iNOP presentation
20 June 2017
ABOUT KOONSYS
iNOP optimization
software launched
KOONSYS
founded
First contract
with MNOs
First international
contract
All Hungarian wireless MNOs
contracted
iNOP strategy
accepted
2004 2015 2016
First iNOP service
completed
2005 2006 2009 2010 2012
iNOP in media
International launch
Koonsys timeline - History
Traditional services Innovative services
WirelessNetwork
Operators
✔ High Level Network design
✔ Detailed RAN & TRM Network Planning
✔ Measurements (drive test, statistical)
✔ RAN Optimization (statistical & physical)
✔ Planning tool development & support
✔ Consultancy & Expert pool
✔ iNOP Intelligent Network Optimization
✔ Smart City planning
✔ Revenue boosting solutions
✔ GIS and OAM support tools
Wired
telecommunication
✔ High Level Network design
✔ Consultancy
✔ FO network design
✔ Expert pool
✔ Optical hub site optimization
Product and service portfolio
Customers and partners
TRENDS
By 2025
900 billion USD CAPEX infrastructure investment
will be done by mobile operators in the next 5 years to roll out faster networks.
1 2 3 4
Capacity
1 2 3 4
Lifecycle
CAPEX Spending: Tech Capacity vs Lifecycle
• 4 billion new broadband users
• Data traffic per subscriber will
increase by over 500-fold
• Over 100 billion devices will
be connected
MNOs are under double pressure
Cost savings
• ARPU decrease
• Margin erodes due to competition
• No decrease in EBIDTA is accepted
• Technology life cycle shortens – as
well payback time
• Customer acquisition cost increase
Network expansion
• New technologies deployed
• Mobile data boom
• Smartphones enable data
intensive services
• 5G, IoT is behind the corner
iNOP is the only state of the art
network optimization solution on
the market addressing both cost
savings and network
enhancement problems.
What is iNOP and why it is unique?
• iNOP is a new and unique concept on the
market for transmission networks
• iNOP is an E2E Solution as a Service for
telecom carriers
• iNOP is a techno-economic model
combining both technical and economic
aspects of transmission network
optimization
• iNOP is a software integrating engineering
know-how, complex mathematical
algorithms and financial measures
Same optimization methodology has been successfully used by Fortune top companies
iNOP uses industrial best practices
iNOP is the only telecom solution which implements best optimization practices
of other industries like
o Supply chain management
o Logistics
o Production
o Workforce management
o Energy management etc.
iNOP solves transmission problems at all network lifecycle stages
• Ensure TRM capacity for all BS
• Future proof TRM network
• Optimal spending of CAPEX
• Minimized OPEX
LaunchnewRANtechnology
RANexpansion
• Minimum # of new HUB sites
• Optimal spending of CAPEX
• TRM capacity for all BS
• Optimized $/Mbps
TRMcapacityupgrade
• TRM capacity bottlenecks
• Overloaded HUB sites
• Minimize CAPEX spending
• Optimized $/Mbps
Maturenetwork
• Reduce OPEX
• Increase spectrum
efficiency
• Reduce network complexity
iNOP helps to find substantial savings
Typical CEE MNO budget
$ 568,700,000 per year
Subscribers Base 3-5M
ARPU $12-15
Technology 2G/3G/4G
Infrastructure ~4000 BTS
Staff ~1000
If iNOP finds 10% savings it values over
2 million USD per year for the operator
EBID
20%
CAPEX
9%
OPEX
$403,777,000
71%
Support and
Overhead
13%
IT
20%
CustomerMgmt
16%Marketing/ Prod.
Dev.
7%
Sales
17%
Network
$109,019,790
27%
Civil infrastructure
15%
RAN
16%
NW overhead
10%
NW Mgmt
6%
VAS
17%
Core
15%
TRM
$22,894,156
21%
HOW iNOP WORKS?
Traditional engineering vs. iNOP optimization
Traditional
Engineering
Optimization
with iNOP
Optimization on link level
Technical network parameters are
affected
Only minor topology changes
Best technical solution for Each
link
Limitations to handle complex
network
Optimization on network level
Best network based on technical
& financial targets set by the
operator
Even major changes in
topology are possible
No limits in complexity
TRM
Network
Daily
Challenges
Planning new Links
Increased
Bandwidth
Needs
Cost
Pressure
Optimized
Topology
How iNOP optimizes the network?
Technical and financial
network data is extracted
from network
Millions of variations are
analyzed by advanced
mathematical algorithms
Network is translated into a
mathematical problem
Best solution is selected by
iNOP based on pre-defined
KPIs
Mathematical solution is
translated back to an
executable network plan
1 2 3
4 5
Typical iNOP project results
• Simplified network topology
• Increased link capacity
• Less overloaded HUB sites
• Higher network availability
• Lower OPEX
• Lower cost / Mbit
• Increased spectrum efficiency
• Optimized capital expenditures
iNOP deliverables
Network Status before and after iNOP Optimization
TCO Status before and after iNOP Optimization
Recommendations and detailed comparison
of original and new network Before & After
Comparison
Optimized Network Characteristics
ROI, CAPEX Needs & KPI Fulfillment Reports
Detailed figures of potential CAPEX & OPEX
Savings
iNOP Optimization plan and program based
on customer’s targets and needs
Ready to Execute implementation program
iNOP Final Report samples
iNOP optimization project
Customer’s
demand arise
for NW
Optimization
Extracting data
from
Customer's
systems
Data
preparation
and cleaning
Setting
optimization
targets
Running iNOP
Iteratively
evaluation and
refining the
plan
Implementatio
n of network
plan
1 to 2 weeks 2 to 4 weeks 1 day 0.5 to 6 hours 2 to4 weeks
Iteration if needed
Typical iNOP Optimization Project
iNOP project duration 5-10 weeks
iNOP input data requirements
Technical data
• Site and network information
• LoS matrix or map data
• Technology, capacity requirements
• Spectrum availability and preference
• Restrictions, redundancy requirements
Financial data
• Equipment and implementation costs
• Frequency fee
• O&M costs
• Vendor support fee
• Rental fees etc.
iNOP project examples
Case study 1 – Tier1 EU based mobile operator
Client
Background
• 20+ years operating fixed and multi-technology wireless networks
• Core network – Fiber; Last mile – P2P Microwave
• # microwave hops: Total 4000 : For pilot: 400 urban / 350 rural
Pain
• Organically grown and increasingly complex network
• Leading to excessive frequency fees to National Infocommunications Authority
• EBIDTA pressure from shareholders
Client Goals
• Fast and easy to implement OPEX reductions
• Frequency fee target reduction of 20%
• Network optimization plan for long term
Findings
• Microwave hops – reduction of 23% possible
• Frequency fee – reduction of 40% possible
• Capacity / hop – increase of 28% possible
• Pilot Study - ROI of 440% within 3 months
Original Change
Extrapolated to entire
network
Number of microwave hops 779 516 -33 % -23 %
Frequency fee
$35,000
USD / per month
$7,200
USD / per month
79.5 % 39.8 %
Average capacity per hop
176 Mbps
223 Mbps
338 Mbps
277 Mbps
Avg. 54 % 27.4 %
Average length of connections (urban)
Average length of connections (rural)
3,56 km
7,75 km
2,1 km
6,5 km
41 %
16 %
Not relevant
Case study 1 - figures
Case study 2 – Tier2 EU based public operator
Client
Background
• Fiber optic and multi-technology wireless networks
• Core TRM network – Fiber and P2P Microwave; Last mile – P2P Microwave
• # microwave hops: Total 1500 : For pilot: 253 rural
Pain
• Network expansion bottleneck, cannot meet market demand
• How to spend CAPEX, tower infra/technology change/re-build of the network?
• EBIDTA and Time to Market pressure
Client Goals
• Frequency fee target reduction of 15%
• HOP minimization and freeing up tower infrastructure/antenna space
• Network optimization plan for short/mid/long term network development
Findings
• Microwave hops – reduction of 8% possible
• Frequency fee – reduction of 33% possible
• Capacity / hop – increase of 50% possible
• Pilot Study - ROI of 440% within 3 months
Original Change
Extrapolated to entire
network
Number of microwave hops 253 231 8,7 % 6,4%
Frequency fee $109,000 $73,000 33 % 24,3%
Average capacity per hop (rural) 73 Mbps 148 Mbps 50,7 % 42.5 %
Average length of connections (rural) 14,6 km 13,2 km 10 % N/A
Case study 2 - figures
Case study 3 – Tier1 MNO in Middle-East
Client
Background
• Fiber optic and multi-technology wireless networks
• Core TRM network – Fiber and P2P Microwave; Last mile – P2P Microwave
• # microwave hops: Total >11000 : For pilot: 244 dense urban
Pain
• Network expansion capacity bottleneck, cannot meet market demand
• Overloaded FO HUB sites
• EBIDTA and Time to Market pressure
Client Goals
• Provide required transmission capacity on all BS sites
• Have future proof transmission network for later (4.5G) expansion.
• Relative OPEX savings with low additional investment
Findings
• Capacity / hop – increase of 260% possible
• Relative OPEX reduction (cost/Mbps) – 51% is possible
• HUB overload reduction – on most critical HUBs 25% reduction is possible
Original Change
Number of microwave hops 244 244 0 %
Relative OPEX (cost/Mbps) 100% 59% -41%
Average capacity per hop 152 Mbps 399 Mbps 262 %
Overloaded HUB sites 7 2 -72%
Case study 3 - figures
Case study 4 – Tier1 MNO in Europe
Client
Background
• Fiber optic and multi-technology wireless networks
• Core TRM network – Fiber and P2P Microwave; Last mile – P2P Microwave
• # microwave hops: Total >20000 : For pilot: 407 urban and hilly rural
Pain
• Network expansion to 4.5G has capacity bottlenecks
• EBIDTA pressure
• Complicated network structure, long chains
Client Goals
• Provide required capacity on all BS sites for 4.5G expansion.
• Simplify network topology
• Relative OPEX savings ($/Mbps) with low additional investment
Findings
• Capacity / link –35% increase is possible
• Relative OPEX reduction ($/Mbps) – 16% is possible
• Simplified network– 5% less links, 19% shorter hops
Original Change
Number of microwave hops 407 387 -5 %
Relative OPEX (cost/Mbps) 100% 84% -16%
Average capacity per hop 268 Mbps 363 Mbps 35%
BS connected to FO HUB in 1 or 2 HOPS 54% 80% 48%
Case study 4 - figures
Thank you, questions?

I nop brochure_2017

  • 1.
  • 2.
  • 3.
    iNOP optimization software launched KOONSYS founded Firstcontract with MNOs First international contract All Hungarian wireless MNOs contracted iNOP strategy accepted 2004 2015 2016 First iNOP service completed 2005 2006 2009 2010 2012 iNOP in media International launch Koonsys timeline - History
  • 4.
    Traditional services Innovativeservices WirelessNetwork Operators ✔ High Level Network design ✔ Detailed RAN & TRM Network Planning ✔ Measurements (drive test, statistical) ✔ RAN Optimization (statistical & physical) ✔ Planning tool development & support ✔ Consultancy & Expert pool ✔ iNOP Intelligent Network Optimization ✔ Smart City planning ✔ Revenue boosting solutions ✔ GIS and OAM support tools Wired telecommunication ✔ High Level Network design ✔ Consultancy ✔ FO network design ✔ Expert pool ✔ Optical hub site optimization Product and service portfolio
  • 5.
  • 6.
  • 7.
    By 2025 900 billionUSD CAPEX infrastructure investment will be done by mobile operators in the next 5 years to roll out faster networks. 1 2 3 4 Capacity 1 2 3 4 Lifecycle CAPEX Spending: Tech Capacity vs Lifecycle • 4 billion new broadband users • Data traffic per subscriber will increase by over 500-fold • Over 100 billion devices will be connected
  • 8.
    MNOs are underdouble pressure Cost savings • ARPU decrease • Margin erodes due to competition • No decrease in EBIDTA is accepted • Technology life cycle shortens – as well payback time • Customer acquisition cost increase Network expansion • New technologies deployed • Mobile data boom • Smartphones enable data intensive services • 5G, IoT is behind the corner
  • 9.
    iNOP is theonly state of the art network optimization solution on the market addressing both cost savings and network enhancement problems.
  • 10.
    What is iNOPand why it is unique? • iNOP is a new and unique concept on the market for transmission networks • iNOP is an E2E Solution as a Service for telecom carriers • iNOP is a techno-economic model combining both technical and economic aspects of transmission network optimization • iNOP is a software integrating engineering know-how, complex mathematical algorithms and financial measures
  • 11.
    Same optimization methodologyhas been successfully used by Fortune top companies iNOP uses industrial best practices iNOP is the only telecom solution which implements best optimization practices of other industries like o Supply chain management o Logistics o Production o Workforce management o Energy management etc.
  • 12.
    iNOP solves transmissionproblems at all network lifecycle stages • Ensure TRM capacity for all BS • Future proof TRM network • Optimal spending of CAPEX • Minimized OPEX LaunchnewRANtechnology RANexpansion • Minimum # of new HUB sites • Optimal spending of CAPEX • TRM capacity for all BS • Optimized $/Mbps TRMcapacityupgrade • TRM capacity bottlenecks • Overloaded HUB sites • Minimize CAPEX spending • Optimized $/Mbps Maturenetwork • Reduce OPEX • Increase spectrum efficiency • Reduce network complexity
  • 13.
    iNOP helps tofind substantial savings Typical CEE MNO budget $ 568,700,000 per year Subscribers Base 3-5M ARPU $12-15 Technology 2G/3G/4G Infrastructure ~4000 BTS Staff ~1000 If iNOP finds 10% savings it values over 2 million USD per year for the operator EBID 20% CAPEX 9% OPEX $403,777,000 71% Support and Overhead 13% IT 20% CustomerMgmt 16%Marketing/ Prod. Dev. 7% Sales 17% Network $109,019,790 27% Civil infrastructure 15% RAN 16% NW overhead 10% NW Mgmt 6% VAS 17% Core 15% TRM $22,894,156 21%
  • 14.
  • 15.
    Traditional engineering vs.iNOP optimization Traditional Engineering Optimization with iNOP Optimization on link level Technical network parameters are affected Only minor topology changes Best technical solution for Each link Limitations to handle complex network Optimization on network level Best network based on technical & financial targets set by the operator Even major changes in topology are possible No limits in complexity TRM Network Daily Challenges Planning new Links Increased Bandwidth Needs Cost Pressure Optimized Topology
  • 16.
    How iNOP optimizesthe network? Technical and financial network data is extracted from network Millions of variations are analyzed by advanced mathematical algorithms Network is translated into a mathematical problem Best solution is selected by iNOP based on pre-defined KPIs Mathematical solution is translated back to an executable network plan 1 2 3 4 5
  • 17.
    Typical iNOP projectresults • Simplified network topology • Increased link capacity • Less overloaded HUB sites • Higher network availability • Lower OPEX • Lower cost / Mbit • Increased spectrum efficiency • Optimized capital expenditures
  • 18.
    iNOP deliverables Network Statusbefore and after iNOP Optimization TCO Status before and after iNOP Optimization Recommendations and detailed comparison of original and new network Before & After Comparison Optimized Network Characteristics ROI, CAPEX Needs & KPI Fulfillment Reports Detailed figures of potential CAPEX & OPEX Savings iNOP Optimization plan and program based on customer’s targets and needs Ready to Execute implementation program
  • 19.
  • 20.
  • 21.
    Customer’s demand arise for NW Optimization Extractingdata from Customer's systems Data preparation and cleaning Setting optimization targets Running iNOP Iteratively evaluation and refining the plan Implementatio n of network plan 1 to 2 weeks 2 to 4 weeks 1 day 0.5 to 6 hours 2 to4 weeks Iteration if needed Typical iNOP Optimization Project iNOP project duration 5-10 weeks
  • 22.
    iNOP input datarequirements Technical data • Site and network information • LoS matrix or map data • Technology, capacity requirements • Spectrum availability and preference • Restrictions, redundancy requirements Financial data • Equipment and implementation costs • Frequency fee • O&M costs • Vendor support fee • Rental fees etc.
  • 23.
  • 24.
    Case study 1– Tier1 EU based mobile operator Client Background • 20+ years operating fixed and multi-technology wireless networks • Core network – Fiber; Last mile – P2P Microwave • # microwave hops: Total 4000 : For pilot: 400 urban / 350 rural Pain • Organically grown and increasingly complex network • Leading to excessive frequency fees to National Infocommunications Authority • EBIDTA pressure from shareholders Client Goals • Fast and easy to implement OPEX reductions • Frequency fee target reduction of 20% • Network optimization plan for long term Findings • Microwave hops – reduction of 23% possible • Frequency fee – reduction of 40% possible • Capacity / hop – increase of 28% possible • Pilot Study - ROI of 440% within 3 months
  • 25.
    Original Change Extrapolated toentire network Number of microwave hops 779 516 -33 % -23 % Frequency fee $35,000 USD / per month $7,200 USD / per month 79.5 % 39.8 % Average capacity per hop 176 Mbps 223 Mbps 338 Mbps 277 Mbps Avg. 54 % 27.4 % Average length of connections (urban) Average length of connections (rural) 3,56 km 7,75 km 2,1 km 6,5 km 41 % 16 % Not relevant Case study 1 - figures
  • 26.
    Case study 2– Tier2 EU based public operator Client Background • Fiber optic and multi-technology wireless networks • Core TRM network – Fiber and P2P Microwave; Last mile – P2P Microwave • # microwave hops: Total 1500 : For pilot: 253 rural Pain • Network expansion bottleneck, cannot meet market demand • How to spend CAPEX, tower infra/technology change/re-build of the network? • EBIDTA and Time to Market pressure Client Goals • Frequency fee target reduction of 15% • HOP minimization and freeing up tower infrastructure/antenna space • Network optimization plan for short/mid/long term network development Findings • Microwave hops – reduction of 8% possible • Frequency fee – reduction of 33% possible • Capacity / hop – increase of 50% possible • Pilot Study - ROI of 440% within 3 months
  • 27.
    Original Change Extrapolated toentire network Number of microwave hops 253 231 8,7 % 6,4% Frequency fee $109,000 $73,000 33 % 24,3% Average capacity per hop (rural) 73 Mbps 148 Mbps 50,7 % 42.5 % Average length of connections (rural) 14,6 km 13,2 km 10 % N/A Case study 2 - figures
  • 28.
    Case study 3– Tier1 MNO in Middle-East Client Background • Fiber optic and multi-technology wireless networks • Core TRM network – Fiber and P2P Microwave; Last mile – P2P Microwave • # microwave hops: Total >11000 : For pilot: 244 dense urban Pain • Network expansion capacity bottleneck, cannot meet market demand • Overloaded FO HUB sites • EBIDTA and Time to Market pressure Client Goals • Provide required transmission capacity on all BS sites • Have future proof transmission network for later (4.5G) expansion. • Relative OPEX savings with low additional investment Findings • Capacity / hop – increase of 260% possible • Relative OPEX reduction (cost/Mbps) – 51% is possible • HUB overload reduction – on most critical HUBs 25% reduction is possible
  • 29.
    Original Change Number ofmicrowave hops 244 244 0 % Relative OPEX (cost/Mbps) 100% 59% -41% Average capacity per hop 152 Mbps 399 Mbps 262 % Overloaded HUB sites 7 2 -72% Case study 3 - figures
  • 30.
    Case study 4– Tier1 MNO in Europe Client Background • Fiber optic and multi-technology wireless networks • Core TRM network – Fiber and P2P Microwave; Last mile – P2P Microwave • # microwave hops: Total >20000 : For pilot: 407 urban and hilly rural Pain • Network expansion to 4.5G has capacity bottlenecks • EBIDTA pressure • Complicated network structure, long chains Client Goals • Provide required capacity on all BS sites for 4.5G expansion. • Simplify network topology • Relative OPEX savings ($/Mbps) with low additional investment Findings • Capacity / link –35% increase is possible • Relative OPEX reduction ($/Mbps) – 16% is possible • Simplified network– 5% less links, 19% shorter hops
  • 31.
    Original Change Number ofmicrowave hops 407 387 -5 % Relative OPEX (cost/Mbps) 100% 84% -16% Average capacity per hop 268 Mbps 363 Mbps 35% BS connected to FO HUB in 1 or 2 HOPS 54% 80% 48% Case study 4 - figures
  • 32.