TEA
Family of Business Case Analysis of Tools


                                            www.witech.it
                                                     1
Contents
 4G project life cycle
 TEA: overview
 TEA: four main integrated analyses
 Reference cases




                                       2
4G project life cycle



                        3
Initial planning stage
  Building a carrier-class 4G network is and will
  remain a complex undertaking …




                                             … and the initial planning phase is very
                                              critical for the success of the initiative




                                                                                  4
Facing Crucial Questions
 In these uncertain economic times, there is no room for risky and poorly
 analyzed decisions when facing crucial questions, such as:

         What will be the best addressable market segment
           with a chosen technology characterization?

        What will be the effect on the P&L when changing the
                       CIR in a service bundle?

           How will the characterization of the technology
               influence the network dimensioning?

         What will be the best tradeoff between coverage and
          capacity requirements in the network deployment?

            How will different types of BS/eNB and UT/UE
                       devices affect the TCO?


                                                                            5
TEA overview



               6
TEA|WiMAX and TEA|LTE




    Empowering 4G players with an effective business case analysis tools
     to set a solid foundation for a successful initiative

    Unique and integrated applications

    Built over five years of extensive industry experience with strategic
     assignments and projects for major operators and equipment suppliers




                                                                             7
Exploiting TEA family
 TEA Family supports almost every players in the 4G ecosystem:

  Operators striving for the healthiest business case to enter into the detailed network
   planning phase more confidently and quickly

  Vendors aiming to present operators with an accurate and compelling positioning of their
   offerings

  Analysts and consultants supporting their customers in the development of superior
   business and technology strategies

  Investors evaluating new business plans and request for further rounds of financing

  Regulators performing objective and forward-looking spectrum management




                                                                                              8
Key characteristics (1/2)
   Analyzing the business case for a WiMAX and LTE initiative with a holistic
    approach, in an integrated and iterative way, taking into account all critical
    aspects

   Supporting a fast and simplified configuration of more than 500 input
    parms with a number of them pre-set to typical/recommended values in the
    technical part

   Enabling the user to view results instantly in an animated graphical format
    through a dashboard-styled and very easy-to-use GUI




                                                                                     9
Key characteristics (2/2)
   Compliant with:

       • IEEE 802.16e/d     standards   and   the   WiMAX    Forum      Fixed/Mobile   Profiles
         (TEA|WiMAX)

       • The latest version (Release 8) of the LTE standard (TEA|LTE)

   Allowing the definition of custom profiles and bands

   Manual setting of the number of users, BS/eNB, Logical Sectors, Radio Links,
    MME, S-GW, P-GW




                                                                                                  10
TEA: four main
 integrated analyses


                       11
Four main integrated analyses

      Analyzing the             Estimating the
       influence of             potential market and
   parameter and                revenues for 4G
       boundary                 services
       condition
        changes




  Calculating all key           Dimensioning the
      economic &                network
          financial             infrastructure to
   projections and              derive the required bill
        indicators              of quantities




                                                 12
Market analysis
  Estimating the potential market and revenues for 4G services:

   Extension of the geographical areas (up to 5) to be served and their specific scenario
    distribution

   Market segments (up to 6) to be addressed

   Service profiles (up to 6) to be offered

   Market segment penetration per year

   Impact of churn




                                                                                             13
Technical analysis
  Dimensioning the network infrastructure to derive the required bill of quantities:


   Technology characterization

   Type of BS/eNB (up to 3) and UT/UE (up to 6)

   Path loss model for the link budget analysis

   Down and up link capacity demand per year

   Existing backbone infrastructures

   Wireless backhaul
  technology distribution




                                                                                  14
Economic and financial analysis
  Calculating all key economic & financial projections and indicators to
  assess the feasibility of the initiative:
   CAPEX & OPEX

   Depreciations

   Interest rate on borrowings, tax rate, discount rate

   Financing

   Equity

   Perpetual growth




                                                                           15
Scenario and sensitivity analysis
   Analyzing the influence of parameter and boundary condition changes, to
    identify the most critical factors for the success of the initiative

   Allowing a fast and iterative fine-tuning of the business case, in real-time and
    total privacy

   Presenting the results in an animated graphical format instantly from the
    different Market, Technical, Economic & Financial perspectives




                                                                                       16
Comprehensive report
  Automatically compiled and published in editable and PDF formats

  Containing a complete summary (with tables, diagrams and charts) of:
      • Inputs and assumptions
      • Results of the market analysis
      • Outcome of the technical modelling
      • Economic and financial statements for up to ten years




                                                                          17
Reference cases



                  18
Reference cases
          Business Case Analysis Tool                                      Business Case Analysis Tool


          Business Case Analysis Tool                                      Cost Modeling



          Business Case Analysis Tool                                      Business Case Analysis Tool



          Cost Modeling                                                    Cost Modeling


          Business Case Analysis Tool                                      Business Case Analysis Tool



          Cost Modeling                                                    Business Case Analysis Tool



          Business Case Analysis Tool                                      Business Case Analysis Tool


                                                                           Cost Modeling
          Business Case Analysis Tool
                                        PREFECTURE DE LA REGION BRETAGNE

                                                                                                         19
Thank you for your attention!                                          WiTech Spa
                                                                     Via Giuntini 25
                                                                    56023 Cascina
For more information, please visit our web site, call us            Loc. Navacchio
                                                                        PISA - Italy
or send us an e-mail.                                                 www.witech.it
                                                               www.wropcloud.com
                                                           www.4gbusinesscase.com

                                                            Phone: +39 050 775 056
                                                              Fax: +39 050 75 47 22
                                                               E-mail: info@witech.it
                                                                               20

4G Business Case Analysis Tool

  • 1.
    TEA Family of BusinessCase Analysis of Tools www.witech.it 1
  • 2.
    Contents  4G projectlife cycle  TEA: overview  TEA: four main integrated analyses  Reference cases 2
  • 3.
  • 4.
    Initial planning stage Building a carrier-class 4G network is and will remain a complex undertaking … … and the initial planning phase is very critical for the success of the initiative 4
  • 5.
    Facing Crucial Questions In these uncertain economic times, there is no room for risky and poorly analyzed decisions when facing crucial questions, such as: What will be the best addressable market segment with a chosen technology characterization? What will be the effect on the P&L when changing the CIR in a service bundle? How will the characterization of the technology influence the network dimensioning? What will be the best tradeoff between coverage and capacity requirements in the network deployment? How will different types of BS/eNB and UT/UE devices affect the TCO? 5
  • 6.
  • 7.
    TEA|WiMAX and TEA|LTE  Empowering 4G players with an effective business case analysis tools to set a solid foundation for a successful initiative  Unique and integrated applications  Built over five years of extensive industry experience with strategic assignments and projects for major operators and equipment suppliers 7
  • 8.
    Exploiting TEA family TEA Family supports almost every players in the 4G ecosystem:  Operators striving for the healthiest business case to enter into the detailed network planning phase more confidently and quickly  Vendors aiming to present operators with an accurate and compelling positioning of their offerings  Analysts and consultants supporting their customers in the development of superior business and technology strategies  Investors evaluating new business plans and request for further rounds of financing  Regulators performing objective and forward-looking spectrum management 8
  • 9.
    Key characteristics (1/2)  Analyzing the business case for a WiMAX and LTE initiative with a holistic approach, in an integrated and iterative way, taking into account all critical aspects  Supporting a fast and simplified configuration of more than 500 input parms with a number of them pre-set to typical/recommended values in the technical part  Enabling the user to view results instantly in an animated graphical format through a dashboard-styled and very easy-to-use GUI 9
  • 10.
    Key characteristics (2/2)  Compliant with: • IEEE 802.16e/d standards and the WiMAX Forum Fixed/Mobile Profiles (TEA|WiMAX) • The latest version (Release 8) of the LTE standard (TEA|LTE)  Allowing the definition of custom profiles and bands  Manual setting of the number of users, BS/eNB, Logical Sectors, Radio Links, MME, S-GW, P-GW 10
  • 11.
    TEA: four main integrated analyses 11
  • 12.
    Four main integratedanalyses Analyzing the Estimating the influence of potential market and parameter and revenues for 4G boundary services condition changes Calculating all key Dimensioning the economic & network financial infrastructure to projections and derive the required bill indicators of quantities 12
  • 13.
    Market analysis Estimating the potential market and revenues for 4G services:  Extension of the geographical areas (up to 5) to be served and their specific scenario distribution  Market segments (up to 6) to be addressed  Service profiles (up to 6) to be offered  Market segment penetration per year  Impact of churn 13
  • 14.
    Technical analysis Dimensioning the network infrastructure to derive the required bill of quantities:  Technology characterization  Type of BS/eNB (up to 3) and UT/UE (up to 6)  Path loss model for the link budget analysis  Down and up link capacity demand per year  Existing backbone infrastructures  Wireless backhaul technology distribution 14
  • 15.
    Economic and financialanalysis Calculating all key economic & financial projections and indicators to assess the feasibility of the initiative:  CAPEX & OPEX  Depreciations  Interest rate on borrowings, tax rate, discount rate  Financing  Equity  Perpetual growth 15
  • 16.
    Scenario and sensitivityanalysis  Analyzing the influence of parameter and boundary condition changes, to identify the most critical factors for the success of the initiative  Allowing a fast and iterative fine-tuning of the business case, in real-time and total privacy  Presenting the results in an animated graphical format instantly from the different Market, Technical, Economic & Financial perspectives 16
  • 17.
    Comprehensive report Automatically compiled and published in editable and PDF formats  Containing a complete summary (with tables, diagrams and charts) of: • Inputs and assumptions • Results of the market analysis • Outcome of the technical modelling • Economic and financial statements for up to ten years 17
  • 18.
  • 19.
    Reference cases Business Case Analysis Tool Business Case Analysis Tool Business Case Analysis Tool Cost Modeling Business Case Analysis Tool Business Case Analysis Tool Cost Modeling Cost Modeling Business Case Analysis Tool Business Case Analysis Tool Cost Modeling Business Case Analysis Tool Business Case Analysis Tool Business Case Analysis Tool Cost Modeling Business Case Analysis Tool PREFECTURE DE LA REGION BRETAGNE 19
  • 20.
    Thank you foryour attention! WiTech Spa Via Giuntini 25 56023 Cascina For more information, please visit our web site, call us Loc. Navacchio PISA - Italy or send us an e-mail. www.witech.it www.wropcloud.com www.4gbusinesscase.com Phone: +39 050 775 056 Fax: +39 050 75 47 22 E-mail: info@witech.it 20