FORUM ON NEXT GENERATION STANDARDIZATION

(Colombo, Sri Lanka, 7-10 April 2009)

Evolution of NGN infrastructure for

Multi-media applications & FMC

Ashwani Kumar
Director, Sales Engg
UTStarcom, India

Colombo, Sri Lanka, 7-10 April 2009

 Agenda
• Global Trends
• NGN & Convergence
• Converged Network Architecture
• NGN Advanced Services Architecture
– SIP Based Multimedia SoftPhone
– Unified Centrex
– Continuity FMC Solution
– Video Conferencing
• Case Study- PSTN to NGN Migration

Colombo, Sri
 Global Trends
Technology Trends
• Networks are moving towards end-to-end IP to support faster and higher BW services
• Converged Transport to provide robust high BW link between application and user
• New Wireless technologies are delivering service to remote regions
• Broadband is replacing dial-up to provide high speed access
• NGN Core being deployed to support multimedia services
• Fixed Mobile Convergence promises seamless connectivity regardless of location
• IPTV is enabling new multimedia applications over Broadband now

Market/Industry Trends
• Convergence of communications & entertainment - Voice, Data, & Video
• Aggressive growth of broadband subscribers globally
• Increasing need for higher end-user bandwidth-for Multimedia Services
• Transition from network-centric single services to subscriber-centric offering

Services Value chain

• Service Bundling - Basic Voice-driven to multimedia service-driven business model
– Basic services- Voice, Internet access
– Value Added services- VMS, SMS, UMS, CRBT, IM, Presence, LBS
– Multimedia Services – IPTV, IP Surveillance, Video Conferencing

Colombo, Sri
 Convergence
happening everywhere &
traditionally isolated markets are overlapping
Media

Voice
Data Multi-Media
Information Broadcast
Communication Convergence
Entertainment Telecom Internet
Industry/Service Electronic Network
Computer
Home App.
Terminal
Terminal
•IP based
Network •Heterogeneous environment
•Ubiquitous

Convergence in Service
•Continuity of services & content
•Broadband based
Telecommunications •Supporting mobility

•Convergence faculty
Terminal •Smart facility
•User friendly interface

Colombo, Sri
 NGN Concept
• NGN is a concept for defining & deploying networks, which due to their
formal separation into different layers & planes and use of open interfaces,
offers service providers a platform which can evolve in a step-by-step
manner to create, deploy & manage innovative services.
• NG Architecture : Service oriented, layered (transport, control,
application)
• NG Services : Converged (quad play- voice, data, video & mobility)
• NG Access : High speed (Broadband) IP based connectivity
(ADSL,VDSL, WiMax, Cable TV, FTTH)
• NG Transport : Ethernet, IP-MPLS, RPR, T-MPLS
• NG Mobile : 3G+, 4G
• NG Internet : IPv6
• NG Interconnect : Capacity and Quality based
• NG Licensing : Unified, Converged

Colombo, Sri
 NGN Converged System Architecture
NMS OSS

VAS SCP OSA Parlay Parlay API

3rd party AS
Servers (IN&CAMEL) Gateway based AS
Service Layer
SLR (VLR/HLR) Pre-paid Server SoftSwitch
Control Layer Call Servers

Core Switch Managed IP Network

AMG iMS iUMG SGW TMG CDMA2000

WiMAX
Gateway Layer IP Access
GW

IP phone/IAD/IP TV Console PHS

PBX
BSC
ASN

PSTN/PLMN BTS
BS
POTS/DSLV5 AN &
IN(CAMEL) CPE

Unified Core Network Solution for all Voice Applications

Colombo, Sri
 NGN Advanced Service Architecture
IN/CAMEL

 Pre-paid  FMC  iNumber  Short Message

mService
 Standard IN/CAMEL
Services
 Calling Card  Calling Card  iSecretary  MCN
 Toll Free  Video Call  VPN  Location Service
 Voice Mail  Video Conference  Mail Service
 Instant Message  ……  C-Mode
 …... Parlay  ……
External SCP UT iSCP
SIP AS Gateway VAS Server

CAP/INAP SIP/SIP-T SIP/SIP-T

HTTP/SNSP
CAP/INAP
NMS
SLR
CS-P
Core Switch
Network
M3UA M2UA iUMG OSS
IUA
SG H.248

ISUP/PRI
ISUP/PRI
IP-TK
PSTN/PLMN H.323 SIP/SIP-T
2G/3G Network
mSwitch
H.323 Network Network
SIP Network

Colombo, Sri
 Advanced Multimedia Services

SmartPhone (UTSmart) SIP Based Multimedia SoftPhone

Unified Centrex
Continuity FMC (Fixed/Mobile Convergence) Solution
Conferencing- Voice, message, multimedia
Video Calling & Video Conferencing
iNumber- Find me Follow me
CRBT
Unified Messaging- Voice, Email, Fax, Video
Quadruple Play- Voice, Data, Video & Mobility
Voice over Broadband
Presence & IM
PSTN Emulation Services

Colombo, Sri
 Smart Soft Phone

Support on Microsoft Windows 98/2000/XP

Embedded SIP soft phone for voice and video calls
Voice codec – G.711a, G.711u, G.729
Video codec – MPEG4, H.263
Phone address book
Friendly GUI for service activation and deactivation
Automatic update of call records for call history
Auto answer and voice message recording/replay
SMS support from/to NGN/PLMN/PSTN subscribers
Security with password protection (MD5)
Multiple call server configuration
Support of automatic upgrade from HTTP server

Colombo, Sri
 Enterprise Access Solution
Unified Centrex
Centralized mService
Center
Enterprise Access solution:
Multi-Access based solution for Enterprise iWAC AS
customers
One System Virtually support multi Parlay API
Enterprise Users. Parlay Gateway
Wide Area Centrex supports multi-site Provisoning
offices of one Enterprise Customer. Center

Mixed Centrex Group (NGN user, PBX and

mobile Centrex) [In Roadmap] PSTN
IP Phone/PHS Phone (as well future’s other IP Core
Wireless Access Terminals) Roaming among
ISUP
different office
SoftSwitch1 SoftSwitch2 SoftSwitch3

PRI
PBX SH
Centrex BJ Centrex SZ Centrex HZ

03xxxx 04xxxx 05xxxx 06xxxx

Colombo, Sri
 FMC-Business Drivers
• Many households today have at least one cell phone.
– In these households estimated 60% of long distance calls and 36% of local calls
take place on mobile phone at home (Yankee Group)
• 14% of users use cell phones as their primary line (Yankee Group)
– Additional 26% of users are ready to switch as in-building coverage improves
• Over 50% of users place mobile calls when they are at home or office
(Wireless Review)
– WiFi exists or can be supported in both places
– Traffic on mobile network has been increasing causing QoS problem and hence
subscribers’ churn
– Pressure to reduce tariff for voice services
• “Fixed” broadband availability is growing at a rapid pace - double digits in
most cases CALL
FAILED
– VoBB provides new revenue stream for Service Provider, and also PLEASE
give a low cost alternative to carry mobile voice traffic TRY
AGAIN!
– Leverage low fixed line asset cost to support the mobile voice application
• Users need to access services seamlessly regardless of their
location, active device or the network access method
• Lower CAPEX, Lower OPEX, Higher coverage and quality

Colombo, Sri
 Driving Forces

• Consumers like mobile phones

– And all of them are not using just for mobility
– In >50% cases used for portability, not mobility.
• Consumes demands low cost for voice
• Broadband is getting widely deployed
– Voice over broadband is not only new revenue stream for SP, but also
the low cost alternative to carry mobile voice traffic
• Leverage low fixed line asset cost to provide the mobile voice
application
– Lower CAPEX, Lower OPEX, Higher coverage and quality

=> Fix Mobility Convergence

Colombo, Sri
 With FMC, users can access the best available service whether they have
mobile coverage (e.g. GSM, CDMA),
Wi-Fi/fixed-line coverage (e.g. Wi-Fi SIP over broadband)
or a combination of both.

Office

IP CORE

802.11/WiFi

PSTN/SS7
NETWORK

Mobile IP CORE

WiFi/GSM MOBILE
NETWORK
Home
Dual Mode
PHONES

Public
802.11/WiFi

Colombo, Sri
Continuity - Fixed Mobile Convergence
• CS (Call Server)
• SG (Signaling Gateway)
FIXED / WIRELINE • SLR (Subs Location Regiser) MOBILE
NETWORK • PSC (Processing Server for CDR) NETWORK

EXISTING HLR /VLR

SOFTSWITCH

MAP over SS7 SS7

MSC
EXISTING NETWORK
MEDIA GATEWAY

PSTN/PLMN
NETWORK

WiFi/GSM
Inter-Roaming between WiFi/GSM
Dual Mode Handset
WiFi domain and mobile network Dual Mode Handset

Colombo, Sri
 Solution fit for different Operators

• MNO (e.g. Cingular, Sprint)

– Improve the mobile coverage with low cost WiFi- Residential / Enterprise / Public
hotspot
– Partner with Cable/Fixed Op to offer total package- Triple or Quadra-play
• NGN Operator (e.g. Vonage)
– Enhance their current offerings with mobile capability
– Partner with MNO as whole sell (MVNO) or roaming
• Integrated Service Provider (e.g. Brazil Telecom)
– In-house Mobile and Fixed line operation
– FMC allows them to use fixed line infrastructure to offer mobile service
– The combined infrastructure provides lower OPEX ratio comparing with pure MNO
• Cable Operators (e.g. GCI, Comcast)
– Partner with MNO to offer FMC
– Natural extension from Triple-play to Quadra-play – Voice, Data, TV/Video, Mobile
• FMC-Enabler (e.g. VeriSign)
– Host equipment and provide FMC backend capability to other NGN, MNO operators
– Work with multiple small/tier 2/3 operators – Don’t acquire FMC subs directly

Colombo, Sri
 FMC Solution Advantage –
Service Provider Perspective
• Converged service infrastructure by consolidating the voice services between the
fixed and mobile networks
– Mobile coverage (GSM, CDMA) – Offering mobility, convenience and ubiquity
– Wi-Fi SIP over broadband – Offer better quality, lower cost and feature rich capabilities
• Enhancement of Service Quality
– Stimulates the new service opportunities to increase ARPU
– Capability to quickly include value added services - VMS, SMS, CRBT, FMFM, Centrex..
– Provides the service differentiators and creates the service stickiness to lower the churn
rate
• Reduction in CAPEX/OPEX
– by offloading the traffic from cellular to WLAN and spending less on infrastructure
buildout
• Single set of user credentials
– Using GSM IMSI method authentication for both networks simplifying the user
management
• System Reliability and Scalability backed by Real Deployment
– Based on the proven NGN (mSwitch) platform (and its IP core)
– The single mSwitch solution implementation serves over 2.1 m subscribers
• Architecture compliant with 3G/IMS
– Future-proof via open standards

Colombo, Sri
 FMC Solution Advantage-
User Perspective
• FMC enable users to access their voice and data services transparently,
regardless of their location, device, or network-access method
• ‘One Number’ and ‘One Phone’ service
• WiFi SIP or GSM/CDMA coverage
– The user will be able to initiate and terminate calls at any place
• Seamless Roaming
– The user will have non-interrupted call sessions when moving from one network to
another
• Uniform and consistent service accessibility & behavior independent of
access
– especially attractive for enterprise users to extend corporate VPN to cellular
networks.
• Reduced monthly charges & convenience of a single bill
– Simplified and Unified service plans and payment schemes.
– A single always reachable phone number (Option for dual number)
• Availability of new services
– e.g. IM, Unified VM, SMS, Unified phone book, CRBT….

Colombo, Sri
 FMC Value Proposition

Value Consumers Enterprises

Price √ Reduce/Simplify monthly bill √ Consolidate/Reduce service plans for
√ Free WiFi Calling better volume
√ Route calls free via PBX/VPN

Convenience √ Simplified service plan √ Single always-on number

√ Same number everywhere √ Same phonebook everywhere

Quality √ No more missed calls when out of range

√ No more garbled or dropped calls inside buildings

Advanced √ IM everywhere √ Mobile desktop

Features √ Instant conferencing √ Abbreviated dialing everywhere
√ Fast music downloads √ Fast file transfer everywhere

Service providers can now:

• Reduce churn by providing single number NGN & wireless service to customers
• Increase stickiness through advanced services
• Generate new revenue through supporting roaming agreements
• Future-proof via open standards
• Maintain a single cost-optimized network infrastructure

Colombo, Sri
 No Impact to Existing Networks

• To Existing NGN Networks:

– A functional module addition to the existing SoftSwitch and backend application
• Able to use the existing NGN for call processing and routing
– Normal NGN users are still served by existing infrastructure
• Zero impact of the FS addition
– All (home/visiting) FMC users will be served by the FMC-FS
• Registration, authentication, roaming, call processing, handover
– FMC-FS requires access to FMC user profile data
• HSS (Home Subscriber Server) model of IMS

• To Existing GSM Networks:

– GSM Homed FMC users appear to be regular GSM users
– NGN Homed FMC users appear to be visiting GSM users
– FMC-FS uses standard roaming Interface to the GSM Network

Colombo, Sri
 Video Conference Service
Centralized mService Video Conference Service:
Center  Multiple types of conference
Conference AS  Multiple conference reservation methods
 Automatic notification to conference
Parlay API participants
Parlay Gateway  Rich set of conference management and
control functions

mSwitch SIP SLR mSwitch SIP SLR

Domain 1 Domain 2

CS-P CS-P

ISUP ISUP
iAN8000
iAN8000

PSTN/PLMN

Colombo, Sri
 PSTN to NGN Migration Case Study
Background
• A leading tier 1 carrier in Philippine
– Owning 2m fixed & 22m GSM mobile customers as of Q2 2006
• A public company listed in NYSE
– Total market cap of US$7.8B as of Sept 2006
– Total revenue US$2.5B in last 4 quarters
– EBITDA US$1.6B in last 4 quarters
– Operating margin 37%
• A fast growing service provider in Asia
– Provides fixed line, GSM mobile and broadband data service to both residential and enterprise
customers
Problem Statement
• How to sustain and grow the fixed line service?
– Lots of population without telephone service
– Lots of business users demand more service
• How to increase the ARPU leveraging NGN/IMS?
– IPTV? FMC? Triple-play? Quadrupled-Play?
• How to lower the OPEX?
– Real estate expense in the big metropolitan area?
– Power consumption?
– Human resource required for operation?
• How to manage EOL/EOS of the aged TDM switches?
– The cost of maintaining is unbalance with the cost of buying new

Colombo, Sri
 UTStarcom Solution
• PSTN Emulation Subsystem – PES
– Provide services to green-field customers
– Replace the existing TDM switch – total 7 models in place
• mSwitch as the core
– SoftSwitch + Gateways + Backend office applications
• iAN8000 as the access
– Combination of DSL, DLC and VoIP AG
• Foundation for FMC and IPTV in the future

• Phase 1: Started with 150K NGN lines capacity

– Network installation and migration planning for 3 months
– First TDM switch replacement/migration in March 2006
– Adding customer via both old switch migration and green
field expansion
• Service extension to Centrex
– Targeting under served enterprise customers
• Phase 2: Network expansion to total of 500K NGN lines
– Contract signed in later 2006
– Network fully deployed
• Phase 3: Planning for total of 1.5M NGN lines in 2008
• Total 5m NGN lines planned in next 3 – 5 years
• 150+ CO sites replaced by 3 NGN SS sites

Colombo, Sri
 Migration Benefits
• CAPEX Savings
– Central Office (CO) consolidation
– Simpler network with fewer types and pieces of equipment
• OPEX Cost Savings- 80%
– Operation and Maintenance cost reduction
• Reduced power consumption- 94% (Reduced air-conditioning requirements)
• Faster provisioning of services

• Floor Space Savings- 92%

– Reduced space requirements
– Consolidation of cabinet areas
• Improvement in “time-to-market” for new services- 90%
– Faster introduction of new services
– Increase in Revenues
• EOL management
– End of support to critical TDM components- High cost of vendor support
– Stop manufacturing of components
– Salvage components to support in-house repair of modules when they run out of
spares.

Colombo, Sri
 Blueprint of One Real CO Space
Reduction

6 x 34 =204 ft2

48 x 29 =1392 ft2

Total Space= 1392+209+24= 1625 ft2

Total Saving in One CO =1421 ft2

19 x 11 =209ft2

6 x 4 =24 ft2

Colombo, Sri
 Greatest Experience: Cut-Over
Procedure

• IP, NGN, and PSTN inter-connect infrastructure configured and tested

• AGs installed, wired on MDF, configured, and qualified
• Migration of Digital Loop Carriers
– Retrofitting the access gateways in existing DLC cabinet
– Consolidation of cabinet areas
• Sample subscriber data populated, provision ADSL Sub
• Number migration set up and tested for lines and trunks
• Bulk sub data migrated and tested again for all features and billing
• MDF- isolation pin switched so that sub lines are switched from legacy switch
to AGs (a couple of minutes)
• PSTN tandem switches re-route traffic from legacy switch to NGN C4 (1
minute)

Colombo, Sri
 Thank You

This presentation is provided by UTStarcom for planning purposes only. Changes in market conditions
and/or other changes in circumstances, can affect the assumptions upon which this presentation was
based or otherwise impact the contents of this presentation and therefore such contents cannot be
guaranteed and are subject to change at any time without notice. Nothing contained in this
presentation shall be deemed to create, modify or supplement any commitments or warranty made by
the company, whether expressed, implied or statutory, in connection with the products, technology
and/or services referenced herein.
*Some features may require addition development and may not be ready for immediate
implementation.

Colombo, Sri
 iNumber – Find Me Follow Me
Centralized mService  iNumber is UTStarcom solution name for
Center Find-Me-Follow-Me service
 Subscriber registers one number as a
iNumber App. master number
 Then associates other numbers to the
Parlay API master number- home, office ...
 Whenever the master number is called, the
Parlay Gateway system will ring sequentially all the numbers
Provisoning
Center
 Flexible number bundling among SIP user,
PSTN POTS, PLMN MSISDN etc.
 Dial one number to reach all the bundled
number
 Support sequential and simultaneous ringing
mSwitch SIP SLR mSwitch SIP SLR options
Domain 1 Domain 2  Activated/deactivated through web/IVR

CS-P CS-P

ISUP

iAN8000 iAN8000

PSTN/PLMN

Colombo, Sri
 CRBT

User web
portal/OSS NMS
OSS

CRBT media
library TS
(SLR, PSC) PSTN
PSTN
CRBT 2

media/signaling
server
NFS 1
5
CS-P/iUMG #1

UT CRBT
Suite 3

NGN
NGN
Access
Access

Colombo, Sri
 Sri Lanka Scenario
• Population– 20 million
• Tele density ~ 50%.

Service provider Type of Subscribers

services
SLT Wire line, CDMA PSTN – 1.35m CDMA ~ 700k
Dialog GSM, CDM 5m
Suntel WLL 700k
Lankabel WLL 1m
Mobitel (SLT GSM) GSM, HSPA 1.5m
Tigo GSM 800k
Hutch GSM 700k

Competition remains intense but rational. Strict profitability focus in Operators.

All Operators considering NGN deployment and have issued RFP/Tenders

NGN market in Asia provides a potential for a cumulative operator capex

opportunity of approx. $3.9B* over 2007-2010 and $0.9B* in 2008

Colombo, Sri
* Based on forecast provided by Infonetics Research in Nov 2007
 NGN Market Drivers

• TDM switches facing EOL or reaching capacity saturation

• Explosive growth in Internet traffic
• Intense competition
– Telco vs. Cable vs. Satellite vs. Wireless vs. NGN
• Need for Improved Business Model
– OPEX savings and top-line revenue growth
– Need for Service Differentiation
– Ease in offering new services (VoIP, IPTV, FMC)
• Time-to-market and ability to provision services quicker
• Integration of network resulting in huge network cost savings

Colombo, Sri