2 1 Craignou

Broadband telecommunication services : A reality in advanced countries and a challenge for operators in developing economies18th ITC – Workshop for Developing Countries : 

Broadband telecommunication services : A reality in advanced countries and a challenge for operators in developing economies 18th ITC – Workshop for Developing Countries Beatriz Farias Craignou, François Cordier and Dominique Sejourné

Contents: 

Contents Network evolution and broadband service context Case study of France Case study of Senegal Case study of Argentina Conclusion

Context of broadband services: 

Context of broadband services Examples of broadband services video conferencing, video-on-demand, e-learning, telemedicine, advanced mobile communications, Voice-over-IP, WiFi services New services systematically multimedia and mobile Most of these services require multiple and very high speeds several quality of service levels higher network protection and security Broadband service offerings require particular accesses and new functionality depend on the availability of equipment are controlled by competition and regulation, tariffs and costs Networks evolve towards an ideal long term target - NGN - unique and shared by all multimedia and mobile services IP traffic is a driving service for NGN and ADSL an step of its realisation

NGN reference architecture : 

NGN reference architecture

ADSL: 

ADSL IP services show a very significant penetration in countries where infrastructure is available High speed Internet traffic continue increasing around the world ADSL is an attractive technology to support broadband services A major asset of incumbent operators is the copper network infrastructure Concerns a large market of residential and small business customers ADSL penetration around the world

The case study of France: 

The case study of France 60 million people 40 million mobile accesses 9 million accesses to Internet Several operators compete in all domains (voice, data, image, ...) France Telecom main support networks PSTN, IN, ISDN Mobile Data networks based on ATM, IP Modern infrastructures, permanently updated Metropolitan and long distance backbone networks based on SDH and WDM systems – Extension from 2.5 Gbit/s to 10 Gbit/s and incorporation of DWDM technology in progress OTN layer and optical cross-connect under study

France Telecom network infrastructure: 

France Telecom network infrastructure Fixed lines 34.1 million, including 5 million iSDN channels - saturation, expected decrease - supporting PSTN, IN, ISDN, IP services Decline of traffic volume and revenues, except for international traffic and traffic to mobiles 40% of FT sales turnover from fixed line traffic Significant migration of voice traffic towards mobile accesses Development of new applications of fixed lines (SMS, …) Since unbundling in December 2002 => 10 % of clients use alternative operators ATM Launched in 1991, massive equipment deployment since 1994 Network and services of high performances Support of video transmission, LAN services, high speed IP services via ADSL Recent capacity enhancements using DWDM systems

IP network and services : 

IP network and services Low speed IP Launched around 5 years ago, significant penetration in 2000 Unsatisfactory solution for customers, unless having a second line Use of Internet services limited by Dial-up connection capabilities Modems at 56 kbit/s PC low penetration in French households ADSL Launched in 1999 by FT, serving mainly the region of Paris Accesses at 128, 512, 1024 kbit/s - Modems at 8 Mbit/s Present coverage : 80% in the country, 90% in Paris Significant penetration during 2002 : FT 2 million subscribers 30000 new subscriptions every week for FT + Wanadoo 10 million subscribers expected in France by 2007 for all operators Due to partial unbundling, 18 000 FT clients use other operators in Paris, Nice, Lyon and Marseille In 2002, FT’s largest source of traffic (overtaking telephony) but representing only 2% revenues Main equipment suppliers : Alcatel and Lucent

Mobile line and service features: 

Mobile line and service features Mobile penetration 62% (40 million) - greater than fixed line penetration 100 % foreseen by 2007 - Expected FT market shares ~50% Increasing : revenue per user and voice traffic Terminals good for voice poor for data Data traffic low use : terminals are not really suited for Transmission speeds : not high enough for data transfer Messaging services SMS relative success : takes almost no capacity, clients pay for it MMS and video messaging require significant bandwidth Migration from 2G to 3G initiated 3G installed capacity in early years more than necessary, then should be shared with 2G services Tariffs limit broadband mobile service use

FT strategic studies: 

FT strategic studies Multimedia Penetration of the different types of broadband accesses and devices (PC, modem) Development of new applications, expansion of services and value-added Effect of substitutions : Classical voice services by VoIP, fixed by mobile lines, narrowband by broadband accesses and services Access network xDSL, ATM, Optical Accesses for business clients Impact of tariffs in service offerings, traffic volumes, revenues Transfer network IP & ATM network architectures for metropolitan and long distance core networks Implementation of OTN layer and optical cross-connects Multi-technique SDH equipment as a valuable solution, already largely justified in metropolitan areas by new services Economic aspects Financial constrains on investments for new equipment Deployment of 3G infrastructures or dismantling of SDH equipment - No urgent need

The case study of Senegal: 

The case study of Senegal Socio-economy Population 10.6 million, 48% inhabitants/km2, 65% < 25 years old, life expectation 50 years Active population 42%, urban unemployment 29% 50% people under poverty threshold One of the less advanced countries Sources of revenue : tourism, fishing, agriculture 6 spoken languages : Wolof, French, … Litteracy : 40% of population – men 51%, women 29 % Telecommunication Companies : Sonatel, Mobile operators, ISP Fixed telephony - Data for 2002 280 000 private lines, penetration 2.8% 16 250 public lines 13 000 Community Telecentres 2 Intelligent Network Platforms Optical cable of 120 Gbit/s serves Senegal linking Portugal and Asia Dakar o

Senegal - Mobile and Multimedia: 

Senegal - Mobile and Multimedia Mobile GSM services, including SMS – operators Sonatel and Sentel The milk cow of Sonatel - 650 000 subscribers foreseen in 2003 Low speed Internet services In 2001, 120 000 subscribers, 100 0000 users. Penetration 0.1% Average number of PC per household : 1.86 Multimedia and high speed IP services ADSL launched in 2003 : 4th African country in ADSL deployment after South Africa, Nigeria and Tunisia ADSL at 256 and 1024 kbit/s, intended for residential and business users Special services for ISP: authentication, maintenance, bandwidth provisioning Around 10 000 clients in 2002, penetration 0.12 % Sentoo wants to become the first portal in Africa. Today 250 000 pages and 25 000 visitors per day Strategy of incumbent operator Overcome financial difficulties, expand the networks, develop broadband services for the community like e-learning, telemedicine, distant training, … Develop Internet, NGN, IP, VDSL, messaging, visioconferencing, …

The case study of Argentina: 

The case study of Argentina Socio-economy Population 38 million, growth rate : 13% Unemployment : 21.5% Economic situation degraded since 2000, but improving 37% (tending to 50%) of people under poverty threshold Rich natural resources Sources of revenue : agriculture, tourism, diversified industry Spoken languages : Spanish, English, Italian, German, French Literacy : 97% of population Telecommunication Companies : Telefónica, Telecom Argentina, Mobile operators, ISP Fixed telephony - Data for 2002 8 million private lines, 81 500 public lines, penetration : 22% Access networks under expansion, good infrastructure Modern long distance network, based on optical fibres, SDH and WDM systems, Intelligent Network platforms, IP routers, ATM switches

Argentina – Mobile and Multimedia: 

Argentina – Mobile and Multimedia Mobile DAMPS (4 operators) and GSM (small network, Buenos Aires) 6.5 million subscribers Internet Main access providers : Telefonica and Telecom Argentina, cable operators Many ISP 60% of customers are in Buenos Aires Dial-up : 2 million users, the most popular access ADSL (256 kbit/s, 512 kbit/s, 1024 kbit/s) 75 000 in 2003 Main users : entreprises - but 75% of accesses are for residential Corporate services Supported by ATM and IP networks IP VPN, very attractive FR, X.25, PABX, LL Strategy of the main operators Expension of networks and services as financially possible Advanced service priority for big cities and wealthy sectors

Conclusions: 

Conclusions ADSL: an attractive solution for operators to ensure high performance end-to-end transport of data traffic Under financial constraints, deep analyses of requirements and determination of priorities for service expansion are essential Substitutions - fixed by mobile lines, narrowband by broadband accesses and services, voice by data services - offer new opportunities, create new needs, renew the business Traffic volume growth does not generate equal revenue growth Interactive and broadband communication services are powerful tools and key factors for social development Broadband services will contribute to competitiveness of entreprises, rise standards of health and education, diffuse information and culture High interest in providing broadband access in all areas and sectors, not only under market criteria - Good access to information enriches human activity