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Emerging Technologies in Mobile and Wireless Data Network Evolution Proceedings of the Research Seminar on Telecommunications Business Helsinki University of Technology Publications in Telecommunications Software and Multimedia Teknillisen korkeakoulun tietoliikenneohjelmistojen ja multimedian julkaisuja Espoo 2003 TML-C11 Emerging Technologies in Mobile and Wireless Data Network Evolution Proceedings of the Research Seminar on Telecommunications Business Editor Sakari Luukkainen ISBN 951-22-6622-9 ISSN 1455-9749 2 Helsinki University of Technology Telecommunications Software and Multimedia Laboratory P.O. Box 5400 FIN-02015 HUT Tel. +358-9-451 2870 Fax. +358-9-451 5253 Helsinki University of Technology Telecommunications Software and Multimedia Laboratory Publications in Telecommunications Software and Multimedia Teknillisen korkeakoulun tietoliikenneohjelmistojen ja multimedian julkaisuja TML-C11 Espoo, 2003 Emerging Technologies in Mobile and Wireless Data Network Evolution Proceedings of the Research Seminar on Telecommunications Business II, spring 2003 Editor: Sakari Luukkainen (Lic.Tech.) Keywords: mobile networks, wireless neworks, telecommunication business & investments, UWB, AdHoc, UMTS, WLAN, SDR, CDPD, EDGE, MMW, 60 GHz, MPEG-4, MVAS, Wireless Instant Messaging, Mobile Entertainment The articles have been written by the students of the course T-109.551 Research Seminar on Telecommunications Business II in the spring 2003. The authors have full copyright to their articles. Technical editing by Eino Kivisaari. http://www.tml.hut.fi/Studies/T-109.551/2003/Proceedings.pdf ISBN: 951-22-6622-9 ISSN: 1455-9749 URN:NBN:fi-fe20031401 3 Preface Mobile and wireless technologies are now in a discontinuous phase. As cellular mobile networks evolve from enhanced GSM to next generation systems by pro- viding faster data connections, personal area networks (PAN) and wireless local area networks (WLAN) are also gaining popularity. Several wireless technologies are emerging, the success of which is unclear due to complex market dynamics, technology development and risks related to both. WLANs have already proved their effectiveness in the indoor business usage by extending the evolution of fixed LANs but the transition from voice to data in mo- bile networks has so far been slow despite the high expectations. Do we see in the outdoor data usage a complementary development of wireless and mobile tech- nologies or does a single radio interface take a dominant role in the future like in the case of GSM? The experiences gained so far indicate that it is very difficult to predict the demand of new technologies and related services. Nevertheless, the launch of a service or R&D project usually requires large investments which imply big risks. The devel- opment of end user behaviour is more incremental than discontinuous. That is why it seems that we need parallel incremental evolution of services during the revolu- tion of radio related technologies. Another important issue is to realize that each emerging radio interface has its own strengths and weaknesses both in economic and technical terms. It is likely that the future network environment is a heterogenic multi-radio network which provides the end user a single subscription with differ- ing service quality depending on the geographic area in question. This publication is a collection of research reports written during the course Re- search Seminar on Telecommunications Business at Helsinki University of Tech- nology. The course is especially designed for students taking Telecommunications Management for their major but is as well suitable for all students that like to de- velop their techno-economic analysing skills in the telecommunications area. The aim of the Telecommunications Management major is to help the students to under- stand the structure and dynamics of economic life and industry with a special focus on the telecommunications by combining business and technology studies. The course provides an opportunity to rehearse scientific writing and presentation skills. The goal of the spring 2003 seminar was to investigate the challenges service providers face when updating their network infrastructure to offer emerging mobile and wireless data services taking into consideration both business and fast develop- ing technology requirements and possibilities. One major challenge is to move from a technology-oriented to a business/service-oriented approach. As a result of hard work we have now a collection of interesting papers of several possible technological scenarios in the mobile and wireless data network evolution. I want to thank all the contributors from excellent papers as well as lively discus- sions during the seminar sessions. Sakari Luukkainen Espoo, June 5th.2003 4 Contents Sami Vesala and Katja Koivu Positioning EDGE in the Mobile Network Evolution .................... 6 Guoyou He UMTS and Its Market Analysis .................................................... 16 Yaojin Yang UMTS Investment Study .............................................................. 25 Feng Yue CDPD Service .............................................................................. 32 Tapio Sokura 5 GHz WLAN ............................................................................... 37 Riku Honkanen WLAN Operator Cases ................................................................. 42 Henrik Petander and Olli Savolainen Ad Hoc Networking as an Internet Access Technology................ 51 Olli-Pekka Isola and Ari Haapaniemi Market Strategy Evaluation of Ultra Wide Band Technology ...... 57 Eino Kivisaari 60 GHz MMW Applications......................................................... 61 Kai Kuikkaniemi Introduction to Software Defined Radio ....................................... 66 Mihai Burlacu and Sonja Kangas MPEG-4 Technology and Business Strategies.............................. 71 Kimmo Palletvuori Changing MVAS Environment ..................................................... 75 Qinghai Li MMS and WIM Technology and Business ................................... 81 Min Chen Mobile Entertainment ................................................................... 89 5 Positioning EDGE in the Mobile Network Evolution KATJA KOIVU SAMI VESALA TELECOMMUNICATIONS SOFTWARE COMMUNICATIONS LABORATORY AND MULTIMEDIA LABORATORY HELSINKI UNIVERSITY OF TECHNOLOGY HELSINKI UNIVERSITY OF TECHNOLOGY P.O. BOX 3000, 02015 HUT, FINLAND P.O. BOX 5400, 02015 HUT, FINLAND [email protected] / [email protected] [email protected] / [email protected] ABSTRACT 2 CELLULAR NETWORK EVOLUTION In this paper, we present EDGE technology along with its Cellular radio networks are generally divided into three business opportunities. EDGE gives GSM the capacity to generations. handle services for the third generation of mobile net- Analogue cellular systems, such as Nordic Mobile Tele- works. EDGE was developed to enable the wireless trans- phone (NMT), are considered to be the first generation of mission of large amounts of data at a higher speed than cellular technologies. before. EDGE will allow GSM operators to use existing GSM radio bands to offer IP-based multimedia services The second generation is the present digital network gen- and applications. Implementing EDGE will be relatively eration which includes systems like Global System for easy and will require relatively small changes to network Mobile communications (GSM), Digital Cellular System hardware and software. (DCS), Digital Advanced Mobile Phone System (D- AMPS), and Interim Standard –95 (IS-95). The second generation includes also enhancements to GSM: High 1 INTRODUCTION Speed Circuit Switched Data (HSCSD), General Packet Radio Service (GPRS) and Enhanced Data rates for GSM EDGE technology gives GSM the capacity to handle ser- Evolution (EDGE). These enhancements are called the vices for the third generation of mobile networks. EDGE generation 2G+ or 2,5. was developed to enable the wireless transmission of large amounts of data at a higher speed than before. According to International Telecommunications Union (ITU) specifications, the third generation cellular networks EDGE will allow GSM operators to use existing GSM will offer data transmission speeds up to 2Mbps. Univer- radio bands to offer IP-based multimedia services and ap- sal Mobile Telecommunications System (UMTS) is one plications at theoretical maximum speeds of 384 kbps with of the mobile communications systems being developed a bit-rate of 48 kbps per timeslot and up to 69.2 kbps per within the ITU framework known as International Mo- timeslot in good radio conditions. bile Telecommunications IMT-2000. Implementing EDGE will be relatively easy and will re- quire relatively small changes to network hardware and software as it uses the same TDMA (Time Division Mul- GSM 9.6kbps UMTS tiple Access) frame structure, logic channel and 200 kHz 2Mbps carrier bandwidth as today’s GSM networks, which al- lows existing cell plans to remain intact. HSCSD 57.6kbps This paper focuses on firstly studying the technology be- GPRS hind EDGE and secondly on studying business related 115kbps EDGE issues. 384kbps This paper is organized as follows. Sections 2 and 3 1999 2000 2001 2002 2003 present cellular network evolution along with mobile ser- vice evolution towards 3G. In Section 4, EDGE technol- Figure 2.1. Evolution paths of GSM towards third ogy is studied. Section 5 presents vendors EDGE strate- generation networks gies. In Section 6, EDGE enabled services are presented. Section 7 shows terminal availability. In Sections 8 and 9 The different GSM evolution paths are shown in Figure EDGE investment costs and
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