1 © Nokia Siemens Networks 2011
The building block of Mobile broadband
Celebrating GSM 20 yearsNokia Siemens Networks, 1st of July 2011
2 © Nokia Siemens Networks 2011
The World’s First commercial GSM network – July 1st 1991
• Launched by Radiolinja, currentlyElisa/ Finland
• Delivered by Telenokia and Siemens Networks, currently Nokia Siemens Networks
• The first call was made by Mr. Harri Holkeri with Nokia car phone
View a video and a conversation of the first GSM call here
3 © Nokia Siemens Networks 2011
• In 1982, the DX200 digital switch waslaunched by Telenokia
Key steps to World’s First commercial GSM network
• In 1982, the Conference of European Posts and Telegraphs (CEPT) formed an GroupeSpécial Mobile (GSM) study group to develop a pan-European public land mobile system
• In 1987, 15 representatives from 13 European countries signed a memorandum of understanding to develop and deploy a common cellular telephone system
• In 1990, the Phase I of the GSM specifications for voice and Short Messaging Services (SMS) were published by ETSI
• In 1991, First commercial network launchedby Radiolinja (Elisa Finland)
• In 1988, GSM BTS development started in Telenokia
• In 1991, Telenokia together with Siemens Networks delivered a GSM network to Radiolinja
4 © Nokia Siemens Networks 2011
The mobile revolution
• First network was launched in 1991 by Radiolinja – supplied by Nokia Siemens Networks
• In 1993 first networks opened in Asia, continued by 1994 network openings in Africa and in 1995 in Americas
• Key components: global de-regulation, fast adoption of the GSM standard and competitive products
• Resulting in economies of scale
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1992 HandheldsNokia 1011 Siemens S1
1992 Orbitel 901
Nokia tuneNokia 2100
1998WAPNokia 7110
CommunicatorNokia 9000
2002 GPRSBlackberry 5820
2002 TinyEricsson T39
2002 US tribandMotorola L7089
2004 ThinMotorola RAZR
2007 SmartphoneApple iPhone
1991 Nokia car phone
2002 EDGENokia 7110
2003 Best sellingNokia 1100
IconicNokia 2110
2010 SmartphoneNokia N8
Vintage GSM mobile phones
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Key steps to GSM revolution
Standardization
• In 1990, the Phase I of the GSM specification was published
• In 1993, Nokia initiated GSM+ also called as GSM2.5 project for new voice codec’s and data transfer
• In1995, GSM phase 2 standardization for fax and data services was completed
• In 2000, the standardization work was transferred to 3G Partnership Project (3GPP), EDGE and UMTS (WCDMA) were specified as 3G technologies, Dual Transfer Mode (DTM) was standardized in 3GPP Release 99
• In 2001, the 3GPP Release 4 standard was completed
• In 2002, the 3GPP Release 5 with HD Voice (WB-AMR voice codec) standard was completed
• In 2004, the 3GPP Release 6 with Single Antenna Interference Cancellation (DARP Phase 1) standard was completed
• In 2007, the 3GPP Release 7 with Dual Carrier (DLDC) was completed … and the standardization work continued (see next page)
Commercialization
• In 1992, the Short Messaging Service (SMS) message, the first international roaming agreement and first hand-held GSM mobile phone the Nokia 1011 became available
• In 1994, data/fax services
• In 1995, the GSM Association (GSA) was formed
• In 1996, pre-paid GSM SIM cards
• In 1998, the Global Mobile Suppliers Association (GSMA) was founded
• In 2000, the first commercial GPRS services
• In 2001, the first UMTS (W-CDMA) network was launched
• In 2002, the Multimedia Messaging Services (MMS)
• In 2003, first commercial EDGE services
• In 2011, first commercial HD Voice services (WB-AMR) over GSM network
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GSM Evolution - gradual improvements since 1990
1995
1992
2002
2000
1998
2007
2004
ph1
ph2
ph2+
Basic telephony, emergency calls, 9.6 kbps CS data, SMS
GMSK, Frequency hopping (FH), Power control (PC), DTX
Half rate speech, G3 fax
CLID, Call waiting, hold, multi party, Advice of charge
Rel 97
Rel 98
Rel 99
Rel 4
Rel 5
Rel 6
EFR
Numerous work items …
multislot CS data (HSCSD), 14.4 kbps / time slot
Packet data GPRS, CS1 – 4,
Adaptive Multirate Codec (AMR), location services (CS)
Enhanced speech quality and capacity through
GSM 850 MHz, Dual Transfer Mode (DTM)
EDGE, WCDMA Interworking
Network Assisted Cell Change (NACC), GSM700Dynamic ARFCN Mapping
Enhanced PC, WB-AMR, 8-PSK HR AMR
Multiple TBF (Iu), GERAN Iu, Location (LCS) over Gb/Iu,
FLO, MBMS, Multiple TBF (Gb)
DARP, DTM enh. , PS HO, ACCH enhancements,
Rel 7HUGE, RED HOT,Dual carrier
Rel 8 2008Speech Capacity OptimizationLTE interworking
1.2 Mbps
9.6 kbps
1990
2009Rel 9VAMOS, 128 bit encryption A5/4-GEA4
2011Rel 10Machine Type Communications
• In 1990, the Phase I of the GSM specifications were published by ETSI
• In 2000, the standardization work was transferred to 3GPP
• The latest 3GPP Release 10 was published in March 2011
• The work is starting on 3GPP Release 11
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GSM dominates the world today…With more than 80% of global mobile connections and above 500 B$ in operator revenues (*)
(*) Forecast for year 2009. Source: Strategy Analytics, May 2009
4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10
1
2
3
4
Su
bscri
ptio
ns (
bil.
)
Analog CDMA GSM TD-SCDMA US TDMA WC DMA
Source: Informa Telecoms & Media
5
“One of the reasons for the dominance of GSM-based technologies is wide-scale adoption, which results in lower infrastructure and device costs”
Source: ABI report Q3 2009
“Smart device use is currently the key driver of data growth.”
Source: ABI report Q3 2009
838 GSM networks in 234 countries
4.4 billion subscribers
Including
545 EDGE networks in 198 countries
1.5 Billion EDGE subscribers
Source: GSA, Strategy Analytics, Nokia Siemens Networks
2010 additions
1.44M new GSM subscribers every day in
8 new GSM networks announced
35 EDGE networks trialing DLDC
Source: Informa Telecoms & Media
9 © Nokia Siemens Networks 2011 Nokia Siemens GSM Management Presentation
…GSM will also play crucial role tomorrow
EDGE contributes to mobile broadband success
Most HSPA networks combine EDGE with HSPA for 3G services delivery
GSM will be the only means of mobile communication in many areas
= 3G/GSM
= GSM
= No mobile services
3G HSPA & LTE
GSM
GSM provides global umbrellacoverage for 3G HSPA and LTE
10 © Nokia Siemens Networks 2011
GSM umbrella coverage with Single RAN Advanced
Network efficiency
SpectrumcarvingGSM
3G/LTE
GSM
End user experience
GSM software features for Single RAN
GSM spectrum carving for 3G /LTE
Service experience in GSM
Common IP backhaul
Paging co-ordination with BSC
DFCA
DTM
SRA
eCCCH
OSC-DHR
HMC
DLDC
HD Voice
A over IP
Gb over IPPabis over IP
OSC-DFR
Precise Paging
Modernization of existing networks
GSM
WCDMA
GSM/WCDMA/LTE
HW
With Single RAN Advanced
Flexi Multiradio 10 BTS
Multicontroller
IP backhaul
RNC
BSC
LTE
11 © Nokia Siemens Networks 2011
Advancing business opportunities in GSM
Smart objects including Smart devices and M2M
Voice, SMS and data services need more capacity
More than 800 un-allocated GSM spectrum licenses for new networks
Low cost connectivityto boldly go where no one has gone before
= 3G and GSM
= GSM
= No mobile services
Minutes Monthly Cost
450 $39.99
900 $59.99
Unlimited $69.99
12 © Nokia Siemens Networks 2011
We expect the GSM traffic to grow by 2.6 fold - from 2010 to 2015Source: NSN GSM trafic forecast, June 2011
• Subscription growth is driven by M2M segment
• 6x data traffic growth dominated by smart devices
• Data traffic is expected to exceed voice traffic by 2013
• 40% increase in voice traffic driven by end user pricing
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M2M subscriptions, traffic & transactions Source: NSN GSM trafic forecast, June 2011
• We expect 1 Billion GSM M2M subscribers by 2015
• The number of transactions (short data calls) will be 16 folded
• The increase in total data traffic is expected to be marginal
14 © Nokia Siemens Networks 2011
Nokia Siemens Networks innovations in GSM
2010• World’s most powerful BSC
• Smarter GSM networks
• Unique DFCA feature to double GSM network capacity within existing spectrum
• High performance site solution (6 sector) to double the BTS site capacity
• GSM base station energy efficiency compliance with new specifications defined by ETSI
2011• Smart Resource Adaptation enables
up to five fold smart device users
• World’s first commercial GSM network with HD voice
• World’s First OSC-Dual Full Rate call doubling the Full Rate voice capacity
• Horizon BTS (Motorola)@Flexi BSC
• 80 watt with 60MHz range three sector multi radio carrier unit
2009• Four calls in one single GSM
timeslot unique Orthogonal Subchannel (OSC) feature
• BS2xx BTS (Siemens)@Flexi BSC
2006Launch of unique Flexi EDGE BTS
2008• Downlink Dual Carrier (DLDC)
EDGE end-to-end call with mobile device
2005Launch and live DTM network solution
2000Fully standards compliant commercial GPRS network opened in China
2004• EDGE-WCDMA 3G packet
data handover in a commercial Telia Sonera network.
1991• Genuine GSM call
made using Elisa Finland (Radiolinja) network
• Elisa Finland (Radiolinja) launched wold’sfirst commercial GSM network
2003EDGE call with AT&T wireless
15 © Nokia Siemens Networks 2011
As of June 10th 2011
2.9 billion of the world’s 4.4 bn GSM subscribers connected
World's most powerful BSC - First BSC with 4200 TRX in one cabinet
Countries
AMR-HR
DLDC
EDGE
GSM
143
>210
>30
365
>250
smarter GSM networks >80
Continued leadership in GSM with 365 customer referencesInnovating in network efficiency and in end user experience
HD Voice >40
First to launch
Smart Resource Adaptation – in 2011
First commercial GSM network with HD Voice – in 2011
First OSC Dual Full rate call – in 2011
Unique Flexi Multiradio 10 BTS – with 90W tri-sector carrier and 60MHz bandwidth
16 © Nokia Siemens Networks 2011
Liquid RadioOne Simplified Network
17 © Nokia Siemens Networks 2011
Liquid Radio – introducing portfolio of innovations
Baseband pooling Unified and SON enabled Heterogeneous Networks
RRH
3-sector RF module
6-sector sites
Over 10 Gbps baseband
Active Antenna
LTE
WiFi
TD-LTE LTEFemto
HSPA+Femto
HSPA+
Active Antenna Systems
High Load Low Load
Beamforming, CoMP
GSM
18 © Nokia Siemens Networks 2011
Leading GSM, 3G, I-HSPA and LTE customer base
*End April 2011
• Over 470 radio customers in 159 countries
• 365 GSM customers serving 2.9bn subscribers, over 250 EDGE customers and 27 GSM railways (GSM-R) customers
• Over 200 WCDMA/HSPA customers, more than 15 I-HSPA customers
• Supplier of 18 of the 25 biggest 3G operators globally
• Selected by 31 customers for LTE radio, 37 in total for LTE
• Strong in alternative radio technologies: 43 WiMAX customers, 20 CDMA customers
• Over 100 IP backhaul customers
As of June 10th 2011
Nokia Siemens Networks leadership in GSM family of technologies
19 © Nokia Siemens Networks 2011
Thank You!