The document discusses the challenges of increasing mobile broadband capacity demands in dense urban areas. It notes that mobile traffic is expected to grow exponentially due to more users, devices, and data-hungry applications like video. Traditional solutions for increasing capacity such as new spectrum, advanced antennas, and higher order modulations are reaching their limits. The document proposes that small cell networks, which can offload traffic and reuse frequencies over short distances, represent a cost-effective way to help meet escalating capacity needs, especially in dense urban areas.

1. Capacity and Coverage in Dense
Urban with LTE Small Cells
LTE Asia Summit
Singapore, 6th - 7th Sep 2011
Prof. Shahram G Niri,
Director of Global LTE/SAE Strategy & Solution – NEC Europe

2. Towards future mobile broadband
 More mobile broadband users
Capacity
• 300 M  3 B users
 More smartphones, PDAs & enabled laptops
• Today 15% (~500 M)  ~ 75% (2 B) in 2015
• Average data consumption of x20, x100 and x500 of normal
phone
 More connected devices
• M2M (300 M by 2015 and 20 B in 2020)
 Growths of social media, m commerce + Web
Mobility
• More data hungry application, Video centric applications with Traffic
~ 104% annual growths, 60% - 70% traffic will be video,
• Billions of hours of social networking
Cost
Mobile broadband is a reality
Gap
Exponential mobile traffic growth creates Revenue
unprecedented capacity demand Time
Cost per bit has to be reduced
New innovative services (M2M, Mobile Cloud,
Service
others) are emerging and are potential revenue
streams BUT high performance is a must
Communication networks to improve in intelligence,
flexibility, automation, resilience, efficiency, speed,
security, privacy, latency YET lower delivery
cost per bit/per sq km
Page 2 NEC 2011

3. Capacity crunch is real
Petabytes Per Month
8000
7000
6000 50%CAGR x32
5000
CICSO Data Capacity
100% CAGR
4000
Demand
3000
2000 x10
1000
0
2010 2011 2012 2013 2014 2015
Architecture &
 10-32 times more data (2010-2015), 100-1000 times Technical
Topology
(2010-2020) Advances
 A Continuous challenge to stay ahead of traffic Off-Loads
increase 4
 The volume of the capacity increase and the speed More
3
of upgrade are key challenges Spectrum
 Other challenges to be dealt with, cost of capacity 2
upgrade, the energy & environment, … 1
Page 3 NEC 2011

4. Capacity solutions
9.00
9
8.00
0.33 X 8
7.00
7
Improvement
6.00 2X
bits/symbol
0.5 X 6
5.00
5
4.00
4
3.00 2X
3
2.00
2
1.00
1
0.00
0
BPSK QPSK 8 PSK 16 QAM 64 QAM 256 QAM
Modulation Scheme 2X2 2X4 2X8 4X4 4X8 8X8
MIMO
Candidate Spectrum (1700MHz)
New Spectrum (~400 MHz)  In reality, the performance benefit of higher
order MIMO, higher order modulation is far less
that than that of theoretical values!
 We are reaching the upper limits of spectrum
efficiency
 New allocation is time consuming, costly and
complex
Existing Spectrum (~ 600 MHz)
 Spectrum is a finite resource, scarce &
Government National expensive
Authority
 Today fragmented and very difficult to
harmonize across the regions
 Good parts of the spectrum are already gone!
Page 4 NEC 2011

5. Small Cells - Big capacity quickly and cost effectively
Off-load will be one of the solutions
∑ help to cope with capacity demand
Spectrum ~700MHz ~1400MHz
x2 New network topologies and
MIMO 2x2 4x4 8x8 deployment strategy offer more gains
x2
than new technologies and HW
Other tech. 128QAM/256QAM, Coding, Scheduling, CoMP,
advance x1.5
Relay, ICIC/eICIC, etc….
Frequency reuse is the key to keep up
Traffic
Offload
x1.25 with exponential increase of traffic in
WiFi Femto
the future with limited spectrum
Others ? availability
Small Cells Solutions
Maximum
Femto to Micro
7.5 x
8000 Petabytes
Per Month Micro
7000
x32
6000 50%CAGR
Pico
5000 100% CAGR
Pico
4000
Metro
3000
2000
x10
Femto
1000
0 Home Enterprise / Hot
2010 2011 2012 2013 2014 2015
Zone Hot Spots Zone
Page 5 NEC 2011

6. What’s a LTE small cell?
 Lower power, small form factor, light Fast & Easy
weight - > ease of deployment
 Lower antenna height, street furniture
 Open public access, supports mobility to
macro or others SW
 Zero foot print, Wall/Poll Mount Ethernet Power
AuC DB
 No site acquisition necessary (Backhaul) Cable
S1/X2
 Flexible and fast deployments
 Self configuration & one-touch by SON eNB Installation SON: Self -Configuration
 Indoor & outdoor installation lBuild eNB on selected site lConnect to EMS
lConnect Antennas leNB Authentication
 Fan less and air-cooling lConnect Ethernet Cable lSite data installation
lConnect Power Cable lAuto inventory
 Green & low power consumption lS1/X2 Connection/ setup
Site Visit 1 HOUR installation eNB up &
Flexible Backhauling
Flexible Deployment
Electrical
Distributed
Antenna
Cascade
Fiber
Microwave
S1
S1
Wall installation Pole installation Indoor
Page 6 NEC 2011

7. LTE Deployment Options, In-fill or Out-fill
In-fill Approach Out-fill Approach
 Start with 2G/3G upgrade to LTE  Start with LTE small cell hot zone for
coverage then use LTE small cells for Capacity then use LTE Macro for
capacity and coverage in-fill coverage out-fill
2G/3G Macro 2G/3G Macro
LTE Macro 2G/3G
Macro LTE Small Cells
2G/3G Macro
2G/3G Macro
LTE Macro LTE Small Cells
LTE Small Cells LTE Macro
2G/3G/LTE
Page 7 NEC 2011

8. High Performance with LTE Small from Small Cells
Performance Benefits Cells
VS
3.3x capacity”
Macro ISD=500m 3-sectors Micro ISD=200m
Dense Urban
Macro Micro
Tx power 40W 8W
Antenna Height 30 meters 10 meters
Spectrum 2.6GHz (10MHz) 2.6GHz (10MHz)
Sectorization 3-sectors OMNI
2x faster!
3.3x capacity
3.3x higher system throughput
2x faster average user data rate @
100Mbps/km2 traffic load
Far better cell edge/indoor performance
Page 8 NEC 2011

9. Small Cell Case Study
3
2.5
 A joint analysis NEC and a tier 1 operator
 Major European city
2
 3 x 3km square
 Real site locations and traffic distribution
1.5
 5 various deployment options with varying
frequency band and deployment options (site
1
location and reuse)
0.5
0
3
2.5
2
1.5
1
0.5
0
Macro Micro Total Total
Configuration Total BW Site Selection
Sites Sites Cells Sites
100% re-use existing
A Macro (800MHz, 10MHz) + micros (2600MHz ,20MHz) 30MHz 42 179 305 221
2G/3G sites
100% re-use existing
B Macro + Micro 2600MHz (20MHz) 20MHz 42 179 305 221
2G/3G sites
Macro:100% re-use
C Macro (800MHz, 10MHz) + micros (2600MHz ,20MHz) 30MHz 42 179 305 221
Micro: 40% in better location
Macro:100% re-use
D Macro + Micro 2600MHz (20MHz) 20MHz 42 179 305 221
Micro: 40% in better location
Reuse existing 2G/3G micro
E Micros (2600MHz, 20MHz), no Macro 20MHz 0 259 259 259
sites + 80 New micros
Page 9 9
Page NEC 2011

10. Case Study - Performance Comparison
>3x capacity >1.5 average
user data rate
> 25% better capacity
@25% resource
utilization
 A/B vs C/D: bringing small cells close to traffic is
essential.
 E vs B: the small cell blanket solution offers
significant gain on both capacity and user
experience.
 A/C vs B/D: mixed spectrum (800MHz +
>4x cell edge 2600MHz) provides higher average data rate
user data rate
 The deployment should not be restricted to the
existing sites
 Careful load balancing is required to ensure
good performance on both macro and micro layers
Page 10 NEC 2011

11. Small Cell more than just an “in-fill” solution
DL planning reference
UL planning reference
 Dense Urban, 2.6GHz, 20MHz system bandwidth
 8W eNB output power, average antenna Height ~10 m
 Superior DL and UL performance
Downlink performance @ 200Mbps/km2A for both average and cell edge
 Average user data rate: ~22Mbps
 Cell edge data rate: ~9Mbps
 Cost effective blanket coverage - 20%
TCO savings comparing to traditional
Uplink performance @ 100Mbps/km2
 Average user data rate: ~20Mbps
Macro + Micro approach
 Cell edge data rate: ~2Mbps
Capacity with Small cell Followed by the Coverage with macro
Out fill not In fill
Page 11 NEC 2011

12. Significant lower TCO with Small Cells
~40% CAPEX saving
 Greater London, 1600km2
 Urban & Sub-urban
 0.8 Million Subscribers at year 10
 2.6GHz, 2x30MHz FDD
Network CAPEX Network CAPEX
(Macro) (Micro)
Very low investment in
mid/long term
Page 12 NEC 2011

13. Innovative services empowered by LTE small cells
Enterprise
IT Platform
NEC’s Femto and Small Cell
SaaS Platform
Solutions as part of the
Service Enabler
Iub
LIPA capable small cell eNB High capacity, superior quality
Ubiquitous service availability
Mobile Cloud Femto Services E2E QoS management
Flexible installation, easily tailored
for dedicate use cases
Field proven open API
E-Wallet Total: € 20
Billing Billing: € 15
B
E-Money Point: € 5 €€
€
Credit Card
User Point Service
Provider
(SP)
M-Commence M2M
Page 13 NEC 2011

14. Concluding Remarks
Mobile data traffic is growing exponentially and capacity crunch is real
LTE small cell a key solution to deliver a massive capacity, higher
performance in a very fast time at a TCO which is a key to NEC Femto
sustainability of mobile broadband business.
LTE small cell will be the main stream MBB solution because they
help to drive the cost down and at the same time they improve the NEC Small Cell
user experience, add value and help to increase revenue
NEC is a pioneer in Femto and LTE Small Cells technology
NEC’s LTE Small Cell Solutions a Smart Way to Future Mobile Broadband
Page 14 NEC 2011