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Mitcsenkov Attila (BME TMIT, High Speed Networks Laboratory) 21 October 2014 Computer aided network planning and techno-economic assessment of next generation optical access networks Complex network planning methodology and framework Image: Sumitomo Electric Lightwave

Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

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Page 1: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Mitcsenkov Attila (BME TMIT, High Speed Networks Laboratory) 21 October 2014

Computer aided network planning and techno-economic

assessment of next generation optical access networks

Complex network planning methodology and framework

Image: Sumitomo Electric Lightwave

Page 2: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Optical fiber “approaches” the customers:

- FTTC FTTB FTTH

• A.) Point-to-point Dedicated optical fiber to all customers

• B.) Point-multipoint systems Shared optical “feeder network”

- Active (e.g. Active Ethernet)

- Passive (PON)

Next Generation Access (NGA) networks

Page 3: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• „History”: ABON, BPON

• Currently deployed: - EPON (USA & Asia) / GPON (EU)

• Recent „upgrade”: - NGPON-1 10G EPON / 10G GPON

• Near future: - NGPON-2 TWDM PON, 40G

• Future development: - WDM PON (“virtual point-to-point”)

- Colorless vs. Tunable: no clear winner yet…

Passive Optical Networks (PON)

Page 4: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Next Generation Access networks

- Short / near term demand: 100 Mb/s – 1 Gb/s per customer

- The common phrase: optical access is a “must”

• „FTTH boom”:

- Global Industry Analysts Inc.: 183.9 million FTTH/B subscriptions worldwide by 2015

- Deutche Telekom “will invest almost 30 billion euros over the next three years in order to ensure “the future of telecommunications.” (2012 – FTTC VDSL, Fiber & LTE)

- …

• What does it cost?

• Who will pay for it?

• Does it make sense?

Network design – The Motivation

Page 5: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Economic aspects:

- Cost estimation

- Return of Investment, Cash Flow, … Business Case Analysis

- “What do engineers now about business…””

• Technical aspects:

- Quality parameters (bandwidth, delay, reliability, …)

- Support network planning: what and where to deploy?

- “Never let the marketing guys decide…”

• Decision support:

- Lowest cost vs. future proof technologies (e.g. VDSL vs. WDM PON)

- Best fitting solutions for each service area

The “crystal ball” : Techno-economic analysis

Page 6: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Some fundamental questions:

- What is the cost of deploying a GPON network in XY area?

- And what about Active Ethernet, VDSL or Point-to-Point?

- Which one is the best?

- (what does “best” mean?)

The beginning Once upon a time…

?

?

?

Page 7: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• How to estimate the costs?

• Who will trust our estimation?

• Why exactly *** € / $? Why not less/more?

• We did a research of the literature (not to reinvent the wheel…)

- Rules of thumb: average cost per customer (but we didn’t have data for Hungary…)

- Geometric models to estimate the physical infrastructure (but our areas were not that regular / homogeneous…)

„Think, think, think…”

Page 8: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Geometric models 1. Triangle Model

E

A

B

C

D

R

F

F

FF

F

F

F F

F F

F

FP1

FP2

végpont

Kábel típus #1

Kábel típus #5

Kábel típus #4

Kábel típus #3

Kábel típus #2

α

AB BC R / 3 cos( / 2)

2CD CE R / 6 1 8 sin ( / 2)

DF R 0,132 0,336 n

Analytic calculations

Page 9: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Geometric models 2. Simplified Street Length model

Analytic calculations

n houses in a row

l = distance

between two houses

The central office

at the center

This serves n2

customers

2I n (n 1) l (n 1) l (n 1) l

n 1

i 1

F 4 l min i,n i n i

N: buildings in each street

L: distance between neighboring buildings

CO – Central Office in the geometric median, serving n2 customers

Page 10: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• How to estimate the costs?

• Who will trust our estimation?

• Why exactly *** € / $? Why not less/more?

• We did a research of the literature (not to reinvent the wheel…)

• Investigate the map

- “How big” network?

- How complicated “field”?

- How to adapt the geometric models?

- Knowing the network, we could answer all questions…

Think, think, think…”

Page 11: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• High level network design

- Network connections, system design, location of equipment, …

• Detailed and accurate information about the necessary physical infrastructure

- Network equipment

- Cable plant

- Optical fiber needs

• Provide “Bill of Material”

• Techno-economic analysis:

- Reliable preliminary cost estimation

- Comparison of technologies

Solution: Strategic design

Page 12: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Design “guesswork” :

- Human creativity

- Time consuming

- N-1 unnecessary designs!

• Computer aided network design:

- Time and cost savings

- Repetitious calculations with variable parameters

- Highly complex

- Data availability

- Computing capacity

How to provide the “strategic design”?

Page 13: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Geographic Information System (GIS) data and digital maps

• Increased computational capacity

• Modern algorithms

Map based, automatic design of access networks

• The technical preconditions were not met earlier (calling for the use of geometric models)

Opportunities that made the computer able to deliver

Page 14: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Challenges, model, cost function and constraints

Network planning as an optimization problem

Page 15: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

What do we expect? What is a “good” network design?

Page 16: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

What do we expect? What is a “good” network design?

Page 17: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Which one is the “better” PON network? Why?

Page 18: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• How to translate the problem to mathematics?

- Modeling

- Cost function

- Constraints

• What is an optimal, or at least good topology?

- Economic aspects: what costs to consider?

• Complexity

- NP-hard (@see Travelling Salesman Problem)

- Large scale problem instances (10.000+ households)

Challenges

Page 19: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

e 2

e3

e1 e4co

coKözpont (Central

Office, CO)

Elosztóhálózati

összeköttetés

Törzshálózati

összeköttetés

Gráfpont

Végpont

Elosztópont

Megengedett

elosztópont hely

Nem használt

hálózati szakasz

e 2

e3

e1 e4

Gráfél

Gráfpont

e 2

e3

e1 e4co

coKözpont (Central

Office, CO)

Gráfpont

Végpont

Megengedett

elosztóponti hely

Lehetséges

hálózati

összeköttetés

CO

Törzshálózat Elosztóhálózat

Központ

(Central

Office, CO)

Végpont/

előfizető

Elosztópont

Törzshálózat

Elosztóhálózat

Előfizetői

csoport

{i}

Modeling – translate it to the computer! Point-to-multipoint networks

Page 20: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Flexible, accurate, parametric

• Contains all necessary data – and nothing else!

- Potential network links

- Distances

- Customer data

- Equipment locations

Network graph model

Page 21: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Goal: minimize costs

CAPEX Deployment cost

OPEX Operation,

Maintenance

Topology-dependent costs

(e.g. cable plant)

Topology-independent costs

(e.g. user modems)

Page 22: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Cable plant

- Two levels: deployment + fiber costs

- Stepwise: discrete increments

- Existing infrastructure (!)

Network equipment

- Central Office

- Distribution Units

- Customers

Relation between these:

- More distribution units less cable/fiber infrastructure

- Two extremities: point-to-point network (1 distribution units / ∞ distribution units)

Cost function „All inclusive”

C0

C0+n·Cv

Kábelhálózat

költsége

#szálszám

Építési

költségek

Telepítési

költésg

Szálköltség

} Kábelhálózat

létrehozása

Page 23: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Constraint set:

- Distance limitations

- Complete access network reach

- Feeder network reach

- Distribution network reach

- Differential distance

- Capacity of distribution units

Physical and technical constraints

Központ

Végpont

Elosztópont

(Pl.. ETH Switch)

Törzshálózat

Elosztóhálózat

Előfizetői

csoport

{i}

{i}

L feedm

ax

L feedmax

Törzshálózat

hatósugara

Ldist max

Törzshálózat

hatósugara

Elosztóhálózat

hatósugara Ldist max

Elosztóhálózat

hatósugara

Page 24: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

How to solve?

The challenge is given…

Page 25: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Fundamentals of optimization: “No Free Lunch” Theorem

» Specialized algorithms needed

- Follow the designers’ way of thinking

- Identify technology specific constraints and costs

1. Subproblems and decomposition 2. Specialization

Page 26: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Costs:

- Cable plant dominates

- Splitter costs: low

• Network reach: 20 km not decisive

• Primary goal: optimal clustering

• Solution:

- Maximize shared cable segments

- Clustering on the Shortest Path Tree

- Typically tree topologies…

Passive Optical Networks (GPON)

Központ

Végpont

Splitter

Törzshálózat

Elosztóhálózat

Előfizetői

csoport

{i}

{i}

Lm

ax

Lmax

Hálózat

hatósugara

GPON

10GPON

(WDM-PON)

Page 27: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Branch Contracting Algorithm

Page 28: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Costs: - Distribution Unit: high CAPEX + OPEX

- Cable plant: high costs…

• Network reach: 20+3 km (not sharp)

• Main goal: - Minimize distribution units / groups

- Optimal clustering:

- No overlapping

- Nearby distribution unit

• Solution: - Iterative “bottom-up” clustering

- Increase group size if possible

- Avoid overlapping

Active Optical Networks (AETH)

Központ

Végpont

Elosztópont

(Pl.. ETH Switch)

Törzshálózat

Elosztóhálózat

Előfizetői

csoport

{i}

{i}

L feedm

ax

L feedmax

Törzshálózat

hatósugara

Ldist max

Törzshálózat

hatósugara

Elosztóhálózat

hatósugara Ldist max

Elosztóhálózat

hatósugara

Active

Ethernet

Page 29: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Costs: - DSLAM: high CAPEX + OPEX

- Copper: almost for free

• Constraints: - Decisive: 300/800 m copper reach

• Goal: - Minimize DSLAMs, respect reach

constraints

• Solution: - Greedy algorithm

- Prioritize critical customer nodes

- Top-down clustering

Hybrid copper + fiber (VDSL)

Központ

Végpont

Elosztópont

(DSLAM)

Törzshálózat

(optika)

Elosztóhálózat

(réz)

Előfizetői

csoport

{i}

{i}L feed

max

L feedmax

Törzshálózat

hatósugara

Ldist m

ax

Optikai törzshálózat

hatósugara

Rézhálózat

hatósugara

Ldist max Elosztóhálózat

(réz)

hatósugara

DSL

Page 30: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Costs:

- Cable plant costly

- Especially the deployment costs (with scarce networks)

• Goal:

- Minimize trenching / digging

• Solution:

- Steiner-tree problem

- Distance Network Heuristics (DNH):

- Graph-transformations + minimal cost spanning tree

Point-to-point optical networks

Központ

Végpont

Hozzűférési

hálózat

Lm

ax

Lmax

Hálózat

hatósugara

Pont-pont

optika

Page 31: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Computer aided optical access network design in practice

AccessPlan Framework

Page 32: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Economic analysis

- Cost estimation (CAPEX)

- Business Case Analysis

- Compare technologies, decision support

• Geographic + Infrastructure Data

- Handling digital maps

- Existing infrastructure

AccessPlan Framework Modular setup

• Build network model

- Graph, nodes and edges

- Cost data

- Technical parameters and constraints

• Topology optimization

- Clustering, group formulation

- Distribution Unit placement

- Connection establishment

Page 33: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

AccessPlan input data

Page 34: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Strategic network design

System design

Location of network

equipment

Bill of Material

(cable plant, equipment)

• Detailed input for further analysis and comparison

• Technical:

- Performance analysis

- Possible and guaranteed service levels

- Reliability, identification (protection) of critical nodes

• Economic:

- Cost estimation

- Business Case Analysis

• Does everything provided by the geometric models, but more accurate, detailed and reliable…

AccessPlan Results

Page 35: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Let’s see an example…

Case study

Page 36: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

AccessPlan: select area

Page 37: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Example: Sashegy (Budapest)

Sashegy, Budapest Districts 11/12

Area of a Central Office 5 km2 / 4500 customers

Page 38: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Inhomogeneous area

- Family, mid-size and large block houses

- Nature reserve area

- Cemetery

• Existing infrastructure

- Partly re-usable substructures

- Existing copper network

• Different cabling technologies – makes a cost difference

- Aerial cables and poles

- Existing substructures

- New trenching

Parameters of the case study

Page 39: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• 82 km street system

- 60 km existing infrastructure

- 2 km aerial network

- 20 km new trenching

• Graph model:

- 8000 nodes

- 8500 edges

• Map, street system & infrastructure

Phase #1: Process input data

Page 40: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Customer database

• Demand points:

- 4239 households in

- 1079 buildings

• Graph model:

- 10 300 nodes

- 10 424 edges

Phase #1: Process input data

Page 41: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

AccessPlan: planning rules and cost data

Page 42: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

After a few minutes…

• Topology

• System design

• Location of network equipment

Phase #2: Topology design

• Technical & physical constraints

• Cost database (cost function)

Page 43: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Phase #3: Transform back onto the map

Page 44: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

• Topology information, network characteristics

- System design

- Location of network equipment

- Fiber, cable and equipment needs

• Business Case Analysis

- CAPEX, OPEX, Cash Flow, Payback, etc.

• Techno-economic analysis, comparison

- GPON, 10GPON, Active Ethernet, VDSL, Point-to-point fiber, …

• Any custom reports and analytics

- Based on detailed topology information

- Upon request of the network operator

Phase #4: Reports and analyses

Page 45: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

AccessPlan: plans and results

Page 46: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

AccessPlan: analyses

Page 47: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

0

0,5

1

1,5

2

2,5

3

3,5

P2P GPON AETH VDSL

CAPEX M EUR

Techno-economic analysis 1/4 Reports: CAPEX estimation

Page 48: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Techno-economic analysis 2/4 Reports: Cash Flow

GPO

N

Pont-

pont

Eth

ern

et

Éves Cash Flow

Éves Cash Flow

Akkumulált Cash Flow

Akkumulált Cash Flow

Page 49: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

0

100

200

300

400

500

600

700

800

5 000 800 300

EU

R /

zta

rtá

s

Háztartás / km2

VDSL: 25 Mb/s vs. 50 Mb/s

VDSL25 VDSL50

0

100

200

300

400

500

600

700

800

900

1 000

5 000 800 300

EU

R /

zta

rtá

s

Háztartás / km2

GPON: 50 Mb/s vs. 100 Mb/s

GPON50 GPON100

Techno-economic analysis 3/4 Reports: CAPEX vs. bandwidth

Page 50: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Techno-economic analysis 4/4 Reports: cost per bit

0 Ft

200 Ft

400 Ft

600 Ft

800 Ft

1 000 Ft

1 200 Ft

1 400 Ft

P2P FTTH P2P FTTB 10GPONFTTH

10GPONFTTB

WDMPONFTTH

WDMPONFTTB

Ft / bit/sec

Agglomeráció 1 021 Ft 1 035 Ft 587 Ft 548 Ft 243 Ft 244 Ft

Kertváros 925 Ft 1 088 Ft 644 Ft 617 Ft 236 Ft 295 Ft

Belváros 1 039 Ft 1 260 Ft 788 Ft 717 Ft 270 Ft 347 Ft

1 Mb/s sávszélesség ára (Ft / Mb/s)

Page 51: Computer aided network planning and techno-economic ...opti.tmit.bme.hu/netplan/2014en/slides/VITMM215_2014_EN_10.pdf · •Some fundamental questions: - What is the cost of deploying

Contact

Attila Mitcsenkov [email protected]

AccessPlan Framework http://accessplan.tmit.bme.hu/