Mobile Broadband Everywhere: Spectrum for Services Wladimir Bocquet Group Spectrum Office, Orange FT Group wladimir.bocquet@orange-ftgroup.com Agenda 1 2 3 4 2 Main usages of Mobile Broadband Growth Operator perspectives – Orange experience Conclusion Orange FT Group: serving consumers in 27 countries Western Europe Central and Eastern Europe Africa, Middle East & other end 4Q 2008 Tunisia 177 M subscribers, of which: Jordan Egypt UK Belgium Poland Senegal Luxembourg France 118 M mobile Slovakia Switzerland Romania Moldova Mali Niger Guinea-Bissau Cameroon Guinea Ivory Coast Equatorial Guinea Central African Republic Kenya Madagascar 12 M fixed broadband Spain Vanuatu also serving corporate in 220 countries and territories 3 Mauritius Dominican Republic Botswana Mobile Broadband: Opportunities for consumers user behaviour with Mobile Broadband consumer needs serenity voice centric voice and web majors voice and advanced web abundance promise peace of mind / simplicity security and privacy entertainment business needs on demand (content & services) me and my communities from mass media to my media voice centric voice and remote access applicationscentric mobility ethics and involvement responsible purchase CO2 footprint lowering information transparency 4 Mobile Broadband: Key Services Application Application Stores Stores quick quick stats stats on on downloaded downloaded apps apps Lagardè Lagardère Active (press - France): 1m apps in 7 months and 32m pages viewed in June 2009 alone Apple Store celebrated its 1.5bnth application in July 2009: 20bn apps downloaded by 2014 Mobile Mobile portals portals Mobile Internet users and penetration in Western Europe mobile mobile media media and and Internet Internet access access keeps keeps growing growing in in Western Western Europe Europe 5 Source: Forrester Research Mobile Broadband: Key Services (cont’d) Social Social Network Network Service Service Social networking - one of the main applications -stimulates mobile broadband usage People visiting SNS/Blog Mobile Mobile TV TV & & Video Video Video and TV is centred around the new Smartphone TV applications Europe’s 5 biggest market: people who watched TV and/or video on mobile phone ever in a month, June 09 Source: ComsCore 6 m|metrics Mobile Broadband: Key Services Mobile internet and Video/TV traffic will explode in the coming years the usage per user increases with the performance and usability of devices … and the abundance of offerings data AUPU in MB/Month 3G 2G 1000 PC card consumer: 623 MB/month PC card business: 189 MB/month IPhone: 100 around 90 MB/month New user requirements for Mobile Services increase bandwidth hungry 10 3G+ & unlimited option: 95 MB/month 3G+ handset: 34 MB/month 3G handset: 12 MB/month EDGE only handset: 5 MB/month 1 Source : Orange France Dec 2007 figures Lead Lead to to increasing increasing demand demand for for suitable suitable spectrum spectrum 7 Agenda 1 2 3 4 8 Main usages of Mobile Broadband Growth Operator perspectives – Orange experience Conclusion Growth everywhere: mobile broadband subscription growth IMT with HSPA is a key for Mobile Broadband 9 Traffic growth (1/2) The current and future trends mobile traffic forecasts with three scenarios Core scenario: scenario this is the most likely scenario and assumes that current trends witnessed in mobile markets will continue throughout the forecast period. Conservative scenario: scenario effect of the crisis and the consumers choose to remain loyal to traditional. Aggressive scenario: scenario economic downturn has less an effect on data services as consumer demand and attractive pricing schemes fuel higher than expected growth in user and traffic (in ExaBytes per year) An exabyte (TB) is equal to 1 million terabytes 10 Traffic growth (2/2) The current and future trends 11 A terabyte (TB) is equal to 1012 (1 trillion short scale) bytes or 1000 gigabytes Agenda 1 2 3 4 12 Main usages of Mobile Broadband Growth Operator perspectives – Orange experience Conclusion Growth of the 3G base : At France telecom the number of 3G+EDGE customers rose by 35% in one year 13 Traffic growth : better understanding of mobile data traffic in Europe significant increase of voice + data traffic traffic growth driven by – – Increase in terms of penetration New Mobile Broadband capable devices % of laptops connected with Mobile Broadband 40,0% Data Traffic multpied by 4 between 2008 and 2009 30,0% in March 2008, ~60% of Orange France mobile data traffic was already on the 3G network 20,0% 10,0% 0,0% 2007 2008 Strategy Analytics 14 2009 2010 2011 Lehman Mobile Broadband: a global trend towards LTE beyond 3G 3GPP wide area mobility LTE GSM GPRS EDGE HSPA UMTS HSPA+ HSPA R8 802.16m 802.16e short range mobility WiMAX 802.16802.16-2004 Wifi 802.11g fixed 10 kbps 1 Mbps 802.11n 802.11vht 100 Mbps peak rate 15 Harmonisation Harmonisation is still key – Harmonising spectrum has been the bedrock of the success of technologies such as GSM by driving equipment & device economies of scale – The process of releasing more spectrum has, however, highlighted the difficulties of harmonising both spectrum allocation & band-plans across regions – Concerted efforts are needed by national & international regulators to limit any differences on spectrum licensing Maximising Maximising technology technology economies economies of of scale scale through through spectrum spectrum harmonisation harmonisation and and ensuring ensuring effective effective link link between between spectrum spectrum strategy strategy && device device availability availability is is key key 16 Spectrum Harmonisation: A time consuming process Time to achieve regional & international spectrum harmonization is about several years from start to commercial volumes GSM services – originally around voice To adapt new data needs new bands had to be identified. 1992: 1992 WRC-92 the 2.1GHz band was identified. 13 YEARS 17 1999: 1999 UMTS was standardised as the main technology to be used in this band. 2000: 2000 Awards process in Europe 2005: 2005 Launch of mass market services PROCESS Spectrum Harmonisation Why are the spectrum enablers key for mobile broadband? UMTS UMTS at at 22 GHz GHz Spectrum Today Extension of coverage Refarming New spectrum 18 Extension of capacity, high-bit-rate and services UMTS/LTE UMTS/LTE at at 1800 1800 MHz MHz HSPA HSPA at at 900 900 MHz MHz UMTS/LTE UMTS/LTE at at 2.6 2.6 GHz GHz LTE LTE at at 800 800 MHz MHz IMT IMT Advanced Advanced at at 3.5 3.5 GHz GHz Agenda 1 2 3 4 19 Main usages of Mobile Broadband Growth Operator perspectives – Orange experience Conclusion Conclusion Growth of mobile spectrum usages Data traffic for Internet Access More and more customers and devices with mobile internet capability. Data traffic for multimedia contents on Mobile Broadband Live television and video on demand... Data traffic for smart networking people Social networking. 20 Conclusion Future mobile spectrum needs Important to facilitate harmonised use of identified spectrum for Mobile Broadband – Importance of technical studies to ensure no interference – Adequate balance between Capacity and Coverage bands, with particular attention to the bands below 1GHz We encourage harmonisation of spectrum usage worldwide – to optimise economies of scale – to ensure timely availability of equipment – to respond quickly to market needs and bridge the Digital Divide 21 thank you 22