roadmap for 4g, lte, td-lte

Ajit Kumar, PGDM Exec 2012-2013

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Roadmap for 4G, LTE, TD-LTE

By

Name

Ajit Kumar Roll No

12

Under the guidance of

Shri N.K Goyel Dr. R. Kamatchi President Asst. Professor CMAI K J SIMSR

K J Somaiya Institute of Management Studies & Research

June, 2013


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DECLARATION

I, Mr. Ajit Kumar hereby declare that this project report is the record of authentic work carried out by me during the period from May 2013 to June 2013 and has not been submitted to any other University or institute for the award of any degree/diploma etc.

Signature

Ajit Kumar

Roll No: 12 Date: 24/06/2013


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Certificate from Industry Guide

This is to certify that Ajit Kumar, a student of the Post-Graduate Diploma in Management PGDM Ex., has worked in our organization on a project assigned by us. To the best of our knowledge, this report is a product of the student’s own effort on the project conducted under our guidance and supervision.

Mr. Naresh Goyal President CMAI


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Certificate from Faculty Guide

This is to certify that Mr. Ajit Kumar, a student of the Post-Graduate Diploma in Management PGDM Ex., has worked under my guidance and

supervision. This Summer Project Report has the requisite standard and to the best of our knowledge no part of it has been reproduced from any other summer project, monograph, report or book. Dr. R Kamatch Asst. Professor SIMSR June 2013


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CONTENTS:

LIST OF TABLES................................................................................................................................... 9

LIST OF CHARTS ................................................................................................................................ 10

LIST OF ABBREVIATIONS ................................................................................................................ 11

EXECUTIVE SUMMARY ................................................................................................................... 13

ABOUT CMAI ..................................................................................................................................... 15

INTRODUCTION: GENERATION OF WIRELESS TECHNOLOGIES............................................... 16

DEVELOPMENT OF CELLULAR WIRELESS TECHNOLOGY ........................................................ 18

A LOOK AT LTE ................................................................................................................................. 19

REVIEW OF ITS FEATURES AND CAPABILITES ....................................................................... 19

3GPP ..................................................................................................................................................... 19

CHALLENGES ................................................................................................................................. 20

LTE-ADVANCE ................................................................................................................................... 21

LTE ADVANCED DEVELOPMENT HISTORY .............................................................................. 21

LTE ADVANCED KAY FEATURES ............................................................................................... 22

TD-LTE: ............................................................................................................................................... 23

WIMAX REMAINS A PLAYER .......................................................................................................... 23

WIMAX KEY FEATURES ............................................................................................................... 24

WIMAX2: THE TRUE 4 G ............................................................................................................... 24

FRAME WORKS FOR IMT-ADVANCED SYSTEM........................................................................... 25

FDD LTE vs. TD-LTE ...................................................................................................................... 26

REGULATORY ISSUES IN IMT-ADVANCED SYSTEMS (INDIA) .................................................. 27

INDIAN SCENARIO ........................................................................................................................ 27

REFRAMING OF SPECTRUM ........................................................................................................ 29

REFRAMING CHALLENGES ......................................................................................................... 29

VARIOUS APPROACHED ADOPTED BY COUNTRIES FOR REFRAMING OF SPECTRUM .... 31

Sweden ............................................................................................................................................. 31

Denmark .......................................................................................................................................... 31

Ireland .............................................................................................................................................. 31

INTERNATIONAL PRACTICES ON IMT-ADVANCES ..................................................................... 32

IMT –ADVANCED SECURITY ISSUE ............................................................................................... 33

CHALLENGES FAEC BY THE INDIAN GOVERNMENT IN IMPLEMENTING LTE/TD-LTE. ....... 34

BUSINESS ENVIRONMENT: INDIA .............................................................................................. 34


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Country Briefing | 18 Sep 2012 [13] 34 CORRUPTION IMPACTS INDIA’S BUSINESS AND POLITICAL ENVIRONMENT ................... 34

PREVENTIVE ACTION TAKEN BY INDIAN GOVERNMENT .................................................... 36

TECHNOLOGY, COMMUNICATIONS AND MEDIA: INDIA ....................................................... 37

DRIVERS FOR IMPLEMENTING LTE ADVANC SYSTEM: INDIA ................................................. 39

Indian Telecom Sector Offering Brighter Prospects in 2013.......................................................... 39

INCOME AND EXPENDITURE: INDIA ......................................................................................... 41

MARKET OVERVIEW .................................................................................................................... 41

PHYSICAL INFRASTRUCTURE .................................................................................................... 42

MOBILE CONNECTIVITY .............................................................................................................. 43

HOME CONNECTIVITY ................................................................................................................. 45

PUBLIC CONNECTIVITY ............................................................................................................... 46

WEB 2.0 APPLICATIONS AND SOCIAL MEDIA .......................................................................... 47

DIGITAL MEDIA ............................................................................................................................. 48

SOFTWARE AND STORAGE FACILITIES .................................................................................... 49

CONSUMERS OF TCM SERVICES ................................................................................................ 49

BUSINESS AND TECHNOLOGY ................................................................................................... 50

INDIAN MOBILE PHONE USERS TO REACH 250 MILLION IN 2007 ......................................... 51

FUTURE SCENARIOS ..................................................................................................................... 53

INDIA’S BROADBAND AMBITIONS WILL BOOST BUSINESS ENVIRONMENT .................... 53

CONSUMERS AND BUSINESS CHOOSINGS LTE AHEAD of WIMAX IN WIRELESS BROADBAND WAR ........................................................................................................................... 55

THE FUTURE OF NEXT GENERATION WIRELESS COMMUNICATION ...................................... 57

When there’s No Spectrum Left...................................................................................................... 57

5G ..................................................................................................................................................... 57

APPENDICES ...................................................................................................................................... 60

Note on OFDM: ............................................................................................................................. 60

Note on MIMO: ............................................................................................................................. 60

What is EE? ................................................................................................................................... 61

Are the new 4G phones any good? ................................................................................................. 61

Will I be able to import a 4G phone and use it in the UK? .............................................................. 61

REFERENCES...................................................................................................................................... 62


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LIST OF TABLES

Table No

1.1

1.2

1.3

1.4

1.5

1.6

1.7

1.8

1.9

Title

3GPP Organizational Partners

The development of LTE Advanced and evolution from the 3G services that

were developed using UMTS / W-CDMA technology

Framework for the development of IMT-Advanced systems

Advantages / disadvantages of TDD and FDD

Spectrum bands for various technology

Transparency International's Corruption Perceptions Index for Selected

Countries: 2010

Ten Most Visited Internet Sites by Reach in India : June 2012

The development of LTE Advanced

The development of LTE Advanced from various 3GPP releases from

Rel99/4 onwards.

Page No

19

22

25

26

28

35

48

60

60


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LIST OF CHARTS

Chart no

1.1

1.2

1.3

1.4

1.5

1.6

1.7

1.8

1.9

1.10

1.11

1.12

Title

India’s General Government Budget Deficit: 2005-2010

India’s Internet User and Mobile Telephone Subscriptions: 2007-2020

Capital Investment in Telecommunications and Telecommunications Revenues

in India: 2006-2011

Broadband Internet Subscriptions for India 2006-2020

% of Telecom Revenue and % of Households

Household possession of broadband Enabled Computer and Fixed line

Telephone in India: 2006-2020

Internet users and and internet users per 100 Inhabitants in India: 2006-2020

Household possessions of digital equipment by decline in India: 2011

Extent of business Internet use in India and regional countries: 2010-2011

Number of mobile phone users and per capita annual disposable income in

India 2000-2006

Mobile telecommunication revenue as % of telecom revenue in china and

India

Internet users and broadband subscribers in India: 2005--2010

Page No

36

40

42

43

44

46

47

49

50

51

52

53


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LIST OF ABBREVIATIONS

C2C

CPI

DL

DoS

EDGE

EV-DO

FCC

FDD

GPRS

HDUPA

HSDPA

HSPA

HSPA+

IMT

IP

ITU

LPTV

LTE

MIMO

MMS

OFDMA

QAM

QPSK

SAE

SC-FDMA

SMS

TDC A/S

TDD

TDLTE

TKK

UL

UMTS

WAP

WCDMA

Wimax

1G

2G

3G

3GGP

4G

5G

Consumer-to-Consumer

Corruption Perceptions Index

Down Link

Denial of service

Enhanced Data rates for GSM Evolution

Enhanced Voice-Data Optimized/Enhanced Voice-Data Only

Federal Communications Commission

Frequency Division Duplex

General Packet Radio Service

High-Speed Uplink Packet Access

High-Speed Downlink Packet Access

High Speed Packet Access

Evolved High-Speed Packet Access

International Mobile Telecommunications

Internet Protocol

International Telecommunication Union

Low Power T.V Stations

Long term evolution

Multiple Input Multiple Output

Multimedia Messaging Service

Orthogonal Frequency Division Multiple Access

Quadrature amplitude modulation

Quadrature phase shifting key

System Architecture Evolution

Single-carrier frequency-division multiple access

Short Message Service

Telia Nattjanster Norden

Time Division Duplex

Time Division long term evolution

Telekom Control Commission

Up link

Universal Mobile Telecommunications System

Wireless application protocol

Wideband Code Division Multiple Access

Worldwide Interoperability for Microwave Access

First generation of cell phone technology

Second generation of cell phone technology

Third generation of cell phone technology

Third Generation Partnership Project

Fourth generation of cell phone technology

Fifth generation of cell phone technology


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EXECUTIVE SUMMARY

Existing mobile networks use 3G/UMTS technology, which is now almost 10 years old and

struggling to cope with the needs of today's data hungry users. 4G/LTE (Fourth Generation /

Long Term Evolution) is the next stage in mobile network development and will provide users

with much faster data speeds than 3G is able to. 4G is a blanket term for this generation of

mobile networks, WiMAX, LTE & TD-LTE. Basically, there are two kinds of 4G technology.

These kinds are LTE and WiMax. LTE, the Long Term Evolution of the 3G services, eyes are

now turning towards the next development, that of the truly 4G technology named IMT

Advanced. The new technology being developed under the auspices of 3GPP to meet these

requirements is often termed LTE Advanced. The 3rd Generation Partnership Project (3GPP) is

collaboration between groups of telecommunications associations, known as the Organizational

Partners. LTE is currently deployed on a relatively small scale worldwide. Most carriers have

committed to LTE but implementation is slow due to the high cost of new infrastructure

equipment. Users are experiencing downlink data rates of 5 to 12 Mbits/s and 2 to 5 Mbits/s on

the uplink, a major improvement over older 3G systems. As 3G can coexist with 2G systems in

integrated networks, it is possible that LTE systems coexist with 3G and 2G systems. Multimode

devices will function across LTE/3G or even LTE/3G/2G, depending on market circumstances.

As India Broadband penetration is far behind the target. However from the year 2011, data usage

was expected to grow at a faster pace with 3G, Smart Phones, I-Phones, Social networking sites

are expected to catalyze the data usage growth.

TDD (time division duplex) version of LTE is known as TD-LTE. The IMT-Advanced 802.16m

version also known as WiMAX2 is even more broadly defined with frequency coverage down to

450 MHz and through the 5-GHz range. The framework for the development of IMT-Advanced

systems can be considered from multiple perspectives, including the users, manufacturers,

application developers, network operators, and service and content providers. It is required that

there should be a well defined path for moving towards IMT-Advanced services which include

timely availability of sufficient spectrum, identification of frequency band.

The Authority (Department of Telecommunication & TRAI) is aware of the rapid technological

advances that had been made in the preceding decade, especially in With respect of broadband

wireless access technologies. There is two concerns:

First, that the demand for data, new wireless technologies and new services would increase and

this, in turn, would necessitate the availability of high quality “low frequency” spectrum for new

technologies. Secondly, from a pure allocative efficiency perspective, it was vitally important to

utilize the scarce national resource, spectrum, in an optimal manner.


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The Government authority noted that reviews conducted by the Governments in other countries

have resulted in creation of significant economic value by re-farming and harmonizing

international bands for mobile usage. In most of foreign countries, because of the small number

of incumbents having 900 MHz spectrum (2 to 4), it was feasible to redistribute the available 900

MHz spectrum amongst the operators. However, in India, on account of the fact that the number

of operators is 6 to 9 in all the LSAs and the available spectrum in 900 MHz 11 band is only

18.6-22.2 MHz, the approach to be adopted has perforce to be different.

Due to open architectures and IP based protocols, 4G, LTE, networks will be prone to security

attacks similar to those of Internet. As a result, IMT-Advanced networks will be more prone to

Trojans, Malwares and Virus attacks than 3G wireless systems.

Corruption seriously affects India's business and political environment, posing a challenge to the

country's economic growth. India ranked 87th place out of 178 countries in Transparency

International's Corruption Perceptions Index (CPI) in 2010, down from 84th place in 2009.

Indian Government try to mitigate the corruption for sustaining the economic growth. There are

numerous of drivers which boost the implementation of LTE. The security infrastructure should

be scalable and accounts for new usage patterns like social networking and peer-to-peer

applications. In areas where the amount of spectrum in the 1800 MHz band is insufficient for

fully carrying out reframing, immediate steps must be taken to get Government agencies to

vacate 1800 MHz spectrum so that the entire 900 MHz spectrum could be reframed. The

reframing of spectrum in the 800 MHz and 900 MHz bands should be carried out progressively

at an early date but not later than the due date of renewal of the licences.

The future of next generation wireless communication. When we run out of radio spectrum, we

can still resort to the optical spectrum, including infrared (IR) light. Based on current trends, it’s

possible to predict what 5G may be like. First, given the ongoing spectrum shortage and crisis,

higher-level modulation and coding schemes can help in the interim with higher speeds.

Adaptive beam forming antenna techniques will also help access and speeds.


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ABOUT CMAI

Communication Multimedia and infrastructure (CMAI): Communicating with the world

CMAI Profile:

CMAI Association of India is apex premier and foremost non-profit trade promotion

organization based in India with MOU partners and representatives spread across globe. CMAI

invests heavily in industry services, education and training, industry promotion, market

researches etc.

CMAI is prominent trade association promoting growth in communications, manufacturing trade

sector through Legislative and Regulatory Advocacy, Research, Exhibitions, Trade shows,

Conferences and Seminars, Technology events, Buyer sellers meets, B2B meetings, promotion

and fostering business and strategic relationships.

CMAI is the only trade organization bringing in focuses harmony in between manufacturing

across all sectors including ICT, Communications and Environmental Management policies.

CMAI, a professional registered association, has become extremely pro-active, forward looking

and effective catalyst between the Government, industry and the consumers at large.

CMAI is involved:

In developing scientific knowledge and practical means for protecting man and his environment

from the harmful effects of environmental hazards like e waste, radiations etc. In encouraging

research and scientific publications dedicated to the science and practice of in this field

In promoting educational opportunities in those disciplines which support the science and

practice of environment protection.

CMAI support to industry and Trade:

CMAI derives its strength from its data base. CMAI provides with public policy establishment,

industry competitiveness upgrade, development strategy and planning, marketing strategy and

research, HR management, IT programming and management. The CMAI Members ranges from

industrial users in electronics, telecommunications, energy, finance, automobile, telecom, ICT to

autonomous Institutes like Research bodies, trade associations, policy forums to Government

departments at all levels and diversified industrial parks. CMAI is emerging as No.1 Advisor for

enterprise management, the No.1 Consultancy for Government decisions and the No.1 brand for

informatization consulting.

CMAI publishes Daily News Letter in association with its partner Telelinkers, which is

distributed complimentary to all the members and other stake holders.


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INTRODUCTION: GENERATION OF WIRELESS TECHNOLOGIES Quite simply, the “G” stands for Generation, as in the next generation of wireless technologies.

Each generation is supposedly faster, more secure and more reliable. The reliability factor is the

hardest obstacle to overcome. 1G was not used to identify wireless technology until 2G, or the

second generation, was released. That was a major jump in the technology when the wireless

networks went from analog to digital. It’s all uphill from there. 3G came along and offered

faster data transfer speeds, at least 200 kilobits per second, for multi-media use and is still the

standard for wireless transmissions regardless of what you here on all those commercials. It is

still a challenge to get a true 4G connection, which promises upwards of a 1Gps, Gigabit per

second, transfer rate if standing still and in the perfect spot.

1G –This was the first generation of cell phone technology. Simple phone calls were all it was

able to do.

2G – The second generation of cell phone transmission. A few more features were added to the

menu such as simple text messaging. 2G is found in most basic cell phones, and features slow

transmission of data (10 kb/s), phone calls, reception of basic emails and voice mails.

The most important 2G standards that emerged were the Global System for Mobile Communications (GSM) and the first Code Division multiple Access (CDMA) systems 3G – This generation set the standards for most of the wireless technology. Web browsing,

email, video downloading, picture sharing and other Smartphone technology were introduced in

the third generation. 3G should be capable of handling around 2 Megabits per second.

The third generation (3G) brought more CDMA developments like UMTS/WCDMA to boost

data rates to as much as 2 Mbits/s. Some variants of 3G provide even greater data rates. These

include the more recent 3G additions such as EV-DO Rev. A and B as well as the

HSDPA/HDUPA/HSPA+ standards where data rates extend to as much as 21 and 42 Mbits/s.

4G – The speed and standards of this technology of wireless needs to be at least 100 Megabits

per second and up to 1 Gigabit per second to pass as 4G. It also needs to share the network

resources to support more simultaneous connections on the cell. As it develops, 4G could

surpass the speed of the average wireless broadband home Internet connection. Few devices are

capable of the full throttle yet. Coverage of true 4G is limited to large metropolitan areas.

Existing mobile networks use 3G/UMTS technology, which is now almost 10 years old

and struggling to cope with the needs of today's data hungry users. 4G/LTE (Fourth

Generation / Long Term Evolution) is the next stage in mobile network development

and will provide users with much faster data speeds than 3G is able to. 4G is a blanket

term for this generation of mobile networks, WiMAX, LTE & TD-LTE.


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Outside of the covered areas, 4G phones regress to the 3G standards. We have a ways to go. For

now, 4G is simply a little faster than 3G.

WiMAX - Worldwide Interoperability for Microwave Access – should be capable of around 40

megabits per second with a range of 30 miles. It is one of the closest technologies to meet the

standards of true 4G and as it develop should surpass the 100MB/second which is the 4G

standard. Mobile WiMAX allows the use of high speed data transfers and is the main

competition for the 4G LTE services provided by cellular carriers. [1]

GPRS: 2.5G General Packet Radio Service, offered a speed of 56 kb/s to 114 kb/s EDGE: 2.75G Enhanced Data rates for GSM Evolution, offered a speed of 64 kb/s to 144 kb/s HSPA: 3G High Speed Packet Access, offered a speed of 144 kb/s – 2 MB/s 4G This network is IP based; i.e. packet switched Network.


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DEVELOPMENT OF CELLULAR WIRELESS TECHNOLOGY

Due to demand for fast transmission, 2G was replaced by 2.5G and with it came the very

familiar GPRS. General Packet Radio Service took the mobile phone technology higher than

before as now it offered better services and faster transmission. It supported emailing, web

browsing and surfing, SMS, MMS and WAP access.

This upgraded tech offered a speed of 56 kb/s to 114 kb/s. With the ever evolving technology,

demand for better and quicker transmission kept growing. To cater this requirement of users,

mobile technology developers came up with 2.75G introducing EDGE; Enhanced Data rates for

GSM Evolution. EDGE is not only regarded as 2.75G feature but also a 3G feature. The main

attributes were voice mails, phone calls, fax, rich emailing, maps and navigation, web

browsing and a speed of 64 kb/s to 144 kb/s.

The 3G tech introduced UMTS networks. It catered to most of the essentialities of corporate life

like internet access, intranet access, interactive app sharing and video conferencing.

Moreover, it offered global roaming, HSPA (High Speed Packet Access), TV streaming and a

speed of 144 kb/s – 2 MB/s. Now, we are on the edge of a new revolutionary technological

development i.e. 4G. Highlighting features of 4G are multi-carrier transmission and ultra-

broadband i.e. gigabit speed.

Basically, there are two kinds of 4G technology. These kinds are LTE and WiMax LTE:

Though this is a pre-4G technology, it is associated with 3G. LTE stands for Long Term

Evolution. It is important to note that the LTE is such a network which treats each and

everything (EE) that is transmitted by it as data, no matter it is voice. Theoretically talking, the

LTE is capable of providing a high speed data transfer rate of 100MB/s regarding download and

50 MB/s while uploading, provided that a 20 MHz channel is used.

WiMax:

This long abbreviation stands for even longer term; Worldwide Interoperability for Microwave

Access. It is better to associate it with Wi-Fi technology than to the cellular networks. It is

capable of long distance transmission; 30 miles. The peak data transmission rates (as stated) are

128 Mbps downlink and 56 Mbps uplink. [2]


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A LOOK AT LTE

LTE, the Long Term Evolution of the 3G services, eyes are now

turning towards the next development, that of the truly 4G

technology named IMT Advanced. The new technology being

developed under the auspices of 3GPP to meet these requirements

is often termed LTE Advanced.

In order that the cellular telecommunications technology is able to

keep pace with technologies that may compete, it is necessary to

ensure that new cellular technologies are being formulated and

developed. This is the reasoning behind starting the development

of the new LTE Advanced systems, proving the technology and

developing the LTE Advanced standards.

One of the key milestones is October 2010 when the ITU-R

decides the framework and key characteristics for the IMT

Advanced standard. Before this, the ITU-R will undertake the

evaluation of the various proposed radio interface technologies of

which LTE Advanced is a major contender. [3]

REVIEW OF ITS FEATURES AND CAPABILITES

Since the cellular industry is mostly focused on deploying LTE

systems, a review of its features and capabilities is in order.

First, LTE is based on orthogonal frequency-division multiple

access (OFDMA). It uses OFDM for the modulation and OFDMA

for the access of multiple subscribers in a single channel. LTE also

is flexible, as it can be configured to operate in different channel

bandwidths. Common channel sizes are 1.4, 3, 5, 10, 15, and 20

MHz.

The number of OFDM subcarriers varies as a function of the

bandwidth. Subcarrier spacing or width is 15 kHz. The subcarriers

are modulated by quadrature phase-shift keying (QPSK), 16-phase

quadrature amplitude modulation (16QAM), or 64-phase QAM

(64QAM). The duplexing mode is frequency-division duplex

(FDD) where two equal but spaced channels are needed. The

standard also defines a time-division duplex (TTD) mode.

LTE has adopted multiple-input multiple-output (MIMO) antenna

technology to boost data rates and improve link reliability. It also

supports the single-input single-output (SISO) antenna

3GPP The 3rd Generation Partnership Project (3GPP) is collaboration between groups of telecommunications associations, known as the Organizational Partners. The initial scope of 3GPP was to make a globally applicable third-generation (3G) mobile phone system specification based on evolved Global System for Mobile Communications (GSM) specifications within the scope of the International Mobile Telecommunications-2000 project of the International Telecommunication Union (ITU) Table 1.1 3GPP Organizational Partners

Organization Base

region

Association of Radio

Industries and

Businesses(ARIB)

Japan

Alliance for

Telecommunications

Industry

Solutions(ATIS)

USA

China Communications

Standards

Association(CCSA)

China

European

Telecommunications

Standards

Institute(ETSI)

Europe

Telecommunications

Technology

Association (TTA)

Korea

Telecommunication

Technology

Committee (TTC)

Japan

http://en.wikipedia.org/wiki/Association_of_Radio_Industries_and_Businesses



http://en.wikipedia.org/wiki/Alliance_for_Telecommunications_Industry_Solutions




http://en.wikipedia.org/wiki/China_Communications_Standards_Association



http://en.wikipedia.org/wiki/European_Telecommunications_Standards_Institute




http://en.wikipedia.org/w/index.php?title=Telecommunications_Technology_Association&action=edit&redlink=1



http://en.wikipedia.org/wiki/Telecommunication_Technology_Committee




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configuration. MIMO configurations include 2x2 (two transmit, two receive paths) and 4x4.

Most handsets will use a 1x2 (one transmit, two receive channels) arrangement because of the

limited space for antennas and power requirements.

The uplink for LTE uses single-carrier frequency-division multiple access (SC-FDMA). This

technology is similar to OFDMA but has a lower peak to average power ratio (PAPR) than

OFDMA for greater power efficiency and improved battery life, which are essential in a handset.

As for speed performance, LTE brings a considerable upgrade to the cellular network over even

the latest version of HSPA+. Using 64QAM in a SISO configuration, the peak data rate is 100

Mbits/s in a 20-MHz channel. That rate drops to 57.6 Mbits/s with 16QAM and 50 Mbits/s with

QPSK. The data rate jumps to a peak of 172.8 Mbits/s using 2x2 MIMO. Although not widely

supported, 4x4 MIMO is expected to deliver a peak of 326.4 Mbits/s.

CHALLENGES

LTE is currently deployed on a relatively small scale worldwide. Most carriers have committed

to LTE but implementation is slow due to the high cost of new infrastructure equipment. The

trend to adoption is clear even among carriers that previously followed the cdma2000 EV-DO

route. In fact, two of the cdma2000 carriers, MetroPCS and Verizon, are the first to implement

LTE in the U.S. MetroPCS has LTE service in all of its major metropolitan coverage. It uses the

Samsung LTE phones.

Verizon Wireless launched its LTE network in December last year 2012 in 39 market areas.

Since then, the company has continuously rolled out new LTE coverage. Its plans call for

coverage in as many as 175 markets by the end of 2011. Verizon uses the Samsung handsets as

well as the newer HTC Thunderbolt.

Users are experiencing downlink data rates of 5 to 12 Mbits/s and 2 to 5 Mbits/s on the uplink, a major improvement over older 3G systems. LTE is expected to gain increasing momentum through the second quarter of 2011. Currently, 12

countries have commercial LTE services. ABI Research projects that by the end of the year,

there will be some 16 million subscribers using LTE mobile devices. Now all we need is a good

supply of LTE smart phones.

Due to the lack of harmonization of LTE spectrum bands across different countries, it is almost

impossible within the near future to support LTE global roaming.

To use a LTE device for data roaming based on the current worldwide spectrum usage, the

device needs to support at least 15 bands.

From an engineering perspective, supporting so many bands on a device is really tough.

Therefore, for the next decade, 3G data roaming will still be dominant.


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LTE-ADVANCE

LTE-Advanced is what will become the formal ITU-blessed version of 4G. As an evolved

version of LTE, it boosts data rates to 1 Gbit/s by using wider-bandwidth channels and higher-

level MIMO schemes. Data rates beyond the theoretical peak of 326.4 Mbytes/s are achieved by

using bandwidths of 40 to 100 MHz.

The channel width ideally should be one contiguous segment if possible. But if not, the standard

allows non-contiguous segments to be aggregated. With the spectrum limitations that most

carriers live with, it is more likely that the non-contiguous aggregation will be the norm.

LTE-Advanced also defines a maximum of 8x8 MIMO, but it isn’t likely to be widely supported.

However, various other MIMO configurations will be more common such as 2x2, 4x4, and 4x2.

Handset MIMO is more likely to be 1x2, but up to 4x4 could be used if the antennas can be de-

correlated. Separation between antennas is the solution, but that’s difficult in something as small

as a handset.

Work continues in this area. This standard also is

expected to cover:

• Coordinated multipoint (CoMP): This is an

arrangement where transmitters do not have to be co-

located and can be linked by a high-speed connection

of some sort.

• Relaying: Relay stations between the end user and

base station will retransmit downlink and uplink

signals to improve coverage. It will also increase data

rates and help eliminate dead zones in coverage as

well as extend coverage in rural areas.

• Femtocells: These home-based cell sites along with enterprise picocells should further increase

coverage areas at lower cost.

LTE-Advanced is not finalized yet, and it will be years before we see it. It will ultimately

become one of the technologies along with WiMAX2 to form IMT-Advanced, which is the

ITU’s final say on 4G.

LTE ADVANCED DEVELOPMENT HISTORY

With 3G technology established, it was obvious that the rate of development of cellular

technology should not slow. As a result initial ideas for the development of a new 4G system

started to be investigated. In one early investigation which took place on 25 December 2006 with

information released to the press on 9 February 2007, NTT DoCoMo detailed information about

As 3G can coexist with 2G

systems in integrated networks, it is possible that LTE systems coexist with 3G

and 2G systems. Multimode devices will function across

LTE/3G or even LTE/3G/2G, depending on market

circumstances. [6]


22 | P a g e

trials in which they were able to send data at speeds up to approximately 5 Gbit/s in the downlink

within a 100MHz bandwidth to a mobile station moving at 10km/h. The scheme used several

technologies to achieve this including variable spreading

factor spread orthogonal frequency division multiplex,

MIMO, multiple input multiple output, and maximum

likelihood detection. Details of these new 4G trials were

passed to 3GPP for their consideration

In 2008 3GPP held two workshops on IMT Advanced,

where the "Requirements for Further Advancements for E-

UTRA" were gathered. The resulting Technical Report

36.913 was then published in June 2008 and submitted to

the ITU-R defining the LTE-Advanced system as their proposal for IMT-Advanced.

The development of LTE Advanced / IMT Advanced can be seen to follow and evolution from

the 3G services that were developed using UMTS / W-CDMA technology. Table 1.2

WCDMA

(UMTS)

HSPA

HSDPA /

HSUPA

HSPA+ LTE LTE ADVANCED

(IMT

ADVANCED)

Max downlink speed

bps

384 k 14 M 28 M 100M 1G

Max uplink speed

bps

128 k 5.7 M 11 M 50 M 500 M

Latency

round trip time

approx

150 ms 100 ms 50ms

(max)

~10 ms less than 5 ms

3GPP releases Rel 99/4 Rel 5 / 6 Rel 7 Rel 8 Rel 10

Approx years of initial

roll out

2003 / 4 2005 / 6

HSDPA

2007 / 8

HSUPA

2008 / 9 2009 / 10

Access methodology CDMA CDMA CDMA OFDMA / SC-

FDMA

OFDMA / SC-

FDMA

LTE ADVANCED KAY FEATURES

With work starting on LTE Advanced, a number of key requirements and key features are

coming to light. Although not fixed yet in the specifications, there are many high level aims for

the new LTE Advanced specification. These will need to be verified and much work remains to

be undertaken in the specifications before these are all fixed. Currently some of the main

headline aims for LTE Advanced can be seen below:

India Broadband penetration is far behind the target. However from the year 2011, data usage was expected to grow at a faster pace with 3G, Smart Phones, I-Phones, Social networking sites are expected to catalyze the data usage growth.


23 | P a g e

Peak data rates: downlink - 1 Gbps; uplink - 500 Mbps.

Spectrum efficiency: 3 times greater than LTE.

Peak spectrum efficiency: downlink - 30 bps/Hz; uplink - 15 bps/Hz.

Spectrum use: the ability to support scalable bandwidth use and spectrum aggregation where

non-contiguous spectrum needs to be used.

Latency: from Idle to Connected in less than 50 ms and then shorter than 5 ms one way for

individual packet transmission.

Cell edge user throughput to be twice that of LTE.

Average user throughput to be 3 times that of LTE.

Mobility: Same as that in LTE

Compatibility: LTE Advanced shall be capable of interworking with LTE and 3GPP legacy

systems. [5]

TD-LTE:

TDD (time division duplex) version of LTE is known as TD-LTE. Recently operators and

vendors across world have requested the 3GPP standards body to begin working on

specifications that would enable TD-LTE to be deployed in the 2.6 GHz band of spectrum as

well.

Last October 2012, the ITU stepped in and declared that LTE, EV-DO Rev. A and B, HSPA, and WiMAX are still 3G. The ITU says that 4G is what it calls IMT-Advanced. Of the various standards being considered for real 4G, only two have met the requirements for IMT-Advanced: LTE-Advanced and WiMAX2, also known as Wireless MAN-Advanced or IEEE 802.16m [4]

WIMAX REMAINS A PLAYER

As good as it is, WiMAX always seems to be treated as the black sheep of the broadband

wireless flock. Yet it appears to be just as good as LTE. Both are OFDM-based with minimal

differences. WiMAX, which means Worldwide Interoperability for Microwave Access, is a

wireless metropolitan-area network (MAN) system designed for broadband access. The standard

was originally intended to be a wireless alternative to DSL or cable TV Internet connections, but

it has become more than that. The IEEE originally standardized it as 802.16 or fixed WiMAX in

2004. A mobile version designated 802.16e was standardized in 2005. The ITU has designated

all of these versions as 3G, but the newer 802.16m is a candidate for IMT-Advanced, making it

4G WiMAX.


24 | P a g e

WiMAX has been deployed for Internet access in more than 580 installations in 150 countries

including the U.S. It uses the 2.3-, 2.5-, 3.3-, 3.5-, and 5-GHz bands, with 2.5 and 3.5 GHz being

the most common.

There’s no doubt WiMAX will ultimately be used in the newer 700-MHz bands. Besides its

primary use in broadband Internet access, it is also used in microwave backhaul links for cellular

base stations and Wi-Fi hotspots.

The latest and most widely used version of WiMAX, Mobile WiMAX 802.16e, uses a scalable

OFDM and OFDMA for access where the number of subcarriers can be 128, 512, 1024, or 2048

depending on the channel bandwidth, which may be 1.25, 5, 10, or 20 MHz. The basic subcarrier

spacing is 10.94 kHz. The standard supports antenna diversity, adaptive antennas, and MIMO for

improved link reliability and higher data rates.

WIMAX KEY FEATURES:

Turbo coding and low-density parity check forward error correction schemes are used. Access is

primarily TDD in mobile applications, though a FDD profile is defined. The modulation is

adaptive to the link robustness. It uses binary phase-shift keying (BPSK) for the poorest

conditions. QPSK and 16QAM can also be used to boost data rate under better path conditions.

Range and data rate both vary widely depending upon the application. In a fixed-station

application, the range can be as great as 30 miles. In mobile applications, stations or cell sites are

mainly in the 3- to 10-mile radius. Most mobile cell sites have a range of only 1.5 miles to

provide good, reliable connections while maintaining a good, useable data rate.

Data rates for individual users in most systems range from 1 to 5 Mbits/s. But in a single-user

downlink, a data rate of 128 Mbits/s in a 20-MHz channel with a 56-Mbit/s uplink speed can be

achieved.

WIMAX2: THE TRUE 4 G

The IMT-Advanced 802.16m version also known as WiMAX2 is even more broadly defined with frequency coverage down to 450 MHz and through the 5-GHz range. It can achieve 1-Gbit/s speeds in a fixed environment and 100 Mbits/s in a mobile environment. A minimum of 2x2 MIMO is defined for base stations, but they will no doubt use 4x4 or higher plus beam forming as well. A mobile user will have at a minimum of one transmitted and two receive signal chains (1x2 MIMO). Modulation is 64QAM in a 20-MHz channel. This is true 4G. [4]


25 | P a g e

FRAME WORKS FOR IMT-ADVANCED SYSTEM

The framework for the development of IMT-Advanced systems can be considered from multiple

perspectives, including the users, manufacturers, application developers, network operators, and

service and content providers. (Table 1.3)

Perspective Objectives

END USER

Ubiquitous mobile access Easy access to applications and services Appropriate quality at reasonable cost Easily understandable user interface

Long equipment and battery life Large choice of terminals

Enhanced service capabilities User-friendly billing capabilities

CONTENT PROVIDER

Flexible billing capabilities Ability to adapt content to user requirements

depending on terminal, location and user preferences

Access to a very large marketplace through a high similarity of application programming

interfaces

SERVICE PROVIDER

Fast, open service creation, validation and provisioning

Quality of service (QoS) and security management

Automatic service adaptation as a function of available data rate and type of terminal

Flexible billing capabilities

NETWORK OPERATOR

Optimization of resources (spectrum and equipment)

QoS and security management Ability to provide differentiated services

Flexible network configuration Reduced cost of terminals and network

equipment based on global economies of scale Smooth transition from IMT-2000 to systems

beyond IMT-2000 Maximization of sharing capabilities between

IMT-2000 and systems beyond IMT-2000 (sharing of mobile, UMTS subscriber identity module (USIM), network elements, radio sites)

Single authentication (independent of the access network)

Flexible billing capabilities Access type selection optimizing service delivery

MANUFACTURER/ APPLICATION DEVELOPER

Reduced cost of terminals and network equipment based on global economies of scale

Access to a global marketplace Open physical and logical interfaces between modular

and integrated subsystems Programmable platforms that enable fast and low-cost

development. [6]


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FDD LTE vs. TD-LTE

TD-LTE is a 4G technology; it has expanded in Japan, the Middle East, Europe, and the US. It is

believed that it will serve 25% of the market by 2016.

FDD-LTE is the world’s dominant 4G technology. Of the 156 commercial 4G networks

operating around the world in March 2013, 142 were FDD LTE and 14 were TD-LTE. There are

reports that FDD LTE is faster than TD-LTE. [7]

Advantages / disadvantages of TDD and FDD (Table1.4)

Parameter TDD

FDD

Paired spectrum

Does not require paired spectrum as both transmit and

receive occur on the same channel.

Requires paired spectrum with sufficient frequency separation

to allow simultaneous transmission and reception.

Hardware cost

Lower cost as no diplexer is needed to isolate the

transmitter and receiver. As cost of the UEs is of major

importance because of the vast numbers that are produced,

this is a key aspect.

Diplexer is needed and cost is higher.

UL / DL asymmetry

It is possible to dynamically change the UL and DL capacity

ratio to match demand

UL / DL capacity determined by frequency allocation set out by the regulatory authorities. It

is therefore not possible to make dynamic changes to match capacity. Regulatory changes would normally be

required and capacity is normally allocated so that it is the same in either direction.

Guard period / guard band

Guard period required to ensure uplink and downlink transmissions do not clash. Large guard period will limit capacity. Larger guard period normally required if distances are increased to accommodate

larger propagation times.

Guard band required to provide sufficient isolation between uplink and downlink. Large guard band does not impact

capacity.

Discontinuous transmission

Discontinuous transmission is required to allow both uplink and downlink transmissions.

This can degrade the performance of the RF power amplifier in the transmitter.

Continuous transmission is required.

While it can be anticipated both TDD and FDD will be widely used, it is anticipated that FDD

will be the more widespread, Since LTE has become backward compatible with 3G and 2G

technologies which use paired spectrum, therefore it can be said that LTE FDD using the paired


27 | P a g e

spectrum can form the migration path for the current 3G/2G services. Although LTE TDD has a

number of significant advantages, especially in terms of higher spectrum efficiency that can be

used by many operators.

REGULATORY ISSUES IN IMT-ADVANCED SYSTEMS (INDIA)

It is required that there should be a well defined path for moving towards IMT-Advanced

services which include timely availability of sufficient spectrum, identification of frequency

band.

Spectrum being the basic resource for any wireless

technology, it is important to identify and make available

internationally harmonized bands for the use of IMT

services in India.

This will facilitate economies of scale, worldwide

roaming, wide availability of

handsets/terminals/devices, favorable investment climate

etc.

INDIAN SCENARIO

800 MHz and 900 MHz spectrum bands are presently being

used for 2G mobile services.

Though, the Authority (TRAI) has recommended that in

future when the spectrum in 800, 900 MHz is available (by allocating spectrum in 1800 and 1900

for the licensees at the time of renewal), it may be reframed and allocated for the IMT services.

At present spectrum in these bands is not available. In 1800 MHz band, out of 75 MHz of paired

spectrum, only 35 MHz is available for commercial services in a number of service areas. It is

expected that Defense will vacate 2x20 MHz of spectrum in 1800 MHz band which will be

required to compensate for the reframed 900 MHz spectrum.

Similarly, spectrum in PCS1900 MHz bands will be needed so that the service providers in 800

MHz can be relocated in 1900 MHz bands. [6]

In the current scenarios, following spectrum bands are only available for future technologies in

India :

- 700 MHz band (698-806 MHz).

- 2010-2025 MHz band.

- 2.3-2.4 GHz band.

- 2.5-2.69 GHz band.

- 3.4-3.6 GHz band.

Internationally, the following bands have been identified for

IMT and IMT-Advanced for public telecommunication

services: 450 MHz, 585–806 MHz, 800 MHz, 900 MHz, 1800

MHz, 1900 MHz, 2,1 GHz, 2.3-2.4 GHz, 2.5-2.69

GHz, 3.3-3.4 GHz and 3.4–3.6 GHz.


28 | P a g e

(Table1.5)

The Authority (Department of Telecommunication & TRAI) is aware of the rapid technological

advances that had been made in the preceding decade, especially in With respect of broadband

wireless access technologies.

There is two concerns:

First, that the demand for data, new wireless technologies and new services would increase and

this, in turn, would necessitate the availability of high quality “low frequency” spectrum for new

technologies.

Secondly, from a pure allocative efficiency perspective, it was vitally important to utilize the

scarce national resource, spectrum, in an optimal manner.

Since voice and other services provided through 2G technology could just as well be provided by

assigning spectrum in a higher frequency band, thereby vacating the low frequency and highly

efficient spectrum for new technologies, the outcome would be allocatively efficient as well as

capable of nurturing technical progress and paving the way for more satisfactorily meeting future

demand.

Since all the high-quality efficient spectrum in the 900 MHz band had been allocated to various

operators and the contract period for such allocation was coming up for renewal starting in 2014-

15, it is time to consider whether spectrum could be reassigned so as to meet future needs of the

country.

The Government authority noted that reviews conducted by the Governments in other countries

have resulted in creation of significant economic value by re-farming and

harmonizing international bands for mobile usage.

Accordingly, the Authority felt it necessary that the spectrum in the 800/900 MHz bands may

also be reframed in India for use for mobile broadband services based on the latest and most

spectrally-efficient technologies. [8]


29 | P a g e

REFRAMING OF SPECTRUM

Spectrum be freed up either for a similar use in a particular band or other uses thus clearing

frequencies from delivery of low-value services. This is called reframing.

The key motivation for re-farming is to use the re-farmed frequency bands for communication

services that yield greater economic or social benefits than the existing use.

REFRAMING CHALLENGES

When frequencies have been used for one purpose for long periods of time, it is very difficult to

reallocate these frequencies for a different use.

Many regulators are (DOT/TRAI), therefore, taking the expiration of existing 2G licences as an

opportunity to update licence terms to benefit from the developments in the mobile industry.

DIFFERENT APPROACHES OF REFRAMING: Few International cases International experience suggests that countries have used different approaches for

liberalization/reframing of spectrum in the 900 MHz band.

A. Amend technology specific licenses: An option for governments can be to amend existing

licenses to allow deployment of new technology (e.g. France and Finland: Amended the

technology specification of the 900 licenses for their

three existing licensees to allow them to use the 900

band for both GSM and UMTS/HSPA)

B. Abolish technology / service restrictions: An option

for governments can be to make existing licenses

technology/service neutral (e.g. Sweden: A combined

renewal and reframing process implemented by PTS;

new licenses allow licensees to choose technology)

C. Reshuffling/Redistribution of spectrum: GSM

channels are 200 kHz, UMTS/HSPA channels are 5

MHz, and LTE is standardized with different channel

width including 5, 10 and 20 MHz

D. Withdrawing and re-assigning spectrum: Some countries have considered withdrawal of GSM

licenses (partly/wholly) for re-planning the frequency bands and then issue licenses that make

deployment of UMTS/HSPA and/or LTE possible.

In most of these countries, because of the small number of incumbents having 900 MHz spectrum (2 to 4), it was feasible to redistribute the available 900 MHz spectrum amongst the operators. However, in India, on account of the fact that the number of operators is 6 to 9 in all the LSAs and the available spectrum in 900 MHz 11 band is only 18.6-22.2 MHz, the approach to be adopted has perforce to be different.


30 | P a g e The Cabinet has approved the National Telecom Policy, 2012 which incorporates the following provisions:“3.5

To delink spectrum in respect of all future licences. Spectrum shall be made available at a price determined through market related processes”.

The Telecom Authority of India had analyzed the issue of reframing of spectrum in

800/900MHz band and concluded that spectrum in 900MHz may be reframed when the spectrum

for the first and second licensees come for renewal in 2014-15. [8]

In its recommendations on „Spectrum Management and Licensing Framework‟ dated 11th May

2010, the Authority of Telecommunication India recommended:

“Keeping in view the value of 900 MHz spectrum, the Authority recommends that on renewal of the licence, spectrum held by a licensee in the 900 MHz band shall be replaced by assignment of equal amount of spectrum in 1800 MHz…. Similar action would be taken in respect of the 800 MHz band spectrum which would be replaced by spectrum in 1900 MHz/450 MHz band. (Para 2.175)” TRAI Three different options for reframing of spectrum in

Indian:

Ⅰ 1st 900 MHz spectrum available with the

licensees whose licences are expiring during

2014-16, was proposed to be reframed at the

time of renewal of licence and in its place spectrum in the 1800 MHz was to be given to

them.

Ⅱ 2nd it was proposed that such licensees may be allowed to retain 5 MHz of spectrum in

900 MHz band at the time of renewal of their licences and the rest of the spectrum in 900

MHz band is reframed by assigning spectrum in 1800 MHz.

Ⅲ 3rd that all the licensees holding spectrum in 900 MHz, irrespective of the expiry dates of

their licences, may be given an option to surrender spectrum in excess of 5 MHz

allocated to them in the 900 MHz band in lieu of equal amount of spectrum in 1800 MHz.

An operator providing services over 20 years would have invested extensively on network

planning and development including active infrastructure, planning of cell sites, MSCs,

deploying equipment for backhaul connectivity, setting up points of interconnection, marketing

and customer care centers, building up chains of dealers and distributors and other related

infrastructure. Surely, such investments have been made on the 22 reasonable expectation that, at

the time of renewal, the operator would

continue to have access to spectrum. If no such assurance was available, it would seriously and

adversely impact investment incentives. What is even more important is the associated

DOT/TRAI concluded that the entire spectrum in the 800/900 MHz band be reframed.


31 | P a g e

impracticality; without some assurance of spectrum availability, there could be a serious

disruption to continuity of service to millions of subscribers and huge

Uncertainties for telecom operators.

VARIOUS APPROACHED ADOPTED BY COUNTRIES FOR REFRAMING OF

SPECTRUM

Sweden: 900 MHz Band

Prior to liberalization/reframing in Sweden, four operators (Swefour, Tele2, Telenor and

TeliaSonera_ held both 2G 900MHz licences and 3G 2100MHz licences; one operator (HI3G)

had 2100MHz licence only.

Reframing decision resulted in all 900MHz spectrum in Sweden being distributed among the

five operators. This process was carried out on a mutually agreed proposal submitted by all

five operators to the regulator PTS.

Subsequently, use of spectrum in the band has been liberalized and all licences are

technology and service neutral wef 01st May 2011.

Denmark: 900/1800 MHz

Prior to the reframing, almost all the spectrum in the two bands was licensed to Denmark's

three GSM operators: TDC, Telia and Telenor.

The reframing decision by NITA on 23rd Dec 2009 provided for the redistribution of

spectrum to accommodate new entry licensees in both bands and reshuffling of existing

licensees meaning all 32 operators had to spectrally move their current operations and

adjusting expiry dates of existing licenses.

Ireland: 900/1800 MHz

On 24.08.2011, the ComReg released the document “Multi-Band Spectrum Release: Release

of the 800 MHz, 900 MHz and 1800 MHz radio spectrum bands”, which contained

ComReg’s comprehensive proposals for making these spectrum bands available from 2013

on a competitive basis, based on a multiband spectrum auction.

Two of these three spectrum bands (900 MHz and 1800 MHz) are used for providing the 2G

mobile services); the third band (800 MHz) is currently used for broadcasting analogue

terrestrial signals. [8]

The Telecom Authority of India had analyzed the issue of reframing of spectrum in 800/900MHz band and concluded that spectrum in 900MHz may be reframed when the spectrum for the first and second licensees come for renewal in 2014-15. [8]


32 | P a g e

INTERNATIONAL PRACTICES ON IMT-ADVANCES

U.S.A.

The 700 MHz band was previously used for analog television broadcasting, specifically UHF

channels 52 through 69 (698 MHz-806 MHz). The FCC was of the view that the switch to digital

television has made these frequencies no longer necessary for broadcasters, due to the improved

spectral efficiency of digital broadcasts. Thus all broadcasters were moved to channels 2 through

51 (54 MHz-698 MHz) as part of the digital T.V transition. The last transmissions by the

incumbent television broadcasters using the channels 52 through 69 ceased on June 12, 2009

except for LPTV (Low Power T.V) stations, which were permitted to stay on the air with an

analog signal until the winning bidders start operations.

The United States 700 MHz FCC Wireless spectrum auction, officially known as Auction 73,

was started by the Federal Communications Commission (FCC) on January 24, 2008 for the

rights to operate the 700 MHz frequency band in the United States.

As per the FCC guidelines, 700 MHz Band licenses may be used for flexible fixed, mobile, and

broadcast uses, including fixed and mobile wireless commercial services (including FDD- and

TDD-based services); fixed and mobile wireless uses for private, internal radio needs; and

mobile and other digital new broadcast operations. These uses may include two-way interactive,

cellular, and mobile television broadcasting services. [9]

DENMARK

An auction of 190 MHz spectrum in 2500-2690 MHz (2.5 GHz band) and 15 MHz spectrum in

2010 MHz band was completed on May 10, 2010, with spectrum being awarded to Hi3G

Denmark ApS, TDC A/S, Telia Nattjanster Norden AB and Telenor. [10]

FINLAND

In the spectrum auction held by the Finnish Communications Regulatory Authority (FICORA),

the spectrum blocks to be auctioned were divided into blocks.

A. 2.5GHz paired: 2x5 MHz – 14 lots in 2500-2570MHz and 2620-2690MHz spectrum bands.

(blocks FDD1 to FDD14)

B. 2.5GHz unpaired: Spectrum block 2570-2620 MHz. (called TDD-block.) [11]

AUSTRIA

Austrian regulator Telekom Control Commission (TKK) divided the frequency range 2500 -

2690 MHz, which was to be auctioned, as given below :

A. 2.5GHz paired: 2x5 MHz – 14 blocks in 2500-2570MHz and 2620-2690MHz spectrum

bands. (Blocks A1 to A14).


33 | P a g e

B. 2.5GHz unpaired: The sub-band 2570-2620 MHz auctioned as ten blocks, each consisting of

one Block of 5MHz unpaired spectrum (Blocks B1-B10).

The frequencies were for assignment for use throughout the entire territory of Austria. It was

decided that the frequencies would be assigned in such a way that bidders can only acquire

contiguous frequency blocks in whole multiples of 2x5

MHz in the paired range and in whole multiples of 5

MHz in the unpaired range. [12]

IMT –ADVANCED SECURITY ISSUE

Security is an issue that is of paramount importance. It

is necessary to ensure that IMT- Advanced security

measures provides the level of security required

without impacting the user.

IMT- Advanced brings with it packet-based access up to the user terminal. A packet

infrastructure with a large number of IP addressed devices implies ease of proliferation of

malware attacks, and complex requirements for their detection, prevention and cure. A new

threat assessment framework and a security policy in line with this framework are necessary to

secure these networks and their users.

Packet based voice will be potentially prone to IP telephony attacks such as SPAM for VoIP

(SPIT), SIP registration hijacking, eavesdropping. SPITs can also consume bandwidth thereby

degrading quality of voice.

MAC layer security issues in both LTE-Advanced and WiMAX include bandwidth stealing,

location tracking, denial of service (DoS) attacks etc.

Pico and Femto base stations are likely to be more popular in IMT-Advanced and are likely to

pose more security threats due to high accessibility architecture.

These networks present significantly higher capacity challenges to legal-intercept systems

deployed today. A large, dynamic public IP pool places enormous demands on infrastructure

used by law enforcement agencies for call traces, and the capacity of current deployments seems

inadequate. [8]

Due to open architectures and IP based protocols, these networks will be prone to security attacks similar to those of Internet. As a result, IMT-Advanced networks will be more prone to Trojans, Malwares and Virus attacks than 3G wireless systems.


34 | P a g e

CHALLENGES FAEC BY THE INDIAN GOVERNMENT IN IMPLEMENTING LTE/TD-

LTE.

BUSINESS ENVIRONMENT: INDIA

Country Briefing | 18 Sep 2012 [13]

India ranked low in the World Bank's Ease of Doing Business report due to excessive

bureaucracy, high corruption, and complex policies and procedures that restrict trade and

investment. According to the World Bank’s Ease of Doing Business 2012 report, India ranked

132nd out of 183 countries compared to regional peers like Thailand (16th), China (91st) and

Indonesia (126th). Liberalised economic policies since 1991 have opened the Indian economy

gradually.

Foreign direct investment (FDI) inflows in 2011 stood at Rs1.5 trillion (US$31.6 billion) or 1.7%

of total GDP, lower than China (US$124 billion) but higher than Indonesia (US$18.9 billion).

This was also significantly lower than the FDI inflows peak of Rs1.9 trillion (US$43.4 billion) or

3.4% of total GDP in 2008 owing to slowing global economic growth and the euro zone debt

crisis.

India has a complicated tax system, but on-going reforms are making it easier for businesses to

pay taxes. In 2012, the corporation tax stood at 30.0% unchanged from the previous year.

Infrastructural development remains one of the biggest weaknesses in doing business in India.

Nonetheless, the information, communications and technology (ICT) industry is expanding

rapidly across all domains and has tremendous potential for growth. There is a problem of “brain

drain” where skilled people leave the country to seek better job opportunities abroad resulting in

skills shortages, particularly in the ICT, infrastructure and power sectors.

With a 1.2 billion population in 2011, the consumer market is huge and continues to grow

strongly. By 2020, middle youth, aged 30-44, will account for 22.0% of the total population

making it the largest consumer segment in India. These young high-income earners have a huge

demand for discretionary items such as premium luxury goods, communications, tech-savvy

consumer products, hotels and recreation and more.

CORRUPTION IMPACTS INDIA’S BUSINESS AND POLITICAL ENVIRONMENT

Corruption seriously affects India's business and political environment, posing a challenge to the

country's economic growth. An increasing number of corruption scandals since the late 2000s

have damaged the government's credibility, caused major loss in tax revenues, led to social

unrest and widened income inequality. Corruption has become more endemic since the late

2000s along with the country's strong economic growth and a surge in investment.


35 | P a g e

India has been hit by a string of huge corruption scandals including a multi-billion dollar

telecom licenses scam in 2008, alleged financial malpractices associated with the

Commonwealth Games in 2010 and the illegal mining scandal in Karnataka state during 2006-

2010;

India ranked 87th place out of 178 countries in Transparency International's Corruption

Perceptions Index (CPI) in 2010, down from 84th place in 2009. The index refers to perceptions

of the degree of corruption as seen by business people and country analysts. With this ranking,

corruption in India is seen to be worse than in China and Brazil, but still less severe than in

Russia and Indonesia. [13]

Transparency International's Corruption Perceptions Index for Selected Countries: 2010 Table(1.6)

CPI score 2011 CPI rank 2010 CPI rank 2009

New Zealand 9.3 1 1 Japan 7.8 17 17

Brazil 3.7 69 75

China 3.5 78 79

India 3.3 87 84 Indonesia 2.8 110 111

Russia 2.1 154 146

Source: Euro monitor International from Transparency International. [14]

Note: Score is based on a scale from 0 (perceived to be highly corrupt) to 10 (perceived to have low levels of corruption).

Corruption significantly impacts India's business environment and poses a threat to sustained

economic growth:

Pervasive corruption reduces competition and efficiency in the Indian economy. India ranked

134th out of 183 countries in the World Bank's Ease of Doing Business Index in 2011, a ranking

lower than both China (79th) and Brazil (127th). Businesses face constraints in starting a

business, dealing with construction permits and enforcing contracts;

Corruption raises the cost of doing business and adds to the problem of regulatory uncertainty,

thus affecting foreign direct investment (FDI). Due to strict foreign investment regulations, FDI

inflows to India remain low compared to its peer economies and stood at US$24.6 billion in

2010, compared to US$106 billion for China and US$41.2 billion for Russia;


36 | P a g e

Significant tax revenues have been lost due to corruption. The sale of the 2G spectrum telecom

licences in 2008 alone caused an estimated US$40.0 billion revenue loss for the Indian

government. India has faced a rising budget deficit which stood at Rs7.0 trillion (US$153 billion)

in 2010 or 8.9% of total GDP;

Chart:1.1

India's efforts to reduce poverty will be hampered as public funds are embezzled and diverted

from social spending such as on healthcare and education. According to national statistics, more

than one third of the Indian population still live below the national poverty line as of 2010.

Income inequality has also worsened, with the Gini index rising from 37.8% in 2005 to 39.5% in

2010. The index measures the level of income equality where a zero value represents perfect

income equality while 100% indicates absolute income inequality;

Rising corruption has led to social discontent amongst the middle-class and a volatile political

environment. Since early 2011, a series of anti-corruption street protests and hunger strikes are

putting the government under pressure to pass a revised anti-corruption bill that has been

proposed by Anna Hazare, India's well-known anti-corruption activist.

PREVENTIVE ACTION TAKEN BY INDIAN GOVERNMENT

The Indian government has taken some action in fighting corruption. Since early 2011, some top

government officials including the former Telecoms Minister have been arrested for alleged

corruption. On August 4th, 2011, the government drafted a new bill to set up an anti-corruption

watchdog. The bill was criticised however, for exempting the prime minister and senior judges

from prosecution while they are in office;


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On August 28th, the government accepted the first draft of the stronger anti-corruption bill

proposed by Anna Hazare, and as a result he has ended the hunger strike he began in mid-August

2011 to force the government to pass it. There are further stages in passing the bill however, and

it is possible that it could be weakened during them. If this happens, there could be socio-

political uncertainty in the near future;

Economic growth in India will continue to be boosted by a rising middle-class and strong

consumption. During 2005-2010, consumer expenditure in India grew at an average annual rate

of 5.8% in real terms. In order to sustain growth, however, India needs to address corruption to

improve investor confidence, consolidate government finance and reduce poverty. India's real

GDP growth is forecast to slow down to 8.2% in 2011 from 10.4% in 2010, mainly due to high

inflation and the government's austerity measures.

TECHNOLOGY, COMMUNICATIONS AND MEDIA: INDIA

Country Briefing | 17 Sep 2012

India’s technology, communications and media (TCM) sector represents one of the world`s

largest and fastest growing markets, driven by the country’s huge population, growing middle

class and rising income levels. The mobile phone sector continues to expand impressively as it

reaches India’s vast rural population. While broadband penetration remains rather low, Internet

usage has soared owing to network expansion, creating great opportunities for businesses in

Internet media and retailing.

India has been an early adopter of information technologies but growth of the TCM sector has

been restrained by a high adult illiteracy level, a lack of investment in rural infrastructure and

corruption. India ranked 69th out of 142 countries in the World Economic Forum’s (WEF)

Networked Readiness Index (NRI) in 2012, a drop of 25 positions compared to the 2007 ranking.

Household possession of a mobile phone increased rapidly from 21.9% of all households in 2006

to 41.1% in 2011. While the annual rate of mobile phone subscriptions has started to moderate,

India’s mobile market, especially in rural areas, is still far from saturation. India will overtake

China to become the world`s largest market in terms of mobile phone subscriptions by as early as

2013.

India’s household broadband Internet possession rose from 0.6% of all households in 2006 to

5.9% in 2011, remaining very low in the world’s ranking of broadband penetration rates. While

broadband Internet enabled computers and services remain out of reach for many households,

network expansion and growing public Internet connectivity will continue to boost Internet

usage.


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Average Indian household expenditure on communications stood at Rs5,199 (US$111) in 2011,

up by 61.1% in real terms over 2006. Rising income levels and a growing number of middle

class households will continue to fuel consumer spending on TCM products and services. India’s

vast rural population provides a promising market segment for low-cost services and products,

including mobile phones and computers;

Internet retailing is set to grow in India, backed by consumers’ increasing enthusiasm for online

shopping and convenient payment mechanisms. In 2011, the total value of Internet retail sales in

India reached Rs46.4 billion (US$968 million), accounting for 39.1% of total non-store retailing

value in the year. [13]


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DRIVERS FOR IMPLEMENTING LTE ADVANC SYSTEM: INDIA

Indian Telecom Sector Offering Brighter Prospects in 2013

Article | 01 Mar 2013

At one point one of the fastest expanding in the world, the Indian telecom sector has lost

momentum, with businesses hoping sound government policy and eager consumers can help the

industry recover its edge:

In February 2012, the Indian government cancelled 122 2G licences following a corruption

scandal over their under-priced auction in 2008. The ordeal underlined government inefficiencies

and the disorganized state of the telecom industry, where a large number of smaller, regional

mobile operators were not fulfilling their contractual duties.

The bad publicity India has gathered as a result has provided a toxic environment for potential

new telecom entrants to the market, while state-enforced changes to spectrum bidding, moved to

an auction-based system (meaning licence costs could be higher) as opposed to fixed bids, and

lowered competition as a result of cancelled licences will likely raise prices for consumers.

Nonetheless, India remains a highly prospective market, despite it lagging behind its fellow

BRIC nations in terms of telecom development, due to lower fibre-optic coverage, and mobile

broadband and Internet usage penetration. If the state can provide greater commercial incentives

to fixed and mobile operators in rural areas, a large section of the population can be unlocked for

the market. The country's mobile phone subscriptions numbered a massive 961 million in 2012,

behind only China.


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(Chart1.2)

Unusually, India has seen much larger telecom investments than total telecom revenues

throughout 2007-2012, suggesting that the sector is not fully monetising its potential but that the

country is building a strong infrastructural base for the future. The telecom sector is thus not as

saturated as in other more developed markets, including fellow BRIC nations, and businesses can

see potentially rapid growth opportunities;

As smaller telecom players are expected to be increasingly squeezed out in upcoming

spectrum auctions for 4G and other frequencies in 2013, sector-wide consolidation is set to

strengthen the position of the major wireless operators, including Bharti Airtel, IDEA Cellular,

Tata Teleservices and Reliance Communications. Despite decreasing competition, market

convergence will provide greater stability and strategy in the sector, offering better services to

consumers.


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INCOME AND EXPENDITURE: INDIA

Country Briefing | 04 Oct 2012

Slower-than-expected real GDP growth and high inflation will impact disposable income and

consumer expenditure levels in 2012 and 2013. However, India’s youthful demographic and

growth from low middle-income levels provides opportunities for marketers of consumers goods

and services. Discretionary spending is rising across income levels with categories like

communications, clothing and footwear, hotels and catering and education seeing the fastest

growth in the 2013-2020 period.

India’s per capita annual disposable income witnessed a strong growth of 21.0% in real terms

between 2006 and 2011 to reach Rs58,261 (US$1,249) by the end of the period but is

categorized as a “low income” country by the World Bank. In 2012 and 2013, real growth in per

capita annual disposable income is expected to slow to 3.5% and 4.8% year-on-year respectively

in real terms, owing to the country’s low real GDP growth and high inflation.

However, India has a large and expanding middle class with a strong purchasing power that is

creating more demand for discretionary items like durable goods, automobiles, consumer finance

and more. In 2011, the country’s middle class – made up of households with between 75.0% and

125% of median income – comprised 65.9 million households or 28.9% of the total number of

households in the country.

MARKET OVERVIEW

Rapid expansion but many challenges remain:

India represents one of the largest and fastest growing TCM markets in the world thanks to

growing investments, a large domestic market with rising income levels as well as substantial

reforms and deregulation since the early 1990s. India’s TCM penetration rates, however, still lag

behind other emerging economies in the Asia Pacific region. Despite strong economic growth,

the country continues to face various challenges in increasing its TCM usage, including

corruption scandals, extensive red tape, poor infrastructure and a relatively low literacy rate. In

2011, India’s adult literacy rate stood at 63.4% of population aged 15+, lower than the Asia

Pacific average of 82.3%.

Overall capital investment in telecommunications reached Rs969 billion (US$20.8 billion) in

2011, representing a growth of 50.2% over 2006 in real terms. Large investments have been

made in India’s telecommunications sector, both by the government and the private sector, thus

helping to improve the country’s TCM infrastructure. This includes, for example, the National

Knowledge Network (NKN) launched in 2009, which aimed to connect 1,500 educational

institutes around the country through a high-speed data communication network.


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In 2011, total telecommunications revenues stood at Rs2.2 trillion (US$47.5 billion),

significantly up by 70.5% in real terms over 2006. While telecommunications revenues will

continue to expand in the medium term, the pace of the growth will moderate, alongside a

slowdown in the growth of mobile phone subscriptions.

(Chart1.3)

Source: Euromonitor International from national statistics/trade sources/OECD/Eurostat

PHYSICAL INFRASTRUCTURE

Mobile infrastructure leads ICT development,

Fixed-line communications infrastructure such as DSL, cable networks and fibre optics are

available in India but their coverage remains low, especially in rural areas:

In 2011, the number of telephone lines in use stood at 32.1 million, a drop of 21.3% over 2006

due to the rising popularity of mobile phones. The number of telephone lines in use per 100

inhabitants also declined from 3.6 in 2006 to 2.7 in 2011. In 2011, 100% of telephone lines in

India were connected to digital exchanges, unchanged from 2006;

The landline telephone sector in India continues to be dominated by two companies, BSNL

and MTNL, which provide access via copper wire. Some other smaller companies also offer

international services and some have their own submarine fibre optic cables

Broadband networks continue to expand in India but serving the country’s huge population,

especially in rural areas, continues to be challenging. A lack of broadband infrastructure in rural

and remote areas has constrained the uptake of broadband Internet in India;


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Efforts have been made to enhance the country’s fixed broadband connections. BSNL, the

state-run operator, has started to launch fibre-to-the home (FTTH) services in some cities since

2010, providing up to 100Mb/s speed connections. The government initiated a National

Broadband Network plan in 2011, which aims to provide an open access optical fibre network

connecting all dwellings with a population of 500 and above by 2013;

Improving fixed broadband infrastructure will provide faster Internet access for businesses and

consumers in India, thus offering opportunities for related services such as online entertainment.

(Chart: 1.4)

In an effort to boost rural mobile penetration and reduce the investment cost for mobile

operators, the Telecommunications Regulatory Authority of India (TRAI) has since 2005

supported a mobile infrastructure sharing policy. The initiative allows mobile operators to

cooperate with telecom tower companies in expanding their networks, thus making the rollout of

mobile networks faster and easier.

Storage infrastructure in India has developed significantly since the early 2000s, with many data

centres being established by telecommunications and information technology companies,

including leading ones such as IBM and NTT. With the rollouts of 3G and 4G networks and the

launch of data intensive services such as video calls and high speed online gaming, the demand

for storage infrastructure will continue to rise in India, creating opportunities for businesses in

this sector.

MOBILE CONNECTIVITY

Growing mobile connectivity as a chance for a technological “leapfrog”


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India’s mobile communications market is highly competitive, with a large number of service

providers and rapidly growing revenues:

As of December 2011, Bharti was the largest mobile network provider in India, accounting for

19.7% of the mobile market share, according to TRAI’s statistics. Other major players include

Reliance and Vodafone, which enjoyed market share of 16.8% and 16.5%, respectively, at end-

2011;

The share of mobile telecommunication revenues to total telecom revenues in India rose from

60.8% in 2006 to 74.8% in 2011, driven by a 4.5 times increase in the number of mobile phone

subscriptions during the period;

India’s household possession of a mobile phone also increased from 21.9% of all households

in 2006 to 41.1% in 2011. Despite the strong growth, the low 2011 penetration rate suggests that

the mobile communications sector in India is still far from saturation.

(Chart 1.5)

The growing popularity of mobile technology in India could create a chance for a technological

leapfrog, where consumers will be provided with Internet services without computers:

2G networks have been available in India since 2007 but a corruption scandal over the awarding

of 2G licences in 2008 has resulted in uncertainty and disruption in the market. In 2012, the

Supreme Court of India decided to cancel all 122 2G licences awarded and required a re-auction.

Nevertheless, the rollout of 3G networks in India over 2010-2011 has been successful, with more

customers subscribing to the services. In early 2012, the first 4G network in India was launched

by Bharti in the eastern Indian city of Kolkata and in Bangalore;

Wireless-enabled handheld devices such as smartphones, netbooks, tablets and PDAs have

become more popular in India due to their convenience as well as declining prices. Smartphones

remain the most popular device but tablet PCs are likely to attract growing interest among


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working professionals and students. Sales of tablet PCs are forecast to spike as many

manufacturers like Micromax Informatics and Olive Telecom have been introducing their own

low-priced tablet PCs. The introduction of the world`s cheapest tablet computer in 2011, the

Aakash, which is partly subsided by the Indian government, is expected to boost tablet and

Internet usage among the lower-income and student consumer segment;

Despite the large number of mobile phone subscribers, m-commerce is still in its infancy in India

due to a lack of knowledge and security concerns among consumers, as well as because most

merchants in India have not had the tools or the infrastructure to accommodate mobile payments.

The adoption of m-commerce is therefore still limited to young urban Indians who use the

service to buy cinema tickets, travelling tickets and transfer money.

Nevertheless, m-commerce can become an effective way for retailers to reach the bulk of Indian

rural markets. For instance, United Villages, a rural supply company in India, started in 2011 to

make use of mobile phone technology to wire orders from rural retailers to its central warehouse.

HOME CONNECTIVITY

Low broadband penetration rate

The take-up of Internet services has expanded quickly in India during 2006-2011, as a result of

rising demand and more affordable prices of equipment and services:

The number of Internet subscribers increased from 12.6 million in 2006 to 19.6 million in

2011. Broadband Internet subscriptions accounted for 73.6% of all subscriptions in 2011, up

from 18.2% in 2006;

Thanks to competition, Internet prices have declined in India. The country’s fixed broadband

Internet tariffs in purchasing power parity (PPP) terms ranked 6th out of 140 countries in the

WEF’s 2010 ranking, suggesting that the cost of fixed broadband services in India was among

the cheapest in the world.


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(Chart1.6)

India is a latecomer to VoIP technology as the services have been only fully allowed since

February 2012. VoIP is expected to benefit customers and businesses as it enables them to make

calls through the Internet at cheaper prices. On the other hand, IPTV services have been

available in India since 2006. Several leading telecom companies in India such as BSNL, Bharti

and Reliance have been offering the services, but a low coverage of broadband networks is

restraining the development of IPTV.

PUBLIC CONNECTIVITY

Public connectivity helps to boost Internet usage

Public connectivity has played an important role in fuelling Internet usage in India:

The number of Internet users per 100 inhabitants in India grew significantly from 2.8 in 2006

to 9.1 in 2011. While the number of Internet subscribers accounted for only 1.6% of India’s

population in 2011, the rapid increase in the number of Internet users has been attributed to the

growing popularity of mobile Internet and connections in public places such as the workplace,

universities, Internet cafés and kiosks;

According to TRAI, there were about 7,890 cyber cafés across India as of September 2011.

However, the figure has been declining, primarily due to the mobile broadband boom in India. In

addition, a large number of Internet kiosks, which were set up by the government and

development organisations in rural areas, have helped to boost rural Internet usage and narrow

the digital gap between rural and urban Indians.


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According to jiwire.com, there were about 3,249 Wi-Fi hotspots across India as of July 2012.

Urban centers such as Delhi, Bangalore and Chennai have an extensive number of Wi-Fi

locations. Internet users have Wi-Fi access not only in many public places such as stations and

airports but also in restaurants and shopping centers.

WiMAX technology was first launched in India by BSNL in early 2010, providing high speed

wireless broadband access to users. However, the service is facing tough competition from LTE

technology for mobile broadband services.

WEB 2.0 APPLICATIONS AND SOCIAL MEDIA

Social networking sites such as Face book and LinkedIn are booming in India, partly thanks to

the rise of mobile Internet. According to Social bakers, there were 51.1 million Face book users

in India as of June 2012, representing the third largest group in the world after the USA and

Brazil.

(Chart1.7)


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Ten Most Visited Internet Sites by Reach in India: June 2012. [13](Table 1.7)

Description Ranking (out of 100) Rank Google.in Indian-version search engine 1

Google.com Search engine 2

Facebook.com Social network 3

YouTube.com Video sharing 4

Yahoo.com Internet portal for news, e-mail, search

and chat

5

Wikipedia.org Free encyclopedia 6

Linkedin.com Professional network 7

Indiatimes.com Online news 8

Googleusercontent.com Search engine 9

Wordpress.com Blogging site 10

Source: World Economic Forum, Executive Opinion Survey 2010-2011

DIGITAL MEDIA

Digital media such as music and movie downloading, and photo and video sharing is popular

among Indian Internet users. According to Alexa, video sharing site YouTube was the fourth

most visited site in India as of June 2012. Music streaming portals such as Saavn and Dhingana

have been particularly successful in attracting Indian users. The development of digital media

content in India, however, faces a number of challenges, including slow Internet speeds and

digital piracy. According to the Motion Picture Association, India ranked fourth worldwide in

terms of illegal online movie downloads in 2011.

The consumer-to-consumer (C2C) sales trend is rising in India as a growing number of people

are looking for creative ways to increase their incomes during India’s economic slowdown.

Leading e-marketplaces such as eBay and Amazon have seen positive growth and are investing

more in the country’s soaring e-commerce sector. Secured payment mechanisms and affordable

pricing continue to be critical factors for the take-off of India’s C2C market segment.


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SOFTWARE AND STORAGE FACILITIES

The adoption of cloud computing technology has been growing among Indian businesses and

consumers. Many Indian small and medium-sized companies have embraced the technology due

to its cost-effectiveness and environment-friendliness. Apart from international companies such

as IBM and Microsoft, leading local IT firms like Infosys and TCS have cloud projects and offer

cloud computing solutions to customers.

CONSUMERS OF TCM SERVICES

Large growth potential among the middle class and rural population with a burgeoning middle

class and rapidly rising income levels, consumption of TCM products and services in India has

experienced impressive growth rates, thus creating huge opportunities for businesses in the

sector:

India’s average household expenditure on communications stood at Rs5,199 (US$111) in

2011, representing a real growth of 61.1% over 2006;

The growing trend will continue to be strong in the coming years, as household spending on

communications is forecast to expand at an annual average rate of 10.1% in real terms during

2012-2020 to reach Rs19,925 (US$310) per household by 2020

Cable TV penetration will continue growing in India, although at a slower pace. By 2020, 42.7%

of households will possess a cable TV. Cable TV remains more popular in urban areas than in

rural areas. In 2011, 76.8% of households in Uttar Pradesh – an Indian state with a large share of

the urban population – owned a cable TV, compared to merely 3.0% of households in the

remote, rural state of Tripura.

(Chart1.9)


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BUSINESS AND TECHNOLOGY

Businesses in India have actively used social networking sites to disseminate news and promote

their products. For example, companies such as Tata Docomo (telecommunications) and

Fastrack (accessories) are reported by Social bakers to be the most popular brands on Facebook

in terms of the number of fans in June 2012. Meanwhile, crowd sourcing is still nascent in India,

partly due to a lack of knowledge about the model. However, initial crowd sourcing projects

have been implemented by the public sectors. For instance, the traffic police in some cities such

as Chennai and Delhi have partnered with Facebook and called on users to post information on

any traffic violations in their neighborhood.

Online advertising is widely accepted in India as it has proved to be more cost-effective than

printed advertising. In 2011, online adspend in India amounted to Rs7.6 billion (US$163

million), accounting for 2.8% of total adspend in the year. This is a significant increase

compared to 2006 when online adspend made up only 1.4% of total ad spend. (Chart1.9)

The government of India initiated a National e-Governance Programme in 2006, which aims to

provide access to all ranges of government services to all businesses and individuals in order to

reduce red tape and enhance transparency. The rollout of the programme, however, was delayed

through to 2012 until Uttar Pradesh, India’s largest state, approved its implementation. With

government services such as tax and custom declarations to be accessible through the Internet,

individuals and businesses will benefit from less bureaucracy and a significant saving in

transportation costs. The implementation of the e-Governance programme, however, faces some

challenges, including a low level of adult literacy and a low Internet penetration rate, especially

in rural areas.


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INDIAN MOBILE PHONE USERS TO REACH 250 MILLION IN 2007

India's mobile phone market has experienced strong growth in recent years thanks to the

relaxation of investment rules, rising income and consumer spending as well as intensifying

competition among telecom companies.

With 149.5 million mobile phone users in 2006 – a 96.8% rise from a year earlier, India has the

world's fastest growing mobile phone market. This has helped to transform local trade, alleviate

poverty, facilitate banking services, and generate employment. In light of rising disposable

incomes and accommodating government policies, telecom companies and mobile phone

manufacturers are competing to capitalise on the strong growth potential of the Indian market.

The number of mobile phone subscribers grew 96.8% from the end of December 2005 to

149.5 million subscribers at the end of December 2006.

India has a large and youthful population, with 1.1 billion people and a median age of 24.6 in

2006. Young people, especially in urban areas, tend to be technology-friendly and represent a

potential for strong market growth.

In 2005, the Indian government relaxed investment rules to allow foreign companies to hold

up to a 74% stake (from the previous 49%) in telecoms companies. This will help develop the

country's telecom sector but has also opened up the country's market to foreign investors.

Number of mobile phone users and per capita annual disposable income in India: 2000-2006 (Chart 1.10)

However, as more companies enter the market, competition intensifies. Due to the fierce

competition, charges per minute in India have dropped significantly in recent years and are


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among the lowest in the world. As a result, even as the number of mobile users has risen, the

share of mobile phone revenues in telecom revenue has stayed relatively constant – around 18%

since 2001 (as compared to over 50% in China)

(Chart 1.11)

Thanks to downloads, the market for Bollywood movies and mobile games based on popular

Bollywood movies has expanded massively, especially to rural areas where entertainment venues

are few. On average, a movie sells 7,000 to 10,000 mobile downloads, but sales of more popular

movies can go up to 25,000 downloads

Financial services are also growing significantly - people in India can now use their mobile

phones to transfer funds, check balances, pay for goods, settle utility bills and buy mobile

airtime. At the same time, banks will be able to reduce their operating costs as people switch

from branches to mobile banking.


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FUTURE SCENARIOS

The Indian government is targeting 500 million telephone users, both landline and mobile

phones, by 2010. To achieve this, it will need at least US$20 billion in investment, and part of

this will come from foreign direct investment. Based on current trends, most of the demand for

new connections is likely to come for mobile services. By the end of 2007, the number of mobile

users in India is expected to rise to 250 million.

The Indian mobile market is still significantly smaller than the Chinese market with 464 million

mobile users in 2006. However, in catching up with China, the two most populous countries with

rising disposable incomes will jointly be the main driver of the world's mobile phone market. [13]

INDIA’S BROADBAND AMBITIONS WILL BOOST BUSINESS ENVIRONMENT

The Indian government aims for 100 million broadband subscribers by 2014, an ambitious target

from the 13.1 million broadband subscribers in 2010. Increasing broadband Internet access will

improve the business environment and benefit consumers by raising productivity and narrowing

regional divides. However, significant challenges remain.

The use of mobile phones and Internet in India has increased dramatically. The proportion of

Indian households with a mobile phone grew from 17.6% in 2005 to 37.3% in 2010. There has

been an 869.0% increase in broadband subscribers over this time period, although household

possession of a broadband Internet enabled computer was just 4.7% in 2010.

This coincides with real GDP growth averaging 8.1% annually in 2005-2010. Disposable

incomes have also increased over 2005-2010 by 33.5% in real terms. There were 74.9 million

Internet users in India in 2010.

(Chart 1.12)


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Better broadband infrastructure will contribute to extensive growth in the service and

manufacturing sectors. Services contributed 26.0% to GDP in 2009 (latest year available)

Fast broadband connections would mean higher productivity, lower operating costs and higher

profit margins for businesses. This would be very attractive to foreign investors seeking to use

India as a lower cost base. FDI inflows are expected to bounce back from a fall of 14.4% in US$

terms in 2009 as the global recovery takes hold Increased mobile and Internet access helps

reduce red tape, making it easier for consumers and governments to communicate. [13]


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CONSUMERS AND BUSINESS CHOOSINGS LTE AHEAD of WIMAX IN WIRELESS

BROADBAND WAR

07 Mar 2013 As more markets across the globe complete commercial rollout of 4G high-speed mobile

broadband, businesses, consumers and governments are positioning themselves in favour of the

Long-Term Evolution (LTE) version of the technology, ensuring that WiMAX is increasingly

becoming an uncompetitive alternative. Both options provide high-speed connections to data via

wireless handheld handsets, but slow rollout and failed business partnerships for WiMAX across

the globe have narrowed its reach. By contrast, consumers are flocking to LTE, while telecom

businesses are tailoring their products to be used on the faster and more widespread LTE

platform.

Most consumers heard of WiMAX long before they did of LTE, with the high-speed wireless

broadband service offering superior speeds to 3G as early as 2006. The technology was in trend

despite remaining relatively non-mainstream, descending originally from Wi-Fi as opposed to

cellular networks. However, slow rollout times by operators, a lack of contracts with businesses

and a focus on urban centers as opposed to nation-wide coverage meant WiMAX never quite

achieved mass-market appeal. WiMAX’s wide-scale partnership with Nokia was also a failure,

as the Finnish company lost market share rapidly by the late 2000s and by 2012 had come close

to bankruptcy.

LTE has benefitted from its acceptance in the Western world, with support from mobile phone

brands such as Apple and Samsung taking the technology to the mainstream. Its faster service

(up to 100 Mb/s) and greater coverage, especially in Western Europe where some Scandinavian

nations boasted 80.0%+ geographical coverage by the technology in late 2012, has wooed more

consumers. With Western Europe being one of the world’s top regions for mobile phone

connections, holding household possession of a mobile phone at 89.9% and total retail value of

the smart phone market reaching US$28.8 billion in 2012, the region has had a major influence

on LTE take-up globally.

WiMAX has had some early success in major emerging markets, especially Pakistan and Russia,

which numbered 115 million and 269 million mobile phone subscribers in 2012, respectively.

However, this has largely been down to late launches of LTE (which remains unavailable in

Pakistan as of early 2013), and the declining technology may continue to serve underdeveloped

telecom markets where competition between rival technologies is low. Meanwhile, LTE is

expanding rapidly recording increasing deployments in major markets such as Brazil, India and

China, and is now almost the universal choice for operators and wireless handset manufacturers.


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This is certainly good news for businesses, as LTE’s faster speeds and greater market penetration

allows for improved usage of data-based services, such as m-commerce and multimedia, and

greater universality among consumers. [14]


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THE FUTURE OF NEXT GENERATION WIRELESS COMMUNICATION

When there’s No Spectrum Left

Three words: free space optics (FSO). When we run out of radio spectrum, we can still resort to

the optical spectrum, including infrared (IR) light. There are no regulations or licensing either.

IR is already widely used in wireless transmissions. TV remote controls and some IR backhaul

equipment are readily available. And remember IrDA, the short-range standard popular for a

while in laptops and PDAs? It’s still a viable option for some applications.

FSO equipment has limited range affected mainly by rain, fog, dust, and other atmospheric

effects. Using high-power laser transmitters in the 785- to 1550-nm range, data rates from 10

Mbits/s to well over 1.5 Gbits/s are possible at a range to almost 10 km (6.2 miles). Also, 10-

Gbit/s Ethernet systems are available to reach several hundred meters.

FSO is ideal for short links between buildings to avoid cabling costs. It’s currently used to link or

extend networks using Ethernet, Sonet/SDH, T1/E1, ATM, or other common standards.

5G

We will be in the 4G era for a long time yet. Carriers are still rolling out their so-called 4G (ITU

3G) systems. Once IMT-Advanced is finally ratified, it will take years and a huge investment

before the first LTE-Advanced or WiMAX2 systems get into place. Only then will work begin

on the next generation.

But if we get full 4G with all its capabilities including the streaming of HD video, will we need

5G? According to Rambus director of logic design and verification Ely Tsern, 5G is probably

more of an evolution of 4G with minor improvements in coverage and reliability as opposed to

higher data rates.

With real 4G giving us from 100 Mbits/s to 1 Gbit/s in the years to come, we may not need much

more for most mobile applications. The OFDM technology has reached its peak spectral

efficiency (15 bits/Hz/Hz) with IMT-Advanced, and there isn’t much more to wring out of it.

5G will improve on coverage with more smaller cell sites like femtos and picocells and upgraded

backhaul to ensure we can get the most out of the whole system. Tsern also sees some

fixed/mobile convergence where multiple wireless services like 4G can be integrated with Wi-Fi

and perhaps other networks to provide even better coverage and more intelligent utilization of

existing resources.

Based on current trends, it’s possible to predict what 5G may be like. First, given the ongoing

spectrum shortage and crisis, higher-level modulation and coding schemes can help in the


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interim with higher speeds. Adaptive beam forming antenna techniques will also help access and

speeds.

Wi-Fi will continue to serve as a more important offload mechanism to alleviate network

congestion and increase speed, but it’s inevitable that systems will move to the higher

frequencies. Millimeter-wave systems will emerge. Smaller, shorter-range base stations like

picocells and femtocells will become commonplace. Mesh networking and repeaters will also

play a role. A 5G standard is at least a decade away. [15]

Traditional FD operators could use TD-LTE as an opportunity create market segmentation.

Technology factors are driving the adoption of TD-LTE as WiMAX loses both momentum and

consumer device support. However, we expect 2013 to be a key year for TD-LTE deployments.

TD-LTE support is provided by all major equipment vendors, and device support is expected to

increase significantly in 2013 as networks are launched in China, India and the USA. China

Mobile, the world's largest operator by subscribers (approximately 703 million as of November

2012), carried out a large-scale TD-LTE trial in 2012 and is poised to launch a commercial

network in 2013.


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It also recommended reframing of spectrum held by the PSUs whose licences will be expiring during 2017-20. [8]

RECOMMENDATIONS/SUGGESTIONS:

I) It is more suitable to use regionally and internationally harmonized Spectrum for 4G,

preferably in 700 MHz band (Digital Dividend) and 2.6 GHz band.

II) Due to the lack of harmonization of LTE spectrum bands across different countries, it is

almost impossible within the near future to support LTE global roaming.

III) To use a LTE device for data roaming, based on the current worldwide spectrum usage, the

device needs to support at least 15 bands. From an engineering perspective, supporting so

many bands on a device is really tough. Therefore, for the next decade, 3G data roaming will

still be dominant.

IV) Government should decide and communicate the time frame for auctioning 700 MHz band at

the earliest, which will ensure that the precious financial and technical investments will not

be wasted on older generation technologies rather industry would focus on investing in

future.

V) Industry advocates spectrum at right price

VI) Ensure total availability of spectrum in the 1800 MHz band,

The reframing of spectrum in the 800 MHz and 900 MHz bands should be carried out

progressively at an early date but not later than the due date of renewal of the licences.

VII) In areas where the amount of spectrum in the 1800 MHz band is insufficient for fully

carrying out reframing, immediate steps must be taken to get Government agencies to vacate

1800 MHz spectrum so that the entire 900 MHz spectrum could be reframed.

VIII) When developing the IMT- Advanced security elements there were several main

requirements that were borne in mind:

It has to provide at least the same level of security that was provided by 3G services.

The security measures should not affect user convenience and QoS.

The security measures taken should provide defence from attacks from the Internet.

The security functions should not affect the transition from existing 3G services to IMT-

Advanced.

The security infrastructure should be scalable and accounts for new usage patterns like social

networking and peer-to-peer applications.


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APPENDICES

The development of LTE Advanced / IMT Advanced has evolved from various 3GPP releases from Rel99/4 onwards as summarized in Table. [4]

(Table 1.8) WCDMA

(UMTS) HDPA HSPA+ LTE LTE

Advanced Max downlink speed( bps) 384 k 14 M 28 M 300M 1G

Max uplink speed (bps) 128 k 5.7 M 11 M 75 M 500 M Latency round trip time

(approx) 150 ms 100 ms 50ms

(max) ~10 ms less than 5

ms 3GPP releases Rel 99/4 Rel 5 / 6 Rel 7 Rel 8 Rel 10

Approx years of initial roll out

2003 / 4

2003 / 4

2005 / 6 HSDPA

2007 / 8 HSUPA

2008/ 9

2009/ 10

Access methodology

CDMA CDMA CDMA OFDMA /SC-FDMA

OFDMA / SC-FDMA

(Table 1.9) The development of LTE Advanced from various 3GPP releases from Rel99/4 onwards.

Requirement

IMT-Advanced

IEEE 802.16m

3GPP LTE-Advanced Antenna

Configuration

Not specified

DL:2x2 (baseline), 2x4,

4x2, 4x4, 8x8 UL:1x2 (baseline),

1x4,2x4,4x4

DL:2x2 (baseline), 2x4, 4x2,

4x4, 8x8 UL:1x2 (baseline), 1x4,2x4,4x4

Operating Bandwidth Up to 40MHz (with band

aggregation) 5-20MHz (up to 100

MHz through band

aggregation)

1.4-20 MHz (up to 100 MHz

through band aggregation)

Duplex Scheme Not specified TDD, FDD(support for

HDD terminals) TDD, FDD(support for HDD

terminals) Latency C-Plane: 100 msec (idle to

active) U-Plane: 10msec

C-Plane: 100 msec (idle

to active) U-Plane: 10msec

C-Plane: 50 msec (idle/camped

state to connected), 10 msec (dormant state to active

state) U-Plane: 10msec

Note on OFDM:

Orthogonal Frequency Division Multiplex (OFDM) is a form of transmission that uses a large

number of close spaced carriers that are modulated with low rate data. Normally these signals

would be expected to interfere with each other, but by making the signals orthogonal to each

another there is no mutual interference. The data to be transmitted is split across all the carriers to

give resilience against selective fading from multi-path effects.

Note on MIMO:

Two major limitations in communications channels can be multipath interference, and the data

throughput limitations as a result of Shannon's Law. MIMO provides a way of utilising the

multiple signal paths that exist between a transmitter and receiver to significantly improve the

data throughput available on a given channel with its defined bandwidth. By using multiple

antennas at the transmitter and receiver along with some complex digital signal processing,


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MIMO technology enables the system to set up multiple data streams on the same channel,

thereby increasing the data capacity of a channel.

Multiple Input Multiple Output (MIMO)

These approaches can be used to

• Increase the system reliability (decrease the bit or packet error rate)

• Increase the achievable data rate and hence system capacity.

• Increase the coverage area.

• Decreases the required transmit power.

What is EE?

4G arrived in the UK on 30 October 2012 courtesy of a new joint venture between Orange and

T-Mobile named Everything Everywhere, or 'EE' for short.

EE was granted permission by Ofcom to use part of its existing 3G bandwidth for 4G, which is

why it got a head start on everybody else in October 2012. As you can imagine, rival networks

were somewhat unhappy about this decision, but part of the deal for EE to get this head start was

that it had to sell off a chunk of their 1800MHz spectrum.

Are the new 4G phones any good?

The 4G phones currently available in the UK are basically just LTE-equipped versions of current

top-end 3G phones, such as the iPhone 5, Samsung Galaxy S3, and HTC One X. One of the

advantages to being late to the 4G party is that we're spared the naff "first try" handsets that we

suffered back when 3G came out, so don't be shy to try the new 4G phones.

Will I be able to import a 4G phone and use it in the UK?

Perhaps. 4G is available in various different frequency bands, so you'd have to buy a phone that

could run on one of the bands being used in the UK.

For the time being that means getting a phone that runs on the 1800MHz frequency band that

Everything Everywhere are using. Next year you'll also have the option of 800MHz and 2.6GHz

bands, once those frequencies have been auctioned off to other carriers. To confuse you even

further, there are WiMAX networks like Sprint use in the US.

Phones made for a WiMAX network, such as the HTC Evo Sprint 4G, will not connect to UK

LTE networks. Then on top of this there are handsets labelled as 4G which aren't actually true

4G, such as HSPA+ devices like the US Motorola Atrix 4G. Our advice is to buy a UK handset

that you know will work, or possibly hold on 'til there's more competition in the 4G arena and

prices start to drop.


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