NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
LIBERALISATION & REGULATION IN THE ELECTRONIC COMMUNICATIONS SECTOR
http://www.netmode.ntua.gr/Courses/Graduate/Liberalization & Regulation in
the Telecommunication Sector
Vasilis Maglaris <[email protected]>
Vassilis Merekoulias <[email protected]>
Technical aspects of Electronic Communications Networks
June 2009 2
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
• Core – Backbone Network– Fixed (Fiber, PDH/SDH, PoS, GigaBit Ethernet, WDM, DWDM)– Wireless
• Access Network– Fixed wired (Fiber to the Curb/Home, Cable, Coax, Copper -
xDSL)– Wireless (802.11, 802.16, LMDS)– Mobile (GSM, UMTS, 802.11)– Satellite communications (DVB/RCS, VSAT)
• Interconnection– Interconnection– Unbundling
Classification of Electronic Communications
June 2009 3
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Backbone - Core Networks
June 2009 4
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Backbone - Core Networks (cont'd)
June 2009 5
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Access Networks
June 2009 6
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Access Networks (cont'd)
June 2009 7
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Access NetworkAccess Network
Access Network
Access Network
Backbone / Core Network
Electronic Communications Networks
Single Operator
June 2009 8
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Electronic Communications Networks
Access Network
Access NetworkAccess Network
Access Network
Backbone / Core Network Backbone / Core Network
Competition
June 2009 9
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Interconnection
• Physical and logical connection of telecommunications networks.
• Users connected to different telecommunications networks communicate directly or indirectly.
June 2009 10
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Interconnection - PSTN
OperatorA
OperatorB
A SubscriberB Subscriber
Switch
Trunk Group
Point ofInterconnect(POI)
June 2009 11
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Interconnection - NGN
OriginatingCarrier
ISP B
Users
Point ofPresence(POP)
Users
TerminatingCarrier
ISP B
Web Sites Web Sites
June 2009 12
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Interconnection - NGN
OriginatingCarrier
ISP B
Users
Users
TerminatingCarrier
ISP B
Web Sites Web Sites
BackboneCarrier
June 2009 13
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Services provided by networks
• Traditional TELCO offerings (ATM – PDH/SDH)
• New TELCO Broadband offerings (Gigabit Ethernet/Packet over SDH, λ-DWDM)
• Alternate models (dark fiber, condominium arrangements)
June 2009 14
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Customer Empowered Networks• School boards and municipalities are building condominium dark fiber
networks in partnership with next generation carrier• Individual institutions – the customers – own and control their own strands
of fiber– Fiber are configured in point to point private networks; or– Connect to local ISP or carrier hotel– Private sector maintains the fiber
• Low cost LAN architectures and optics are used to light the fiber• These new concepts in customer empowered networking are starting in the
same place as the Internet started – the university and research community.• Customers will start with dark fiber but will eventually extend further outwards
with customer control and ownership of wavelengths– Extending the Internet model of autonomous peering networks to the telecom
world
June 2009 15
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Market Drivers Low cost
Up to 1000% reduction over current telecom prices. 6-12 month payback LAN invades the WAN – no complex SDH/SONET or ATM in network
Network Restoral & Protection can be done by customer using a variety of techniques such as wireless backup, or relocating servers to a multi-homed site, etc
Enables new applications and services not possible with traditional telecom service providers
Relocation of servers and extending LAN to central site Outsourcing LAN and web servers to a 3rd party with no performance impact IP telephony in the wide area (skype) HDTV video
Allows access to new competitive low cost telecom and IT companies at carrier neutral “meet me” points
Much easier to outsource servers, e-commerce etc to a 3rd party at a carrier neutral collocation facility
June 2009 16
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
What is condominium fiber?• A number of organizations (schools, hospitals, businesses and universities) get
together to fund and build a fiber network• Carrier partners are also invited to be part of condominium project• Fiber is installed, owned and maintained by 3rd party professional fiber
contractors – usually the same contractors used by the carriers for their fiber builds
• Each institution gets its own set of fibers, at cost, on a 20 year IRU (Indefeasible Right of Use).
• One time up front cost, plus annual maintenance and right of way cost approx 5% of the capital cost
• Institution lights up their own strands with whatever technology they want – Gigabit Ethernet, ATM, PBX, etc
• Ideal solution for point to point links for large fixed institutions• Payback, with the current level of prices, is usually less than 18 months!!!
June 2009 17
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Municipal Condo Architecture
School
School board orCity Hall
School
Telco Central Office
Central OfficeFor Wireless
Company
Condominium Fiber with separate strands owned by school and by service providers
Carrier Owned Fiber Cable head end
Average Fiber Penetration to 250-500
homes
ColoFacility 802.11/802.16
Fiber Splice Box
June 2009 18
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Benefits to Carriers• Cablecos and telcos: helps them accelerate the
deployment of high speed internet services into the community
• Small Innovative Service Providers: provides opportunities to offer service to public institutions as well as homes
• e-Commerce & Web Hosting Companies: generates new business in outsourcing, web hosting, Hosting etc.
June 2009 19
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Montreal, Quebec (consortium)• Municipal authorities, school boards, RISQ (Réseau d’informations
scientifiques du Québec – Quebec scientific information network) and IMS (IMS Health Canada) have joined in a consortium to build a municipal owned dark fibre network.
– Schools can be connected for an average of $80 per month, per school based on a 20 year amortization of the fibre & eliminate the network servers at each individual school
– Each school has essentially unlimited bandwidth (100 Mbps)– Schools LAN can be extended back to the central administrative site.
Maintenance, Backups and Software Updates can all be done much more cost effectively from the central administrative building.
– Schools are able to explore new high-end applications such as video conference & Voice over IP.
• In Montreal, the estimated payback for dark fibre is between 6 months and 2 years.
June 2009 20
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
The case of FTTH (Fiber to the Home)
• Problem: How to provide facilities based competition with FTTH?• The incumbent avoids heavy regulation• First generation FTTH models assume the old telco model where
competitors can only get open access e.g. PON (Passive Optical Networks)
• Second generation FTTH models assume structural separation between service providers and an “aggregator” using Gigabit Ethernet or ATM
• CANARIE (the Canadian Research & Education Network) proposes a third generation FTTH model with structural separation using condominium fiber and choice of aggregators or service providers through point to point fiber and RPON (reverse PON)….
June 2009 21
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Gigabit Internet to the Home• With municipal condominium fiber builds multiple carriers share in the cost of
fiber build out to neighbourhood nodes serving approximately 250-500 homes• It is impractical to have multiple carriers own individual strands from the
neighbourhood node to each and every home:– Therefore let the customer have title to individual fiber from the residence to the
neighborhood node– The customer connects to the service provider of their choice at the
neighborhood node– Customer decides if they wish to connect to an aggregator, convergence
provider, or single service Internet provider
• Two approaches:– RPON which allows easy moves, adds and changes– Micro conduit, fiber is blown in upon customer request from designated service
provider
June 2009 22
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Gigabit to the Home
ISP BISP C
Splice Box
Up
to
15 k
m
Customer owns fiber strand all the way toNeighborhood Node
XX
864 strands
ISP D
ISP E Colo Facility with RPON
Colo Facility
Business with dual
connections
Municipal Condominium Fiber Trunk
June 2009 23
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
RPON
Passive OpticalSplitter
TDM return
Aggregator
ISP
NeighborhoodNode
Switch
Customer Controlled or Owned Fiber
Active laser at customer premises
June 2009 24
NATIONAL TECHNICAL UNIVERSITY OF ATHENS
Electrical & Computer Engineering School
Regional Networks in EU
• Sweden• UK• Ireland• Greece
– 69 Municipal networks ~ 70M€– Municipal wireless networks based on 802.11 and/or
802.16– Private & Public funding to develop broadband access
networks in Greece (except Attica & Thessalonica)