Optimizing the Investment in New Metro/Backhaul Infrastructure to Support an FTTx Evolution Project

Carsten Rossenhoevel Managing Director

1 Agenda

• MEF Mission and Scope • Membership and Status of the Forum

Attributes – Standardized Services – Scalability – Manageability • Interoperability Status • Current Projects – User-Network and Network-Network Interface – Mobile Backhaul

2 The Forum’s Mission

Accelerate the worldwide adoption of carrier-class Ethernet networks and services

1. Need and demand for a simple ubiquitous service 2. Requirement to scale network services to enable rapid deployment of applications 3. Availability of low cost, high bandwidth of Ethernet, beyond the LAN 4. Convergence of business, residential and mobile services

3 MEF Membership (Part 1 of 2) June 2008 Equipment Vendors, Test Companies, Lab Members

• Accedian Networks • D-Link • Ixia • SMC Networks • Actelis Networks • Do Networks • JDSU • Soapstone Networks • Adtran • Dowslake Microsystems • Juniper Networks • Spirent Communications • Adva Optical Networking • DragonWave • Lightstorm Networks • Sunrise Telecom • Aethera Networks • EANTC • Maipu Communications • T | Pack • Agilent Technologies • ECI Telecom • Matisse Networks • Tejas Networks • Aktino • Ericsson • Maxim • Telco Systems • Alcatel- Lucent • Ethos Networks • Motorola • Telcordia Technologies • AMCC • EXFO • MRV Communications • Tellabs • ANDA Networks • Extreme Networks • Nakina Systems • Telrad Networks • ARRIS International • FibroLAN • NEC • Transition Networks • Atrica • FiberHome Technologies • Nokia Siemens Networks • Transmode Optical • Aurora Networks • Fluke Networks • Nortel Networks Corp. • Transwitch Corporation • Axerra Networks • Foundry Networks • Occam Networks • Turin Networks • Bay Microsystems • Fujitsu Network Communications • Omnitron Systems • UNH-IOL • Broadcom • Gridpoint Systems • Overture Networks • UTStarcom • BTI Photonics • Hammerhead Systems • Qosera • Vitesse • CableLabs • Harris Stratex • PCT International • Wipro • Calix • Hatteras Networks • RAD Data Communications • Wintegra • Canoga Perkins • Hitachi Cable • Raisecom • Wuhan Fiberhome Networks • Ceterus Networks • Huawei Technologies • Resolute Networks • Zarlink Semiconductor • Ceragon Networks • IMC Networks • Rivulet Communications • Zhone • Corporation • Infovista • Safenet • ZTE Corporation • Cisco • Iometrix • Salira • Zyxel Communications • Corrigent Systems • IP Infusion

4 MEF Membership (Part 2 of 2) June 2008 Service Provider and Cable MSO Members

• AboveNet • IPC • Singapore Telecom • Alpheus Communications • KDDI R&D Laboratories • Sprint • AT&T • KPN Telecom • Suddenlink • Belgacom • Level 3 Communications • Swisscom • Bell Canada • ntl: Telewest • Symphony Communication • Bright House Networks • NTT Advanced Technology • TATA Communications • British Telecom • Optimum Lightpath • Telecom Italia • Cable & Wireless • Orange Business Services • Telekom Malaysia • Charter Communications • PCCW • Teliasonera AB • China Telecom • PT Inovação • Telus • Cincinnati Bell • PT Prime • Time Warner Cable • Colt • Qwest Communications • Time Warner Telecom • Comcast • RCN Business Solutions • T-Systems • Cox Business • Reliance Communications • Uecomm • Demand Broadband • Shanghai Information Network • Verizon Business

• Embarq 150 • XO Communications

130

110 90 … Now 148 Members 70

50 2006 2008

5 Carrier Ethernet Scope and Reach

Internet information HD TV, TVoD, VoD, Host applications, Gaming, DR, ERP Voice/Video & Software apps Content Providers Consolidated Servers Telephony

Video Source

Carrier Ethernet

Carrier Ethernet wire-line and mobile backhaul with copper, fiber , cable, wireless access network delivery

Enterprise Clients Small/Medium Business SoHo & Residential Triple-Play Mobile data/video

6 Ethernet is Everywhere

… Is there anything left to do?

7 Each Standards Body Has An Angle

Working inward Working outward from the edge from the core

Making it work together

8 Specifications Timeline May 2008

MEF 4 MEF 7 MEF 12 MEF 16 Architecture EMS-NMS Architecture ELMI MEF 6.1 MEF 10.1 MEF 11 MEF 15 Ethernet Service MEF 2 Service UNI MEF 17 Definitions Phase 2 Protection Management Attributes Framework Phase 2 Service OAM

2001-3 2004 2005 2006 2007 2008

MEF 13 MEF 18 MEF 3 MEF 10 UNI-IA Circuit Emulation Circuit Service Services Test Suite Emulation Attributes MEF 14 Phase 1 Traffic MEF 19 Management UNI Type 1 MEF 6 MEF 8 Test Suite Test Suite Service Circuit Emulation Definitions MEF 9 Services Test Suite

9 Carrier Ethernet Is Great!

… But What Do We Mean By “Ethernet”?

10 “Ethernet” – Different Points of View

• Ethernet as a point-to-point link ƒ IEEE 802.3 view • Ethernet as a packet switched network (PSN) infrastructure ƒ IEEE 802.1 (bridging) view ƒ ITU-T SG15 / SG13 managed Ethernet network view • Ethernet as a service ƒ MEF view – user-to-user transfer of 802.3 frames over any transport layer ƒ Think E-Line, E-LAN and (soon) E-Tree

11 Carrier Ethernet – Service Provider View

• A set of interconnected network elements transporting Carrier Ethernet services for all users, locally & worldwide • Carrier Ethernet services are carried over physical Ethernet networks and other legacy transport technologies

12 Carrier Ethernet – User View

MEF has defined Carrier Ethernet as • A ubiquitous, standardized, carrier-class Service and Network defined by five attributes that distinguish it from familiar LAN based Ethernet

13 The End Goal is Carrier Ethernet

Carrier Ethernet is a ubiquitous, standardized, carrier-class SERVICE defined by five attributes that distinguish Carrier Ethernet from familiar LAN based Ethernet

Attribute 1: Standardized Services

14 Standards Enable Standardized Services

Point-to-point EVC, E-Line Point-to-Point EVC Like Duplex Ethernet CE CECE CE UNI UNI UNIUNI

Multipoint EVC, CECE Multipoint EVC Like VLAN, E-LAN UNIUNI CECE Multi-Site UNIUNI Any-to-any

Point-to-multipoint, Like EPON Ethernet, CECE E-TREE UNIUNI Root-to-Leaf and Rooted Multipoint Rooted Multipoint EVC Leaf-to-Root (proposed) CECE UNIUNI

UNIUNI CECE

15 The End Goal is Carrier Ethernet

Carrier Ethernet is a ubiquitous, standardized, carrier-class SERVICE defined by five attributes that distinguish Carrier Ethernet from familiar LAN based Ethernet

Attribute 2: Scalability

16 Standards Enable Scalability

Carrier Ethernet supports identical services over many physical media • Enterprise customers: Flexible business services • Residential customers – Scalable Triple Play Services • Mobile Carriers – Broadband data services (3G/4G/WiMax) Easily upgradeable; backwards compatible Several transport technologies add the notion of hierarchy to a Carrier Ethernet network (like MPLS, PBB/PBB-TE, MPLS-TP) – enable large numbers of customers in a Carrier Ethernet network

Transport technologies MPLS Backbone mentioned as examples Network

Provider Bridge MPLS-TP Network (802.1ad) Network

17 Ethernet Fiber Access Link Options

Maximum Symmetric Bandwidth Future

10Gbps Point-to-Point FTTx 10GBase-LR/PX 1Gbps 1000Base 1000BASE-LX (SMF) 100Mbps B/L/PX10

100Base-L/BX10 1000 (Single Mode Fiber) Base- 10Mbps PX20 Ethernet over Copper PON

750m 2000m 5000m 10km 20km Minimum Reach

• Fiber-based Ethernet access offers more bandwidth/distance flexibility • Multiple options for Ethernet in the First Mile and GE-PON available • Æ Requires an upgrade to metro and core networks

18 The End Goal is Carrier Ethernet

Carrier Ethernet is a ubiquitous, standardized, carrier-class SERVICE defined by five attributes that distinguish Carrier Ethernet from familiar LAN based Ethernet

Attribute 3: Service Management

19 Influence of OAM On Infrastructure Cost

• Ethernet vendors often advertise low investment (Capex) costs • What about operational cost (Opex)? – Largest fraction of opex cost: Provisioning and troubleshooting – Carriers cannot afford to field service the FTTx components in the edge • Ethernet OAM (IEEE 802.1ag) eliminates field service needs • Can be deployed across different types of technologies used for Metro Ethernet Networks • Also assists in fast fault detection and isolation (leads to reliability)

20 Standards Enable Service Management

Customer Service Provider Customer

Eth Access MPLS Core MPLS Access Customer Domain Service Provider Domain OAM

Operator Operator Domain Operator Network Domain Domain OAM

MEP MPLS Domain MPLS PW/MPLS MIP Domain OAM

– Performance Monitoring (ITU-T Y.1731) – Service OAM (CFM, IEEE 802.1ag) – Link OAM (EFM, IEEE 802.1ah) – E-LMI (MEF 16) MEP = Maintenance End Point MIP = Maintenance Intermediate Point

21 Mobile Backhaul Interoperability Showcase

Detailed whitepaper available at http://www.eantc.com/mobile_backhaul

22 Physical Topology

23 Ethernet Service OAM Interoperability

• Growing number of implementations • Highly improved interoperability in the last 24 months • 12+ vendors successfully tested at EANTC

24 Current Projects

(Excerpt)

25 E-NNI Specification Editor: Steve Holmgren, at&t

E-NNI

Provider 1 Provider 2

• Nobody has footprint everywhere. The interconnection of Carrier Ethernet networks is one of the last hurdles for ubiquitous Ethernet services • Need a common language for peering • E-NNI is a reference point representing the boundary between two Carrier Ethernet Networks, each in a different administrative domain • Draft # 4 is the latest version; many comments pending

New Approved Straw Letter Approved Project Draft Ballot Ballot Specification

26 UNI Type 2 Editor: Shahram Davari, PMC-Sierra

Subscriber Subscriber

UNI Metro UNI End- Private Ethernet Private End- Customer Customer user Network Network Network user S (MEN) S

Ethernet Virtual Connection

• Allows provider equipment to provision, configure and distribute EVC information and attributes to customer equipment. • Allows customer equipment to retrieve EVC status and configuration information from service provider equipment. • Adds fault management and protection functionalities beyond those specified in UNI Type 1. • Letter Ballot passed last week (June 2008)

New Approved Straw Letter Approved Project Draft Ballot Ballot Specification

27 Carrier Ethernet for Mobile Backhaul

• Customers are used to bandwidth Traffic increasing Gap between GapGapGap between between between traffic traffic – for the same price traffictrafficand and and revenue revenuerevenue increasesincreases • Bandwidth solutions must be augmented Revenues inexpensively to maintain Voice Dominant revenues Source: Light Reading

28 Carrier Ethernet for Mobile Backhaul

• Unlimited scalability and ubiquity • Reliability with full SLA support and full OAM capabilities • Smooth transition from legacy networks – Protects investment and seamlessly bridges from TDM to Ethernet over time

29 Ethernet Backhaul IP DSLAM and 3G/3.5G Base-stations Backhaul

Central Office Remote Office / Outdoor Cabinet

Ethernet Backhaul

Ethernet Switch Remote IP DSLAM Residential Customer

Cellular Base Station

Central Office

Ethernet Backhaul

Ethernet Switch Ethernet

30 Thank You! – Questions?

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