TÜV SÜD It’s a LTE world Are you ready? White paper Abstract With LTE leading the 4G charge into a new era of mobility, businesses and consumers are exploring new ways for improving convenience, socialising, and doing business. Some frontrunners are even changing the way we live, play and work with innovations that transform everyday items into informational devices. The strong interest in 4G has accelerated its migration and increased its shaping in our everyday lives. But these LTE benefits do come with costs. This article examines the new challenges that LTE brings to mobile manufacturers, mobile companies and consumers. It also takes a closer look at its impact on testing and certification, and discusses what manufacturers need to do to get past these hurdles and ensure stricter deadlines are never missed. The article concludes with a look at the increasingly important role that partners play in ensuring that testing and certification efforts do not get derailed. You will also learn how partnering companies like TÜV SÜD can hone your competitiveness and offer intangible advantages by giving you access to deep expertise and strong global experience.
Transcript
TÜV SÜD
It’s a LTE worldAre you ready?
White paper
AbstractWith LTE leading the 4G charge into a new era of mobility, businesses and consumers are exploring new ways for improving convenience, socialising, and doing business. Some frontrunners are even changing the way we live, play and work with innovations that transform everyday items into informational devices. The strong interest in 4G has accelerated its migration and increased its shaping in our everyday lives. But these LTE benefits do come with costs. This article examines the new challenges that LTE brings to mobile manufacturers, mobile companies and consumers. It also takes a closer look at its impact on testing and certification, and discusses what manufacturers need to do to get past these hurdles and ensure stricter deadlines are never missed. The article concludes with a look at the increasingly important role that partners play in ensuring that testing and certification efforts do not get derailed. You will also learn how partnering companies like TÜV SÜD can hone your competitiveness and offer intangible advantages by giving you access to deep expertise and strong global experience.
2 It’s a LTE world | TÜV SÜD
Jean-Louis EvansManaging Director, TÜV SÜD Product ServiceJean-Louis Evans is the Business Unit manager for TÜV SÜD’s worldwide Telecommunications operations and oversees the group’s strategy in wireless communications. He has been the Managing Director of the TÜV SÜD BABT certification body and Product Service Division in the UK since 2001. Jean-Louis holds a Master’s degree in Engineering from Cambridge University and a Master’s in Business Administration from INSEAD.
Contents
INTRODUCTION 3
DECODING THE LTE REVOLUTION 3
BANDWIDTH WARS 4
JOINING THE LTE REVOLUTION 5
UNDERSTANDING THE TÜV SÜD ADVANTAGE 6
CONCLUSION 6
About the TÜV SÜD expert
3TÜV SÜD | It’s a LTE world
Introduction
Twenty years ago, the mobile airspace was defined by 2G or 2nd generation cellular networks based on the GSM standard. These served most of the mobile communication needs of consumers and private entities, although incompatibilities created pockets of networks that were defined by geographical borders.
Today’s mobile users are no longer confined to traditional services like voice and text messaging. Most are web surfing, e-mailing, video-conferencing, and accessing productivity tools using their mobile phones or devices.
With the advent of social media, and more interactive online platforms, more customers are now looking for faster connections and bigger bandwidth. According to research, this demand has already seen data applications surpass voice as the application of choice for mobile customers.
3G, or 3rd generation networks, changed this. First launched in Japan in 2001, the new mobile standard widened the requirements for more bandwidth. 3G networks began to rival their landline cousins in terms of speed, and were able to handle data-intensive applications that went beyond voice. Now, with the entry of the more powerful 4G or 4th generation networks that promise
Research firm ABI Research [1] showed that mobile data traffic continues its rapid increase with 13.4 Exabytes (1 Exabyte =10246 bytes bytes) to be consumed through 2012, while over the forecast period the mobile data traffic could potentially reach 110 Exabytes by 2017, or an annual growth of 53.4%. The report also forecasted that overall global 4G traffic will have a CAGR of 147.5%, compared to 3G traffic which has had a CAGR of only 69.6%.
The impact of mobile data usage will undoubtedly reverberate across every industry, but especially in the maturing
Now, with the entry of the more powerful 4G or 4th generation networks that promise even more data capacity and speed, the mobile world is about to look a lot different.
Adopted in 1990sBased on the GSM standardServed most of the mobile communication needs of consumers and private entitiesIncompatibilities created pockets of networks that were defined by geographical borders
2GLaunched in 2001Widened the requirements for more bandwidthAble to handle data-intensive applications
3GThe newest technologyPromise even more data capacity and speedLTE as the frontrunner of 4G technical standards
4G
Decoding the LTE revolution
even more data capacity and speed, the mobile world is about to look a lot different.
Leading the charge is LTE, which stands for Long Term Evolution. LTE, which evolved from the 3G W-CDMA or TD-CDMA formats, has emerged as the frontrunner of 4G technical standards, and is now used by most telecom carriers.
EXABYTES
Annual Growth of 53%
120
13.4
110
100
80
60
40
20
02012 2013 2014 2015 2016 2017
Source: Abi Research
MOBILE DATA TRAFFIC INCREASE
Mob
ile d
ata
traffi
c (ex
abyt
es)
Source: Abi Research
It’s a LTE world | TÜV SÜD4
GLOBAL CARRIERS WITH SIGNIFICANT NUMBER OF M2M CONNECTIONS
15
10
5
0AT&T
MobilityVodafone Spirit
NextelT-Mobile
Carrier name
Num
ber o
f M2M
Con
nect
ions
(Mill
ion)
13.3
7.8
3 2.7
Source: Abi Research
m-commerce sector. In a related report [2], research firm IDC projected that worldwide mobile advertising will almost quintuple from US$6 billion in 2011 to US$28.8 billion in 2016. Meanwhile, worldwide business-to-consumer (B2C) m-commerce spending will grow six-fold between 2011 and 2016, reaching US$223 billion at the end of the forecast period.
But LTE is not just about blazing data speeds. It ushers in a whole new world of bandwidth-intensive M2M (machine-to-machine) applications for home automation, automotive, and telematics, among others. Already one of the biggest automotive companies is planning to add LTE chips to vehicles to provide real-time data on engine performance. Some major global TV broadcasters are taking advantage of 4G by using LTE chips in cameras to transmit “live broadcasts” directly to the TV station.
Carriers are also jumping onto the LTE bandwagon. Verizon Wireless, one of the largest carriers in the world, is leaning heavily on LTE for its future services in the area of M2M [3]. The carrier sees the potential of LTE in
the utilities sector, where gas and electricity providers employ landlines or radio waves to monitor and gauge services via automated meter readers, and in logistics, where shipping companies can track cargo and fleet managers can monitor vehicle locations.
For Verizon Wireless, a refrigerator that automatically orders fresh milk online every two weeks or vending machines that notify a distributor of best sellers in that location in real time are no longer scenes from science fiction novels.
Despite the many advantages of LTE, there are also underlying challenges, one of which is frequency bandwidth allocation. Different frequencies have been allocated for 4G service around the world, leading to the fragmented nature of the global market.
It is a challenge that is already familiar for many carriers and telecommunication experts. 2G was
allocated eight bands of which four were taken up. 3G was allocated 16 bands of which nine were taken up. For 4G, the problem is compounded further by the availability of more frequency bands. For example, the LTE test specification has more than 40 frequency bands.
In the US, the allocated bands were previously used by analogue TV. AT&T, T-Mobile, Verizon and others
Bandwidth wars
are operating on the 700 MHz band (best for the macrocells covering rural areas). US operators are also using the 1800 MHz band.
In Europe, the situation is even more complex. Plans are currently underway to close down analogue TV and allocate its 800 MHz band for LTE service. This has already occurred in the UK, and has raised concerns about the possibility of interference with
Besides, Verizon Wireless is just one of the many global carriers now with a significant number of M2M connections. AT&T Mobility has the largest number with 13.3 million, followed by Vodafone with 7.8 million. Sprint Nextel has 3 million, while T-Mobile USA has 2.7 million connections [4].
Beyond the West, some of the major companies in the Middle East are also now investing into M2M. For example, the Abu Dhabi Company for Onshore Oil Operations (ADCO) in the United Arab Emirates recently initiated a project to develop a complete and integrated digital oil field system that will provide reliable, real-time communications between the many sensors located on the wellheads and the centralised control centre so that the entire operation can be monitored and controlled remotely [5].
And the devices used for these types of applications will most likely use LTE technology. ABI Research [6] predicts, however, that LTE handsets will be the primary LTE device for the foreseeable future, surpassing 80% of all device shipments in 2016.
GLOBAL CARRIERS WITH SIGNIFICANT NUMBER OF M2M CONNECTIONS
Source: Abi Research
5TÜV SÜD | It’s a LTE world
Freeview channels that use frequencies very close to those allocated to LTE. Ofcom, the UK regulatory agency, has acknowledged that there will be some interference problems, especially with short term devices such as alarms that are also close to the 800 MHz band.
The 2600 MHz band has already been allocated in Europe. However, some impatient European network operators have combined to free up the 1800 MHz band for LTE use in some markets including the UK and
Germany, further complicating a complex situation.
For manufacturers, this quagmire of a situation presents serious landmines. In reality, many phone manufacturers will be compelled to produce phones with certain specific bandwidths. The reasons are simple - limited capacity of their plants and cost efficiency. For example, phone makers may need to produce different phone models just to accommodate some of the frequencies that the carriers will be able to secure.
For consumers, it means that getting an LTE phone from their preferred carrier may not be an option. It will also impact the services of telecommunication carriers and consumers in the long run.
This, in turn, affects time-to-market. And in a market where regulators and consumers demand strict adherence to certification and launch deadlines, missing them can directly impact top and bottom lines.
So what does it take for manufacturers to join the LTE bandwagon? Essentially, getting devices ready for LTE involves two processes: testing and certification.
Testing is essentially done to ensure the specifications set by the regulator are met, and that the device will work with the carrier’s LTE network. Certification, on the other hand, is verifying that the device complies with all applicable regulations - usually carried out by a third-party certification body.
Historically, the testing process has taken three to four weeks. Despite many of the recent phone models containing up to 40% more transmitters, device manufacturers still expect the performance of each of these RF transmitters on each bandwidth to be tested and the entire test program to be completed within the same timeframe so as to meet product launch targets.
The process to demonstrate a device’s compliance with all applicable regulations and industry standards requires certain specified tests to be carried out, and may require that the results be checked and verified by an accredited certification body.
This can be done in several ways, including: 1. On-site testing by manufacturers’ own staff.2. Testing at local laboratories followed by liaison with the local certification body.3. At a test centre where there are project managers and certifiers who can organise and carry out the whole process under one roof.
The last is often seen as the most time and cost efficient option.
In addition, field tests and trials need to be conducted based on accepted standards. The tests must also take
Joining the LTE revolution
into consideration the geographical regions or markets (US, Europe, and Asia) if there are special requirements or regulatory considerations.
The safety and interoperability of a device, its immunity to interference by electromagnetic fields, and its lack of interference with other devices are also key when it comes to testing and certification. Aside from these, one of the core requirements is that the device functions correctly (interconnection, roaming, etc.) with the different mobile networks across the globe.
It’s a LTE world | TÜV SÜD6
With the complexity and time constraints involved with LTE testing and certification, choosing the right company can impact both competitiveness and business efficiency. It is important for manufacturers to choose one with the facilities to carry out the testing and certification process on time, and the wealth of expertise to provide the best advice and services.
TÜV SÜD, headquartered in Munich, Germany, is a leader in LTE regulatory testing and certification against the regulatory requirements for Japan, Europe and North America. To affirm its commitment, the company has invested a significant amount of
financial and technical resources specifically for LTE. Part of this investment was for the acquisition of new test equipment capable of simulating a complete LTE network.
To better serve global firms, the company has test centres in the UK, US, Singapore, Japan and a core hub in Hong Kong. TÜV SÜD can also project manage the total testing and certification process locally, in the appropriate language and time zone – all factors that save time and therefore cost.
Despite the increase in testing required for any one model, TÜV SÜD is able to hold to the timeframe of
Understanding the TÜV SÜD advantage
three to four weeks as required by customers.
Aside from handsets and other devices TÜV SÜD also tests and certifies base stations. Base station manufacturers have test facilities on site and TÜV SÜD’s experts are equipped with the right technical skills to use those facilities. Besides, TÜV SÜD already has exclusive arrangements with most of the leading handset and base station manufacturers.
At TÜV SÜD, expertise matters. Each client is serviced by an expert who is well versed with the challenges from manufacturing to marketing and sales.
Conclusion
The emergence of mobile phones supporting LTE is just the first step of the 4G revolution. As it becomes more ubiquitous, new LTE-based devices and innovations will enter the market that will forever alter the way we communicate, work, play and live. In some industries, such as automotive and broadcasting, this is already happening.
However, these technological advances will still rely on the right testing and certification services. In today’s connected Internet era, a misstep or missed deadline can mean the end to months of preparation and expected bottom lines. In fact, testing and certification might become the “Achilles’ heel” of the LTE revolution, and not having the right testing and
certification partner might even pose greater business risks.
TÜV SÜD’s strong expertise and worldwide facilities for testing and certification can help to mitigate these risks. As a tester, certifier or both, the company aims to ensure that tomorrow’s LTE leaders stay competitive today.
GLOSSARY OF ACRONYMS B2C – business-to-consumer CAGR – compounded annual growth LTE – long term evolution m-commerce – mobile commerce MHz – megahertz M2M – machine-to-machine
RF – radio frequency TD-CDMA – time division synchronous code division multiple access W-CDMA – wideband code division multiple access 2G – second generation 3G – third generation 4G – fourth generation
FOOTNOTES[1] “Carriers Relying on Voice over LTE Services to Improve Margins as Traditional Minutes of Use Decline”, last modified September 7, 2012, http://www.abiresearch.com/press/carriers-relying-on-voice-over-lte-services-to-imp[2] “Consumers Increasingly Using Mobile Devices as Their Default Gateway to the Internet, IDC Says”, last modified October 29, 2012, http://www.idc.com/getdoc.jsp?containerId=prUS23756512[3] “Closing in on the Future With 4G LTE and M2M”, last modified September 24, 2012, http://news.verizonwireless.com/news/2012/09/future-4G-LTE-M2M.html[4] “Report: M2M connections to soar to 359M in 2016”, last modified May 25, 2012,
http://www.fiercewireless.com/story/report-m2m-connections-soar-359m-2016/2012-05-25#ixzz2C1yTFiIv [5] “Abu Dhabi’s Oil Company ADCO Selects Redline’s Wireless Infrastructure to Enable Instant Communications to Wellheads”, last modified May 29, 2012, http://rdlcom.com/news/18/124/Abu-Dhabi-s-Oil-Company-ADCO-Selects-Redline-s-Wireless-Infrastructure-to-Enable-Instant-Communications-to-Wellheads[6] “LTE Subscriber Totals Have Surpassed WiMAX in 2Q12”, last modified September 26, 2012, http://www.abiresearch.com/press/lte-subscriber-totals-have-surpassed-wimax-in-2q12
Choose certainty. Add value.TÜV SÜD is a premium quality, safety and sustainability solutions provider that specialises in testing, inspection, auditing, certification, training and knowledge services. Represented in over 800 locations worldwide, we hold accreditations in Europe, the Americas, the Middle East and Asia. By delivering objective service solutions to our customers, we add tangible value to businesses, consumers and the environment.
TÜV SÜD AG Westendstr. 199, 80686 Munich, Germany+49 89 5791-0www.tuv-sud.com
