HetNet/Small cells executive presentation

1 © 2018 Nokia
Simultaneous densification required to bring
needed capacity
• Growing subscriber 5G is all about enabling revolutionary use cases
performance expectations
• Worsening indoor coverage
Small cells already play a key role in these spaces
(environmental regulation)
• Capacity requirements not fulfilled
by macro upgrades Events and Automotive
tourism

Homes and People & Industry 4.0

Densification for both indoor buildings Things
and outdoor
Health Mega
ongoing now, scaling cities
up towards and with 5G

2 © 2018 Nokia Confidential

Today’s challenges
Urgent need of network densification

Demanding Network capacity Performance issues Indoor network

applications coverage

Limitations on macro High cost of new sites Increasing network Subscriber churn
site availability and complexity
enhancements

3 © 2018 Nokia Confidential

Small cells are seen as key enablers of tomorrow’s mobile networks

Easier site acquisition and Densification brings massive

cheaper to deploy lead to capacity and high spectral
lowest cost per bit coverage efficiency for significantly
and capacity addition improved subscriber

1 performance
2
Fast deployments mean Enables network and business
operator can rapidly adapt to innovation reaching into new
change and customer user revenues streams
pattern

3 4
4 © 2018 Nokia Confidential *The Dell’Oro Group, Informa Telecoms & Media
Award-winning small cell solutions to serve all use cases

Indoor Outdoor
Home Enterprise Public hot zone White spot Wide area, rural

DAS Low Power Radio Heads

Femtocell Flexi Zone Small Cells BTS (Pico / Micros) Flexi Zone Mini-Macro BTS

Wi-Fi

Multi-Access Edge Computing

MulteFire Small Cells

Coverage focus Coverage and capacity Launching now

5 © 2018 Nokia Confidential

Our comprehensive portfolio provides coverage and capacity densification

Outdoor-in Touristic locations

Small shops Hotels Railway stations
Parks, outdoor
Protected buildings
venues

SOHO, small enterprises Deep rural villages Convention

Airports Shopping malls Shops, restaurants centers

Medium and large

Homes enterprises Hospitals,
Factories, industries Urban hot spots
public buildings Stadium
Apartments

Flexi Zone Flexi Zone Flexi Zone Mini AirScale Micro Smart Wi-Fi SOHO Residential DAS Please note: alternative solutions
Micro Indoor Pico Macro RRH Femtocell Femtocell

6 © 2018 Nokia Confidential

263 small cell customers globally (Mobile Network Operators + Verticals)
Wins by region
Europe

90 China

52
North America

21 India

4
Middle East/Africa

Latin America
20 Asia Pacific

35 41
Total small cell wins Small cell solutions references
Commercial Selection – Public wins Commercial customer wins 263 Commercial customer wins 286 Services for HetNets customers 104
Commercial wins* 652 Commercial wins** 901 IBS References >4000 sites

7 © 2018 Nokia Public *counted by individual product wins **counted by individual product and service wins
Small cell deployment in numbers
Real life use cases
SOHO connectivity Enterprise & Public indoor Urban densification Events & Venues
China Sprint New York Zain
Mobile Saudi
NAM major Arabia
Beijing cities
Airport small cell Hajj
densification pilgrimage
T3
2016

Setup Success Voice Call Drop Data traffic Traffic/Hour/S New York Manhattan deployment Small Cell deployment
Rate Rate increase mall cell example
78x Micro BTS
> 99.5% < 0.5% +61% 16GB 192x Micro BTS >99.9% KPI
3G User Rate 3G User Rate LTE DL average datarate @ Sprint now boasts best subs Subscribers Active user per
DL UL peak hours datarate in NAM TOP 30 cities small cells

11 Mbps 4 Mbps >60 Mbps Manhattan >60Mbps 1.8 Millions 1100

CS Handover Success Rate Additional revenue per small cell Stunning outdoor-in perf boost MEC value added applications
(Global Roaming) Staten Island Ferry terminal People finder app
> 99.9% +€738/hour > 1000% boost Live HD video orchestration

8 © 2018 Nokia Confidential

Nokia positioned as
“The vendor of choice for small cell connectivity” Top analyst firms see Nokia as
the leading provider of small
1 2 cells.

• Most comprehensive portfolio

among all small cell vendors
• Highest maximum power level of any
manufacturer
• Innovative, future-proof, well-
rounded solutions
3 4
• Deployment is eased by service
offerings
• One of the leaders in MulteFire
development
• R&D activity is strong

1) Global Data Small Cell report Q2 2018

2) IHS operator survey Q3 2017
3) Gartner’s Small Cell Equipment Magic Quadrant Q3 2017
9 © Nokia 2018 Confidential 4) ABI Research Small Cells Vendor Assessment Q4 2016
Portfolio overview

Femtocell solutions Flexi Zone Small Cells AirScale low power AirScale Wi-Fi

Femtocell Micro & Indoor Pico FZ Controller Micro RRH Indoor & Outdoor AP
Self install residential Compact, macro parity Reduces mass SC Optimum macro & micro Smart Wi-Fi & AirScale
and SOHO multi-band & capacity and >1Gbps deployment complexity cell mix with high & low Wi-Fi, E2E 3GPP
femtocells and improve SC layer power RRH’s integrated solution
performance

Small cell wireless backhaul Services for HetNets

3GPP compliant end to end solution with strong
security partner ecosystem and best in class and
single-point of contact for integration
Best analysis, capacity forecast & expansion plan with more than 1 million pre-
qualified site and fast deployment via automation
Complete range of macro, DAS, Wi-Fi, small cell & backhaul
solutions with unique 3-D geolocation

10 © 2018 Nokia Confidential

Nokia Femtocells
Coverage and capacity solution for residential and SOHO customers

Femtocells are perfect for optimizing both End to end solution

coverage and capacity, providing a cost
effective and self-deployable way to get Femtocell Security layer Femtocell
mobile signals in-building. access point Gateway and
OAM layer
a Flexible
1 2 3
b Scalable Portfolio
c Extra capacity Residential Femtocells SOHO Femtocells

3G Multi-band Multi-band

11 © Nokia 2018 Confidential * ABI Research, “In-building Wireless”

Nokia award winning Flexi Zone solution
Addresses all HetNet challenges for lowest TCO & best performance
Macro parity & capacity Small cells “Nokia’s Flexi Zone is
definitely the most ambitious
Most innovative small cell architecture with Flexi Zone Controller HetNet proposal”
Stand Alone Micro/Pico Aggregation and Performance and
coordination scaling
Small deployments & Hot
Spots
S/w upgrade to Zone

Low impact, Enhanced

simplified O&M Edge services
30-50% TCO reduction and
Up to very large deployments and Hot Zones
highest performance with Flexi Zone Controller

From small to very large Multi-carrier  1Gpbs new Wi-Fi 802.11ac & LAA/LWA
indoor & outdoor, coverage generation FZ Multiband Unlicensed spectrum
& capacity use cases BTS support

12 © Nokia 2018 Confidential

Nokia AirScale Micro Remote Radio Head
Seamless HetNet Coordination at all levels for network densification

Optimum macro & micro cell mix btw. high & low
Macro domain
power RRH’s & RAS with common baseband unit

Seamless HetNet Coordination

Manage cell Reduced OPEX Optimized cell
costs with right with common size with right
size radio for management power level per
right purpose location/use
case

Seamless HetNet micro-macro coordination as one

single system

AirScale Macro/micro Full support of

baseband HW & feature parity 4,5G/4,5G Pro:
SW driving all across all RRH’s Multi-CCA, CoMP
radios

Micro domain
13 © Nokia 2018 Confidential
MulteFire and LTE CBRS (Citizen Broadband Radio Service)
Opening up LTE to private networks with Nokia Small Cells
CBRS (US only) MulteFire (Global)
Innovative shared spectrum model opens up the “rarely LTE operating in unlicensed bands (e.g. Wi-Fi 5.x GHz) enables
used” 3.5 GHz spectrum to Communication Service Providers Private LTE networks operation in license free global spectrum.
CSP and New commercial users.

Nokia’s End to End CBRS and MulteFire solutions are both based on the Nokia’s award winning Flexi Zone small cells, EPC
and Global Services that delivers high capacity, large coverage, and enhanced user experience at reduced TCO.

Nokia CBRS Small Cell Radio Options Nokia launches 1st MulteFire Small Cell Solution

• Best performance vs. size

• High capacity
• Supports both Indoor & Outdoor
deployments
• Carrier-grade software quality (3GPP based)
Flexi Zone Multi- Flexi Zone Microe AirScale Micro Flexi Zone Mini Macro • Proven plug & play for light touch install Flexi Zone MulteFire
band Indoor Pico Multi-band Outdoor RRH (band spin under
• Flexible backhaul, power and sync solutions Multi-band Pico BTS
study)

14 © Nokia 2018 Confidential

Nokia Smart Wi-Fi
Transforming Wi-Fi into 4th HetNet RAT

Connect Converge Personalize Optimize

Wi-Fi radio access network 3GPP core integration Subscriber level Traffic Steering
Analysis, planning and Device provisioning insight and management Operation & Management
deployment

Wi-Fi Controller Indoor Wi-Fi Outdoor Wi-Fi Wi-Fi Module

• AirFrame platform for
scalability and flexibility
• Supports access point
plug & play via
autoconfiguration
Indoor 2 x 2 802.11ac Wave 1
Entry Level Indoor
Indoor 4 x 4 802.11ac Wave 2
High Performance
Outdoor 4x4 802.11ac Wave 2 Module 2 x 2 802.11ac
High Performance Integrated for
Flexi Zone small cells

• Centralized
management

15 © Nokia 2018 Confidential

Wavence Small Cell Backhaul
Scenarios
CAPACITY INCREASE COVERAGE IMPROVEMENT COVERAGE AND CAPACITY

Scenario Urban Urban Rural, enterprise

Application Hotspots, Improve QOE Indoor coverage, interference Not-spots, disaster recovery

Connectivity Street-to-street, Street-to-macro Street-to-street, Street-to-macro Sector coverage + remotization

Topology P2P/P2MP, LOS/NLOS P2P/P2MP, LOS more likely P2MP, LOS/NLOS

Allocation Licensed/unlicensed spectrum Licensed spectrum more likely Unlicensed spectrum

16 © 2018 Nokia Confidential

Services for HetNets
Delivering the best performing heterogeneous networks

Deepest analysis
Wi-Fi DAS Pico Femto Macro Micro
Social Media Hotspots 3-D Geo

LTE Wi-Fi WCDMA GSM Devices Apps Signaling

footprint

1. Consult 2. Plan 3. Deploy 4. Manage

Geo-Data as a Service SCORE methodology Site Certification Program Pop-up Network Lowest TCO
Spectrum usage Capacity and coverage Global Service Delivery Multi-Layer optimization 20% lower TCO with Nokia small
expansion (macro) cell planning
UE/ App profiling Evolved delivery model Predictive Optimization
Evolved small cells delivery model
Small Cells Radio &
Capacity forecasting Backhaul planning

Best performance
From #4 to #1 with Multi-layer
Optimization service
13% reduction in dropped
calls with award winning 3-D
Geolocation

17 © 2018 Nokia Confidential

Multi-access Edge Computing (MEC)
A key technology and architectural concept for enabling the transformation to 5G

Founding members An open and Hosts third-party Compliance with

standardized IT applications that regulatory and legal
service can serve the vast requirements
environment within majority of the
the operator's population
networks

Specified by the Exposes real-time Enables a new Stimulates

ETSI MEC Industry radio network and value-chain, fresh innovation
Specification Group context information business segments
(ISG)

18 © 2018 Nokia Confidential

Nokia‘s approach to Multi-access Edge Computing is the broadest in the industry

Co-founder and key driver of ETSI ISG MEC

Standardized Collaboration with other Edge Computing related initiatives (e.g. OFC, OEC)
Active supporter of MEC activities in GSMA, NGMN, 3GPP, ITU, 5GAA, TIP, etc.

Multi-Access: LTE, Wi-Fi, CBRS, MulteFire, 5G

Radio-agnostic One platform for Cloud RAN, macro base stations, small cells, access points
Multi-vendor RAN supported

Open APIs for application providers and developers

Collaborative Collaboration with key vertical organizations (e.g. 5GAA, VR/AR Association)
Hackathons with developers, PoC with key industry players

Aligned with overall cloud transformation (cloud-native, microservices, automation)

Aligned Aligned with RAN evolution to cloud; natural element of 5G networks
Aligned with evolution to multi-connectivity

19 © Nokia 2018
Summary

Network Our comprehensive

Nokia helps
Small cells are seen densification is range of products
operators to meet
as main enablers of required for and services
the insatiable data
new generation bringing needed provide coverage
demand and
mobile networks capacity both and capacity, “now”
expand into new
and IoT indoor and and in the wake of
revenue streams
outdoor 5G

20 © 2018 Nokia Confidential