mavenir thought leadership webinar

26
©Mavenir Webinar August 14, 2014 Transforming Mobile Networks from 2G/3G to 4G LTE Ian Maclean Vice President, Strategy Terry Hungle Chief Financial Officer

Upload: investormavenirsystems

Post on 25-Jun-2015

215 views

Category:

Investor Relations


6 download

DESCRIPTION

Mavenir Thought Leadership Webinar

TRANSCRIPT

Page 1: Mavenir Thought Leadership Webinar

©Mavenir Webinar August 14, 2014

Transforming Mobile Networks from 2G/3G to 4G LTE

Ian MacleanVice President, Strategy

Terry HungleChief Financial Officer

Page 2: Mavenir Thought Leadership Webinar

2©Mavenir Webinar August 14, 2014

Forward-Looking Statements

Statements in this presentation that are not historical fact are forward-looking statements. Some of theforward-looking statements contained in this presentation can be identified by the use of forward-looking words such as “anticipate,” “believe,” “could,” “expect,” “should,” “plan,” “intend,” “estimate” and“potential,” among others. Forward-looking statements include, but are not limited to, statementsregarding our intent, belief or current expectations with respect to matters such as future industrytrends, capital expenditures by mobile service providers, the adoption of 4G LTE technology by mobileservice providers and users, and our expected financial performance subsequent to our most recentlyreleased financial results. Forward-looking statements are based on our management’s beliefs andassumptions and on information currently available to our management. Such statements are subjectto risks and uncertainties, and actual results may differ materially from those expressed or implied inthe forward-looking statements due to various factors. Investors should review factors described in ourfilings with the U.S. Securities and Exchange Commission, including under the heading “Risk Factors”in such filings. Forward-looking statements speak only as of the date they are made, and we do notundertake any obligation to update them in light of new information or future developments or torelease publicly any revisions to these statements in order to reflect later events or circumstances or toreflect the occurrence of unanticipated events.

Page 3: Mavenir Thought Leadership Webinar

3©Mavenir Webinar August 14, 2014

Introduction to Mavenir

Mavenir Systems (NYSE: MVNR) provides software-based networking solutions that enable mobile service providers to deliver next generation services over 4G LTE networks.

We have a fully virtualized end-to-end portfolio of Voice/Video, Messaging and Mobile Core products.

Our solutions are based on the award-winning mOne® software platform and leverage NFV and SDN technologies for deployments on cloud-based infrastructure.

Page 4: Mavenir Thought Leadership Webinar

4©Mavenir Webinar August 14, 2014

Global Adoption of 4G LTE

Voice Networks Modernization

Service Innovation

Cloud Networks

IMS/EPC

VoLTE

RCS

NFV/SDN

1234

Key Drivers to Network Transformation

Page 5: Mavenir Thought Leadership Webinar

5©Mavenir Webinar August 14, 2014

Speed

up to 15xfaster

Services

more

revenue

Savings

less

cost

Spectrum

up to 10xbetter

4G LTE: Why is it a Necessity

Page 6: Mavenir Thought Leadership Webinar

6©Mavenir Webinar August 14, 2014

Phase 1 Phase 2

4G LTE

HighSpeed

Data

2G/3G

CircuitSwitched

Voice

4G LTE

Better VoiceHigh Speed DataRich, New Services

First Phase of LTE is “Data Only”… Two Networks for Voice & Data

Next Phase of LTE is “Unified”… One Network for Voice and Data

Reallocate Spectrum from 2G/3G to spectrally efficient 4G LTE

4G LTE: Phases of Network Transformation

Page 7: Mavenir Thought Leadership Webinar

7©Mavenir Webinar August 14, 2014

Launch Voice

over LTE

Launch 4G LTE

Data

Coverage Capacity

Launch New

Services

4G LTE: Network Transformation Timeline

Page 8: Mavenir Thought Leadership Webinar

8©Mavenir Webinar August 14, 2014

1. Better User Experience for Voiceo HD Audio makes voice clearer and reduces background soundo Faster call setup times are remarkableo Simultaneous voice calls and high-speed data sessions

2. More Efficient All-IP Technologyo Better spectral efficiency on LTEo Migration to VoIP technologies to increase flexibility & agility, lower costo Retire obsolete circuit-switched technology (i.e. SS7)

3. Foundational Element for Service Innovationo Staying relevant to consumers by creating value through new services (i.e. RCS)o Multi-device cloud services becomes the new normal in LTE network (i.e. OTT)

VoLTE is a catalyst and will be disruptive

The Benefits of VoLTE

Page 9: Mavenir Thought Leadership Webinar

9©Mavenir Webinar August 14, 2014

Faster Call Setup HD Voice Simultaneous Voice & Data Video Calling

Multimedia Services Multi-Device Ecosystem Service Ubiquity Contextual Communications

The Benefits of Service Innovation

VoLTEVoice over LTE

RCS Rich Communication Services

Better Voice Network Richer User Experience

Page 10: Mavenir Thought Leadership Webinar

10©Mavenir Webinar August 14, 2014

Clear conversations and reduced background noise so you feel like you’re right next to each other. Make and receive high-definition voice calls and enjoy:

• Crisp call quality• Less background

noise• Simultaneous voice

and data at 4G LTE speeds

Source: AT&T Website

VoLTE is the next major advancement in LTE; customer benefits include faster call setup times (almost twice as fast) and HD Voice.

Launching VoLTE is our first step toward a host of rich communication services and additional innovations around Wi-Fi calling.

Source: TMO News

VoLTE… opens up "many new doors for many technologies to launch on that platform." Shammo said those include HD telepresence services including "really quality telemedicine" and other services. VoLTE will enable HD video calling that can run across different devices and smartphone platforms.

Source: Fierce Wireless

EE has announced plans to launch VoLTE, with a VoWi-Fi service… both promise improvements in quality-of-service over traditional circuit-switched calls.

Both services are enabled via an IMS capability in EE’s network.

Source: MobileWorldLive

What Operators are Saying About VoLTE

Page 11: Mavenir Thought Leadership Webinar

11©Mavenir Webinar August 14, 2014

Software Based

Building Software Networks

2G/3G 4G LTE

Hardware Based

INTEGRATED SOFTWARE ONSPECIALIZED HARDWARE

VIRTUALIZED SOFTWARE ONGENERAL PURPOSE HARDWARE

Page 12: Mavenir Thought Leadership Webinar

12©Mavenir Webinar August 14, 2014

Key Elements of Software Networks

NFV is Network Functions

Virtualization

SDN is Software Defined

Networking

Page 13: Mavenir Thought Leadership Webinar

13©Mavenir Webinar August 14, 2014

The Scale and Impact of Software Networks

SDN, NFV market will account for nearly $4 Billion in 2014. Estimates further growth at a CAGR of nearly 60% over the next 6 years

60%CAGR

SDN and NFV can enable service providers (both wireline/wireless) to save up to $32 Billion in annual CapEx investments by 2020

Significant price and gross margin erosion for traditional hardware-based network switching equipment by 2017

$32BSavings

Source: SNS Research

Page 14: Mavenir Thought Leadership Webinar

14©Mavenir Webinar August 14, 2014

SDN Explained

SDN Revolutionizes the Data Network

SDN makes the data network smarter and easier to manage

Creates Efficiency by Separating Control and Data Forwarding Planes

Standards Driven Technology creates multi-vendor, open ecosystem

SDN does to data networks what R4 did to voice networks 15 years agoSND Controller

Application Logic

Control Logic

SDN Datapath

Forwarding Plane

SDN Datapath

Forwarding Plane

Page 15: Mavenir Thought Leadership Webinar

15©Mavenir Webinar August 14, 2014

NFV Explained

NFV Revolutionizes the Data Center

NFV is based on the same network topology as exists today

NFV changes the cost equation for building next generation networks

Standards Driven Technology creates multi-vendor, open ecosystem

NFV leverages virtualization technology proven in the IT world

NFV Services

VNF 1

NFV Infrastructure

Virtualization Layer

OrchestrationVNF n…

Hardware Layer

Management

Page 16: Mavenir Thought Leadership Webinar

16©Mavenir Webinar August 14, 2014

SDN vs NFV

Split control & data forwarding planesStrategy

Replace hardware boxes with software functions

OpenStackOpenFlowProtocol

Data NetworksFocus Data Centers

SDN NFV

Industry-standard serversIndustry-standard servers or switchesApplications

Lower cost and complexity, increased agilityBenefit Lower cost, increase

flexibility & agility

Page 17: Mavenir Thought Leadership Webinar

17©Mavenir Webinar August 14, 2014

NFV Timeline

2013 2014 2015 2016+

Proof of ConceptOperators & vendors

learn in the lab

ProductizationVendors productize

SDN & NFV SW

Operators begin a few field trials

Commercial Introduction

Limited commercial deployments

Operators deploy 1 or 2 use cases

Commercial Rollout

Wider spread commercial deployments

Operators deploy several use cases

Virtualized RCS launched March 2013

Start Now with Virtualization

NFV Innovation of the Year

Page 18: Mavenir Thought Leadership Webinar

18©Mavenir Webinar August 14, 2014

How NFV is Changing the Game

“Virtualization allows IT systems to function with fewer pieces of hardware…of a less-specialized and cheaper variety. These

capabilities lead to a 70% reduction in costs,” Marian Croak, AT&T’s SVP for Domain 2.0, told CIO Journal, re the cost of provisioning services.

Deployment Flexibility enables new deployments models such as multi-tenancy

Elasticity enables optimal utilization of computing resources across applications

Service Agility enables the rapid introduction of new services into the network

Scalability (up or down) enables “one size fits all” approach for SW solutions

Source: CIO Journal May2014

Page 19: Mavenir Thought Leadership Webinar

19©Mavenir Webinar August 14, 2014

The Network of the Future has to be…

faster.better.

cheaper.smarter.

Page 20: Mavenir Thought Leadership Webinar

20©Mavenir Webinar August 14, 2014

…Because Mobile Data Traffic is Exploding

Source: Cisco VNI June 2014

Over 50%of all IP traffic will originate with non-PC devices by 2018.

Traffic from wireless and mobile devices will exceed traffic from wired devices by

2018.

Globally, mobile data traffic will increase

11x between 2013 and 2018

Page 21: Mavenir Thought Leadership Webinar

21©Mavenir Webinar August 14, 2014

…as is the Mobile Ecosystem by 2020

Annual revenue growth of 16% from the broader ecosystem (from applications, content and advertising) isexpected to total US$ 576 billion by 2020

The number of 4G mobile connections (including handsets, tablets and machine-to-machine devices), is forecast to reach 11 billion by 2020

The number of mobile connections is forecast to reach 4.3 billion, or 56% of the world’s populationby 2020

Source: GSMA Mobile Economy 2014

Page 22: Mavenir Thought Leadership Webinar

22©Mavenir Webinar August 14, 2014

Network of the Future

A Software Network…

…removes the boundaries/barriers of devices

…removes the boundaries of geography

…enables service innovation and launches quickly and easily

…enables scale to support exploding data traffic and devices

…enables Global Carriers

…enables personalization

faster. better. cheaper. smarter.

Page 23: Mavenir Thought Leadership Webinar

23©Mavenir Webinar August 14, 2014

The Network of the Future

Ubiquitous Access to Cloud ServicesProviding a broad range of next generation mobile communication servicesA single converged networkService delivery to multiple devices and device typesAcross different access domainsScalable

2G/3G Web

WiFi4G LTE

WAN

Page 24: Mavenir Thought Leadership Webinar

24©Mavenir Webinar August 14, 2014

The Changing Mobile Environment…

Requires the Software Network of the Future

IoTInternet of ThingsM2M

Machine to Machine

FMC Fixed Mobile Convergence

RFID Radio Frequency

Identification

Big Data

Massive volumes difficult to process

Page 25: Mavenir Thought Leadership Webinar

25©Mavenir Webinar August 14, 2014

Thank You

Page 26: Mavenir Thought Leadership Webinar

©Mavenir Webinar August 14, 2014

Ian MacleanVice President, Strategy

Terry HungleChief Financial Officer

Questions?