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Advancements in Femtocells 3G/4G Femtocells and Applications Kim Flowers Director CDMA Product Management Motorola Home & Networks Mobility Business CDG Technology Forum Philadelphia, PA September 30, 2009

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Advancements in Femtocells3G/4G Femtocells and Applications

Kim FlowersDirector CDMA Product Management

Motorola Home & Networks Mobility BusinessCDG Technology Forum

Philadelphia, PASeptember 30, 2009

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

CDG Forum: Increasing Network Capacity through New Technology Innovations

* (European Femtocell Market Frost & Sullivan –Feb’2009)

Challenges and opportunities for operators:• Data traffic is expanding • ~ 90% of mobile data services is accessed inside buildings * • Macro expansion is costly• Striving to achieve lower cost per bit• Reduce Churn and Increase ARPU

Revenues

Source: Informa, 2008

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

CDG Forum: Increasing Network Capacity through New Technology Innovations

Femtocells offer a less expensive alternative to macrocellular network for improving in-building coverage

Femtocells achieve cell splitting gainsFemtocells off load Macro networkFemtocells generate opportunities for in home and SoHo value-added

services

Why Femtocells?:

Challenges and opportunities for operators:• Data traffic is expanding • ~ 90% of mobile data services is accessed inside buildings * • Macro expansion is costly• Striving to achieve lower cost per bit• Reduce Churn and Increase ARPU

* (European Femtocell Market Frost & Sullivan –Feb’2009)

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Agenda

Femtocell market

Femtocell overview

Motorola’s award winning CDMA 9100 Femtocells

Potential Femtocell applications

4G Femtocells architecture considerations

Summary

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Femtocell Market Drivers

• Mobile market still booming – smart phones

• Cell phone usage at home and in offices

• Indoor coverage not satisfactory for 3G networks

• Broadband market booming - faster speeds, new applications

• Data usage will help drive operator ARPU

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Global Femtocell Market Gaining Traction

• Sprint femtocells - commercial availability in 2008

• Softbank announced launch of commercial service Oct’08 (UMTS)

• Starhub femtocells - commercial availability in 2008 (UMTS)

• Verizon launched femtocells early 2009

• Vodaphone UK launched femtocells – Mid’2009 (UMTS)

• Comcast expects to rollout WiMax femtocells

• AT&T's femtocell trial underway

• China Mobile testing TD-LTE femtocells

• Numerous trials and increasing operator interest in femtocells

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Worldwide Femtocell Units by Technology

40,777

17,5055,848907127200 12,9726,7141,535245381013,7344,995

99123171204

1,108587278112351220

20,000

40,000

60,000

80,000

100,000

Uni

ts (K

)

CY07 CY08 CY09 CY10 CY11 CY12 CY13CDMAGSM/G

PRS

CDMA2000/E

V-DO

W-CDMA/H

SPA

Calendar Year

Worldwide Femtocell Units by Technology

Source: Infonetics Research, Femtocell Access Points, Market Share and Forecast, March 2008

CDMA Femtocells are commercially available in the US today!

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

A femtocell is an indoor base station for residential and SoHo markets

6. Femtocells are integrated into a mobile core network by a concentrator 5. Femtocells are

manageable remotely

2. Femtocells support standard 3G handsets

3. Femtocells use consumer’s broadband connection for backhaul

1. Femtocells provide excellent 3G coverage and capacity in the home

4. Femtocells are low power and self-configuring to minimize interference

Mobile Core Network

(Circuit, Packet, IMS Services)

Private TDM Access

Public Broadband IP

service

3G 3G

Concentrator

Management

Femtocells solve the challenge of poor 3G mobile coverage, low bandwidth and high mobile usage costs in the home

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Benefits to Mobile Operators and End Users

Better in-home coverage

Highest quality voice

High data rates

Increase talk-time

New connected home services

Access to 3G services and multiple devices from a single handset

Benefits to End Users

Off-loads networks costs

RAN savings – housing, cooling, etc

Capacity relief for macro layer

Improves coverage in home

Enables targeted home zone packages

Speeds Fixed Mobile Substitution

Reduces churn & increases stickiness

Benefits to Mobile Operators

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

IMS/SIPCore

Legacy MSC

Femtocell Commercialization Challenges

FNG

Consumer-Targeted PlatformNeed: Residential price points

Need: Identify Valuable Data Services as a substitute for declining voice revenues

Requirement: Highly cost-optimized design, WiFi, DSL, open interfaces, plug and play approach- integrated CPE flexible services platform

Interference ManagementNeed: Minimal Femtocell/Macrocell interferenceRequirement: Intelligent, automated RF planning

Core Network IntegrationNeed: Cost-effective aggregation of millions of femtocells

providing relative service parity between macro and femto environments

Requirement: Secure, standard, operationally manageable

Management and ControlNeed: For the operator to manage millions of femtocells and

for the consumer to easily manage one femtocell

Requirement: remote access, scalable management system for the operator. Plug and play for the consumer.

Femtocells1X/DO 1x/DO

SecurityNeed: to securely extend operator’s network into the

home of a customer

Requirement: CPE and network-based access control, utilizes 3GPP2 recommended approach and operators’existing security processes

BroadbandIP Access

EnhancedCSG

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

3G/CDMA Femtocell ArchitectureEnd-to-end proven technology

Home PC (Ethernet)

DO laptop

Set-tops

Mobile Devices

Broadband IP Access

Mob

ile C

ore

Net

wor

k

Home Products

Fixed / wireless backhaul

Existing 1X,DO handsets

CPE & RAN Gateway

ManagementCPE and n/w management

Femtocell Network Gateway

Femtocell Network Gateway

CDMA femtocell CPE

Standalone femtocell

Design, Deployment, Integration,Support Services

Wireless Network Services

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Motorola’s award winning CDMA 9100 Femtocell

• Won CES, CTIA, IEC BBWF awards in 2009

• Enhanced femto application

• Fixed Mobile Convergence from the home device

• A consumer oriented product:– user-friendly

– easy to use and manage

• One bill, One Phone and Single Service Provider

Digital Picture Frame femtocell w/Integrated touch screen and soft phone

Consumer Electronics Show Innovations 2009 Design and Engineering Award

CTIA Wireless 2009Emerging Technology AwardsIn-Building/Local Area NetworkSolutions - First Place

IEC, Broadband World Forum 2009Infovision Award Winner

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Motorola CDMA 9100 - It’s a Smart Book for the SoHo Market

• Dual-mode femtocell solution

• Multi-Band options

• Standards based interfaces

• Plug and Play with simple to use touch screen

• Opportunities for new value added services

Motorola CDMA 9100 is a Converged Device

• Supporting Wireless communication

• Offering Mobile computing• With Consumer based electronics

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Gaming

Social NetworkingM-Commerce

EnterprisePush to Talk

Media DownloadsStreaming Radio and TV

Location Based Services

Home Automation

Femtocell

Entertainment

Enhanced

Voice & Messaging

Enterprise

Presence & Location

Multimedia Messaging

VoiceVirtual Phone-PC

Femtocells Enabling New Value Added Services

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

The next femto frontierDigital Home Networking with ECONS/Femtocell

Internet

ECONS/FemtocellHome B

Cellular

PSTN

OperatorAAA, Presence, etc

POTS

Ethernet

WiFiHome Router

Home A

PCs

ECONS/Femtocell

ECONS - EEdge Convergence Server is home gateway

• Integration with Fixed Phone Services: Dual phone ringing• Media Sharing: Ability to move media between mobile, PC, IPTV• Data off-load: Within the Home Network; To the Internet; To the Mobile core

Home Entertainment

Mobiles

Data card laptops

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

4G/LTE Femtocell Architecture Considerations

PDN-GW

SGW/MME

Macros Femtos

Option 1: Direct Connect

S1

S5

Option 2 : HeNB GW

PDN-GW

SGW/MME1

Macros Femtos

Option 3: Separate EPC

S1

S5

SGW/MME2S10

S1

S5

Attributes

PDN-GW

SGW/MME

Macros Femtos

S1

S5

HeNB-GW

• Separate Macro & Home Networks Independently Scalable

• Complementary with incumbents in “home”

• Option to add HeNB-GW to increase SG/MME capacity

• Common/Shared Core• Introduction of HeNB-GW

enables wide-scale Femto Deployment

• Common/Shared Core• Limited Femto Deployment

HeNB-GWS1’

S1’

Technical challenges• Plug-n-play operation• Coverage requirements• Dynamic interference mgt• Backhaul

• Device management• Mobility / handoffs• Security• Enterprise requirements

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

LTE Femtocell Success Criteria

Femtocell must overcome technical challenges

Femtocell LTE standards completion

CDMA2000 3G and LTE Common Path• Coexistence and evolution to LTE from 3G• Seamless handoffs, service transparencies

Multimode/LTE capable mobiles• Management• Open, closed, hybrid subscriber groups

Femtocell integrated with home gateway in the future will drivevolume, and reduce cost

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Summary

• Femtocells support network topology enhancement for capacity and coverage improvements

• Femtocells are here today for 3G and will be available with 4G

• Femtocells support market for new value added services enhancing end-user experiences

• Femtocells as a gateway allow the operator to strengthen their position in the home market

• Motorola is a global leader in delivering high-volume CPEs and deploying mobile and fixed networks

• Motorola’s solutions leverage our deep expertise in home, cellular and enterprise networking

MOTOROLA and the Stylized M Logo are registered in the US Patent and Trademark Office.All other product or service names are the property of their respective owners. © Motorola, Inc. 2009. MOTOROLA Home and Networks Mobility

Thank You!