willy sabry alcatel-lucent indonesia +62 815 830 1036 willy.sabry@alcatel-lucent

Willy SabryAlcatel-Lucent Indonesia

+62 815 830 1036

[email protected]

September 2, 2010

Broadband Wireless Access Indonesia Peluang dan Tantangan

All Rights Reserved © Alcatel-Lucent 2010

Agenda

1. Broadband in Indonesia

2. Technology choice and network economy

3. Summary

1. Broadband In Indonesia


Objectives

DGPT Study Group 4G RPJMN (2014)

1. Increase penetration

2. Affordability

3. Drive National Industry

4. Optimum spectrum value

1.Internet penetration: 50%

2.Broadband: 30%

3.Digital TV program: 35%

4.Backbone main islands: 100%

5.Broadband for cities / regency capital: 75%

BROADBANDUsers expectation:

Coverage, Services/Quality, Affordability

Why Broadband: National Infrastructure, knowledge based society, 1.3% PDB increase for every 10% broadband penetration

increase, National Competitiveness index

ICT for prosperity and welfare

1.Increase penetration

2.Affordability & quality service

3.Effective public services

4.Reduce social inequality

Mastel


Broadband in Indonesia Today

• Land Area: 1.9m km2, 17,508 islands

• 240 million Population

• 33 provinces, 500 cities / regency capital

• 6000 municipal

• 70000 villages

• 62 million household Source: Pyramid, ALU

Broadband Services today:

• In Dense urban / Urban area, ~ 30 cities.

• Penetration: 1% WBB, 0.7% FBB, 4% PC (household basis), 68% Mobile phone

• HSPA, EVDO, WiMAX, DSL, PON, HFC

• Best effort

Dense Urban Urban Suburban

RuralExtreme Rural


Broadband in Indonesia Expectation & Challenges

Expectation:

• Coverage (30%-40% area)

• Services/ Quality (voice-data-multimedia / best effort - QoE guaranteed - ubiquitous)

• Affordability (most competitive in the region)

Challenges:

• Technology / solution mix: access/backbone, wireline / wireless, FO / radio

• Economic: PNBP vs PDB increase / National infrastructure / ICT fund

• Regulation / Industry Structure


RuralExtreme Rural

Broadband for All


Coverage… with the right technology mix being a combination of fixed & wireless

Wireline complements Wireless in Urban Areas

Wireline (eg FTTx, DSL, GPON) and Wireless (LTE, HSPA,

EVDO, WIMAX)

Wireless technologies at low frequency bands (eg

LTE, HSPA, EVDO)


RuralExtreme Rural

Satellite

Rural area more suitable with Wireless

transport network – FO backbone, combination FO/MW backhaul

Note: Sample cost model Australia


Coverage… although mobile is the preferred broadband technology in emerging markets, it will eventually need to be completed with fixed technologies

Bandwidth per user (Mbps)

0,1 0,2 0,3 0,4 0,5 1 2 5 7,5 10 12,528

1664

100

200

400

800

1000

Broadband

SD TV HD TV

Fibre + FTTN

Wireless only

DSL CO +

LTE/WiMAX/FTTN

Wireless + Satellite

• Mobile Broadband is a quick and easy approach to address broadband demand – but limited to maximum throughput

• Fixed technologies scale better for high density areas and greater bandwidth demand• Optimum solution is a combination of multiple technologies

Den

sit

y (

use

rs/s

qkm

)

DVB


Service / Quality Broadband for socio economic development

Public ServicesResidential Services

High-speed Internet

Video conference / telephony over IP

IPTV (Interactive TV, 3D TV, Web TV)

Home surveillance, Home automation

Fixed-mobile convergence

Social Networking

High-Speed Internet

VPN, Web services

Unified communications

Collaboration tools

Mobility and teleworking

Campus and building surveillance

Hospitality

Utility metering

Cloud computing

Information

Public safety

Closed-circuit TV

Emergency

e-learning

e-healthcare

e-social care

e-administration

One-stop-administration portal

Data Acquisition &

control

MetropolitanSecurity

BusesPorts

(Container tracking)

Oil & Gaz(Dwelling)

High-Voltagepôles Utilities

HighwaysMetros

Asy

mm

etrica

l

Sym

metrica

l, Busin

ess C

ritical /

SLG

Sym

metrica

l, Busin

ess C

ritical /

SLG

, Ubiq

uito

us

Business Services


AffordabilityDevelopment synergy

Halaman 10

Optional: Dark fiber roll-out

PrivateSector

Labeling / Pre-cabling

Accessto publicinfrastructure

Gov’t / PublicSector

Optional:IP Wholesale

Dark fiber roll-out and renting

Labeling / Pre-cabling

Buildof Primary infra

Market Drivene.g. Tier 1 cities

Risk Driven e.g. Tier 2 & suburban

Policy Drivene.g. rural

Investm

en

t (%

)

Area types

Retail, Service applications,

Network

Retail, service applications

Network & IP Wholesale

Retail,

Service applications,

Network, infra resources

Accessto public infrastructure

100%

BSO ICT fund NBN ???


AffordabilityInfrastructure / Network Sharing, Services Competition

Halaman 11

Infrastructure / Network

sharing

Services competition

Retail Services(residential, public & business)

Retail Services(residential, public & business)

Active Network(network equipments, business & operation support)

Active Network(network equipments, business & operation support)

Passive Infrastructure(tower, sites, trenches, ducts, fibre)

Passive Infrastructure(tower, sites, trenches, ducts, fibre)

End-userEnd-user

2. Technology choice and network economy


End-to-end Broadband Wireless Access Next-gen Wireless Broadband – Exploit QoE for effective Services

Radio Access Network

•2/3/G, LTE (Large & Small Cell), WiMAX, Satellite

•FTTx, MetroE Access

Transport

•Aggregation / Backhaul

•Backbone

Service Delivery Environment

• IMS, SDP, OSS/BSS, payment and security

Evolved Packet Core

•S-GW, P-GW

•MME, PCRF

OSS/BSS Subs.Data Mgmt

SDP: IMS, Mobile TV

BTS2G+3G+LTE

PCRF

SGW PGW

MME

IP/MPLS

optics

2G/3G Core(Circuit & Packet)

accessBackhaul /

aggregationCore / Edge

Backbone transport

SDE


A common evolution path…

Broadband Wireless Accesstechnology is converging toward LTE

L

T

E

L

T

E

GSM/UMTS GSM/UMTS

GSM/EDGEGSM/EDGE

GSM/EDGEGSM/EDGE

1x/Do-R.A1x/Do-R.A

1x/Do-R.A1x/Do-R.A

B/A+B/A+

HSPA+HSPA+

UMTS/HSPA+UMTS/HSPA+

TD-SCDMATD-SCDMA

WIMAXWIMAX

…highly efficient technologies

1.4MHz 3MHz 20MHz10MHz5MHz

LTE bandwidth options, highly Spectrum efficient

1xRTT1xRTT

OFDMOFDM MIMOMIMO Flat IPFlat IP

Robust modulation

Increased link capacity

Flat, scalable

4G“3.9G”3G

2.1 GHz1.9/2.1 GHz900 MHz850 MHz700 MHz 2.3 GHz

Operating bandwidth options TDD / FDD

QoE guaranteed - Multiservices

Eco-system – NGMN, LSTI

2.6 GHz


Impact of signal strength and concurrent users to throughput …performance by throughput per subscriber instead of peak BW per BS –

network design & dimensioning is critical

Halaman 15


Impact of standards & frequency on network economy 2500 Mhz band require 4.5 X higher capex than 700 MHz band

Typical Cell Ranges for LTE show a significant advantage of using lower frequencies

Better indoor penetration

2.6 GHz 800 MHz

Relative CAPEX and typical cell radius to cover a certain area in suburban environment as a function of the

frequency band used for deployment

100% 126%

328%

455%

675%

1230%10

8.9

5.5

4.7

3.9

2.9

0%

100%

200%

300%

400%

500%

600%

700%

800%

900%

1000%

1100%

1200%

1300%

1400%

1500%

700 MHz 850 MHz 1900 MHz 2500 MHz 3500 MHz 5800 MHz

Frequency Deployment

Rela

tive

Cape

x (%

)

0

2

4

6

8

10

12

Cell

Radi

us (k

m)

Source: Business case summary for NGMN - Milan Sallaba


Wireless device reality for 2009-2014LTE device overall price trend LTE Single Mode

LTE/HSPA/GSM Multi mode

0 50 100 150 200 250 300 350 400 450

Device Categories

Estimated Price Range

PCI Express (Embedded

modules)

USB Sticks/ Modems

CPEs

Handsets

$105

$138

$183

$124

$150

$200$150

$140

$220

$220

$344 Targeted Timeline - June2011 -

Targeted Timeline - June2011 -

Targeted Timeline - March2011 -






Initial Trends as of February 2010Price decrease for entry range products expected in 2011 due to economic of scale

3. Summary


Broadband for All Broadband for prosperity and welfare

Public ServicesResidential Services

High-speed Internet

Video conference / telephony over IP

IPTV (Interactive TV, 3D TV, Web TV)

Home surveillance, Home automation

Fixed-mobile convergence

Social Networking

High-Speed Internet

VPN, Web services

Unified communications

Collaboration tools

Mobility and teleworking

Campus and building surveillance

Hospitality

Utility metering

Cloud computing

Information

Public safety

Closed-circuit TV

Emergency

e-learning

e-healthcare

e-social care

e-administration

One-stop-administration portal

Data Acquisition &

control

MetropolitanSecurity

BusesPorts

(Container tracking)

Oil & Gaz(Dwelling)

High-Voltagepôles Utilities

HighwaysMetros

Asym

metrical

Symm

etrical, Business Critical / SLG

Symm

etrical, Business Critical / SLG

, U

biquitous

Business Services

Infrastructure / Network

sharing

Services competition

Coverage

Service / Quality Affordability

BSO ICT fund NBN ???

a holistic Network and Economic

Analysis would be necessary


Broadband Wireless AccessRight choice of BWA technology would benefit Indonesia

www.alcatel-lucent.com

All Rights Reserved © Alcatel-Lucent 2008, XXXXX

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willy sabry alcatel-lucent indonesia +62 815 830 1036 willy.sabry@alcatel-lucent

Documents

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