Copyright © , by University of Jyväskylä ABSTRACT Manninen, Ari. T. Elaboration of NMT and GSM Standards. From Idea to Market Jyväskylä: University of Jyväskylä, 2002, 335 p. (Studia Historica Jyväskyläensia, ISSN 0081-6523; 60) ISBN 951-39-1786-X Finnish Summary Diss. The focus of this study is on elaboration of NMT (Nordic Mobile Telephone) and GSM (Global System for Mobile communications) standards. It seeks to understand the standard-making process from a system’s philosophy to market entry. The specific objectives of the study are 1) to reconstruct the original ideas of innovation, 2) to reconstruct standardization processes of NMT and GSM systems, 3) to reconstruct interplay and impact of key players during standardization process, and 4) to explain success of NMT and GSM standards. Analyzing processes of two successful mobile communication standard-making aims to reveal what were the specific Nordic standardization practices and principles, and what were the most important issues that were adopted to standardization of following generations. The role of Nordic countries is not just focused on direct impact on standardization process, but also to indirect outcomes of practices of other countries. The basic shortcomings of existing studies relates to national study approach or supremacy of theory over empirical facts. In order to avoid these weaknesses, this study implies methodology of history and original sources. Standardization process is not seen as a deterministic process, but as interplay with standardization environment (key players) and circumstances. The major findings of this study relates to the importance of basic view (philosophy), to necessity of flexibility, balanced cooperation and certain purposefulness and independency in crisis situations for the committee responsible in standard-setting. Historically the most important observation is, that Nordic countries were unique in understanding the relationship between technology and society; that technology is socially shaped and it had to serve needs of society. This basic starting-point gave tremendous lead to Nordic countries. Keywords: cooperation, cellular mobile telephony, standardization, standards, history of NMT and GSM Author’s address Ari T. Manninen Anttoninkatu 26 A 2 FIN-40250 Jyväskylä, Finland Email: [email protected] or [email protected] Supervisors Professor Kalle Lyytinen Department of Information Systems The Weatherhead School of Management Case Western Reserve University, Cleveland, USA Professor Toivo Nygård Department of History University of Jyväskylä, Jyväskylä, Finland Reviewers Docent Martti Häikiö University of Helsinki, Helsinki, Finland Doctor Oiva Turpeinen University of Helsinki, Helsinki, Finland Opponent Professor Reino Kero University of Turku, Turku, Finland ACKNOWLEDGEMENTS This study was a part of STAMINA (STANDARDIZATION AND THE MAKING OF INFORMATION INFRASTRUCTURE: The case of Mobile Telephone Standards) research project at the Department of Computer Science and Information Systems at the University of Jyväskylä, funded by the Academy of Finland. The aim of this study was to serve objectives of the STAMINA project. It was not always easy for a historian to understand mentality of computer scientists, but multi-cultural and multidisciplinary project turned out be challenging and rewarding opportunity. I learnt a lot of new skills while acting as a “Master sergeant” of STAMINA group. Sometimes requirements and wishes I had to solve seemed nearly impossible to fulfill. Afterwards I am pleased that professor Kalle Lyytinen was such a demanding leader, because behind one mountain peak there was always even bigger one. I am also grateful to my colleagues Vladislav Fomin, Juha Knuuttila, Anri Kivimäki and Ping Gao. To work with you guys was unforgettable. I can still nearly hear the crackle and whining of three scanners we operated in a tiny working room at Uppsala Provincial Archive. I am also thankful for the affiliate of STAMINA Group in the USA: Professor John Leslie King and Joel West.. I always got help from persons who were involved in standardization of NMT and GSM systems. Those modest pioneers did not want to take credit for what they had done, even when they started a revolution in mobile communication. They surely changed my idea of an engineer. Particularly I want to thank Hans Myhre and Thomas Haug for their ever-lasting willingness to introduce me into the secrets of NMT and GSM. Several persons in various archives gave tremendous input to satisfy our requirements. Without them, my life could have been quite miserable. Particularly I remember helpfulness of staff of Sonera archive and Uppsala Provincial Archive. I also want to thank Department of History for allocating resources to language corrections and Agora Department for grant to finalize this thesis. When I was writing the “NMT Report”my bother Esa Manninen helped me with language issues. I am very thankful, that he was able to organize his own schedule in such a short notice. Finally I want to thank my wife and children for patience. I guess that quite often they might have thought, who on earth is living in the workroom behind the closed door! Ari T. Manninen Jyväskylä, March 2002 CONTENTS ABSTRACT ACKNOWLEDGEMENTS 1 INTRODUCTION .............................................................................................. 11 1.1 Frame of reference ........................................................................................ 11 1.1.1 Technology and standards: from concepts to practice................... 11 1.1.2 Previous studies................................................................................... 14 1.1.2.1 Mobile telephony..................................................................... 14 1.1.2.2 Standardization of mobile telephony ................................... 17 1.1.3 Research objectives and approach .................................................... 18 1.1.4 Sources and methodology.................................................................. 20 1.1.4.1 Sources ...................................................................................... 20 1.1.4.2 Methodology and realization of study ................................. 21 1.1.5 Special terms used ............................................................................... 23 1.2 Dawn of mobile telephony.......................................................................... 24 1.2.1 Adopting mobile telephony ............................................................... 24 1.2.2 Socio-Technical restraints of cellular telephony ............................. 30 2 STANDARDIZATION OF THE NORDIC MOBILE TELEPHONE (NMT) SYSTEM ............................................................................................................... 36 2.1 The Situation in the Nordic countries........................................................ 36 2.1.1 Societal reasons behind cooperation in telecommunications........ 36 2.1.1.1 Economic integration .............................................................. 36 2.1.1.2 Nordic cooperation in telecommunications ........................ 39 2.1.2 Market ................................................................................................... 41 2.1.2.1 Operators .................................................................................. 41 2.1.2.2 Pre-cellular networks .............................................................. 43 2.1.2.3 Market potential....................................................................... 45 2.1.2.4 Manufacturers.......................................................................... 48 2.1.2.5 The relationship between operators and manufacturers... 53 2.2 Development of the NMT system .............................................................. 55 2.2.1 Preparatory phase................................................................................ 55 2.2.1.1 The establishing of the NMT Group and its objectives...... 55 2.2.1.2 Prerequisites for Pan-Nordic use .......................................... 59 2.2.1.2.1 The solution of the frequency issue ....................... 59 2.2.1.2.2 Other administrative questions .............................. 62 2.2.1.2.3 Signaling .................................................................... 64 2.2.1.3 The implementation of the system........................................ 65 2.2.1.3.1 Basic operational requirements .............................. 65 2.2.1.3.2 Approach in implementation of requirements..... 67 2.2.2 Development phase............................................................................. 70 2.2.3 Ensuring implementation................................................................... 70 2.2.3.1 Rationale for the development of a new system ................. 70 2.2.3.1.1 Rationale for executing a system tests ................... 72 2.2.3.1.2 Time schedule............................................................ 73 2.2.3.2 Defining of system to enable purchase................................. 75 2.2.3.2.1 Frequency planning and capacity estimates ......... 75 2.2.3.2.2 System tests................................................................ 77 2.2.3.2.3 MTX specifications and procurement .................... 79 2.2.3.2.4 MS specifications and type approval ..................... 84 2.2.3.2.5 BS specifications ........................................................ 87 2.2.4 Implementation and further development...................................... 89 2.2.4.1 Construction