HSDPA by Siemens Full Speed Ahead White Paper Content 1 Introduction ............................................................................................................ 3 2 Motivation for HSDPA ............................................................................................ 4 3 Target Market and Applications ............................................................................ 6 3.1 Market Overview ........................................................................................ 6 3.2 HSDPA applications................................................................................... 7 3.3 HSDPA target groups .............................................................................. 10 4 HSDPA Technology.............................................................................................. 11 5 HSDPA Planning .................................................................................................. 17 5.1 Coverage Dimensioning ........................................................................... 17 5.2 Channel Card Dimensioning .................................................................... 19 6 HSDPA Solution from Siemens ........................................................................... 19 7 Conclusions.......................................................................................................... 25 HSDPA by Siemens Page 2 (of 25) V7, 13th of Aug 2004 1 Introduction The wireless industry is currently facing many challenges. Mobile penetration has reached saturation point in many countries and revenue from voice is declining. So the mobile operators are looking for new opportunities to increase the revenue. The situation is similar with the fixed line operators and internet service providers. They are also looking for new opportunities to increase the revenue. Mobile operators are trying to increase their revenue by providing new services based on packet technology and are also looking for opportunities to substitute the fixed line services like PSTN and DSL with wireless services. On the other hand fixed line operators are also trying to flex their muscles in the wireless field. Technological developments like WLAN 802.11b, 802.16, cdma 2000 EV-DO have enabled the fixed line operators and alternate mobile operators to focus in the field of fast growing data communication. Technological developments like GPRS/EDGE/UMTS have helped mobile operators to increase their revenue by providing new data services to a certain extent. However, these technologies have not been able to reduce the cost of delivering per Mbyte of data to the end user to a level where GSM mobile operators can compete with the alternative technologies for a profitable business growth. To enhance the competitiveness of UMTS new technological evolution for UMTS called HSDPA (High Speed Downlink Packet Access) has been standardized within 3GPP in release 5. HSDPA is to UMTS as EDGE is to GSM; a technology which acts as an upgrade to existing infrastructure, enhancing network performance without the CAPEX burden of overlaying an entirely new radio network. HSDPA provides a twofold improvement in network capacity and boost data speeds up to 14Mbps/user. End user speeds of 2Mpbs are expected to be achievable - even higher under optimal network conditions. Shorter network latency and better response times are also enabled by the technology upgrade, allowing time-dependent applications, like live video streaming and multi-player gaming, to perform more effectively. HSDPA will enable the mobile operators to: reduce costs / MByte by up to factor 2 create rich and attractive new services for lucrative end-user segments unleash UMTS business to achieve its full potential counter the mobile operators using cdma 2000 EV-DO technology counter emerging access technologies like 802.xx and service provider using such technologies position as a mobile DSL Service Provider provide truly converged voice and data solution to the end user using single device anytime, anywhere HSDPA by Siemens Page 3 (of 25) V7, 13th of Aug 2004 2 Motivation for HSDPA 2.1 The market and technical motivation for introducting HSDPA are: Gearing up today for tomorrow Consumer behavior and life style is changing. Tech savvy young generation of today will ask for more from the mobile operators in terms of data speed and new services in coming years. Imagine a technology that enables users to browse Web pages faster on cell phones than contemporary broadband users can do on PCs; a technology that is more than 10 times as fast as today’s UMTS for speedy, truly satisfying video streaming, teleworking and gaming for such users. Enterprising MNOs need to deploy such technology today to meet tomorrow’s demand. Opportunity knocks In a fiercely competitive communication market where growth in data bits is expected to outstrip growth in revenues, the best way to get ahead of the game is to provide faster, higher quality services and richer applications. MNOs are now looking to optimize networks to support tomorrow’s dominant traffic type. Though gearing up for more bandwidth poses a challenge, it also spells a tremendous opportunity. The shifting traffic paradigm The industry consensus has it that in mature mobile communication markets, packet-switched traffic will soon surpass circuit-switched traffic. Indeed, in most fixed networks, IP-based traffic volume has eclipsed circuit-switched traffic. Mobile networks are sure to follow suit as new IP-based mobile services emerge and eager users adopt them. So mobile operators need technology, which can deliver data to their end-users at an acceptable price, Promising prospects: Public acceptance of cell phones has been overwhelming, and faster connections to advanced mobile services are bound to receive a similarly warm welcome. End-users are sure to embrace these sophisticated offerings, with savvy subscribers - power business users and consumers with a healthy appetite for data-rich applications – leading the way. Best of all, this end-user segment is willing to pay a premium for speedy, secure mobile data services. Taking the mobile data sector by storm: HSDPA offers far more performance at lowest cost, enabling real massmarket mobile IP multimedia. Operator can increase company’s profitability by delivering higher quality services at lower costs. Higher QoS and greater capacity is destined to drive demand for data-intensive services, thereby boosting operator’s bottom-line. Minimizing risk, maximizing opportunity: Any such new technology needs to be evolutionary to keep the marginal cost of introducing it to minimum. HSDPA is evolution of the already deployed UMTS technology and thus can be deployed with minimum CAPEX and OPEX for the operators. Competitive Threat: There are many new technologies like 802.xx, cdma2000 EV-DO/EV-DV that are being deployed by mobile operators and other service providers which poses threat to the GSM mobile operators. HSDPA by Siemens Page 4 (of 25) V7, 13th of Aug 2004 HSDPA will enable MNO’s to counter threats from operators/service providers such technologies. Pricy business applications like VPN services mandate utmost security, availability and reliability. HSDPA fits the bill. So much more than a hot spot technology, it offers what WLANs can’t – trust center-class data security, service coverage beyond hotspots, network reliability, and convenient billing via conventional phone bill. And with hallmarks such as reduced response time, DSL-like latency, improved peak rate and packet data throughput, enhanced spectral efficiency, and improved transmission and error correction, HSDPA is a genuine leap forward from 3G R99. 2.2 Motivation for Mobile Operators to introduce HSDPA: All the general motivations mentioned above are applicable for MNO’s to introduce HSDPA. Due to HSDPA’s high quality and average data rates of 2Mbps mobile operators can generate additional revenues by positioning themselves as Wireless DSL providers. HSDPA will help MNO’s to increase their revenue through earlier adoption of UMTS data services among its users and also addition of new subscribers for wireless DSL service. Additional revenue generation for wireless DSL subscribers can be forecasted as below. The calculations are based on certain assumptions for simplicity and are for indicative purpose only. For more detailed calculation regarding business case detailed discussion with the customer is necessary. Assumptions: With the introduction of wireless DSL services from MNO’s some of the DSL customers of fixed DSL service providers will switch to wireless DSL from Mobile operators due to – Seamless service coverage in-house and while on the way – One device, one bill, one user interface for mobile services and broadband internet access – Secure and reliable due to carrier grade mobile technology Churn Rate: 5% from other fixed DSL providers subscribers. Some of the XDSL packages (comparable to the wireless DSL service that can be provided with HSDPA) being offered by the service providers are as follows. (Typical situation, assumptions) HSDPA by Siemens Page 5 (of 25) V7, 13th of Aug 2004 XDSL Service Provider Data rate DL/UL Kbps Monthly Fee (€) Service provider 1 2048/384 15 Service provider 2 1024 /384 28 Based on the above tariff structure Mobile Operators should be able to charge monthly fee of 20 € per subscriber for wireless DSL service (1024 Kbps/128 Kbps) as subscribers are willing to pay some premium for the mobility. The number of wireless DSL subscribers of the assumed MNO is the number of subscribers who leave the XDSL services of the other service providers and is shown below. # of users SP1 and SP2 (in Million) % churn MNO W-DSL subs (in Million) ARPU in €: 20 Revenue (in Mill.) 2006 2007 2008 11 10% 0.6 12 10% 0.6 13 10% 0.7 22,5 24,5 26,5 Thus with HSDPA, Mobile Operators can generate more than 22,5 Million Euro per year from year 2006. 3 3.1 Target Market and Applications Market Overview It is expected that in next few years the ARPU due to mobile data services will increase significantly. It is expected that data ARPU will reach about 35% of total ARPU by year 2010. Please see below for the expected growth of mobile data in the world market and Asia till year 2010. The expected growth in mobile data in future provides MNO an excellent opportunity to increase their revenue with new innovative services. HSDPA by Siemens Page 6 (of 25) V7, 13th of Aug 2004 Figure 1: Mobile data uptake In Malaysian market also the importance of data is expected to increase significantly as it will contribute more and more for operator’s revenue in coming years. By year 2010 it is expected that the data ARPU reach about 9 Euro for total ARPU of about 25 Euro. This is in line with expected growth of data ARPU for the world market as depicted in figure 1. See the figure below for the forecast for Malaysia market (Source: Siemens ICM N SM Market Assessment Figure 2: Expected Data and Voice ARPU and Revenue Growth in Malaysia 3.2 HSDPA applications HSDPA by Siemens Page 7 (of 25) V7, 13th of Aug 2004 HSDPA is best suited for services/applications requiring background, interactive and streaming type quality of service for example internet/intranet access. The significant improvement in download times as shown in figure below can improve the perception of the users towards the mobile data applications and enhance the acceptability and usage of mobile data services. Figure 3: Performance of HSDPA for data download Since HSDPA optimizes the downlink channels, it suits “asymmetric traffic” type of applications, which require higher traffic on downlink rather than on uplink direction. Therefore, it is recommended to deploy HSDPA in operator’ network to cater the following services categories: - Location based applications (city guide, mobile tracking/finder, advertisement) Mobile VPN* (corporate access to email, file download, intranet) Infotainment (video streaming, music download, mobile TV, mobile gaming) Mobile internet (file download, internet browsing) Open new market as wireless DSL or WLAN service provider HSDPA by Siemens Page 8 (of 25) V7, 13th of Aug 2004 *VPN: Virtual Private Network Figure 4: HSDPA for services with more than 50% downlink direction To identify potential successful future applications, Siemens has conducted end user surveys in west European region. The results suggest significant demand for applications supported by HSDPA. HSDPA supported applications are marked with pink as depicted in the chart below. Sources: Siemens Mobile Networks Marketing, April 2003; Siemens End-User Survey “Enabling Services”, October 2002; TNS Emnid “3G Monitoring”, December 2002 HSDPA by Siemens Page 9 (of 25) V7, 13th of Aug 2004 Figure 5: Siemens end user survey Operators can further benefit by implementing Siemens advanced IP Multimedia Subsystems (IMS) solution with HSDPA. This will offer a combination of multimedia real-time services (voice/video) with non-real time information/data services on a single device, thus raising ARPU via increased customer base service usage from person-person and group-to-group communications. We believe that IMS (IP-based Multimedia Subsystem) can play a very important role in this part. As example, there are two WCDMA/HSDPA/IMS applications scenario, which try to exploit different services approach to boost traffic and revenue. Example 1: Sports News. Peter is a fan of MU and registered as MU portal member. He also registers some of his friends in a Goal-Community Group. Once a goal is scored, Peter is notified. He clicks on the provided link and starts downloading the video of the goal. By clicking on the Icon „Goal Community“ he can - Start a Push To Talk or Video Conferencing session - Show the goal to his buddies (in his contact list) - Forward the Video clip to his friends (and pay for it) - Or send instant messaging to his buddies Example 2: Music Fan Club. Martha is a big fan of “Madonna” and she subscribes to the “MusicChannel” Whenever Madonna new video is released, Martha gets an IM notification with video and chat Icons attached. Martha clicks on Video Icon to view the video. She really loves the video and starts a Push-to-Talk Session. While talking to Lisa and Anna she sends part of the video as a push-to-see so they can watch it. Then Martha clicks on chat link and joins the current session of the Madonna chat community using Push-to-Talk dial-in to discuss the video and Madonna news. 3.3 HSDPA target groups Mobile network operator (MNO) can basically offer its HSDPA based applications to both business as well as residential subscribers. Mobile VPN services for instance are mainly dedicated for business users and the infotainment services are for residential or youth subscribers. With the availability of HSDPA module for PC/laptop HSDPA by Siemens Page 10 (of 25) V7, 13th of Aug 2004 users, HSDPA will enable MNO to offer WLAN, wireless DSL services to home and SME users as well. Figure 6: HSDP target groups 4 HSDPA Technology High Speed Downlink Packet Access, known as HSDPA was introduced into the 3GPP UTRAN standards for both FDD and TDD from Release 5. HSDPA refers to a number of shared channels, of which the data-bearing channel is known as “HSDSCH”. Key features of HSDPA are as follows: It is a downlink only service; it provides no enhancement for the UL It is a packet data service, in which the network allocates resources for transmitting packets over the air to different terminals on a “best effort” basis The MAC layer in the network ensures packet decoding by a terminal and packet scheduling for transmission in a shared media quality Typical achievable throughput is in the range 2-5 Mbit/sec (max. throughput is 13.98 Mbit/sec) 3GPP is currently working on MIMO for HSDPA, which it is claimed will be able to increase typical throughput to 10Mbit/sec 4.1 Features used in HSDPA: The performance improvement that is obtained by HSDPA technology is achieved by means of a number of additional features built on top of the pre-existing FDD (or TDD) standards: HSDPA by Siemens Page 11 (of 25) V7, 13th of Aug 2004 Fast scheduling by the node B Hybrid ARQ Adaptive Modulation and Coding Higher order modulation Fast feedback of channel state information Figure 7: HSDPA key principles 4.1.1 Fast scheduling by the node B In Release 99 and Release 4 UMTS systems, all management of radio resources is performed at the controlling RNC. In the case of the downlink shared channel, shared resources are set up that are accessible to a number of terminals, but the CRNC makes a decision based on traffic volume and buffer occupancies to grant the shared resources particular terminals for defined amounts of time. Basing all radio resource management at the CRNC allows effective control of macrocellular performance issues such as mobility, soft handover and inter-cell interference. However latencies involved in communications across the Iub interface between the RNC and node B, and RRC connections to the terminal mean that the CRNC cannot accurately base its resource decisions on up to date channel state information. For example, to grant DSCH resources based on the SIR experienced by a terminal would require an SIR measurement to be performed at the terminal and transmitted across the air and then via the Iub interface to the CRNC (if the CRNC is not the serving RNC, further transmissions across Iur may be required). If the CRNC then decides to grant DSCH resources, further Iub (and possible Iur) signalling is required. HSDPA by Siemens Page 12 (of 25) V7, 13th of Aug 2004 In HSDPA, the controlling RNC allocates a block of HS-DSCH resources (code tree and transmit power) to the node B that the node B is allowed to autonomously allocate between terminals on a dynamic basis. Since there exists only the Uu interface between node B and terminal, the node B can collect channel state information from the terminals by means of fast layer 1 signaling and then make a fast HS-DSCH allocation to terminals. 4.1.2 Adaptive Modulation and Coding When the scheduling algorithm has allocated HS-DSCH resources to a terminal, the node B is further able to optimise its transmission format according to the link level conditions. The terminal sends to the node B an indication of the quality of the radio link using the CQI (Channel Quality Indicator)). Based on this, the node B can adapt the link as follows: The node B is able to switch between QPSK and 16QAM The node B is able to set the coding rate by adjusting the amount of puncturing applied to turbo coded data by means of varying the amount of data transmitted in a TTI. The selected coding rate and modulation format remain constant for the duration of an HSDPA TTI (2msec for FDD). The transmit power of the HS-DSCH is kept at a constant level and the coding and modulation format is chosen to maximise throughput to the terminal. Increasing the code rate or moving from QPSK to 16QAM increases the size of the transport block that can be sent during the TTI, however the probability of the transport block being in error also increases. The optimal tradeoff point between these two contradictory effects depends upon channel conditions and is selected according to the CQI. 4.1.3 Hybrid ARQ On receiving and demodulating a HS-DSCH TTI, a terminal buffers the resulting softbits that relate to the coded transport block. Each time a transmission is received; the terminal attempts to decode the transmission and sends back an acknowledgement. If decoding was successful (this is indicated by means of a CRC attachment to the transport block), a positive acknowledgement is sent and the softbit buffer relating to the received block is erased. However, if the block could not be decoded, a negative acknowledgement is sent to the node B and the softbit buffer is retained. Thus, the node B re-schedules a transmission of the transport block and the terminal combines the new transmission with the first at the softbit level to improve the signal to noise ratio and the chances of successfully decoding the block. The retransmission process may be repeated several times if necessary. In this way, the UE is able to decode the correct signal even if all transmitted blocks are disturbed. HSDPA by Siemens Page 13 (of 25) V7, 13th of Aug 2004 4.2 HSDPA Channels: 4.2.1 Downlink HSDPA channels and signaling HSDPA uses the following channels in the downlink: HS-SCCH: The HS-SCCH, or High Speed Shared Control Channel carries layer 1 signaling in the downlink. The channel terminates in the physical layer and hence there is no associated transport channel. The HS-SCCH is used to announce allocation of resources to a terminal, and contains the following information: The identity of the terminal that is scheduled The resources allocated to the terminal (in FDD, the number of spreading factor 16 codes and their identity). A fixed timing relationship exists between HS-SCCH and HS-DSCH that allows the terminal to know when the scheduled interval begins. The duration of the scheduled interval is equal to the HS-DSCH TTI (2msec or 3 slots in FDD) Whether the transmission is a first HARQ transmission or a re-transmission The modulation format and code-block size that will be used The node B may transmit many HS-SCCHs, to different groups of terminals. If it has not been scheduled, a terminal must listen to up to 4 HS-SCCHS. Once it is scheduled, it reads the HSDSCH at the appropriate time and continues to monitor only 1 HS-SCCH. HS-PDSCH: A HS-DSCH transport channel may be mapped onto one or more HS-PDSCHs. The TTI of HSDSCH is 2msec. HS-PDSCHs always use spreading factor 16 and may use either QPSK or 16QAM modulation. In FDD, the HS-PDSCH consists only of data symbols; i.e. no pilot, TFCI, TPC etc are multiplexed. It carries actual packet data. 15 HS-PDSCHs per cell are possible. Code with Spreading Factor (SF) = 16, QPSK/16QAM is used for HS-PDSCH. 4.2.2 Uplink HSDPA channels and signaling HSDPA uses the following channels in the uplink: HS-DPCCH The HS-DPCCH is used for transmitting two components of UL information: ACK/NACK – This relates to the HARQ and is transmitted after processing of a HSDSCH TTI is complete. Channel Quality Indicator; CQI. The CQI indicates to the node B the quality of the DL channel. In FDD, it is transmitted at regular intervals. The CQI value consists of a modulation format and coding rate, which are estimated by the terminal to give maximum data rate whilst not exceeding 10% BLER. The node B uses CQI to make decisions on what coding format to allocate in HSDSCH transmissions, however the node B is not mandated to use the same format as is specified in the CQI (the CQI is used only as a guide). HSDPA by Siemens Page 14 (of 25) V7, 13th of Aug 2004 The HS-DPCCH is a physical layer channel with no associated transport channel. The length of a HS-DPCCH transmission is 2msec. Figure 8: HSDPA Channels 4.3 Implications of HSDPA Technology for the Network and Terminal 4.3.1 Radio Network Controller The impact of HSDPA on the radio network controller is relatively limited. The RNC must allocate HSPDA parameters, which include the number of codes allocated for HSDPA, the amount of node B power reserved for HSDPA and some parameters for the feedback channel, such as the power offset for ACK/NACK signaling. Furthermore, the RNC needs to monitor HSDPA related measurements and adjust parameters as necessary. 4.3.2 NodeB RF subsystem The NodeB RF subsystem needs to be capable of transmitting up to 16 SF16 codes using QPSK or 16QAM. Baseband subsystem The baseband processing for HSDPA is similar to that for other Release 99/Release 4 channels although some new DSP algorithms need to be written for transmission of HS-DSCH and HSSCCH and detection of HS-DPCCH, and the 2msec TTI needs to be supported additionally, HSDPA has higher throughput requirements on the baseband cards with a maximum throughput of up to 14Mbps / cell. Higher layers The NodeB needs to implement the MAC-hs protocol, which is responsible for scheduling between terminals, AMC and management of data queues for each HSDPA by Siemens Page 15 (of 25) V7, 13th of Aug 2004 terminal (including HARQ). This non-trivial element introduces additional “intelligence” into the node B that was not present for Release 4/Release ‘99. 4.3.3 Terminals: The terminal needs to monitor HS-SCCH and to decode HS-DSCH as necessary, generating acknowledgements for the purposes of HARQ. Furthermore, the terminal needs to regularly report CQI. Thus additional functionalities required for an HSDPA terminal, compared with a terminal supporting Release4 / Release 99 are: Reception of 16QAM (dependent on terminal capability) Support for reception of 5, 10 or 15 simultaneous HSDPA codes, dependent upon terminal capability Support for soft-buffering and combining required for HARQ Support for higher amount of processing power required for decoding HSDSCH peak throughput rates CQI calculation Support for HSDPA physical channels The 3GPP standards have defined 12 categories of HSDPA terminals [3GPP TS 25.306]. The terminal informs UTRAN of its HSDPA category in order that the network will take it into account when scheduling data. The parameters which define categories are as follows: Support for QPSK only, or QPSK and 16QAM. The minimum time that must elapse between reception of 2msec HS-DSCH TTIs. This parameter affects the amount of processing time required by the terminals and the number of HARQ processes they support. The number of simultaneous SF16 codes the terminal must be able to receive. This affects RF and baseband processing complexity. The amount of softbit memory that must be available. This affects the number of simultaneous HARQ processes that can be supported and the amount of puncturing that needs to be performed on coded transport blocks. HSDPA by Siemens Page 16 (of 25) V7, 13th of Aug 2004 Table 1: HSDPA Terminal categories 5 HSDPA Planning In general the planning steps for HSDPA traffic are the same as the Release99. 5.1 Coverage Dimensioning In HSDPA the bit rate per user is not fixed but will be dynamically allocated to the user according his radio situation and the radio situation of the other HSDPA user in the cell. The cell range is normally determined by the release99 bearers. Therefore the cell range is given. The link budget for HSDPA calculates then the maximum possible data rate for a user at the cell border in the loaded network in DL. As stated before the bit rate of the user is depending on its radio situation and other user in the cell. In this case the 512 kbps und the 768kbps are reached at a cell border. However in the case, that the UE is nearer to the NodeB and the inter-cell interference is lower these max. data rates can be given to a user. The maximum possible bit rate per user is depending on the interference situation at the user place. The following example plot depicts this: HSDPA by Siemens Page 17 (of 25) V7, 13th of Aug 2004 Figure 9: Maximum possible bit rate per user (HSDPA) (max. bit rate: yellow: 128kbps; green: 256 kbps; blue: 512kbps; pink: >640kbps) From hardware point of view the Node B can serve at maximum 15 HS-PDSCH codes per cell. In the first HSDPA release category 6 mobiles are supported. Therefore the maximum peak rate per CHC is up to 14 Mbps. In future release the system will also support other mobile types. A maximum peak rate of 15 codes in 16QAM modulation is about 14 Mbps is given in 3GPP. For the throughput in the network of course other influences will limit the throughput like interference, available power of the NodeB, and user behavior. The user data rate will depend on the number of codes and the coding scheme. HSDPA by Siemens Page 18 (of 25) V7, 13th of Aug 2004 Table 2. User Data rate 5.2 Channel Card Dimensioning The CHC can support up to 15 HSDPA codes, and the remaining resources for other channels processing are UL/DL 96 CE, UL/DL96 AMR EQ. So same CHC can support both HSDPA and non HSDPA traffic. If HSDPA is used the HSDPA throughput shall be considered. Each HSDPA cell requires one CHC able to work in HSDPA mode. However if the HSDPA traffic is not very high there is also a possibility that one CHC in HSDPA mode can serve up to three HSDPA cells. At maximum 1 CHC per HSDPA cell can be used. 6 HSDPA Solution from Siemens Siemens is one of the leading vendors for UMTS with more experience from commercial UMTS networks than any other vendor. Unique selling points of Siemens HSDPA solution are: Spearheading the HSDPA breakthrough through technological leadership Designed with future mobile data applications in mind, Siemens 3G equipment is ready for HSDPA. With Siemens HSDPA Solution MOBILE OPERATOR can earn money from the first day of its deployment. What’s more, because the Siemens solution is a software upgrade, the costs of HSDPA by Siemens Page 19 (of 25) V7, 13th of Aug 2004 enhancing network capacity are low and swiftest time to market is assured. And all that adds up to additional revenue streams and fast ROI. Some of the key features Siemens plans to support with HSDPA are: Support of all basic HSDPA functionality. Iub flow control to control the traffic between NodeB and RNC. QPSK, 16-QAM, HARQ, simple scheduler and interactive/background traffic classes. Support of inward and outward mobility as well as basic HO scenarios max ideal Peak Rate Throughput per user in downlink: 3.6 Mbps (UE capability class 6) typical capacity improvement of 60-80% per cell (po-traffic) up to 64 UEs on HS-DSCH up to 64 HSDPA users per cell up to 15 HS-PDSCH codes per cell Time to Market Siemens along with our partner NEC is first to introduce HSDPA in the market. We are working closely with our customers in Japan and Europe to launch HSDPA commercially in 2005. Based on our early experience with HSDPA in developed market like Japan and Europe we can provide best HSDPA solution to MOBILE OPERATOR earlier than our competitors. Smooth upgrade to HSDPA Our approach to migration to HSDPA is smooth and painless as described below. Such smooth migration of our Node B and RNC enables MOBILE OPERATOR to introduce HSDPA with minimum CAPEX. HSDPA Support in Node B: NodeB4xx (440/441/420) is hardware prepared for HSDPA. While other suppliers’ equipment requires physical upgrades, NodeBs can be upgraded over the air with no downtime and no overhead for field service. Siemens is using 2nd generation of node B platform, which is prepared for future evolutions like HSDPA, remote radio heads etc., while our competitors are still using the 1st generation of platform. Channel card 96 (CHC96) is already prepared for HSDPA. We offer the most flexible channel cards on the market, where no dedicated HSDPA module is required, though the resources are shared between Rel. 99 and HSDPA and where we can configure the CHC in a one to multi cell configuration. It means no dedicated HSDPA equipment required. And with a 50-to-100% capacity increase per NodeB, MOBILE OPERATOR’s investment, though low, goes a very, very long way. HSDPA by Siemens Page 20 (of 25) V7, 13th of Aug 2004 Figure 10: HSDPA Ready NB 44X HSDPA Support in RNC: Siemens RNC is able to support HSDPA with minimal change in hardware. The following two new cards shall be implemented on the RNC to support HSDPA to support new protocols and higher data rate. HS-DST: a card supporting MAC-d entity, HS-DSCH FP and throughput higher than current DHT. HS-PRLC: a card supporting same functionality with PRLC, but with higher throughput. HSDPA by Siemens Page 21 (of 25) V7, 13th of Aug 2004 Figure11: Upgrade of RNC to support HSDPA End to End Solution With the most advanced technology and most stable networks to our credit, Siemens’ UMTS experience is unrivalled. We partner with top-drawer chip set and mobile suppliers to turn up a true end to-end HSDPA solution. Besides the infrastructure support Siemens will provide PC cards for HSDPA to ensure early availability of end to end solution. HSDPA capable mobile phones will follow later. So MOBILE OPERATOR can launch HSDPA service to business users or residential users using laptops earlier than the competitors. HSDPA by Siemens Page 22 (of 25) V7, 13th of Aug 2004 Figure 12: End to End HSDPA Solution from Siemens . Figure 13: End to End HSDPA Roadmap HSDPA by Siemens Page 23 (of 25) V7, 13th of Aug 2004 First in reliability, first in performance Siemens UMTS solution is the most reliable and field proven with 12 out of 22 commercially launched network (as of May 2004) supplied by Siemens/NEC. Figure 14: Commercially operating UMTS networks Moreover the performance of Siemens UMTS solution is one of the best. This has been proven by independent study done by external agency in Germany in Vodafone network. HSDPA by Siemens Page 24 (of 25) V7, 13th of Aug 2004 Figure 15: Result of Study showing better performance of Siemens UMTS network Since the Siemens HSDPA solution is only software upgrade in the node B side our HSDPA solution will be also highly reliable with best performance. 7 Conclusions HSDPA is the break through UMTS feature-set which satisfies higher capacity demands as well as demands for new services. MOBILE OPERATOR can use HSDPA to provide wireless DSL services to generate more revenue. Siemens is right partner for MOBILE OPERATOR for HSDPA due to following reasons: Mobile Operators (MNO’s) can introduce HSDPA with minimum CAPEX and OPEX as Siemens Node Bs are hardware prepared for HSDPA. Siemens can provide end to end solution for HSDPA earlier than competitors so that MNO’s can have early mover advantage. HSDPA by Siemens Page 25 (of 25) V7, 13th of Aug 2004