Next generation wireless networks

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<ul><li><p>88 Bell Labs Technical Journal Autumn 1996</p><p>IntroductionThe market for wireless telecommunications</p><p>infrastructure equipment is expected to continue to</p><p>grow at an astonishing pace. Lucent Technologies</p><p>Network Systems projections show the market for</p><p>infrastructure equipment and support services increas-</p><p>ing at a 20% compounded annual growth rate until</p><p>the year 2000. Factors that contribute to this growth</p><p>include:</p><p> Deregulation in telecommunications markets</p><p>on a global scale,</p><p> Rapidly growing economies and an insatiable</p><p>appetite for telecommunication services,</p><p> Decreasing terminal costs,</p><p> Migration of analog networks to digital net-</p><p>works, and</p><p> Increased competition among service</p><p>providers and the resulting need for differenti-</p><p>ated services.</p><p>Rapid market growth, the emergence of new</p><p>applications and services, and general increases in</p><p>wireless use rates have changed our view of telecom-</p><p>munications services, the network infrastructure, and</p><p>end-user products we associate with mass-market</p><p>telecommunications. The network infrastructure must</p><p>support not only mobile communications, such as cel-</p><p>lular and personal communications services (PCS), but</p><p>also fixed wireless access for narrowband and broad-</p><p>band services, as well as data and network access to</p><p>people and computers. The advantages of tetherless</p><p>communications combined with a broader range of</p><p>services will continue to bring forth technology and</p><p>product innovations in this arena for the radio access</p><p>and integration of access systems with circuit-switched</p><p>narrowband terrestrial networks and packet-switched</p><p>broadband asynchronous transfer mode (ATM) net-</p><p>works. At the same time, end-user equipment will</p><p>evolve in terms of both the user interface and the</p><p>capabilities to handle speech, audio, data, image, and</p><p>video services.</p><p>The network infrastructure to support these ser-</p><p>vices must continue to evolve for base station and net-</p><p>work switching and control systems. This paper</p><p> Next Generation Wireless NetworksGeorge E. Fry, Albert Jordan, David Y. Lee, Anil S. Sawkar, Nitin J. Shah, and William C. Wiberg</p><p>The market for wireless telecommunications infrastructure equipment is expected tocontinue to grow at an astonishing pace. Projections show the market for infrastruc-ture equipment and support services increasing at a 20% compounded annualgrowth rate until the year 2000. Factors that contribute to this growth include thederegulation in telecommunications markets on a global scale; rapidly growingeconomies and an insatiable appetite for telecommunication services; decreasingterminal costs; migration of analog networks to digital networks; and increasedcompetition among service providers and the resulting need for differentiated ser-vices. The network infrastructure to support new wireless services must continue toevolve for base station and network switching and control systems. This paper dis-cusses the next generation of wireless communications infrastructure productsdesigned and manufactured by Lucent Technologies that will provide end users witha wide range of wireless access and advanced services.</p></li><li><p>Bell Labs Technical Journal Autumn 1996 89</p><p>discusses the next generation of wireless communi-</p><p>cations infrastructure products designed and manu-</p><p>factured by Lucent Technologies to provide end</p><p>users with a wide range of wireless access and</p><p>advanced services.</p><p>Forces Driving ChangeNumerous forces drive the need for change in the</p><p>wireless infrastructure. Any one of these forces is suffi-</p><p>cient to cause wireless equipment vendors to adapt</p><p>their product offerings. In combination, they have a</p><p>multiplying effect resulting in an imperative for wire-</p><p>less network advances not seen before. This section</p><p>explores the various forces driving the need for next-</p><p>generation wireless infrastructure products.</p><p>Deregulation and the Competitive ClimateThe emergence of standards and persistent market</p><p>growth will continue to diminish the barriers to entry</p><p>and raise the level of competition among equipment</p><p>providers. We have already witnessed the emergence</p><p>of new entrants who have made great strides in estab-</p><p>lishing themselves in the market. Some have done so</p><p>by providing particular adjunct solutions consistent</p><p>with emerging standards (for example, stand-alone</p><p>home location register [HLR] databases, authentication</p><p>centers, intelligent antennas, and even cellular digital</p><p>packet data [CDPD] systems). Successive generations</p><p>of products, as well as competition facilitated by open</p><p>systems defined by both American National Standards</p><p>Institute (ANSI) and European Telecommunications</p><p>Standards Institute (ETSI) committees, have resulted</p><p>in the introduction of wireless solutions at extremely</p><p>competitive price points.</p><p>The net result is that todays advanced base sta-</p><p>tions and switching equipment (hardware) will</p><p>become tomorrows commodity products, and manu-</p><p>facturers must innovate new products to maintain or</p><p>enhance market position. Success in the marketplace</p><p>will depend instead on the delivery of complete solu-</p><p>tionsespecially softwarethat bring enhanced value</p><p>to carriers.</p><p>The Federal Communications Commission</p><p>recently completed the auction of A-, B-, and C-band</p><p>PCS frequencies in the United States. Total receipts</p><p>$7.7 billion from the A and B bands and $10 billion</p><p>from the C bandare a clear signal of the intention of</p><p>the new entrants to compete aggressively in a mod-</p><p>ern emerging market. Internationally, governments</p><p>are quickening the pace of deregulation as they rec-</p><p>ognize the clear benefits of competitive forces driving </p><p>service costs down and enhancing local telecommuni-</p><p>cations infrastructures. Increased competition will</p><p>lead carriers to seek new ways to differentiate or</p><p>Panel 1. Abbreviations, Acronyms, and Terms</p><p>AMPSAdvanced Mobile Phone ServiceANSIAmerican National Standards InstituteAPadjunct processorATMasynchronous transfer modeCDMAcode division multiple accessCDPDcellular digital packet dataDCSdigital cellular switchE-SMRenhanced specialized mobile radioETSIEuropean Telecommunications Standards</p><p>InstituteGSMGlobal System for Mobile</p><p>CommunicationsHLRhome location registerINintelligent networkIQin-phase and quadratureISDNintegrated services digital networkLANlocal area networkLEOSlow earth orbit satelliteMSmessage serviceMSCmobile switching centerMUXmultiplexerNNInetwork-to-network interfaceOA&amp;Moperation, administration, and mainte-</p><p>nancePCSpersonal communications servicesPDApersonal digital assistantPDNpacket data networkPOTSplain old telephone servicePPCpacket processing complexPSTNpublic switched telephone networkQOSquality of serviceRFradio frequencySMRspecialized mobile radioSMSshort message serviceSS7Signaling System 7TCAPTransaction Capabilities Application PartTDMAtime division multiple accessUNIuser-to-network interfaceWLLwireless local loop</p></li><li><p>90 Bell Labs Technical Journal Autumn 1996</p><p>focus their service offerings and to reduce costs.</p><p>With competition increasing for basic voice ser-</p><p>vices and minute-of-use prices falling, carriers are</p><p>seeking to differentiate themselves in two notable</p><p>ways. First, they are attempting to develop branded</p><p>identities through the use of logos and signature</p><p>sounds/tones (for example, pre-call announcements</p><p>and voice mail notification tones) and focused market-</p><p>ing campaigns. Often, such attempts involve forging</p><p>marketing partnerships with other carriers in other</p><p>markets who may have deployed non-Lucent equip-</p><p>ment. In this situation, interoperability and feature</p><p>transparency are crucial to a campaigns success.</p><p>Network-based features and services must be flexible</p><p>in the ways in which they are administered and pre-</p><p>sented to an end customer.</p><p>Second, carriers are trying to segment their sub-</p><p>scriber base and offer more targeted features and ser-</p><p>vices. Initially, these features and services have taken</p><p>the form of simple multirate and use-sensitive billing</p><p>plans. More recent approaches, however, have</p><p>become more complex, bundling wireless and wireline</p><p>services, adding geographic or time-of-day/day-of-</p><p>week restrictions, and supporting custom calling plans</p><p>or private networks. The trend is toward more sophis-</p><p>ticated horizontal (messaging, paging, and data) and</p><p>vertical (cellular dispatch, power company meter read-</p><p>ing) applications. Ideally, carriers would like to see a</p><p>continuous stream of new applications and features</p><p>becoming available to their subscribers. Such a strategy</p><p>is key to their differentiated and share growth in the</p><p>marketplace.</p><p>Additionally, to foster competition among equip-</p><p>ment vendors, carriers will demand solutions that are</p><p>based on industry standards with the ultimate goal of</p><p>achieving interoperability among network nodes.</p><p>Standards not only will allow carriers to secure solu-</p><p>tions at lower price points. Standards-based solutions</p><p>will also enable carriers to obtain a complete solution</p><p>by purchasing partial solutions from a multitude of</p><p>equipment providers. Such an environment will place</p><p>new pressure on equipment vendors to become com-</p><p>petitive in areas that were bundled with the total net-</p><p>work offering.</p><p>Increasing Customer Demand for TelecommunicationsServices</p><p>With the introduction of PCS, wireless local loop</p><p>(WLL), and data services, wireless networks will expe-</p><p>rience significant traffic increases. Projections indicate</p><p>that by the year 2000, nearly 50% of all traffic in the</p><p>network will be attributed to wireless traffic. This</p><p>increase will have a tremendous impact on the net-</p><p>work in terms of meeting quality-of-service (QOS)</p><p>parameters expected by customers for the services</p><p>requested. The anticipated increases in signaling and</p><p>capacity loads will require that current networks</p><p>evolve to continue to meet customer expectations.</p><p>Over the next three to five years, a multitude of differ-</p><p>ent access technologies will be introduced, and the</p><p>evolving network will need to support interoperation</p><p>among some subset of the growing set of all access</p><p>technologies.</p><p>Downward Pressure on CostsCarriers will be under increased pressure to lower</p><p>both capital outlays and annual expenses. Said</p><p>another way, carriers will seek to lower total network</p><p>life-cycle costs. Successful solutions, therefore, will</p><p>address network acquisition and deployment, network</p><p>operations, marketing and sales, distribution of termi-</p><p>nals, as well as service and general/administrative</p><p>functions.</p><p>Demand will increase for technological solutions</p><p>that reduce initial capital outlay, taking into account</p><p>equipment and site acquisition/preparation costs.</p><p>Examples include advanced antenna technology</p><p>(which increases per-site capital costs but lowers the</p><p>total capital expenditure required to service an area)</p><p>and microcell technology (which substantially lowers</p><p>site acquisition/preparation costs through small size</p><p>and innovative packaging). This is particularly impor-</p><p>tant for startup network operators who are under con-</p><p>siderable pressure from lenders to begin generating</p><p>revenue and hence, debt-servicing payments as soon</p><p>as possible.</p><p>Successful offers will also address growth and</p><p>maintenance costs, as well as back-end costs (for</p><p>example, network engineering, billing, fraud, and cus-</p><p>tomer administration/support activities), mainte-</p><p>nance/operations, and facilities charges.</p></li><li><p>Bell Labs Technical Journal Autumn 1996 91</p><p>Network enhancements need not strictly address</p><p>operations-oriented functions. For example, over-the-</p><p>air activation and fraud control features, which reduce</p><p>marketing and sales expenses, are two enhancements</p><p>currently being lauded heavily by carriers.</p><p>Carriers expect to buy a flexible platform that will</p><p>support incremental cost improvements as solutions</p><p>become available (that is, smaller cell sites, improved</p><p>voice quality, and enhanced fraud control). In addi-</p><p>tion, carriers expect the network to support incremen-</p><p>tal process improvements by the operations staff and</p><p>the sales and marketing teams.</p><p>The Pace of Technological AdvancesTechnologyparticularly in the commercial hard-</p><p>ware and software industriesis advancing at an</p><p>unprecedented rate. The power of todays computing</p><p>platforms continues to increase geometrically while</p><p>cost-to-performance ratios have placed these systems</p><p>in the commodity field. In fact, even the line between</p><p>the computing and telecommunications worlds has</p><p>begun to blur in favor of the computing model.</p><p>Advanced off-the-shelf software applications</p><p>particularly in the area of middlewarehave sup-</p><p>planted the ad hoc approaches to systems integration.</p><p>What once took a team of developers months to inte-</p><p>grate now takes a single user a few hours with the</p><p>help of these advanced packages.</p><p>The Internet is another technological advance</p><p>whose full impact is yet to be determined. While tele-</p><p>phony over the Internet is in its nascent stage, equip-</p><p>ment manufacturers would be wise to continue</p><p>exploring its potential in the coming years. The chal-</p><p>lenge for equipment vendors is to understand what</p><p>potential effects the Internet has for their products</p><p>and to take advantage of those opportunities.</p><p>Customers look to Lucent Technologies and its</p><p>world-class Bell Labs for leadership into revolution-</p><p>ary technologies and the products and services that</p><p>bring them to market.</p><p>The purpose of research and development is to</p><p>solve problems using existing techniques and scientific</p><p>knowledge to deliver technologies that can be sold as</p><p>products. Depending on whether the products and</p><p>markets are existing or new, the technology focus can</p><p>be redirected to address the needs of the particular</p><p>market segment. Figure 1 illustrates this concept.</p><p>To deliver total system solutions, technology plat-</p><p>forms are more important than one or two critical</p><p>Increasefunction</p><p>New</p><p>Current</p><p>Reducecost</p><p>Product</p><p> E-SMR Wireless FAX/image Wireless data</p><p> Cellular SMR Wireless LAN Telepoint Cordless Paging</p><p> PCS Video distribution Wireless multimedia Mobile satellite LEOS PDAs</p><p> Wireless local loop Wireless PBX</p><p>Reducerisk</p><p>Increaseflexibility</p><p>Current New</p><p>Market</p><p>E-SMR Enhanced specialized mobile radioLEOS Low earth orbit satellitePCS Personal communications servicesPDA Personal digital assistantSMR Specialized mobile radio</p><p>Figure 1.Market segmentation.</p></li><li><p>92 Bell Labs Technical Journal Autumn 1996</p><p>technologies. A platform spans multiple disciplines</p><p>and makes allowance for the following key opera-</p><p>tional factors:</p><p> Technology insertions to extend product life,</p><p> Multiple use to save development costs, and</p><p> Reuse to save future development time.</p><p>For wireless, the trend is for technology to support</p><p>an application evolution from voice to multimedia; a</p><p>network evolution from fixed/homogenous to mobile</p><p>and heterogeneous; a system architecture from cen-</p><p>tralized host to distributed client server; transmission</p><p>and switching from a narrowband circuit to broadband</p><p>packet; radio-frequency (RF) coverage from outdoor</p><p>to seamless indoor/outdoor; RF distribution from</p><p>macrocell to micro/picocell; and equipment packaging</p><p>from indoor frame to miniaturized outdoor boxes.</p><p>Lucent Technologies Corporate NeedsIn addition to meeting customers needs, Lucent</p><p>Te...</p></li></ul>