Intelligent Mobile Broadband

Femtocells Asia Q2 2011 Intelligent Mobile Broadband April 4, 2011 Todd Mersch, Director Product Line Managementwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 1

At a Glance Femtocells = Cheapest Bit Pipes Over 150 Customers Worldwide LTE Femto DPI = Fastest Bit Pipe DPI = Smartest Bit Pipe Visit us in the Exhibit Areawww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 2

Recent News & Awards Juni – 28th 3G Small Cell Customer  Market leading customer wins FlowEngine DPI SW Framework  DPI SW + Trillium + Ecosystem 10 RAN Silicon Giants choose Trillium Winner:  Femto Forum Awards Winner:  Informa LTE Awards Finalist:  GSMA Awardswww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 3

Mobile Broadband: Huge Demand, Huge Challenges Capacity Mind The Gap  Traffic doubling every 12 months  More for less Text  LTE spectral efficience gain = 4X  Lower cost per bitwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 4

Shannon – Moore Divide Mind The Gap Shannon vs. Moore Shannon Channel Capacity Moore  Reaching Limit with LTE Moore’s Law still doubling Divide  Data hungry devices Shannon MIMO LTE LTE-Advanced  Carrier Aggregation  Spectrum? Exponential Problem NEEDS Exponential Solutionwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 6

Options Increase Revenue Reduce Traffic  $X / MB  Walled Garden  Less for More  Traffic Blocking But, that’s going backwards…www.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 7

The Alternative - Intelligent Mobile Broadband MME / Serving GW MME / Serving GW Capacity S1 S1 X2 eNodeB eNodeB Cost eNodeB But Still Spectrum Limited 4X 1,000,000x Manage LTE Spectral FAP Spectrum DPI Limited Efficiency Reuse Capacitywww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 8

Disruption Core MME / Serving GW MME / Serving GW Adaptive Video Internet Traffic Trans-codin Offloading Shaping g S1 S1 X2 eNodeB eNodeB Access WiFi eNodeB Small Cells TD-LTE Offloadingwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 9

Network Mutation Macro Topology Hierarchical Cell Structure Courtesy AirHop Communications Coverage Era Capacity Era 1990 2010 “The need for 4G picocells and femtocells to enhance coverage and boost capacity in hotspots is one of the important principles for Verizons LTE Network” -- Verizon Wireless CTOwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 10

Shrinkage! Our Focus: Small Cells MacrocellCapacity Microcell / Picocell Greater Femto Femtocell Coverage www.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 11

Spectrum  The Spectrum Challenge  700 MHz 2.6 GHz  2.6 GHz 2.6 GHz  Digital Dividend  900 / 1800 MHz re-farming 2.6 GHz  Frequency Impacts Network Costs  Increases with frequency Cell radius ~ 30 – 300m  TD-LTE = Opportunity 700 MHz  FDD for Macros  TDD for Femtos  Multi-Band Deployment  2.6GHz for Femtos  700MHz for Macros Cell radius ~ 1 – 3kmwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 12

Mixed Mode in the News “3, Telia & Telenor acquire both FDD and TDD Spectrum in Denmark Auction ” – May 2010 Hi3G Access AB s plan to roll out dual-mode Long Term Evolution (LTE)/Long Term Evolution Time Division Duplex (LTE TDD) networks in Sweden and Denmark signals the rise of a hybrid deployment model using both flavors of the next- generation mobile technology. – March 2011 “Polish operator, Aero 2 Sp. z o. o. could actually be the first mobile operator to launch a dual-mode FDD/TDD network using 2.5GHz TDD spectrum, which is expected to become operational this year” – March 2011"With a limited supply of appropriate LTE FDD spectrum, mobile operators with access to TDD spectrum are driving hybrid LTE FDD/TDD network development in Europe, Eastern Europe/CIS, and Middle East/ Africa beginning in 2012,“ – Berge Ayvazian (Heavy Reading)www.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 13

Multi-Mode Small Cells Multi-Mode Femtocell Aggregator Core Network Femtocell Iu 3G Core Security Iuh HNB GW Gateway S1 Security HeNB S1 Gateway GW EPC  Increase 3G and LTE capacity and coverage in single device  Upgrade path from 3G to LTE  Support for mixed subscriber base  Leverage same IP backhaulwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 14

Heterogeneous Network ScenarioCapacity Multi-Mod e (LTE- TD Demand-based LTE –TDD D 2.6GHz Capacity & LTE - TDD LTE-TDD Femto / 3G Coverage Femto Femto 2.6GHz 2.1Ghz) 2.6GHz 2.6GHz LTE FDD Networks, 700 MHz Nationwide 3G / HSPA Networks, 2.1GHz Network GSM / GPRS / EDGE Networks, 900MHz / 1800MHz Coverage Rural Sub-urban Urban Dense UrbanLow Broadband Proliferation High www.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 15

EPC Scaling Problem E-UTRAN Architecture MME / Serving GW MME / Serving GW HeNodeB HeNodeB HeNodeB S1 S1 X2 eNodeB eNodeB HeNodeB HeNodeB HeNodeB HeNodeB HeNodeB HeNodeB eNodeB Small cells creating ‘Signaling Deluge’ for EPCwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 16

Scaling EPC! 64K Associations! 1M+ SCTP Packets / sec!! SCTP in the fast path PP50 + Death by 1,000 pizza boxeswww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 17

DPI = Control Video Conference Platinum Operator VoIP Gaming Bronze Video on Demand Gold Email Business Class VPN Silver Browsing P2P App- ba Maximum Tiered sed Network SLAs QoS Monetizationwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 18

Not All Cells Are Loaded Equally! Top 5% utilized Average cell cells heavy on HTTP P2P Streaming grew to 27% Source: Allot Mobile Trends, Global Mobile Broadband Traffic, H2/2009www.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 19

Adaptive Traffic Shaping Dense Urban RAN-Aware Traffic Shaping #1 Radio - Congestion Aware Access - Femto Aware Network - Dynamic Network Policy (RAN) Signaling Information Suburban RNC #2 ATS SGSN GGSN Platform Femto Gateway Residential Femtocell #3www.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 20

Framework RAN Tiered SLA Congestion Aware Aware Application Femto Aware Aware Policy Enforcement Point DPI Key to Real-Time, Line-Rate, Multi-Aware Policy Enforcementwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 21

Internet Offload Network Architecture Offloaded data traffic to PDN CGF CRF OCS Internet Gi Ga Gx Gy Iub Iu Iu Gi Node B IOG RNC SGSN GGSN Legend Signaling Non-offloaded data traffic Offloaded data traffic Offloading • Bump-in-wire device • Minimize traffic to CN • DPI application / protocol • Reduce CN OPEX / CAPEXwww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 22

IOG Anatomy Control Plane Software Application XLR # 1 SGSN IuPS Charging Stack Monitoring Stack Gi Internet IuPS Data Plane Software XLR # 0 Application RNC Offload Decision Block DPI PP50 COP50 RTM Classification IP ~ 10 Gbps Line Fail-to- Rate wirewww.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 23

Summary LTE alone will not solve the crunch  Linear solution for an exponential problem  Femtocells = Exponential Solution  Spectrum Efficiency + Spectrum Reuse Solving the Harness heterogeneous networks  TDD for Femto / FDD for Macro Mobile  Multi-mode bolstered business case Broadband  Must effectively manage signaling load Capacity Challenge Still spectrum limited  Traffic Management Essential 21 LTE, 28  Congestion, Femto, SLA, Application Aware Femto, & 21  DPI holds the key DPI Wins! www.ccpu.com Copyright © 2011 Continuous Computing. All Rights Reserved. | Confidential & Proprietary 24

Intelligent Mobile Broadband

by Continuous Computing on Apr 11, 2011

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