small cells and c-ran: can they work together- mobile world congress 2014
DESCRIPTION
The operators’ 4G challenge Small cells – part of a wider network Evolution of C-RAN Early adopters How the two architectures support each other Next steps to HetNetTRANSCRIPT
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Mobile Operator Strategy Analysis
Copyright © Maravedis Inc 2014.CLIENT CONFIDENTIAL
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Small cells and C-RAN: can they work together?
Caroline GabrielResearch DirectorMaravedis-Rethink
February 2014Agenda
• The operators’ 4G challenge
• Small cells – part of a wider network
• Evolution of C-RAN
• Early adopters
• How the two architectures support each other
• Next steps to HetNet
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February 2014The 4G Challenge
New topologies needed for profitable 4G• Operators must invest to
handle 13fold rise in mobile data
• With conventional technology, 4G capex will outrun revenue at least until 2017
• Solution: new infrastructure topologies and intelligence
• LTE not enough on its own – a new way to build networks is needed for 4G to deliver full benefits
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Operator predicted capacity capex vs revenueSource: MOSA, MaRe survey 65 carriers
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bn
Capacity investments Data revenues
February 2014Two architectures
Macro and small cell layers – new economics
• Compact small cells overtakemacrocells in numbers 2014, by capex2016
• Small cell sales reach 15.2m in 2017,CAGR of 240%
• But this could be chaotic capacity
• Move towards two architectures –distributed and metrocell
• Macro base stations increasinglydeconstructed leading to Cloud-RAN
• Intelligence focused in core or at theedge? Key to have intelligence end-to-end
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Small cell and C-RAN macrocell growthSource: Maravedis Rethink RAN Services
Source: MOSASource: MOSA, MaRe survey 65 carriers
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Macrocell C-RAN Small cells
February 2014Many tools needed
• Operators will use many tools
• Rising value of access to LTE spectrum and fiber
• But many other tools in play to achieve capacity
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Capex spend on 4G RAN by base station type
Source: MOSASource: MOSA, MaRe survey 65 carriers
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New technology % of required
capacity increase
% of required TCO
decrease
LTE upgrade 17% 14%
Wi-Fi offload 16% 20%
Public access small
cells
14% 18%
Deconstructed RAN
(RRH and distributed
antennas)
11% 17%
New or refarmed
spectrum and carrier
aggregation
17% 9%
LTE-A key features
CoMP, eICIC
14% 10%
Adaptive
networking/SON
11% 12%
February 2014Technology milestones
C-RAN part of a broader trend
• Build on existing trend to separate radio
head from baseband, RRH, base station
hotel
• RRH becomes intelligent antenna array
• Enablers - antenna/radio integration;
Active Antenna System
• Elements of C-RAN
• Baseband processing virtualized for
>50 BTS per central server blade
• Each BTS can be further extended
with low cost antennas
• Target $50 cell site at low power
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Source: VPISystems
February 2014
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C-RAN at China Mobile. Source: Intel
Source: MOSASource: MOSA, MaRe survey 65 carriers
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Early deployersThe first trials
• China Mobile driving ecosystem
• Intel, ALU etc
• KT Cloud Communication Center
• ‘Connect and Development’ to
address intercell interference
• NTT Docomo Advanced C-RAN
• AAS trials, driving Supercell and
Phantom Cell
• SK Telecom SCAN
• Seoul 1722 RUs, 609 DUs, 200K
repeaters
• European interest eg DT
• All major small cell deployers also
February 2014What’s needed to reach reality?
Key steps still required to hit new economics
• A C-RAN which integrates fully with small cells and Wi-Fi– Key enablers – CoMP, SuperCell
• A C-RAN architecture which does not require fiber at everycell site– Key enablers – CPRI over microwave, CPRI/DAS integration,
wireless fronthaul
• Commoditized software and chip platforms– Key enablers – off-the-shelf Intel or ARM processors, common
programming languages, ultra-low cost modem
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February 2014
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C-RAN challenges and solutionsIntegration with small cells
• Advanced C-RAN – master BTS• Small cells and distributed antenna extend BTS• Shifts economics again
February 2014
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C-RAN in the NFV, Intel
Source: MOSASource: MOSA, MaResurvey 65 carriers
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C-RAN challenges and solutionsSDN and elastic networking
• Software driven capacity
• Dynamic switching of capacity in urban areas
• Move to SDN – C-RAN one app in NFV
• But specialized processing and local presence also needed
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Developments
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February 2014
• More processing power at the edge
• Distributed core
• Virtualized core and RAN functions
• Backhaul
• Advanced SON, location and presence
• Changes to OSS/BSS approaches
• Operator confidence
Source: Intel
February 2014
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• Macro layer continues to evolve too
• Key trends• Cloud-RAN• Super Macro
• Hybrid architectures
• Integration of these technologies• Offload• Super sites• CoMP
Cloud-RAN deploymentsSource: Tearing the Network Apart; The economics of the new RAN, Maravedis-Rethink October 2013
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C-RAN primary sites C-RAN sub-sites Small cells inc WiFi
Macro interworkingSmall cells achieve full potential
February 2014Evolution of HetNet
The two layers converge in Elastic network
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The HetNet evolves. Source: ASOCS
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• Carriers’ ultimate goal isheterogeneous network
• Full interworking and hand-offbetween macro layer and metro layer
• Different technologies (3G, 4G, WiFi)in different spectrum bands behaveas single pool of capacity
• Common core, management andpolicy tools allocate resources wheremost needed
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