TELECOMITALIA GROUP
5G concretely: our Vision
5G: what’s Myth and Reality?
Turin, 22nd June 2015
O.PE.OP.TD - Technology, Development Plans & Cost Analysis
Daniele Franceschini
A journey already started, tracking a sustainable path
2
TRANSFORMATION AS THE COMPELLING PATH TO FUTURE
5G: myth and reality
The ecosystem is evolving
Daniele Franceschini - Technology, Development Plans & Cost Analysis
TELCOS ARE THE CENTRE OF A MULTI DIMENSIONAL CHALLENGE
Virtualization
IT evolution
TELCOs
Strong Telco competition
OTTs’ role on devices and Cloud services
Regulatory policies push
Telcos are moving towards the Digital Telco
paradigm
5G CAN BE THE
TRANSFORMATION CATALYZER
A new network and service concept based on flexibility
Ability to create and provide a multitude of new
services in a short time
Structural Efficiency in support of Innovation
DIGITAL
TELCOs
3
5G: myth and reality
5G is defining its pillars
Daniele Franceschini - Technology, Development Plans & Cost Analysis
How 5G is taking shape
5G RADIO INTERFACE
A VIRTUALIZED SYSTEM
NETWORK SLICING
NEW USE CASES AND
BUSINESS MODELS
5G IS NOT SO FAR AWAY
Where Telecom Italia is currently moving to
Wide LTE coverage
LTE-Advanced started
Fiber nearer and
nearer to the customer
Process of network
virtualization/SDN
already started
Development towards
a Digital Telco
Paradigm (e.g. Digital
identity, m2m, Sky…)
4
5G: myth and reality
What do we expect from 5G ?
Daniele Franceschini - Technology, Development Plans & Cost Analysis
DO WE NEED A BOOST IN TECHNICAL PERFORMANCE TO FACE THE KEY CHALLENGES
12-36 months 1-3 months
Fit most of service needs at
least at Macro layer
WHAT DO WE NEED MORE?
3Gbps 225Mbps
20 ms 10 ms
DL bitrate
Ping Latency
Launching a
new service
Time
Process Waterfall Fail to success
The ability to continuously provide services for the connected society that we don’t know a priori
A programmable NW to reduce Time to Market and ease technology deployment&decommissioning
New Service Creation Cycle (Beta version model), Flexibility, NW Capability to react quickly
5
5G: myth and reality
Network and IT Tranformation Journey
Daniele Franceschini - Technology, Development Plans & Cost Analysis
ACCESS
CONTROL LAYER
OSS
BSS
SERVICE LAYER
TOMORROW 5G
LTE AND LTE-A
FIBER FOR BH
VERTICAL
ACCESS\SERVICE
SPECIFIC
TARGET : FULLY PROGRAMMABLE AND REAL TIME NETWORK
SERVICE VELOCITY
AD HOC DEPLOYMENT
PROGRAMMABLE
STANDARD SOLUTION
FULL IP CLOUD RAN
HET NET VIRTUAL RAN
NEW RADIO INTERFACES
FOR AD HOC SERVICE
OSS/BSS «AS A SERVICE»
REAL TIME
TRANSPORT LAYER
TODAY
LAYERED
NETWORK
NFV/SDN
DIGITAL BSS
AGILE OSS
IP TRANSFORMATION
SON
SMAL CELL
90% MACRO CELL
FIBER BACK
AND FRONT
BIG
DATA CLOUD M2M IoT
SMART
CAPILLARY
ONGOING
F
I
X
E
D
M
O
B
I
L
E
L
E
G
A
C
Y
V
E
R
T
I
C
A
L
S
SILOS
MODEL
6
5G: myth and reality
Past experiences have taught us that …..
Daniele Franceschini - Technology, Development Plans & Cost Analysis
Is such a trend still sustainable?
Frequencies are expensive
Deployment investments are relevant
Monetization cycles are slow
A TECHNOLOGY STEP TAKES PLACE ONCE EVERY 8 YEARS
1995
2009
HSPA 7.2
2004
2014
4Gplus
2012
TIM launch
GSM 3G 4G
2000
EDGE
3G Auction: 13.8 B€
2000 2011
4G Auction: 3.9 B€ 700 MHz Auction?
2016-18 ?
AN AUCTION ON FREQUENCIES TAKES PLACE ONCE EVERY 7-10 YEARS
Spectrum
auctions in Italy
And technology stratification remains for long time…
7
5G: myth and reality
Daniele Franceschini - Technology, Development Plans & Cost Analysis
SYSTEM TECHNOLOGY SWAP SHOULD FOLLOW MARKET NEEDS RATHER THAN TECH PUSH
Some Players are pushing to have 5G
ready shortly (2018)
Which is the right timeline and how to
harmonize pushes from different players?
Technology maturity
Competition Demand-side
push
…… and technology transitions have to be managed
In 2002, far from the smartphone era, 3G was not mature yet while EDGE could fit most of mobile data market needs in Italy
1 player started to deploy 3G
All players followed
THE TALE OF EDGE AND 3G
They provided CS voice over WCDMA for years until an iphone came
Isn’t always like that ?!?
…but....
…and....
…so....
A balance is needed
between a few key
factors for a
harmonized
development
8
5G: myth and reality
Pursuing a proactive approach
Daniele Franceschini - Technology, Development Plans & Cost Analysis
STANDARIZATION IS RELEVANT BUT IT IS A PIECE OF THE BIG PICTURE
TRUE STANDARD FRAMEWORK
GUIDING ALL THE ONGOING
INITIATIVES ON VIRTUALIZATION
DEFINE A NEW RADIO INTERFACE
TO FIT SPECIFIC SERVICE AND
MARKET NEEDS FOR
LOCALIZED COVERAGE
IN PARALLEL DEFINE USE CASES
THROUGH FIELD INITIATIVES
A VIRTUALIZED SYSTEM
NETWORK SLICING
NEW USE CASES AND
BUSINESS MODELS
5G RADIO INTERFACE ► MULTITUDE OF IoT
DEVICES
► EXTREME LOW
LATENCY
► EXTREME BIT RATE
PICO
► D2D
► OSS
► BSS
► NETWORK
► IT
► BIG DATA
► CLOUD RAN ► FACTORY AUTOMATION
► MISSION CRITICAL (e.g.
PUBLIC SAFETY)
► CAPILLARY NETWORKS
Identity
& Security
Omnichannel
Experience
Big Data
Traffic
Explosion
M2M &
IoT
Always
Connected
9
5G: myth and reality
Telecom Italia Vision on 5G
Daniele Franceschini - Technology, Development Plans & Cost Analysis
5G WILL ENCOMPASS CURRENT AND NEW SOLUTIONS TO COVER A MULTITUDE OF USE CASES
5G IS THE COMPREHENSIVE ENABLER OF THE
FULLY CONNECTED DIGITAL SOCIETY
Inclusion of current and new
access technologies
Evolved real Time
programmable network
Open Service Layer for web
services coopetition scenarios
Cloud
Services
5G RADIO
INTERFACE
Lte MACRO
IT and Network virtualization
SON
NETAPI CONTROL
BSS OSS
BIG DATA
Digital factory Service Layer
Hybrid Cloud
RADIO
OSS
NETWORK
BSS
SDN
SERVICES STANDARD 5G
FRAMEWORK
STANDARDS
RESEARCH FIELD TRIALS
CONTINUOUS
DEVELOPMENT
Grazie