WiMAX & Developing Countries Harnessing Broadband Technologies to Achieve the Information Society Global Symposium for Regulators Session I November 13, 2005 Peter Pitsch Director, Communications Policy Intel Intel WiMAX Vision WiWi-Fi High Throughput Access: Business, Backhaul & some Residential WiWi-Fi Consumer Broadband Access Mobile/ Portable Broadband Hotspot Backhaul Wi-Fi 1 Integration Drives Adoption Wi-Fi Enabled Notebooks (Mu) Total Notebook PCs (Mu) WiMAX Enabled Notebooks (Mu) WiMAX Inflection Point Source: Intel WiMAX - Disruptive Potential Low CapEx – Open Standards – Less concentrated IPR Lower Operating Expense – All IP Network – WiMAX Backhaul Customer Acquisition – WiFiWiFi-like Distribution OFDM Performance Technology 1X1X-EVDO (Rev A) 2.5 MHz Effective Data Rate (combined uplink & downlink) 1.5 Mbps (shared) HSUPA 10 MHz 4 Mbps (shared) WiMAX (2x2 MIMO) 10 MHZ 20 Mbps (shared) 2 Worldwide WiMAX Trials >100 IEEE 802.16* Planned Carrier Trials 2005 2006 2007 Source: Intel estimates Spectrum by Region CANADA 2.3, 2.5, 3.5 & 5.8 GHz USA 2.3, 2.5 & 5.8 GHz Central & So America 2.5, 3.5 & 5.8 GHz EUROPE 3.5 & 5.8 GHz Possible: 2.5 GHz MIDDLE EAST AFRICA 3.5 & 5.8 GHz RUSSIA 3.5 GHz Possible: 2.3, 2.5 GHz ASIA PACIFIC Speaker 2.3, 2.5, 3.3, 3.5Name & 5.8 TitleGHz of Speaker 3 BCL, New Zealand Base Station Wireless DSL Coverage Broadcast Communications Limited (BCL) Wholesale Wireless Access Network. Nationwide deployment from 74 Base Stations Sites Network designed for 30,000 connections initially; – Expansion to 100,000 planned. Network covers around 100,000 sq km 5.8 GHz spectrum Providing High Speed links – longest distance of 50 km! Data & Voice – – Range: 50 km Each CPE delivers 2Mbit/s Asymmetric DSL Up to four 64 kbps TDM voice lines CPE Courtesy of Airspan Networks, 2004 Call To Action for Regulators 3.5 GHz Band – fixed & nomadic services – Explicitly allow Nomadic use in Fixed Wireless spectrum to support support indoor modems and laptops – Larger block sizes for new allocations – Access to 3.33.3-3.4 & 3.63.6-3.8 GHz bands where 3.43.4-3.6 GHz has limited availability 2.5 GHz Band – mobile services – Technologies – such as 802.16 -- which fulfill the services model and adhere to the regulation should be allowed 5.8 GHz Band – fixed outdoor for Wireless ISPs – Power output @ 4W EIRP (or 200 mW/MHz) mW/MHz) – Greater access across Europe in a reasonable timeframe <1 GHz BandBand– Work to rere-claim spectrum from digital transition – Highly desirable for developing nations Adopt Technology Neutrality - Support at ITU WP8F 4 Suburban CapeX Comparisons as a function of Deployment Spectrum Propagation analysis baseline: Suburban, Max Available PL=145dB, f=700 MHz, Ht=50m, Hr=1.5m 14.0 1230% Radius (Km) and Capex (% ) 12.0 10.0 10.0 8.9 8.0 MIN Site CapEx % Over @700 MHz Cell Radii (Km) 675% 6.0 5.5 4.0 328% 4.7 455% 3.9 2.9 2.0 100% 126% f=700 f=850 0.0 f=1900 f=2500 f=3500 f=5800 Frequency of Deployment (MHz) BACKUP 5 Digital Divide Persists Penetration % 60 50 40 5x 30 Difference in Broadband Availability 20 10 2004 2002 0 >$100k $75$75-$100k Average $10$10-$30k <$10k Source: Pew Research, 2005 Networks Will Be Deployed in Phases 802.16802.16-2004 & 802.16e Early 802.16e Metro Zone Fixed Outdoor Wi-Fi* Backhaul 802.16e Mobile Fixed Indoor Enterprise Campus Piconet Wi-Fi* Hotspot Access Service Portable Service Mobile Service Data Overlay w/ Voice Cell Data Overlay Network Dense Cell Overlay Network Mobile Triple Play • • • • • • Freq up to 5.8 GHz - Lic& UnLic Low cost network Residential Gateway focus Freq < 3.5G Licensed Low/Mid cost networks Notebook focus • • • Freq < 2.5 GHz Licensed Mid cost networks Handheld & Notebook 6 Portable/Mobile Data Enabled by Standards and Interoperability IEEE: Proven path to innovation and low cost communications Ethernet (802.3) WiFi (802.11) (802.16) 10Gbps Volume 54Mbps Carriers: Carriers:next nextgeneration generation data datanetworks networkswill willbe be OFDMA OFDMAbased based -------WiMAX WiMAXisisthe theonly onlyOFDMA OFDMA WWAN WWANStandard Standard 1Gbps 11Mbps 100Mbps 10Mbps 1980s 2Mbps 1990s 2000 IEEE Model 2010 Proprietary Model Investments in Innovations 100’ 100’s of companies 1000’ 1000’s of engineers Single company limits the pace of innovation Cost/Price Dynamics Volume, innovations & competition drives cost/pricing down Ability & Motivation for lower cost/pricing lacking Broadband Is The Killer Application Daily Technology Usage Mobile Voice Broadband Internet Access Mobile SMS/MMS/ESMS/MMS/E-Mail Indicates Minutes Per Day of Use by Average Subscriber Source: CTIA, Online Publisher’ Publisher’s Association, Intel estimates 7 The “Centrino” Phenomenon Notebook Computer Shipments 100% Million Units 72 27 30 2001 2002 38 2003 46 82 90 100 55 WiWi-Fi Penetration 2004 2005E 2006E 2007E 2008E 2009E 0% Source: Gartner March 2005 for Notebook PC shipments and Intel Estimates for Wi-Fi attach Wi-Fi + WiMAX Will Become 1 Chip Laptops Are The Hot Mobile Devices Mobile Device Growth Rates 35% 30% 25% Unit 20% Growth 15% % Laptops 10% Mobile Phones 5% 0% 2001 2002 2003 2004 2005 2006 Estimated Source: Gartner, June 2005 8 And Wi-Fi Is The Fastest Growing Broadband Technology Million Units/Lines WiWi-Fi cdma2000 EVDO + WW-CDMA 120 100 DSL Lines 80 60 40 20 0 2000 2001 2002 2003 2004 2005 Source: ABI Research, iGillott, IDC, Point-Topic. DSL added subs used as proxy for added lines. The Next Wireless Transition: OFDM OFDM Delivered Bandwidth CDMA GSM Early ’90s Mid-’90s Early ’00s Mid-’00s 9 WiMAX: Fat Channels, OFDMA, MIMO 3-Sector Cell Throughput Comparison (1xEV(1xEV-DV Evaluation Methodology) 36 Downlink 30 Uplink 24 Effective Throughput to TCP (Mb) 18 12 2 x 1.25 6 0 1xEV1xEV-DO Flash OFDMUMTS R99 HSDPA HSUPA Rel. Rel. 0 IEEE 802.16e (SISO) IEEE 802.16e (MIMO) Source: Intel Estimates Mobile WiMAX Rolling Out Early 2006 Korea Telecom’ Telecom’s Commercial “WiBro” WiBro” Service Seoul Metropolitan Major Cities (20) Minor Cities (54) “KT is proud to work with Intel to be the first to rollout WiBRO services, Mobile Wireless Broadband based on WiMAX standard technology.” technology.” Dr. Hong, Senior Vice President Source: Korea Telecom 10