BULRIC Model For Mobile Networks

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SVP Advisors has developed a state-of-the-art and flexible BULRIC model for Mobile networks, designed to adapt to very different operating, technological and regulatory environments.

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BULRIC Model For Mobile Networks

  1. 1. BULRIC Model for Mobile Networks Summary of Key Features April 2012
  2. 2. About SVP Advisors SVP Advisors International Footprint SVP Advisors is an international management consulting firm specialized in the broad technology sectors. We serve clients across four verticals: Strategy and Innovation, Regulation, Operations and Profitability, and Corporate Finance. Our international client base includes operators and equipment providers, technology firms, policy makers and regulators, international or multilateral organizations and financial institutions. We are present in developed and emerging markets, including Europe, Latin America, Middle-East and India. 2
  3. 3. Introducing SVP Advisors BULRIC Model for Mobile Networks SVP Advisors Mobile BULRIC Model Key Features  GSM Access Network Technologies  UMTS  LTE SVP Advisors’  Legacy (MSC-MGW) Core Network Architecture  Evolved Core (All-IP) BULRIC model for  IMS Mobile networks is a  Multi-technology: MW/Ethernet/LL/OF state-of-the-art and Backhaul Options  Multi-topology flexible tool designed to adapt to very  Automatic Integration different operating, Geo Modelling  Consideration of Orography  Areas of high Seasonality technological and regulatory  Multi-band environments Spectrum  Refarming-ready  Multi-standard: FDC/LRIC/LRIC+ Costing Features  Multiple Depreciation methods 3
  4. 4. KEY FEATURES IN FOCUS Designed to address current and future key technological issues Long-Term Evolution (LTE) Next-Generation architecture Refarming ready f1 50 CS Domain PS Domain HSS PSTN/ISDN etc Internet etc 45 Registers and Authentication 40 f1 +f2 + f3 BC 35 f2 SMSC PDN Gateway 30 MMSC MHz PCRF VMS 25 NMS MME/ AS SGW 20 Network Support CSCF SGSN f1 +f2 + f3 Services Packet 15 f3 Switched Core Network IP Multimedia Subsystem 10 LTE RAN 3G RAN RNC 5 2G RAN BSC eNodeB eNodeB - f1 +f2 + f3 GSM GSM UMTS UMTS LTE GSM UMTS LTE GSM UMTS LTE LTE RBS BTS RBS BTS eNodeB RBS BTS 2000 2005 2012 2015 800 MHz 900 MHz 1800 MHz 2100 MHz 2600 MHz  FDD and TDD  Evolved core network  GSM, UMTS and LTE can be deployed in any frequency  All bandwidth configurations  All-IP network band (1.4, 3, 5, 10, 15 and 20  IMS MHz)  Consideration of Multiple  Interoperability with 2G, 3G bands: 800 MHz, 900 MHz,  ICIC and 4G access networks 1800/1900 MHz, 2100 MHz  MIMO antenna configurations and 2.600 MHzExhibits (left to right): 1.- Inter-Cell Interference Coordination (ICIC) diagram for LTE networks; 2.-Illustrative Core NetworkReference Architecture; 3.- Illustrative frequency allocation by band and technology 4
  5. 5. KEY FEATURES IN FOCUS Powerful network dimensioning to reflect country-specific operating constraints Advanced country-specific features Impact of orography (i.e. Mountainous regions ) taken into consideration at detailed level in an automatic way Spectrum allocation may differ between areas because of administrative or operational reasons Seasonality Effects Mobility effects 3,0% 2,5% Percetage of yearly traffic 2,0% 1,5% 1,0% 0,5% 0,0% Non-seasonal area Seasonal areaExhibits (starting from top, left to right): 1.- Automatic orography recognition; 2.- Illustrative spectrum allocation to geotypes;3.- Illustrative traffic patterns in seasonal and non-seasonal areas 5
  6. 6. KEY FEATURES IN FOCUS Detailed attribution rules to achieve accurate costing of servicesAttribution to technologies 10.000 Backhaul Usage 9.000 8.000 Cost attribution to services is 7.000 6.000 Gbps based in actual usage of 5.000 4.000 resources 3.000 2.000 1.000 - 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 GSM UMTS LTEQoS Considered 1,60 1,40 Allocation processes take into 1,20 account Quality of Service EURcents/MB 1,00 0,80 0,60Multiple Standards 0,40 Several cost standards : Fully 0,20 attributed Cost (FAC), LRIC and - 2015 2016 2017 LRIC+ LTE Best Effort LTE Gold LTE Real TimeExhibits (starting from top, left to right): 1.- Illustrative allocation process; 2.- Illustrative usage of backhaul network bytechnology; 3.- Example of costing services with different QoS (figures altered for confidentiality purposes) 6
  7. 7. KEY FEATURES IN FOCUS Highly Transparent and User-friendly Reporting TECHNOLOGY CATEGORY SUBCATEGORY SEGMENT DESCRIPTION 6,00 € 3,00 € 1,00 € 1.000 1,00 € 3,00 €The model provides 10,00 9,00 900detailed reports : DEPRECIATION METHOD 8,00 UNITARY COST UNIT 800 2,00 € 2,00 € 7,00 700 600 EURcents/Minutes 6,00 Configurable charts Sites 500 5,00 400 with unitary costs by 4,00 300 3,00 200 services 2,00 100 1,00 - - Services cost by resources or network GSM.Voice.On-net.Retail.On-net voice UMTS.Voice.On-net.Retail.On-net voice Site.Site.GSM Macro 900-Only Site.Site.GSM Macro 900+1800 layer Blended unitary cost Site.Site.GSM Macro 1800-Only Cost by region and 14,00 GSM Data Unitary Cost geotype 12,00 60,00 10,00 50,00 EURcents/Minute Operational network EURcents/MB EURcents/MB 8,00 40,00 indicators 6,00 30,00 4,00 20,00An example of reporting 2,00 10,00module in Excel can be - -provided upon request GSM Voice On- net UMTS Voice On- net GSM Data UMTS Data Urban Suburban Suburban Rural Rural Rural Seasonal Mountainous Seasonal Site GSM UMTS Backhaul Core BackboneExhibits (starting from top, left to right): 1- Illustrative configurable output analysis; 2.- Illustrative operational indicators for GSM sites;3.-Illustrative summary of unitary costs by network layer; 4.- Illustrative Unitary costs by geotype ; All figures altered for confidentiality purposes 7
  8. 8. MODEL APPLICATIONSSuitable for regulatory, operational and profitability purposes SVP Advisors BULRIC Model has been used in a wide range of applications, including:  Determination of regulated wholesale prices (MTR)  Service costing for strategic pricing of mobile broadband  Operational impact assessment of Refarming  Spectrum valuation  LTE roll out Business Planning (CAPEX and OPEX estimations) 8
  9. 9. For further information please contact:Julio Villalobos› Partner› julio.villalobos@svpadvisors.com SVP Advisors SL SVP Advisors LLC Almagro, 15, 5 One SE 3rd Avenue, 28010 Madrid 25th Floor, Miami Spain FL 33131, USA Tel: +34 91 310 28 95 Fax: +34 91 141 28 11 Email: requests@svpadvisors.com

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