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HTS Technology &

Satellite Backhaul
for 4G LTE

1
XipLink Corporate Overview || October, 2014
Introduction ::

Bruce Bednarski
SVP, Business Development
San Diego, CA, USA
(m) +1 703 346 5250
bbednarski@xiplink.com

STS Global 2016 TechDay || Page 2


Cellular Subscribers :: Key Figures

Total subscriptions EOQ1 2016 is ~ 7.4 billion, + 63 million new subscriptions


STS Global 2016 TechDay || Page 3 SOURCE: ERICSSON MOBILITY REPORT
JUNE 2016
Subscribers by Technology :: Key Figures

LTE subscriptions continue to grow strongly, with 150 million new subscriptions.
The total number of LTE subscriptions is now around 1.2 billion.
In 2019, LTE will be the dominant technology.
WCDMA/HSPA added around 30 million during the quarter.
The majority of 3G/4G subscriptions have access to GSM/EDGE as a fallback. GSM/EDGE-only
subscriptions declined by 70 million during Q1 2016.

STS Global 2016 TechDay || Page 4 SOURCE: ERICSSON MOBILITY REPORT


JUNE 2016
By Region & Technology :: Key Figures

By 2021, over 90% of the world ́s population will be covered by mobile


broadband networks.

STS Global 2016 TechDay || Page 5 SOURCE: ERICSSON MOBILITY REPORT


JUNE 2016
Global CBH Units :: 2G, 3G, 4G

~ 1% of global base stations are backhauled over satellite


~ 10% of global population lives outside of any mobile coverage, e.g., 14% of Indonesia
remains isolated.

STS Global 2016 TechDay || Page 6 SOURCE: NSR Breakfast Briefing - DC


2015
CBH Over Satellite :: Evolution

4. IP Oriented Base Stations


-Packet efficiencies in RBS
- Suppress silence, multiplex signaling
- Local call switching
- Elimination of mediation devices

3. TDMA VSAT
- Groom across all sites to accommodate traffic and busy hours
5. Wireless Link Optimization
- Considerable bandwidth reduction over legacy - Complement BTS inefficiencies
- Overcome modem performance issues
- Pure IP data orientation
- Scalable acceleration and traffic optimization

2. PROTOCOL CONVERSION
- Mediation devices TDMA to IP (packet efficiencies)
- Suppress silence , multiplex signaling
- Up to 50% traffic reduction over legacy

Satellite Bandwidth (Increasing efficiency “goodput”)

1. LEGACY
- SCPC satellite modems
- Channelized TELCO interfaces
- Each link built to support busy hour

STS Global 2016 TechDay || Page 7


HTS For LTE:: Change Agent or Status Quo?

STS Global 2016 TechDay || Page 8 SOURCE: VIASAT ANNUAL REPORT


2008
MNO :: Facilities Provisioning Rule-Set
Typical Provisioning Rule-Set:
1. Fiber facilities;
2. Terrestrial copper;
3. Microwave;
4. Satellite (last resort)

Example:
- 10 Mile 45 Mbps DS-3 (FCC1 Tariff)
- Assumes MNO has entrance facility
- $3,238.30 per month…dedicated!
- Effective rate of $71.96 per Mbps

Satellite remains the bearer facility of last


resort!

To GROW: SNO’s require bold pricing


leadership to assist MNO’s to (1) “edge-out”
their networks to service the final 10% of the
unserved population, (2) to “edge-up” the
provisioning rule-set as a more attractive
transmission facility.

STS Global 2016 TechDay || Page 9


Global Mobile Data Traffic :: 2015 to 2020

STS Global 2016 TechDay || Page 10 SOURCE: Cisco VNI Mobile


2016
Data Growth :: The MNO’s Conundrum

Remote Capacity: < 1 Mbps – 2 Mbps 6 Mbps – 8 Mbps 40 Mbps


Equipped Capacity: 100 Mbps
Capacity Multipliers: 4+ 20+ / 5+

STS Global 2016 TechDay || Page 11 SOURCE: Cisco VNI Mobile


2016
Improving The Business Case :: CBH
Wireless Link Optimization (Layers 3, 4, & 5):
• Scalable Acceleration to 100’s Mbps
• Header and Payload Compression
• HTTP Lossy and Lossless Compression
• Byte and Web Object Cache
• Class Based QoS and Prioritization
• Internet “Time to Content” Improvement for QoE
• GTP Transparency
• PPS Reduction and Link Bonding & Balancing

Modem Technology Providers (Layers 2 &3):


• RF Efficiency Features:
• Advanced Modulations
• Improved FEC’s
• Adaptive Code Modulations
• Carrier-in-Carrier
• Smaller Roll-Off Factors

Satellite Network Operators (Layers 1):


• Capacity Providers (LEO, MEO, GEO)
• 12 Tbps of HTS Capacity Planned 2025, 3Tbps will be GEO HTS*
• Drive the Cost Down (Look Outside The Industry)

STS Global 2016 TechDay || Page 12 SOURCE: NSR's Global Satellite


Capacity Supply and Demand, 13th Edition
4G Over HTS :: Questions/Challenges?
4G/LTE is a challenge to support over satellite (latency, signaling)?
Mobile Network Operators are under pressure to lower the operating costs associated with building out
their network. Satellite as a transmission backhaul option is typically a more expensive option.
Mobile Network Operators are looking for relief and options to effectively manage the growth
and burden of data traffic (falling prices associated with smartphones increase data consumption
driven by video content). Data usurps the vast majority of the capacity, but does NOT equally
contribute to the revenue versus voice.
Current generation of modems lack performance to support 4G overt HTS?
Mobile Network Operators believe that the quality of experience (QoE) for all mobile traffic
classes being transported over satellite are inferior to other transmission options.
New internet protocols associated with 4G/LTE are challenged over satellite (1) GTP tunneling for
the S1 interface, (2) IPV6 has arrived
Support of multi-service networks (2G, 3G, 4G and WISP models) and support of multi-protocol
network (co-mingle IPV4 and 6).
Will Ku versus Ka spot beams and rain fade issues render HTS inadequate in this vertical?
How much HTS will actually be available for CBH and will that be adequate to drive down cost or
even support organic growth (1) consumer versus carrier grade solutions (2) advertised capacity
versus truly available capacity (interference) (3) closed versus open systems.

STS Global 2016 TechDay || Page 13


Thank You!

STS Global 2016 TechDay || Page 14