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1 Spectrum: Applications, Trends, Spectrum: Applications, Trends, and the Crunch for Spectrum and the Crunch for Spectrum FCC TAC Meeting: September 18, 2002 FCC TAC Meeting: September 18, 2002 Nitin J. Shah Chief Strategy Officer ArrayComm, Inc. [email protected] www.arraycomm.com

Spectrum: Applications, Trends, and the Crunch for Spectrum

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Page 1: Spectrum: Applications, Trends, and the Crunch for Spectrum

1

Spectrum: Applications, Trends, Spectrum: Applications, Trends, and the Crunch for Spectrumand the Crunch for Spectrum

FCC TAC Meeting: September 18, 2002FCC TAC Meeting: September 18, 2002

Nitin J. ShahChief Strategy Officer

ArrayComm, [email protected]

Page 2: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 20022

OutlineOutline

• Wireless access systems

• Applications and market segments

• Adaptive antennas

• Economics of wireless networks

• Spectral efficiency

• Recommendations

Page 3: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 20023

Wireless Access SystemsWireless Access Systems

• Multiple Access Systems• TDMA, CDMA, OFDM (decreasing order of maturity)

• Modulation techniques• BPSK, QPSK, QAM (increasing requirements on linearity,

power and cost)

• Error correction coding• Large family of error correction techniques, based on target

performance requirements (voice, data, retransmission etc)

• Performance• Based on combinations of the above technologies• Most robust schemes use appropriate combination + adaptive

modulation and link layer adaptation to achieve maximum and consistent multi-user performance

• System capacity and end user device complexity drive the network economics

Page 4: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 20024

Applications and SegmentsApplications and Segments

• LAN (> 10 Mb/s) (e.g. W-LAN, 802.11)• High bandwidth, short range (cordless-like), unlicensed

spectrum

• WAN for voice (~ 8 kb/s) (e.g. GSM, CDMA; 2G)• Low bandwidth, low latency, wide area, licensed spectrum

• WAN for wireless data (~ 50 kb/s) (e.g. 2.5 and 3G)• Moderate (and variable) bandwidth, wide mix of proposed

services, wide area, licensed spectrum

• WAN for Personal Broadband Services (> 1Mb/s)• High bandwidth, wide mix of services, wide area, licensed

spectrum

• Need dramatically new physical and network layer technology to provide cost-effective broadband services

Page 5: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 20025

Fixed Local Area Wide Area

Access LandscapeAccess LandscapeBr

oadb

and

Nar

row

band

Spee

d

2G

2.5G

3G

Mobility

W-LAN

BluetoothProprietary

i-BURST

Personal Broadband

MMDS/FWA

Cable/DSL

Dialup

Satellite

Page 6: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 20026

“Smart” Antenna Systems “Smart” Antenna Systems R

elat

ive

Perfo

rman

ce(D

ata

Cap

acity

, Ran

ge)

Increased Range

(baseline)

Single user Multiple simultaneous users

Switched diversityMaximal Ratio Combining

Beam-forming

Relative Complexity

AA Beam-forming

AA Beam-formingwith scheduling

AA Beam-formingwith scheduling& info encoding

Sectorization

Increased Range &

Data Capacity

(Taxonomy provided by Tom Marchok, Intel CapitalAA: Adaptive Antennas)

Page 7: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 20027

Base Station Architecture forBase Station Architecture forAdaptive AntennasAdaptive Antennas

BasebandPA

Controller

IFInterface

RF SystemNetwork Interface

Management

Antenna

“Bolt-on” solution (beamforming)Costly: Performance gain < tens of %

Baseband

“Built-in” solution*Integrated, cost-effectivePerformance gains of multiple times

* Moore’s Law is critical

Page 8: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 20028

Adaptive Spatial Processing ConceptsAdaptive Spatial Processing Concepts

2as1(t)

User 2,s2(t)ejωωωωt

• Users’ signals arrive with distinct relative phases, amplitudes• Signal Processing provides gain and interference mitigation• Multiple Antennas raise performance gains

User 1,s1(t)ejωωωωt

as1(t) as1(t)

SUM

2bs2(t)

bs2(t) bs2(t)+ -

DIFF

Page 9: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 20029

Fading AdjustmentsFading Adjustments

• Array diversity reduces fading margin

• 8-16 dB improvement for 10 element array

Single element in fading Array in fading

Page 10: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 200210

MultipathMultipath Adjustments In nonAdjustments In non--LOS LOS and cluttered environmentsand cluttered environments

• Adaptive Antennas eliminate uncorrelated multipath

• Simplifies equalizer design

Single element multipath Antenna array multipath

Page 11: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 2002

Spatial Channels: Supporting Two Users on Spatial Channels: Supporting Two Users on the Same Channel in the Same Cellthe Same Channel in the Same Cell

•Frequency Re-use drops below 1, and approaches 1/3•Spectral efficiency rises to > 4 b/Hz/s/cell in a loaded multi-cell network

Page 12: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 200212

0.0

0.2

0.4

0.6

0.8

1.0

1.2

0 200 400 600 800 1000Subscribers per Base Station

Performance Requirements for BroadbandPerformance Requirements for Broadband

(Mbps)

Dat

a ra

te p

er u

ser

Source: Qualcomm, Ericsson, ArrayComm, 2002

Requirement for Personal Broadband

3GCDMA 2000 1XRTTGPRS

Go to Backup

Page 13: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 200213

Adaptive Antenna Technology in Adaptive Antenna Technology in the DDIthe DDI--Pocket PHS network Pocket PHS network

3 Million UsersARPU $52/mo

Year 1997 1999 2002PHS Data Access

Speed w/ IntelliCell 32 kbps 64 kbps 128 kbps

PHS Service PricingData32 kbps Unlimited Use $32/mo128kbps Unlimited Use $72/mo

E-mailP-mail (<20 chars) $0.07 ea Light mail (<45 chars) $0.07 eaDX mail (<2000 chars) $0.08 ea

OtherLocation look up VariesMusic download $0.11/min

+song feeDigital picture exchg Airtime chg

PHS Devices

Sanyo color handset

Honda Electron Data card

Sanyo handset w/ MP3 player

Kyocera Bluetooth adapter

Fujitsu laptop w/imbedded

PHS

PHS Base Stations

30,000 DDI PHS Base Stations w/

IntelliCell®

> 850,000 data-only subscribers

Page 14: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 200214

Wireless Network EconomicsWireless Network Economics

• COST ELEMENTS:• Spectrum

• (FDD vs TDD: > 100:1 ratio for $/MHz-POP)

• Radio access network

• Network infrastructure

• Management, billing, provisioning and services

• End user equipment

• Customer acquisition, installation and marketing

Page 15: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 200215

Unit Economics of a Wireless NetworkUnit Economics of a Wireless Network

ARPU

UT

BTS

Site LeasePwr/Maint

Site Acq Prep

Backhaul

CPGA

TS

NOC

Billing

NOC/Support

Eng&Svc

ISPBackhaul

Cell range Network Costs Minimum # of Max # of Min to breakeven

Covered Direct Costs # of Subs to reach max # subs % Network Utilization

Population per month Break Even Total Capacity at breakeven

Cell range NetworkEconomics

System capacityand user price

System capacity

Efficiency ofcapital in thenetwork

• Why 3G cannot compete with DSL/Cable* • Why W-LANs do not scale**• Why a new solution is required

*NTT-DoCoMo**The Shosteck Group

-“Lemmings Jumping Off WLAN Cliff”

Page 16: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 200216

Price of Wireless Data ServicesPrice of Wireless Data Services

Price of wireless data

$-$1.00$2.00$3.00$4.00$5.00$6.00$7.00$8.00$9.00

$10.00

$- $50.00 $100.00 $150.00 $200.00 $250.00

PRICE: $/month

PRIC

E: $

/Mby

te

We pay $ 2.50/Mbyte for voice AND wireless data today

We pay < $ 0.20/Mbyte for wired Internet service

We expect to pay $ 40/month for > 100 Mbytes/monthSource: current US cellular and PCS wireless data pricing plans

Speed: lowPrice: highDevices: limited

TARGET

Page 17: Spectrum: Applications, Trends, and the Crunch for Spectrum

FCC TAC September 18, 200217

Spectral Efficiency: Spectral Efficiency: Yesterday, Today and TomorrowYesterday, Today and Tomorrow

• Legacy systems have spectral efficiency ranges of 0.01 to 0.2 b/Hz/s/cell

• Should we put metrics in place to benchmark this?

• If we were to provide “broadband” vs voice services using the same benchmark, we would have to devote > 500 MHz of new spectrum for even a few % subscriber penetration

• Improvements in spectral efficiency of today’s systems lower costs, improve performance, and grow existing businesses

• Greater than ten-fold increase in spectral efficiencies (over 3 b/Hz/s/cell) are needed to meet the market needs of new (Personal Broadband) Services

• Adaptive Antennas are KEY to achieve this performance