Carrier Ethernet for Mobile Operators Facilitating the Evolution to Packet Transport Networks Peter Croy, Harris Stratex Networks Ralph Santitoro, Turin Networks Amsterdam, 8 May 2008

Co-presented by: Ralph Santitoro MEF Chair, Web Marketing Committee Director of Carrier Ethernet Solutions, Turin Networks Peter Croy MEF Co-Chair, Mobile Backhaul Group Sr. Consultant, Harris Stratex Networks

3 Mobile Architecture Evolution - Backhaul Network Evolution Driven by massive growth of lower ARPU mobile data traffic –High ARPU voice traffic still requires stringent TDM quality clock synchronization and QoS. Evolution focused on network cost reductions through one or more of the following approaches: 1.RAN backhaul bandwidth optimization over PDH More bandwidth over fewer PDH circuits Ethernet over PDH 2.Mobile data traffic off-load onto lower cost per bit packet transport network Ethernet over HFC cable, xDSL, etc. PDH/SDH network assures clock synch. for high ARPU voice traffic 3.All mobile traffic on lower cost per bit Carrier Ethernet network Emulation of E1/T1 PDH circuits over Ethernet Used when majority of traffic is packet-based Availability of Carrier Ethernet Network

4 Mobile Backhaul Network Evolution to Carrier Ethernet Mobile Network Evolution Aggregation Network SDH Carrier Ethernet RNC BSC AGW BTS Node B eNB Mobile user applications evolving to IP Mobile backhaul network evolving to Carrier Ethernet PDH over µwave Ethernet over µwave EoPDH over µwave Ethernet over Fibre SDH/SONET over Fibre PDH (E1/T1) Ethernet over PDH

5 Key Reasons for Carrier Ethernet OpEx savings for increasing amount of low ARPU data traffic –Economically meets ever increasing bandwidth requirements currently constrained by cost prohibitive PDH access networks –Simpler and lower cost to add bandwidth when compared to adding PDH circuit bandwidth Convergence of wireless and wireline –Enables convergence of wireline and mobile backhaul traffic over single Carrier Ethernet multiservice transport network Simplifies network and service management Mobile traffic growth is broadband and IP centric –Carrier Ethernet is optimized for packet data traffic

6 Ethernet Options Solve Backhaul Cost Problem PDH (E1/T1) OpEx costs increase as a step function as bandwidth increases –2M, 4M, 6M, etc. for N x E1s circuits Carrier Ethernet OpEx costs increase in smaller increments as bandwidth increases –Bandwidth can easily be added to an Ethernet UNI –No need to add new circuits as with PDH networks Carrier Ethernet options satisfy the #1 financial challenge to mobile operators: –OpEx cost savings Source: Infonetics Research Mobile Backhaul Equipment, Installed Base, and Services, 2007 Stay on PDH Ethernet Worldwide Mobile 1st Mile Backhaul Service Charges per Connection: PDH and ATM over PDH vs. New Wireline $37,044 $6,887 $0 $10,000 $20,000 $30,000 $40,000 CY05CY06CY07CY08CY09CY10 Calendar Year Revenue PDH and ATM over PDH New wireline

7 How is Carrier Ethernet Deployed? Carrier Ethernet Backhaul Technologies (non-exhaustive list) –Ethernet over Fiber –Ethernet over NG-SDH/SONET: GFP (ITU-T G.7041) –Ethernet over Microwave –Ethernet over PDH: MLPPP/BCP (RFC1990/RFC3518) or GFP (ITU-T G.8040) –Ethernet over DSL (EFM): IEEE 802.3ah 2BaseTL, ITU-T G G.SHDSL –Ethernet over Hybrid Fiber-Coax (HFC) All of the above can utilize the following (non-exhaustive list): –Provider Bridges (IEEE 802.1ad) –Provider Backbone Bridges (IEEE 802.1ah) –Provider Backbone Bridges with TE extensions (IEEE 802.1Qay) –MPLS Pseudowires (RFC 4448) –Circuit Emulation over Ethernet (MEF 8) Carrier Ethernet backhaul technology selection based on many factors including current infrastructure, mobile service mix and growth, etc.

8 Legacy Transport Network A View of Backhaul Networks Today Legacy = Non-packet RAN and Non-packet transport PDH / SDH Transport Network Legacy RAN BSLegacy RAN NC PDH circuits SDH circuits

9 Packet off-load to Carrier Ethernet Network – Use Case 1a Mobile data traffic off-loaded to Carrier Ethernet Network using emulation technologies PDH / SDH network continues to transports voice and deliver clock synchronization Carrier Ethernet Network (Data traffic) GenericInterworkingFunctionGenericInterworkingFunction UNI RAN BS RAN NC Legacy PDH circuits PDH / SDH Network (Voice traffic) SDH circuits

10 Emulation over Carrier Ethernet Network – Use Case 1b RAN nodes with PDH interfaces –Transport all traffic over Carrier Ethernet network via emulation technologies GenericInterworkingFunctionGenericInterworkingFunction Carrier Ethernet Network (All traffic) UNI RAN BS RAN NC Legacy PDH circuits

11 RAN with PDH and Ethernet Interfaces – Use Case 2a RAN BS RAN NC Legacy Eth/IP UNI Carrier Ethernet Network (Data traffic) RAN BS/NC equipped with Ethernet UNIs and PDH/SDH interfaces PDH/SDH network continues to transport voice and deliver clock synchronization Carrier Ethernet network for mobile data traffic off-load PDH/SDH Network (Voice traffic) PDH circuits SDH circuits

12 All Ethernet – Use Case 2b New RAN nodes with Ethernet interfaces All traffic transported over Carrier Ethernet network RAN BS RAN NC Eth/IP UNI Carrier Ethernet Network

13 Carrier Ethernet Transport Network for Mobile Backhaul and Wireline services

14 Network and Service Convergence Convergence of wireline and wireless transport networks for triple and quad play operators –Network Abstraction Layer End-to-end MEF service definitions MEF service definitions are agnostic to the transport or access network technology used to deliver them –Enables migration to hybrid networks and data off-load models Mobile operators require cost-effective, simple service provisioning and network operations –Base Station re-hosting to different Network Controllers based on changes in radio coverage plan Base stations moved to home into different BSC/RNC –Re-hosting changes made through provisioning from NOC Eliminates need for truck rolls to thousands of cell sites !

15 OSS Integration, OAM and Provisioning - MEF specifications integrate multiple OAM standards IEEE 802.3ah Link OAM –Verify first mile link connectivity IEEE 802.1ag Connectivity Fault Management –Verify end to end connectivity –Loopback and Link Trace ITU-T Y.1731 –Framework for performing fault management end-to-end or at intermediate points in the network MEF 10.1 Technical Specification –Defines Frame Delay, Frame Delay Variation, Frame Loss Ratio –Measure service performance for SLAs Ethernet OAM provides end-to-end abstraction layer –Network OSS integration planning –Simplified operations procedures

16 Mobile Backhaul Implementation Agreement UNI Requirements –Ethernet OAM for Fault Management –Automated Provisioning (LMI) –Link Protection and Fault Recovery Requirements –Bandwidth Profiles EVC Service Requirements –CoS Requirements –Service Performance (Delay, Loss) –Connectivity Service Types –Traffic/Service Separation –Clock synchronization RAN NC RAN BS Carrier Ethernet Network UNI EVC The MEF Implementation Agreement provides guidelines for deploying Carrier Ethernet in mobile networks

17 Summary Carrier Ethernet enables mobile operators to migrate their backhaul networks from TDM to packet transport –At their own pace driven by their individual business priorities Carrier Ethernet facilitates the convergence of wireline and wireless backhaul –Over a common transport network infrastructure The MEFs Mobile Backhaul Implementation Agreement provides: –Guidelines for mobile operators on how to architect a service model for Carrier Ethernet networks for mobile backhaul applications