwide followed by ZTE with 22.3% and NSN with 18.9%. News Brief 18 22 24 18 22 24 3 ZTE TECHNOLOGIES Pebruary 20ll Mr. Fan Qingfeng, executive vice president of ZTE corporation By Zhao Lili An lntervlew wlth Pan Qlngfeng, executlve vlce presldent of ZTL Corporatlon D ur i ng t he year 2010, cl oud computing, M2M, LTE, mobile I n t e r n e t , a n d t r i - n e t wo r k convergence are in the spotlight. Although some of these technologies are still in the concept stage, they are attractive because of t hei r pot ent i al t o bei ng enormous communi cat i on benef i t s . Compl ex businesses are underpinned by strong networks and green networking is the most practical way of dealing with difficulties arising from decreasing resources. To survive and develop, suppliers have to improve their capabilities. As the New Year rings in, we interview Fan Qingfeng, executive vice president of ZTE Corporation. Fan Qingfeng is responsible for global marketing and sales and shares his views on the prospects of wireless technologies, engineering services, green revolution, and customer services. Reporter: LTE is now widely seen as the evolution path for wireless networks. Could you tell us about ZTEs progress on LTE and its successful commercial cases? Fan Qingfeng: Without question, LTE will be the investment trend of the future. ZTE is continually expanding investments into LTE and its future evolution. We have v|P volce 4 ZTE TECHNOLOGIES Pebruary 20ll nearly 4000 R&D staff in Xian, Nanjing, Shenzhen, Shanghai, Europe, and America working on 4G. LTE R&D accounts for 40% of our total investments in the wireless sector. ZTE has worked with global operators to positively push LTE commercialization and has deployed 12 LTE commercial networks and 65 trial networks in Europe, America, Asia Pacifc, and the Middle East. Our cooperation with Hong Kongs CSL t o l aunch an LTE net wor k was a great success. Hong Kongs popul at i on dens i t y, s kys cr aper forest, and clustered CBD make for an extremely complicated wireless environment. Constructing large-scale wireless networks there is challenging. However, with strong support from CSL, and wi t h our engi neer i ng experience and technological research capabilities, we succeeded in deploying the worlds first LTE/DC-HSPA+ commercial network. We are proud of this accomplishment. Data traffic in CSLs network has increased 65 fold, and now comprises 80% of total network traffic. The network covers 50% of Hong Kongs population. LTE/DC-HSPA+ is the best model for accommodating both 3G and 4G networks. This network will lead CSL into a new era of mobile broadband for business and entertainment and will put Hong Kong at the forefront of global telecommunications innovation. It is a pacesetter in the industry in terms of the complexity of the wireless environment and technology of choice. ZTE also leads in LTE innovation. As of November 2010, ZTE held 235 essential patents for LTE, 7% share of the total LTE essential patents declared on the Intellectual Property Ri ght s (IPR) onl i ne dat abase of the European Telecommunications Standards Institute (ETSI). This is quite an achievement because it indicates we now have more say i n t opi cs concerning LTE. We are also aware that LTE is never a simple wireless network upgrade but is revolutionary for user experience and requires changes to be made to terminal, access, bearer, core network, and service applications. Operators are concerned about whether equipment vendor s can pr ovi de t ot al and integrated solutions when constructing an LTE network. With a flexible and robust SDR platform, a series of access and bearer products, the industry's largest capacity core network platform, and strong terminal customization capabilities, ZTE is an ideal partner for LTE construction. We have deployed more than 100 SDR-based wireless networks worldwide. Every one of these networks supports evolution to LTE. We are very confident that our LTE products will maintain their leading status well into the future. R: As the global economy develops and operators raise their expectations, t el ecom engi neeri ng proj ect s are becoming increasingly complicated. More and more importance is being placed on engineering services and project delivery. How do you view ZTEs capability in these areas? What level is ZTE at in terms of worldwide project delivery? Fan: As the global telecom sector gr ows, and mar ket compet i t i on escalates, operators expect much more from their equipment and service suppliers. The range and content of project delivery is changing. We continue to expand our services from equipment installation, debugging, and maintenance at the earliest stage, to full turnkey project delivery, managed The technology gap among equipment suppliers is narrowing, and engineering services and project delivery are an increasingly important area of differentiation. Quality project delivery can give an operator the advantage of quick entry into a market while excellent services allow an operator effective control over OPEX and CAPEX. v|P volce 5 ZTE TECHNOLOGIES Pebruary 20ll services, and professional services. Our professional services include network planning and optimization, maintenance and repair, communication guarantee, and security consultation. The technology gap among equipment suppliers is narrowing, and engineering services and project delivery are an increasingly important area of differentiation. Quality project delivery can give an operator the advantage of quick entry into a market while excellent services allow an operator effective control over OPEX and CAPEX. These enhance profitability and core compet i t i veness for an operator and determine the success of an operators brand. ZTE is devoted to providing its partners with fast, high quality end- to-end project delivery. We offer industry-leading custom-made turnkey solutions, helping operators lower their Total Cost of Ownership (TCO) and increase their Return On Investment (ROI). To enhance logistics effciency, we have bui l t a compl et e gl obal logistics network with several cargo transfer centres. This makes it possible to deliver quick and agile services in response to market fluctuations. Currently, we have more than 10,000 experienced engineers and technicians, over 1,600 Project Manager (PM) experts, and over 3,000 contracted partners around the world. We have the ability to set up a professional project delivery team at short notice. Moreover, we have built up a state- of-the-art project management system that allows for seamless integration of headquarters systems and distributed clients and enables visualized project management. ZTE is a well-established service brand. With cutting-edge expertise and professional and integrated service capability, ZTE is helping its operators build their network brands and quickly add to their commercial value. We completed Chinas 3G project in the shortest time and ranked highest in KPI tests. We worked with CSL to build the worlds fastest 3G network in Hong Kong and achieved the best scores in KPI tests. We cooperated with Ncell in deploying 3G stations at the worlds highest point in Nepal and completed the project one month ahead of schedule. We also accomplished a number of over s eas net wor k construction projects that have been highly recognized by KPN, Telenor, Teliasonera, Etisalat, Telefonica, and Telstra. ZTE is qualifed to build networks in complicated environments around the world. End-to-end delivery is the fourth trump card we have in conjunction with customization, cost leadership, and Chinese capital. It will become one of our core competitive advantages and a major contributor to ZTEs scale and proftability. It will help us achieve our objective of world-class excellence by 2015. R: Gr e e n ne t wor ki ng, c a r bon reduction, and energy conservation are developmental trends in the IT industry. They are also important proof that enterprises are fulfilling their social responsibilities. What ideas and plans does ZTE have in the area of environmental responsibility? Fan: ZTE has always taken sustainable development and corporate social responsibility seriously. We spare no effort in promoting green management, green cul t ure, green product i on, and green value chain. Innovation, convergence, and green are key in ZTEs three major developmental strategies. As for green strategies, we have put in place an effective mechanism for uniform management and i mpl ement at i on. Al l product lines and business units have a team dedicated to energy conservation and emissions reduction. We have set environmental KPI targets for all major products and key business activities, and t hey are i ncl uded i n annual performance evaluations. Our green strategy has been fully implemented in all major production and operational activities. Energy conservation is a key component of our green strategy, and emissions reduction is now a driving force for our product and technology innovation. We have incorporated these into the whole process of planning, design, R&D, manufacturing, and logistical support of our products. For example, we currently provide a variety of competitive power supply 6 ZTE TECHNOLOGIES Pebruary 20ll solutions including independent solar power, hybrid solar-diesel power, hybrid solar-wind power, and hybrid sol ar- wi nd- di esel power. These solutions are applied with careful regard to local climate and weather conditions. We have delivered solar- powered solutions to more than 40 operators in over 20 countries. In 2010, we successfully deployed eight 3G base stations on Mt. Everest using our custom-made, integrated green power solutions in the harsh natural environment. All energy supplied to these base stations comes from solar power, which ensures reliable operation 365 days a year without the need for electricity. We have al so adopt ed energy effciency measures for administration ma n a g e me n t . E- o f f i c e h e l p s improve work efficiency, and video conferencing reduces the need for business trips. In production and logistics, we have set up a special team for green materials management. This team is responsible for studying and implementing the Restriction of Hazardous Substance (RoHS) directive and REACH regulations. We achieved QC080000 HS management system certification in 2010 and successfully established a complete HS control pr ocedur e i nvol vi ng spar e par t s purchasing, product manufacturing, storage, and distribution. This satisfes the requirements of green product shipment and delivery. Also, we have been actively engaged wi t h i nt ernat i onal envi ronment al organizations and have won many awards for green innovation. Our broadband universal access system ZXDSL FSAP 9806H was awarded the prestigious Best Green Innovation award at Convergence World 2008 at SOFTNET England. The ZXDSL FSAP 9806H has low power consumption, low noise, high reliability, and high integrational capacity. In February 2009, ZTE became a member of the United Nations Global Compact. R: What do you think about building customer relationships in the current telecom environment? What kind of relationship is ZTE looking to build with global operators? Fan: Traditional business models of telecom operators are being challenged in the current environment. Telecom, IT, media, and entertainment industries are all interacting with each other and full-service operation has become a new trend for growth in global markets. In t hese ci rcumst ances, bui l di ng customer relationships also confronts new challenges. We have to provide state-of-art products and solutions and satisfactory project delivery, but we are also expected to think differently about building customer relationships. First and foremost, we need to listen to customer needs. Operators are looking for new technologies, new markets, and new sources of profit. Network equipment suppliers should analyze these needs seriously, offer solutions to issues of concern, and introduce new avenues for creating proft. Building customer relationships involves building trust and gaining recognition from our customers. We need to fulfil every promise we make and del i ver more t han expect ed. Customer relationship building does not succeed if customers lose faith in us. I hope we can grow with our customers through cooperation. By continually lowering TCO, we help operators increase network ARPU. By providing quality network coverage, we help operators enhance customer satisfaction and expand their subscriber base. Hong Kongs CSL, South Africas Cell C, and TELIASONERAs UCell have successfully partnered with ZTE for win-win cooperation. We hope to establish strategic partnerships and mutually beneficial relationships with our customers so that we can develop together. R: What is ZTEs development strategy for the future global marketplace? Fan: We are trying to offer quality telecom products and services to operators, governments, and enterprises around the world. We put much value on the real needs of our customers in providing integrated solutions, effective project delivery, and satisfactory customer service. Thanks to these capabilities, we continually improve customer satisfaction, and can establish strategic partnerships with operators worldwide, especially mainstream operators. Globally, we will continue to enhance our in-depth operation in emerging markets and spare no effort in extending into high-end European and American markets. We will also focus our attention on government and enterprise networks. In 2010, our terminal products experienced rapid growth with a signifcant 40% increase in shipment and over 100% increase for the European and American market. We will develop more smartphones a n d c o mp l e t e l y e n h a n c e o u r competitiveness. All in all, we are committed to providing customers with satisfactory information services by continuing to improve our innovation, by following up on market requirements, and by prospecting future technological advances and evolution. We are prepared to furnish the world with ZTE products and services and contribute to global information development. v|P volce 7 ZTE TECHNOLOGIES Pebruary 20ll LTE Business Model By Guo Jin A t the LTE World Summit in 2008, the whole telecom industry weighed the choice between LTE and WiMAX. At that time, LTE was only vaguely understood, and much was made of its fast 150Mbps downlink rate. At the LTE World Summit in 2009, the industry came to understand the importance of LTE and began discussing the challenges faced by LTE. Such challenges included the 2.6GHz band coverage and voice over LTE (VoLTE). At the LTE World Summit in 2010, the focus of attention shifted from networking to utilizing LTE for in-service operation with the view of a commercial rollout by TeliaSoneraa tier-one operator in Scandanavia. TeliaSoneras report on LTE commercial operation has aroused discussion about LTE business models. Drivers of LTE Radio technologies are moving from voice to data, from narrowband to broadband, from single-mode to multimode, from multiple technologies to key technologies dominated by OFDM and MIMO. However, there is only one goal underlying these trends: to provide more wireless bandwidth. LTE is an important stepping stone on this evolutionary path. What has driven the rapid development of LTE in recent years? One of the most important factors has been growing market demands for wireless data services. Users need fast and convenient data services through their terminals, and operators need all-IP networks for high- speed data connectivity. Competition between fxed-line and mobile operators has also driven the evolution of radio technologies. Moreover, Tech Porum 8 ZTE TECHNOLOGIES Pebruary 20ll
3G services have grown rapidly,
wireless broadband data traffic is surging, and user habits have been fully developed. Sales of 3G terminals and data cards have also grown rapidly.
Wireless data revenues have risen
substantially and now account for a larger portion of operators total income. Statistics collected by Qualcomm from Vodafone, Telstra, Verizon, and AT&T show that wireless data services increased by an average of 30% from 2008 to 2009. These tier-one mobile operators are all running LTE trials. Verizon announced its commercial LTE network in December 2010.
Wireless data volume exceeds
that of voice, and data revenue is now greater than voice revenue. CSL, Hong Kongs largest mobile operator, has seen an explosive growth in data traffic since the launch of commercial HSPA+ in March 2009. CSL continued its LTE cooperation with ZTE, aiming at future mobile applications that can meet strong demands for high- speed broadband services.
Trial and commercial LTE plans of
competitors should be considered. Tier-one operators, multinationals, and t he l argest oper at or i n a country are always leaders in LTE deployment. LTE trials are usually run to build a high-end brand image. The second largest operator in a country also usually develops LTE in order to catch up with or even Figure 1. Growth of wireless data revenues for tier-one mobile operators 2008-2009. Tech Porum the growth of wireless data traffic has brought in more revenue for operators which have, in turn, pushed forward radio technologies. Another driving force has been operators seeking higher benefts and lower costs. When to Deploy LTE The t i mi ng of LTE ne t wor k deployment is affected by the progress of LTE standardization and maturity of commercial LTE terminals and systems and al so by t he economi c l evel , demands for wireless data services, user habits, and spectrum licenses issued by governments. This means the timing of LTE deployment may vary from country to country. Only deploying at the right time brings the best return on investment. This is fundamental to a proftable LTE business model. As evidenced by the premature deployment of 3G, there are risks related to unfinalized 3GPP specifications, poor interoperability (even between terminals and systems of the same manufacturer), mobility of 2G and 3G, poor coverage, and lack of terminals and services. These issues can well be regarded as a checklist for successful LTE deployment. So too, late deployment might mean that good market opportunities slip by. How should an operator decide the proper time to deploy LTE? This is a hard question. The following points should be considered: Only deploying at the right time brings the best return on investment. This is fundamental to a profitable LTE business model. 664M 888M $1.5B $2.0B $3.2B $4.1B $2.7B $3.6B J un Q' 08 J un Q' 09 J un Q' 08 J un Q' 09 Sep Q' 08 Sep Q' 09 Sep Q' 08 Sep Q' 09 Data Revenues (British ) Data Revenues (Australian $) Data Revenues (US $) Data Revenues (US $) 34% Growth 31% Growth 29% Growth 33% Growth 9 ZTE TECHNOLOGIES Pebruary 20ll surpass the leader. Business Models An LTE network provides a data rate of up to 100Mbps in the downlink and 50Mbps in the uplink. These high data rates greatly enhance user experience. Studies on LTE business models are ongoing, and recent studies have focused on mobile Internet. In the foreseeable future, LTE business models may be found in high-speed and high-bandwidth Internet services, mobile Internet platforms, on-line wireless communities, and Machine-to- Machine (M2M) communications.
High-speed and high-bandwidth
Internet services LTE gi ves users a hi gh-speed service experience. TeliaSonera carried out a user survey 100 days after it launched LTE. According to the survey, those who subscribed to LTE early had begun to like the technology. Over 90% of those surveyed were originally 3G users and 43% owned iPhones. 65% used LTE to supplement fixed bandwidth and 54% would not consider turning back to 3G. The new technology is shaping mobile Internet usage habits: 26% of those surveyed said they would use their mobile more for work, 23% downloaded larger fles than before, 19% would watch on-line TV or streaming movies, and 16% were using Internet more often as a result of subscribing to LTE. Al l t hi s shows t hat user s ar e demanding better mobile broadband experi ence whenever condi t i ons allow. Once they have the improved experience, it is hard to turn back to the lower-rate service. As the old Chinese saying goes, It is hard to become frugal after being accustomed to luxury. The emergence of cloud computing is further boosting the prosperous development of Internet data services.
Mobile Internet platforms
From voice only mobile phones to multimedia phones and iPhone and Android terminals, mobiles have tended to develop into Internet platforms. This is also the developmental trend of computers. Terminals are evolving into Internet service platforms where all processing is completed via service plug-ins to the cloud and using a background high-speed mobile data network.
Online wireless communities and
M2M communications The ultimate goal of communications is to connect anything or anyone to anything or anyone from anywhere at any time. New technologies such as network convergence, all-IP, and RFID have made this goal possible. LTE and LTE-Advanced are important stepping stones in the path toward this ultimate goal. Mobile Internet platforms have been introduced to provide users with fast and easy access to a variety of local and Internet applications. People will change from using fixed terminals to using mobile terminals and from point-to-point connections to online communities and games circles. Wi t h t he t r end t owar ds hi gh- bandwidth all-IP networks, M2M technologywhich allows the flow of data to be transferred in real time between machines or between people and machines using wireless networks and background server networks has been commerci al l y depl oyed in Europe, Korea, and Japan. M2M applications can be found in safety monitoring, mechanical and repair service, public transportation, fleet management, industrial automation, and citywide information networks. Operators currently providing M2M services include BT, Vodafone UK, T-Mobile, NTT-Docomo, and SK. The development of M2M services has just started in China. Conclusion Evolution in the telecommunications industry is unceasing. There will be chal l enges accompani ed by oppor t uni t i es . I n t he LTE age, operators and equipment suppliers must understand the latest changes and quickly adapt by preparing for new business models and new sources of proft. Figure 2. Computers and mobile phones evolving toward Internet platforms. l0 ZTE TECHNOLOGIES Pebruary 20ll Figure 1. Abundant TDD spectrum resources worldwide. By Liu Min Tech Porum Business Opportunities in Abundant Spectrum Resources G rowth in mobile data traffc has brought new profit to mobile operators across the world. Statistics show that data revenue of Verizon, AT&T, T-Mobile, Vodafone and other mainstream operators has increased by an average of 30%. Therefore, much attention is now being focused on data and broadband services. Obtaining more spectrum resources and increasing spectrum efficiency has become of great importance. Spect r um r esour ces f or Ti me Division Duplex (TDD) are abundant. 2.3GHz and 2.6GHz are the most common TD spectrum bands for TD- LTE, but most of these bands are not being used. TDD spectrum resources are available in many countries and available for many operators. Of the 300 operators who have TDD spectrum resources, 66% own 2. 3GHz and 2.6GHz bands. Promising Market Opportunities TD- LTE i s at t r act i ng l eadi ng operators around the world. Many of the top 500 telecom operators own a chunk of TDD spectrum and are vigorously pushing forward TD-LTE development. China Mobile owns 2.3GHz and 2.6GHz TDD bands and is leading in the promotion of TD-LTE. After completing the fourth phase of its TD- SCDMA network construction, China Mobile will boast the worlds largest 3G network with 220,000 TD base stations by Q1 2011. The operator will call for bids on the evolution of its TD- SCDMA networks in the first half of 2011. Its commercial TD-LTE network is expected to be deployed in one to two years. Mainstream European operators Vodafone, Deutsche Telekom, KPN, and O2 have al l acqui r ed TDD spectrum and are actively researching TD-LTE technologies and application models. Deutsche Telekom completed its trial TD-LTE network in the second half of 2010 and has started testing the network. ll ZTE TECHNOLOGIES Pebruary 20ll In June 2010, Qual comm won Indias 2.3GHz Broadband Wireless Access (BWA) spectrum auction for TDD development in four regions of the country. Qualcomm has promised to set up a joint venture to build an LTE network. This demonstrates that Qualcomm has TD-LTE in its strategic plan. Mobi l e oper at or s i n t he U. S. including AT&T, Verizon, and America Mobil have promised to support TD- LTE. Leading operators in Japan and Korea have also played an active role in promoting TD-LTE. Other operators with WiMAX, PHS (1900-1920MHz), and TD-SCDMA will also choose TD- LTE as their migration path. TDD spectrum is easy to acquire, and there is less competitive pressure in acquiring it. The price of TDD spectrum in each country is much lower than that of FDD spectrum. Because FDD spectrum is very limited and expensive, more and more operators are considering TDD for feature-rich data services and hotspot area coverage. Using time division technique, TD- LTE allows fexible timeslot allocation in the downlink and uplink. This meets both voice and asymmetric data needs and greatly increases spectrum effciency. TD-LTE can share the same core network with an FDD system and can support fexible networking. It can serve as an independent network for hotspots and blind area coverage or as a supplement to the FDD system for data services. LD-LTE has promising and widespread applications. Fast-Growing TD-LTE Industry Driven by operators, standardization organizations, equipment vendors, and chipset makers around the world, the TD-LTE industry is growing rapidly. Members of the Next Generation Mobile Networks (NGMN) Alliance include China Mobile, NTT DoCoMo, Vodafone Orange, T-Mobile, AT&T, as well as 29 mobile network and terminal suppliers including Ericsson, Nokia, Samsung, and ZTE. Together these companies are actively promoting standardization of TD-LTE. So far, 3GPP R9 specifications have been completed, and the standardization progress of TD-LTE has kept pace with that of LTE FDD. Testing of TD-LTE technology and networking organized by the LTE/SAE Trial Initiatives (LSTI) was first conducted by China Mobile and has produced favorable results. The TD-LTE industry chain has been established and is growing fast. It comprises chipset providers, terminal providers, infrastructure equipment manufacturers, and testing instrument providers. Al l chi pset pr ovi der s pl an t o launch 3G/LTE multimode chipsets in early 2011. The development of LTE chipsets drives the development of terminal products. Nokia, Samsung, LG, Motorola, ZTE, and Shanghai Bell will unveil a number of LTE terminals in 2011. LTE TDD/FDD dual-mode terminals will be the mainstream offerings, and this will further promote the fexible deployment of TD-LTE. Equipment manufacturers Ericsson, Nokia-Siemens, Alcatel-Lucent, ZTE, and Huawei have all developed TD-LTE series equipment that can be applied in different scenarios. These products have been tested in the TD-LTE trial networks of China Mobile and overseas operators. Presently, they support 2.3GHz and 2.6GHz bands and will support 1.9GHz and 2.1GHz bands in the future. Test i nst r ument manuf act ur er Anritsu has announced its MT8820C will support TD-LTE radio testing. Rohde & Schwarz and Anite also provide many types of testing and measuring equipment. As the industry chain matures, commercial TD-LTE is just around the corner. ZTE Leads the TD-LTE Industry Smooth evolution ZTE provides a Uni-RAN solution based on an innovative SDR hardware Figure 2. The TD-LTE industry chain. Chipset Providers Terminal Providers Equipment Providers Test Instrument Providers l2 ZTE TECHNOLOGIES Pebruary 20ll Tech Porum platform. The Remote Radio Unit ( RRU) s uppor t s 700MHz , DD spectrum, 900MHz, 1800MHz, AWS, 2.1GHz, and 2.6GHz bands. The Base Band Unit (BBU) supports GSM, UMTS, and LTE radio modes, which allows for fast network deployment. The Uni - RAN s ol ut i on enabl es smoot h net work evol ut i on whi l e protecting investment to the greatest possible extent. This helps operators signifcantly reduce their TCO. Large-capacity base stations ZTEs single BBU supports up to 18 TD-LTE cells, each having a bandwidth of 20MHz. The maximum throughput per cell is 100Mbps in the downlink and 50Mbps in the uplink, and the RRU provides power output of up to 220W. The RRU also supports multiple modes for different coverage scenarios. Both IP over E1 and IP over PE/GE are supported. Flexible net worki ng and good scal abi l i t y helps operators cut their network construction costs. Compact and eco-friendly design ZTEs di st r i but ed BBU+RRU enables simple and flexible zero- footprint deployment. The BBU is the smallest in the industry and can be mounted on the wall or embedded in a 19-inch rack to save space. The RRU is small and lightweight. It is naturally cooled, silent, and saves power. End-to-end full-service solution ZTE is dedicated to offering TD- LTE pr oduct s t hat meet var i ous deployment scenarios. Its end-to- end, customized, full-service solution encompasses services, core networks, radio systems, and terminals. Worldwide deployments With fast growth of the industry chain, TD-LTE trial networks have been deployed in China, Japan, India, Russia, Germany, Ireland, and the U.S. As of October 2010, ZTE has signed agreements with ten leading operators to build TD LTE trial networks. ZTE is leading the industry in TD-LTE deployment worldwide.
China Mobile started TD-LTE
tests involving an indoor system, terminal chipset, and large-scale outdoor network at the end of 2008. It plans to initiate TD-LTE trials in Shanghai, Guangzhou, Shenzhen, Nanjing, Hangzhou, and Xiamen in early 2011. A total of 3000 TD-LTE base stations will be deployed, and ZTE will be one of the main vendors for the network deployment.
ZTE was chosen by Europes
largest mobile operator to supply TDD equipment for TD-LTE field testing in February 2010. Phase I of testing was completed in July and produced good results. Phase II and III are expected to be completed in the frst half of 2011.
India issued two BWA licenses in
August 2010, and ZTE entered into an agreement with major local operators to help them build several TD-LTE trial networks across the country.
In September 2010, ZTE cooperated
with Russias largest integrated network operator to deploy a 2.3GHz TD-LTE trial network in Sochi. ZTE demonstrated a peak data rate of 130Mbps and won high praise from Russian leader Vladimir Putin. Conclusion The abundant spectrum resources, technical advantages, and flexible networking features of TD-LTE may translate into great market opportunities. As the industry chain matures, TD-LTE has promising commercial prospects. ZTE was one of the earliest players in the TD-LTE field and has an industry- leading outlook. With its visionary outlook and years of TDD experience, ZTE is developing excellent TD-LTE concepts and solutions. The company is working together with operators worldwide to create higher value and to seize upon new market opportunities. Figure 3. Multiband and multimode support of Uni-RAN. GSM UMTS WiMAX LTE TD-SCDMA CDMA l3 ZTE TECHNOLOGIES Pebruary 20ll By Mi Dezhong I n a new report entitled 4G LTE Revenue Opportunities, Juniper Research forecasts that by 2014, revenue generated by LTE mobile networks will exceed $100 billion U.S. globally. These revenues will be driven by laptops, smartphones, and other devices with a large proportion of r evenues der i vi ng f r om hi gh traffic subscribers using web, email, and video. For this reason, mobile operators are now speeding up LTE commerci al i zat i on. GSAs report Evolution to LTE (August 2010) details 101 LTE network commitments in 41 countries. After two years of standardization, the first release of LTE-A Rel-10 will be frozen in March 2011. LTE-A provides larger bandwidth, higher spectrum efficiency, and higher peak data rates than LTE. Performance is optimized in urban hotspots, cell edges, and heterogeneous network envi ronment s, enabl i ng seaml ess coverage from macro cells to indoors areas. LTE-A is highly compatible with LTE and introduces key techniques that meet and exceed ITU requirements for 4G. It can therefore be regarded as a real 4G standard. Carrier Aggregation I n wi r el es s communi cat i ons , spectrum is a highly valuable resource and accounts for considerable OPEX. Many operators own several continuous or non-continuous spectrum resources, and capitalizing on these resources has been their focus of attention. To address the frequency bottleneck, Carrier Aggregation (CA) has been introduced into LTE-A. CA supports aggregation of both continuous and non-continuous car r i er s, as shown i n Fi gur e 1. Continuous carrier aggregation is used for super-high bandwidth. Non- continuous carrier aggregation has a much wider range of applications than continuous carrier aggregation. Because spectrum is usually scattered on various frequency bands, and many discrete small-bandwidth spectrum resources are released when 2G/3G networks evolve to 4G, aggregating these scattered spectrum resources is important. Coordinated Multi-Point Tx/Rx With the emergence of new services such as Local by Social (LBS) and popularity of multimedia terminals, Trailblazing Towards 4G Figure 1. Schematic diagram of carrier aggregation. CA for Continuous Carriers CA for Non-continuous Carriers l4 ZTE TECHNOLOGIES Pebruary 20ll with LTE, LTE-A supports up to four transmit antennas in the uplink and the number of transmit antennas is expanded from four to eight in the downlink (see Figure 3). This greatly improves spectrum efficiency and transmission quality. Wireless Relay Coverage i n remot e areas has been a hard nut to crack in wireless communications. An effective solution is to introduce a relay node or relay st at i on bet ween eNB and UE, as shown in Figure 4. The relay node is connected to eNB via a wireless link. This reduces network deployment cost considerably. Moreover, relay can improve high data rate coverage in urban hotspots, provide coverage in blind areas, and support group mobility and temporary network deployment. LTE-A has complete 4G technical f eat ur es , and i t s s t andar ds and techniques have been thoroughly researched. Since LTE-A requirements were first put forward, ZTE has taken an act i ve part i n draft i ng LTE-A standards and submitting proposal that have been adopted by 3GPP. Presently, a number of LTE-A issues are being worked through, and various standards are being perfected. ZTE successfully demonstrated an LTE-A system at the P&T/Expo Comm China in October 2010. Visitors to the expo witnessed a download peak rate of 1Gbps delivered by 4G technology. ZTE is now working hard to develop LTE-A technology and has made good inroads to this end. The company plans to roll out commercial LTE-A products in 2012. This will allow people to enjoy feature-rich services and high-speed connectivity using mobile broadband. wireless services can be accessed anywhere and at anytime. However, communication quality can be affected by multicell interference and can be dramatically reduced at cell edges. Coor di nat ed Mul t i - Poi nt Tx/ Rx (CoMP) significantly improves cell- edge user throughput by employing multicell coordination, as illustrated in Figure 2. Users can access smooth and fast Internet whether they are in cell centre or at the cell edge. Enhanced MIMO Multi-Input Multi-Output (MIMO) improves signal quality and spectral efficiency using multiple antennas for transmission and reception. Compared Tech Porum Figure 2. Schematic diagram of CoMP. Figure 3. Schematic diagram of enhanced MIMO. Figure 4. Schematic diagram of relay transmission. UE eNB UE RN MIMO 8x8 in DL MIMO 4x4 in UL Cell 1 Cell 3 Cell 2 l5 ZTE TECHNOLOGIES Pebruary 20ll Solutlon By Chen Huadong T he report entitled Evolution to LTE released in October 2010 by the Global mobile Suppliers Association (GSA) confirms that 156 operators in 64 countries are currently investing in LTE. This fgure comprises 113 firm commitments by operators to deploy commercial LTE systems in 46 countries, and a further 43 pre- commitment trials or pilots in an additional 18 countries. The pace of LTE devel opment has quickened, and people have high expectations. However, it is a new technology and the whole industry needs time to optimize networks and develop mature terminals. Compared wi t h 2G/ 3G, LTE has di f f er ent architecture, key technologies, network design, and planning. Continuous Networking vs. Discontinuous Networking The coverage of some wireless data servicesincluding WiFimay be discontinuous. However, 2G/3G mobile networks are designed for continuous coverage. LTE mobile broadband technology is now widely seen as the evolution path for 2G/3G LTE Network Design and Deployment Strategy mobile networks such as GSM/GPRS/ EDGE, WCDMA/HSPA and CDMA/ HRPD. Although WCDMA and CDMA networks are fundamentally continuous, HSPA or HRPD can be designed for either continuous or discontinuous coverage. Most LTE networks are designed according to the continuous principle. Continuous networking improves user experience at cell edges, reduces inter-RAT handover requirements, and f aci l i t at es evol ut i on f r om 2G/3G to LTE. In LTE continuous networking, consideration needs to l6 ZTE TECHNOLOGIES Pebruary 20ll Solutlon should take into account not only frequency bands and Half Power Beam Width (HPBW) but also the number and polarization of antenna elements. Two antennas per sector is the basic configuration for initial LTE networking. For scenarios in which coverage or capacity is sensitive, four antennas per sector can be adopted. ZTEs LTE base stations support two antennas or four antennas per sector. Co-Site vs. New Site Co-siting 2G, 3G, and LTE base stations means that equipment racks, transport, power supply, and air- conditioning can be shared. ZTEs Uni-RAN solution integrates 2G, 3G, and LTE into a multimode unified platform and supports co-site design, i mpl ement at i on, oper at i on, and maintenance. Whi l e new s i t es ar e bui l t t o meet different frequency bands and networking requirements, co-siting is used as much as possible. New sites are complementary. Emerging LTE operators who have no legacy mobile networks may deploy new sites for greenfeld networks. Cell Capacity LTE cell capacity involves peak throughput and spectral effciency. Peak throughput is only achieved under ideal be given to continuous coverage of RSRP, RSRQ, best service cells, and traffc channels in both the uplink and downlink (PUSCH and PDSCH). LTE discontinuous coverage is usually applied in special scenarios such as discrete hotspots. Discontinuous coverage takes advantage of high- order modulation and coding under good radio conditions to improve cell throughput and user experience at cell centers. Frequency and Bandwidth LTE has many spectrum options. Frequency bands available for LTE i ncl ude 2. 6GHz, 1. 8GHz, AWS (1.7GHz in the uplink and 2.1GHz i n t he downl i nk) , 700MHz, DD (800MHz), and 2.1GHz. Such a wide range of frequency bands makes it possible to deploy LTE in different countries. However, different frequency bands bring about challenges for LTE equipment production, networking, and LTE-based international roaming. LTE also supports flexible carrier bandwidthsfrom 1. 4MHz up to 20MHz (1. 4MHz, 3MHz, 5MHz, 10MHz, 15MHz, and 20MHz). In most cases, LTE FDD supports a symmetric bandwidth in the uplink and downlink. For scenarios with bandwidth and interference restrictions, asymmetric bandwidths between the uplink and downlink may be supported. Intra-Frequency Networking vs. Inter-Frequency Networking The quality of an LTE network is primarily affected by inter-cell intra-frequency interference. Serious interference of this type may be caused by intra-frequency networking, and the simplest way to alleviate it is to use inter-frequency networking. However, i nt er-frequency net worki ng may decrease spectrum effciency. So Inter- Cell Interference Coordination (ICIC) is introduced. ICIC can be implemented in several ways. Dependi ng on t he per i od of resource coordination, ICIC is classified into static ICIC, semi-static ICIC, and dynamic ICIC. It can also be classified into fractional frequency reuse, soft frequency reuse, and full frequency reuse according to the type of resource coordination. No matter which ICIC solution is used, frequency allocation for cell edge users needs to be carefully considered. The cell edge can have a frequency reuse factor of 3 while the cell center has a frequency reuse factor of 1. Antenna and MIMO Multiple Input Multiple Output (MIMO) t echnol ogi es have been introduced into LTE. Antenna selection Figure 1. Networking based on different frequency reuses. Figure 2. Frequency reuse for the cell center and cell edge. f 1 f 1 f 1 f 1 f 2 f 3 f c f c f c f 1 f 2 f 3 Frequency Reuse 1 Frequency Reuse 3 ICIC 1 2 5 3 4 7 6 l7 ZTE TECHNOLOGIES Pebruary 20ll
Cover densely-populated urban
areas in capital and metropolitan cities;
Cover densely-populated urban
areas in ordinary cities;
Cover suburban or rural areas in
capital and metropolitan cities;
Cover other areas.
ZTE has much exper i ence i n deploying 2G, 3G, and 4G networks worldwide. As of December 2010, ZTE has concluded 12 LTE commercial contracts and built 65 LTE trials all over the world. With full confidence in the ability to design, plan, and deploy LTE networks, ZTE is ready to join hands with global operators in building cutting- edge LTE networks. conditions, while spectral efficiency is based on real network conditions. Cell peak throughputs for different bandwi dt hs compl y wi t h 3GPP specifications. Cell spectral efficiency varies in different radio environments and traffc models and can be measured through network tests or be estimated using system simulation. Radio Network Planning Planning for LTE networks is similar to that of 2G/3G networks, though detailed contents and parameters are different. Procedures for LTE network di mens i oni ng and pl anni ng ar e illustrated respectively in Figure 3 and Figure 4. LTE network dimensioning involves input of frequency and bandwidth, cover age and QoS r equi r ement , target services at cell edge, number of subscribers, traffic profile per subscriber, and indoor penetration. Maximum Allowed Path Loss (MAPL), cell range, number of sites and sectors, and eNodeB confguration are included as output. C o m p a r e d w i t h n e t w o r k dimensioning, digital map is additional input necessary for detailed network planning. Additional output for detailed network planning includes uplink and downlink coverage simulation result, uplink and downlink achievable bit rate Table 1. Cell peak throughputs for different bandwidths. 1.4MHz 3MHz 5MHz 10MHz 15MHz 20MHz DL (SISO) 4.392 Mbps 11.064 Mbps 18.336 Mbps 36.696 Mbps 55.056 Mbps 75.376 Mbps DL (MIMO 22) 8.784 Mbps 22.128 Mbps 36.672 Mbps 73.392 Mbps 110.112 Mbps 150.752 Mbps DL (MIMO 44) 17.52 Mbps 44.304 Mbps 73.392 Mbps 150.752 Mbps 220.272 Mbps 299.552 Mbps UL (SIMO MCS=23) Category 4 (16QAM) 2.984 Mbps 7.48 Mbps 12.576 Mbps 25.456 Mbps 37.888 Mbps 51.024 Mbps UL (SIMO) Category 5 (64QAM) 4.392 Mbps 11.064 Mbps 18.336 Mbps 36.696 Mbps 55.056 Mbps 75.376 Mbps map, antenna azimuth and tilt, cell ID and neighbor cell parameters. ZTE ha s de ve l ope d i t s own t ool s s uch as ZXPOS CNP- FL, ZXPOS CNT- FL, ZXPOS CNA- FL, and ZXPOS NEXMAX-FL for LTE network design, planning, and optimization. Other LTE network planning tools such as Atoll by Forsk have also been released. Versions of these tools are continually updated. Network Deployment Strategy LTE offers mobile data service with QoS guarantee. It can cover densely- populated urban areas, suburban areas, or rural areas. A nationwide LTE network can be deployed in four steps: Figure 3. LTE network dimensioning procedure. Figure 4. LTE network planning procedure. Coverage and Capacity Target Radio Network Design Site Selection and Survey Network Planning and Simulation Requirement Satised Radio Network Proposal Propagation Model Calibration Information Collection N Y Information Collection Network Deployment Requirement Coverage Design Capacity Design Number of Sites Required l8 ZTE TECHNOLOGIES Pebruary 20ll Blue Ocean Opportunities By Zheng Hong and Fu Yu Success Storles LTE Creating pioneer in LTE: External factors:
Hong Kong has a highly saturated voice
market with a mobile penetration rate of 173% in 2009;
Hong Kong has a large youth market who
demand quality data services;
There is high data throughput for each base
station due to high population density;
A new business model has arisen with iPhone;
I n the aftermath of the global financial crisis, LTE development is thriving. This is especially true in North America and Europe where commercial LTE networks have already been deployed. Hong Kong is a leader in the Asian telecom industry, and LTE is the inevitable choice for network evolution throughout the city. CSL, the largest mobile operator in Hong Kong, is pushing hard to be the frst to deploy LTE. So why has CSL chosen ZTE as its LTE supplier? The following factors are driving CSL to be a l9 ZTE TECHNOLOGIES Pebruary 20ll that there is a strong need for LTE i n Hong Kong and for provi si on of superior customer experience. CSL needs high-bandwidth, low- cost network technology to enhance its market competitiveness. With a bit-cost advantage over 2G and 3G technologies, LTE can greatly reduce network deployment costs and increase an operator s profit margin. For CSL, LTE is the ultimate technology for implementing a blue ocean strategy. Best Network Solution for the Most Complicated Wireless Environment One of the most prosperous cities in the world, Hong Kong is famous for its forest of skyscrapers and vibrant downtown areas. The environment in which wireless networks must operate is extremely complicated, and constructing wireless networks is challenging. CSLs four original networks with dual modes and t hree frequency bands had high maintenance costs and were not competitive in data services. Their complicated network structures made upgrading difficult. To simplify network structure, CSL adopted ZTEs SDR-based Uni-RAN solution, which allows for coexistence of 2G, 3G, and LTE. With distributed BBU+RRU, better use can be made of equipment rooms and diffculty in acquiring new sites is avoided. CSLs network structure was simplified in terms of wireless, core, transmission, and management . Operat i on and maintenance costs were reduced by an astonishing 61.4%.
Fierce competition exists between
mobile operators in Hong Kong. Internal factors:
CSL previously had a declining
market share and APRU;
User loyalty is low due to mobile
number portability service;
High bandwidth is required for new
technologies and services;
CSLs net wor k st r uct ur e has
previously been complicated and ineffcient, and OPEX was high;
Network convergence and evolution
was diffcult. Since the launch of the Next G all-IP mobile broadband network i n Mar ch 2009, dat a t r aff i c has i ncreased by a fact or of 65, and now comprises more than 80% of CSLs total network traffc. It is clear 20 ZTE TECHNOLOGIES Pebruary 20ll With this groundbreaking technology, CSL is making the promise of LTE a reality for Hong Kong and creating a network that will establish the city as a telecommunications leader. Success Storles CSL adopts ZTEs unified SDR platform that can migrate to 4G network flexibly. The construction cost will be significantly reduced and the network building speed will be much faster than other operators. David Thodey, CEO of Telstra Corporation Tarek Robbiati, group managing director of Telstra International Group Sai Kung Site Lan Kwai Fong Site Tsim Sha Tsui Site Mong Kok Site Worlds First Commercial LTE/DC- HSPA+ Network On 18 October 2010, CSL went on a medi a t our t o i nt roduce i t s commercial LTE/HSPA+ network. A l i ve LTE/ HSPA+ net work was SDR is an innovative technology at t he f or ef r ont of t he wi r el ess broadband revolution. ZTEs state- of-the-art SDR technology not only reflects the companys keen pursuit of advanced technology but also its precise grasp on future technical trends. The SDR-based Uni-RAN solution for CSL has the following attractions:
Unified and future-oriented SDR
pl at form t hat enabl es smoot h network evolution while protecting investment to the greatest possible extent;
Rapid customization and service
development that satisfies the r equi r ement s f or mul t i band, multimode radio reconfguration;
Enhanced spectral efficiency, peak
data rate, throughput, cell edge coverage, and QoS that ensures excellent network quality;
The worl ds fi rst commerci al
1.8G/2.6G dual-band LTE network that takes advantage of CSLs spect r um posi t i on t o pr ovi de customers with better coverage for a more satisfying communications experience. showcased at four sites, and among the audiences were Tsim Sha Tsui, Lan Kwai Fong, Mong Kok, and Sai Kung. Multimedia conferencing, HD video downloads, high-speed tests, and online games were demonstrated. The actual download speed confirmed by testspeed.net ranged from 50Mbps to 70Mbps. The demo achieved good results and gave media delegates a frst- hand experience of impressive high- speed LTE services. 2l ZTE TECHNOLOGIES Pebruary 20ll Awards and Recognitions
June 2009: CSL and ZTE were awarded the prestigious
National Mobile Services award for Wireless Network Infrastructure at the GTB Innovation Awards in London. This award recognized the outstanding achievement of fully replacing CSLs original 2G and 3G networks with a world- class integrated all-IP SDR based HSPA+ network capable of downlink speeds up to 21Mbps.
June 2010: CSL and ZTE won the LTE Infrastructure
Innovation award for the second consecutive year. This was awarded by Global Telecoms Business magazine for innovation in CSLs Next G network. With an impressive peak rate of 21Mbps, the Next G network launched by TelstraCSLs Australian parent companyhas been recognized as the world fastest mobile broadband network by Guinness World Records.
June 2010: Test results of independent benchmarking
firm, Celfinet, confirmed that CSL provided the best overall performance in terms of average speeds, coverage, broadband coverage, voice quality, and data throughput.
July 2010: Reputable Hong Kong journal e-zone tested
voice quality and data rates of four local UMTS operators: SmarTone-Vodafone, CSL, H3G, and PCCW. The results showed that CSLs network provided smooth, stable video programs with quick response. CSL is proud to be the pioneer of the worlds first LTE/DC-HSPA+ network. We will continue to go beyond expectations, delivering the best coverage and user experience in Hong Kong while meeting the rapidly increasing demand for mobile data driven by the proliferation of smart phones and tablet devices. As a strategic partner, ZTE has proudly supported CSL in developing and deploying LTE and HSPA+ wireless technologies. Our extensive experience and leading R&D capabilities allowed us to provide CSL with a solution that delivers exceptional network performance to all its customers. Joseph OKonek, CEO of CSL Limited Hou Weigui, Chairman of ZTE Corporation On 25 November 2010, CSL announced the launch of the worlds frst LTE/DC-HSPA+ network, heralding a new era in mobile communications. After a commercial LTE trial network had been established by CSL, Telstra, and ZTE in September 2009, LTE was then formally deployed in Hong Kong with peak downlink speeds of 100Mbps and low latency. At the launch ceremony, CSL demonstrated how LTE/DC-HSPA+ will outperform existing mobile technologies and how CSL would build on its partnership with ZTE. The new LTE/DC-HSPA+ network will take advantage of CSLs leading position on spectrum to provide total coverage and world-class mobile broadband performance throughout Hong Kong. It will provide seamless connectivity that redefines the mobile broadband experience with ultra-fast speed, high bandwidth capacity, and personalization that has never been seen before in mobile services. As well as offering high-speed highly reliable mobile data services, the LTE/DC-HSPA+ network will improve the lives of Hong Kongers by taking entertainment and interaction to new levelsanytime, anywherewith 3DTV, interactive gaming, and e-learning. These applications will not just be novelties to be experienced and forgotten, they will become an integral part of a daily mobile lifestyle. 22 ZTE TECHNOLOGIES Pebruary 20ll Success Storles at Mobile Asia Congress 2010 P eople expect their mobile phones to be capable of delivering ubiquitous high-bandwidth services. To provide a better experience for their customers and to gain a competitive advantage, mobile operators are now testing and deploying LTE. LTE standardization was completed by 3GPP in December 2008, and the first commercial LTE network was launched in 2009. It is expected that over 20 operators will offer live commercial LTE services by 2011. Presently, voice remains the dominant revenue-generating service in mobile communications. Revenue from voice calls amounted to $615 billion USD in 2009. Voice over LTE (VoLTE) is the next step in developing a standard way of delivering voice for LTE. Although high-speed data, not voice, is the key driving force for LTE, VoLTE is crucial for operators because it can generate a lot of revenue. As LTE has all-IP network architecture and is designed to support voice in the packet domain, circuit switched (CS) core networks are no longer supported in the LTE specifcations. Single Radio (SR) mode is used in LTE, and it is impossible to deploy services on both LTE and UTRAN/ GERAN. There are requests for voice handoff and CS access, especially when LTE is initially deployed as hotspot islands. One approach is to instruct an LTE handset to fall back to the CS network when a voice call is required. Another approach is to adopt Single Radio Voice Call Continuity (SRVCC), which uses an IMS system for call anchoring and handover and is based on a third party call control mechanism. The main driving force that will bring IMS into the wireless market is LTE. An IMS-based solution is now universally accepted as the key for VoLTE service deployment. SRVCC is the preferred choice for most operators, and IMS acts as a unified control platform for voice and multimedia services. IMS-based SRVCC provides QoS control, fexible charging, and better user experience. By Zhang Lin and Li Na 23 ZTE TECHNOLOGIES Pebruary 20ll Figure 2. Architecture of VoLTE demo. At the Mobile Asia Congress 2010 (MAC 2010) held in Hong Kong, GSMA, CSL, and ZTE successfully made an IMS-based VoLTE call on CSLs LTE network and also on its existing mobile networks. The call was made using conventional 2G/3G handsets and was crystal clear. This was the first time a VoLTE call had been made using interoperable LTE and 2G/3G networks. The VoLTE call was made between IMS clients located at the GSMA booth and ZTE booth (see Figure 1). A call was also made from an IMS client to a recipient using a 2G/3G handset. Supplementary services such as call forwarding and call waiting were also demonstrated. By showcasi ng i t s IMS-based solutions and leveraging its expertise in LTE, ZTE demonstrated how voice will be incorporated into next generation networks. The VoLTE demonstration at MAC 2010 builds on the deep relationship between ZTE and CSL. ZTE employed Uni-CORE (EPC and IMS) solutions to build an intelligent, converged, and high-performance core network for CSL. These solutions enabled full convergence of CSLs 2G, 3G and 4G networks. ZTEs MMTel AS (or ZXUN SSS) based on the ETCA hardware platform provides VoIP related PSTN Simulation Service (PSS) and PSTN/ISDN Emulation Service (PES) together with ZXUN CSCF, as illustrated in Figure 2. IMS-based broadband voice demonstrated at MAC 2010 serves as a We thought the demonstration of VoLTE was really brought to life and made fun and interactive. We appreciate all the teams from CSL and ZTE for their superb support in making not only the demonstration happen but the mobile world live video too." Sandra Gilligan, project marketing director, mobile broadband, GSMA good reference for mobile voice service to evolve from legacy to LTE networks. This demonstration will boost operators confidence to deploy and operate LTE networks. Implementing VoLTE is one of the biggest challenges for operators as they deploy LTE networks. ZTE is cooperating with CSL to research this area and to gain valuable experience in voice applications over the LTE network. This lays the foundation for CSL in terms of future IMS-based LTE and also provides a signifcant reference for other operators, said Xu Ziyang, president of ZTEs Core Network products. Figure 1. VoLTE call showcased at MAC 2010. LTE/EPC/IMS Network ZTE Booth (Tablet, Handest) GSMA Booth (Tablet) CSCF MMTel AS MGCF IM-MGW IMS Internet MME HSS SAE-GW eNodeB PSTN/PLMN UTRAN Tablet + Dongle Tablet + Dongle 2G/3G Handset EPC Call between VoLTE clients Call between a 3G handset and a VoLTE client 24 ZTE TECHNOLOGIES Pebruary 20ll An Overview of IMS Deployment Scenario T h e r e a r e t h r e e t y p e s o f operators that have steadily b e e n d e p l o y i n g I MS technology over the last few years. The first category of operators is those that have IP to the edge. These include wireline operators, cable operators, certain commercial LTE net wor k oper at ors, and Wi MAX operators. These service providers have been able to use IMS core to offer telephony services. The second type includes mobile operators that do not have IP to the edge yet and are therefore not able to use IMS core for telephony services. The third category includes service providers who have both wireline and wireless networks. This category of service providers are driven by FMC for lower TCO, and are focusing mainly on their enterprise customers, offering services such as convergent centrex that often uses a common IMS core. Obviously most of the IMS action surrounds the wireline market where the packetization has been pushed t o t he edge t hr ough br oadband deployment. For convergent operators, IMS solves time to market issue. For mobile operators, the short term dri ver i s t o l aunch t he enhanced communications services like RCS. But that is a major market driver. It is not a sufficiently large enough motivation to go for IMS deployment. But since the industry chose IMS to carry VoIP within mobile networks the mid term driver for IMS is VoLTE. IMS Deployments in Wireline In the Class 5 space what we saw was hybrid TDM switches being built so that operators could begin to put IP in the middle to do VoIP. Operators did not necessarily do direct IP termination but they put IP in the middle. Some vendors had architectures that allowed them to do that easily. And that is what drove a lot of consumer VoIP or VoIP termination in the network. That was early on. Now if we move to todays network we see the urge to utilize the broadband infrastructure and that mandates IMS type deployments. Most markets have alternative broadband service providers either wholesale or ULL. So broadband is taking off. There is a shift from softswitch/ NGN i mpl ement at i ons t o al l - I P I MS i mpl ement at i ons. However i n n u me r o u s c a s e s o p e r a t o r s a r e b y p a s s i n g t h e s o f t s wi t c h implementations moving straight from PSTN to IMS. These include carriers like Turk Telekom, Telkom Malaysia and many others. Move to softswitch was not really a move to IP. A softswitch network is still TDM oriented using IP mainly as transport medium. IMS is pure IP. That seems to be the top most trend in the market these days. Global IMS Market 2010 October 2010, selected from market research firm iLocus Thlrd Lye 25 ZTE TECHNOLOGIES Pebruary 20ll that remain TDM based are likely to be migrated direct to IMS. By the year 2014, the ratio of IMS-to-softswitch based subscriber lines deployed in the wireline networks is forecast to be around 2:1. Dur i ng 1H10, est i mat ed 18. 8 million IMS subscriber lines were shipped for deployment in wireline networks worldwide. Out of the 18.8 million IMS subscriber lines shipped in 1H10, an estimated 1.3 million were for IP centrex lines. The remaining 17.5 million were residential lines. Figure 1 gives vendor market share in residential IMS subscriber lines for the year 1H10. Ericsson leads the market with 24% share worldwide followed by ZTE with 22.3% and NSN with 18.9%. IMS Deployments in Wireless The main driver that will bring IMS to wireless market is LTE when users have IP to the edge. There is On a cumulative basis (as of end 1H10), a total of 207.9 million IMS subscriber lines have been shipped for deployments across both wireline and wireless networks. Of these an estimated 134.8 million lines have been deployed in wireline networks. Estimated 30.9 million lines have been installed in wireless networks and around 42.2 million deployed in convergent IMS deployments. An est i mat ed 25% of t he t ot al subscr i ber capaci t y i n wi r el i ne networks has migrated to VoIP. Of the 25%, around 14% is comprised of softswitch based subscriber lines and remaining 11% is comprised of IMS based subscriber lines. Ma j or i t y of t he 75% of t he subscriber lines in wireline segment Figure 1. Market share 1H10: Wireline residential IMS subscriber lines. Others 10.9% Huawei 5.1% Ericsson 24.0% ZTE 22.3% NSN 18.9% Thomson 1.1% Italtel 4.6% Alcatel-Lucent 13.1% 26 ZTE TECHNOLOGIES Pebruary 20ll extent of related deployments. Eri csson emerges wi t h t he t op rank followed by ZTE at number two. Ericsson is strong in all three important areas of IMS right now: wireline, wireless, convergent scenarios. ZTE has leadership in wireless and terminals side, with a strong performance in wireline IMS during 2009 and 1H10. ZTE is the only vendor there with a commercial MAGCF product in the market. following factors as the main criteria for ranking the fve vendors:
Leadership in Wireline IMS
Leadership in Wireless IMS
Leadership in Convergent IMS
Leadership in RCS
Leadership in IMS Terminals
We t hi nk t hes e ar e t he mos t important and most relevant indicators given the way IMS market has matured so far. The most active area of IMS is undoubtedly the wireline segment. As such, in terms of relative weightage of these five factors, we have to assign the wireline deployments a higher weightage. After wireline, the most active deployment area in IMS is the FMC type convergent deployments such as convergent centrex. There is not much IMS deployment in wireless- only networks. We have given this area the same relative weightage as RCS and terminals. So our relative weightages are proportional to the not much opposition to the premise that doing voice over LTE is by using IMS. So just like on wireline side you had to wait till broadband kicked in, on wireless side you have to wait till IP hits the edge. Mobile broadband has seen a sharp increase over the years. However we still do not have IP to the edge. The shift to LTE will in most cases be associated with IMS deployments to support voice. In the remaining cases that use some interim option, they will over time also move towards IMS. So it is a matter of when an operator starts LTE deployment. With the use of Mobile Access Gateway Control Function (MAGCF), however, the operator does not need to have LTE in place in order to utilize an IMS core. Broadly speaking there are two scenarios: (1) where operator has deployed LTE but voice still traverses its softswitch network. In this scenario, operators evolve the present softswitch in order to handle VoIP. Classic method includes that of NSNs MSC VoIP server solution whereby the VoIP application server APIs are opened up to hook with the MSC. The other major solution in this scenario is CS fallback in which case you need two radios in the handset. (2) In the second scenario where an operator does not have LTE in place but is looking to use IMS core, there are MAGCF solutions being developed by vendors. ZTE has a commercial version available in the market. This solution is important from operator perspective because a lot of investment has gone into softswitch in mobile space. In MAGCF deployments, mobile softswitch acts as softswitch and MAGCF at the same time. Softswitch handles all users except those users who want IMS services which are handled by MAGCF part which will send all call control to IMS core. MAGCF i s t he mobi l e versi on of f i xed AGCF whi ch has been around for a while now. It is about providing access gateway function for narrowband users to IMS core. Fixed AGCF is mature now. Mobile AGCF is not mature yet. Only ZTE has released a commercial product. Most other vendors will release MAGCF product towards the end of this year. It is a software upgrade to mobile softswitch t o convert part of t he soft swi t ch module into MAGCF component. A Ranking of IMS Vendors Al l l arge vendors are t hi nki ng onl y i n one di rect i on and t hat i s IMS, even though these vendors still generate more revenues in softswitch deployments than in IMS. There are only a handful of vendors out there who are up to the IMS challenge, Table 1. IMS vendor ranking. Thlrd Lye however. It is the same large vendors. This is not a market that mid tier vendors can effectively address. The players that will dominate the scene will be the usual suspects: Ericsson, ZTE, Al cat el - Lucent , NSN and Huawei. Between the five of them, some have excel l ed i n wi r el i ne I MS de pl oyme nt s whi l e t he ot he r s have excelled in convergent IMS deployments. We have identified the WT. Ericsson ZTE Huawei Alcatel Lucent NSN Leadership in Wireline IMS 0.4 0.3 0.25 0.15 0.2 0.1 Leadership in Wireless IMS 0.1 0.3 0.3 0.2 0.1 0.1 Leadership in Convergent IMS 0.3 0.25 0.2 0.3 0.15 0.1 Leadership in RCS 0.1 0.3 0.2 0.2 0.1 0.2 Leadership in IMS Terminals 0.1 0.0 0.4 0.3 0.1 0.2 Total Score 0.26 0.25 0.22 0.16 0.12 27 ZTE TECHNOLOGIES Pebruary 20ll News 8rlef 14 December 2010, Shenzhen ZTE, a leading global provider of telecommunications equipment and network solutions, and SoftBank, Japans top telecommunications operator, today announced that their jointly developed Android smartphone, Libero, will be available throughout Japan later in December. The Libero will be the first Chinese smartphone to launch in Japan. Also known as the SoftBank 003Z or ZTE Blade, the introduction of the Libero into the high end mobile market in Japan is a significant breakthrough which demonstrates the companys ability to provide quality and customized smartphones to any market in the world. The Libero is ZTEs second handset developed in collaboration with SoftBank the first being the SoftBank 840Z, which was launched in late October this year. ZTE Named Broadband Network Vendor of the Year in Telecom Asia Readers Choice Awards 2010 17 December 2010, Shenzhen ZTE was recognized in December for its continued innovation in technology and rapid market share growth in the feld of broadband products. This is the second time ZTE has been recognized as Vendor of the Year after receiving the IPTV Vendor of the Year award last year. ZTEs broadband product s have achi eved substantial growth in 2010. They have had a remarkable performance not just in the China market, but also in the Asian, European and American markets, Telecom Asia noted. According to telecoms industry analyst Ovums Market ShareFTTx, DSL, and CMTS ports 2010 Q2 report, in 2Q10, ZTEs GPON revenues (OLT ports and ONT/ONU combined) grew the fastest year on year among the top 10 GPON vendors in the industry. The report also ranked ZTE second in FTTx (OLT port) shipments on a rolling four quarter basis (3Q09 to 2Q10). 16 December 2010, Dsseldorf ZTE has opened a new office to expand its presence in Germany. The new office in Darmstadt was specifically chosen by ZTE to support its ongoing partner Deutsche Telekom with building modern network infrastructure in Germany. ZTE Corporation has been doing business in Europe for ten years and established more than 30 subsidiaries across European markets, including France, Britain, Italy, Spain and Scandinavia. Its German affiliate, ZTE Deutschland GmbH, was founded in 2005 and is headquartered in Dsseldorf. Since 2005, ZTE has opened additional offices, including those in Bonn, Munich, Frankfurt and Berlin. With its new office in Darmstadt, ZTE now holds nine offices across Germany making ZTE Deutschland GmbH the largest branch of ZTE Corporation in Europe. ZTE Opens New Offce in Darmstadt ZTE to Provide Leading Wireless Technology to Bahrains Batelco Group 10 December 2010, Hong Kong ZTE today announced that it has signed a group framework agreement wi t h Bat el co Group, under whi ch ZTE will provide cutting-edge wireless solutions, including 2G and 3G equipment, to the Bahrain-based telecommunication company. The wireless solutions will be deployed with the aim of reducing Batelcos capital and operating expenditure considerably due to their cost-effective pricing and effcient implementation process, which will ultimately beneft Batelcos customers. ZTE and SoftBank to Launch Co- Developed Android Smartphone Libero ZTL the rst Chlnese vendor to enter 1apanese smartphone market 28 ZTE TECHNOLOGIES Pebruary 20ll News 8rlef 11 January 2011, Shenzhen ZTE today announced that it is now one of the leading vendors in the world of Essential Patent (EP) for LTE standards, securing 235 of these patents. ZTE also has a 7% share of the total LTE essential patents declared on the Intellectual Property Rights (IPR) online database of the ETSI as of 30th November 2010. ZTEs patents are an indication of its powerful capabilities in terms of LTE research and development. This share of LTE essential pat ent s i s a r esul t of ZTEs continuous R&D investment in the LTE-related key technologies since 2004. Looking ahead, ZTE aims to increase its current share of LTE essential patents from 7% to 10% by 2012. The company will also commit more R&D resources to accumulate essential patents and adopt a pro-active approach in improving 4G and incubating 4G+ standards. ZTE Holds 235 LTE Essential Patents ZTE First Branded Android Smartphone Lutea Available in Germany 7 January 2011, Dsseldorf ZTE announced the launch of its Android based handset Lutea, which is available through German network operator E-Plus. The co-branded Lutea handset is an Android smartphone that challenges high-end devices with industry leading features at an affordable price point. The device is another example of ZTEs strong position as a leading global handset manufacturer across Europe. ZTEs Lutea is based on Android 2.1 and provides a capacitive 3.5' multi touchscreen with 480800 megapixels. It features an MP3 player and FM- radio, as well as a 5-megapixel camera, 3GSM, Wi-Fi and Bluetooth. The phone also supports a data capacity of up to 32GB, and comes with a 2GB micro SD card inbox and in-built memory of 300MB. Z T E s b e s t s e l l i n g mo b i l e smartphoneknown as ZTE Blade in other countrieshas been made available in more than 20 high-end markets including the UK, France, Finland, Norway, Turkey, Hungary and Japan. Monthly sales unit volume continues to grow and is up by tens of thousands. ZTE Wins SFR Suppliers 2010 Award 15 December 2010, Shenzhen ZTE today announced that it has won the Challenge SFR Suppliers 2010 prize in the Mobile Handset and Sim card Supplier category, during an award ceremony that took place on 16th of November. SFR selected the best among 16 mobile handset and sim card suppliers according to three major criteria: sustainability, innovation and customer satisfaction. ZTE proved its commitment to sust ai nabi l i t y t hrough produci ng environmentally friendly handsets. The company is increasingly reducing the weight or volume of its mobile handsets, mobile phone chargers and accompanying packaging. They have also replaced air transport with maritime freight where possible. As a result, ZTE has reduced its carbon footprint by more than 60% in three years. ZTL wlns ln the Moblle Handset and Slm Card Suppller category The award ceremony for the Challenge SFR Suppliers 2010 Company alms to achleve at least l0% of LTL LP share by 20l2 Source: ETSI IPR Online Database Major Owners of LTE Essential Patents Others 11% Qualcomm 13% InterDigital Patent Holdings 13% InterDigital Technology 11% Nokia 9% Samsung 9% Huawei 8% Ericsson 8% ZTE 7% LGE 6% NTT DoCoMo 5% 29 ZTE TECHNOLOGIES Pebruary 20ll ZTE Launches 1000th Base Station for Ncell 3 January 2011, Shenzhen ZTE today celebrated the deployment of the 1000th base station for Nepals mobile operator Ncell. The stations are based on ZTEs innovative green energy BTS solution and form part of the technology used to implement a green telecom know- how in Nepal. The management of Ncell spoke highly of the cooperation between Ncell and ZTE, congratulating the successful launch of the networks 1000th station as well as the green network, while also expressing their appreciation for the tremendous efforts and close cooperation of both project teams to ensure the quick delivery and success of the project. 5 January 2011, Shenzhen ZTE today announced total annual sales volume of terminal products jumped nearly 50% to a record number of 90 million units in 2010. ZTEs terminal product sales experienced rapid growth in both international and domestic markets. By 2010, the growth in both local and high-end overseas markets such as Japan, France, the UK and the U.S. has become the main sources of demand for ZTE handsets. The fastest-growing market was in Europe where year-on-year sales volume growth reached 150%. The U.S. market achieved year-on-year growth of 100%. Separately, ZTE was ranked No.1 among Chinese vendors in terms of 3G handset sales volume, according to a research report by market research frm iSuppli. The report also noted that ZTE is leading Chinas incremental market for 3G systems with an 11% share and is ranked No. 1 in the TD market with a 21% market share. ZTEs Global Terminal Sales Volume Jumps 50% to 90 Million Units in 2010 ZTE Flexes LTE Innovation with Introduction of Four New Devices at CES 2011 7 January 2011, Shenzhen ZTE today demonstrated the companys industry-leading LTE solutions, unveiling its next generation ready-for-market data cards, modems, mobile hotspots and tablets at the International Consumer Electronics Show 2011 (CES) in Las Vegas. The devices showcased will be available in several global markets beginning in Q2 2011. While most companies will be coming to CES with their frst-generation LTE products, ZTE is delivering proven devices and form factors ready to flawlessly support consumers today, said Mr. Cheng Lixin, president of ZTE USA. ZTE has pioneered LTE devices in many global markets, most recently having launched LTE devices with Hong Kong's first and largest mobile communications operator, CSL Limited. ZTE is ahead of other vendors as our dedication and sizeable investment in LTE technologies has paid off in the devices shown here today. ZTL ranked rst ln global 3G handset sales among Chlnese vendors 30 ZTE TECHNOLOGIES Pebruary 20ll