Paris and the Mobile Internet: That was Last Year

It looks like the fire in French operators about mobile Internet access has pretty much vanished for the moment. Last year at this time, there were posters such as this one everywhere, advertising how one could use a mobile phone to access the Internet. Nothing of the sort can be seen in the streets of Paris this year.

Also, no 3G USB dongle advertisements, most likely due to the lack of interesting pricing compared to those in countries such as Austria, the U.K., Sweden, Italy, Germany, etc.  Also, no iPhone advertising, no eeePCs with 3G dongles, just an E71 mobile e-mail advertisement by Bouygues.

Together with Orange's recent announcement that they will hold out on LTE for the moment, quite a bleak picture. But with their current data pricing, it's unlikely they will get any kind of real load on their 3G networks anytime soon anyway. Looks like French operators have gone into some sort of combined hibernation once more while the rest of Europe is moving forward at a rapid pace.

Am I too pesimistic?

3GPP Femto Specifications

The post on Femtospots a couple of days ago had some good feedback and one reader pointed me to TS 22.220 where 3GPP currently lays the ground for an end-to-end femtocell architecture, or Home NodeB architecture in 3GPP talk. Thanks for that, quite an insightful document! Here's a link to the document after the latest 3GPP meeting (December 2008) which hasn't yet made it to the official specification server. While still being a somewhat early draft today, it nevertheless gives some interesting insight into which directions operators want to go with femtos.

I've had a look at the contributors to the document and from the operator side, T-Mobile, Vodafone, Softbank, SK Telecom, and NTT-Docomo seem to be the most enthusiastic ones. On the vendor side, I've seen input from RIM, ETRI, Qualcomm, NEC, Alcatel, Huawei, Nortel and Marvel. The lists are not exhaustive but show that there is a lot of interest in the topic.

Here are the some of the highlights of the document:

Open and Closed Operation

3GPP TS 22.220 is a requirements specification so it will serve as a guideline for future stage 2 and stage 3 documents which will contain the implementation details for those requirements. So while trying to stay realistic, the document tries to explore the topic in as wide a range as possible and to keep as many options open as possible. Three operating modes are specified for femtos / Home NodeBs (UMTS) or Home eNodeBs (LTE) and I use the terms interchangeably below: The first one is called open, which means all UEs (user equipment in 3GPP talk or mobile devices) of an operator are allowed to use the cell. The second mode is called Closed Subscriber Group (CSG), which means only selected UEs, for example those belonging to a household, are allowed to use the cell. The third mode is called hybrid and combines the first two. I imagine that in hybrid mode, CSG users might potentially get higher priority and access to the local network.

Local IP Access

Speaking of local network access, the requirements specification also contains a chapter on allowing the UE access the the users home network. No specifics are mentioned yet as to how this should be implemented in practice or what kind of services could be used over such a connection. I expect that the 'how' will be clarified in stage 2 and stage 3 documents while the 'what' will be left for other standards bodies to clarify. The document says that both operator and users will have a say which users are part of the CSG and which users will be allowed to have access to local resources.

Local IP Access to the Internet

A so far empty chapter is present for how to connect to the Internet via the local network therefore bypassing the operators core network. I can hardly wait to see if this chapter will be filled with text or removed in later versions of the document.

MBMS and Mobile TV

Some parties also seem keen to use the Home NodeB for mobile TV and would like to see MBMS specified for femtos.

IMS

Further, there seem to be operators or vendors who would like to have some parts or all of an IMS implemented in the femto in a transparent way for the UE to potentially bypass the circuit switched network. I don't quite yet fully get the concept and purpose of this feature but I am sure some more text will be added to this chapter as the document evolves.

The Achilles Heel : Pre-Release 8 UEs

In my opinion the biggest overall issue for femtos used in closed subscriber group (CSG) mode is how to prevent mobiles not belonging to the CSG trying to reselect to the femto. For future 3GPP Release 8/9 compliant UEs, things can be standardized to avoid unnecessary cell reselections and signalling. TS 22.220 gives some general guidance on how that could be done by adding femto related information on the broadcast channel of the cell. For today's UEs, however, any solution has to work with what is already in place. 3GPP TR 25.280 gives a number of potential solutions in Chapter 6.2. Personally I think the Equivalent PLMN solution has a lot of merrit, but no definite recommendation of how to solve this is given yet.

The SIM Card Family Pack

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I guess it is no secret that in the supermarket, the space in front and alongside the cash register is great for selling those small things you can grab and consume on the way, which you would probably not pick up if you saw them somewhere else. These days, German supermarkets sell SIM cards this way. Only have 3 already? Why not pick up another one? The offer shown in the picture on the left must be the latest step in this direction: How about getting 4 SIM cards in a single family pack from Edeka Mobil, an MVNO using the Vodafone network, and distribute them to your family members!?

All yours for 30 euros, with 10 euros of credit already on each SIM card. For 3 euros a month, talk 10 hours between the SIMs of the MVNO. 9 cents a minute to fixed and mobile phones in Germany and 9 cents per SMS. Who could say no? Probably only your kids who already have SIM cards with community options to text their friends 🙂

It's an interesting trend to observe. The first no-frills but cheap MVNOs were launched by mobile operator e-Plus (KPN) about two years ago. O2 has been a bit quicker with MVNOs but their prices were not very competitive until e-Plus stirred up the market. Since then, all mobile operators have followed and even incumbents like T-Mobile and Vodafone are now offering no-frills prepaid SIMs via MVNOs with competitive prices for voice and SMS.

The same is now happening with mobile Internet access. Again e-Plus was first to offer competitive prices for small screen web browsing and now O2 is offering all post-paid Internet access plans also on their own prepaid SIMs. Let's see how the story continues in 2009.

Forecasts for Mobile Broadband Use From PCs and MIDs

Each year, mobile Internet access from PCs and other non mobile phone devices gets better and better and as I write these lines, I am sitting in a railway station in Paris, connected to the Internet via a 3G USB dongle at multi-megabit speeds. I travel a lot and depending on the country I am seeing lots of people doing the same these days. While at the beginning of this trend, the distinctively red Vodafone PC card adapters were dominant, today it's mostly 3G USB dongles and I wonder how many people still bother looking for suitable Wi-Fi to connect.

It's definitely a trend and operators in many countries are experimenting with it. So how will this trend continue? Dean Bubley over at Disruptive Wireless has worked on a detailed report on this and has published it this week. Here are some of the findings which I think are right on the mark:

  • 3G USB dongles will continue to be more successful for some time to come than built in 3G connectivity. From my experience in countries such as Germany and Austria, getting online is as simple as walking into the supermarket, picking up a 3G dongle and SIM card for a couple of euros. Unfortunately, it's not everywhere like this. In other European countries, like France for example, the situation is quite different, with operators still resisting the general trend. Built in 3G cards on the other hand are unlikely to get as cheap as Wi-Fi chips for quite some time to come so the PC/notebook industry is probably reluctant to add 3G capabilities to notebooks by default in the same way as Wi-Fi.
  • 340 million devices non mobile phone devices connected via 3G by 2014. An interesting number considering about 4 billion devices online by that time and unequal distribution of such devices mainly in developed markets. But given the falling prices and prepaid billing models by day, week and month, buying an inexpensive dongle for occasional use will definitely drive the numbers.
  • Dean estimates about 45 million WiMAX users by 2012. I think that's probably in the right ballpark as well. After lots of activity around alternative WiMAX operators in Europe 18 months ago, this has pretty much died down in the meantime and I think the window of opportunity has been pretty much lost. After all, 3.5G HSPA is now available in Austria, for example, for 9 euros a month with a traffic limit of 15 GB.
  • Impact of the Credit Crunch and the Capacity Crunch. Indeed, having more users on the network will of course drive bandwidth requirements and operators will have to monitor their networks closely and invest in upgrading the backhaul capacity of existing base stations and add additional ones in high traffic locations. The extend of this, however, has yet to be seen. I've done my own calculations on when we might see a general capacity crunch and I think it is still some years off. In the meantime, technology is developing and backhaul is getting cheaper. So it remains to be seen if the demand curve going upwards and infrastructure and backhaul prices going downwards can be brought into a healthy balance for everyone.

Lot's more to be found in Dean's report and if you are lucky enough to work for a company that appreciates the value of such research I encourage you to give your business intelligence department a call and ask if they have this report available.

DVB-H Roller Coaster in Germany, Austria and Italy

DVB-H seems to be a roller coaster technology, quite different adoption rates from country to country.

In Germany, DVB-H recently flopped as the business model of setting up a single DVB-H company that resells the services to mobile operators did not spark a lot of interest if not to say outright opposition from network operators and had to close down recently.

In Austria, DVB-H was introduced a year ago and according to this report (in German), A1 and 3-Austria have only been able to get a couple of thousand subscribers so far. DVB-H service costs 6 euros per month.

In Italy on the other hand, the same report says that DVB-H has attracted one million subscribers to date, some of the channels are available for free, and on average, subscribers watch for one hour a day. To me, one hour a day seems to be quite a bit much. But I can confirm, every now and then I see someone in the streets of Rome watching a football game on his DVB-H mobile, quite easy to spot the antenna sticking out and to hear the typical sound of a football game.

For those interested in further background info on mobile TV, here's another blog entry on mobile TV I've written earlier this year on DVB-T on mobiles (the big twin brother of DVB-H) and 1seg in Japan.

A Mobile Christmas Spike This Year?

A couple of years ago, when mobile phones were still a novelty, one could read reports around Christmas that operators expect/experience a traffic spike on Christmas eve when people start unpacking their presents and start playing with their new mobile devices. I wonder if that still is the case these days and if the spike is moving more towards the packet switched part of the network. Forecasts, anyone?

LTE, China and Center Gaps

Like in UMTS, China is determined to go its own ways with LTE as well. Instead of adopting FDD (Frequency Division Duplex) LTE like the rest of the world, China Mobile wants to deploy TDD (Time Division Duplex) LTE. One of the reasons stated for this is to have an upgrade path from TDD UMTS (which, to the best of my knowledge, is not yet deployed on a broad scale in China). I am sure Chinese companies and joint ventures have put a lot of work into TDD UMTS over many years and yet, it hasn't made it anywhere. So why should TDD LTE be different?

In fact, I see the same problems with TDD LTE:

  • Economy of scale: China is a big country but in order for the technology to be a success, other countries have to adopt TDD LTE as well. As with TDD UMTS, I think that this is unlikely to happen, I don't see an incentive.
  • Devices: Same issue as above. For a limited market, only few vendors will be tempted to develop mobile devices. One way out of the dilemma could be dual mode TDD/FDD devices. But what is the chance of this happening?

So without a real need for an upgrade path, why TDD-LTE? Unlike with UMTS, Chinese companies like Huawei do not have to catch up to the rest of the pack, this time they start at the same time and with an advantage.

The center gap, a glimmer of hope? In many countries the center gap between the uplink and downlink channel of UMTS and LTE is unused. Some operators in Europe for example have even bought TDD spectrum in the 2.1 GHz band during the UMTS auctions back in 2000. So maybe those bands might trigger some operator interest for TDD LTE!? 

As always, comments are welcome.

German Computer Magazine measures 5.76 MBit/s in HSDPA Downlink

Edition 25/2008 of the C't, a renowned German computer magazine, contains a number of interesting articles around mobile Internet access. In one of them, 3G USB dongles have been tested and those capable of 7.2 MBit/s in downlink (HSDPA category 7/8) have reached a maximum speed of 5.76 MBit/s. Impressive, that's even higher than what I experienced myself. The test were performed on the Hanover exibition ground, where both T-Mobile and Vodafone have upgraded their 3G network and their base station backhaul to support these speeds. I assume the tests were done while no exhibition was in progress, i.e. no traffic in the cell and also no or only little traffic in other cells in the neighborhood, which means only little inter-cell interference. They also tested HSUPA and achieved uplink data rates of around 1.8 MBit/s. Again, very impressive for a live network setup.

GAN for LTE: A shot accross the bow for 3GPP?

LTE is a great technology but it has one Achilles heel: No built in telephony solution that will work when network are first rolled out. I've blogged before about the different alternatives for voice over LTE before, such as IMS, Voice Call Continuity, CS Fallback and a Study Item how to connect a circuit switched MSC to the LTE radio access network. While the last one is only a study item and not standardized yet, the first three are standardized but either complicated or, in the case of CS fallback, not a long term solution.

Looks like some operators are not very happy with the state of affairs and have looked elsewhere for help. At the recent LTE World Summit in London, Motorola and China Mobile have both said that they are considering GAN over LTE as a further alternative. GAN is used today in some 2G/Wi-Fi phones for Voice over Wifi at home. What it basically does is it establishes an encrypted IP tunnel between the mobile and the GAN controller at the border of the operators core network, and then tunnels both signaling and speech data to the MSC. Furthermore, the mobile and GANC are able to perform handovers between the Wi-Fi connection and GSM for ongoing calls. In effect, GAN hides the access network (Wi-Fi in this case) from the operators circuit switched core network.

The solution proposed by Motorola at the conference, GAN would do the same for LTE. After all, an IP connection is an IP connection, the core functionality of the GANC does not care if the interface to the user is Wi-Fi or LTE.

On his blog, Zahid has a slide of the Motorola presentation that shows how the network setup could look like. The figure shows an interface between the Mobility Management Entitiy (MME) and the GANC which I think is probably for handover co-ordination. When the MME detects that a handover is necessary to UMTS or GSM, it informs the GANC which can then ensure that an ongoing voice call survives the handover.

The advantage of this approach over the evolved MSC approach, which only exists as a 3GPP study item so far, is that the current circuit switched network infrastructure does not have to be changed. Even though the changes required for the eMSC are minor in comparison to IMS and VCC, they still need to be standardized and implemented by the major infrastructure manufacturers. The GAN approach on the other hand requires some modifications in the mobile and the GANC only, which could well be made without waiting for 3GPP.

>From a design point of view I think the eMSC would be a much more elegant and native approach to the issue. But in practice, elegance does not always win if it is more complex, or as in this case, meets reluctance in the standards bodies.

So, let's see if this 'dear 3GPP, we either do it with you or without you' announcement will change the attitude of some players.

Thanks to Zahid Ghadialy for his coverage of the LTE World Summit

My Take-Aways from Nokia World 2008

Once a year, Nokia hosts a 2 day conference to demo to the world what's in store from Nokia for the next 12 months. This year, Nokia World takes/took place in Barcelona this Tuesday and Wednesday. I haven't been there in person, but Nokia and WomWorld have made sure that those not on site could also watch the keynote speeches and product introductions via the web. Well done, Nokia, not a single glitch, no capacity issues, the live-streams performed flawlessly at 800 kbit/s.

You've probably already heard or seen about the new Nokia N97 introduced there so I'll just link to the keynote video where Anssi Vanjoki introduced it and a link to YouTube with first impressions of the look and feel as well as how the OS looks like and behaves for a general overview. Very insightful and I guess that's going to be my next device, if I can wait until it is released. Forecast 2H09. A long wait…

Here are the bits an pieces of hardware and software enhancements that I think will make a difference:

  • Form factor: I like the idea of a small QWERTY keyboard hiding under the screen as well as the 3.5" 16:9 touch sensitive display. Thinner than my current N95 and not as wide as the iPhone makes it perfect from a handling point for both one hand and two hand operation. It's still more of a bar than a PDA shape.
  • I expect it will still work with my Bluetooth keyboard for real fast typing which now gives three input methods, i.e. touchscreen, mini keyboard, and full bluetooth keyboard. The right input method for every location.
  • 5 megapixel camera and flash. O.k. nothing really new here, the N95 has got that, too for two years now but it's still miles ahead of the 'toy cameras', as Anssi calls them, in competing products.
  • A-GPS and electronic compass. While A-GPS gives you the location it can't tell the phone in which direction the user is looking while he stands still. That's an issue for street navigation, especially when you've marked the place you want to go beforehand, leave the metro station for example, your location is shown on the map but you have no idea in which direction to walk at first. It happens to me often enough. The compass should help with that. I'd be interested how that compass works from a practical point of view. Does anyone know?
  • Also, the compass will be great to get more information about things you see together with Nokia maps. Though I think not yet in the product, Nokia is thinking in the right direction here, to send the location and orientation to a sever in the network, which then return information about what you are seeing like Wikipedia entries, map overlays, etc. So far I always assumed that such services would require the user to take a picture of what he sees which is uploaded to a server and then analyzed. With A-GPS and compass, things are much simpler, no need to analyze a picture.
  • Nokia Maps enhancements: Quite a lot of announcements of what will happen here over the next year. Route overview for navigation will be included, something I am really missing today, terrain mode looks very nice, and 3D representation of sights. Also, Nokia has promised to include user generated content in Nokia maps, something I've been waiting every since I first used GPS and Nokia maps. Also, they are planning to include the location of other users in Nokia Maps so you can see where your friends are, if they wish so. And finally, synchronization between Maps on Ovi and Maps on the phone for planing trips on the PC and then downloading locations etc. you have marked to the phone automatically.
  • Active idle screen enhancements: Widgets on the idle screen, customizable by the user to see his latest e-mails, what's going on on facebook, weather forecast, RSS stream, contacts, meetings, etc.

Nothing announced today is a revolution, but, I think these things are a powerful evolution over the current already great N-series devices and will definitely keep the competition going in the smartphone sector. Now, Nokia, let's just get this device and the new software out there as soon as possible. I can hardly wait.