Broadband/IP/Cloud Computing

Presentation to the Colorado Telecommunications Association

www.cellstream.com (c) 2011 CellStream, Inc. 1 www.cellstream.com (c) 2011 CellStream, Inc. 2 www.cellstream.com (c) 2011 CellStream, Inc. 3 www.cellstream.com (c) 2011 CellStream, Inc. 4 www.cellstream.com (c) 2011 CellStream, Inc. 5 Past vs. Present

The Past – 20th Century The Present – 21st Century • Peer-to-Peer with broadcast • Many-to-Many with multicast • Mix of Analog and Digital • All media is digital – single • Producers supply transport Consumers • All media is connected • Peer-to-Peer is 1:1 • Many-to-Many is M:N o Traditional Telephone • Producers and Consumers • Broadcast is 1:N do both o Newspaper o CNN takes reports from Twitter o TV/Radio o End users send pictures and reports

www.cellstream.com (c) 2011 CellStream, Inc. 6 Where are we in Phone Evolution?

PHONE 1.0 PHONE 2.0 PHONE 3.0

Soft phone Your Phone Number Your Phone Number Your Phone Number represents where you represents you represents an IP Address – are (e.g. 972-747- regardless of where you independent of location 0300 is home, 214- are. and appliance you are 405-3708 is work) using (e.g. IP Phone, Cell Phone, PDA, Computer, Television, etc.)

www.cellstream.com (c) 2011 CellStream, Inc. 7 Phone 3.X • Examples of Phone 3.0 are Skype, Google Talk, others on a PC. • Phone 3.1 – Skype on an iTouch • Phone 3.2 – Android OS from Google – a phone Centric OS that runs on cellular appliances • Phone 3.3 – Android OS from Google that runs on a Phone Appliance

www.cellstream.com (c) 2011 CellStream, Inc. 8 Where are we in TV Evolution?

TV 1.0 TV 2.0 TV 4.0

The Internet

Black and White Enhanced Display, Recording "Over the Top" Video Services / Shows / TV 1.5 TV 3.0 Programming from the Internet

The television is now a computer. The set top box is a piece of software that runs on the TV!

Color Digital High Def www.cellstream.com (c) 2011 CellStream, Inc. 9 Where are we in Computer Evolution?

Computers 1.0 Computers 3.0 Computers 5.0

Cloud Computing Cloud Mainframe Networking

Computers 2.0 The Personal Computer Accessing Processing, Applications, Networking on the Computers 4.0 Internet without local storage

www.cellstream.com (c) 2011 CellStream, Inc. 10 Mini Computers Handheld & Networked Computing Evolution to Digital Transport

• More than 75% (easily) of our transport capacity is IP Traffic • Enablers: o Internetworking o Reduction in cost of memory and processing o Reduction in size, power, and cooling of processing o Reduction in cost and size of storage • Bad News: o Bandwidth is a commodity who’s price is plummeting o We may not be on top of the change

www.cellstream.com (c) 2011 CellStream, Inc. 11 Connectivity Today - 2011

• Does a POTS (Plain Old Telephone Service) Line mean: “truly connected”? • 21st Century connectivity requires more than a POTS line -- requires a “pipe” to the information and services offered by the Internet Cloud

The Internet

www.cellstream.com (c) 2011 CellStream, Inc. 12 www.cellstream.com (c) 2011 CellStream, Inc. 13 The Bandwidth Inequity

How much speed?

Internet Ethernet

Remote Terminal Residential Gateway 1 /sec (Router)

www.cellstream.com (c) 2011 CellStream, Inc. 14 Wireless 3G vs. 4G

Technology 3G 4G

Frequency band 1.8 - 2.5GHz 2 - 8GHz

Bandwidth 5-20MHz 5-20MHz

100Mb/s moving - 1Gb/s Data rate Up to 2Mb/s stationary

Access W-CDMA VSF-OFCDM and VSF-CDMA

FEC Turbo-codes Concatenated codes

Switching Circuit/Packet Packet

www.cellstream.com (c) 2011 CellStream, Inc. 15 Reality Check for Wireless • 4G is in progress at best – there is much stretching of the facts (e.g. 4GLTE) • There is no 5G – wireless technology has hit the /hertz wall, but who knows what the future will bring • Limit appears to be mobile 100Mb/s • Does not mean we should not deploy wireless in our own networks

www.cellstream.com (c) 2011 CellStream, Inc. 16 How Many Bits? • Assume 100,000,000 (100M) Households • 1 = Binary Digit • Each gets 100,000,000 • 8 Bits = 1 • 1000 Bits = 1 (100M) Bits/Sec • 1000 = 1 • = 10,000,000,000,000,000 • 1000 = 1 Gigabit • 1000 = 1 Bits/Sec Total Bandwidth • 1000 = 1 • 10,000,000 Gigabits/Sec • 1000 = 1 • 10,000 Terabits/Sec • 1000 = 1 • 1000 = 1 • 10 Petabits/Sec • 1000 Yottabits = 1 Brontobit • 1000 Brontobits = 1 Geopbit

Note: Just considering the Urban numbers

www.cellstream.com (c) 2011 CellStream, Inc. 17 Defining Customer Types

• Some will want plain old telephone service (Lifeliners) • Some will want just cell phones (new Jet Set) • Most will want a blend of the services we have discussed – Voice/Video/Gaming/Internet • Drives one thing…hint – the thing we sell…. BANDWIDTH www.cellstream.com (c) 2011 CellStream, Inc. 18 End User Services • Approximately 3 television • 3 x 10 Mb/s viewing points (HDTV/MPEG-4) – These can be live/or Video on Demand

• Internet Access • 3 x 10 Mb/s – Includes on-line Gaming and other Internet needs

• IP Telephone • 1Mb/s

TOTAL ~ 60Mb/s

Note: Should consider other applications for SOHO (video conferencing), Small Business (Security Camera monitoring), etc.

www.cellstream.com (c) 2011 CellStream, Inc. 19 Epiphany #1: More Bandwidth

• We must understand the end users and their needs • We must understand the applications and how they are being used on a constant basis • We must understand the competition in this highly competitive and low margin bandwidth climb • We must continue to be masters of the technology

www.cellstream.com (c) 2011 CellStream, Inc. 20 What is the IPv6 Protocol?

– Next generation IP – Primary goal: extend the addressing space • Embraced unique IP address for everything • Increased from 32 bits to 128 bits • More address types, More hierarchy – IP header simplification to improve per-hop processing – Maintained the Quality of Service capabilities of IPv4 – Introduce New Functionality • Multicast, Mobility features • Binding updates, Autoconfiguration • Built-in IPsec including Encryption and Authentication

www.cellstream.com (c) 2011 CellStream, Inc. 21 Why did we develop IPv6?

• Concerns for consumption of IPv4 address space began in the early 1990’s o In 1991, the Address Lifetime Expectations (ALE) Working Group studied projections about address consumption rate and showed exhaustion by 2008 o A “Bake-off” was planned for mid-1994 to select an approach of a new protocol over multiple layers of encapsulation to expand addressing • Larger numbers of networked devices (mobile phones/devices, more internet users, and new industry advancements in transportation) foreseen

www.cellstream.com (c) 2011 CellStream, Inc. 22 Growth of the IPv4 Network BGP Table

• This table shows the number of addresses contained in the core IPv4 BGP routing tables • If you were to connect to a Tier 1 network you would receive approximately 366,000 routes

Data as of 6/2011 Source: http://bgp.potaroo.net/as2.0/bgp- active.html www.cellstream.com (c) 2011 CellStream, Inc. 23 Growth of the IPv6 Network BGP Table

• This table shows the number of addresses contained in the core IPv6 BGP routing tables • If you were to connect to a Tier 1 network you would receive approximately 6,600 IPv6 routes

Data as of 6/2011 Source: http://bgp.potaroo.net/v6/as2.0/index.html

www.cellstream.com (c) 2011 CellStream, Inc. 24 IPv6 Can Restore End-to-End Global Addressing • The Internet began with unique global addressing and end-to-end connectivity for any application • Usage of NAT and Application-Layer Gateways connect private networks over public networks • Peer-to-Peer or Server-to-Client applications mean global addressing when you connect to – Distributed Gaming – IP Telephony, Fax, Video Conf NAT ALG – Instant Messaging Private Public Private – Mobile, Residential Today

– Remote Monitoring IPv6 Future

End-to-End Global Addressing

www.cellstream.com (c) 2011 CellStream, Inc. 25 How Many addresses?

• Total of 2^128 possible addresses • Using 2^64, works out to around 36M addresses per square meter of earth!

km^2 # IPv6 Addresses Resulting # IPv6 Addresses/m^2 340,282,366,920,938,000,000,000,000,000,000,000,0 00=Total (2^128)

Land 148,940,000 18,446,744,073,709,600,000* 123,853,525 Water 361,132,000 51,080,336 Total 510,072,000 36,164,981

* Used 2^64, assuming first 64 bits are reserved/network www.cellstream.com (c) 2011 CellStream, Inc. 26 Managing IPv6 Address Allocations

• Five Regional Internet Registries (RIRs) oversee IPv6 address allocation and assignment of Internet number resources in the various regions of the world o ARIN is the Regional Internet Registry for Canada, many Caribbean and North Atlantic islands, and the United States. http://www.arin.net o AfriNIC is the Regional Internet Registry serving Africa. http://www.afrinic.net o APNIC is the Regional Internet Registry serving the Asia-Pacific region. http://www.apnic.net o RIPE NCC is the Regional Internet Registry serving Europe, the Middle East, and parts of Central Asia. http://www.ripe.net o LACNIC is the Regional Internet Registry serving Latin America and the Caribbean region. http://www.lacnic.net www.cellstream.com (c) 2011 CellStream, Inc. 27 IPv6 ISP/SP Deployment Activities

• Tier 1 Service Providers are actively supporting IPv6 • Tier 2 SP’s are ready in the US, have begun support • Independent and Tier 3 – very few engagements, but window to prepare is open • ISPs have to get an IPv6 prefix from their Regional Registry • IPv6 support largely driven by customer demand • Europe and Japan are leading the worldwide deployment of IPv6

www.cellstream.com (c) 2011 CellStream, Inc. 28 How to get an IPv6 allocation? • IPv6 address space at ARIN o http://www.arin.net/registration/ipv6/index.html • Allocation policies o http://www.arin.net/policy/ipv6_policy.html • The minimum registry allocation for IPv6 is ::/32 • The resulting customer allocations are expected to be: o ::/48 in the general case, except for very large subscribers o ::/64 when it is known that only one subnet is needed by design o ::/128 when it is absolutely known that only one device is connecting without privacy expectations

www.cellstream.com (c) 2011 CellStream, Inc. 29

www.cellstream.com (c) 2011 CellStream, Inc. 30 Epiphany #2: More Bandwidth

• IPv6 has a minimum packet size of 1280 (compared to 68 bytes in IPv4) – bigger packets! • The IPv6 address is 4 times the size of IPv4 • More devices = more network capacity needs • The Apple iPad accounts for 2% of Internet traffic in the US

www.cellstream.com (c) 2011 CellStream, Inc. 31 White Hot Internet Applications

• Cloud Computing • Cloud Networking • Cloud Storage

www.cellstream.com (c) 2011 CellStream, Inc. 32 Cloud Deployment Modalities

• Public Cloud – Variety of Cloud Service Providers and applications – Unrestricted user base – Largely Web browser based interfaces – Reduced cost (hardware, software, personnel) – Best for collaboration (HR, CRM, etc.) • Private Cloud – Restricted access within an enterprise or group – Internal shared resource, not commercial – Higher control, security, ownership and cost • Hybrid Cloud – Portion of the applications based in the Public Cloud – Portion of the applications based in the Private Cloud

www.cellstream.com (c) 2011 CellStream, Inc. 33 “Cloud Services”

• “Cloud Services” are computing and communication services that are available “in line”, though the Internet Connection • There are three types: – Infrastructure as a Service (IaaS) - consists of server, storage and local network resources made readily available to an enterprise and billed based on the level of each resource actually consumed during the billing period – Platform as a Service (PaaS) - consists of tools, operating system platforms, and storage necessary for developers to create new Web applications available to developers on a pay-as-you-use basis – Software as a Service (SaaS) – consists of software applications that are available in the form of a network-based service, in that users access them across a wide-area network using on-demand licensing

www.cellstream.com (c) 2011 CellStream, Inc. 34 IaaS – Infrastructure as a Service • Consists of server, storage and local network resources • Billed based on the level of each resource actually consumed during the billing period • Target customer is the enterprise or business • Service Provider gives the customer access to an empty container, in which the business customer installs its own operating systems, applications and storage data • Employees of the company then simply accesses these servers and programs as resources in the cloud • Usually an unmanaged service • This service saves enterprises from making upfront and ongoing investments in the underlying foundation of servers, storage devices and local network connections as the business grows and requirements change • Further justified by offsite datacenter advantages such as power and cooling costs, power backup, and controlled/reliable access

www.cellstream.com (c) 2011 CellStream, Inc. 35 PaaS – Platform as a Service

• Consists of the tools, operating system platforms, and Dev Tools storage necessary for developers to create new Web-based applications OS Space • Target customer is serve the application development community such as Storage enterprise programmers, large independent software vendors (ISVs) or entrepreneurs inspired by the “app store” model in the mobile industry – Programmers, for example, can leverage new Web services application programming interfaces (APIs) and protocols residing in the cloud to quickly develop a new application • Also allows developers to push their code out to the cloud when it is ready and immediately make it available on an Internet-wide scale to internal users, consumers and other customers, some of whom may choose to deploy it, it turn, in a software as a service (SaaS) model • This service is usually an unmanaged cloud service • Billed on a pay-as-you-use basis, without requiring the hefty upfront investments that can get in the way of entrepreneurship and may stifle innovation • Another cost barrier to entry is reduced when developers store their code and data in the cloud, using and paying for only as much storage space as needed www.cellstream.com (c) 2011 CellStream, Inc. 36 SaaS – Software as a Service • Consists of software applications that become available in the form of a network-based service, in that users IP Phone access them across a wide-area network • Provides an alternative to the customer buying software Database licenses, loading the software on a self-built and self- Office App maintained computing infrastructure and having to keep pace with software patches and version updates • Target Customer: Anyone! • This service is a cost-effective way for customers to procure rights to use software as needed – By using on-demand licensing, customers get the benefits of commercially licensed use without the associated complexity and potential high initial cost of equipping every device with application software • Usually a fully managed service • The provider maintains both the software and hardware environment on behalf of the customer with no requirement for IT personnel to do any customization or version tracking, patching and updating

www.cellstream.com (c) 2011 CellStream, Inc. 37 Cloud Networking

• Networking the Cloud Service is key to successful deployment • Enterprise networking is becoming “content rich” – video • Key Issues arise: – Reliability and Performance of the WAN • Need high performance and availability of critical applications • Impacts productivity, connectivity, customer relations, partner relations • Must be transparent for control and monitoring – Routing Optimization • Minimize network imbalance, maximize available bandwidth • No limits to device types , locations, reachability – Security • Transparent use of the Internet • Protection of data per policies • Safe provisioning, management and operations

www.cellstream.com (c) 2011 CellStream, Inc. 38 General Advantages of “The Cloud”

• Consists of computing, networking and storage • When application or resources are in the cloud, you need less resources and power in the hands of the users – Capital Cost reduction – Operational and Maintenance reduction – Less support needed in terms of people (what, no IT?) • Accessibility is anywhere that the Internet access or interface exists – no longer geographic – Uses VPN technologies (e.g. MPLS L3 or L2 VPN) • Usually scalable and flexible on a pay as you go basis – Computing and networking is similar to the Electricity model – little hardware – pay as you use – Rapidly expandable and contractible

www.cellstream.com (c) 2011 CellStream, Inc. 39 Epiphany #3: More Bandwidth

• More and more services will be made available via the Internet connection • Businesses will depend on security and resilience of offsite storage and computing with time to build trust • Central Offices are becoming Data Centers

www.cellstream.com (c) 2011 CellStream, Inc. 40 Thank You!

Check us out at www.cellstream.com!

www.cellstream.com (c) 2011 CellStream, Inc. 41