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LTE Femtocell Roadmap
                   From Concept to Reality

                            Todd Mersch
               Director of Product Line Management
www.ccpu.com                                    Confidential and Proprietary
At a Glance
                                              Over 150 Customers Worldwide


               Protocol Software



                     LTE
                     DPI
                   Femtocell


    ATCA                       Professional
   Platforms                     Services




 “Smarter, Faster, Cheaper” LTE Mobile Broadband
www.ccpu.com                                                  Confidential and Proprietary   2
The Big Picture
   Apple sold 7.4M iPhones in Q3
   Intel reports blowout Q3 on strong mobile business; Atom rev up 14%
   AT&T sells Nokia netbooks for $300 with 2 year contract
   Verizon’s CTO: “Metered broadband is the future”

  And…                                   Operators need…

               Traffic
                         Revenues &                               Femtocells =
                         Traffic Gap                               Cheapest
                          Widening                                  Bit Pipe

Voice Era
                           Revenues

                     Data Era

                                         LTE = Fastest Bit Pipe                  DPI = Smartest Bit Pipe


                                The “Exa-Flood” is Coming…
www.ccpu.com                                                                       Confidential and Proprietary   3
LTE Momentum

     GSA, the Global mobile Suppliers Association, confirms 42
     LTE network commitments in 21 countries

     GSMA predicts that 14 LTE networks will be in service by
     the end of 2010 growing to more than 30 by the end of
     2012

     According to Light Reading, LTE products have been
     tested, trialed and commercially announced in the market
     by more than 75 vendors


www.ccpu.com                                       Confidential and Proprietary   4
LTE RAN Options

   Macro network
        Multi-sector, broad coverage
        High-speed mobility

   Small cells
        Pico / Micro / Femto
        Broadband experience



   “Inside out” deployments
        60% - 70% of time indoors
        Targeted in-building
        services offerings


www.ccpu.com                           Confidential and Proprietary   5
Femto’s Role in LTE
    Coverage                                     LTE Femtocell Solution
       Greater indoor signal strength   Targets early      Provides LTE coverage
       Small cell deployment for mesh   adopter users      Low-power & self-configuring to
                                        demanding          minimize interference
       coverage                         increased          Aligns with LTE standards
                                        performance
                                                           Leverages users’ broadband
    Churn
       Consumers expect higher
       quality of service
       Poor performance increases
       churn

    Capacity
       Less users / shared channel                        LTE
                                         LTE macro                      LTE femtocell
                                                          metro
       Closer to cell = better signal   base station
                                                        femtocell
                                                                      converged device




www.ccpu.com                                                        Confidential and Proprietary   6
Anatomy of an LTE Femtocell

                GPS
                         Downlink      Home eNodeB Application
                           PHY                                                Measure, Dynamic
                                       Intercell   RB   Connection  Radio
                                                                              Config & Resource
                                         RRM     Control Mobility Admission
                                                                              Provision Allocation
               Timing
                                                RRC
                          Uplink                                                                     OA&M
  RF                                           PDCP                            S1-AP
                           PHY
 Module                                         RLC                                         eGTP
                                                MAC
                                                                               SCTP
                                      Silicon Convergence Layer
                          Network                                                   IPSec
                PHY                                   LTE-Uu
                         Monitoring                                                    IP
MIMO RF        Support
                                                                                       S1
                Turbo                                                                                                IP
               Decoder
                                                                                                                  Backhaul
                FPGA     Modem        Host Processor




www.ccpu.com                                                                                     Confidential and Proprietary   7
The Five Key Hurdles

  1) Integrated Silicon

  2) Standards

  3) Self Organization and Optimization

  4) Backhaul

  5) Deployments


www.ccpu.com                              Confidential and Proprietary   8
LTE Femtocell Si Putting the Pieces Together


                                                    LTE Modem / PHY
                                                                                           es             w3
                                                                                                             G
                                                                                         on             o
                                                                                       tZ          Sn
                                                                                   us
               Multi-core L2 / L3 Processor                                      Tr Security Acceleration

                                                                          A              u   mi
                     U                  M             SP                PG            as                 S
                NP                   AR           D                    F          K                   AE

                                                    Custom Silicon                Timing & Location
                Header Compression                           oin ,
                                                          e P ion




                                                                     Pe M, p,
                                                                t




                                                                       rce TI,
                                                       ric rat




                                                                        O hi
                                                    r P teg




                                                                     QC icoC

                                                                          llo
                                                we In




                                                                       p
                                              Lo her
                                                  g




                         RoHC, IPHC, etc                                               NTP, IEEE1588, GPS
                                               Hi




                                            Integrated Silicon a Must

www.ccpu.com                                                                                      Confidential and Proprietary   9
HeNB Network Standardization
               E-UTRAN Architecture                                                 What are the unique
                                                                                   management & security
                                                                                      requirements?
                                                              Optional HeNB
                                                                Gateways                  Is there an HNBAP-
       MME / Serving GW         MME / Serving GW
                                                                                               like protocol
                                                                                                  needed?
               S1                        S1
                                                         S1                   S1
                                  S1
                    S1




                                                    S1

                           X2

                    X2
      eNodeB                      X2       eNodeB             HeNodeB              HeNB Gateway


                                         Do we leverage




                                                                                             S1
                                                                                     S1
                                        X2AP for femto-to-
                                       femto coordination?
                         eNodeB                                           HeNodeB             HeNodeB



www.ccpu.com                                                                               Confidential and Proprietary   10
SON: Golden Goose, Needed Standard, or Both?

     Self Configuration                                     IP

           Extend TR-069 / TR-196                 HeNB
                                                                            ACS
           Static and dynamic, zero touch


     Self Optimization
           Beyond interference minimization
           Coordinated optimization among cells


     Dichotomy
           “Golden patent” vs. standards
           Algorithms vs. messaging

www.ccpu.com                                             Confidential and Proprietary   11
Backhaul, Everybody’s Problem
     “Exa-Flood” is jamming the pipe
           Already a challenge today
           Common hurdle for all wireless technologies

     Residential issue
           Need FTTH / FTTC
           Happening… but fast enough?

     Metro issue
           Local fiber loops
           Leverage fixed WiMAX

     Smart pipes
           Backhaul optimization leveraging DPI
           Internet Offload applications
www.ccpu.com                                             Confidential and Proprietary   12
LTE Femtocell Deployments
     Initial LTE deployments not using femtocells
           Verizon, NTT DoCoMo have expressed interest
           Solutions are not ready today


     Good for the LTE Femtocell
           Small cells as overlay to macro networks
           Time for diversity of devices to grow


     LTE femtocell as THE DIFFERENTIATOR
           Boost to performance
           Improved QoE for first wave of early adopters



www.ccpu.com                                               Confidential and Proprietary   13
Example LTE Deployment




2G

3G

LTE
                     2010                                2020

• LTE Network Overlay                     • Long Term: 3G migrates to LTE
• Existing 2G / 3G Network for Coverage   • 2G to Support Roaming
• LTE Femto for Capacity                  • LTE Macro for Coverage

      www.ccpu.com                                              Confidential and Proprietary   14
LTE Femtocell Report Card
 Hurdle        Grade The Good                            The Bad
 Silicon         C+      Aggressive roadmaps              Min 12-18 months away from
                         Tier 1 femto entrants           integrated silicon
 Standards       C+      Architecture standard           Ability to focus efforts in 3GPP
                         Specific work item in 3GPP
 SON            D/B      Public and private investment   Limited standards efforts
 Backhaul        B       Primarily an investment issue   Expensive and required
                         Backhaul optimization tech
 Deployment      B+      42 commitments                  In-service vs. broad coverage
                         14 networks by end of 2010

   A = ready today
   B = ready within 12 months
   C = ready in 12 to 36 months                   Field Trials ~ 12 to 18 Months
   D = greater than 36 months                    Deployments ~ 24 to 36 Months
   F = no solution in sight

www.ccpu.com                                                             Confidential and Proprietary   15
Conclusions
     Benefits of small cells for LTE remain seductive
           Better performance and QoS   Unmatched QoE
           Staged, hotspot deployment models


     Industry mobilizing to deliver solutions
           12 to 24 months away from “field trial”-ready ecosystem
           Investments being made in all key technology areas


     Let’s not forget the 3G femtocell, either
           3G femtocells available today
           LTE femtocell is not necessarily the “upgrade”


www.ccpu.com                                                   Confidential and Proprietary   16
Questions & Comments
                            Todd Mersch
                   Director, Product Line Management

               www.ccpu.com/products/trillium/lte.html
www.ccpu.com                                           Confidential and Proprietary

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LTE Femtocell Roadmap- From Concept to Reality

  • 1. LTE Femtocell Roadmap From Concept to Reality Todd Mersch Director of Product Line Management www.ccpu.com Confidential and Proprietary
  • 2. At a Glance Over 150 Customers Worldwide Protocol Software LTE DPI Femtocell ATCA Professional Platforms Services “Smarter, Faster, Cheaper” LTE Mobile Broadband www.ccpu.com Confidential and Proprietary 2
  • 3. The Big Picture Apple sold 7.4M iPhones in Q3 Intel reports blowout Q3 on strong mobile business; Atom rev up 14% AT&T sells Nokia netbooks for $300 with 2 year contract Verizon’s CTO: “Metered broadband is the future” And… Operators need… Traffic Revenues & Femtocells = Traffic Gap Cheapest Widening Bit Pipe Voice Era Revenues Data Era LTE = Fastest Bit Pipe DPI = Smartest Bit Pipe The “Exa-Flood” is Coming… www.ccpu.com Confidential and Proprietary 3
  • 4. LTE Momentum GSA, the Global mobile Suppliers Association, confirms 42 LTE network commitments in 21 countries GSMA predicts that 14 LTE networks will be in service by the end of 2010 growing to more than 30 by the end of 2012 According to Light Reading, LTE products have been tested, trialed and commercially announced in the market by more than 75 vendors www.ccpu.com Confidential and Proprietary 4
  • 5. LTE RAN Options Macro network Multi-sector, broad coverage High-speed mobility Small cells Pico / Micro / Femto Broadband experience “Inside out” deployments 60% - 70% of time indoors Targeted in-building services offerings www.ccpu.com Confidential and Proprietary 5
  • 6. Femto’s Role in LTE Coverage LTE Femtocell Solution Greater indoor signal strength Targets early Provides LTE coverage Small cell deployment for mesh adopter users Low-power & self-configuring to demanding minimize interference coverage increased Aligns with LTE standards performance Leverages users’ broadband Churn Consumers expect higher quality of service Poor performance increases churn Capacity Less users / shared channel LTE LTE macro LTE femtocell metro Closer to cell = better signal base station femtocell converged device www.ccpu.com Confidential and Proprietary 6
  • 7. Anatomy of an LTE Femtocell GPS Downlink Home eNodeB Application PHY Measure, Dynamic Intercell RB Connection Radio Config & Resource RRM Control Mobility Admission Provision Allocation Timing RRC Uplink OA&M RF PDCP S1-AP PHY Module RLC eGTP MAC SCTP Silicon Convergence Layer Network IPSec PHY LTE-Uu Monitoring IP MIMO RF Support S1 Turbo IP Decoder Backhaul FPGA Modem Host Processor www.ccpu.com Confidential and Proprietary 7
  • 8. The Five Key Hurdles 1) Integrated Silicon 2) Standards 3) Self Organization and Optimization 4) Backhaul 5) Deployments www.ccpu.com Confidential and Proprietary 8
  • 9. LTE Femtocell Si Putting the Pieces Together LTE Modem / PHY es w3 G on o tZ Sn us Multi-core L2 / L3 Processor Tr Security Acceleration A u mi U M SP PG as S NP AR D F K AE Custom Silicon Timing & Location Header Compression oin , e P ion Pe M, p, t rce TI, ric rat O hi r P teg QC icoC llo we In p Lo her g RoHC, IPHC, etc NTP, IEEE1588, GPS Hi Integrated Silicon a Must www.ccpu.com Confidential and Proprietary 9
  • 10. HeNB Network Standardization E-UTRAN Architecture What are the unique management & security requirements? Optional HeNB Gateways Is there an HNBAP- MME / Serving GW MME / Serving GW like protocol needed? S1 S1 S1 S1 S1 S1 S1 X2 X2 eNodeB X2 eNodeB HeNodeB HeNB Gateway Do we leverage S1 S1 X2AP for femto-to- femto coordination? eNodeB HeNodeB HeNodeB www.ccpu.com Confidential and Proprietary 10
  • 11. SON: Golden Goose, Needed Standard, or Both? Self Configuration IP Extend TR-069 / TR-196 HeNB ACS Static and dynamic, zero touch Self Optimization Beyond interference minimization Coordinated optimization among cells Dichotomy “Golden patent” vs. standards Algorithms vs. messaging www.ccpu.com Confidential and Proprietary 11
  • 12. Backhaul, Everybody’s Problem “Exa-Flood” is jamming the pipe Already a challenge today Common hurdle for all wireless technologies Residential issue Need FTTH / FTTC Happening… but fast enough? Metro issue Local fiber loops Leverage fixed WiMAX Smart pipes Backhaul optimization leveraging DPI Internet Offload applications www.ccpu.com Confidential and Proprietary 12
  • 13. LTE Femtocell Deployments Initial LTE deployments not using femtocells Verizon, NTT DoCoMo have expressed interest Solutions are not ready today Good for the LTE Femtocell Small cells as overlay to macro networks Time for diversity of devices to grow LTE femtocell as THE DIFFERENTIATOR Boost to performance Improved QoE for first wave of early adopters www.ccpu.com Confidential and Proprietary 13
  • 14. Example LTE Deployment 2G 3G LTE 2010 2020 • LTE Network Overlay • Long Term: 3G migrates to LTE • Existing 2G / 3G Network for Coverage • 2G to Support Roaming • LTE Femto for Capacity • LTE Macro for Coverage www.ccpu.com Confidential and Proprietary 14
  • 15. LTE Femtocell Report Card Hurdle Grade The Good The Bad Silicon C+ Aggressive roadmaps Min 12-18 months away from Tier 1 femto entrants integrated silicon Standards C+ Architecture standard Ability to focus efforts in 3GPP Specific work item in 3GPP SON D/B Public and private investment Limited standards efforts Backhaul B Primarily an investment issue Expensive and required Backhaul optimization tech Deployment B+ 42 commitments In-service vs. broad coverage 14 networks by end of 2010 A = ready today B = ready within 12 months C = ready in 12 to 36 months Field Trials ~ 12 to 18 Months D = greater than 36 months Deployments ~ 24 to 36 Months F = no solution in sight www.ccpu.com Confidential and Proprietary 15
  • 16. Conclusions Benefits of small cells for LTE remain seductive Better performance and QoS Unmatched QoE Staged, hotspot deployment models Industry mobilizing to deliver solutions 12 to 24 months away from “field trial”-ready ecosystem Investments being made in all key technology areas Let’s not forget the 3G femtocell, either 3G femtocells available today LTE femtocell is not necessarily the “upgrade” www.ccpu.com Confidential and Proprietary 16
  • 17. Questions & Comments Todd Mersch Director, Product Line Management www.ccpu.com/products/trillium/lte.html www.ccpu.com Confidential and Proprietary