In past articles [1, 2], I stressed that Cloud RAN is a disruptive technology. There are a few reasons for this, but I think that most critical reason is that Cloud RAN breaks open a pricing structure that’s been in use ever since the wireless industry was created. The current pricing model for base stations is based on a tight coupling between hardware and software that is impossible to separate. So, when a network operator buys a base station, the operator selects how many frequency carriers each sector would support and a corresponding number of remote radio heads. This model becomes obsolete in Cloud RAN where the hardware and software are decoupled. There is no longer a 1:1 relationship between baseband modules and RRHs due to pooling and virtualization. New pricing schemes are now possible as there is more room for operators to optimize the subsystems they need in the network. Cloud RAN not only decouples hardware from software, but also changes the coupling among hardware subsystems. This has profound implications on the future cost structure of wireless networks and operators have taken notice. OEMs looking to challenge the position of the primary entrenched incumbents are leading the charge in Cloud RAN development with a vision to increase their market share. Continue reading
Is LTE-U DOA?
Reading some of the literature about LTE-U (and LAA) leads you to believe that its deployment is a foregone conclusion: operators love it; vendors support it, and products will be available within months. But operators lack the sales channel into the enterprise where LTE-U is envisioned to be deployed and provide most value.
While LTE-U may find its way into the handset fairly rapidly, its path into the Wi-Fi access nodes will be long and arduous as that ecosystem is not particularly friendly to LTE-U (Cisco for example), while the channels of the small cell vendors, such as Huawei and Ericsson, into the enterprise are less established. Continue reading
Is LPWA for Mobile Network Operators?
You don’t need to be a wireless carrier to operate an LPWA network and provide IoT connectivity services to hundreds of thousands of devices. LPWA technologies operate in unlicensed spectrum which opens a wide door to anyone to play in the IoT connectivity space, including of course mobile network operators (MNOs). But is LPWA for MNOs? Or more precisely, LPWA opens the door for new applications and business models, but to what extent can MNOs leverage LPWA and can they make a successful business out of it? Or are LPWA networks best run by new entities unencumbered with legacy solutions and processes? Continue reading
Time for a Comprehensive Strategy for License-Exempt Spectrum
Calls for regulators to release more unlicensed spectrum for Wi-Fi are getting louder: the 2.4 GHz band is heavily used and the 5 GHz band suffers from many restrictions that limit its applicability. LTE’s entry into unlicensed spectrum is further amplifying these calls and adding an acute sense of urgency.
But what is required is more than additional unlicensed spectrum. There needs to be a comprehensive strategy not only for additional unlicensed spectrum, but also for ensuring that regulations are harmonized to the extent possible between regions and are aligned with socio-economic needs. This is because we reached a point where additional spectrum means greater divergence between regions and increased market fragmentation, a similar scenario to the current state of the 5 GHz band. Continue reading
Microcapacity: Unbinding Wireless Capacity Through Trading Exchanges
Microgeneration allows one to generate electricity for own use, typically using renewable resources such as wind or solar energy. Excess energy can be sold to the power company. The arrangement helps in evening out the variability in energy consumption. It reduces the peak load requirements for the main grid while energy generated during non-peak hours can be diverted to where it is most needed. There is no reason why wireless cannot work in a similar way. I call this “mcirocapacity”: individuals, businesses and communities can generate their own wireless capacity and sell the excess capacity to the wireless carriers. The concept is not novel and elements of it have already been developed. What is lacking is the impetus to put it into practice. Simply put, the time is yet to be right. Continue reading
Are MVNOs the Next OTTs?
The wireless market in Canada is on the cusp of changes due to new regulations that open the market for a new breed of MVNO services. Full MVNOs are now possible: they will be able to have their own mobile network codes (MNCs) and provision their own IMSI numbers. Full MVNOs own their core network including all subscriber related entities (HLR or HSS, etc.) while relying on wholesale service provider for the radio access network only. This makes these MVNOs independent at least from a retail perspective from the underlying host wireless carrier. MVNOs will be able to make arrangements with multiple wireless carriers and negotiate their own roaming arrangements with other national and international carriers. However, the regulator stopped short of mandating MVNO models, leaving it in the hands of incumbent MNOs. So the question remains: will these new rules stimulate the market and allow greater vitality in what is now a dull MVNO landscape? Continue reading
LTE Flavors in Unlicensed Spectrum
Guest post by Faris Alfarhan*
The unprecedented increase in demand for high-speed broadband requires a bundle of solutions to satisfy the demanded capacity. Unlicensed spectrum is increasingly considered by cellular operators, internet service providers, and businesses as part of solution set. Unlicensed spectrum cannot match the quality of licensed spectrum, as the interference profile is much more stochastic. However, unlicensed spectrum offers a complimentary solution to licensed carriers for operators, and an opportunity to cable companies and internet service providers – who typically don’t own any licensed spectrum – to deploy wireless networks and hotspots. Continue reading
700 MHz German Spectrum Auction Overview
The German 700 MHz auction concluded with a price tag of a billion Euro:
Are Small Cells for 5G?
As the Small Cell Summit winds down I can’t help but wonder whether small cells are a technology awaiting 5G networks. There were many discussions on architecture at the conference which cannot but lead me to ask whether the market and technology drivers are in place for mass adoption. My reading of the situation points to further delays which extends the timeline of deployment to overlap with the inception of 5G networks – whatever that turns out to be. If this happens, mass LTE small cell deployment will stall in favor of 5G. I know that I am not alone in this thinking as a few operators have privately shared the same believe stating out-right that “small cells are for 5G”. What’s said in public aside, the fact is that leading operators are looking at small cells as a part of a much larger package in network evolution that includes a rethink of the network architecture in light of evolving business models and technologies. Continue reading
What to Shut Down First 2G or 3G?
Telenor Norway announced it will shut down 3G network in 2020; five years before 2G.
This is yet another example of how operators in Europe are diverging from North American operators by opting to shut down 3G ahead of 2G. 3G is much less efficient in carrying data traffic than LTE which is twice better. 2G/GPRS is the workhorse for M2M services by operators. Also, the relatively small networks and markets in Europe and the amount of roaming makes a case to keep 2G operating for longer. Continue reading
Will 5G Be Irrelevant?
Last week I had the privilege to discuss the latest wireless industry trends with colleagues at the RAN and Backhaul conference. We discussed 5G in addition to host of other topics ranging from architecture to virtualization and much in between: spectrum, Het Nets, IoT, etc. As I contemplate the proceedings, I came to wonder about the relevance of 5G!
Today, the focus is on developing consensus on what 5G is and will be: what are the applications and which use cases will it serve? Which technologies and architectures will be best to meet the objectives? Which spectrum it will operate in? What type of physical layer it will employ? These are but a few questions the ecosystem is debating. But what everyone agrees on is that 5G will support IoT connectivity for a great number ‘things’ in addition to providing better than ever personal broadband connectivity services. Continue reading
2600 MHz Canada Spectrum Auction Overview
The spectrum auction concluded on May 12 raising over C$755 million (US$624 m). Telus was the biggest spender with over C$478 m to secure 1339m MHz-PoP.
The blended cost per MHz-PoP for the overall spectrum auction is C$0.28 /MHz-PoP. Continue reading
Cellular IoT Connectivity: Threats and Opportunities
There has been a flurry of activities related to wide-area Internet of Things (IoT) connectivity. The market recognizes that existing technologies, and more importantly business models and cost structures do not scale to meet IoT application requirements. A number of competing solutions have emerged and are today vying for commercial validation which scales through standardization. Hence, there is a strong push in standard organizations such as 3GPP and GERAN to develop and adopt IoT connectivity techniques. Additionally, investors who recognize the opportunity created by potentially disruptive models and the need to hedge existing investments have embarked on making strategic investments. It is against this background that we provide this brief with a summary of related opinions we developed based on multiple engagements in this space. Continue reading
Can Device-to-Device Communications Extend into the Home and SME?
DSL and LTE bonding is a technology that have been hovering under the radar, not receiving the attention it deserves. A few operators have been experimenting with it, and some deployed it. Vodafone targets the solution at the enterprise sector, while Deutsch Telekom sees it as complementary service in rural areas. DSL/LTE bonding combines a DSL modem with a LTE UE modem at the user side along with integration in the core network to allow supplementing the service of one technology where the other falls short. It reduces bottlenecks in performance so for example when xDSL service slows to a crawl it taps the capacity of LTE. Having two separate links to the Internet creates redundancy of service and consequently increases reliability and quality of service. DSL/LTE bonding is a great technology, but I wonder if it can extend further to provide for additional applications. Specifically, can it be used as a platform for future device-to-device (D2D) communication? Continue reading
Meeting the Cost Requirements for IoT Devices
It seems many are convinced that the magic number for device cost in cellular M2M applications is $5. What should be the cost of a module, and how critical an issue is the device cost to start with, is a topic of debate and although I have my view on it, it is not what I will address here*. Instead, I like to focus on what needs to happen to get the cost to sub $5. So, how can we reach such a target price and what are the implications? Continue reading