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Data Offload Approaches For Mobile Operators
Data Offload Approaches For Mobile Operators
Data Offload Approaches For Mobile Operators
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Table of contents
1. Data Traffic Challenges And The Need For Data Traffic Offload 2. Data Traffic Offload Options 3. Comparison Of Data Offload Solutions 4. Recommendations To Manage Mobile Data Offload 5. Conclusion 03 04 11 12 12
The popularity of video, social media and Internet gaming across a range of new devices such as smartphones and tablets has created a surge of network data traffic. Device to device connectivity commonly referred to as M2M will give rise to a new universe of applications that will further stress network capacity. In the next three years alone, data traffic is expected to grow tenfold creating a tremendous capacity crunch for operators. While data revenues are expected to only double during this period creating a huge monetization gap1. Therefore, telecom operators need to constantly review their data traffic patterns and implement traffic offloading mechanisms that can help them manage their network load and capacity more efficiently. In addition, the rise of OTT players who are capturing a growing share of the value of the data that flows over the network, combined with declining Telco margins, stipulates that all this should be done in a more cost efficient manner. This paper describes various data offload strategies and considers the challenges and benefits associated with each of them.
Data traffic challenges and the need for data traffic offload
Due to the rapid growth of smartphones and tablets, data traffic on the networks is on the rise and mobile connections are expected to reach the 7.4 billion mark by 2015 surpassing the global population2. The popularity of data guzzling applications, social networking, video and online gaming will further drive data consumption creating tremendous strain on the networks. Next-generation network deployments promise to deliver higher bandwidth and speed but they also introduce new challenges for service providers such as a high cost of deployment and operations. The cost of delivering data continues to rise more rapidly than revenues, and is expected to grow seven fold from $53 billion in 2010 to reach $370 billion (USD) by 2016.3 Some of the levers that operators have at their disposal to better manage their networks include: However, their incremental revenues are not commensurate with the increase in data traffic. Hence, operators need to focus on core and access network investments only in those areas that offer the strongest potential returns.
Transactional
Load Management.
devices, it is important for operators to keep the signaling and transactional load to a minimum, so that bandwidth is optimized. In addition, data traffic patterns depend upon the type of device, its form factor, time of the day, type of application and even the density of users in a particular location. For devices, the largest data consumption spread is for 3G routers, falling in the range of 1-16 GB per month. Even for PCs, the variation is large, in the 1-7 GB per month range, followed by tablets at 300-1600 MB per month and mobile phones at 30-230 MB per month, while M2M average volume traffic is below 10 MB per subscription4. All these factors combined with the increasing device diversity makes network
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capacity planning and load management even more complex. In order to optimize the usage of the network elements and the traffic flow, mobile data offload solutions that can enable the optimum utilization of network resources are required. Data traffic offload can help operators reduce the traffic on their radio spectrum lowering the operating load on base stations. It also provides an opportunity for service providers to charge users for offload solutions such as small cells, while helping customers reduce their usage costs by offloading data to alternate networks. According to ABI Research, in 2010, about 16% of mobile data was diverted from mobile networks; this is expected to grow to 48% by 2015. Since, data offloading can help operators avoid signal choking and revenue loss, it is emerging as one of the best options to manage network capacity and load. A robust data offload solution can provide telecom operators with the flexibility to control data flow across the network based on traffic patterns, class of service and type of customers enabling a better quality of service. In addition, users can also have the flexibility to control the data traffic that they wish to offload based on the type of applications, their location or service type, helping them manage their data allowances better. In the subsequent sections, we will discuss various data offload solutions.
WLAN Controller
To Other Unified Access Network Ring 4G LTE EPC MME / SGW/ PGW
ER
Wi-Fi Hotspot AG
ER
M2M Gateway
SGSN
IOGW
M2M Devices
Femto Gateway
Internet
GGSN
AG - Access Gateway
ER - Edge Router
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Wi-Fi Hotspot
Wi-Fi is a low cost, easy to install solution that can help operators manage data traffic growth at reduced costs. The demand for Wi-Fi technology in mobile networks will continue to grow over the coming years as Tier-1 Telecom vendors upgrade their Wi-Fi portfolio. The key advantage of Wi-Fi hotspot is that they operate over unlicensed spectrum. In addition, building Wi-Fi hotspot is easier and cost effective than large network deployments and upgrades. However, as the coverage of a Wi-Fi hotspot is limited, its effectiveness depends upon the duration for which the user remains in the coverage area. The longer a user stays in Wi-Fi coverage area greater the benefits are of data offload. The number of Wi-Fi hotspots is increasing across the world and many enterprises are setting up their own. In addition, a number of operators have already rolled out Wi-Fi hotspot solutions. For instance AT&T has forged partnerships with public and private entities to offer Wi-Fi services across thousands of locations.
Figure 2 depicts the data flow in a Wi-Fi hotspot solution. Data offloading can be initiated in two ways. First, it can be accomplished by the operator based on the type of data flow. Secondly, it can be initiated by the user to reduce subscriber utilization charges.
WLAN Controller
To Other Unified Access Network Ring 4G LTE EPC MME / SGW/ PGW
ER
1 Wi-Fi Hotspot AG
ER
M2M Gateway
SGSN
IOGW
M2M Devices
Femto Gateway
Internet
GGSN
AG - Access Gateway
ER - Edge Router
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WLAN Controller
To Other Unified Access Network Ring 4G LTE EPC MME / SGW/ PGW
ER
Wi-Fi Hotspot AG
AG
ER
AG
M2M Gateway
SGSN
IOGW
M2M Devices
Femto Gateway
Internet
GGSN
AG - Access Gateway
ER - Edge Router
Figure 3: Mobile Data Offload Using LTE Small Cells and Relay Nodes
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WLAN Controller
To Other Unified Access Network Ring 4G LTE EPC MME / SGW/ PGW
ER
Wi-Fi Hotspot AG
ER
M2M Gateway
SGSN
IOGW
M2M Devices
Femto Gateway
Internet
GGSN
AG - Access Gateway
ER - Edge Router
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Direct Tunneling
In the direct tunneling method, data flow in a 3G network flows from the base station to the radio network controller (RNC), GGSN and then directly to the Internet avoiding the SGSN network element. This implies that service providers utilizing this offloading solution would require much lesser SGSN nodes, which would result in reduced capital and operating expenses. Figure 5 below explains explains the data flow in the direct tunneling approach.
WLAN Controller
To Other Unified Access Network Ring 4G LTE EPC MME / SGW/ PGW
ER
Wi-Fi Hotspot AG
ER
M2M Gateway
SGSN
IOGW
M2M Devices
Femto Gateway
Internet
GGSN
4 Direct Tunnel
AG - Access Gateway
ER - Edge Router
08
WLAN Controller
To Other Unified Access Network Ring 4G LTE EPC MME / SGW/ PGW
ER
Wi-Fi Hotspot AG
ER
Intergrated Femto WiFi To Other Unified Transport Ring BRAS / BSER 5 IOGW
M2M Gateway
SGSN
M2M Devices
Femto Gateway
Internet
GGSN
AG - Access Gateway
ER - Edge Router
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M2M Gateway
With M2M devices gaining momentum, operators should start looking at offloading the data content from these devices through a dedicated M2M gateway to reduce the strain on their core networks and improve operational efficiency. In this solution, M2M devices get connected to the unified access network ring either through macro, small cell or W-Fi wireless networks or through a wired access M2M gateway. Figure 7 explains the data flow from M2M devices to the internet. The M2M gateway connects the M2M devices and the operators wireless and wireline networks. The M2M gateway also provides localized value added services and acts as a proxy for device management. The converged M2M gateway reduces the signaling load on the core network and helps manage mobility and session control. M2M traffic routing capabilities can be built into a service delivery platform providing intelligent offload decisions based on the traffic patterns. M2M networks will overlay with the existing 3G/LTE network and enable operators to selectively offload the data from different devices.
WLAN Controller
To Other Unified Access Network Ring 4G LTE EPC MME / SGW/ PGW
ER
Wi-Fi Hotspot AG
ER
Intergrated Femto WiFi 6 M2M Gateway To Other Unified Transport Ring BRAS / BSER SGSN IOGW 3G Radio Network Controller
M2M Devices
Femto Gateway
Internet
GGSN
AG - Access Gateway
ER - Edge Router
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ADVANTAGES
CHALLENGES
OPERATOR BENEFITS
WiFi Hotspot
w Security challenges
w Increases coverage and capacity w Easy to install and manage w Low Power consumption
w Interference migration w Security w Integration challenges w Spectrum scarcity w Interference Management w Security
w Faster deployment
w w w w
Lower Opex and Capex Lower power consumption Easy to install and manage Improved Service Performance
Direct Tunneling
w No additional management
system
w Spectrum scarcity to
support many devices
w Management of multiple
devices on the network
M2M Gateway
w Reduces interferences
Figure 8: A comparative analysis of the various data offload options, Source: Wipro Technologies
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Conclusion
It is quite evident that service providers are struggling to manage the data traffic explosion. There are already many commercially available offloading options such as Wi-Fi offload, Internet offload gateway and direct tunneling that can help address the immediate needs of the operators. However, data traffic is expected to continue to grow and to manage this growth efficiently, it is extremely important that operators start evaluating their capacity and networking requirements now. Operators should also start planning for network upgrades, and develop a roadmap for deployment and roll-out of LTE small cells / relay nodes and integrated Femto Wi-Fi solutions to address their medium to long-term needs. As the number of M2M devices is expected to skyrocket in the coming years, it would be ideal for operators to also plan for M2M gateway, an overlay network to offload the data traffic. Service providers must also note that different types of offload solutions will continue to co-exist, therefore they need to carefully evaluate each of these options, or a combination of these based on their requirements, customer demographics and business objectives. A successful offload strategy will not only help operators minimize capital and operating expenditures, but also heighten quality of service while improving customer experience.
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Glossary
OTT: Over The Top M2M: Machine To Machine GGSN: Gateway GPRS Support Node SGSN: Serving GPRS Support Node IOGW: Internet offload Gateway RNC: Radio Network Controller 3G: 3rd Generation LTE: Long Term Evolution/ 4GLTE CAPEX: Capital Expenditure OPEX: Operating Expenditure
References / Citations
1. Ericsson report 2. computerweekly.com/news/2240105255/Smartphones-and-tablets-drive-mobile-data-traffic-up-23-says-Gartner 3. http://www.juniperresearch.com/viewpressrelease.php?pr=254 http://www.ericsson.com/res/docs/2012/traffic_and_market_report_june_2012.pdf 4. http://insaviewpoint.blogspot.in/
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