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Mobile Broadband
for everyone
Informed policy to connect the unconnected
April 2016
© Ericsson AB 2016 | March 2016 | Page 2
Mobile Broadband fastest
growing technology in history
Source: ITU
© Ericsson AB 2016 | March 2016 | Page 3
Capture the next Wave
>50% of world population still lack Internet access
3.6 BILLION MOBILE BROADBAND SUBSCRIPTIONS 2015*
DEVELOPING COUNTRIES - 39%
DEVELOPED COUNTRIES - 87%
100 Million People
(Rounded Values)
ONLINE
Note* Estimates. Source: ITU & Ericsson Mobility Report, Nov 2015
OFFLINE
+4.1billion
new Mobile Broadband
subscriptions from
2015 - 2021
© Ericsson AB 2016 | March 2016 | Page 4
The ICT revolution
Over the past 15 years the ICT revolution has driven global development in
an unprecedented way. Technological progress, infrastructure deployment,
and falling prices have brought unexpected growth in ICT access and
connectivity to billions of people around the world.
>50% of world population still lack Internet access
In 2015, there are 3.6 billion Mobile Broadband subscriptions worldwide,
corresponding to a penetration rate of less then 50% of world population.
From the illustration on the left hand side we see a significant difference in
the internet adoption between developed and developing countries, 87%
penetration rate versus 39%. This is a huge difference and it has a great
potential for the industry especially when we acknowledge that the
developing countries represents about 80 percent of the world’s population!
In all, 3.7 billion people in developing countries are still offline.
2X Mobile Broadband subscriptions by 2021
According to Ericsson Mobility Report (Nov 2015) we expect Mobile
Broadband subscriptions to more than double by 2021 with an added 4.1
billion new subscribers. Looking back, it took more than five years to reach
the first billion Mobile Broadband subscriptions and the second billion was
reached less than two years after that. The four billion mark is expected to
be reached by 2016.
Capture the next Wave
>50% of world population still lack Internet access
Rising GDP
We see that the number of mobile subscriptions continues to grow in all regions.
The reasons are as expected greater device affordability that enables new
subscribers in developing regions but also the growth in developed markets by
individuals adding more devices. Local economic conditions also have a
significant impact on the uptake of subscriptions in different regions. The growth
is expected to be particularly strong in the Middle East and Africa due to a
young and growing population and rising GDP.
© Ericsson AB 2016 | March 2016 | Page 5
Extend Mobile broadband coverage
Mobile
Broadband
FOR EVERYONE
Operator
strategy
Improve Add
TCO Revenue
Operator
challenge
Today’s
coverage
Commercial
opportunity
ImproveAdd
Mobile World Congress 2016 | Commercial in confidence | March 2016 | Page 5
© Ericsson AB 2016 | March 2016 | Page 6
Today’s coverage
WCDMA covers about 65% of the world’s population today, while LTE
covers about 40%, a very high number, but there is still some way to before
we reach GSM >90% population coverage.
Operator Strategy
Operator has the choice to improve Mobile Broadband (MBB) in areas which
already are covered with MBB, or to add MBB coverage on GSM only sites.
Operator challenges
There are areas with low subscriber density, where it might be difficult to
balance the revenues with the Total Cost of Ownership (TCO).
Commercial opportunity
There is a opportunity to capture more data by improving the MBB network
as well as monetize on new MBB subscribers in areas with no MBB
coverage.
Extend Mobile broadband coverage
Many GSM-only sites need MBB coverage
Today, there are hundreds of thousands of legacy GSM sites where it is
expensive and cumbersome to introduce Mobile Broadband since the site
needs to undergo drastic remodeling or expansion. We want to change that
with a new unique solution (Intelligent Antenna Sharing) that allows keeping
the GSM site and reusing the GSM site equipment to the fullest extent. The
re-use of existing GSM and new WCDMA equipment allows a TCO saving
potential of more than 60% compared to a new conventional 3G site.
3 Ericsson Radio solutions
The Intelligent Antenna Sharing solution completes our already existing offer
with the Psi Coverage, and multi standard mixed mode (MSMM), which are
just a flavor of Ericsson’s offering. Together, these form a crisp and concrete
offering for Mobile Broadband Expansion, with lowest Total Cost of
Ownership (which we will have a look at later).
© Ericsson AB 2016 | March 2016 | Page 7
Challenges
when building
mobile
broadband
coverage
Operations
Low sub
density
Transform challenges
into opportunities
Installation
Site rental
Power
© Ericsson AB 2016 | March 2016 | Page 8
Innovations that fuels today
Mobile
broadband
for everyone
Build with
precision
Zero Touch
WCDMA
Intelligent
Antenna
Sharing
Psi
Coverage
Multi
Standard
Mixed Mode
>40% TCO
SAVINGS
>40% ENERGY
SAVINGS
3X
EFFICIENCY
FASTEST
ROI
65% TCO
SAVINGS
© Ericsson AB 2016 | March 2016 | Page 9
Intelligent Antenna
Sharing
Psi Coverage
Multi Standard
Mixed Mode
−34% TCO −43% TCO
X
X
X
X
X
X
X
X
X
X
A.
B.
C.
TTMF
RRUS
Baseband
A.
B.
C.
TTMF-IAS
RRUS
Baseband C. Baseband
X
X
X
X
X
X
X
X
X
X
C
LOWEST TCO Solutions
Bringing mobile broadband to everyone
A
B
C
−65% TCO
C
A
B
© Ericsson AB 2016 | March 2016 | Page 10
World’s Most affordable 21 Mbps
Robi, Bangladesh
Being the third largest operator in
Bangladesh with above 20%
market share, Robi needed to find
a solution for a fast rollout of a new
technology (3G) who previously
only had GSM.
By deploying the innovative
solution Psi Coverage from
Ericsson, Robi was provided a fast
Mobile Broadband network rollout
with lowest TCO including best in
class power consumption with good
network performance.
Psi Coverage solution helps to build mobile broadband in bigger
coverage areas with lower CAPEX and OPEX.
Hence, it helps to include bigger population under affordable
broadband.”
Supun Weerasinghe, CEO Robi Axiata Ltd.
© Ericsson AB 2016 | March 2016 | Page 11
World’s Most affordable 21 Mbps
Robi, Bangladesh
› With limited assets Robi wanted
to provide a cost efficient Mobile
Broadband network rollout with a
fast pace.
› Faced with limited and expensive
power supply
THE CHALLENGE
› Energy savings
› Fast growing traffic and revenues
due to large coverage footprint
THE RESULT
› Successfully deployed Psi
Coverage nationwide, initially
1000 sites in a few months
followed by additional 800 sites
THE SOLUTION
REDUCE
NETWORK TCO
OPEX SAVINGS &
FASTEST TIME
TO MARKET
PSI COVERAGE
© Ericsson AB 2016 | March 2016 | Page 12
Ericsson Radio Leadership
Elastic RAN
Unique hyperscaled Cloud RAN
Energy Performance
Providing most efficient app coverage
Internet of Things
Driving the global cellular IoT ecosystem and standards
5G Leadership
Guiding the networked society into the future
Indoor Small Cells
Fastest track to indoor business
Ericsson Lean Carrier
Unique 5G concept today
MINI-LINK
Market leading capacity in all bands
Ericsson Radio System
Next generation system – shipping today
© Ericsson AB 2016 | March 2016 | Page 13
New business models
The next step in connecting the
unconnected
© Ericsson AB 2016 | March 2016 | Page 14
Technical Data
3G/LTE Configuration
WCDMA 2100
One carrier (5MHz)
HSDPA 16 QAM
15 High Speed Codes
Peak rate: 14.4 Mbps in DL
Voice and Data Capacity
1 km radius
1.2 Mbps UL cell capacity
11.5 Mbps DL cell throughput
2,640 subscribers
2 km radius
1.2 Mbps UL cell capacity
10 Mbps DL cell throughput
2,640 subscribers
4 km radius
1.2 Mbps UL cell capacity
3 Mbps DL cell throughput
LTE 2100
LTE FDD 5 MHz with 64 QAM &
2x2 MIMO
Peak rate: 36.7 Mbps in DL
RNC
Evo controller 8200
50 nodeB
0.3 Mbps / nodeB during BH
Iub throughput: 28 Mbps
Base Station
Pico RBS: 1 Watt
Tower height: 10 meter
Omni antenna: 11 dBi
Frequency bands: 1900/2100
Coverage Rural
Radius: 4 km
Area: 50 km²
Power Solution
Power consumption: 120 Watt
Solar panels: 4.5 m²
Battery backup: 4 days
Battery: 24 Volt (12 x 2 Volt)
WiFi
› MRC, a solution to connect the
unconnected
› It provides mobile communications in
non covered rural area using 2G, 3G
and/or LTE network
› Satellite transmission in most cases for
fast implementation and rollout
› Solar powered
› Completely managed by Ericsson as a
service
Managed rural coverage
(MRC)
© Ericsson AB 2016 | March 2016 | Page 15
Value proposition
Mobile services in rural areas Immediate revenue growth
Fast access to rural areas First mover advantage
Minimized volume commitments Reduced commercial risk
Coverage as a service Capex avoidance
Enabler for GDP growth Good citizen
Solar panels Environmental sustainability
© Ericsson AB 2016 | March 2016 | Page 16
Cross-industry cooperation and
new business models
› Managed Rural Coverage for
communications for all
› Mobile Payment for financial inclusion
› TV for Good for education, health and
infotainment
› Safe drinking water
› Women entrepreneurs empowerment
Cross-industry partnership between The Coca-Cola Company
EKOCENTER initiative and Ericsson to provide:
Mobile Broadband For Everyone

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Mobile Broadband For Everyone

  • 1. Mobile Broadband for everyone Informed policy to connect the unconnected April 2016
  • 2. © Ericsson AB 2016 | March 2016 | Page 2 Mobile Broadband fastest growing technology in history Source: ITU
  • 3. © Ericsson AB 2016 | March 2016 | Page 3 Capture the next Wave >50% of world population still lack Internet access 3.6 BILLION MOBILE BROADBAND SUBSCRIPTIONS 2015* DEVELOPING COUNTRIES - 39% DEVELOPED COUNTRIES - 87% 100 Million People (Rounded Values) ONLINE Note* Estimates. Source: ITU & Ericsson Mobility Report, Nov 2015 OFFLINE +4.1billion new Mobile Broadband subscriptions from 2015 - 2021
  • 4. © Ericsson AB 2016 | March 2016 | Page 4 The ICT revolution Over the past 15 years the ICT revolution has driven global development in an unprecedented way. Technological progress, infrastructure deployment, and falling prices have brought unexpected growth in ICT access and connectivity to billions of people around the world. >50% of world population still lack Internet access In 2015, there are 3.6 billion Mobile Broadband subscriptions worldwide, corresponding to a penetration rate of less then 50% of world population. From the illustration on the left hand side we see a significant difference in the internet adoption between developed and developing countries, 87% penetration rate versus 39%. This is a huge difference and it has a great potential for the industry especially when we acknowledge that the developing countries represents about 80 percent of the world’s population! In all, 3.7 billion people in developing countries are still offline. 2X Mobile Broadband subscriptions by 2021 According to Ericsson Mobility Report (Nov 2015) we expect Mobile Broadband subscriptions to more than double by 2021 with an added 4.1 billion new subscribers. Looking back, it took more than five years to reach the first billion Mobile Broadband subscriptions and the second billion was reached less than two years after that. The four billion mark is expected to be reached by 2016. Capture the next Wave >50% of world population still lack Internet access Rising GDP We see that the number of mobile subscriptions continues to grow in all regions. The reasons are as expected greater device affordability that enables new subscribers in developing regions but also the growth in developed markets by individuals adding more devices. Local economic conditions also have a significant impact on the uptake of subscriptions in different regions. The growth is expected to be particularly strong in the Middle East and Africa due to a young and growing population and rising GDP.
  • 5. © Ericsson AB 2016 | March 2016 | Page 5 Extend Mobile broadband coverage Mobile Broadband FOR EVERYONE Operator strategy Improve Add TCO Revenue Operator challenge Today’s coverage Commercial opportunity ImproveAdd Mobile World Congress 2016 | Commercial in confidence | March 2016 | Page 5
  • 6. © Ericsson AB 2016 | March 2016 | Page 6 Today’s coverage WCDMA covers about 65% of the world’s population today, while LTE covers about 40%, a very high number, but there is still some way to before we reach GSM >90% population coverage. Operator Strategy Operator has the choice to improve Mobile Broadband (MBB) in areas which already are covered with MBB, or to add MBB coverage on GSM only sites. Operator challenges There are areas with low subscriber density, where it might be difficult to balance the revenues with the Total Cost of Ownership (TCO). Commercial opportunity There is a opportunity to capture more data by improving the MBB network as well as monetize on new MBB subscribers in areas with no MBB coverage. Extend Mobile broadband coverage Many GSM-only sites need MBB coverage Today, there are hundreds of thousands of legacy GSM sites where it is expensive and cumbersome to introduce Mobile Broadband since the site needs to undergo drastic remodeling or expansion. We want to change that with a new unique solution (Intelligent Antenna Sharing) that allows keeping the GSM site and reusing the GSM site equipment to the fullest extent. The re-use of existing GSM and new WCDMA equipment allows a TCO saving potential of more than 60% compared to a new conventional 3G site. 3 Ericsson Radio solutions The Intelligent Antenna Sharing solution completes our already existing offer with the Psi Coverage, and multi standard mixed mode (MSMM), which are just a flavor of Ericsson’s offering. Together, these form a crisp and concrete offering for Mobile Broadband Expansion, with lowest Total Cost of Ownership (which we will have a look at later).
  • 7. © Ericsson AB 2016 | March 2016 | Page 7 Challenges when building mobile broadband coverage Operations Low sub density Transform challenges into opportunities Installation Site rental Power
  • 8. © Ericsson AB 2016 | March 2016 | Page 8 Innovations that fuels today Mobile broadband for everyone Build with precision Zero Touch WCDMA Intelligent Antenna Sharing Psi Coverage Multi Standard Mixed Mode >40% TCO SAVINGS >40% ENERGY SAVINGS 3X EFFICIENCY FASTEST ROI 65% TCO SAVINGS
  • 9. © Ericsson AB 2016 | March 2016 | Page 9 Intelligent Antenna Sharing Psi Coverage Multi Standard Mixed Mode −34% TCO −43% TCO X X X X X X X X X X A. B. C. TTMF RRUS Baseband A. B. C. TTMF-IAS RRUS Baseband C. Baseband X X X X X X X X X X C LOWEST TCO Solutions Bringing mobile broadband to everyone A B C −65% TCO C A B
  • 10. © Ericsson AB 2016 | March 2016 | Page 10 World’s Most affordable 21 Mbps Robi, Bangladesh Being the third largest operator in Bangladesh with above 20% market share, Robi needed to find a solution for a fast rollout of a new technology (3G) who previously only had GSM. By deploying the innovative solution Psi Coverage from Ericsson, Robi was provided a fast Mobile Broadband network rollout with lowest TCO including best in class power consumption with good network performance. Psi Coverage solution helps to build mobile broadband in bigger coverage areas with lower CAPEX and OPEX. Hence, it helps to include bigger population under affordable broadband.” Supun Weerasinghe, CEO Robi Axiata Ltd.
  • 11. © Ericsson AB 2016 | March 2016 | Page 11 World’s Most affordable 21 Mbps Robi, Bangladesh › With limited assets Robi wanted to provide a cost efficient Mobile Broadband network rollout with a fast pace. › Faced with limited and expensive power supply THE CHALLENGE › Energy savings › Fast growing traffic and revenues due to large coverage footprint THE RESULT › Successfully deployed Psi Coverage nationwide, initially 1000 sites in a few months followed by additional 800 sites THE SOLUTION REDUCE NETWORK TCO OPEX SAVINGS & FASTEST TIME TO MARKET PSI COVERAGE
  • 12. © Ericsson AB 2016 | March 2016 | Page 12 Ericsson Radio Leadership Elastic RAN Unique hyperscaled Cloud RAN Energy Performance Providing most efficient app coverage Internet of Things Driving the global cellular IoT ecosystem and standards 5G Leadership Guiding the networked society into the future Indoor Small Cells Fastest track to indoor business Ericsson Lean Carrier Unique 5G concept today MINI-LINK Market leading capacity in all bands Ericsson Radio System Next generation system – shipping today
  • 13. © Ericsson AB 2016 | March 2016 | Page 13 New business models The next step in connecting the unconnected
  • 14. © Ericsson AB 2016 | March 2016 | Page 14 Technical Data 3G/LTE Configuration WCDMA 2100 One carrier (5MHz) HSDPA 16 QAM 15 High Speed Codes Peak rate: 14.4 Mbps in DL Voice and Data Capacity 1 km radius 1.2 Mbps UL cell capacity 11.5 Mbps DL cell throughput 2,640 subscribers 2 km radius 1.2 Mbps UL cell capacity 10 Mbps DL cell throughput 2,640 subscribers 4 km radius 1.2 Mbps UL cell capacity 3 Mbps DL cell throughput LTE 2100 LTE FDD 5 MHz with 64 QAM & 2x2 MIMO Peak rate: 36.7 Mbps in DL RNC Evo controller 8200 50 nodeB 0.3 Mbps / nodeB during BH Iub throughput: 28 Mbps Base Station Pico RBS: 1 Watt Tower height: 10 meter Omni antenna: 11 dBi Frequency bands: 1900/2100 Coverage Rural Radius: 4 km Area: 50 km² Power Solution Power consumption: 120 Watt Solar panels: 4.5 m² Battery backup: 4 days Battery: 24 Volt (12 x 2 Volt) WiFi › MRC, a solution to connect the unconnected › It provides mobile communications in non covered rural area using 2G, 3G and/or LTE network › Satellite transmission in most cases for fast implementation and rollout › Solar powered › Completely managed by Ericsson as a service Managed rural coverage (MRC)
  • 15. © Ericsson AB 2016 | March 2016 | Page 15 Value proposition Mobile services in rural areas Immediate revenue growth Fast access to rural areas First mover advantage Minimized volume commitments Reduced commercial risk Coverage as a service Capex avoidance Enabler for GDP growth Good citizen Solar panels Environmental sustainability
  • 16. © Ericsson AB 2016 | March 2016 | Page 16 Cross-industry cooperation and new business models › Managed Rural Coverage for communications for all › Mobile Payment for financial inclusion › TV for Good for education, health and infotainment › Safe drinking water › Women entrepreneurs empowerment Cross-industry partnership between The Coca-Cola Company EKOCENTER initiative and Ericsson to provide: