1
CDMA450 status in Russia and experience of promoting
BWA on the base of EV-DO technology in SkyLink
Konstantin KolomenskyNetwork Development DirectorDELTA Telecom (SkyLink-St.Petersburg)
ITU/BDT Regional Seminar on Broadband Wireless Access (BWA)
for CIS, CEE and Baltic CountriesMoscow (Russian Federation), 26-29 November 2007
Contents
� Current status of SkyLink networks� EV-DO: results of commercial operation� Mobile Internet: marketing study results � Nearest future: Rev.A and dual band network
in 450/2100 MHz� Conclusions
2
• Current status of SkyLink networks
4
МурманскМурманск
ПсковПсковНовгородНовгород
АрхангельскАрхангельск
ВологдаВологдаТверьТверьСмоленскСмоленск ЯрославльЯрославль
КостромаКостромаИвановоИваново
ВладимирВладимир
МоскваМосква
БрянскБрянск ТулаТула
КалугаКалуга
РязаньРязаньОрелОрелКурскКурск
БелгородБелгород
ЛипецкЛипецк
ВоронежВоронеж ПензаПензаПермьПермь
ЕкатеринбургЕкатеринбург
СаратовСаратовВолгоградВолгоград
РостовРостов
ОренбургОренбургЧелябинскЧелябинск
ТюменьТюмень
ОмскОмск
НовосибирскНовосибирск
ТомскТомск
ИркутскИркутск ЧитаЧита
ХабаровскХабаровск
ВладивостокВладивосток
ПаланаПалана
АнадырьАнадырь
КраснодарКраснодар
БарнаулБарнаул
КрасноярскКрасноярск
НорильскНорильск
КалининградКалининград
СамараСамара
УльяновскУльяновск
СанктСанкт--ПетербургПетербург
КировКиров
КурганКурган
КемеровоКемерово
МагаданМагаданПетрозаводскПетрозаводск
СыктывкарСыктывкар
ТамбовТамбовИжевскИжевск
УфаУфа
СалехардСалехард
ГорноГорно--АлтайскАлтайск
УланУлан--УдэУдэ
КызылКызыл
ТураТура
ДудинкаДудинка
БиробиджанБиробиджан
БлаговещенскБлаговещенск
ПетропавловскПетропавловск--КамчатскийКамчатский
ЮжноЮжно--СахалинскСахалинск
ХантыХанты--МансийскМансийск
SkyLink networks under commercial operation SkyLink networks under commercial operation
SkyLink networks to be launched in Y200SkyLink networks to be launched in Y20088
SkyLinkSkyLink’’ss license territory license territory
CDMA450 networks under commercial operation (nonCDMA450 networks under commercial operation (non--SkyLink)SkyLink)
Today SkyLink offers voice and data services in 31 regions of Russian Federation
Якутск
АбаканАбакан
МахачкалаМахачкала
ВладикавказВладикавказ
ГрозныйГрозный
СтавропольСтаврополь
НальчикНальчикЧеркесскЧеркесск
АстраханьАстрахань
ЭлистаЭлиста
НН..НовгородНовгород
КазаньКазаньЧебоксарыЧебоксары
3
5
Subscriber base distribution
0%
1%
1%
2%
2%
3%
3%
4%
4%
5%
Tver
Krasnodar
Vladikavkaz
Izhevsk
Voronezh
NizhniyNovgorod
Omsk
Novosibirsk
Murmansk
Vladimir
Rostov
Kaluga
Khabarovsk
Kuzbas
Ryazan
Uliyanovsk
Percent of total subscriber base
0% 5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
Moscow
St.P
etersburgO
ther regions
Percent of total subscriber base
6
AR
PU
distribution
0 10 20 30 40 50 60 70
Moscow
St.Petersburg
Tver
Krasnodar
Vladikavkaz
Izhevsk
Voronezh
NizhniyNovgorod
Omsk
Novosibirsk
Murmansk
Vladimir
Rostov
Kaluga
Khabarovsk
Kuzbas
Ryazan
Uliyanovsk
ARPU (USD)
4
• EV-DO: results of commercial operation
8
2003 2004 2005 2006 2007 2008 2009 2010 2011
CDMA 1XEV-DO
1X
EV-DO Rev A
EV-DO Rev B
VoIP
Moscow, St.Petersburg, Dec. 2005
Ekaterinburg, Saratov, Chelyabinsk, Kaliningrad
+ 17 regions during the year 2007
CDMA2000 1x EV-DO Revision 0 (Rev.0) – up to 2,4 Mbps in FL, up to 307,2 Kbps in RL.CDMA2000 1x EV-DO Revision A (Rev.A) – up to 3,1 Mbps in FL, up to 1,8 Mbps in RL. Support of QoS. CDMA2000 1x EV-DO Revision B (Rev.B) – up to 4,9 Mbps at single 1.25 MHz band. Composing 1.25 MHz frequency bands up to 20 MHz, up to 78 Mbps in FL.
SkyLink technology roadmap
5
9
EV-DO coverage of Moscow and Moscow region
Light green: outdoorLight green: outdoor
Dark green: indoorDark green: indoor
10
EV-DO coverage of St.Petersburgand Leningrad region
EV-DO Indoor Coverage
1x/EV-DO Outdoor Coverage
1x Indoor Coverage
6
11
Beginning of offeringEV-DO services with only
one handset available(Ubiquam U300)
20032002 2004 2005 2006 2007
CDMA450 modems supporting EV-DO
have become available only since Q2 2006
CDMA450 terminals for SkyLink networks
12
Handsets supporting EV-DO
Ubiquam U-300 Ubiquam U-520
7
13
Modems supporting EV-DO
Um-300
ADU-310A
AnyData
ADU-300A
ADU-E100A
CMOTech
CNU-550
CNU-550PRO
Ubiquam
14
00
RUB 2.90 ~ USD 0.12RUB 2.90 ~ USD 0.12
RUB 2.00 ~ USD 0.08RUB 2.00 ~ USD 0.08
00
Data traffic included, MBData traffic included, MB
Monthly fee,Monthly fee,
Price per 1 MB Price per 1 MB
Price per min for local PSTN callsPrice per min for local PSTN calls
Price per min for local SkyLink callsPrice per min for local SkyLink callsRUB 0.50 ~ USD 0.02RUB 0.50 ~ USD 0.02
Examples of EV-DO rate plans (1)
Turbo
St.Petersburg and Leningrad region, w/o VAT
8
15
500 MB500 MB
RUB 2.90 ~ USD 0.12RUB 2.90 ~ USD 0.12
RUB 1.75 ~ USD 0.08RUB 1.75 ~ USD 0.08
RUB 950 ~ USD 39 RUB 950 ~ USD 39
Data traffic includedData traffic included
Monthly fee,Monthly fee,
Price per 1 MB beyond the limit Price per 1 MB beyond the limit
Price per min for local PSTN callsPrice per min for local PSTN calls
Price per min for local SkyLink callsPrice per min for local SkyLink callsRUB 0.50 ~ USD 0.02RUB 0.50 ~ USD 0.02
Examples of EV-DO rate plans (2)
Turbo 500
St.Petersburg and Moscow, w/o VAT
16
St.Petersburg and Moscow, w/o VAT
1000 MB1000 MB
RUB 2.90 ~ USD 0.12RUB 2.90 ~ USD 0.12
RUB 1.75 ~ USD 0.08RUB 1.75 ~ USD 0.08
RUB 1500 ~ USD 62 RUB 1500 ~ USD 62
Data traffic includedData traffic included
Monthly fee,Monthly fee,
Price per 1 MB beyond the limit Price per 1 MB beyond the limit
Price per min for local PSTN callsPrice per min for local PSTN calls
Price per min for local SkyLink callsPrice per min for local SkyLink callsRUB 0.50 ~ USD 0.02RUB 0.50 ~ USD 0.02
Examples of EV-DO rate plans (3)
Turbo 1000
9
17
Moscow and Moscow region, w/o VAT
00
RUB 4.00 ~ USD 0.16RUB 4.00 ~ USD 0.16
0 0
Data traffic includedData traffic included
Monthly fee,Monthly fee,
Price per min for local PSTN callsPrice per min for local PSTN calls
Examples of EV-DO rate plans (4)
Turbo Light
Price per 1 MBPrice per 1 MB RUB 4.00 ~ USD 0.16RUB 4.00 ~ USD 0.16
18
Moscow and Moscow region, w/o VAT
unlimitedunlimited
RUB 4.00 ~ USD 0.16RUB 4.00 ~ USD 0.16
RUB 1500 ~ USD 62 RUB 1500 ~ USD 62
Data traffic from 0 a.m. to 8 a.m. Data traffic from 0 a.m. to 8 a.m.
Monthly fee,Monthly fee,
Price per min for local PSTN callsPrice per min for local PSTN calls
Examples of EV-DO rate plans (6)
Turbo unlimited night
Data traffic from 8 a.m. to 12 p.m. Data traffic from 8 a.m. to 12 p.m. RUB 4.00 ~ USD 0.16RUB 4.00 ~ USD 0.16
10
19
Moscow and Moscow region, w/o VAT
unlimitedunlimited
RUB 4.11 ~ USD 0.17RUB 4.11 ~ USD 0.17
RUB 2800 ~ USD 115 RUB 2800 ~ USD 115
Data traffic includedData traffic included
Monthly fee,Monthly fee,
Price per min for local PSTN callsPrice per min for local PSTN calls
Examples of EV-DO rate plans (5)
Turbo unlimited
20
Subscribers (actually using EV-DO services)
-
5
10
15
20
25
30
35
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct
2006 2007
% of total subscriber base
11
21
Total EV-DO traffic growth
Impressive rate of growth though prices of EV-DO terminals are quite high
2% 5% 10%21%
41%65%
100%
143%
191%
247%
0%
50%
100%
150%
200%
250%
300%
1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 F 1Q08 F 2Q08 F
22
Data services (especially EV-DO) implementation has noticeably influenced SkyLink income structure
SkyLink services income structure
16%8%
24%29%
Voice
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2005 2006 2007 F 2008 F
Data+VAS
12
• Mobile Internet: marketing study results
24
65%
42%
38%
27%
27%
25%
13%
3%
49%
13%
31%
10%
8%
7%
4%
1%
30%
At home
In the country
At work
During business trips in the country
In the car
During business trips in the city
In the restaurants
Other places
Had not been using Internet where useSkyLink now
through SkyLinkbefore SkyLink
16%*
29%
7%
17%
19%
8%
9%
70% of users had been using another Internet access at the same places before buying BWA from SkyLink
3G is an alternative for fixed Internet access?
Using mobile Internet (1)
13
25
SkyLink Internet user portrait
�� SkyLink mobile Internet user portraitSkyLink mobile Internet user portrait ::�� ManMan (84%)(84%)�� 2525--44 44 yearsyears�� Top manager, businessmanTop manager, businessman
�� 36% 36% of total number of respondentsof total number of respondents are are SkyLinkSkyLink monomono --users users ((not having another Internet access or switching to SkyLink)not having another Internet access or switching to SkyLink) ::�� Women (24%) Women (24%) –– more often than in general selectionmore often than in general selection�� 25 years or less (28%) 25 years or less (28%) –– more oftenmore often�� Students, technical and servicing staff (28%)Students, technical and servicing staff (28%)�� Top managers Top managers –– rarelyrarely
• Nearest future: Rev.A and dual band network in 450/2100 MHz
14
27
Rev A first test results (downlink)
HW/SW upgrade for transition to Rev A:
BTS HW: EV-DO Modem (Rev. A ready)
SW: RNC and BTS SW upgrade
28
450/2100 Test Zone (1)
0 2kilometres
4
0
50
100
150
200
250
300
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
2 май 3 май
Call attempts Established calls
0
32
64
96
128
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
2 май 3 май
0
20
40
60
80
peak Walsh Codes Primary Traffic, Erl
15
29
450/2100 Test Zone (2)
Kyocera KD-401
30
ConclusionsConclusions
�� SkyLink is growing in terms of territory and total subscriber SkyLink is growing in terms of territory and total subscriber base base
�� EVEV--DO service is quite successful in terms of increasing DO service is quite successful in terms of increasing subscriber base and data trafficsubscriber base and data traffic
�� SkyLink has launched the first CDMA450/GSM handset and SkyLink has launched the first CDMA450/GSM handset and is actively testing new types of CDMA450 terminals is actively testing new types of CDMA450 terminals (including Rev. A modems) (including Rev. A modems)
�� SkyLink is testing EVSkyLink is testing EV--DO Rev. A and going to put it into DO Rev. A and going to put it into commercial operation in the beginning of 2008commercial operation in the beginning of 2008
�� 450/2100 MHz trial networks have been rolled450/2100 MHz trial networks have been rolled--out in out in Moscow and Moscow and St.PetersburgSt.Petersburg (50 BTS). SkyLink is going to be (50 BTS). SkyLink is going to be an applicant for IMTan applicant for IMT--MC 2100 MHz license in RussiaMC 2100 MHz license in Russia