Informe Europeo de Wireless
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Informe Europeo de Wireless

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Wireless industry drivers and bottlenecks

Wireless industry drivers and bottlenecks

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    Informe Europeo de Wireless Informe Europeo de Wireless Presentation Transcript

    • TECHNICAL REPORT SERIES Mapping European Wireless Trends and Drivers Synthesis Report EUR 22250 EN Institute for Prospective Technological Studies
    • The mission of the IPTS is to provide customer-driven support to the EU policy-making process by researching science- based responses to policy challenges that have both a socio-economic as well as a scientific/technological dimension.
    • Mapping European Wireless Trends and Drivers Synthesis Report Editors: E. Bohlin, S. Lindmark, C. Rodríguez and J-C. Burgelman. DG JRC-IPTS Authors: P. Ballon, C. Blackman, E. Bohlin, S. de Munck, S. Forge, J. Heres, A. Kips, S. Lindmark, R. Tee, W.-P. van der Laan, M. van Staden and U. Wehn de Montalvo. TNO April 2006 EUR 22250 EN
    • European Commission Joint Research Centre (DG JRC) Institute for Prospective Technological Studies http://www.jrc.es Legal notice Neither the European Commission nor any person acting on behalf of the Commission is responsible for the use which might be made of the following information. Luxembourg: Office for Official Publications of the European Communities ISBN 92-79-02035-8 Catalogue Nr.: LF-NA-22250-EN-C © European Communities, 2006 Reproduction is authorised provided the source is acknowledged Printed in Spain
    • Preface Mapping European Wireless Trends and Drivers New wireless technologies like WiFi, WiMax, UWB as well as mesh and ad hoc networking are spreading increasingly fast in Europe. Wireless technologies are now at a critical juncture because different combinations of these could disrupt the existing mobile landscape, dominated at the moment by the GSM and UMTS standards. The future of the wireless communication system and the implications for Europe has been of growing interest to the Institute for Prospective Technological Studies (IPTS).1 Since 2003, several studies on the future of the wireless communication system have been published. IPTS launched the present study for three reasons: to map the new wireless developments in Europe; to analyze drivers of the same and provide policy and regulatory recommendations. To that end, the term Alternative Wireless Technologies (AWTs) has been employed to collect the various new technologies under one umbrella. This term is being increasingly used in the trade press as well. However, a major conclusion of the report is that the new wireless landscape will involve several types of technologies, interconnecting with one another, and not necessarily excluding the traditional cellular technologies, but rather complementing and reinforcing them. To that end, the report has developed technology maps to illustrate the scope and overlaps between the various technologies. As the new wireless landscape emerges, the trend towards Ambient Intelligence (AmI) begins to receive general recognition. Wireless technologies will support the future AmI networks, and this report suggests that the new wireless landscape offers the potential for seamless connectivity over various types of data ranges and distance coverage ratios. Therefore, it seems appropriate to suggest here that this report not only identifies AWT in the above sense, but there will be a shift towards a new form of AWTs - Ambient Wireless Technologies. The emerging landscape of Ambient Wireless Technologies is likely to become an issue of increasing industrial and policy attention, providing momentum for future studies on AWTs in this new sense. Jean-Claude Burgelman Head of the ICT Unit, IPTS  1 IPTS, based in Seville, Spain, is one of seven research institutes that make up the European Commission’s Joint Research Centre
    • 
    • Acknowledgements Mapping European Wireless Trends and Drivers A number of key individuals and organisations ensured the completion of this volume, and their assistance has been essential. Critical support and active advice have been provided by IPTS during the project and project meetings by: Anna-Flavia Bianchi • Marc Bogdanowicz • Layos Nyiri • Yves Punie • David Osimo • Martin Ulbrich • Dieter Zinnbauer • The following partner organisations contributed to the report as follows: IMIT: Erik Bohlin (Project Manager) and Sven Lindmark (Synthesis Report, Editors of Annex 1-3) • SCF Associates: Simon Forge and Colin Blackman (Annex 2-3) • TNO: Pieter Ballon, Uta Wehn de Montalvo, Annemieke Kips, Mildo van Staden, Jeroen Heres, • Richard Tee, Silvain de Munck and Willem-Pieter van der Laan (Annex 1-2) The whole team is grateful to the colleagues of DG INFSO who provided extremely valuable help with validating the research results. Note: This is the Synthesis Report of all the findings of MEWTAD project. The complete MEWTAD  Final Report consists of this Synthesis Report plus Annex 1-3, one for each work package (Annex 1-3, corresponding to WP1-3). Annex 1-3 will only be available on the DG JRC-IPTS website (www.jrc.es) and not published as printed paper copy. The findings presented herein are solely the personal opinions of the authors, and should not be construed to represent the opinions of the European Commission.
    • 
    • Executive summary Mapping European Wireless Trends and Drivers Background could support these emerging technologies, with particular emphasis on safety and security and The European ICT sector has enjoyed mobile virtual communities (MVCs); (3) examine outstanding success in the second generation the effect that the regulatory environment (2G) of mobile telecommunications. Whilst the will have on the evolution of these alternative European industry has developed 3G systems wireless technologies, identify policy options and largely as a generational successor to 2G, a implications for European Union (EU) member plethora of competing (and complementing) states (MS) and provide policy recommendations. wireless technologies and solutions, often stemming from the computer industry, have entered the scene. For short, these are denoted AWT Overview alternative wireless technologies (AWTs). Such For the purposes of this study, AWTs AWTs create new growth opportunities but may cover all emerging wireless technologies with also constitute a disruptive threat to existing the exception of traditional cellular mobile networks and their supporting communities. technologies (2G, 3G). AWTs enable, in sum, Hence, there is a strong and urgent need to the provisioning of existing and new services to research the usage of AWTs, as well as the trends mobile users and allow communications between and drivers currently catalysing their diffusion. computers, PDAs, phones, consumer electronics devices and appliances – in office, home, and/ Objectives or public environments. AWTs may operate in licensed or unlicensed frequency bands, and can The objectives of this study are to (1) map be applied in a number of different topologies wireless technologies in Europe and the current such as mesh networks and ad-hoc networks. The trends in development; (2) analyse the drivers that figure below identifies and maps out a number of Wireless Technology Overview 
    • wireless technologies; the basic dimensions are • short-range protocols (such as WLAN /Wi-Fi, Executive Summary commonly agreed upon to determine of the types UWB, NFC, ZigBee and Bluetooth) of services and business models that they are able • longer-range protocols (WiMax, Flash to support – speed and mobility. OFDM, 3G enhancements such as UMTS- Here we note that the current crop of TDD) AWTs is not the final set. The mobile and • mesh and ad-hoc networking wireless arena is an extremely dynamic scene in which technologies are adapted, extended and converging towards ever-increasing bandwidths Mapping Availability and Usage in the EU and mobility. The AWTs covered in this report The report presents an analysis of the are either: (1) existing in the market today, and/ availability and usage of a number of selected or (2) on their way towards standardisation or AWTs – UWB, WiMax (802.16x), Flash-OFDM in advanced R&D stages, and/or (3) potentially (802.20x), Wi-Fi (802.11x), Meshed and Ad- presenting a challenge to traditional business hoc Networks and UMTS TDD – in the EU. The models in the mobile market. Specifically, we technologies were selected on the basis of their consider the following types and technologies:2 potential for the provision of alternative non- Overview of Selected AWT Activity in EU25 Country UWB WLAN (pre) WiMax Flash OFDM Mesh/Ad-hoc UMTS TDD Austria commercial deployment use Belgium commercial commercial use Cyprus commercial trial Czech Rep. commercial trial use Denmark commercial commercial use Estonia commercial trial Finland commercial trial use France commercial commercial commercial trial Germany commercial commercial commercial commercial Greece commercial use Hungary commercial deployment Ireland commercial commercial deployment deployment Italy commercial commercial Latvia commercial commercial commercial Lithuania commercial trial deployment Luxembourg commercial Malta commercial Netherlands commercial commercial trial use Poland commercial commercial Portugal commercial commercial Slovakia commercial Slovenia commercial commercial Spain commercial commercial use Sweden commercial trial use deployment UK commercial commercial commercial commercial  2 For the purposes of this report, satellite- and airship-based communications as well as broadcasting technologies (e.g. DVB) are excluded.
    • (traditional) operator-centric access. The table We also investigate the type of operators and Mapping European Wireless Trends and Drivers below brings together the observations in an their strategies regarding AWT initiatives. Clearly, overview at country level of where these AWT traditional operators have taken the lead in the activities are taking place, along with an overview deployment and exploitation of AWTs throughout of the phase of development. most of Europe. This suggests that there are at present constraints in Europe for AWTs being Clearly the most dynamic markets, in terms used in a non- (traditional) operator-centric of the variety of AWTs being used or deployed, manner, even though in some countries there are situated in Western Europe and Scandinavia. is some moderate or even strong non-operator- France, Germany, Ireland, the Netherlands, centric activity. Sweden and the UK present the most diverse European markets in terms of AWTs, with almost all AWTs under review being deployed or used in Drivers and bottlenecks these countries. In general, the following drivers and The overview table also demonstrates that bottlenecks for AWTs are mentioned most while UWB and Flash OFDM are marginal or frequently and highlighted as most important by non-existent on the EU market, (pre)WiMax, EU experts today. Mesh/Ad-hoc technologies and UMTS-TDD are available or being deployed in numerous, or even most, of the EU member states. WLAN, Mobile Virtual Communities, Security in the form of Wi-Fi, is by far the most mature and Safety and AWTs technology considered in this report. It has been The report explores the (potential) relationship on the market for several years and is used by a between mobile virtual communities (MVCs) and wide range of user groups. AWTs. It was found that current and emerging General AWT Drivers and Bottlenecks Drivers Bottlenecks Poor fixed broadband infrastructure development Lack of interconnection and roaming agreements, especially - - in many small cities, towns, rural and remote areas between new AWT operators. across Europe. Pricing models of public hotspot access in many EU - Government incentives, programmes and public- countries still oriented towards occasional use, limiting - private partnerships to stimulate broadband scope of AWTs to business market. connectivity. Licensing regimes in many EU countries imposing - Competition in Wi-Fi markets, e.g. because of limitations on spectrum availability, deployment, handoff - relatively low prices of Wi-Fi deployment, driving and integration of AWT cells, and generally allowing technical prices down and ensuring relatively high coverage experiments with AWTs but no market experiments. in a number of countries. Persistent standardisation problems. - Success of private in-house WLANs, which might - Lack of user-friendliness in access, authentication and - stimulate the usage of public WLANs. billing procedures. Emerging integration of AWT and mobile capabilities - Lack of structural advantages (in terms of speed or cost) - in dual mode handsets. over fixed broadband, and therefore a lack of incentives Falling hardware prices and backhaul costs. for AWTs in areas with well-developed fixed broadband - infrastructure. Limited number of licensed operators in some - markets, creating incentives for new stakeholders Potential saturation and congestion of unlicensed spectrum - to enter national markets using AWTs. in prime locations. New applications and possibilities such as VoIP Limited amount of terminals and other certified equipment - -  over wireless, deployment of AWTs on trains etc. in the market. Expected expansion of WiMax with mobility Lack of customer education, i.e. in terms of differences - - characteristics. between mobile and various AWTs. Lack of content applications. -
    • instances of MVCs are primarily related to mobile care, AWTs can be used in several applications, Executive Summary cellular technologies (with voice and messaging including (1) telemedicine where the ubiquity of being strongly community-related). Voice over AWTs enables expertise and scientific monitoring Wireless IP has persistently been referred to as the of care in the hospital to be transferred to care so-called killer application for AWTs. However, in the home for aged and infirm people; (2) there are still a number of barriers limiting the numerous uses in hospital networks; (3) personal market prospects (and thus community impact) and wearable health networks (Healthwear) in the short to medium term. Currently, the main attached to the body of the patient will extend development (at a modest level) is instead the care into the home from hospital, an area where proliferation of wireless communities for the little success has been found so far with effective joint deployment and operation of Wi-Fi hotspots telemedicine. These may be used for early and clouds. Geographical and participatory detection of failing mental as well as physical limitations of current AWTs are the main factors conditions, by going into social interaction as hindering the development of AWT-based MVC much as monitoring body parameters directly. today. Finally, AWTs may be used in (4) ambulance control and on-site support, where for instance AWT networks are finding major and images can be transferred from first responders to increasing usage in security, health care and a moving ambulance to prepare its medicos for safety of everyday life. For security purposes, the injuries and the general scene. AWTs lend themselves to providing police fire This report also pursues an analysis of security and ambulance services, as well as security threats created by AWTs including threats to the services with extremely robust C4 (command / control / communication / co-ordination) systems, person, personal details and data for emergency not least for alerts and disaster situations. and community services and services such as m-commerce, including content distribution. A Safety of life and property using AWT summary of security challenges is shown in the capability covers many areas, but two appear figure below. particularly significant: (1) the use of wireless sensor networks for detecting unsafe situations, Impacts could possibly be even greater than be they in a specific environment, a city, a the current nuisances of Internet threats, e.g. chemical plant, or tracking potentially hazardous emergency services could be brought down. New moving items such as containers; and (2) mobile services also bring a range of responsibilities and applications for vehicle and traffic management vulnerabilities never seen before – the multimedia hazards – termed telematics. AWT networks could handset equals the PC in intelligence and form the basis of a ‘second network’ to provide programmability with Java-based applications, the the citizen with a dedicated alert channel, due network becomes an IP packet-based transport to their ubiquity, robustness and low cost relative mechanism, with intelligent gateways and to other radio technologies such as mobile service agents at its edges, while the IT content cellular (as shown by a case study – WARN). server side expands in complexity and size. One In addition, mesh forms of AWTs have inherent key difference in security architectures for AWT resistance to attack due to their non-centralised networks, compared to previous radio networks locus of control, and thus are attractive for this of cellular form, is that they may be non-operator- application. centric, yielding major authentication issues. Here we also would highlight a high-risk threat Despite the widespread use of AWTs in to AWT market take-off. If such menaces get out 10 emergency and security applications, perhaps of control, the whole wireless market could be it is in the development of ubiquitous networks undermined in the subsequent fall-out. Citizen for health care, including mental health, that and consumer trust would be destroyed. the greatest advances are to be seen. In health
    • Security Challenges of Wideband Multimedia Elements Mapping European Wireless Trends and Drivers Source: SCF Associates In sum, protection of AWT systems end-to- such as Bluetooth and RFID and, not least, with end is a major challenge. To be effective across the development of the ‘Portable Internet’ using the multimedia wireless environment, security a home-grown AWT, WiBro. In addition, there needs to be addressed as a key component of the is a strong policy drive towards an increasingly overall infrastructure, with a security platform to converged broadband network environment protect all components (servers, networks and termed the BCN. handsets) designed in from the start – and not The drivers behind this Korean success bolted on at the end. cannot be understood without taking the historical context in socio-economic terms into consideration, as well as the social environment AWTs in Korea – a Case Study it has created, the social drive to move forward This report summarises for policy-makers including the Korean view of technology in certain key lessons that we may draw from the society. With these background factors in mind, Korea experience, a country which has made government intervention and orchestration of the major strides in ICT over the past three decades. private sector is perhaps the key factor. Over two Globally Korea is probably the most advanced decades, the Korean government has orchestrated AWT market, as indicated by more than 35% support for ICTs with a series of interconnected of the world’s total Wi-Fi hotspots; industrial programmes, each with defined economic AWT networks such as ZigBee for RFID and 11 aims. The latest of these programmes – IT 839 – industrial sensors being piloted; most terminal includes AWTs to a high degree. Also, the Korean and handset devices designed and manufactured regulatory regime has created a fairly level in Korea having short-range AWTs embedded playing field in telecommunications competition,
    • with restrictions on ownership for different types long term means that a comprehensive European Executive Summary of networks, allowing and even forcing the approach to AWTs is justified. The significance of sharing of infrastructures according to dynamic AWTs is likely to be downplayed if left to current financial models. In addition, it has cleverly used market forces and those players dominated by its revenues from spectrum licences and taxes interests in conventional fixed wire or 2G and 3G on operators as a strategic re-investment fund for cellular mobile technologies. Moreover, unless telecommunications infrastructure and research. Europe grasps the mettle on AWTs and acts A point also notable for policy setters, with a positively and quickly, it will be left behind by clear-cut policy of picking-the-winners, is that both North America and Asia. Korea often takes a contrarian view on standards This policy analysis examines AWTs by in order to be first in new technology. Education means of a summary SWOT analysis, from the for adults on a mass scale in the late 1990s viewpoint of the EU citizen, summarised in the further strengthened Korea’s growth. Finally, on table below. the demand side, trust in the use of technology From each strength, weakness, opportunity and the expected absence of misuses means and threat we assess the implications for policy that confidence and acceptance of widespread and regulation (see Annex 3). In this report we usage and even intrusion into everyday life are far instead state policy implications and measures higher than in other cultures. thematically. First, we conclude that there is a need for setting a blueprint for AWT development Policy analysis and implications and usages, for the next 10 years, which covers a broadband wireless infrastructure and its This study has gathered evidence indicating applications, and includes converging and that AWTs are likely to become a major competing technologies. To conclude, a European technological development with important policy for AWT take-up should revolve around economic implications for Europe, especially the following activity areas: once the non-operator-centric model is unleashed 1. Spectrum allocation – be it in licensed or (new) and competitive. There is a strong argument in favour of Europe adopting an integrated approach unlicensed bands. There is a need to rethink to the policy and regulatory issues arising from policy for spectrum allocation at the highest AWTs (e.g. spectrum policy and regulation; levels for Europe, Member States, and globally competition policy and regulation; licensing to incorporate AWTs adequately. AWTs may schemes, access and interoperability, network need to have frequency bands currently rollout, security policy and regulation, privacy and taken by broadcast, mobile cellular, or the data protection, standardisation, IPR including military. By WRC-07, it would be judicious digital copyrights, R&D, funding, education to have reconsidered the current allocation and promotion). However, these are sensitive of spectrum in view of the economic benefits issues and care needs to be taken in striking the of AWTs for Europe, and abandoning existing right balance between command-style dirigiste frequency plans. Consideration of spectrum intervention, which would not fit with how the policy for AWTs must take into account two European Union and the Member States interact, key factors: (1) spectrum availability must and a repetition of the experience with previous be matched against technology type, where European programmes which have been long on we must balance the social and commercial time to organise and get results from. In spite of importance of existing services; and (2) the 12 the difficulties, the key policy conclusion from form of spectrum allocation needs to be this study is that AWTs’ real significance in the decided.
    • SWOT Analysis of AWTs from the Perspective of the EU Citizen Mapping European Wireless Trends and Drivers STRENGTHS WEAKNESSES AWTs fill the gaps left by cellular No real place today in European telecommunications and media, nor part of an overall plan for communications Lower costs than cellular in many applications Not understood by mass markets Fast to rollout compared with cellular AWT capabilities and positioning are still not well understood Bandwidth higher than 3G by EU industry and technical centres of expertise. More effort Can cut costs and delays by eliminating large capacity on basic radio research is needed. backhaul lines in MAN installations More clarity is required on spectrum needed Cost and installation advantages add up to a way to provide European mobile incumbents are well entrenched; in contrast municipalities with a chance to enhance their value with AWTs are in a weak market position, with no champions, mobile Internet access promotion or financial muscle Can act in mobile roaming mode (e.g. mobile WiMax) Security problems abound European industry – in a good position in design coming from European industry has been a follower so far cellular on chips, antennae, military electronics including radar, specialist chip manufacture, despite US lead today, as All successful AWT standards so far are US (IEEE series) Europe does have mesh software providers Europe’s forced collaborative approach on decisions and new Europe’s collaborative approach experience and ability programmes makes all policy initiatives slow OPPORTUNITIES THREATS Designing and producing AWT technology and equipment Security threats due to pervasive coverage, increased band- with the aim of developing leadership in broadband wireless width, new bodily proximity connectivity (BANs). Innocent (e.g. multi-mode self-adaptive terminals according to and unaware user population: Threats include: (1) attacks on performance/cost preferences) emergency services; (2) attacks on the core ICT infrastruc- Export opportunities of bringing Internet connectivity to the ture; (3) identity theft from citizens; (4) privacy threats to developing world (cf. Korea’s WiBro) citizens; (5) malware attacks of all kinds on citizens, attached machines and organisations, plus the new types of attack that Expanding scope of European industry – new ventures in will come with VoIP; (6) car telematics – accidents caused consumer and verticals, especially health including frail and by malicious messages; (7) body area networks; (8) M-com- mental health conditions merce threats; (9) M-Banking threats, including EFT; and (10) AWTs ideal for SME involvement and start-ups – could seed a security threats to industrial sensor networks. whole new EU sector of SME chains Cellular mobile industry views AWTs as a major threat. Offer Internet access to all of Europe at low cost (and VoIP) via public and municipal access networks Cellular operators, challenged by AWTs, competing with a dif- ferent business model which may outstrip the mobile busi- High broadband penetration via wireless will stimulate feeder ness model in value to the customer. industries (e.g. media) & user industries (e.g. medicine) Wireless health issues are not yet understood for cellular and Economic impacts of better health/elderly care at lower cost non-cellular access techniques. AWTs are often likely to be Set standards lacking in mesh networking software and worn continually and the effects of low-power continuous ra- processes, possibly via Open Source software routes diation needs to be examined. 3. Harmonising Licensing Schemes. If a 2. Competition policy and regulation. To create regulated AWT market does arise, major an active AWT-based communications decisions will revolve around the forms market, it will be critical to form conditions of licence, in terms of whether it is for of freedom of market entry for new players spectrum usage or a general licence to without restrictive practices, be it in operate with both service provision and AWT interworking – physical attachment, protocols infrastructure ownership, or a service over a at network or at application level – or in third party’s approved AWT infrastructure. related areas such as media content or in Major concerns here are the allocation dependencies such as the software for ‘media process for licences and types of licensing. players’ and operating systems’. In principle, In summary, policy directions should revolve Europe may need to reconsider competition around a lighter regulatory regime for the new policy with regard to telecommunications 1 entrants, perhaps unlicensed, but with forced specifically to encourage the entry of new interconnect to incumbents (see below). services from new providers over AWTs.
    • EC recommendations to the regulators Internet security backed by legislation and Executive Summary in the MS would be to view the business policy measures is needed for what should case differences as an opportunity to bring be allowed/prevented. AWTs need to have competition to what may be an oligopolistic a security layer built into their network market – while using AWT licensing, architecture, as their ubiquity becomes the if deemed necessary, firstly to promote users’ vulnerability. competition by ensuring that new entrants 7. Privacy needs to be ensured through data have licences, and secondly to ensure that protection legislation and current policy security measures are implemented. on the rights of the citizen. A balance 4. Access and Interoperability. A related area between privacy concerns and convenience, for policy decision is on the assurance of security and utility of AWTs must obviously interconnection access by the new entrants be reached – to protect efficiently against to existing networks. Issues of roaming, eavesdropping on conversations, identity interconnection and termination charges and any personal data theft, and personal must be considered, with cost-based tracking. Privacy protection regulations pricing to prevent monopolistic margins for AWT public services will follow those on interconnect activity. AWTs could then envisaged for cellular mobile for aggregation provide strong local loop competition. of personal data. For privately deployed Assuring connection of any-to-any covers networks, confidentiality can only be assured several areas including: (1) open access; if the equipment has security measures built (2) mandated mobile exchanges; (3) pricing in as standard. models extending into interconnection and 8. Standards setting, with participation of the billing settlements, with termination ETSI, building on the IEEE 802 standards and roaming agreements; (4) naming and series at a basic communications protocol addressing – ENUM (e-number) scheme level, and moving up e.g. the seven-layer for mapping a PSTN telephone number model to build complete systems that can be into a typical Internet Uniform Resource easily integrated into a broadband wireless Locator (URL); (5) universal service; and (6) network for intelligent adaptive network emergency number obligations. operation, using mesh network architectures 5. Network Rollout. In AWT networks, with cognitive radio front-ends for self- once network interconnection is assured, organising communications structures. The network roll-out is not contaminated with security issue is far too important to be left difficult issues. However, they pose a strong to the suppliers or to ad-hoc development; competitive threat to incumbent technology its co-ordination is an ideal task for an EC stakeholders who may complain to the programme. regulators that AWT operation undermines 9. Patent and Copyright Policy. IPR from their USO requirements, or that AWT R&D in the supported initiatives for operators should be regulated by heavier AWT networking, including security and taxes due to the unfair competition, or application environments (such as operating even banned as they may be operated systems and microbrowsers), should all be by municipalities and others who are not under open source licence and no software licensed and regulated telcos. patents permitted, unless they are in the 1 6. Security. Protecting citizens and businesses public domain. In certain contexts of peer- by ensuring that security measures are to-peer content creation, this Open Source adequate for the challenge of maintaining approach to copyright would extend to users’ confidence. A complete reform of content and media copyright protection so
    • that DRM should be available in multiple and development centre for AWT radio Mapping European Wireless Trends and Drivers forms. For the future, the reciprocal of DRM technologies and networking architectures. (digital rights management for commercial Jointly funded by industry, national media content) might have to be applied in governments and the EC, the first phase the far wider field of personal data available of rapid set-up and early growth could through AWTs – the notion of ‘digital privacy be through a joint programme of projects management’. distributed across existing universities. This would form a launch pad for the second 10. R&D Programmes. R&D encouragement is phase, of setting up a permanent institute needed through appropriate programmes. with its own faculty and facilities at one The current R&D programmes do not site. ERRI would have twin research roles, consider the opportunities and challenges of primary and applied research, to form an of AWTs, and especially their applications, international centre of excellence. for specialist areas of emergency services, 11. Funding, Encouragement, Education and health and care of the aged. They are largely Promotion. ignorant of these areas’ importance, perhaps even of their existence. Programmes that • In view of the opportunity, a specifically examine and extend existing funded programme for research AWTs, as well as research for new ones, with and demonstrator implementations support for standards are needed in three should be set up. Here, taking the major areas: revenues from spectrum licences and • first, basic radio technology to further taxes on operators for a strategic re- the understanding of AWT signal investment fund for telecommunications propagation, signal processing, and infrastructure and research should be identification, especially for spectrum considered. In addition, SMEs and new sharing; ventures should be encouraged and supported with capital, programmes • second, exploration and resolution of of research, supply contracts for all security issues, with reformulation of demonstrator projects etc. A programme the Internet structure where needed for for setting up and incubating AWT start- secure ubiquitous environments for the ups should also be a major priority. citizen; • Awareness programmes will also be • third, applications programmes in the necessary in Europe, to explain the vertical segments of health care, telecare technology and its position against for the elderly, logistics and retail and other communications and media emergency services. technologies, to show what it can do. We suggest a two-step approach to It would also be useful to consider strengthening European research in these education programmes. areas. First, a European Alternative Radio • Test beds. It would be most useful to Network Research Programme should build a range of European test beds at be established as a matter of urgency, a national (or EU) level, the aims being within a timeframe of months. Then, to stimulate the economy by proving we suggest the formation of a European technology and, most importantly, to 1 Radiocommunications Research Institute educate both the work force and society – ERRI – as a further initiative to pursue in general. The large demonstrator the full promise of the new directions in projects would revolve around four main radio. ERRI would be a European research
    • initiatives: (1) a pan-European wireless projects, which are most likely to made Executive Summary broadband network infrastructure up of many small projects – for instance, (EWBNI); (2) a European citizen-alert use of BANs in mental health for a network (CAN), perhaps using a mesh specific disabling condition – rather infrastructure; (3) a European Emergency than large horizontal networks. Health Services Infrastructure Network (EESIN) and elderly care would also try to show only accessible by emergency services, improvements in quality of care against with an architecture for robust operation lowering the costs of their service. Each in all situations; and (4) European demonstrator would be underpinned by recovery network for attacks and both temporary research projects and disasters (ERNAD), a temporary network long-term research in the ERRI institute to be set up instantly whenever and and in its predecessor distributed wherever infrastructure fails. Across research programme across several these horizontal networks may run research departments in leading some specialised vertical demonstrator universities. 1
    • Table of contents Mapping European Wireless Trends and Drivers Preface 3 Acknowledgements 5 Executive summary 7 Chapter 1. Introduction 21 1.1 Background 21 1.2 Objectives 21 1.3 Methodology 21 1.4 Work Packages and Annexes 21 1.4.1 WP 1 – Mapping the Existing European Wireless Landscape and Current Trends 21 1.4.2 WP 2 – Drivers 22 1.4.3 WP 3 – Implications of AWTs for Europe and Policy Recommendations 22 1.4.4 WP 4 – Synthesis Exercise 23 1.5 Structure of this Report 23 Chapter 2. AWT – Introduction and Overview 25 2.1 AWTs Defined 25 2.2 Overview of Technologies and Supporting Communities 25 2.3 AWT Descriptions 26 2.3.1 UWB (Ultra-Wideband) 26 2.3.2 WiMax (802.16x) 27 2.3.3 Wi-Fi (802.11x) 28 2.3.4 Flash OFDM (802.20) 28 2.3.5 Meshed and Ad-hoc Networks 29 2.3.6 Bluetooth (IEEE 802.15.1) 30 2.3.7 NFC (Near Field Communication) 30 2.3.8 ZigBee (IEEE 802.15.4) 30 2.3.9 RFID 31 2.3.10 Expected enhancements of UMTS 31 1
    • Table of contents Chapter 3. AWT Availability and Usage in the EU 35 3.1 Summarising AWT Activities in Europe 35 3.2 Wi-Fi /WLAN 36 3.2.1 Key Observations 36 3.2.2 Mapping WLAN Availability in Europe 37 3.3 Other AWTs 39 3.3.1 UWB 40 3.3.2 (Pre-)WiMax 40 3.3.3 Mesh / Ad-hoc Networks 41 3.3.4 Flash OFDM 42 3.3.5 UMTS-TDD 43 3.4 (Non-) Operator Centricity of AWTs in Europe 44 3.5 Conclusions and Future Directions for AWTs in Europe 45 Chapter 4. Drivers – MVCs, Security and Safety 47 4.1 General Drivers and Bottlenecks 47 4.2 Mobile Virtual Communities 47 4.3 AWTs Enabling Safety and Security Applications 48 4.4 AWTs as a Security Threat 50 Chapter 5. AWTS in Korea – A Case Study 55 5.1 Korean ICT and AWT Market 55 5.2 Drivers for AWT Take-up 56 5.3 Main Future Research Areas and the Asian Context 59 Chapter 6. Policy Analysis and Recommendations 61 6.1 The New Radio Evolution 61 6.1.1 The Map for EU Policy on AWTs 61 6.1.2 Current Policy and Regulation Concerning AWTs 62 6.1.3 AWTs in support of European Innovation and Competitiveness 63 6.1.4 The Challenges and Opportunities for Europe – SWOT 64 6.1.5 Towards European Industrial Policy for AWTs 64 6.2 Resultant Policy Recommendations 64 6.2.1 Spectrum Policy and Regulation 65 6.2.2 Competition Policy and Regulation 66 6.2.3 Harmonising Licensing Schemes 66 6.2.4 Access and Interoperability 67 6.2.5 Network Rollout 67 1 6.2.6 Security Policy and Regulation 67 6.2.7 Privacy and Data Protection 68 6.2.8 Standards 68
    • Mapping European Wireless Trends and Drivers 6.2.9 DRM, IPR, Content and Media Copyright Policy 69 6.2.10 R&D Programmes 70 6.2.11 Funding, Encouragement, Education and Promotion 71 6.3 Issues for Further Research 73 References 75 List of Abbreviations 77 Annex 1: Mapping the Existing European Wireless Landscape and Current Trends (Available on the JRC-IPTS Website - www.jrc.es) Annex 2: Drivers (Available on the JRC-IPTS Website - www.jrc.es) Annex 3: Implications of Alternative Wireless Technologies for Europe and Policy Recommendations (Available on the JRC-IPTS Website - www.jrc.es) List of tables Table 3-1 Overview of Selected AWT Activity in EU25 35 Table 3-2 Aggregated Hotspot Data 38 Table 3-3 Number of EU25 Countries with Selected AWT Activity 39 Table 3-4 Operator Centricity of AWT Initiatives in Europe 44 Table 4-1 General AWT Drivers and Bottlenecks 47 Table 4-2 AWTs and Safety/Security Applications 49 Table 5-1 Key AWT and Suppliers Status in Korea 56 Table 6-1 SWOT Analysis of AWTs from the Perspective of the EU Citizen 65 List of figures Figure 2-1 Wireless Technology Overview 26 Figure 3-1 Growth Estimates of AWTs in EU25 Member States 45 Figure 4-1 Security Challenges of Wideband Multimedia Elements 52 Figure 5-1 Korean government ICT programmes 58 Figure 5-2 Korea’s Latest Medium Strategy Plan for IT – 839 60 Figure 6-1 Work Programme for Establishing European Success in AWTs 72 List of maps Map 3-1 Hotspots per 100,000 Inhabitants in EU25 plus 4 (june 2005) 38 Map 3-2 Geographical Spread of Hotspots over EU 25 plus 4 (March 2005) 39 Map 3-3 WiMax Activities in Europe, June 2005 41 1 Map 3-4 Mesh / Ad-hoc Network Activities in Europe, June 2005 42 Map 3-5 UMTS TDD Activities in Europe, June 2005 43
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    • 1. Introduction Mapping European Wireless Trends and Drivers 1.1 Background • To examine the effect that the regulatory environment will have on the evolution of The European telecommunications and these alternative wireless technologies, and electronics industry has enjoyed outstanding identify policy options success in the second generation (2G) of mobile • To understand the implications for European telecommunications. In a relatively short time Union (EU) member states and provide period, European actors have established leading policy recommendations positions in system, handset, and operator levels of the actor system. As in all lucrative industries, this lead will not be left unchallenged. In the 1.3 Methodology ongoing transition to third-generation (3G) mobile communications, and perhaps even more The study uses a combination of so in the coming fourth generation (4G), Asian comprehensive mappings of the AWT usage in and American actors are going ahead with new Europe, and in-depth case studies. The main initiatives. Whilst the European industry has sources include existing research reports, other developed 3G systems much as a generational publicly available information sources, and expert successor to 2G, a plethora of competing (and interviews. complementing) wireless technologies and solutions, often stemming from the computer 1.4 Work Packages and Annexes industry, have entered the scene. For short, these are denoted alternative wireless technologies To structure the wide-ranging questions, the (AWTs). In some areas, notably wireless LAN project has been organised into several work applications for offices, homes and “hot spots”, packages (WPs), each of which is focused on they have already reached substantial usage some aspect of the whole problem set. WP 1-3 and diffusion. Other alternative technologies are reported in separate annexes (Annexes 1-3), – including WiMax, UWB and meshed and ad- while WP 4 is reported here. Annex 1-3 are only hoc networks – show promising signs of fulfilling published on the JRC-IPTS website (www.jrc.es) existent and growing user needs. If AWTs succeed, there is a risk that the leading European position 1.4.1 WP 1 – Mapping the Existing European will be seriously challenged. Hence, there is a Wireless Landscape and Current Trends strong and urgent need to thoroughly research the usage of AWTs, as well as the trends and drivers The objective of WP 1 is to map present- currently catalysing their diffusion. day developments in Europe regarding AWT in order to assess the extent to which these wireless technologies are disruptive to the existing (fixed 1.2 Objectives and mobile) networks. Specifically, it focuses on: The objectives of this study are: which emerging AWTs are being implemented; which stakeholders are involved; which services • To map wireless technologies in Europe and they provide; and what the current trends and the current trends in development drivers are. 21 • To analyse the drivers that could support WP 1 is reported in Annex 1, as follows. these emerging technologies, with particular First, it provides an overview of the most emphasis on safety and security and mobile significant AWTs, their general characteristics, virtual communities (MVCs)
    • their technical performance characteristics of AWTs for security and health; examples of Introduction and constraints, and their expected impact in use of AWTs in each of the major application the market of wireless and mobile broadband. domains, citing case studies of how the For a selection of these, penetration and usage technology is providing advances; and last, it patterns throughout Europe are overviewed and briefly examines the various business models analysed. The findings from empirical research for the AWT networking industry. among country experts and desk research are An analysis of security threats associated with • summarised for each of the 25 EU countries AWT. It provides an overview of AWT usages and for each technology. A geographical and the threats they imply, and then offers an representation of the significant alternative in-depth threat analysis for those components wireless technologies in the EU is also provided. that have the highest vulnerabilities in the By way of conclusion, emerging trends and end-to-end chain of AWT infrastructure, with drivers as well as foreseeable developments in six examples of threats in everyday AWT the availability and usage of AWTs are analysed. usage. Finally, a case study is presented on an • 1.4.2 WP 2 – Drivers advanced application of AWT for safety and security purposes – WARN, the Wireless The objective of WP 2 (reported in Annex 2) Accelerated Responder Network – a pilot is to explore safety and security as well as mobile project mobile broadband network for virtual communities as drivers for demand for public safety and security for Washington emerging alternative wireless technologies. WP 2 D.C. using Flash OFDM technology supplied is divided into several themes: by Flarion. MVC as a driver of AWT • Moreover, Annex 2 offers an in-depth case Safety and security as a driver of AWT • study of AWT status in one leading market – Korea. It includes a general overview of the Korean ICT Korea AWT Status • market, application services and the major players, First, there is an analysis of how MVCs key technologies and their suppliers, the drivers for interact with and drive demand for AWTs. It is AWT take-up in Korea (historical context, social carried out along two lines: (1) opportunities of drivers, the important role of government support, AWTs for MVCs, and (2) opportunities of MVCs and the regulatory environment). Finally, the way as a social platform for accelerated diffusion of forward for Korea in terms of main research areas AWTs. and the Asian context, i.e. the cooperation with A second theme offers an analysis of safety China and Japan, is examined. and security as a driver for AWTs, as well as the security threats they pose. The theme is in turn 1.4.3 WP 3 – Implications of AWTs for Europe split into three parts: and Policy Recommendations An investigation of enabling AWTs for safety • Drawing on the output of WP 1 and WP 2, the and security applications. This includes: objective of WP 3 is to analyse the implications, a number of scenarios or “vignettes”; potential benefits and challenges of the different examination of capabilities and suitability technologies for the EU over the next 10 years, of AWTs in security, safety and health in terms of the regulatory and policy situation applications; examination of a potential 22 required for their evolution and competition, by structure for a citizens’ alert network and how providing thoroughly researched and actionable this would fit into a compound architecture policy recommendations.
    • 1.4.4 WP 4 – Synthesis Exercise WP 3 is reported in a separate annex (Annex Mapping European Wireless Trends and Drivers 3), as follows. First, it examines the significant This report corresponds to WP 4. i.e. the economic potential driven by AWTs and thus the synthesis exercise covering all issues analysed need for a suitable policy and its underpinning in the previous WPs, and including an executive in current EU policy directions, as well the summary, references and list of abbreviations. tools that could make up an appropriate policy. Second, it sets out to answer two questions: why an industrial policy is needed for AWTs, 1.5 Structure of this Report and how we obtain take-up and buy-in for an The major content items of the final report, industrial policy. Third, a SWOT (Strengths, corresponding to the chapter outline, are: Weaknesses, Opportunities and Threats) analysis Chapter 2: Overview of AWTs • is conducted. From this, Annex 3 assesses the implications for policy and regulation, as well as Chapter 3: Overview of AWTs’ availability • the issues raised by policy/regulation, from the and usage in the EU point of view of the EU citizen. Then, resultant Chapter 4: Drivers: MVC, Security and Safety • policy recommendations are discussed under and AWTs as a security threat eleven (11) main headings. Finally, the main concepts and recommendations are summarised Chapter 5: Case study – AWT Status in Korea • in a European policy blueprint for AWTs. Chapter 6: Implications for Europe and • policy recommendations 2
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    • 2. AWT – Introduction and Overview Mapping European Wireless Trends and Drivers 2.2 Overview of Technologies and The objective of this chapter is to set the Supporting Communities stage for the subsequent ones by introducing the concept of AWT and the main technologies Mobile and wireless technologies can be and standards involved. Section 2.1 introduces characterised and categorised in a variety of ways. and defines the concept of AWTs. Section 2.2 However, it is commonly agreed that the basic provides an overview of the most significant determinants of the types of services and business AWTs and their general characteristics. Finally, models that they are able to support consist of the main standards and technologies are reviewed speed and mobility. While speed is a factor of the in Section 2.3. bandwidth and latency characteristics of a particular technology, the mobility provided is determined by the cell range of the technology and the extent 2.1 AWTs Defined to which seamless handover between cells is In recent decades, mobile communications possible. Technologies offering low data speeds have been dominated and shaped by 1G, 2G are often labelled narrowband technologies, as and 3G cellular systems. From time to time, opposed to broadband technologies offering high alternative technologies have challenged these data speeds. Technologies offering high mobility systems, but largely failed in the market (satellite are referred to as mobile technologies, enabling systems such as Iridium and cordless technologies the establishment of wide area or metropolitan such as Telepoint). As mobile communications area networks; while technologies offering low are becoming more data-capable and demand mobility constitute local or even personal area for data communications services is increasing networks, providing so-called fixed wireless following the growth of the Internet and local area access or nomadic access. networks (LANs), new growth opportunities open The mobile and wireless arena is an extremely up, not only for cellular but for also for emerging dynamic scene in which technologies are adapted, alternative technologies. Such alternatives are extended and converging towards ever-increasing here termed “Alternative Wireless Technologies” bandwidths and mobility. Most prominently, (AWTs). there is a strong drive towards the development AWTs enable, in sum, the provisioning of and implementation of network technologies existing and new services to mobile users and offering increasing data speeds. This is fuelled by allow communications between computers, the expectation that broadband technologies will PDAs, phones, consumer electronics devices enable mass market uptake of innovative, rich and appliances – in office, home, and/or public and user-friendly services and will allow a whole environments. AWTs may operate in licensed or range of market players to develop viable and unlicensed frequency bands and can be applied in sustainable business models. Therefore, this report a number of different topologies such as meshed focuses on new broadband technologies, offering networks and ad-hoc networks. In principle AWTs both high mobility and low mobility. The figure cover all emerging wireless technologies with the below demonstrates the dynamic and converging exception of cellular technologies. For the purposes nature of mobile and wireless technologies 2 of this report, however, satellite- and airship- towards so-called fourth-generation (4G) mobile based communications as well as broadcasting broadband network technologies. technologies (e.g. DVB) are excluded.
    • Figure 2‑1 Wireless Technology Overview 2. AWT — Introduction and Overview Sources: Adapted from Annexes 1 and 2 2.3 AWT Descriptions The convergence of technologies implies the convergence of different sectors and communities The AWTs covered in this report are: (1) supporting these technologies. While these existing in the market today and/or (2) on their communities are frequently overlapping in way towards standardisation or in (advanced) terms of stakeholders and their ambitions, they R&D stages and/or (3) potentially presenting a are also often in conflict with different regional challenge to traditional business models in the and sectoral scope. Table 2-2 in Appendix 1 mobile market. Specifically, we consider the shows that there are EU, US as well as Asia- following AWT types and technologies, each centric standard bodies and consortia. Also, described in the subsequent sections3: communities often tend to be dominated by the short-range protocols (such as WLAN /Wi-Fi, • telecommunications industry or the IT and fixed UWB, NFC, ZigBee and Bluetooth) wireless industry. In addition and conjunction to the technology development trajectories of these longer-range protocols (WiMax, Flash • industries, there is a thriving worldwide research OFDM, 3G enhancements such as UMTS- community working on very high-performing air TDD) interfaces and other network technologies. Finally, meshed and ad-hoc networking • a number of proprietary technologies are already on the market today, with the objective to set the de facto standard in the field. These are often IP- 2.3.1 UWB (Ultra-Wideband) based technologies developed and promoted by Ultra-Wideband (UWB) is a wireless start-up vendors such as Flarion, Arraycomm, IP 2 communications technology that transmits Wireless, Redline Communications and Alvarion. 3 Please consult Annex 1-2 for further information and sources.
    • 2.3.2 WiMax (802.16x) data in short pulses which are spread out over Mapping European Wireless Trends and Drivers a very wide swath of spectrum. The technology WiMax (Worldwide Interoperability for originated from military research and is Microwave access) is a longer-range wireless nowadays being standardised and developed access technology based on the IEEE 802.16 for civil application. UWB uses an extremely standard suite. The WiMax protocol suite consists wideband of spectrum to transmit the data. In of a number of variants. The first version (802.16) this way, the technology is able to transmit more is primarily intended for use as fixed wireless data in a given period of time than traditional access, as it operates in the spectrum between 10- radio technologies. By using low power levels, 66 GHz requiring line of sight. But later versions UWB has very little interference impact on other also allow for nomadic access and even mobile systems. Due to the large bandwidth it is rather operation (802.16e). The WiMax forum certified insensitive itself to interference from other radio that shared bandwidths of around 40 Mbps and sources. UWB allows ultra-high data rates (~ cell radii of 3-10 km, and shared bandwidths of 100s of Mbps) between devices, but due to the 15 Mbps and cell radii of around 3 km, can be power limitations, they must be close to each expected for fixed and portable, and for mobile other (at maximum ~ 20 m). Due to the strict application, respectively. Note however that, power limitations, UWB radios will be cheap in practice, reach and bandwidth will strongly and consume low power. Two versions of UWB depend on transmission power (much lower for exist, a time domain and an OFDM version. unlicensed than for licensed bands), antennas, There are several fora standardising UWB. protocol overhead and propagation conditions. Within IEEE, the IEEE P802.15 Working Group E.g. in the case of mobile application (requiring is the working group for Wireless Personal omnidirectional antennas) in unlicensed bands, Area Networks. The MultiBand OFDM Alliance the range corresponding to 15 Mbps could be (MBOA) is working on standards for both the reduced to only several hundreds of meters. physical and the MAC layers (IEEE 802.15.3a) Regulations allow deployment of WiMax in the of UWB. The WiMedia Alliance is working on licensed 2.5 GHz, 3.5 GHz and 26 GHz (non- developing a convergence layer that will allow line-of-sight) bands, and in the unregulated the UWB MAC layer to interface with a number 5.8 GHz bands. Note that the Dutch regulator of standard protocols, such as USB, WUSB, IEEE restricted the use of the licensed bands to fixed 1394 and UPnP. Finally, protocols should be wireless access only. developed take advantage of UWB. The WUSB WiMax can be used for leased lines, specification, developed through the Wireless residential access, nomadic access (hotspot) and USB Promoter Group, and the specification of a wide-area broadband access. Currently, only fixed Protocol Adaptation Layer through the 1394 Trade wireless access is possible. Intel has announced Association are examples of these. implementations of WiMax cards in PDAs and The MAC and physical layer specifications laptops in 2006, allowing nomadic access. Mobile will be released to the MBOA member companies implementations (in phones) are not expected at the end of 2004. Initial UWB-based products before 2008. Thus depending on the area of are expected to be introduced in 2005 and it is deployment, WiMax could be an alternative to widely expected that substantial volumes will find xDSL and FttH access, WLAN hotspots or UMTS. their way into consumer applications by 2006. Key The WiMax standard suite is IEEE standards players are Intel, Agere, Intersil and USB product (IEEE 802.16x). The WiMax forum assures vendors. TimeDomain, a very early start-up on the 2 compatibility and interoperability between IEEE time domain alternative of UWB, went broke and 802.16x implementations through testing and vanished from the market. certification of equipment. Vendors with (pre-
    • )WiMax equipment in their portfolio include: standard, there are two alliances working on 2. AWT — Introduction and Overview Agere, Alcatel, Alvarion, Fujitsu, Lucent, Samsung the standard: TGn Sync and WWiSE. Companies and Siemens. Examples of WiMax deployment in involved in TGn Sync are Intel, Agere, Atheros, Europe are BT and France Telecom. BT is trialling, Sony, Philips. Companies involved in WWiSE are in four areas, pre-WiMax technology (Alvarion) Broadcom, Conexant, Texas Instruments, Airgo for wireless local loop. France Telecom is trialling, and STMicroelectronics. in remote area of the Pyrenees, pre-WiMax As mentioned above, the 802.11a, 802.11b technology (Alvarion). and 802.11g are ratified IEEE standards. A first draft specification of 801.22n should be available in mid-to-late 2005. The Wi-Fi 802.11n standard 2.3.3 Wi-Fi (802.11x) should be ratified in 2006-2007. Currently, there Among the Wireless LAN standards, IEEE is no agreement yet on the channel bands. TGn 802.11 is the most mature wireless protocol in the Sync proposes using 40 MHz channels in the 5 unlicensed band of 2.4 GHz. It has been tested GHz spectrum (used by 802.11a), while WWiSE and deployed for years in corporate, enterprise, prefers the use of 20 MHz channels in the 2.4 GHz private and public environments. In this family band (used by 802.11b/g). “Pre-N equipment” of standards, there is a continuing trend towards came on the market by the end of 2004 (Belkin, higher bandwidths. It started with a shared Agere, Atheros, etc.). bandwidth of 2 Mbit/s (IEEE 802.11), via 11 Mbps At this writing, July 18th, the European (802.11b) to 54 Mbps (802.11a, 802.11g). The Commission announced that all member states IEEE 802.11n is a new wireless specification that have to make two frequency bands – 5159-5350 promises data throughput speeds of approximately MHz and 5470-5725 MHz – available for Wi-Fi 100 Mbps. The standard uses MIMO (multiple services starting November 1, 2005. The creation of input / multiple output) antenna configuration an EU-wide Wi-Fi standard is designed to help the technology to achieve this. The IEEE 802.11n technology grow and to help alleviate congestion standard should become backward-compatible in the 2.4 GHz version of the technology.4 with 802.11 a/g systems. The 802.11 standards suite was developed 2.3.4 Flash OFDM (802.20) for use in the wireless local area network (WLAN). The coverage area of 802.11 standards can be Flash OFDM (Orthogonal Frequency enhanced to the range of metropolitan area Division Multiplexing) is a longer-range AWT. The networks (several kilometres), using directional, IEEE 802.20 standard under development and high-gain antennas or using meshed network promoted by Flarion specifies a new mobile air architectures. Note that this would restrict mobile interface. Flash OFDM uses two paired 1.25 MHz usage of the technology. IEEE 802.11n can be FDD channels within the 450 MHz, 700 MHz, deployed similarly to its predecessors (wireless 800 MHz, 1.99 GHz, 2.1 GHz and 2.3 GHz home network, office and public access points) bands. Flash OFDM promises typical average but achieving higher bandwidth. The impact of shared bandwidths of 1 Mbps and 300 kbps IEEE 802.11n as alternative wireless technologies for the downlink and uplink, respectively. For in the sense of offering non-operator-centric deployment in the 450 MHz band, typical average access is considered relatively high. cell radii between 2.5 km and 25 km, for indoor The 802.11a, 802.11b and 802.11g are urban coverage and outdoor rural coverage, 2 ratified IEEE standards. Regarding the 802.11n respectively, are claimed. For deployment in the 4 FierceWireless, July 18, 2005, www.fiercewireless.com
    • higher frequency bands, these will be smaller. local loop architecture are the relatively low Mapping European Wireless Trends and Drivers Flash OFDM claims low latency (~35 ms response emission powers and more frequency reuse. time), making it suitable for use for both real-time Dynamic routing is used to adapt to changing and non-real-time services. Flash OFDM claims radio environment, traffic conditions or network to deliver these data rates, even when customer topology. Meshed networks are based on speeds are on the order of 250 km per hour. proprietary protocols, or built on existing protocols such as WLAN, WiMax, UWB or Zigbee. IEEE 802.20 can be deployed in a wireless metropolitan area network. The impact of IEEE Besides meshed networks with fixed nodes, 802.20 as alternative wireless technologies in the meshed networks in which the nodes themselves sense of offering non-operator-centric access can are mobile exist. A meshed network with mobile become relatively high. Global acceptance of the nodes is also referred to as ad-hoc network. technology is still uncertain. Wireless mesh networks are expected to resolve the limitations and to significantly improve the The standardisation is under responsibility performance of ad-hoc networks, wireless local of the IEEE (802.20). The 802.20 standard is not area networks (WLANs), wireless personal area ratified yet and it is questionable whether this will networks (WPANs), and wireless metropolitan happen. Although the IEEE 802.20 is not a ratified area networks (WMANs).5 standard yet and may never be, a full equipment portfolio (PC cards, desktop modems and radio Deploying of (fixed) meshed network offers an routers) is available from Flarion for deployment opportunity for cost-efficient roll-out of a wireless in the 700 MHz, 800 MHz, 1.99 GHz, 2.1 GHz local loop. Fewer Access Points will be required, and 2.3 GHz bands. Equipment for deployment as CPEs outside the coverage of the Access in the 450 MHz band is claimed to become Point will be able to reach the access point via commercially available at Flarion in Q2 2005. intermediate CPEs. Deploying meshed networks Netgear has agreed that it will add integrated Wi- can also be useful indoors, alleviating the need Fi and Flash OFDM functionality in its 802.11 for cabling to connect the wireless LAN access b/g products line. Siemens expects a 450 MHz points, as fewer access points will be required. terminal for Flash OFDM to become available on As a consequence the impact of (fixed) meshed the market in 2006. The first commercial trial with networks as alternative wireless technologies in Flash OFDM was started with Nextel in Q2 2004. the sense of offering non-operator-centric access T-Mobile trialled Flash OFDM in Europe, Telstra is relatively high. in Australia and Vodafone in Japan. (Mobile) ad-hoc networks (MANETs) are in the short term mainly a complement to mobile networks. Mobile ad-hoc networks can be offered 2.3.5 Meshed and Ad-hoc Networks to certain niche markets, e.g. temporary event In contrast with conventional wireless local networks. In the very long term they might become loop architectures in which CPEs (Customer a replacement for mobile networks. Premises Equipment) communicate with each Regarding OSI layer 2 and layer 3 functionality other via an access point, in the case of a meshed for meshed networks, there are basically two network architecture the traffic can travel hop approaches to standardisation. IEEE standardised by hop through the air via intermediate CPEs to two routing protocols for ad-hoc networking its destination. The CPE provides the combined (MANET group). These standards only focus functionality for customer access. Further on the OSI layer 3 part of meshed networking. 2 advantages compared to conventional wireless Akyildiz et al. (2005). 5
    • Nowadays, it is believed that dedicated OSI layer interoperability can be a problem. The complexity 2. AWT — Introduction and Overview 2 protocols are required in meshed networking of the system implies that small numbers of devices for efficiency reasons. The IEEE 802.11s standard can be interconnected at one time.6 that Intel and Cisco started developing in 2004, which is expected to be ratified in 2007, is an 2.3.7 NFC (Near Field Communication) example of this. Furthermore, a newly formed group within IEEE 802.16 (WiMax), Task Force F, Near Field Communication (NFC) includes will develop a meshed network variant of WiMax both a networking interface and a communication (IEEE 802.16f). protocol. The solution is targeted towards the consumer electronics users, who will be able to Examples of companies offering meshed use a means of communication between various network equipment are MeshNetworks, Ember, devices without exerting much intellectual effort in MeshCast, Radiant Networks, Packethop, Zensys, configuring a “network”. Using NFC, peer-to-peer Belair, Firetide, Strix, Intel and Cisco. Although connections can be configured between devices at stable commercial products exist, they are mainly a maximum of approximately 20 centimetres and offered by small start-up companies. They are with bandwidths of 106, 212 or 424 kbps. NFC non-standardised proprietary solutions. Operators operates in the unregulated RF band of 13.65 MHz. in the area of meshed networks are Roam AD, With NFC in order to make devices communicate, HappyConnect Almere and Skypilot. you bring the devices together or make them touch. This will result in the configuration of the 2.3.6 Bluetooth (IEEE 802.15.1) peer-to-peer connection between the devices. Eventually, once the configuration data has been Bluetooth is a specification for wireless exchanged using NFC, the devices can set up and personal area networks (WPANs), named after the continue communication for longer-range and Danish king Harald Blåtand (Harold Bluetooth in faster protocols like Bluetooth and Wi-Fi. Due English), known for his unification of previously to the very short distance between the devices, warring Scandinavian tribes. Analogously, the communication is secured (avoidance of Bluetooth was intended to unify different unintended connections rather than protection technologies like computers and mobile phones. against malicious intent). NFC allows a device The specification was first developed by Ericsson, to operate in power-saving mode (passive mode). and was later formalised by the Bluetooth Special In passive mode, one side powers the complete Interest Group (SIG). The SIG was formed in the communication. Main promoters of NFC are late 1990s by Ericsson, IBM, Intel, Toshiba and Philips, Sony and Nokia. Nokia, and later joined by other companies. Bluetooth is also standardised by IEEE 802.15.1. 2.3.8 ZigBee (IEEE 802.15.4) Bluetooth is defined as operating in short- range and mobile applications, in a personal ZigBee is a set of specifications built around operating space (POS) of 10m radius. It is used in the IEEE 802.15.4 wireless protocol. The name a star configuration with one central routing and “ZigBee” is derived from the erratic zigzag control point, or in a single link, point to point, patterns many bees make between flowers when as in Wi-Fi. Preferred operating frequency is in collecting pollen. The standard itself is regulated the 2.4 GHz ISM unlicensed band, but others by a group known as the ZigBee Alliance, with are possible. It uses a complex protocol stack, over 150 members worldwide, driven by promoter 0 often customised for individual device profiles, so 6 Baker (2004, p. 21).
    • companies The ZigBee Honeywell, Invensys, 3. Active tags: use batteries for the entire Mapping European Wireless Trends and Drivers Mitsubishi, Motorola, Samsung and Philips. As a operation, to emit radio waves, even in result of its simplified operations, which are one to absence of RFID reader. two full orders of magnitude less complex than a RFID uses multiple frequencies – low, high comparable Bluetooth device, pricing for ZigBee and ultra-high frequency. LF (125-134 MHz) and devices is competitive, with full nodes available HF (13.56 MHz) bands are harmonised globally, for a fraction of the cost of a Bluetooth node.7 but RFID uses at UHF are not. ETSI sets European Specification 1.0, released September 2004, is standards principally at 865-868 MHz, while USA intended for automation controls in personal health and Canada do so typically at 915 MHz – thus, care, industrial controls, consumer electronics, tags can be dual band and may have frequency residential and light commercial control systems, hopping. building control, PCs and peripherals. It is specified for license-free operation at 2.4 GHz for up to 65,000 devices attached, with tens of metres 2.3.10 Expected enhancements of UMTS range up to 100 metres (400 metres achievable) The state of affairs within UMTS is not static; and with 250 kbps data rate.8 various extensions and enhancements are being developed or are being considered, which may be relevant to the assessment of the threat posed by 2.3.9 RFID the alternative technologies. Therefore, we include Radio Frequency Identification (RFID) is a brief overview of a number of developments more than the next generation of bar codes relevant to UMTS. – it is a variety of interfaces that can connect computers directly to individual physical items, and even to people. RFID tags have the potential UMTS TDD of containing anything from item location and In UMTS, two modes of operation are pricing information to washing instructions, recognised, indicated as FDD (Frequency Division banking details and medical records. Range Duplex) and TDD (Time Division Duplex). Duplex varies by application from 7-15 cm for cards up relates to the two directions (uplink and downlink) to 7.5 m for transport and logistics applications at of communication between a base station and high power in the UHF range. RFID systems are a mobile terminal. In TDD the same frequency classified according to functionality of data carrier (channel) is used for both directions. Separation is – a transponder termed a ‘tag’. Transponders are achieved by time division, where transmitter and either active or passive, categorised according to receiver are used alternately. The fraction of the power source: capacity allocated to uplink and downlink can 1. Passive tags: require no power source or thus be easily adapted to the demand. battery; use energy of radio wave as power There are many aspects which may lead source; least expensive tag and prevalent to favouring either of the two approaches. In type. addition to technical considerations, also history 2. Semi-passive tags: battery built into the tag and political pressure have played a role for for performance of internal circuits but not to recognition of FDD and TDD equally in the 3GPP emit radio waves. specifications. The end-effect of the technical 1 7 http://www.wisegeek.com/what-is-zigbee.htm [Accessed July 10, 2005] 8 Egan (2004).
    • considerations is that FDD is favoured to provide 2004) the allocation of 2 × 70 MHz for FDD use 2. AWT — Introduction and Overview coverage in a large area and in situations with a (i.e. 14 paired frequencies/channels) and 50 MHz large number of users each requiring a relatively for TDD use (i.e. 10 frequencies/channels). In low bit rate (e.g. voice users). TDD may be addition, CEPT recommends permitting only favoured to cover a relatively small and isolated technologies from the IMT-2000 family. If and area (e.g. a hotspot), serve a smaller number of when these recommendations are followed users with a high bit rate, and/or when the uplink/ (which is expected to come into force from downlink traffic pattern is highly asymmetric. January 2008), these frequencies will become The current situation is that most manufacturers, available to UMTS and unavailable for other licensing authorities and operators (in particular purposes such as WLL, 802.16a/WiMAX. for the initial roll-out of the network) favour the use of FDD. The technical advantage of TDD The use of HSDPA and enhanced uplink may prevail when full coverage is achieved and cells become smaller, and if cell capacity is still Currently, most UMTS operators provide a a major issue. downlink data rate of at most 384 kbps, using one of the downlink packet data capabilities defined Currently, FDD is operated in licensed bands in 3GPP Release ’99. Since the 3GPP Release 5, only. Major operators also acquired a license for an additional physical channel has been defined a frequency (5 MHz channel) allocated to TDD which allows a much more efficient use of the use (in the bands 1910-1920 MHz and 2010- spectrum and a higher maximum data rate. By 2025 MHz). However, the authorities may declare using adaptive modulation (up to 16-QAM), one or more of the frequencies for TDD use as adaptive coding and channel-based adaptive license-exempt. In that case, UMTS technology scheduling, a High Speed Downlink Packet may pose a threat to existing operators (including Access (HSDPA) shared channel is provided UMTS operators), similar to the threat resulting that makes the most of a given situation in terms from alternative technologies. of propagation and interference conditions. Data-only TDD solutions from IPWireless Depending on the conditions a shared capacity are commercially available now in the UMTS can be provided with a maximum of 14 Mbps. unpaired band and in the 3.5 GHz band. End- The high data rate will considerably enhance the user devices in the form of PC cards and desktop performance of best-effort, interactive and some modems are available. Several operators in various streaming services. Thus, the difference between parts of the world are currently testing IPWireless the maximum data rates available with UMTS technology. IPWireless is likely to license its and with alternative technologies is narrowed technology to vendors who can take advantage of substantially. In addition, an ‘enhanced uplink’ manufacturing scale and ability to tackle system has been specified, colloquially also known as integration tasks.9 HSUPA.10 The use of additional frequencies – UMTS The development of a new radio interface – extension band OFDM and ‘Super 3G’ For future use, the band between 2.5 GHz Anticipating formal 3GPP standardisation and 2.69 GHz has been designated as UMTS activities for Release 7 and beyond, some extension band. CEPT recommended (September participants are considering enhancements to 2 9 Northstream (2005). 10 The use of beam-forming antennas and/or MIMO ((Multiple Input, Multiple Output) may further increase data rates in UMTS. (See Annex 1.)
    • the UMTS radio interface, in particular aimed at to the current 3G standards. The initiative is Mapping European Wireless Trends and Drivers providing higher data rates than currently possible. provisionally termed ‘Super 3G’. The aims Most of the proposals use OFDM as modulation are set high: to allow downlink bit rates on technique, the same modulation principle as the order of 30-100 Mbps, and to allow an used by IEEE 802.16(a). As some of the proposed upgrade of the 3G infrastructure rather than a concepts are, to some extent, compatible with the replacement. The initiative is clearly a response existing UMTS technology, its use is advocated to to the threat posed by WLAN technologies and fill the gap between the existing UMTS technology other AWTs. Currently, there is no indication and the next generation: 4G. about the technology planned to be used to achieve the ambitious goals. The time line is to On December 7, 2004 a group of 26 finalise the new standards by December 2006. companies, which also take part in the 3GPP Implementation/introduction is not expected consortium, announced having agreed on before 2009. jointly working towards a significant upgrade 
    • 
    • 3. AWT Availability and Usage in the EU Mapping European Wireless Trends and Drivers This chapter presents an analysis of the provides AWT services in Europe. Finally Section availability and usage of the selected AWTs – 3.5 analyses implications for the future based on UWB, WiMax (802.16x), Flash-OFDM (802.20x), observed growth trends and estimates. Wi-Fi (802.11x), Meshed and Ad-hoc Networks and UMTS TDD – in the EU. The technologies 3.1 Summarising AWT Activities in were selected on the basis of their potential for Europe the provision of alternative non-(traditional) operator-centric access. This section brings together the observations regarding AWT activities in Europe from Annex 1. The chapter starts with summarising key Table 3-5 provide an overview at country level of observations and mapping the availability and where these AWT activities are taking place, along uptake of AWTs, first by providing an overview with an overview of the phase of development, (Section 3.1), then elaborating on public hotspot i.e. (market) trial, deployment, non-commercial Wi-Fi (Section 3.2) and the other AWTs (Section use and commercial availability. 3.3). Section 3.4 proceeds with an analysis of who Table 3‑1 Overview of Selected AWT Activity in EU25 Country UWB WLAN (pre) WiMax Flash OFDM Mesh/Ad-hoc UMTS TDD Austria commercial deployment use Belgium commercial commercial use Cyprus commercial trial Czech Rep. commercial trial use Denmark commercial commercial use Estonia commercial trial Finland commercial trial use France commercial commercial commercial trial Germany commercial commercial commercial commercial Greece commercial use Hungary commercial deployment Ireland commercial commercial deployment deployment Italy commercial commercial Latvia commercial commercial commercial Lithuania commercial trial deployment Luxembourg commercial Malta commercial Netherlands commercial commercial trial use Poland commercial commercial Portugal commercial commercial Slovakia commercial Slovenia commercial commercial  Spain commercial commercial use Sweden commercial trial use deployment UK commercial commercial commercial commercial
    • Clearly the most dynamic markets, in terms An emerging phenomenon that can be 3. AWT — Availability and Usage in the EU of the variety of AWTs being used or deployed, witnessed in a number of European countries is the are situated in Western Europe and Scandinavia. establishment of wireless clouds or zones. Based France, Germany, Ireland, the Netherlands, on Shamp (2004), we define them as follows: Sweden and the UK present the most diverse A Wi-Fi zone is an aggregation of cooperating • European markets in terms of AWTs, with almost hotspots. However, the area covered by the all AWTs under review being deployed or used in zone need not be continuous. these countries.11 Wi-Fi clouds offer continuous and unified • coverage over a significant portion of a city’s 3.2 Wi-Fi /WLAN or town’s geographic area, usually using multiple hotspots. 3.2.1 Key Observations Examples of Wi-Fi clouds and zones being WLAN, in the form of Wi-Fi, is by far the most established in Europe today include Zonet, a mature technology considered in this report. It has cooperative of Finnish WISPs that has established been on the market for several years and is used by Wi-Fi zones and clouds in nine cities in Finland. a wide range of user groups. This chapter focuses Besides this, various municipal and community on public hotspots, i.e. installations where access initiatives have established or aim at establishing is provided for either direct or indirect commercial Wi-Fi zones and clouds e.g. in Finland, Belgium, return.12 Overall, most hotspots in Europe are Germany, Greece, Poland and the UK. commercially exploited and are resorting to direct payment by end users. However, there is still A cursory overview of Wi-Fi offerings large diversity across individual member states. It throughout Europe shows that Wi-Fi and is possible to distinguish two models, according traditional telecommunications access are being to two of the leading EU countries in this field: combined on a subscription level in at least Estonia and the UK. In Estonia, well over 50% of 10 to 15 European countries. In around five public hotspots are free to end users. In contrast, EU countries, this study has found evidence of in the UK it is estimated that only about 1% are mobile (2G/2.5G/3G) and AWT connectivity operated in a non-commercial manner. The various being combined on a technical level. pricing models that we have encountered include The main applications for WLAN are: (1) free usage, ‘near-free’ usage (i.e. free under the WWW access; (2) access to webmail; and (3) condition that a certain amount of money is access to corporate intranets and applications spent on other articles in the offering shop, bar or via VPN connections. In addition, but far more restaurant), pay-per-hour and/or pay-per-24 hours, marginally, some specific WLAN services are and flat fee subscription, sometimes bundled with being developed, mainly on a local level.13 fixed Internet or mobile subscription. 11 A methodological note is in place here. WP 1 (see Annex 1) maps the extent of AWT diffusion for all 25 EU member states plus, in a more limited form, for the 4 candidate countries. Data sources for the targeted information were non-confidential, publicly available or publicly verifiable. To gather them, extensive desk research activity was carried out, involving academic and consultancy sources, official country- and region-specific data, the business press, specialised web information, and corporate information provided by the main AWT providers in each country. In addition, a series of in-depth telephone interviews were conducted with country experts for each of the EU25 countries. In the subsequent sections of this chapter, a further analysis and summary of all qualitative and quantitative material are presented, omitting the data on the diffusion of AWTs in the form of country fact sheets. For this we refer instead to Annex 1. In addition, detailed maps as well all background data have been  made available to IPTS electronically. Public hotspots are installations where access is provided for either direct commercial return (fee charged per use / atonement) 12 or indirect returns as in the case of ‘free’ hotspots in public locations, such as hotels or cafes, to attract more customers to the core business. Free public hotspots are also often offered by municipalities, universities or communities of end users. With these types, access to the hotspot is free for the consumer at the expense of the hotspot owner. 13 Informal (2004).
    • The primary target user group for public 0.5 session / hotspot / day in Italy. In spite of Mapping European Wireless Trends and Drivers hotspots is business travellers. Other major target currently not being commercially sustainable, a groups are tourists, students and other consumer number of European countries, such as Sweden segments characterised by heavy (fixed) Internet and Greece, have witnessed the announcement usage in general. Finally, some niche deployments of further large hotspot roll-out plans. A number of public Wi-Fi (e.g. by municipalities) are of analysts have supported this by claiming that, targeted to Small and Medium-sized Enterprises even in more advanced countries in terms of (SMEs) and Small Office Home Offices (SOHOs) Wi-Fi penetration such as the Netherlands and in rural or remote areas, disadvantaged segments Sweden, the number of hotspots is still well of the population and so on. The predominance below thresholds that are needed to reach a of the target groups mentioned above is reflected commercially sustainable service. in the locations where Wi-Fi hotspots are being deployed and used. Public hotspots in the EU 3.2.2 Mapping WLAN Availability in Europe are rolled out primarily in cities and towns (i.e. in hotels, restaurants, cafes and at public Number of Hotpots per Country institutions) and at transport hubs (i.e. at petrol Table 3-2 presents aggregated data on the stations, airports, railway stations). number of hotspots in the EU25, as well as in An interesting new application of Wi-Fi, the four candidate countries.15 sometimes in combination with (pre)WiMax, is From Table 3-2, it is apparent that, even the offering of wireless connectivity on public though in absolute terms most hotspots are transport vehicles, usually on trains.This is currently deployed in Western Europe, with peaks in the being planned or deployed in countries such as UK, France and Germany, each of these countries Belgium, France, Germany, Italy, the Netherlands counting around 10,000 hotspots, in relative and the UK. Another interesting application is terms, the diffusion is (somewhat) more equally wireless VoIP (sometimes also labelled Voice over spread (see also Map 3-1). In relative terms, Wireless or VOW). Some analysts are persistently Estonia is clearly the most developed hotspot referring to VOW as the so-called killer application market in Europe with almost 40 hotspots per for AWTs. However, most observers agree that a 100,000 inhabitants. Denmark, the UK, France number of technological issues of using VOIP in and Ireland constitute a second group of countries the air interface,14 as well as issues relating to with the most developed and dynamic hotspot the availability of terminals and expectations of markets in the EU, counting over 10 hotspots per end users in terms of QoS and mobility, limit the 100,000 inhabitants. Malta, Germany, Austria, market prospects of VOW services in the short to Finland, Latvia, Luxemburg, the Netherlands medium term. and Sweden can be said to be in a third group Based on the findings and estimations of countries with (in relative terms) substantial uncovered in this study, it is clear that in general, hotspot coverage, all scoring above the European usage of Wi-Fi hotspots throughout Europe is average of 6.6 hotspots per 100,000 inhabitants. still generally below commercially sustainable A fourth group, comprised of countries that have thresholds (estimated as 5-10 uses per day). In a basic hotspot infrastructure, but are below March 2004, on average there was a usage of the European average, is made up of Portugal, 14 See e.g. Northstream (2005).  15 The mapping of WLAN availability is based on hotspot search engines, provider websites and expert interviews. For maps relating to geographical spread as well as to comparisons over time, data from a single directory were used. However, in order to generate maps providing a complete overview of the (absolute as well as relative) size of hotspot deployments, an extensive analysis and compilation were performed of a large number of alternative hotspot directories and ‘local’ hotspot directories, i.e. those operating with a more national or regional focus, as well as informed expert estimates, business and operator websites. For methodological details concerning the rest of the data presented in this chapter, please consult Annex 1.
    • Table 3‑2 Aggregated Hotspot Data 3. AWT — Availability and Usage in the EU Country Austria Belgium Bulgaria Croatia Cyprus Czech Rep. Hotspots 702 553 2 42 5 250 Relative 8.6 5.3 0.0 0.9 0.6 2.4 Country Denmark Estonia Finland France Germany Greece Hotspots 894 516 400 8,000 7,838 188 Relative 16.5 38.5 7.7 13.2 9.5 1.8 Country Hungary Ireland Italy Latvia Lithuania Luxemb. Hotspots 529 430 2,600 165 22 36 Relative 5.3 10.8 4.5 7.2 0.6 7.8 Country Malta Netherl. Poland Portugal Romania Slovakia Hotspots 39 1,300 346 650 10 50 Relative 9.8 8.0 0.9 6.2 0.0 0.9 Country Slovenia Spain Sweden Turkey UK Total Hotspots 55 1,072 600 161 9,689 37,144 Relative 2.7 2.7 6.7 0.2 16.1 6.6 Note: “Hotspots”: Total number of hotspots. “Relative”: Number of hotspots per 100,000 inhabitants. Sources: See Annex 1 Geographical Spread of Hotspots over Europe Belgium, Hungary, Italy, Slovenia, Spain and Greece. Finally, a fifth group of countries consists In order to visualise the geographical of Poland, Slovakia, Croatia, Cyprus, Lithuania, spread of Wi-Fi hotspots across the EU, a Turkey, Bulgaria, Romania, where hotspot number of maps showing the location of deployment is marginal or insignificant. Map 3‑1 Hotspots per 100,000 Inhabitants in EU25 plus 4 (June 2005)  Source: TNO
    • hotspots within the European countries were However, despite the limited and fragmented Mapping European Wireless Trends and Drivers generated, Map 3-2 showing the spread for nature of the diffusion of these AWTs, there is EU 25 plus 4. Observe that concentrations of a certain dynamism related to them in many dots on these maps indicate relatively high countries. The following table shows the number availability of hotspots in the same area, rather of EU25 countries where these AWTs are being than continuous coverage. used. The overview table demonstrates that, while UWB and Flash OFDM are marginal or non-existent on the EU market, (pre)WiMax, 3.3 Other AWTs Mesh/Ad-hoc technologies and UMTS-TDD are available or being deployed in many, or even The availability and usage of AWTs other most, of the EU member states. than Wi-Fi in Europe is far more incidental. Table 3‑3 Number of EU25 Countries with Selected AWT Activity Technology Commercial availability Non-commercial usage Deployment (Market) Trial Total 0 UWB 0 0 0 0 19 (pre)WiMax 12 0 2 5 1 Flash OFDM 0 0 0 1 14 Mesh / Ad-hoc 3 9 1 1 8 UMTS-TDD 4 0 3 1 Note: Every country is only counted once for each technology, i.e. if a specific AWT is being used commercially in a specific country, other activities such as non-commercial use, deployment or market trials are not counted for this country. Map 3‑2 Geographical Spread of Hotspots over EU 25 plus 4 (March 2005)  Source: TNO, based e.g. on JiWire
    • The following sections will detail the ways in Fixed wireless broadband Internet access • 3. AWT — Availability and Usage in the EU which these technologies are used, as well as the in rural or remote areas for consumers and extent of their deployment. small businesses (sometimes marketed as ‘portable DSL’). In some countries such as Austria, WiMax operators are also starting to 3.3.1 UWB offer voice telephony to their consumers. There are several national as well as EU- Alternative wireless broadband connectivity • wide research projects and trials with UWB, for consumers and small businesses in city demonstrating some interest in the concept and town centres. Usually in this case, basic of UWB from both a civilian and a military Internet connectivity is being offered in viewpoint. However, current deployment of very densely populated areas at competitive UWB in Europe is non-existent, in terms of prices. market trials or actual deployments (according to WiMax as a solution to fill holes in Wi-Fi • current public knowledge). Reasons for this are hotspot coverage and thereby create wireless not just regulatory bottlenecks – deployment of broadband access clouds or zones and the the technology is currently prohibited by most EU use of WiMax to enable wireless connectivity regulators – but also the standardisation problems on trains or buses. facing UWB (see Chapter 2) and the reticence of operators towards potential interference caused by Wireless broadband connectivity for large • UWB. The public announcement, in May 2005, of businesses or organisations, replacing fixed the Bluetooth SIG that it plans to integrate UWB leased-line capacity and/or offering corporate into its standard, may facilitate the entry of UWB services such as managed bandwidth services on the EU market, but most observers agree that and VPN access. This is mostly in and around this is not likely to materialise in the short term. cities and sometimes only within a limited time frame. As a rule, WiMax is offered as a subscription 3.3.2 (Pre-)WiMax service. Usually plain (broadband) Internet As ‘mobile WiMax’ has not been standardised connectivity is offered, but there are also attempts and is currently not permitted in most European to offer other services (e.g. VoIP for the consumer countries, so-called ‘pre-WiMax’ deployments market, managed services for the business market). that are using early WiMax technology to deliver Speeds typically range between 512 kbps and 2 Fixed Wireless Access (FWA) have been taken Mbps downstream and between 128 kbps and into account for this study. As argued by Goldman 512 kbps upstream for the consumer and small Sachs (2004), the more attractive spectrum bands business market, and upwards from 2 Mbps for for mobile or wireless broadband are those used the business market. For WiMax on trains, pay- by UMTS (WCDMA) and planned for UMTS per-use schemes have also been announced. expansion, making actual available licences Currently WiMax constitutes a small-scale, scarce. Generally in Europe, the licences awarded niche market. Little usage is being reported, for use with wireless broadband technologies typically a few hundred customers. However, this restrict the service to portable but non-mobile scale is expected to grow considerably as large trials applications, preventing carriers from enabling and deployments on a regional or even national cell handovers and thus preventing them from scale have been announced in several countries, competing head-on with UMTS. 0 following the allocation of 3.5 GHz licences Our research has uncovered the following throughout most of Europe. Map 3-3 shows that typical uses for (pre)WiMax throughout Europe: most current WiMax trials and deployments are
    • Map 3‑3 WiMax Activities in Europe, June 2005 Mapping European Wireless Trends and Drivers Source: TNO going on in Western Europe16. In Eastern Europe, (in which access points and wireless routers carry many new developments appear to centre around the traffic back to the wired node). The majority the 450 MHz band, which is more favourable to of meshes in Europe today seem to consist of low capacity, wide area voice and data services infrastructure meshes. than to mobile or wireless broadband.17 Mesh and ad-hoc technologies in Europe are being used by wireless communities of individuals linking and opening up their infrastructure on a 3.3.3 Mesh / Ad-hoc Networks voluntary basis. We have found few particular We have adopted a broad definition of services being deployed within these networks Mesh/Ad-hoc networking in this report. Different (see Map 3-4), or even Internet connectivity; distinctions are commonly made between meshed rather, they are mostly providing each other with networks18, including pure client meshes (in which basic high capacity links to one another. Another every device in the network, including laptops, use of mesh and ad-hoc technologies is to create PDAs and smart phones, can pass along traffic to more coherent wireless zones or clouds, for either other devices, and thus constitutes a ‘multi-hop’ commercial exploitation or non-commercial node in the network), and infrastructure meshes usage. This is done by specialised WISPs and/or 1 16 So while most analysts (e.g. Northstream, 2005) mention Eastern Europe as the most promising market for WiMax because of its general lack of fixed broadband infrastructure in many rural and remote areas, this is not immediately observable in WiMax deployments today. 17 See e.g. Goldman Sachs (2004). 18 See e.g. Vance (2004).
    • Map 3‑4 Mesh / Ad‑hoc Network Activities in Europe, June 2005 3. AWT — Availability and Usage in the EU Source: TNO by municipalities, regional governments and in Europe advocating a technology-agnostic universities. Commercial exploitation, if any, is view of licensing19, some analysts are observing on a subscription basis, typically with flat fees a different European strategy, involving Flash of 10-30 € per month depending on data rates OFDM trying to establish itself as part of the (typically 128 kbps to 1 Mbps). 3GPP family of standards. In any case, it is expected that there will be an uncertain and lengthy process involved. 3.3.4 Flash OFDM Meanwhile, we have found one first Flash Not just in the US, but also in Europe, Flash OFDM market trial on the European market OFDM has been touted by analysts as one of the already.20 In September 2004, a Flash OFDM trial most promising AWTs, citing its combination of in the Dutch city of The Hague was started by T- high throughput, high mobility, and low latency Mobile. In Finland, Saunalahti, one of 7 current as its major advantage. However, the deployment bidders for 450 MHz frequencies in that country, of Flash OFDM is currently not permitted by has announced plans to deploy a Flash OFDM many, if any, European regulators. While most network if it should acquire a licence. Its primary observers have characterised Flarion’s strategy target market would be up to 150,000 users in as attempting to support operators and agencies remote rural areas. 2 19 See e.g. Dineen (2004). 20 Hence no map is shown in this report.
    • Map 3‑5 UMTS TDD Activities in Europe, June 2005 Mapping European Wireless Trends and Drivers Source: TNO 3.3.5 UMTS-TDD most are aimed at the consumer market or at a mixture of both (e.g. Airdata’s UMTS-TDD offering Since recently, the trialling, deployment and in Germany). Some of these companies, including usage of UMTS-TDD in Europe are clearly on the Airdata, are rolling out UMTS-TDD networks with rise. The fact that the technology is admissible by the intention of subsequently using independent EU regulators because of its adherence to the 3GPP WISPs as resellers. The proposition to the ISPs/ family of standards is widely being regarded as the retailers is in this case to exclude the incumbent main advantage of this technology compared to from the customer relationship, as no fixed-line other AWTs. In addition, many traditional mobile connection is required any more for broadband operators in most of the European countries access. have acquired UMTS-TDD frequency space and licences at the time of the UMTS licensing Many operators are holding licences as well processes throughout Europe in 2000 and 2001. as having roll-out plans for much larger areas than UMTS-TDD is also being deployed by new city centres, including operators in Lithuania, operators in other frequency bands, e.g. the 3.5 Portugal, Sweden and the UK. While coverage of GHz band. current UMTS-TDD networks is in many countries on the order of tens of thousands of potential In contrast to some of the deployments of customers, actual subscriber figures are on the WiMax and Mesh/Ad-hoc networks, the current order of several hundreds of customers.  deployment and usage of UMTS-TDD in Europe are primarily in city centres and urban areas. The main service currently offered is flat- While a number of offerings are aiming at the fee ‘portable DSL’, priced at 15 €/month and up enterprise market (e.g. the Orange trials in Lille), depending on data rates (128 kbps up to 1 Mbps).
    • In addition to portable high-speed wireless positions is very much dependent upon the types 3. AWT — Availability and Usage in the EU of actors driving the service offering, as well as broadband access, various operators plan to on their strategies. This section briefly reviews offer a voice service over wireless broadband the main types of actors and strategies vis-à- that can replace subscribers’ landlines. Map vis AWTs encountered in the European market 3-5 summarises current UMTS TDD activities in today, in Table 3-4. Europe. Clearly traditional operators have taken the lead in the deployment and exploitation of 3.4 (Non-) Operator Centricity of AWTs throughout most of Europe. Obviously, AWTs in Europe this strongly limits the scope for AWTs being used in a non- (traditional) operator-centric The likelihood of AWTs actually constituting manner. a considerable threat to (traditional) operators’ Table 3‑4 Operator Centricity of AWT Initiatives in Europe Centricity Strategy/rationale Summary observation (relating to map) - Non-operators Communitarian: communities of “Light” or “Light to Moderate” activity in most individual provision individuals countries, consistent with most analysts’ observations of hotspots, and Location-based: municipalities and - Moderate or even strong involvement (e.g. in Estonia, the establishment universities wishing to increase the Spain, Poland and UK) likely related to a mixture of of (free) wireless attractiveness of their location or site active local, regional or national governmental support zones and clouds Commercial: indirect returns from for AWTs, active wireless communities, and individual increased sales of other products or commercial AWT offerings in which no operators are services (hotels etc.) involved Non-traditional / Niche players: Strategy: new operators - in segments of the business - All strategies found, no strategy clearly dominating e.g. new market; or new. Strategy followed by new entrants appears to generations of depend primarily on the state of the market, regulatory - rural and remote coverage WISPs incentives and the particular characteristics of specific (Potential) mass markets AWTs. operators: Activity: - serving consumer and small - “Moderate” in most countries, reflecting some business markets in urban areas dynamism in AWT markets today as to new market (cream-skimming or competing entry, but also the limited (and in some cases head-on with existing networks). declining) impact. I.e. new AWTs often introduced by - serving consumer and new entrants, but in Wi-Fi consolidation by traditional business markets in large operators has followed. areas with underdeveloped - A few countries (e.g. Ireland, Germany, Denmark existing telecommunications and the UK) have a more significant presence of new infrastructure. operators. Traditional operator Pre-emption strategy: often by the Strategy: acquisition of small new entrants, in - Pre-emption and non-cannibalisation strategies visible order to discourage or preclude entry amongst traditional operators in many countries. by other operators. - Wi-Fi and traditional telecommunications access are Non-cannibalisation strategy: being combined on a subscription level in at least 10 deployment in small niches where no to 15 countries. overlap exists with traditional activities - Cellular (2G/2.5G/3G) and AWT combined on a Integration strategy with small scope technical level in around 5 EU countries. for AWTs: integration of AWTs into - Thus a number of traditional operators that are the overall operator offering (for niche moving beyond defensive strategies. use). Activity: Integration strategy with large scope - “Strong” or “Moderate to Strong” in almost all for AWTs: integration of AWTs into the  overall operator offering, with AWTs countries. Thus traditional operators have taken the constituting a considerable part of the lead in the deployment and exploitation of AWTs value proposition. throughout most of Europe, which strongly limits the scope for AWTs being used in a non- (traditional) operator-centric manner.
    • 3.5 Conclusions and Future Directions growth; and for almost half of the EU25 countries Mapping European Wireless Trends and Drivers for AWTs in Europe (e.g. Austria, Estonia, Finland, Hungary, Italy, Sweden and the UK), moderate growth. Only for As an input to the debate on future scenarios one country, i.e. Ireland, have moderate to strong for AWTs in Europe, this section presents some growth rates been estimated. data on recent and expected growth rates. WP It was also illustrated that a considerable 1 compared the figures for each country on the number of current AWT service offerings are growth of hotspots from August 2004 to March not directly in competition with mobile or fixed 2005, and showed that growth rates are very broadband, due to a lack of mobility features and uneven, but can be quite impressive. While there to a lack of clear price or data rate advantages has been hardly any growth in most of the lagging vis-à-vis fixed broadband, respectively. It was countries, other countries exhibit moderate but demonstrated that, while Eastern Europe is steady growth rates of e.g. 100 hotspots per year often mentioned as the most promising AWT as in Estonia, and still others such as Germany market because of a lack of fixed broadband appear to have experienced very high growth infrastructures in many areas, this is not visible rates. In any case, judging by this data, there is in the number and extent of AWT deployments no reason to assume stagnation or levelling off of today. Estonia aside, most AWT dynamics currently investments in AWTs in Europe. In terms of future appear to be taking place in Western Europe and developments, WP 1 reviews of expert estimations Scandinavia, with the four candidate countries for AWT growth in the short to medium term scoring amongst the least developed countries in showed mixed results. For 4 countries, little growth terms of AWTs. Finally, regulatory conditions in is expected; for 8 countries, little to moderate Figure 3‑1 Growth Estimates of AWTs in EU25 Member States  Source: TNO
    • Europe are generally still anchored around 3G, centric initiatives. Given the fact that “no operator 3. AWT — Availability and Usage in the EU even though some regulators seem to adopt a two- wants to choose a non-orthodox migration path” tier approach which at the same time stimulates (Goldman Sachs, 2004), this might lead to rather AWT development (e.g. in Ireland). The active bleak prospects for AWTs in Europe. However, role of governments and regulators in Estonia some very compelling reasons to do so make (with the most hotspots compared to its number of it not impossible for traditional operators to inhabitants) and Ireland (where growth estimates embrace AWTs. UMTS-TDD might be an obvious for AWTs are highest), as well as the potential candidate, but especially traditional operators role of UMTS-TDD as an ‘acceptable’ AWT to EU without UMTS-TDD licences, operators with a regulators, are worthwhile highlighting. stake in certain other AWTs, operators wishing to connect and integrate their present Wi-Fi hotspots, In conclusion, there is still no definitive and operators aiming to develop in a so-called answer to the question: “How alternative are greenfield situation, may be inclined to consider alternative wireless technologies in Europe?” other AWTs as well. Thus, the market potential This chapter has shown that, currently, traditional offered by AWTs is likely to be much more telecommunications operators are leading AWT disruptive than present developments suggest, developments, while some additional market which in turn raises critical policy challenges and dynamism is being created by new operators and, opportunities, to be discussed in Chapter 6. in a limited number of countries, by non-operator- 
    • 4. Drivers – MVCs, Security and Safety Mapping European Wireless Trends and Drivers This chapter explores drivers in particular highlighted by nearly 30 country and technology safety and security, as well as mobile virtual experts who were interviewed for this study. communities as drivers of demand for emerging alternative wireless technologies. By way of 4.2 Mobile Virtual Communities introduction, a Section 4.1 presents a generic overview of present and near-future drivers This section explores the (potential) and bottlenecks for AWTs in Europe that were relationship between mobile virtual communities encountered during the research. Section 4.2 (MVCs) and alternative wireless technologies summarises observations regarding mobile virtual (AWTs), based on a quick scan of relevant communities (MVCs) as drivers of AWTs. Section literature as well as empirical evidence. 4.3 investigates enabling AWTs for safety and The concept of virtual communities is an security applications (including a case study), increasingly popular one for addressing various while Section 4.4 closely inspects one specific forms of interaction in the information society bottleneck for diffusion of AWTs, namely the technology domain. We approach communities security threats they give rise to. with a broad definition, exploring the emergence of all different kinds of (social) networks in relation to alternative wireless technologies. These could 4.1 General Drivers and Bottlenecks be communities (both physical and virtual) but Table 4-1 summarises general drivers and also other networks and interactions between bottlenecks at the level of general developments individuals and groups of individuals. We use the in markets, technologies and regulations – as term ‘communities’ as an overarching concept Table 4‑1 General AWT Drivers and Bottlenecks Drivers Bottlenecks Poor fixed broadband infrastructure development Lack of interconnection and roaming agreements, - - in many small cities, towns, rural and remote areas especially between new AWT operators. across Europe. Pricing models of public hotspot access in many - Government incentives, programmes and public- EU countries still oriented towards occasional use, - private partnerships to stimulate broadband limiting scope of AWTs to business market. connectivity. Licensing regimes in many EU countries imposing - Competition in Wi-Fi markets, e.g. because of limitations on spectrum availability, deployment, - relatively low prices of Wi-Fi deployment, driving handoff and integration of AWT cells, and generally prices down and ensuring relatively high coverage in a allowing technical experiments with AWTs but no number of countries. market experiments. Success of private in-house WLANs, which might Persistent standardisation problems. - - stimulate the usage of public WLANs. Lack of user-friendliness in access, authentication and - Emerging integration of AWT and mobile capabilities billing procedures. - in dual mode handsets. Lack of structural advantages (in terms of speed or - Falling hardware prices and backhaul costs. cost) over fixed broadband, and therefore a lack of - Limited number of licensed operators in some incentives for AWTs in areas with well-developed fixed - markets, creating incentives for new stakeholders to broadband infrastructure. enter national markets using AWTs. Potential saturation and congestion of unlicensed - New applications and possibilities such as VoIP over spectrum in prime locations. - wireless, deployment of AWTs on trains etc. Limited amount of terminals and other certified  - Expected expansion of WiMax with mobility equipment in the market. - characteristics. Lack of customer education, i.e. in terms of - differences between mobile and various AWTs. Lack of content applications. -
    • for a wide range of more or less structured social communities can also be expected to be limited 4. Drivers — MVCS, Security and Safety contacts and networks. in the short to medium term. The (potential) relationship between MVCs Instead, currently the main development and AWTs can be contextualised within the in this respect is the proliferation (be it predominantly at a modest level, nota bene) of general discourse on the relationships between wireless communities for the joint deployment and communities, social capital and ICTs, and on the distinctions between communities of operation of Wi-Fi hotspots and clouds. Due to the birth, communities of interest, communities of cost characteristics of many AWTs (individual base practice and networks of practice. There is also stations and access points are relatively cheap to an emerging body of literature dealing with the deploy), their technical characteristics (potential relationships between mobile technologies, to be used in ad-hoc and meshed topologies), and virtual communities and social capital in general, main stakeholders (as they are driven primarily by which points at strong to even extreme mutual hardware industry rather than by any community influences. of established service providers), a new breed of wireless communities has been developing It should be stressed that several current and rapidly. These are often grassroots amateurs emerging instances of MVCs are related to mobile that quickly found themselves and organised cellular technologies. The primary applications of as communities to enjoy the benefits of shared mobile technologies in the consumer market, i.e. resources, interests, and activities. A typical mobile voice telephony, short messaging service characteristic of these wireless communities is that (SMS) and multimedia messaging service (MMS) they are using AWTs in a non-operator-centric way, are strongly community- and network-related. Also more precisely according to the communitarian ringtone downloading, the primary third-party rationale/strategy (see Table 3-4). Looking outside content application for mobile telecommunications Europe, sources indicate that in the US, wireless worldwide, exhibits a community aspect. In communities have been much more active than addition, a number of more advanced mobile in Europe or elsewhere in the world. But even in virtual community uses of mobiles have been the US, wireless community activities appear to reported. These include mobile blogging, mobile be completely, or at least predominantly, centred location-based multiplayer games, and mobile on the provisioning of AWTs themselves. picture-sharing communities. Still, these are only embryonic indications of potentially far-reaching Finally, we point at the geographical developments in this field. limitations of current AWTs (offering nomadic rather than mobile access, and constituting There are a number of potential ways for AWTs wireless hotspots, clouds and zones in a limited, to influence (and be influenced by) MVCs, due local area), and at participatory limitations (related to the reciprocal nature of MVCs and AWSs and to the high expertise and income levels of current the different nature of current AWT deployments participants) as the main factors hindering the vis-à-vis mobile cellular deployments (in development of wireless communities today. particular the cost-efficiency and flat-fee pricing, adding value for MVCs when AWTs are used). Voice over Wireless IP has persistently been 4.3 AWTs Enabling Safety and Security referred to as the so-called killer application Applications for AWTs. However, there are still a number of AWTs networks are finding major and barriers limiting the market prospects (and thus  increasing usage in security, health care and safety community impact) in the short to medium term. of everyday life. The range of security and safety The development of specific mobile multimedia applications for AWT networks is as diverse as content made accessible through AWTs is still their technologies. Table 4-2 examine the potential in its infancy, and its impact on mobile virtual
    • Table 4‑2 AWTs and Safety/Security Applications Mapping European Wireless Trends and Drivers AWT Applications in security and safety NFC (Near Field - Card readers, linking devices into cooperating networks including access control. Communication) - Medical applications in the NFM (near field magnetics) form, with ingested or sub-cutinaceous responder capsules. UWB Useful for high-speed short-range communications up to 20m including: (Ultra-Wideband) - High-resolution video with multiple channels. - Applications requiring propagation characteristics that can make walls and obstructions seem transparent. - Electrically noisy environments. - Large warehouses, in a low data rate version. ZigBee - Sensor networks for chemical, nuclear and hazardous zones, including noxious leak detection in public places. - Wireless monitoring of shipping containers while in transit (US Coastguard) for chemical and radiation detection with automatic alert to shore. - Hotel and public building systems for detection of radiation and chemicals in air conditioning. - Remote control of safety devices and complete factories and vehicle, including ships, for robot operations. - Pipeline control and monitoring including leakages, explosive gas build-up etc. - Reporting on perishable goods including foodstuffs for temperature and state. RFID - RFID can be used to track people as well as goods with smart tags. The US military’s Joint Total Asset Visibility (JTAV) network built over the last ten years is one of the larger RFID networks in the world – with active RFID tags and GPS locators to globally track military supplies21 . - Typical LF security and safety applications include access control, personnel tracking, vehicle immobilisation, health care applications, authentication, and point-of-sale applications. - Typical HF applications include patient monitoring, product authentication, and the tracking of airline baggage and smart cards and shelves for item-level tracking. - UHF bands are highly suited to supply chain RFID applications due to the greater range for transmission of data, so UHF RFID is used with the Electronic Product Code (EPC) standard in logistics. - Safety in food can be monitored with RFID tags that contain a threshold temperature sensor to detect whether a food item has become warmed up at some point and is no longer safe to eat. - The high-range band is also widely used for toll collection systems on highways, manufacturing applications, and access control, especially for vehicles, to restricted areas. - Embedded RFID can be viable for tracking bank notes and verifying passports. RFID tags may also embedded under the human skin as authentication, location and for transactions. - RFID tags are used as environmental sensors, using an energising signal from a scanner for their transmissions. Bluetooth Criticised for weak security, Bluetooth in mobile and PC devices has a history of eavesdropping and giving IEEE 802.15.1, out personal details without the owner’s control. versions 1 and 2 Suitable for: - machine-to-machine communications in home networks and industrial networks over short distances, where ad-hoc links need to be set up on moving into range. - Applications in medical and all emergency situations where a short-range protocol is required for point- to-point emergency personal networks and power supply is not a problem. Wi-Fi Although security problems with penetration and lack of access control are rife, its ubiquity and falling price (IEEE 802.11a,b,g, n) lend it to securitisation via better access control and encryption, which may hit throughput performance. It may be used as: - a short-range system for data transfer including compressed video over its 11 Mbps channel for medical and surveillance applications. - a low-cost platform using the mesh network software which employs its protocols (see below) for an emergency services network across a municipality. Enhancements of Applications may exist in both interactive and alert broadcast networks. The need for mobility for emergency UMTS’ services may be a limit on enhanced data rates. Flash OFDM Applications are in: (802.20 candidate) - communications for the US national police services, municipal police and emergency services command, control and surveillance systems in conventional cell structure, with handover, for a broadband solution (up to 1.5 Mbps). - social work and medical communications systems for sending visual information to experts, and also access to 3D CAD for buildings for fire-fighters. Proprietary Mesh - Mesh networks are useful for safety and security applications due to their resilience in a disaster or networks attack situation where new deployment and resistance through redundancy are required. They are also Locustworld, being installed as: Tropos, Firetide, - low-cost municipal networks, as the density of base stations is far lower than cellular Land Mobile Strix Radio (LMR) for emergency services. In the USA, municipal mesh networks have been installed for the police, ambulance and fire emergency services. - They have also been used in robot management networks – a Tropos mesh network is used for space robots by NASA in its test labs.  WiMax (802.16x) - Useful in the fixed wireless mode for surveillance and for broadcast of alerts. Fixed, nomadic - In the mobile roaming form, can be used for broadband video for emergency services support. (portable) and - May form the basis of low-cost communications, command and control systems for city-wide mobile access emergency services. 21 Digital ID World (2003)
    • applications of AWTs in more detail. Clearly we AWTs enables expertise and scientific monitoring 4. Drivers — MVCS, Security and Safety are currently still at the dawn of finding usages for of care in the hospital to be transferred to care in AWTs in the fields of security and safety. In sum, the home for aged and infirm people; (2) numerous the pervasiveness and ubiquity of AWTs lead to uses in hospital networks; (3) personal and new levels of sophistication in support (e.g. for wearable health networks (Healthwear) attached the elderly and frail) and for security (e.g. in giving to the body of the patient will extend care into the constant surveillance for hazards) and in medical home from hospital, an area where little success applications, where the field is being revised by has been found so far with effective telemedicine. sensor networks and the co-ordination afforded by These may be used for early detection of failing broadband wireless networks for telemedicine. mental as well as physical conditions, by going into social interaction as much as monitoring body The functional usages of AWT networks parameters directly. Finally, AWTs may be used in in applications within the three classifications (4) ambulance control and on-site support, where of security, safety and care are reviewed. For for instance images can be transferred from first security purposes, AWTs lend themselves to responders to a moving ambulance to prepare its providing police fire and ambulance services, as medicos for the injuries and the general scene. well as security services with extremely robust C4 (command/control/communication/coordina- tion) systems not least for alerts and disaster 4.4 AWTs as a Security Threat situations. This section pursues an analysis of security Safety of life and property using AWT threats to mobile virtual communities through capability covers many areas, but two appear AWTs, including threats to the person, personal particularly significant: (1) the use of wireless details and data for emergency and community sensor networks for detecting unsafe situations, services and services such as m-commerce, be they in a specific environment, a city, a including content distribution. We can begin this chemical plant, or tracking potentially hazardous threat analysis by examining the various elements moving items such as containers; (2) mobile of AWT wireless networks and their associated applications for vehicle and traffic management security threats, in a form of standard breakdown hazards–termed telematics. As the hazards of as illustrated below. a large-scale disaster or attacks become ever Taking instead the user’s view, we can greater, we may need a way of alerting citizens already see that there are fears about wireless everywhere. AWT networks could form the basis security, especially privacy, and that some AWTs of a ‘second network’ to provide the citizen with are already the subject of protest (especially those a dedicated alert channel, due to their ubiquity, associated with personal areas such as Bluetooth robustness and low cost relative to other radio and RFID). In the more advanced mobile markets, technologies such as mobile cellular (see the the growing security threat in mobile cellular case study in Box 4-1). In addition, mesh forms already has a demand-side dimension that must of AWTs have inherent resistance to attack due be assessed as part of this driver. to their non-centralised locus of control, and thus are attractive for this application. The national-level impacts possibly could be even greater than the current nuisances of Internet Despite the widespread use of AWTs in threats, if links into other telecommunications emergency and security applications, perhaps networks are used to bring down the emergency it is in the development of ubiquitous networks 0 services, for instance in a Denial of Service (DoS) for health care, including mental health, that attack. Liability would be attributed to security the greatest advances are to be seen. In health weaknesses in the AWT network. So a key part care AWTs can be used in several applications, of the AWT applications can be expected to be including (1) telemedicine, where the ubiquity of
    • Box 4‑1 Case Study – WARN (Wireless Accelerated Responder Network) Mapping European Wireless Trends and Drivers Since the disastrous events of 2001, government agencies in the USA have been examining the exchange of narrowband systems for mobile broadband service. The goal is to increase the speed and efficiency of emergency response, and equip public safety with more tools to detect, prevent and respond to events, and to improve effectiveness of public safety services and personnel (especially in mobile and remote environments). The Office of the Chief Technology Officer (OCTO) in Washington DC is an example of one such agency. The Wireless Accelerated Responder Network (WARN) project grew from the US capital’s need for mobile communication for public safety and security as part of the US Homeland Security and Public Safety requirement. It was considered that a new approach was now needed to enhance detection, prevention, and for response and recovery efforts. To avoid delay, the city of Washington decided to support the entire pilot internally. In February 2004, the district administration awarded a $3 million contract for a pilot network to Motorola, as prime contractor, with its subcontractor for the key technology being Flarion Technologies. Deployment began in 2004 for a pilot test implementation, which went operational in September 2004, with an experimental temporary licence from the FCC. The objectives of the pilot project were to demonstrate the applications and benefits of broadband wireless networks and satisfy short-term critical needs for communications not met by current systems. The network system had to provide: (1) a broadband user experience – thus it must support full motion video back from the incident scene (which indicates at least 1.5 Mbps with a 300 kbps uplink), (2) interoperation with legacy-wired networks for end-to-end transport of IP and packet- switched information, (3) end-to-end security, from wired host to wireless client, (4) cost-effective solution, (5) priority access (QoS), (6) the capability of scalability, (7) support for full vehicular mobility across a wide service area, (8) Always-on access, (9) an architecture and interfaces system such that changes to existing applications or devices are not required. The solution chosen was Flash OFDM for the broadband wireless service. Broadband wireless solutions are bandwidth-intensive, and the solution chosen for Washington DC is 100 MHz bandwidth set at the 700 MHz frequency to give good range and lower the number of base stations required for the urban cityscape. The main challenges overcome were: (1) construction of equivalent to PMR at lower costs; (2) obtaining buy-in of user groups and success in replacing their own networks, as they have the confidence to substitute a single new AWT solution for their existing separate networks; and (3) integrating the requirements from a diverse set of users on a single network solution. As a result, today Washington DC has the first city-wide high-speed, wireless, broadband data network capable of handling real-time voice, data and video for public safety. WARN’s network originally employed a 10-cell site network to cover the city limits at the 700 MHz frequency. Due to needs of a new basketball stadium and other local requirements, the system was easily expanded and now has 12 base-station sites. The success of the OCTO WARN network pilot has largely come from five factors: (1) capacity to carry all network traffic without saturation; (2) costs which are a fraction of the conventional contender technology, (3) flexibility to meet diverse needs among several communities of users, with a broadband capability for video voice and high speed data, (4) security and reliability of connection in service, (5) return on investment – measured not just in pure in response capability for emergencies, but in factors such as reducing police paperwork and the ability to support the community socially by, for instance, reducing the incidence of crime. The key lesson from the case study is that this AWT technology, Flash OFDM pre-standard IEEE 802.20, provides a viable and reliable basis to deliver broadband services citywide, at lower cost than 3G mobile or conventional (2G voice) LMR. It offers reliable roaming and cell handover for high-mobility vehicles such as helicopters, to match security requirements. Also the cost of maintenance for such a multi-purpose capability is far lower. One network is shared among several user organisations, rather than each having to set up and run a separate network. Such a situation would miss the effects of scale as each network has smaller capacities and user population, with different standards and networks. This inefficiency leads to higher Capex and Opex per user. 1 Main sources: OCTO (user) and Flarion USA (network supplier)
    • Figure 4‑1 Security Challenges of Wideband Multimedia Elements 4. Drivers — MVCS, Security and Safety Source: SCF Associates a security platform to protect all components users may join the network and even carry traffic (servers, networks and handsets), to ensure for others in certain technologies of mesh network. coherent security with constant monitoring and Thus there are major authentication issues to management of attacks. be resolved here, specifically of creating secure transient security relationships22 perhaps through However, the security field in AWTs is very multi-level integrity systems23. Moreover, Mobile young. By the random nature of their development, IPv6, which may be used in mesh networks, with the technology often appearing from start-ups, enables mobile nodes to migrate from one access we can see that security is still a ‘work in progress’. point to another, raising a new set of security issues A key difference in security architectures for AWT in establishing authenticity and also protection of networks, compared to previous radio networks communications as a relay for others, if the handset of cellular form, is that they may be non-operator- is used as a node. The problem of knowing who centric – and more specifically, there may be no is the valid subscriber is multiplied for roaming centralised management. Networks may be ad- users from other networks. hoc with mesh styles of operation in which new 22 Stajano and Anderson (2000). ‘Secure transient security relationships’ in the sense that a user may appear for a short commercial transaction, and then disappear, and may also be a user who has not been seen before – yet the whole transaction must be authorised, the communicating parties must be authenticated, and the information passed must remain intact and not 2 intercepted. The relationship between buyer and seller, for instance, lasts only as long as the transaction, yet all must be secure. 23 ‘Multi-level integrity systems’ refers to the notion of security across the various layers of the network and into the application. For ad-hoc radio systems, security at the air interface level could be a physical level of data encryption with authentication of the user-handheld device and base station; whereas at the level of e-mail, integrity of the communication service could require verification of naming and addressing for source and destination as part of the integrity measures, as well as policing payload data corruption.
    • In the future, AWTs will offer more than a vulnerabilities of an air interface. Moreover, Mapping European Wireless Trends and Drivers major new communications channel, but just access is provided for malicious software to as 3G and 2.5G mobile cellular do, they will telephony networks which may be important for bring much richer services. However, the new security of life, through the mobile telephony services also bring a range of responsibilities and APIs. Thus there are strong AWT market issues of vulnerabilities never seen before – the multimedia security, many of which have already appeared handset equals the PC in intelligence and first with Wi-Fi, largely to do with confidentiality programmability with Java-based applications, and privacy. Here we would highlight a high-risk the network becomes an IP packet-based transport threat to AWT market take-off. If such menaces get mechanism with intelligent gateways and service out of control, the whole wireless market could agents at its edges, while the IT content server be undermined in the subsequent fall-out. Citizen side expands in complexity and size. and consumer trust would be destroyed. There is a risk that the whole use of the AWT networks Thus looking forward over the next decade, could be set back for some years, just as the the threats expand from those associated with Internet e-commerce world has been retarded by simple communications to those associated with similar incidents. The AWT consumer market will applications for advanced emergency services be extremely vulnerable to fraud and malicious support as well as commercial services in m- software security lapses. Given a major scandal commerce and the like, based on some form of with viruses, fraud, identity theft, affecting the Internet, intranet or extranet access over a wireless public emergency services by blocking, spam or local loop. The dimensions and range of threat that location-based privacy attacks, the whole AWT come with these new capabilities have not been consumer market could fold. It could leave 2G’s seen before in conventional computer networks plain vanilla circuit-switched voice as the only or the Internet, and certainly not in earlier mobile service consumers would trust. cellular such as 2G mobile. Risks to everyday community operations and business are spread Protection of AWT systems end-to-end is a across all system elements: the networks (fixed major challenge. Although we do not investigate radio and mobile radio access as well as wireline solutions in detail here, we may suggest certain backhaul); the servers and databases connected, guiding principles, especially that security cannot including digital asset repositories as well as just be bolted on. To be effective across the citizen and customer data, and on the server side, multimedia wireless environment, security needs the applications and portals. to be addressed as a key component of the overall infrastructure, designed in from the start – and not Types of risk include all the infamous attached at the end. attacks seen in the Internet world, with added 
    • 
    • 5. AWTS in Korea – A Case Study Mapping European Wireless Trends and Drivers This chapter summarises for policy-makers 3G mobile services, so mobile cellular operators certain key lessons that we may draw from the AWT offer not just voice but data transmission over experience of the Republic of Korea (henceforth CDMA2000 1X EVDO networks at speeds up Korea or South Korea). Section 5.1 overviews to 2.4 Mbps, for a wide range of application some general features of the Korean ICT and, in services. more depth, AWT market. Section 5.2 analyses Globally, the most advanced AWT market the main drivers of success, and hence lessons is probably Korea. Over 18,000 Wi-Fi hotspots, to be learned for policy-makers elsewhere. The over 35% of the world total, were commercially chapter ends with a view of the future by probing available nationally by 2004. Industrial AWT into the most recent R&D and policy agenda and networks such as ZigBee for RFID and industrial how the Korean direction fits into a broader Asian sensors are also being piloted in Korea, while context (Section 5.3). most terminal and handset devices designed and manufactured in Korea have short-range AWTs embedded, such as Bluetooth and RFID. For 5.1 Korean ICT and AWT Market instance, SK Telecom’s Moneta service has more than 470,000 point-of-sale terminals that accept Korea has made major strides in information payments via RFID chips embedded in mobile and communication technologies over the past handsets. three decades. From being a country with almost no ICT access 30-40 years ago, Korea has become For summarising purposes, all the main one of the top three globally in access to ICT- AWTs that are either under consideration for based services24. A basic ingredient of Korean import and/or being produced locally, and their life is now the availability of communication, current status, are given in Table 5-1. Besides these information and entertainment from anywhere, developments, the striving towards a converged at anytime and from any form of terminal, most broadband network environment, termed the usually a mobile handset. Today 16% of Korea’s BCN or Broadband Converged Network, is worth GDP and 30% of exports come from the ICT mentioning. sector25. Korea is best known for its remarkable Korea’s ICT industry segment for AWTs grows uptake in broadband Internet access, with out of its telecommunications and consumer broadband penetration rates accounting for device industries. The Korean industry structure almost 25% of Internet access.26 Broadband resembles that of Japan with a few large players connections are highly used – for instance, to and many much smaller players, not all selling listen to CD-quality audio over the web. under their own brand – such as SK Telech, a tied In competition or perhaps in a complementary supplier to SK Telecom. The major players are role with AWTs are mobile cellular services with Samsung and LG Electronics, both with advanced well-developed data services. Korea was one of the AWT capabilities. Another advanced smaller first countries worldwide to launch commercial AWT player is Pantech & Curitel (investigated  24 Top three in the sense of Internet access (via mobile as well as fixed line) and voice telephony – the other two are the USA and Japan, and, depending on how it is measured, Korea is third. In terms of broadband access lines of all kinds per head of population, Korea may well come higher. 25 Fifield (2004). Ibid. 26
    • Table 5‑1 Key AWT and Suppliers Status in Korea 5. AWTS in Korea — A Case Study Technology Status in Korea Suppliers Wi-Fi (IEEE 802.11x) In production Samsung, LGE WiMax (IEEE 802.16x) Under consideration as export tech- LGE in alliance with Intel for consumer devices, de- nology veloping software and protocols, for Intel chips Proprietary derivatives of Development Systems – Samsung IEEE 802.16 WiMax, specifi- Strong drive under government sup- Handsets – LGE, Samsung, Pantech & Curitel cally WiBro port aimed for 2006 mass rollout Integrated circuits – Samsung Electronics IEEE 802.20, or Flash OFDM Under consideration for import by None – licences to manufacture considered operators (SK) UWB (ultra-wideband) Under consideration – for far faster Samsung Electronics and LGE in development for linking of video from cellphones and cellphones and other digital appliances. Samsung camcorders to other processors. In- showcased a UWB hybrid wireless home network on dustry body (UWB Forum of Korea, 17 Jan 2005 at the US Consumer Electronics Show. set up. Currently, Samsung Elec- Samsung has also demonstrated a giant high-defini- tronics is at the forefront worldwide tion TV screen, with programs beamed from a media in developing UWB technologies. server. It expects to sell a top-end screen-server set, Spectrum not decided in Korea. which looks like paintings on the wall, after the Ko- rean government allocates the spectrum for UWB. ZigBee IEEE 802.15.4 and In major development Systems and networks – LGE and Samsung Elec- RFID – tags, chips and Strong drive from government sup- tronics readers port based on ZigBee IEEE 802.15.4 Handsets – Pantech & Curitel, development by LGE for machine to machine communica- and Samsung tions over unlicensed spectrum ISM Integrated circuits – Samsung Electronics bands at 868/915 MHz or 2.4 GHz, especially for sensor networks –be- ing taken seriously in Korea as need to catch up. 3G data enhancements In production Systems: CDMA EVDO and W-CDMA (UMTS) HSP- – CDMA2000 enhance- World leaders in CDMA 2000 EVDO DA – Samsung and LGE ments including EVDO, and technology in handsets Handsets, EVDO and HSPDA – Pantech & Curitel, UMTS enhancements with LGE and Samsung HSPDA Integrated circuits – Samsung Electronics further in Appendix 2). There are also a few large to be learned from the achievements so far. First, Korean integrated circuit fabricators, often using the Korean ICT success cannot be understood designs from chip designers in other countries without understanding its historical terms and the under licence; but some of the large players such social environment it has created. as Hynix concentrate on silicon chip markets that Korean society over the past 100 years has are only peripheral to AWT manufacture. experienced occupation, repression and war Korea is now bringing together “mobile” and during the first half of the period. But over the last “broadband” with development of the “Portable 50 years, the Republic of Korea has discovered a Internet” using a home-grown AWT, WiBro, as proven and successful growth model, resembling its carrier infrastructure. Mobile subscribers with and following that of Japan – rebuilding a a multi-mode handset can browse the Internet at destroyed economy and moving from heavy broadband data rates, download and stream audio engineering, with shipbuilding exports, into and video, and hold interactive video dialogues. lighter manufacturing, progressively entering into cars, domestic appliances, heavy construction  equipment, electronic goods, semiconductors 5.2 Drivers for AWT Take-up and ICTs such as mobile phones. After the Korean War, the government favoured the model This section identifies the main drivers for of conglomerates controlled by one family, AWT take-up in Korea and the key policy lessons
    • known in Korea as the ‘Chaebol’27. Together with of the whole nation, less of individuals. In Mapping European Wireless Trends and Drivers government support for industry and the chaebol, consequence IT programs, such as those for through cheap state credit, Korea gained a global broadband rollout, are aimed at the all the competitive edge. Government investment in the nation – the remote villages as much as the main education system produced Korea’s high-quality population centres. workforce, skilled and well-educated but cheaper Now, with these background factors in mind, than Japan’s for the chaebol. In the late 1990s the government intervention and orchestration of Korean economy was challenged by the Asian the private sector is a (perhaps the) key factor. financial crisis and by low-cost competition from Government encouragement of broadband, since China. The downturn effectively restructured the early 1990s through independent operators the Korean industry through the chaebol, away and the national incumbent, has set the pace from wide diversification, and also changed for national renewal of the telecommunications the industrial direction nationally as Korea set infrastructure. Access for broadband was initially out to become a high-technology nation. The via a fixed infrastructure, with fibre optics, but profile of companies such as Lucky Goldstar and more recently has turned to wireless. Thus wireless Samsung changed, from being low-cost followers should be seen as one technology in the context in consumer goods, to being leaders both in of a broadband policy which also employs fibre technology and most significantly in consumer installation, and DSL cabling of all types to the design, at a world level. home and office. The intensity and psychological pressure of Over two decades, the Korean government the work ethic of Korea probably exceeds that has orchestrated support for ICTs with a series of Japan or China. Koreans work hard and have of programmes, as illustrated in the figure below sacrificed themselves to develop into a high- – a chain of interconnected Korean government income economy in a mere 50 years. With one ICT programmes over twenty years. Note that the of the longest set working weeks (5.5 days) in the strategy possesses defined economic aims. They industrialised world, Koreans seem destined not to are tied to clear policy targets in terms of ‘Dollars relax until they become the leading knowledge- and cents’ - quite different to European or US based IT economy. The cultural manifestation of goals in long-term ICT programs. This point of this pressure is referred to as the national cult of policy is worth noting. “hurry hurry” or “Bballi Bballi” mentality that The Korean regulatory regime has cleverly permeates through all aspects of Korean life, used its revenues from spectrum licences and especially development of technologies such taxes on operators as a strategic re-investment as innovative telecommunications. Moreover, fund for telecommunications infrastructure and Koreans possess a high regard for educational research. According to the ITU, such investments achievement and see it as the goal of every have produced phenomenal results in Korea, for person, where education and the national goals instance establishing its position as the world’s are inclusive. The cultural ideal of government, broadband leader. It is an example of how prudent government programs and society is the advance The Chaebol are large industrial conglomerate groups, based around one family, whose member companies are cemented 27 together by complex cross-shareholdings. Their ownership structure allows the family to control through minimal shareholdings – for instance the head of Samsung, Lee Kun-hee, owns just 1.9% of stock of Samsung Electronics yet retains his management  position. Their history is of being the motor for Korea’s push to developed industrial economy status, but through rapid expansion – sometimes too rapid: Daewoo’s implosion in the 1998 Asian crisis revealed debts of 14% of Korean GDP. The four largest chaebol control over 40% of the Korean GDP – they are Samsung with 62 companies, then Hyundai, Lucky Goldstar and SK – representing a total of some BUSD 287 in revenues. Although they are a Korean phenomenon, the chaebol are quite similar to Japanese conglomerate groups – especially the pre-war Zaibatsu rather than the contemporary Keiretsu. Their future is now subject to a power struggle between the government and the ruling families (Ihlwhan 2003, Jung-a 2005).
    • Figure 5‑1 Korean government ICT programmes 5. AWTS in Korea — A Case Study Source: Reynolds et al. (2005) use of spectrum fees and the right regulation in These include the creation of mandated mobile terms of operator taxes on revenues can help exchanges, to integrate mobile operators’ access boost the overall economy, through connectivity to Internet services on behalf of the users, as across society, to the benefit of the nation and of well as implementation of protocols like IPv6 the industry, rather than just taxing it. and naming and addressing ENUM (for mapping a PSTN telephone number into a typical A further factor is the Korean regulatory Internet Uniform Resource Locator (URL), that system’s creation of a fairly level playing field is, an e-number). Note that this is necessary as in telecommunications competition, with Korea’s mobile and broadband networks, while an excellent example of how to ensure free advanced, have evolved separately; they differ competition without dominance by the incumbent in their composition, network architecture, and operator. Its broadband position, which leads business models. Here, the key point is that the the world, is driven by competition between government has pushed integration where single broadband providers. The mobile market also operators or equipment suppliers would have exhibits vibrant market competition, with three floundered in their different corporate strategies, highly developed networks (SK Telecom, KT and especially as there is no blueprint or precise LG Telecom) while Hanaro also offers competition picture of the future network, only a dynamic from its AWT position in broadband wireless. model to capture merging of two architectures It is also useful for policy-makers to and communication sectors – Internet and understand that Korean government policy has telecoms. led to an increasingly converged broadband Korea’s initial experiences with these policies network environment termed the BCN, show how operators of the future will need to be Broadband Converged Network. Such a regulated and the key issues. The major point may broadband converged network may be seen as a be measures concerning restrictions on ownership model for similar networks around the world in  for different types of networks, allowing and even architecture and policy to bring it into being. The forcing sharing of infrastructures according to policies that Korea is currently developing focus dynamic financial models, as contemplated in on specific strategic industry moves and key the licences for the yet to be rolled out WiBro technologies, i.e. a policy of ‘picking winners’.
    • networks – a key point for regulators and policy- investing in WiMax within Korea. However, the Mapping European Wireless Trends and Drivers makers everywhere. CDMA mobile 2G and 3G choice has shown that Korea’s policy setters want a test bed at a national As can be seen from the above, the reasons level to stimulate the economy by proving for Korea’s success draw heavily on its socio- technology and, most importantly, educating economic history in the shaping of a suitable both the work force and society in general, economic environment and the move to balanced in order to advance the knowledge base of the political structure, with the formation of industrial economy. The experience gained places Korean groups with freedom to innovate but with a suppliers and operators two to three years ahead lack of investment in ‘legacy’ infrastructure and of the rest of the world in such products and the technologies. A key factor has been the lack of science behind them in terms of IPR and practical dominance by the incumbent telecommunications rollout. operator, only privatised in 2002 with no mobile licence, forcing it into AWTs to reply to mobile. Korea has also used its respect for education to escape the Asian financial crisis of 1997/8. There are also factors to consider on the The crisis became a turning point for society in demand side, that of the customer. Trust in the Korea, transforming it for the first time into an use of technology and the expected absence ‘Information Society’ in some meaningful way. We of misuse by criminal elements, or by carriers draw the lesson that only a discontinuity in the or content providers, means that confidence economy can precipitate a fundamental change and acceptance of widespread usage and even of direction in society, culture and outlook – in intrusion into everyday life is far higher than in this case towards the ‘Information Society’. Adult other cultures, where early lessons have been ICT education on a mass scale catalysed Korea’s that some technologies (such as the Internet) growth. Ultimately, over 10 million people cannot be trusted and then technology take-up received IT training. Effectively moving the whole suffers. This is the related Korean social context, population to a new level of IT sophistication which is perhaps more effective at protection strongly increased the numbers of Koreans who and creating a law-abiding population than participate in the information economy, as after Western cultures. The lesson to be learnt is that training they had the knowledge and interest early security measures are paramount for all to make use of it. The question remains – is it high-technology services, and specifically for mobile services. A further demand-side factor in only Korea, with its early culture of a planned ICT growth is disposable income. Korea’s GDP command economy and social experience of per head is one of the highest in the Asian NICs striving for growth, where such a change can be and this high income is distributed across much successful? of the population, so that the funds are available to ordinary people to buy advanced ICT devices 5.3 Main Future Research Areas and and services, driving rapid R&D cycles in a the Asian Context comparable manner. AWTs are an important component of Korea’s A point also notable for policy setters is that critical path for achieving a ubiquitous network Korea often takes a contrarian view on standards society (“U-Korea”), and for sustaining industrial in order to be first in new technology. Thus the competitiveness – the “IT 839 Strategy”. Korea technology and effort behind that of WiBro has sees its goals for the strategy in purely economic drawn some criticism both within Korea and  terms, aiming for US$20,000 GDP per capita. The outside it, in that to some extent it pre-empts the IT 839 project is part of the government’s efforts global coming standard in this area of broadband to consolidate the domestic IT industry’s world wireless, WiMax, also based on IEEE 802.16. leadership. The name “839” stems from the three WiBro might even dissuade outsiders from
    • Figure 5‑2 Korea’s Latest Medium Strategy Plan for IT – 839 5. AWTS in Korea — A Case Study Source: Reynolds et al. (2005) types of targets in terms of services, infrastructure a policy of ‘picking winners’ through technology networks and technologies to be seeded. The assessment – though discredited elsewhere, it is programme has long-term goals using measurable alive and well in Korea. deliverables on a route map of actions for mid- The development of AWTs in Korea is to to-long term milestones. Overall, its strategy is to some extent linked to regional development, improve Korea’s international competitiveness, often in pre-competitive projects on fundamental using specific targets such as a minimum 5 standards and technology. The key directions per cent global market share in RFID chips by for research and commercial cooperation are 2007, or second largest globally in embedded towards China, and also Japan, the ‘North-Eastern software by 2010. All is carefully integrated – the Asia Trio’. This cooperation comes in various technologies and sectors chosen support the aims forms, e.g. joint technology and standardisation for a ubiquitous network society, specifically the push in 4G, but also private-sector JVs such the three infrastructures chosen. As with all other SK Telekom and China Unicom UNISK mobile programmes, it is promoted through a partnership Internet service. between government and the private sector. This is 0
    • 6. Policy Analysis and Recommendations Mapping European Wireless Trends and Drivers The objective of this chapter, which is models will develop as well. As WP 1 has shown, based on WP 3, is to analyse the implications, at present the operator-centric model dominates potential benefits and challenges of the different the AWTs, but opportunities for future non- AWTs for the EU over the next 10 years, in terms operator-centric business models are likely to of the policies required for their evolution and grow, as competition will intensify. As the AWT competition, and to provide researched and contenders enter the market, they broaden the actionable policy recommendations. horizons of applications enormously as well as multiplying the networks and access available The chapter is structured as follows. First in to the citizens, so that applications impossible Section 6.1 we examine the significant economic with cellular technology can be made available potential, driven by AWTs, and thus the need for ubiquitously. a suitable policy and its underpinning in current EU policy directions. Also we examine the tools Failure to firmly grasp the potential of that could make up a policy appropriate to the AWTs will leave Europe far behind in mobile organic nature of the European Community of technologies, behind Asia and – unthinkable Member States. We also examine AWTs by means two years ago – behind even the USA. In the of a summary SWOT analysis. From this we assess latter region, Wi-Fi and WiMax are drawing new the implications for policy and regulation, as well strengths in municipal networks and emergency as the issues raised by policy/regulation, from services networks, as well as being exploited in the point of view of the EU citizen. Section 6.2 research as the platforms for health and elderly goes into more detail on the questions of policy care. In the former region, government-led and regulation, examined under eleven main promotions of AWTs are reformulating national headings. Finally, in Section 6.3 some suggestions infrastructures and the market players.28 for further studies are given. Instead, for Europe to remain competitive, a systematic approach is needed, one which will be appropriate to embracing all radio technologies 6.1 The New Radio Evolution and considering how they fit together. Thus the 6.1.1 The Map for EU Policy on AWTs policy would not be implicitly oriented just The rapid growth of AWTs means that focus toward mobile cellular, with a few limited and on a single wireless technology, which is just random efforts in areas such as RFID where on cellular mobile, at a policy, research and strong lobbying by industry groups makes them industrial level, is not only inappropriate but is known. We would have an explicit commitment also likely to result in Europe being left behind to examine all AWTs – because an AWT take-off by Asia and North America in these key enabling in Europe at an industrial level, to go beyond the technologies. Assuming a linear development import of systems and equipment from overseas of successive generations of the one dominant for local service operations, will require a policy technology can no longer be a valid approach. of encouragement of innovative development Rather, it is likely that a number of technologies through the support of a multitude of technologies will co-evolve, and that many new operator and complementary solutions. 1 28 See Chapter 5 and Annex 2 on Korean AWT Status Report.
    • 6.1.2 Current Policy and Regulation Concerning into AWTs is largely unco-ordinated in 6. Policy Analysis and Recommendations AWTs Europe, except for standards work. • Education and promotion policy – the EU It is of course first necessary to assess the current situation on policy in the EU that will has less at policy level here than in some affect AWTs, including regulation. Broadly other regions as regards the awareness and speaking, AWTs are still too new for the EC to demand-generating activities that characterise have developed a coherent or complete policy. successful take-up of new technologies, Nevertheless, policy is urgently needed, so we which may accompany rollout. review here what is pertinent in current EU policy There are certain new areas of policy to be in the relevant areas. These are in short: added to the above categories, which become • Telecommunications policy – the principal clear later in this chapter. Turning to the various areas of regulation that could impact AWTs, policy factor in the EU has been a general stance since 1980 of opening the only area of existing telecommunications the telecommunications market to more regulation particularly relevant to AWTs applies competition, However, there are major to spectrum usage, and most specifically disparities in degrees and types of regulatory to interference with other users. Today the impact across Europe.29 AWTs tend to current legislation is oriented toward operator- support and extend this policy, and do not centric operations of telecommunications. conflict with it. Opening the range of service providers to non-telecommunications operators – be they • Broadcast and electronic media – the current municipalities, hotels or other organisations regulation is highly germane to AWTs as a – may require a change in both public interfaces broadband medium. and business processes within the regulator, to • Competition policy – be it for telecommuni- accommodate the more informal regimes that cations or for convergence with media and AWTs promise. Also, the national regulator may content, AWTs do not fundamentally change have to expand to services dealing with media the current issues in competition policy, and content from a stance of telecommunications there is no specific policy formulation at this only, as well as the area dealing with Internet time. Service Providers, who may provide their offerings over an AWT path built and operated by another • Digital Rights Management (DRM) and entity. Thus both regulation and the regulator at a copyright – digital media content property national Member State level may have to change rights are the basis for transferable wealth to incorporate these new fields as AWTs become in the Internet world and therefore have more important, perhaps in the direction that direct economic impacts. At a policy level, Ofcom in the UK has taken of incorporating five however, AWTs do not alter the basic issues regulatory bodies into one. here. More generally, much of the EU’s legislation • R&D policy – many of the advances in (e.g. competition law, data protection, privacy useful ICT policy have been underpinned etc.) is clearly pertinent to AWTs. However, by clear policy directives to research sophisticated policy on regulation of competition, into new technology and to formulate access, security, and so forth, specific to AWTs standards. However, current EU projects and and the future AWT markets, especially in programmes are heavy on cellular, operator- 2 services, has not been developed. To some centric proposals for beyond 3G. Research 29 See for example ECTA (2005).
    • extent this is because AWTs are just too new, but Such technologies require a highly skilled • Mapping European Wireless Trends and Drivers it is also because AWTs do raise new issues that society to produce them, and to use all their are not already treated, for instance, within the capabilities – an economy which can move existing framework for regulation of electronic on from the existing technologies is now media or competition law. With regard to required – so we need to boost investment content and media policy, for example, AWTs do in knowledge. AWTs have the potential to not raise new issues on media ownership, digital bring a wide range of knowledge-based rights, etc. employment, and their usage will be instrumental in bringing high education at low cost to large numbers of citizens. 6.1.3 AWTs in support of European Innovation AWTs can reduce the costs of our social • and Competitiveness support services while increasing economic In view of the promise of AWTs and their output. This is essential since new ways are rapid development in the USA and Asia, but needed to support an ageing population, also due to the impediments to their rollout, an with its increasing life expectancy, at reduced EU policy for Europe is called for. This is well costs with better care. in line with current European policy on R&D, AWTs can advance the health services for • which notes that European research needs to be higher quality while reducing the costs essentially strengthened and that a “European – be they in hospital, with telemedicine or industrial policy, in particular in highly competitive for telecare at home (transferring hospital sectors such as information and communication monitoring and care into the home). AWTs technologies requires the integration of research bring the new medical capabilities of in-body efforts at European level” – by establishing a sensor networks, of monitoring ubiquitously, critical mass of resources, particularly in key and thus of taking medical care based on areas for growth such as microelectronics and ICTs from the realms of physiology into the telecommunications, and by strengthening behavioural areas of mental health. excellence through competition at the European level and transnational collaboration.30 Policy AWTs provide affordable security and • support of AWTs falls into the category of replying emergency services with communications to this call for action on a new economy, because and control systems, and could also provide the nature of AWTs makes them highly relevant a citizen’s warning system, resistant to to the goals set out above in a number of ways: disasters and attack. After the 9/11 attacks in the USA, no commercial mobile cellular AWTs have the potential to make a major • systems worked in the districts affected. Thus contribution to the EU’s GDP in a similar AWT can contribute to physical and national way to the impact of cellular mobile services security. over the past decade. (€106 billion of GDP in 2004, 1.1% of total GDP in the EU15, By offering broadband access at low cost • generating over 400,000 high-value-added with ubiquitous coverage, AWTs could well jobs.)31 spur the take-off of Internet-based commerce in Europe for all the population. Economic Significant growth in employment (and even • impacts would be to accelerate business maintenance of current levels) requires a while reducing fixed costs, making Europe large internal market and significant exports. far more competitive globally.  30 CEC (2004). 31 Lewin, D. (2004). In addition, 1.3 million jobs depend on the cellular mobile industry, with a further 1 million jobs depending on expenditure generated by cellular mobile (the multiplier effect): ibid.
    • 6.1.5 Towards European Industrial Policy for Moreover, just as the new roads in the 1920s • 6. Policy Analysis and Recommendations AWTs acted as higher-access feeders to the existing rail networks, so AWTs could have the effect In view of the promise of AWTs, we conclude of driving traffic onto existing, backbone IP that, of all the types of policy available, a specific networks, which are sometimes underused. form of encouraging (rather than forcing) yet This might recoup their sunk costs faster. In interventionist policy is the way forward for these general, when interconnected with existing reasons: backhaul facilities, AWTs can further The lessons from analysing past successes • enhance the economies of scope and scale and failures in the innovation of radio of backbone IP infrastructures by enabling technologies point towards the need for a novel mobile applications and also by clear set of activities driven by realistic but offering new, potentially more flexible and effectively market-shaking goals. If there is a cost-effective mechanisms for aggregating case study of development to follow, then it the traffic coming from the last mile, for is that of GSM; the case study of 3G teaches conventional fixed-line broadband services. us what to avoid. One example might be cheap broadband sharing within a housing complex through An EU-based initiative would avoid the limits • an extended Wi-Fi cloud. Framing Wi-Fi imposed by differences in success in national as a cost-effective demand aggregator for systems of both innovation for research and broadband is perhaps a new view which encouragement of AWT service deployments, would incorporate Wi-Fi business models. and thus harmonise the resultant differences It helps to counter the negative perception across the EU in rates of AWT rollout and of Wi-Fi, that it may cannibalise existing usage. broadband services. An analysis of the past also teaches us that • AWTs also have the power of competition to • the current players are unlikely to relinquish drive down basic telecommunications prices their positions, especially in the face of a in cost-based competition, and to challenge technology which tends to bring mobile effective monopoly or oligopoly further. They telecommunications at far lower costs, with can provide a real competitive infrastructure the promise of much higher data rates up to to compensate for the lack of success in local broadband levels. This focus on their own loop unbundling across the EU, providing market and interests by current players would competition to the local loop, but with an also have the effect of stifling development infrastructure of local loop broadband. of AWTs in specialist vertical applications, such as emergency services. 6.1.4 The Challenges and Opportunities for Europe – SWOT 6.2 Resultant Policy Recommendations Below, we examine AWTs by means of a Naturally, the exact policy requirements of summary SWOT analysis, from the viewpoint of each of the AWTs currently on the market can be the EU citizen. From each strength, weakness, expected to differ, but we can form some general opportunity and threat we assess the implications concepts of what a European policy for AWTs for policy and regulation (see Annex 3). In Section should contain. It would have to cover a wide 6.2 we will instead state policy implications and range of issues and we elaborate briefly on the  measures thematically. most significant ones below.
    • Table 6‑1 SWOT Analysis of AWTs from the Perspective of the EU Citizen Mapping European Wireless Trends and Drivers STRENGTHS WEAKNESSES AWTs fill the gaps left by cellular No real place today in European telecommunications and media, nor part of an overall plan for communications Lower costs than cellular in many applications Not understood by mass markets Fast to rollout compared with cellular AWT capabilities and positioning are still not well understood Bandwidth higher than 3G by EU industry and technical centres of expertise. More effort Can cut costs and delays by eliminating large capacity on basic radio research is needed. backhaul lines in MAN installations More clarity is required on spectrum needed Cost and installation advantages add up to a way to provide European mobile incumbents are well entrenched; in contrast municipalities with a chance to enhance their value with AWTs are in a weak market position, with no champions, mobile Internet access promotion or financial muscle Can act in mobile roaming mode (e.g. mobile WiMax) Security problems abound European industry – in a good position in design coming from European industry has been a follower so far cellular on chips, antennae, military electronics including radar, specialist chip manufacture, despite US lead today, as All successful AWT standards so far are US (IEEE series) Europe does have mesh software providers Europe’s forced collaborative approach on decisions and new Europe’s collaborative approach experience and ability programmes makes all policy initiatives slow OPPORTUNITIES THREATS Designing and producing AWT technology and equipment Security threats due to pervasive coverage, increased band- with the aim of developing leadership in broadband wireless width new bodily proximity connectivity (BANs). Innocent (e.g. multi-mode self-adaptive terminals according to and unaware user population: Threats include: (1) attacks on performance/cost preferences) emergency services; (2) attacks on the core ICT infrastruc- Export opportunities of bringing Internet connectivity to the ture; (3) identity theft from citizens; (4) privacy threats to developing world (cf. Korea’s WiBro) citizens; (5) malware attacks of all kinds on citizens, attached machines and organisations, plus the new types of attack that Expanding scope of European industry – new ventures in will come with VoIP; (6) car telematics – accidents caused consumer and verticals, especially health including frail and by malicious messages; (7) body area networks; (8) M-com- mental health conditions merce threats; (9) M-Banking threats including EFT; and (10) AWTs ideal for SME involvement and start-ups –could seed a security threats to industrial sensor networks. whole new EU sector of SME chains Cellular mobile industry views AWTs as a major threat. Offer Internet access to all of Europe at low cost (and VoIP) via public and municipal access networks Cellular operators, challenged by AWTs, competing with a dif- ferent business model which may outstrip the mobile busi- High broadband penetration via wireless will stimulate feeder ness model in value to the customer. industries (e.g. media) & user industries (e.g. medicine) Wireless health issues are not yet understood for cellular and Economic impacts of better health/elderly care at lower cost non-cellular access techniques. AWTs are often likely to be Set standards lacking in mesh networking software and worn continually and the affects of low power continuous ra- processes, possibly via Open Source software routes diation needs to be examined. 6.2.1 Spectrum Policy and Regulation cellular, or the military. By WRC-07, it would be judicious to have reconsidered the current The first issue is a rethinking of policy for allocation of spectra in view of the economic spectrum allocation at the highest levels for Europe, benefits of AWTs for Europe, and abandoning Member States, and globally to incorporate AWTs existing frequency plans. Such a move requires adequately. And now is the time. These issues a socio-economic basis for planning,32 and work are today under debate within the ITU forum. so far points to a far wider usage in which AWTs However, this gradual slow process via the WRCs would form a major part. is at a crisis point, and inadequate for the rapidly evolving and increasing number of new wireless To conclude, spectrum needs to be given technologies. For propagation distances to be to AWTs as part of any policy to support them. optimised, AWTs may need to have frequency Otherwise they will stall in Europe, just as mobile bands currently taken by broadcast, mobile cellular did in the US.  See for example Forge et al. (2005). 32
    • 6.2.2 Competition Policy and Regulation Telecommunications • 6. Policy Analysis and Recommendations Overall, the aim for a high-level policy for Financial transactions and banking • AWTs would be to conserve free competition One particular point is that the players who among different segments as well as different are strong outside telecommunications may well players – a concept of converging the related use AWTs as a way to enter the telecoms market, industries (communications and media) under offering a quadruple play of: a single policy. Such a policy would aim to Multi-channel TV • prevent market control by any one segment (or any single player). Thus when we come down to Voice telephony of a ‘fixed’ nature but • policy implementation, in competition regulation nomadic within a building, at low cost as for AWTs, we should cover the convergence of VoIP voice telephony telecommunications with media content creation, Mobile multi-media of all kinds, with games, • aggregation and distribution, expanding models e-mail, MMS, interactive video, etc. to include financial industries, also considering High-speed Internet access, including radio • cross-ownership and verticalisation impacts. and TV – perhaps over mobile Internet In principle, Europe may need to (the Portable Internet concept) rather than reconsider competition policy with regard to broadcast telecommunications specifically to encourage To this we may add that: (a) a converged the entry of new services from new providers market model may require competition regulation over AWTs. To create an active AWT-based for AWTs that removes the legal barriers to cross- communications market, it will be critical to ownership, where appropriate; and that (b) form conditions of freedom of market entry for the opening of AWT carrier networks to third- new players without restrictive practices, be it party service providers should be a subject in interworking – physical attachment, protocols for consideration. Also, balance is required at network or at application level – or in related in the regulation between public interest and areas such as media content or in dependencies competition considerations – the emergence such as the software for ‘media players’ and of content-sharing communities and groups, operating systems’. Regulation has to maintain and self-produced content, not originated by a level playing field for competition, in market commercial organisations, must be protected conditions where the world-class players are from over-zealous copyright laws.33 seeking vertical integration. This means expanding regulation models for the areas of: Media/broadcast-multicast and content in all • 6.2.3 Harmonising Licensing Schemes areas including protection of minors, digital If a regulated AWT market does arise, rights management, ownership of multiple major decisions will revolve around the forms media, etc. 33 In the systems interface area, we also need to see open interface standards published down to chipset level. For instance, Sandvig et al. 2004 note that access to development of mesh networking over Wi-Fi is now constrained by secrecy among manufacturers of network card chipsets, a highly concentrated industry. None of the dominant chipset suppliers in the Wi- Fi markets make available any interface specifications. This effectively bars any user-driven innovation, a central force for  innovation in the area of mesh networking. More broadly, as radio and radio networks become increasingly defined in software, this presents a regulatory crisis. The basis for fixing spectrum allocation rules was formerly hardware, but the increasing configurability of radios may seem to create new drives among the supplier industry for interface secrecy and lock-in. Thus a new barrier to ubiquitous interoperability is raised by software interface secrecy. Competition policy will have to take this into account. A policy move towards open source software, as outlined in the IPR section, would seem to be the only logical solution that will avoid complex regulation.
    • of licence, in terms of whether it is for spectrum operators) is their associated pricing model. Mapping European Wireless Trends and Drivers usage or a general licence to operate with This extends into interconnection and the both service provision and AWT infrastructure billing settlements, with termination and ownership, or a service over a third party’s roaming agreements. approved AWT infrastructure. Major concerns • Naming and addressing: Resolving naming here are the allocation process for licences and and addressing conflicts is a key aim for types of licensing. open access. AWTs in Europe sit in the area In summary, policy directions should revolve of three address spaces – Internet logical around a lighter regulatory regime for the new addresses (URLs), fixed number plans and entrants, perhaps unlicensed, but with forced mobile number plans. The latter two vary interconnect to incumbents (see below). EC by country but are usually differentiated. recommendations to the regulators in the MS Suggested solutions for mobile-Internet would be to view the business case differences access include the ENUM scheme for as an opportunity to bring competition to what mapping a PSTN telephone number into a may be an oligopolistic market, while using AWT typical Internet Uniform Resource Locator licensing, if deemed necessary, firstly to promote (URL), i.e. an e-number. competition by ensuring that new entrants have • Universal service: Providing universal service licences, and secondly to ensure that security of equal provision and access for all citizens measures are implemented. is open to question in a mobile broadband world. 6.2.4 Access and Interoperability • Emergency number obligations: Many AWT- based public services providing voice are A related area for policy decision is on the likely to have to comply with the requirement assurance of interconnection access by the new for connection of the emergency services in entrants to existing networks – be they fixed or each MS. mobile with Internet access. Issues of roaming, interconnection and termination charges must be considered, with cost-based pricing to prevent 6.2.5 Network Rollout monopolistic margins on interconnect activity. In AWT networks, once network AWTs could then provide strong local loop interconnection is ensured, network roll-out is not competition. Assuring connection of any-to-any contaminated with difficult issues. However, they covers several areas including: pose a strong competitive threat to incumbent • Open access: Required also at application technology stakeholders who may complain to level with AWTs for mobile services. the regulators that AWT operation undermines • Mandated mobile exchanges: Ensure that their USO requirements, or that AWT operators operators of all kinds have common Internet should be regulated by heavier taxes due to the access. Requires creation of mobile exchanges unfair competition, or even banned as they may – a key element of a converged network to be operated by municipalities and others who are integrate AWTs – and would also open the not licensed and regulated telcos. way for mobile content competition. • Ownership restrictions: For different types 6.2.6 Security Policy and Regulation of networks, allowing and even forcing  the sharing of infrastructures according to Security of the Internet in a ubiquitous radio dynamic financial models. access world is a major weakness and threat to AWTs. This will require a complete reform • Pricing models: A major barrier to AWT of Internet security backed by legislation, and introduction (especially by cellular mobile
    • policy measures are needed for what should be For privately deployed networks, 6. Policy Analysis and Recommendations allowed/prevented. AWTs need to have a security confidentiality can only be assured if the layer built into their network architecture, as equipment has security measures built in as their ubiquity becomes the users’ vulnerability. standard. This will also require a dedicated Thus, the policy questions are raised of how to testing and type approval process for AWT ensure this and to police it. They require an in- equipment. Privacy protection regulations for depth study of the Internet current structure AWT public services will follow those envisaged and what form it would take in a mobile radio for cellular mobile for aggregation of personal world. This is a major effort in terms of research data. This includes the default of opting out for and software development, and may require a direct marketing and unsolicited (commercial) specific programme. The security issue is far too messaging of all kinds, as well as location important to be left to the suppliers or to ad-hoc tracking and surveillance of all types over mobile development; its co-ordination is an ideal task for networks, with the requirement for a citizen’s an EC programme. 34 aware consent to opt into such monitoring and personal access. Moreover, the requirement for One way to ensure that new security MS to ensure that public service operators divulge measures are taken up is to institute them in customer data and caller information for calls to the proposed European demonstrator projects, the emergency services (and security services so having developed them in European research authorised) would probably become mandatory programmes. Long-term R&D follow-up would for their AWT-based communications, under the come from one stream of research in a proposed Universal Service Directive (200/22/EC). European institute for radio research (see below). In conclusion, although security and privacy are different subjects, the provisions for security 6.2.7 Privacy and Data Protection of AWT operation can be applied to give privacy through access control following the authorisation AWTs present major challenges to the process by the citizen owner and authentication privacy of the citizen if the communications are challenges to those who claim to be authorised unprotected, in that AWTs could invade every to view the private information. The key to this is moment of a person’s life. A balance between enactment of the security functions enumerated privacy concerns and convenience, security in Chapter 4, with the pressure of the current and utility of AWTs must obviously be reached EC Directives on Data Protection, privacy and – to protect efficiently against eavesdropping citizens’ rights to privacy behind it.36 on conversations, identity and any personal data theft, and personal tracking. Rules on work environments and privacy of the citizen come 6.2.8 Standards into play here, as do the various guidelines for protection of privacy following the 1981 EC For the AWT market appearing over the guidelines.35 next decade, far more than standards for simple 34 For specific security threats that need to be handled, we refer to Annex 2 and 3. 35 EC specific recommendations include: medical databanks (1981); financial payments and transactions (1990); protection of  privacy of the Internet (1999); direct marketing (1983); communication of data to third persons by public institutions (1991); protection of data in the field of telecommunications (1995); protection of personal data collected and processed for statistical purposes (1997). 36 Such rights are principally endorsed by the Council of Europe’s Convention of 28 January 1981, enacted 01 October 1985, and the European Court of Human Rights, ECHR (particularly Article 8, paragraph 2 on personal communications) and to a lesser extent the Council of Europe’s Treaty 108.
    • air interface and network-level protocols are nodes, and for interworking with existing network Mapping European Wireless Trends and Drivers required if the applications that run over AWTs types; (2) definition of the main operations in a are to interwork seamlessly.37 So far, our current self-organising or ad-hoc network for a mesh AWT standards have largely been formed in the architecture following the high-level model fora developing the IEEE 802 series (USA). A – the processes and policies of management for simple policy of harnessing these air interface awareness and adaptive response, with choice of and physical connection standards is perhaps to existing standards where appropriate. be preferred for rapid industrial advance, which A security model and architecture to fit will avoid unprofitable conflict, time and money with the high-level network model, which in redundant standards setting. runs end-to-end from content servers through Building on the IEEE 802 standards series at all network types into handsets, will also be a basic communications protocol level, we can needed. However, standardisation of technical illustrate useful standards-setting by moving up developments for interworking is not enough. the seven-layer model to build complete systems There must be regulation to enforce standards that can be easily integrated into a broadband usage – for example, integrated naming and wireless network. They may be selections of addressing, and specifically security measures. existing standards in some cases. Domains to be covered would include: 6.2.9 DRM, IPR, Content and Media Copyright Network Air interfaces, network protocols • Policy and network operations, and the key network There are two problems that come with entities and their operational behaviour. ubiquitous networking: ubiquitous connection, Handsets – any usefully defined software • and the need for ubiquitous usage, that is, by characteristics such as operating system calls, anyone. The strictures imposed by proprietary form and use of microbrowsers to display standards and patents mean that both markets content, etc. and usages will be limited, but this is in the case Session and application processes at the of a technology that needs by its very nature to • Internet level for mechanisms and protocols. be universally accessible by all, through common standards for interworking. The European Content and media standards to enable • experience of promulgating open standards common distribution mechanisms for content has been quite successful in driving economic ingest and delivery. development – the GSM example shows this, and Security mechanisms and overall • sets the scene for a move towards Linux and other architecture. open software in next-generation radio systems. Building on the IEEE 802 series, European It should also be noted that the AWT standards efforts (in ETSI and other groups) could network will depend on software. IPR from R&D also well be marshalled to attack a higher, more in the supported initiatives for AWT networking, sophisticated level of AWT operation. This would including security and application environments enable European industry to go forward rapidly in (such as operating systems and microbrowsers), AWTs in the areas of: (1) a high-level, behavioural should all be under open source licence with model of the network architecture for mesh no software patents permitted, unless they are networking, with strategies for use of participating in the public domain. This is to prevent private  37 On a general note for standards policy, a key point has been made by Korea, which often takes a contrarian view on standards in order to be first in a new technology. This may be applied to the AWT standards scene in Europe.
    • patenting with patent thickets38 which will block The programme’s main research lines should 6. Policy Analysis and Recommendations rapid software development. In certain contexts of include: (1) radio propagation analysis; (2) peer-to-peer content creation, this Open Source networking processes and architectures for approach to copyright would extend to content interworking and interfacing to other (existing) and media copyright protection so that DRM networks; (3) analysis of mesh networking should be available in multiple forms. algorithms; (4) analysis of techniques for sharing spectrum based on non-frequency-constrained For the future, and although it is not yet taken propagation; (5) cognitive radio systems for SDR; up as a legal concept, the reciprocal of DRM (6) spatial and directional signal multiplexing (digital rights management for commercial media and enhancement; (7) human interface research content) might have to be applied in the far wider for rich capability but easy-to-use handsets and field of personal data available through AWTs terminal devices; (6) socio-economic analysis – the notion of ‘digital privacy management’ of user demand for new services; (8) analysis of – which covers both transmitted and stored data, handset operating systems for secure hosting of enacting a set of policy rules set out by the citizen multimedia applications;.(9) analysis of security covering external data aggregators, regarding who threats; (10) content and media transmission and holds what and which permission they have, and management; (11) tracking of AWT development then tracking their usage of such data. globally; and (12) self-organising operator-less ad- hoc networks for disaster situations, with robust self-configuration.39 6.2.10 R&D Programmes Finally, we suggest the formation of a A suitably structured and EC-led funded European Radiocommunications Research programme of research and demonstrator Institute – ERRI – as a further initiative to pursue the implementations should be set up and mobilised full promise of the new directions in radio. ERRI as a matter of urgency. The development of AWTs would be a European research and development in Europe will require multiple initiatives to centre for AWT radio technologies and networking encourage innovation and diffuse that innovation architectures. Jointly funded by industry, national effectively to build a new industrial segment. governments and the EC, the first phase of rapid Two main avenues are considered here, the first set-up and early growth could be through a joint a transitional start-up phase, the second a more programme of projects distributed across existing permanent and structured entity (see also Figure universities. This would form a launch pad for the 6-1). second phase, of setting up a permanent institute A European Alternative Radio Network with its own faculty and facilities at one site. ERRI Research Programme should be established as a would have twin research roles, of primary and matter of urgency, within a timeframe of months. applied research, to form an international centre It should cover several well-defined areas, with of excellence. Primary research – with a longer- study projects for university laboratories and term flavour – expecting results beyond two industrial pre-competitive consortia, with all years in many areas, which will form the basis of results being in the public domain. The release products and services beyond 2010: of classified military research in this area should Radio propagation – especially matching • be urgently sought for Europe’s advantage. spectrum to AWTs 0 38 See, for example, the Forge (2004). 39 In addition, there are existing EC e-initiatives that could be harnessed to provide part of the above, in particular the eMobility Technology Platform. If this is not possible, then an alternative high-level group specifically for AWT – a kind of European ‘skunk works’ to develop AWT – could be created. Moreover, the EU’s interest in broadband deployment could also be harnessed for certain AWTs, if any political barriers raised by xDSL incumbents to wireless access can be overcome.
    • Digital signal processing techniques for on operators for a strategic re-investment fund for • Mapping European Wireless Trends and Drivers telecommunications infrastructure and research adaptive signal identification/spectrum should be considered. In addition, SMEs and new sharing in a multimode environment ventures should be encouraged and supported New Alternative Wireless Technologies (i.e. • with capital, programmes of research, supply non-cellular) at the fundamental research contracts for demonstrator projects etc. level of new operating principles and new radio performance Awareness and Education Socio-economic analysis of demand and • usages of radio technologies in future One of the major drivers behind the advance lifestyles in AWT take-up in the USA and globally has been the considerable investment in awareness Business case analysis of AWT networks • programmes by stakeholders. Such a programme Health and safety aspects of AWTs and radio • will also be necessary in Europe, to explain propagation the technology and its position against other Assessment of the fundamental security • communications and media technologies, to threats to radio networks show what it can do in terms of its real utility, and to show how users can obtain it and use it. Assessment of novel global information • structures for ubiquitous use Taking awareness a stage further is required if AWTs are to be taken up. It would useful to Applied research – more than just consider whether education programmes similar communications in the applied science and to the one established in Korea (see Chapter engineering covered – with short-term pilot 5) could be seeded. In any case, we need to deployments in mind within 12 to 18 months: increase public understanding of technology if AWT security management for operational • large numbers of people are to use it. networks, both new and already deployed, including analysis of countering Internet Large-Scale Demonstrator Projects for threats Implementation AWT management software – especially self- • It would be most useful to build a range organising mesh networks for immediate of European test beds at a national (or EU) deployment level, the aims being to stimulate the economy Standards and interworking for AWT • by proving technology and, most importantly, R&D supporting AWT infrastructure projects • to educate both the work force and society in – citizens’ alert network etc. general. The intention would be to promote the knowledge base of the economy. The large Novel AWT applications • demonstrator projects (size decided by the number of MS participating at national and local levels) would revolve around four main 6.2.11 Funding, Encouragement, Education and initiatives (see also Figure 6-1). The first would Promotion be a pan-European wireless broadband network Funding infrastructure (EWBNI). Its main function would In view of the opportunity, a funded be to provide a robust broadband infrastructure 1 programme for research and demonstrator platform at low cost. Certain vertical application implementations should be set up. Here, taking networks could be based on EWBNI, as a the revenues from spectrum licences and taxes common broadband bus.
    • Second is a European citizen-alert network than large horizontal networks. Health and 6. Policy Analysis and Recommendations (CAN), acting as a citizen’s disaster alert elderly care would also try to show improvements network (see Annex 2), perhaps using a mesh in quality of care against lowering the costs of infrastructure. The third is a European Emergency their services. Services Infrastructure Network (EESIN) only Seeding start-ups: A programme for setting accessible by emergency services, with an up and incubating AWT start-ups should be architecture for robust operation in all situations. a major priority. With companies such as Fourth, we propose a European recovery network LocustWorld, with a staff of two people making for attacks and disasters (ERNAD), a temporary global impacts using leveraged agents, the power network to be set up instantly whenever and of the technology combined with the energetic wherever infrastructure fails, following a natural agility of a small company is evident. or man-made disaster that wipes out existing Links to the R&D programmes: Each communications infrastructure. demonstrator would be underpinned by both temporary research projects and long-term Vertical Industry Projects and Other Promotional research in the ERRI institute and in its predecessor Activities distributed research programme across several research departments in leading universities. Across these horizontal networks may run some specialised vertical demonstrator projects, In conclusion, the suggested programme which are most likely to made up of many small schedule for the R&D and demonstrator projects projects – for instance, use of BANs in mental and initiatives, suggested in Sections 6.2.10 and health for a specific disabling condition – rather 6.2.11, are shown Figure 6-1. Figure 6‑1 Work Programme for Establishing European Success in AWTs 2 Source: SCF Associates
    • 6.3 Issues for Further Research obsolete – the efficiency of the emerging Mapping European Wireless Trends and Drivers regime being, however, highly questionable. By way of conclusion, this section briefly How can an alternative regime be designed? reviews issues that would deserve further attention (2) Influencing standards in order to align in future studies with socio-economic dimensions them to the technological strengths and similar to the present ones. The suggestions build strategies of a firm or a nation is an often-used for example on discussions by the project at the strategy, and a more or less explicit purpose Interim Meeting with IPTS, but are by no means of industrial policy (used by some Asian exhaustive or complete, only serving as some policy-makers). Should this be considered final thoughts and reflections. also for European industrial policy? (3) Can This study has shown that AWTs are • operators and other important actor groups potentially disruptive to existing dominant be provided with incentives to contribute technologies and their supporting actor more to standardisation again? (4) The pros system.40 This disruptive threat /opportunity and cons of gateway technologies (multi- needs to be analysed further, e.g. by studying mode terminals, and in the long run SDR) (1) determinants of how many alternative need to be further explored in order to avoid technologies a market can support; (2) immature standardisation decisions related determinants of success in a competition to AWTs and 4G. between alternative technologies, (3) under • Diffusion of service over wireless what circumstances emerging technologies technologies. For any mobile technology are disruptive (technology-wise, market- to be commercially successful, it is wise, industry-wise). This would result in crucial to unlock the barriers to diffusion. a framework which could be applied to However, factors driving diffusion are current and future situations of mobile poorly understood. Therefore a thorough communications.41 understanding of the mechanisms driving This study identified standardisation as a • diffusion is needed, a framework based key issue for AWTs and proposed key areas on earlier research (theory and historical in which Europe could regain a leading case studies) being developed and applied position. However, there are many unresolved to specifics of wireless communications, issues concerning standardisation, and in at innovation level (i.e. numerous specific need of further research before actionable products/services). Finally, barriers and policy recommendation can be produced. drivers of diffusion can identified and To exemplify: (1) Anticipatory standard- addressed. setting, the need for collaboration between Why is the traditional, operator-centric • standardisation bodies, and the concomitant business model still dominating in Europe? need for rapid standardisation have rendered What are the particular constraints and the traditional framework for standard-setting 40 We should not forget that AWTs are not a new phenomenon, and certainly not in mobile communications. In the early 1990s, 2G cellular was challenged primarily by satellite systems such as Iridium and cordless technologies such as DECT/CT2, where cordless technologies were claimed to provide better service at lower costs, in the home, in offices and in hotspots – at that  time called Telepoints. These technologies more or less failed, partly due to the momentum behind cellular and the actors supporting it. What will happen this time depends on a number of factors which are at this stage unclear. 41 The disruptiveness could be hypothesized to be determined by a number of factors, such as the capabilities of AWTs vis-à-vis attractive services and applications, terminal performance, cost issues including possibilities to make gradual investments, industry support, spectrum availability, need for variety versus economies of scale (supply and demand side), lock-in effects among incumbents, etc.
    • bottlenecks in Europe? When will the non- - entertainment services and access 6. Policy Analysis and Recommendations operator-centric model start to grow, and - logistics & retail and the use of AWTs under which conditions? - impact on future health care based on There are finally a number of issues that • AWTs deserve to be confronted: - opportunities and challenges for e- - long-range, space- and air-based government based on AWTs communications, and broadcasting based - AWTs and impact on industrial sectors on AWTs such as the automotive industry. 
    • References Mapping European Wireless Trends and Drivers - Forge, S.; Blackman, C.; Bohlin, E. (2005) “The - Akyildiz, I.; Wang, X.; Wang, W. (2005) “Wire- demand for future mobile markets and servic- less mesh networks: a survey”, Elsevier Com- es in Europe”, IPTS Technical Report prepared puter Networks, Vol. 47, pp. 445-487, March for the European Commission – Joint Research 2005. Center, EUR 21673 EN, Seville, 2005, avail- - Baker, N. (2004) “Bluetooth strengths and able online at: http://fiste.jrc.es/ weaknesses for industrial applications”, IEE - Goldman Sachs (2004) “Europe telecom serv- Computing and Control Engineering, April/ ices: Wimax and family: threats and opportu- May 2004, Vol. 16, Issue 2. nities”, Goldman Sachs Report, 7 September - Bohlin, E.; Lindmark, S.; Björkdahl, J.; Weber, 2004. A.; Wingert, B.; Ballon P. (Editors: Rodríguez - Ihlwan, M. (2005) “Freed from Daewoo, the Casal, C.; Burgelman, J.C. and Carat, G.) (2004) Daewoos thrive”, Business Week, 29 Decem- “The future of mobile technologies in the EU: ber 2003. assessing 4G developments”, IPTS Technical Report prepared for the European Commis- - Informal (2004) “The state of wireless Lon- sion – Joint Research Center, EUR 21192 EN, don”, available online at: http://informal.org. Seville, 2004; available online at: http://fiste. uk/people/julian/publications/the_state_of_ jrc.es/ wireless_london/#mesh - CEC (2004) “Science and technology, the key - Jung-a, S. (2005) “The Chaebols refuse to be to Europe’s future – Guidelines for Future Eu- contained”, Financial Times, 4 July 2005. ropean Union policy to support research”, - Lewin, D. (2004) “The economic contribution COM(2004) 353 Final, Brussels, 16 June 2004. of mobile services in the European Union be- - Digital ID World (2003) “RFID and the Inter- fore its 2004 expansion: a report to the GSM net of things”, November/December 2003. Association”, Ovum, London, available online at: http://www.gsmworld.com/esb/esb_docu- - Dineen, R. (2004) “Flarion Technologies: ments/eu15_main.pdf. Ovum View”, OVUM Report, January 2004. - Northstream (2005) “Operator options beyond - ECTA (2005) “ECTA Broadband Scorecard 3G”, Northstream White Paper, February 2005. end of December 2004” available online at: http://www.ectaportal.com/en/upload/File/ - Pellon, M. (2004) “Reconfigurability and B3G Broadband%20Scorecards/Q404/Broadband systems: a Motorola view”, presentation at the %20Scorecard%20Q4%202004.pdf WWI Symposium, Brussels, 10 December 2004. - Egan, D. (2004) “The emergence of ZigBee”, - Reynolds, T.; Kelly, T.; Jin-Kyu, J. (2005) “ITU IEE Computing and Control Engineering, April/ ubiquitous network societies: the case of Ko- May 2005, Vol. 16, Issue 2. rea”, ITU, Geneva, March 2005. - Fifield, A. (2004) “Busan looks to a ubiquitous - Sandvig, C.; Young, D.; Meinrath S. (2004) future”, Financial Times, 22 April 2005. “Hidden interfaces to ‘ownerless’ networks”, paper presented to the 32nd Conference on Forge, S. (2004) “Towards an EU policy for -  Communication, Information, and Internet Pol- Open Source Software”, IPTS Report, Vol. icy, Washington, DC, September 2004, avail- 85, available online at: http://www.jrc.es/ able online at: http://www.spcomm.uiuc.edu/ home/report/english/articles/vol85/ICT3E856. users/csandvig/research/Hidden_Interfaces. htm#simon pdf
    • - Vance, J. (2004) “Mesh is good – but what - Shamp, S. (2004) “WiFi clouds and zones: a References survey of municipal wireless initiatives”, Mo- kind of mesh?”, TechWorld 17 August 2004, bile Multimedia Consortium Paper, University available online at: http://www.techworld.com/ of Georgia. - Stajano, F.; Anderson, R. (2000) “The resur- recting duckling: security issues for ad-hoc wireless networks”, in Christianson, B. et al. (Eds.), Security Protocols, Springer, Berlin. 
    • List of Abbreviations Mapping European Wireless Trends and Drivers 1G First generation (of cellular mobile) 2G Second generation (of cellular mobile) 2.5G Second and a half generation (of cellular mobile) with enhanced data communication capabilities represented by GPRS 3D Three Dimensional 3G Third Generation (of cellular mobile) 3.5G Third and a half Generation (of cellular mobile) with enhanced data communication capabilities 3GPP Third Generation Partnership Project 3GPP2 Third Generation Partnership Project 2 4G Fourth Generation (of mobile) AES Advanced Encryption Standard API Application Programming Interface AWT Alternative Wireless Technology B3G Beyond 3G – next generation of mobile after 3G BAN Body Area Network BCN Broadband Converged Network BT British Telecom C4 command /control /communication /co-ordination CAD Computer Aided Design CAN Citizens Alert Network Capex Capital expenditure CDMA Code Division Multiple Access CEPT Conférence Européenne des Postes et Télécommunications CES Consumer Electronics Show Cm centimetre CPE Customer Premises Equipment DECT Digital Enhanced Cordless Technologies DMB Digital Media Broadcasting DoS Denial of Service DRM Digital Rights Management DSL Digital Subscriber Line DVB Digital Video Broadcasting EC European Commission, or European Community ECHR European Court of Human Rights EEC European Economic Community EEISN European Emergency Services Infrastructure Network (proposed here) EFT Electronic Funds Transfer ENUM E-number – a universal communications identifier to unify telecommunications and  Internet addressing ERNAD European Recovery Network for Attacks and Disasters (proposed here) ERRI European Radiocommunications Research Institute (proposed here) ETSI European Telecommunications Standards Institute
    • List of Abbreviations EU European Union EVDO EVolution Data-Only (for CDMA 2000) EWBNI European Wireless Broadband Network Infrastructure (proposed here) FCC Federal Communications Commission (US federal regulator) FDD Frequency Division Duplex Flash OFDM AWT for broadband mobility – may come under IEEE 802.20 GHz Gigahertz GDP Gross Domestic Product GPRS General Packet Radio Service GPS Global Positioning System GSM Global System for Mobile communications, originally Groupe Spéciale Mobile HF High Frequency HSDPA High Speed Downlink Packet Access HSUPA High Speed Uplink Packet Access IBM International Business Machines ICT Information and Communication Technology ID Identity IEEE Institute of Electrical and Electronic Engineers IMIT Institute for Management of Innovation and Technology IP Internet Protocol, also Intellectual Property IPR Intellectual Property Rights IPTS Institute for Prospective Technology Studies IPv6 Internet Protocol version 6 ISM Instrumentation, Scientific and Medical (spectrum band) ISP Internet Service Provider IT Information Technology ITU International Telecommunication Union JTAV Joint Total Asset Visibility JV Joint Venture Kbps kilobits per second Km kilometre KT Korea Telecom (operator) LAN Local Area Network LF Low Frequency LGE Lucky-Goldstar Electronics (supplier) LMR Land Mobile Radio MAC Media Access Control MAN Metropolitan Area Network MANET Mobile Ad-hoc NETwork MBOA MultiBand OFDM Alliance Mbps Megabit per second MHz Megahertz  MIC Ministry of Information and Communication (in Korea) MIMO Multiple Input Multiple Output Mobile-Fi Mobile Fidelity, under IEEE 802.20 standards
    • Mapping European Wireless Trends and Drivers MS Member State (of te EU) ms millisecond MVC Mobile Virtual Community NASA National Aeronautics and Space Administration NFC Near Field Communications NFM Near Field Magnetics NIC Newly Industrialized Country OCTO Office of the Chief Technology Officer OFDM Orthogonal Frequency Division Multiplexing Opex Operational Expenditure OSS Open Source software OSI Open Systems Interconnection PAN Personal Area Network PC Personal Computer PDA Personal Digital Assistant PMR Private Mobile Radio POS Personal Operating Space PSTN Public Switched Telephone Network Q(1,2,3,4) First, second, third, fourth Quarter of a year) QAM Quadrature Amplitude Modulation QoS Quality of Service R&D Research and Development RFID Radio Frequency IDentification SDR Software Defined Radio SIG Special Interest Group SME Small and Medium-sized Enterprise SOHO Small Office Home Office SWOT Strengths, Weaknesses, Opportunities and Threats (analytical tool) TDD Time Division Diplex TGn Task Group N TNO Nederlandse Organisatie voor toegepast-natuurwetenschappelijk onderzoek TNO, the Netherlands Organisation for Applied Scientific Research TNO. TV Television UHF Ultra High Frequency UK United Kingdom UMTS Universal Mobile Telecommunications System UNISK JV between Chine Unicom and SK Telecom UPnP Universal Plug-and-Play URL Universal Resource Locator (Internet addressing) US United States (of America) USB Universal Serial Bus USO Universal Service Obligation  USN Universal Service Network UWB Ultra Wide Band VoIP Voice over Internet Protocol VOW Voice Over Wireless (IP-based)
    • List of Abbreviations WARN Wireless Accelerated Responder Network W-CDMA Wideband–Code Division Multiple Access WiBro Wireless Broadband Wi-Fi (WiFi) Wireless Fidelity, under IEEE 802.11x series WiMax Worldwide Interoperability for Microwave Access, under IEEE 802.16x series WISP Wireless Internet Service Provider WLAN Wireless LAN WLL Wireless Local Loop WMAN Wireless MAN WP Work Package WPAN Wireless PAN WRC World Radiocommunication Conference WWiSE World Wide Spectrum Efficiency WWW World Wide Web WUSB Wireless USB ZED ZigBee End Devices 0
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