Study on NGN

Service Development
By Liao Yueming / Wang Song

H
ere we report on the busi- the whole industry has tried to explore
and so on, and controlling H323,
ness status quo of NGN a path for the converged network; NGN
H.248 intelligent terminals and others.
and take a close look uses soft-switch as its core, runs over
TWO: Capable of demonstrating
at service provision capabilities, service IP, separates control, bearer and
some multimedia services based on SIP
features, value chain, service deployment services, as well as adopts open and
protocol.
success factors and service development standard architecture. Offering abundant
THREE: Multi-services application
strategy of NGN. applications of voice, video and data,
solution supporting 3rd party service
NGN has become the trend of network
developing platform is already
The NGN status quo development and evolution.
available. But operators and vendors
Twisted pair cable based PSTN network need to explore together the feasibility
provides low-speed access, voice NGN advances greatly with the efforts and service categories provided by the
service and small amount of low-speed of operators and network equipment solution.
video services, and is incapable of providers.
For now, NGN is still premature in the
meeting customer's bandwidth needs. ONE: NGN trial over toll tandem
following fields: 1) Interoperability
Little profitable services except access (Class4) and local access (Class5) is ca-
issue aroused by lacking unified proto-
and email services are available in the pable of providing basic voice and
cols and standards; 2) How to build
Data network. Although the growth supplementary services which are usu-
speed of data services volume exceeds a l l y p ro v i d e d b y P S T N s w i t c h , large-size network and how to solve

that of voice services, the dominate providing diverse access methods terminals lack issue; 3) Network
revenue source is still voice. Therefore, including POTS, BRI, V5.2, ADSL, LAN security and QoS issue; especially 4)

HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 67

How to Operate

Lacking mature and desirable services remote intelligent network roaming. answer notification.

which bring obvious economic attrac-

tions to the operators. These issues will Services integrated with voice and Multimedia services

directly affect NGN commercial appli- Internet This includes point-to-point multimedia
It includes ICW, CTD, CTF, WEB800, communication, prepaid, multimedia
cation and services fulfillment.
UM, IM, One Number, Phone To IM,
hybrid conference, multimedia value-
Presence, Personal Communication
Services and capabilities added service, multimedia phone
Assistant, IP Call Center, Directory
currently provided by NGN calling to 3G cell phone, multimedia
Services, and Unified Communication.
Adopting a separated structure of 800.
UM implements message store-and-
control, bearer and services, NGN ar-
forward and unified control. On
chitecture strongly supports application the basis of UM, UC combines 3rd party services
services which could be classified into message communication with NGN network provides open API
voice service, service integrated with real-time communication to improve interface for 3rd party or person
voice and internet, and multimedia ser- subscribers' real-time control capability
to develop personalized services:
vice in the view of bearer media. NGN over communication methods. UC
1) Enterprise workflow, such as enterprise
also improves service capability with
can commendably support 3rd party work email, notifications of service
added services such as voice dial,
services in the view of service provision- processes; 2) Enterprise / person
virtual communication assistant, unified
ing methods. schedule; 3) Personalized My service.
number, call control (caller ID display,
FindMe / Follow Me, calling management),
and conference call. At the same time,
Basic voice services UC provides PIM function, so as to NGN service features
1) PSTN and ISDN services: PSTN basic combine information notification with The NGN service category
voice service and standard supplementary real-time communication function to In the service field of P2P (Person-to-
service, ISDN and standard supplementary provide functions such as calling no
Person) communication, NGN expands
service, CENTREX, call waiting, CLIP,

number portable service, etc.

2) Interactive conference call: applied

in business, as well as entertainment,

chatting, etc.

3) Intelligent Service: 800 reverse

charging, 200/300 prepaid card, voice

VPN, mass calling, UPT, fix-line prepaid,

AD service, voice ICQ, etc.

4) NGN toll penetration service:

remotely configuring NGN TG with

leased local trunk and data network as

the full network condition to provide

toll penetration service which includes Figure1 NGN ARPU Composition

toll call access at remote point and
Source: Huawei Marketing

68 HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16

PSTN-provided pure voice services to specific industries (such as media, be: operating convenience; tariff plan;

multimedia services including voice, airline, railway, logistics, and insurance). operation model; marketing strategy;
promotion, etc.
video and data to better meet people's It is difficult for operators to provide
sensory needs. P2M services - they must partner with
All these factors will directly influence
ISPs to provide services and share rev-
the successful deployment of the
In addition to P2P services, NGN also enue with ISPs.
service. At the same time, starting from
provides abundant P2M (Person-to-
PSTN voice service, to currently widely
Machine) information services. Compared The structure of P2M service value deployed broadband multimedia
with P2P services, the revenue brought chain is illustrated in Figure2. services, the evolution of telecom ser-
by each P2M service is not much. But
vice follows people's sensory
with numerous P2P services, the total
In the NGN service value chain, requirements, i.e., voice –> video–>
revenue will be significant.
operators, ISPs and NEPs become more virtual reality (sensory track). Therefore,
and more aware of the importance of NGN aims to provide subscribers with
Although voice revenue remains to terminals. Currently, the scarcity of ter- acceptable and integrated Multimedia
be operators' maximal revenue source minals has become a bottleneck of services.
for quite a long time_it will keep NGN service implementation. Without

decreasing with the downturn of price. terminal, no service could be carried As for alternative services, the ease of
out. Terminals are part of services and use needs to be carefully planned to
Therefore operators need to develop
need be developed a little ahead of ensure the consistency of subscribers'
more new services to offset the loss.
service development. habits. Furthermore, carefully designed
tariff is also necessary to reduce the
The NGN service value chain
NGN new service success switching cost of subscribers.
P2M services needs be supported factors
by diverse applications and abundant In most cases, the success of a telecom The evolution of telecom service follows
content and closely related with service is affected by something other people's sensory requirements
than the service itself, those factors may

Figure2 Structure of P2M Service Value Chain

HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 69

How to Operate

For innovative service, which is mainly effective service management and fee NGN can provide many methods to
affected by typical consumer groups, settlement among multitudinous ISPs access IN services, 3rd party services and
therefore, it is necessary to choose is critical for operators. Therefore, operator's own core services.
typical consumers group carefully so as an efficient OSS system, partnership
to expand the consumption influence management mechanism and service Method 1: Services provided by soft-
to mass consumers. For example, Nike, interface are necessary to ensure switch itself, including traditional PSTN/
with the help of a group of poor submitting, approval, loading, charging ISDN primary service, supplementary
Negro kids in Manhattan, expands & settlement of services, CRM and service and IP Centrex.
their consumption market to all service lifecycle management.
American teenagers. As for I-mode, Operators also need to provide SDK Method 2: Value added services
Docomo promotes services among for partners to reduce the service provided by application servers with the
Japan young middle school girls to development cost and enhance the assistant of soft-switch, such as ONLY,
prosper its mobile data services. total value chain competency. UM, IV.

It becomes very difficult to find a single NGN new service Method 3: Services provided through
killer application to raise single user's development strategy parlay/OSA application interface to 3rd
consumption. NGN service provision methods party, such as WEB800.
In NGN architecture, the service layer
It is also critical to package services to is an open and integrated service Method 4: Value added services
create new demand. PSTN voice service accessing platform, which provides provided with the help of other
which has helped the emergence of substantial value added services, content and services providers, such as
telecom service evolved into killer Multimedia service, 3rd party service interactive TV, live stock comments,
application of NG network essentially and corresponding NMS service. The SVOD.
because it meets the most elementary service layer is comprised of SCP, AAA
communication expectation of most server, application server, and policy Method 5: Services provided by
consumers. With the improvement server. IN services can be deployed in traditional IN equipment, such as 800,
of people's physical life, new expectations the service layer. 200,VOT, MAS.
for amusement and commercial
application emerge and requirements
for these communication services won't
be as indispensable as voice service.
It becomes very difficult to find a single
killer application to raise single user's
consumption. Therefore, to greatly
increase income, operators have to
stimulate consumption and increase
ARPU by market segmentation, service
packages for specific segments and
proper promotion strategies (such as
tariff packages, rewarded points).
Figure3 NGN Service Provision Methods
To successfully operate diverse services,

70 HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16

NGN new services development
model
The following steps primarily describe
NGN new service development process.
To successfully deploy a new NGN
service, firstly we need to segment and
target customers (figure 2); after that,
behavior analysis of customers (include
enterprise customers) need be performed;
then, potential services can be identi-
fied based on selected customer groups
and related requirements; Next, for
Step 1: Choose target customers
those identified potential services, analy-
sis of market volume, trend and lifecycle
can be performed, and evaluation of all
these potential services according to
consumers purchase willing and pay
willing (figure 4); finally, among all those
evaluated services, services with large
market volume and high price can
choose so as to immensely increase op-
erators' ARPU.
Step 1: Choose target customers.

Step 2: Choose services according to cus- Step 2: Choose services according to customer activities within
tomer activities within one day's difference one day's difference period.
period.

Step 3: Choose the most profitable ser-

vice among the listed potential services to

identify service development priority.

Operator's NGN service provision strategy

Use high-value-added services to attract

business high end customers;

Use open telecom service to attract enter-

prise customers who value IT application.
Step 3: Choose the most profitable service among the listed potential

NGN toll penetration service will become services to identify service development priority.

operators' method of seizing voice

revenue.

HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 71

How to Operate

Brunei’s JTB Deploys

U-SYS and Leads the Way in
Consolidating PSTN with NGN

B
runei, a beautiful land Furthermore, the traditional network network with the Huawei’s U-SYS. JTB
lying in the middle of services were losing their appeal to found the U-SYS NGN solution best
the West Pacific with a subscribers. JBT was being outshone by satisfied its requirements for simplified
population of 350,000, is rich in its mobile counterparts, in terms of structure, reduced operating costs,
natural resources and boasts a variety and quality of telecom services. introduction of value-added services,
developed petroleum industry. In improved competitive edge, and
recent years, mobile services have Faced with this position, JTB decided higher efficiency of service handling,
boomed in the country and snatched to retain and enhance its appeal to its provisioning, and management.
away revenues from fixed services. subscribers by building an all-new Next U-SYS also has powerful functions and
Generation Network (NGN) platform is highly adaptable. In addition, with a
Statistics reveal that the years 2002 and through technical innovation and total service solution encompassing
2003 saw JTB (Jabatan Telekom Brunei) network consolidation to offer competitive network survey, planning, design,
suffering a loss of 20,000 subscribers new services. device supply, installation, training, and
and a fall in ARPU. In addition, JTB follow-up support, Huawei provided
was under increasing pressure both After careful communication and JTB with strong support in all areas:
financially and in its service because selection, in March 2003, JTB finally product, technology, and service.
most devices had been in place for 10 awarded a contract to Huawei to
to 18 years. These devices were apt to consolidate 120,000 voice lines and 20, JTB’s nationwide network consolidation
failure and had high maintenance costs. 000 broadband lines in its national covered the PSTN, broadband access

72 HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16

network, packet bearer network, and
network management. The structure of
the PSTN was considerably simplified
when over 50 PSTN Class 5 exchanges
and remote modules were supplanted
with softswitches and Universal Media
Gateways (UMG) and the number of
sites was reduced to 13. In its broad-
band access network, JTB employed the
DSLAM broadband access device to
provide its subscribers with broadband
access services. JTB also launched video
services and a variety of value-added
multimedia services by deploying soft
terminals and multimedia phone-set
and exploiting the powerful multime- It’s very important to migrate smoothly network. The construction and opera-
dia capabilities of U-SYS. in network consolidation to avoid im- tion of JTB’s NGN won praise and ad-
pact on ongoing services. Taking into miration from operators around the
For the packet bearer network, Huawei account the network conditions and globe at the forum of the NGN Sum-
routers and BASs help JTB construct the JTB’s requirements, Huawei provided a mit held in Brunei in April 2005.
core MPLS core bearer network. specially designed data processing tool
to convert the subscriber data on the The introduction of this new platform
In addition, JTB deployed an integrated existing switches to subscriber data on and new technologies has set the de-
network management system from softswitches. Export and storage of velopment of telecommunications ser-
Huawei to manage all devices across subscriber data by computers ensures vices in Brunei back in the fast lane.
the network in a unified manner, which data consistency while reducing the Huawei will further its strategic part-
has resulted in improved operations workload of manual operation. nership with JTB in building an inte-
efficiency. grated wired and wireless communica-
Huawei’s engineers recognized every tion network.
The joint efforts of JTB and Huawei in risk of the cutover and worked out a
optimizing JTB’s network with NGN reasonable cutover plan and a risk miti- Besides Brunei, U-SYS has been de-
have been crowned with success gation plan. A rehearsal was also ployed in building over 100 commer-
performed. All these efforts contributed cial NGNs in other countries in Asia,
to the immediate success of all large- Europe, America, and Australia. With
The joint efforts of scale cutovers. The cutover of 8,000 remarkable and innovative application
JTB and Huawei in lines of the Gadong office took only practices, U-SYS is boosting the mass
15 minutes. commercial deployment of NGNs and
optimizing JTB’s
the application of IT.
network with NGN The joint efforts of JTB and Huawei in
have been crowned optimizing JTB’s network with NGN
have been crowned with success. It’s
with success
the first time that NGN has ever been
employed in consolidating a whole

HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 73

Media Insight

Evolution of the Fixed

Network Service Mode
From a Global perspective
By Peter Falshaw
Peter Falshaw, increasingly severe, the mobile service is bind different services, thus enhancing
a senior analyst of gradually replacing the fixed service, the coherence between ARPU and
the famous Ovum and the packet IP voice service is customers. The wholesale service can
Consultancy, gave a emerging. In this situation, global fixed be provided for the suppliers of
speech on the fixed network operators have to exploit new competitive services, which serves as a
network in Beijing Hotel on Octo- service opportunities. The most promising profit-making alternative sale channel,
ber 26th, 2004. He expounded on fields focus on the broadband service, and can improve the utilization of net-
the sustaining growth of the fixed ICT market, and integrated service work resources. Operators can provide
network telecom market, broad- between fixed communication and broadband, management service,
band and ICT market, integration mobile communication. home network, mobile communication
between communications and ICT, and WiFi to generate new revenue.
and integration of fixed communi- While exploiting new opportunities of It is worth noting that operators must
cation and mobile communication, service growth, operators can adopt the avoid providing irrelevant services for
and forecasted the development customer-service growth matrix for new customers, and avoid providing
tendency of the fixed network. analysis, that is, build a bi-dimensional pure IT services. There is a severe
　　 coordinate by new customers and competition in the market, and telecom
Sustaining the growth existing customers, new services and operators do not possess relevant core
of the fixed network existing services. In the coordinate, the competence. The typical value chain of
most direct opportunity is to carry out the fixed network telecom shows that
Over the past three years, fixed upgrade sale and cross sale to the most of the investment in the fixed
network operators have suffered from existing customers, and the focus is to network focuses on the required
a fall of domestic service revenue,
especially in 2003, as shown in Figure 1. % service growth rate of domestic fixed network
In North America, Europe and Asia, there
are very few fixed network operators
whose revenue goes up. It is the first
concern of global fixed network operators
to exploit new opportunities of revenue
growth.

In the fixed network operates in a ma-

ture market, operators compete fiercely
against one another, the price goes
down continuously, the competition gets
Figure1 Service growth rate of global fixed network operators

74 HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16

 only important to retain existing
customers, but also can ease the
impact of price competition.
The mobile voice service is replacing
the fixed communication service,
which has a great impact on the
market. Besides, cable operators are
also providing such services as broad-
band access, VoIP, and pay TV.

For fixed network operators, the

opportunity for service growth focuses
Figure2 Industry Structure upon ICT
on these fields: Broadband, ICT,
service integration, and fixed-mobile
network equipment while small investment of severe competition, British Telecom integration.
is made in the service platform and has worked out a development strategy,
customer interfaces (including CRM, 21st Century Network, so as to support Broadband provides
service, sale and channel). However, a sustainable network development. hope for future
competitors provide differentiated ser- The essential points of the strategy growth
vices mainly via customer interfaces. covers: Forge a long-term partnership
Fixed network operators should there- with customers, reform the existing Broadband is the main competition
fore change the investment priority, service, carry out price creation, reduce battlefield for traditional operators,
and attach more importance to the ser- the operating cost to consolidate the newly emerging operators and CATV
vice platform and customer interfaces traditional service via competitive companies. Additionally, broadband
than the network equipment. and original marketing strategy, and will bring about both opportunities and
cultivate new service growth points challenges to fixed network operators
In the respect of service delivery, via broadband service, integration of and CATV companies. The competition
fixed network operators should lay fixed communication and mobile between xDSL and Cable Modem is
down a new policy, transfer the communication, integration of telecom resultless for the moment. WiMAX may
technology-driven policy to the cus- and IT, and global solutions. be another promising technology. The
tomer-driven policy, try to provide ap- content is a new opportunity for ser-
propriate services to suit different cus- The trends of the USA telecom market vice growth. The broadband-based
t o m e r g ro u p s v i a a p p ro p r i a t e shows that varied competition structure one-station service, rather than the ac-
technologies, attach much importance and service creation can build a solid cess service, is a new competition focus.
to customer needs, and provide some foundation for fixed network operation In a word, broadband brings lots of op-
original services. The investment return up against severe competition. The portunities to operators.
period for new services is also short- operators of local services and operators
ened to 2 - 3 years. of toll services also begin to compete Integrated and
against each other, thus causing an Original Service
British Telecom, an old-brand fixed net- integration of different services. The

work operator, is one of the main fixed severe competition leads to falling For operators, it is a trend to integrate
network operators to have withstood prices. Therefore, the voice service are the communication technology and
severe impact in the market. In the face bound with other services, which is not information technology, and integrate

HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 75

Media Insight

fixed communication and mobile network, although the total traffic is is estimated to rise form 420 billion
communication. For fixed network growing continuously. Fixed network dollars of 2003 to 700 billion dollars of
operators, the core service is transfer operators are actively copping with the 2008.
and connection, both of which hope challenge. In this situation, Fixed-Mo-
to improve their status in the value chain. bile Confederation (FMC) has come
into being. Several operators includ-
As shown in Figure 2, the information ing British Telecom, Korea Telecom, Bra- To sum up...
communication technology (ICT) will zil Telecom, Cegetel, Swisscom AG,
change the industry structure. Fixed Telstra, Roger and Eurotel, established The development opportunity of fixed
network operators can enter the ICT FMC in 2004. FMC is committed to network will source from the service
market by providing CPE and management work out relevant standards and and network, and integration of fixed
service. In this way, they can improve interconnection and interworking. communication and mobile
their status in the value chain and create communication. The investment core
new opportunities for service growth. of operators will change from network
Meanwhile, fixed network operators infrastructure to the product and ser-
will also face competition from the IT vice delivery platform at the upper level
field. In addition to outsourcing service, of the value chain. Broadband will be
IBM, CapGermini, and EDS extend their the key factor for operators to provide
services to the telecom field. The service “The Marriage of Two Phones” the ICT and content service. In face of
from The Economist,
integration takes place in the operation- these challenges and opportunities, the
September 23,2004
level service, ICT equipment, software, Illustrator: CLAUDIO MUNOZ
key factor of success is to choose cor-
IT service (including outsourcing service). rect partners.
What is the forecast ?
Customers will determine who can lead
the ICT technology and how far Ovum forecasts the service development of
telecom companies can reach in the ICT global fixed networks as follows:
market. Customers need the "optimal
type" solutions. ICT has an irresistible • The voice service revenue fluctuates
attraction to telecom companies, slightly, and is estimated to reach the
especially when the traditional service peak, 500 billion dollars, in 2005.
is confronted with value fall. Notably,
ICT is a global industry while telecom • The broadband service revenue grows
companies are national or regional continuously, and is estimated to rise
bodies. Ovum suggests that telecom from 120 million dollars of 2003 to 425
companies can provide outsourcing million dollars of 2008.
services within a scope.

• The revenue of Managed Data

The mobile voice service is replacing the Service is estimated to rise from 29
fixed communication service, which has billion dollars of 2004 to 37 billion
a great impact on the revenue of fixed dollars of 2008.
network operators. Today, the commu-
nication traffic is gradually transferred • The mobile voice revenue and data
from the fixed network to the mobile service revenue will grow rapidly, and

76 HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16

 NGN deployment
increases around the
globe

Reports generated by the summit show

that NGN deployment has been ex-
panding rapidly. BT schedules to first
deploy softswitches to provide the
business subscriber with wide area IP
Centrex and third party service
interfaces. One goal of its 21st Century
Network is to accomplish migration
from PSTN to NGN in 10–15 years to
enable unified wireline and wireless
access and control of voice, data, and
multimedia using ITU-T 2004 network
architecture.

PCCW has already launched

The race is on to integrated business services using

NGN and trials of NGN replacement
of the PSTN. It will soon roll out value-
deploy the new age added services like unified messaging
using softswitches to promote service

of NGN... capabilities. Step by step, the company

hopes to migrate to NGN in 3 to 5 years.

and China catches up Deutsche Telekom first implemented

interoperability with existing PSTN
using gateways. Then it introduced
By Xu Yong softswitches and media gateways
to achieve voice interworking between
existing telephone networks and
IP networks and deliver related
Next Generation Network associated with the transformation of cur- management functions.
rent network architecture has been the focus of the global NGN indus-
try in recent years. The “Global NGN Summit in China 2005” held on Telecom Italia has begun offering com-
March 23-25 2005 brought NGN to the forefront of attention again. In bined fixed and mobile services over a
the Summit, around the theme of NGN Introduction and Deployment variety of terminals.
in China, experts held in-depth discussions focusing on the current
situation of global NGN development, the market landscape for NGN Operators faced with obsolete
in China, technical standards development, and commercial strategies. devices that require high costs to
This Summit sends the message clearly that the age of NGN is coming.

HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 77

Media Insight

maintain are gearing themselves up to direct dialing, IP phone, IP-based video Although a later comer, China
deploy NGN because they find NGN phony system, different kinds of VPN, Mobile established its market share
devices, which deliver high capacity, CDMA 1x wireless data, and IP public with amazing high speed. It started
high density and flat network phone to 330 cities all over China. using NGN in provisioning part of its
architecture, could reduce the OPEX Having closed another round of equip- long distance services two years ago
and enable speedy deployment and ment bidding, China Unicom is now and intends to expand the coverage.
powerful service provisioning. poised for further NGN deployment. In November 27, China Mobile successfully
upgraded its national long distance
China catches up in NGN technologies transit network, the world's softswitch
the race have proven mature fabric. During the Spring Festival, the
network stood the trial of a peak value
by a host of successful
For historical reasons, China's tradi- of 8.4 billion short messages.
tional fixed-line operators are facing
deployments. In China,
issues such as messy switches, unclear operators are speeding China Telecom is the first ILEC in China
network architecture, low operating to launch an NGN trial. After it com-
up the introduction
efficiency, high operating costs, com- pleted tests in four cities, its NGN cov-
plex of maintenance, and obsolete de-
of NGN as tests or trials erage expanded geographically with a
vices unable to support new services. are completed. growing customer base. Currently it has
To survive the increasing competition, achieved success in NGN deployment in
the operator has to launch new services Phase 2 expansion will enable China Shanghai, Shenzhen, and Zhaoqing,
with a broader variety and at a higher Netcom to provide NGN services to Gongdong, serving as references for its
speed. The immediate need is to de- around 20 provinces. Its branch in next step. In addition, China Telecom
velop a new value chain with controlled Ningbo, Zhejiang province alone has has deployed CN2 in the core network
addressing. There are no other options captured over 20,000 broadband and is engaged in consolidating MANs
regarding NGN. A majority of consult- telephone subscribers. In December 28, by introducing new value-added
ants at the Global NGN Summit 2005 2004, Jiangsu Netcom's NGN, the larg- services. China Telecom is now consid-
believes that the time is ripe for China est of its kind in Asia Pacific, was put ering setting up a next generation
to deploy NGN on a large scale and the into operation. As a whole new local transport network and is working on a
wisdom is that operators should seize communication service network, long-term NGN solution.
the opportunity and evolve from existing the NGN is bound to be followed
network to NGN in a systematic manner. enthusiastically. It enabled the launch China Satcom and China Tietong also
of services specially designed for have made substantial achievements in
Mass NGN deployment in China must business subscribers and high-end deploying NGN.
take into account technological factors individual subscribers, which includes
as well as the operator's initiatives. NGN all fixed-line communication solutions NGN is set to deliver
technologies have proven mature by a such as videoconferencing, ONLY, and increasing advantages
host of successful deployments. In multimedia supermarket. The services
China, operators are speeding up the covering 13 cities across the province Major equipment vendors offer
introduction of NGN as tests or trials have dramatically promoted the total solutions covering the core and
are completed. operator's service innovation level in access layer. The prices of NGN devices
the local market. are a small portion of what they were
In April 2003, China Unicom put into two years ago and close to those of
use its UNINET to deliver VoIP, their PSTN counterparts. NGN is even

78 HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16

more attractive with its ability to
deliver services over broadband
networks. In addition, there is plenty
of scope for price fall for both core
and access devices, allowing NGN
services to be delivered at increasingly
competitive prices.

The NGN world has been working at the

business approaches. The problem is a emerging technology, NGN has to be layering and domain-based management
great many options rather than the lack faced with some issues. Although these if China is to build a complex network
of one. Some professionals believe that issues are not the key problems, they serving a huge customer base.
the biggest advantage of NGN should be solved during any NGN
is that it operates across different large-scale commercial development. Finally, impact on ongoing services
kinds of networks, terminals, access must also be taken into account. NGN
techniques, and bearer networks. It First of all, greater efforts are required employs different maintenance and
has little edge over PSTN+IN if it only to solve the issues of bearer network management concepts, entailing the
delivers the traditional voice service. QoS guarantee and communication need to modify and adjust existing
NGN works best when it is used for between the NGN and bearer network operation systems and support systems.
providing new services over integrated as most failures are found to be associated
PSTNs and data networks. And the with the bearer network. We believe that NGN is the future. The
operator is required to integrate social building of NGN and service design is
forces in developing and providing Second, the NGN standardization pro- what makes or breaks an innovation
services to address the customer's cess must be expedited to enable fast strategy. Operators must be very care-
needs. Because of an architecture growth. The API open to third parties are ful in selecting equipment vendors for
intended for accommodating diver what appeals most about NGN but as this will dictate its competitiveness in
sified services, NGN is capable of a number of vendors purposely set up the years to come. Undoubtedly the
running all realtime services currently barriers between API and PARLAY in the year 2005 will see the beginning of
available in the PSTN or data networks. interest of their own gains, the build- mass commercial NGN deployment and
In addition, NGN in itself is the core of ing of business modes of NGN is hin- it will of great importance for opera-
3G networks, implying that it meets dered considerably, and so is the NGN tors to acquire a share. Let's all work
future requirements and will help development. together and move forward to wel-
operators to gain a strategically come the wonderful age of NGN!
advantageous position. Although network flattening and cen-
tralized control are ideal, such
Develop to perfect architecture proposals are presented on
the basis of a relatively simple network.
At the Global NGN Summit 2005, some Considerations must be given to network
experts held the belief that as an

HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 79

 Leading Edge

Fixed-Mobile Convergence
Through IMS By Wang Weijie

IMS is widely accepted in the technology. It is widely accepted in IMS through ADSL by a computer or

industry as the ideal solution to realize the industry as the ideal solution and through a WCDMA mobile terminal.

fixed-mobile convergence. Why? development trend to realize fixed-

mobile convergence. Here we introduce As shown in Figure 1, an IMS network

IP Multimedia Subsystem (IMS), put the advantages of IMS in fixed-mobile can be divided into access interconnec-

forward by the 3GPP R5, includes such convergence by looking at its basic tion layer, session control layer, and

functional entities as CSCF, HSS, MGCF, features. application layer. This figure does not

MRF, CCF, PDF, and AS, and adopts list all network entities of an IMS

such protocols as Session Initiation Introduction of IMS domain, instead, it lists major functional

Protocol (SIP), Diameter and so on. IMS IMS is the network independent of access entities at each layer for the purpose

is the upper-layer control subsystem, technology. The users may enjoy the of illustrating network architecture.

independent of the specific access same experiences, whether they access

80 HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16

The access interconnection layer imple- Agent functions in the SIP.
ments the following functions:

SIP session origination and termination S-CSCF, at the core position in IMS

of various SIP terminals. network, implements the following forwarding, call waiting, conference
The conversion between various IP functions: calling and so on. IMS interacts with
packet bearer types. Perform registration authentication the conventional IN services, such
Various QoS policies based on service and session control of UE. as CAMEL and INAP, through the IP
deployment and session layer control. Implements basic session route Multimedia-Services Switching Function
Interworking between conventional function of calling and called IMS users. (IM-SSF) to inherit the existing IN services
PSTN and PLMN. Triggers value-added services (VASs) of CS and PS. Apart from the existing
The access interconnection layer in- to the Application Server (AS) based services of CS and PS, IMS also provides
cludes such equipment as various SIP on the IMS triggering rule subscribed non-conventional telecom services
terminals, wired access, wireless access, to by the user when conditions are through AS such as IM, PTT, Presence
CSCF), Interrogating CSCF (I-CSCF), met, and performs the service con- and so on. In addition, IMS provides a
and Serving CSCF (S-CSCF), which can trol interaction. simple API interface through the Open
either be physically integrated or set Services Access-Gateway (OSA-GW)
respectively. One should consider such The I-CSCF functions as the gateway so that a third party may use network
factors as IMS service access mode, IMS node in IMS core network, and provides resources and provide services securely
access point position, CSCF capacity, such functions as the allocation of local to implement feature-rich entertainment
capability and user traffic requirements domain user service nodes, route queries, and game services.
for service allocation and deployment and topology hiding between different

during networking. The service allocation IMS domains. I-CSCF also determines IMS takes into account the actual

and deployment also relates to the net- which S-CSCF is to provide service for operation requirements, and establishes

work topology hiding and interworking users through the combined conditions. related specifications in terms of QoS,

requirements of the operator. security, billing and interworking with

The application layer provides service other networks.
As the entry for the UE to access IMS, logic for user, and implements conven-

P-CSCF implements the Proxy and User tional basic call service such as call Advantages of Fixed-
Mobile Convergence
through IMS
SIP-based Service Processing

As the basic protocol at IMS control

layer and one of the multimedia

communication system framework

protocols, SIP (RFC 3261) is the application

layer protocol used to establish, change,

or terminate the multimedia session. It

works with such protocols as RTP/RTCP,

SDP, RTSP, and DNS to implement session

Figure 1 IMS Network Architecture
HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 81
 Leading Edge

Fixed-mobile convergence based on IMS is feasible and widely accepted as the ideal
solution. Research into convergence is underway, but the deployment is still far from
happening. Research will take a step-by-step approach. Implement interworking capability,
and then the final convergence of fixed and mobile networks will be at hand.

establishment and media consultation IN network towards the application and bringing endless innovations for the
in IMS. Once the session is established, terminal sides to relieve the pressure of telecom industry. It will lay a solid foun-
the media stream directly transmits the network. The service provision and dation for fixed-mobile convergence,
it over the RTP and enables flexible session control are separated at different integrating audio/video call, message,
interaction of several media in one layers to reduce the relevance between web, e-mail, synchronization browse,
session. service and session control networks, and conference calling.

facilitating the service deployment.

There are many advantages to adopting (3) SIP supports mobility function at Open Service Environment
SIP as the control layer protocol: the application layer, including dynamic As shown in the network architecture,
(1) It demonstrates intrinsic advan- registration, location management, and IMS provides three open service modes,
tages in convergence and interworking re-direction mechanisms. that is SIP AS, IM-SSF and OSA SCS,
of voice and data services because it is (4) SIP features Presence, Fork, and implements unified triggering
based on an open Internet standard; Subscription, facilitating the deployment control through the iFC.
Traverses the media and equipment to of new services.
implement call control; Supports rich (5) It features a simple protocol with The services of IMS cannot only be

media formats; Supports dynamic recognized potential for extension. provided by the operators, but also by

adding/deleting of media stream; third parties through OSA. The Open

Enables interworking between different SIP will radically change the way the Services Architecture (OSA) is the unified

networks and realizes feature-rich services. communication services are provided, service open model established by

(2) It supports the development of and the consuming habits of users, 3GPP, and OSA Service Capability Servers

(OSA SCS) to provide capability for

third-party application service to

securely use network resources. It provides

a standard interface and open network

capability. The service is developed

based on the API instead of facing the

complicated network protocol, so

the complexity of network protocols is

shielded. The Parlay API of the telecom

network has been established to

provide a simple API interface for

communication services through the

close cooperation of the Parlay forum,

3GPP and ETSI. The SIP and Parlay API

interact at the Open Services Access-

82 HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16

Gateway (OSA-GW). As a part of IMS the visiting area, and S-CSCF in the architecture and protocol interworking
application layer, OSA-GW allows Parlay home area controls user service, and with the conventional circuit switched
application to obtain current status and call triggers service to the local network network.
status information, and enables the net- AS or third-party application based on
work side to establish/disconnect calls etc. user subscription data to ensure service The SIP-based core network in ETSI

The Parlay application registers to OSA-GW, consistency and simplicity. The users TISPAN NGN core network will adopt

and uses network resources after access. may enjoy the services as in the home IMS platform defined by 3GPP, and try

area no matter where and how they to inherit related standards of IMS.
A consistent home network service access the IMS system. IMS also realizes the Compared with 3GPP, IMS should support
capability Virtual Home Environment (VHE) for users. more access modes, including xDSL,
The service provision capability relates WLAN, LAN and so on.
to the equipment where the user is Research progresses on fixed-
currently located in CS, PS and PSTN, mobile convergence ETSI TISPAN and 3GPP work in a close

so the activated service in the home In the landscape of network convergence, relationship on the research of IMS, and

network is not necessarily available 3GPP, ETSI and ITU-T all conduct research establish a joint working team to

in the roaming area. While IMS has on network convergence based on research related issues of NGN and IMS.

great changes in this point, all service IMS. Research by several international
processing signals are sent back to organizations for fixed-mobile conver- ITU–T FGNGN currently has also

the home network, and the service gence based on IMS is also well under plunged into the research of IMS in

environment is also provided by the way. The purpose is to enable IMS to terms of services and the network

home network. become a universal platform based on framework.

SIP session, support various fixed/mo-

IMS adopts the hierarchical structure bile access modes and implement the IMS convergence is feasible - and

of P-CSCF, I-CSCF and S-CSCF to control convergence of fixed and mobile at hand.

the home area for user signaling, and networks. Fixed-mobile convergence based

to support mobility of users so that on IMS is feasible and widely accepted

the signaling is sent back to the home One of the hot points in 3GPP is the as the ideal solution. Research into

network no matter where the user research on the access of fixed network convergence is underway, but the

roams. In addition, the use of the NGNs to IMS. Currently IMS supports deployment is still far from happening.

centralized HSS database enables the mobile access modes of both 2G Research wil take a step-by-step

unified user registration and service and 3G instead of fixed access mode approach. Implement interworking

triggering. in 3GPP. 3GPP has already established capability, and then the final conver-

the protocol for interworking with PSTN, gence of fixed and mobile networks will

All services of roaming users are routed CS and other IP multimedia systems, and be at hand.

to the home area through P-CSCF of defined the interworking network

HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 83

News in Brief

Strategic Partnership
with Huawei Technologies
-QSC Enhances Voice over IP Network
in Germany

H annover, Germany, 14 Next Generation Network Having acquired the Voice nication with all the new fea-
March 2005 – The QSCAG, (NGN) in Germany. The QSC carrier Ventelo last year, tures and possibilities of Voice
national telecom provider IP-MPLS backbone will QSC is now in the excellent over IP, as well as the
with own DSL-Network in be using s oft-s witches position of having access functionalities of the tradi-
Germany, has decided to use and gateways of Huawei to top level know-how in tional fixed network
Huawei Technologies, a lead- Technologies, dramatically both, voice and data telephony. This way QSC will
ing network solutions enhancing VoIP-Voice com- environments. "This constel- be able to offer customers in
provider, as a valuable part- munication and reliability and lation combined with the the future voice communica-
ner for the build-out of its quality of the connections. flexibility of Huawei Tech- tion easier, much more com-
voice over IP network nologies enables us to fortable and more cost
infrastructure. The QSC AG "Huawei convinced us take an important next step effective.
currently enhances the na- with their first-class price- in Voice communication
tionwide voice infrastructure performance ratio coupled based on IP", explains Jörg
with VoIP technology and will with excellent know- Stettner, Director Networks
presumably in May 2005 op- how and impressive flexibil- QSC.
erate the largest VoIP-Net- ity and speed", Dr. Bernd
work in Germany. Schlobohm, CEO of QSC AG In the future, all the widely
explains. "We are entirely used protocols and tech-
Huawei Technologies, a sure that in the fields of qual- nologies will be supported
global supplier of total net- ity and voice and data by the DSL network infra-
work solutions, is building to- integrationHuawei will be a structure of QSC, enabling
gether with QSC the first valuable partner". the IP based voice commu-

Optus selects Huawei Technologies as DSL partner

Australia, February 24: voice (including Voice over IP), serve customers including sumer DSL roll out. "While
Optus announced it had se- video multicasting and busi- the Victorian Government's we are well advanced in our
lected Huawei Technologies ness services. TPAMS initiative." said Bill plans for a consumer DSL roll
as a key equipment vendor. Hope, Managing Director of out, there are still several
" Huawei's Integrated Ac- Optus Networks. milestones we need to pass,"
Huawei Technologies pro- cess Multiplex equipment Mr. Hope said.
vides Optus with DSL-based will allow Optus to meet in- In addition, Huawei Tech-
access equipment capable of creasing demand at existing nologies will support Optus
supporting high-speed data, sites and grow new sites to should it commence a con-

84
84 HUAWEI
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TECHNOLOGIESAPRIL 2005. .ISSUE
APRIL2005 ISSUE1616
Huawei Announces Availability work of China Mobile. The
annual shipment in 2004 has

of 3G UMTS 1900/850 Solution reached 100,000 E1 ports,

12,000,000 subscriber local
Huawei Continues to Drive Profitable, Future-oriented exchanges.

and Cost-effective for Operators Worldwide

"Huawei's commitment to

reduce their operational R&D and delivering leading

CTIA, New Orleans, 14 small equipment footprint,
expenses when deploying 3G edge solutions for our clients
March, 2005 - Huawei today transport utilization, and less
UMTS networks. Huawei is evident in 3G solutions that
announced that its 3G labor. Huawei's innovative
total UMTS Solutions support we announced today.
UMTS1900/850 solution is UMTS Distributed NodeB ap-
HSDPA now, the peak rate Guided by "cost-effective,
already deployed and working proach modularizes the base
of Huawei HSDPA can reach high quality, good service and
in ten networks, including station equipment according
14.4Mbps. According to the fast response", Huawei will
Telfort of Netherlands and to function which results in a
roadmap, Huawei will launch provide our customers with
SUNDAY of Hong Kong. With very reduced physical packag-
HSDPA data card in Q3, immediate response to their
today's announcement, GSM ing and then allows use of
2005. As the pioneer in R4 needs, high quality products,
operators within North existing space in existing cell
mobile softswitching, Huawei cost-effective solutions and
America can now reap the sites. This practically elimi-
contracted to build the considerate services." said
benefits of reduced Total Cost nates the need for new site
largest softswitch tandem Mr. Max Wang, President of
of Ownership (TOC), through acquisition or existing site
network in the world, Huawei's North American
fast network deployment, expansion. By adopting Dis-
softswitching tandem net- division.
low power consumption, tributed NodeB operators can

Algeria Mobile Granted GSM Contract to Huawei

Algeria, 26th February, 2005 estimates. The reasons for the products and services," said Huawei has already been

– Algeria Telecom Mobile selection reside in Huawei Mr. Shen Jingyang, CEO, awarded six UMTS commer-

(ATM Mobilis), the biggest Technologies' capability to Huawei's Regional Division in cial networks including the

mobile operator in Algeria, provide not only the stable Middle East & North Africa one with Telfort in Netherlands.

signed the GSM contract with GSM equipment and quickly- (MENA). Huawei's footprint of GSM/

Huawei Technologies Co., Ltd. responsive technique support UMTS has extended over each

Under the contract, Huawei service, but also the less time Huawei GSM product has continent of the world.

will provide ATM Mobilis with consuming service delivery been deployed in more than
About Algeria Telecom Mobile
GSM network equipment and project implementation. 40 countries with totally Algeria Telecom Mobile is a full subsid-

serving 1.2 million subscribers 57 million subscribers and iary company of Algeria Telecom. It is the

250,000TRX. In 2004, first mobile operator and operates GSM

in 15 provinces of Algeria. "We are deeply grateful to
mobile network covering the whole
ATM Mobilis for their trust on Huawei finished the world
nation. Algeria Telecom is the largest
To maintain its leading posi- us. It's another strategic co- largest soft-switch network state-owned telecom operator in Algeria.

tion in Algeria's telecommu- operation built between ATM for China Mobile across 31 It operates fixed telephony network, data
communication network and also the
nications market, ATM Mobilis and Huawei after the provinces in China and kept
satellite transmission network, providing
Mobilis selected Huawei to completion of UMTS trial the leading position in the
abundant services in Algeria, employing

be its GSM BSS supplier after network. We'll surely fulfill 2G/3G co-existent core over 20 thousand staff and with an ex-

the commitment to ATM network. Concerning the pected income of US$900 million in
about half-a-year's strict re-
technical evolution of GSM, 2004.
views and multiple technical Mobilis by providing quality
HUAWEI TECHNOLOGIES APRIL 2005 . ISSUE 16 85
News in Brief

The World's Largest Softswitch

Network Successfully
Got through the Traffic Peak
on Chinese New Year's Eve
– China Mobile softswitch network ensured high-quality
communications among its users
Beijing, 9 February, 2005- New Year's Eve is the tough- the leading position that service cut-over was com-
China Mobile's softswitch est test for switch equipment Huawei holds in the area of pleted in October 2004.
network, constructed by suppliers in China. Many mobile softswitch technol-
Huawei Technologies Co., Ltd., have failed to cope with the ogy across the globe. It fully Huawei is one of the lead-
successfully got through the unexpected heavy traffic proves the reliability, matu- ing global mobile soft-switch
Traffic Peak on Chinese New when they for the first time rity and stability of Huawei's equipment suppliers. Its soft-
Year's Eve with an excellent encountered the challenge cutting-edge softswitch switch networks have been
index performance on each brought by the high traffic. equipment and technology deployed in 14 countries by
function. The network man- Almost all the mobile users including IP quality of service 17 operators with more than
aged to smoothly carry 3 would give their new year's (QoS), IP security, IP backup 12M subscribers and 100,
times the traffic that it usu- wishes and greetings to their mechanism, flow control 000 E1 ports till now. These
ally does and thus assured its relatives, friends and ac- and other key technologies. networks help the operators
users of satisfying quality of quaintances via mobile net- maintain their cutting-edge
communications. work that day, and the traf- China Mobile is one of the position in GSM network
fic would get to the most leading global cellular opera- construction and save the
In the morning of February crowded around 00:00, tors with over 200 million existing effective investment,
9, the New Year's Eve of when everyone is eager to mobile users. It introduced especially when considering
2005, China Mobile's soft- say "Happy New year" to the soft-switch technology in the transition of the network
switch network, the biggest people they care. Therefore, July 2004, and selected into NGN in the future.
mobile softswitch network in if a network can successfully Huawei to build the network Therefore, more and more
the world covering 31 prov- get through the traffic peak with the aim of providing its softswitch networks are be-
inces in China, succeeded in at the Eve, it will provide a customers better and richer ginning to be deployed by
delivering the best wishes of strong proof on the services. As the soft-switch operators, including AIS in
over 200 million users to the network's stability, maturity technology is borne on IP, Thailand, Telfort in Holland,
blessed people peacefully and reliability. securing the quality of ETISALAT in UAE, and SUN-
and stably. The traffic is re- service (QoS) is of crucial DAY in Hong Kong, they
ported to have reached Accordingly, the smooth significance. To address the have selected Huawei's
about 0.7 erl per channel communication that China concern, Huawei elaborately new generation softswitch
equivalent, regarded as the Mobile offered on the New designed the IP bearer, IP technology to build their
highest design traffic in the Year's Eve of 2005, is not security and softswitch tech- WCDMA networks.
industry. only a gift that it provides for nology for China Mobile to
its customers, but also a assure its network's quality
It is known that, Chinese powerful demonstration on and security. The network's

86 HUAWEITECHNOLOGIES
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APRIL2005 ISSUE1616
Huawei Exhibits Latest Fixed-Line Solution
in Africa and Middle East
Mar. 4, 2005, Cairo, Egypt:
A truck with a conspicuous
slogan "You Profit, Our
Goal" arrived at the JW
Marriott Hotel in Cairo, com-
mencing a local road show
of the latest solutions from
China's technology giant -
Huawei Technologies. This is
the last stop of the Huawei
Fixed-network Roadshow in
Africa and the Middle East.

After having toured Europe Jingyang Shen, Huawei's service customization and
earlier and accommodated president of the regional of- mobility. The Roadshow ended on
over 5000 visitors, the trade fice of the Middle East & March 10 of this year and
show dubbed the "Eastern North Africa, "... especially Huawei's solutions, charac- the "Eastern Express" went
Express" came to Cairo with when everyone needs new terized by big-savings, high- back China. The road show
Huawei's latest fixed net- perspectives and improved quality and excellent-service started in Frankfort, Germany,
work solution, involving NGN capabilities to obtain the attract more and more rec- on May 17th, 2004, interna-
(softswitch), NG-AN (next competitive edge." In the ognition among global tionally known as Telecom
generation access network), past few years, operators of carriers. With the distinctive Day. In the past year, the
data communications, IP wire-line networks have con- capability of fast-response touring-exhibition vehicle
bearer network QoS solution fronted challenges, such as and customization, Huawei covered 17 countries ,includ-
(IP telecom network), etc.. At how to stop decreasing rev- has achieved remarkable ing Germany, Italy, France,
this trade show Huawei also enues caused by competition successes in recent years. It's Spain, Portugal, UK, Poland,
presented its newly devel- with mobile networks, and reported that Huawei's U- Czech Republic, Hungary,
oped value-added services, also how to grasp new op- SYS NGN solution is ranked Romania, Bulgaria, Greece,
like WorkSpace™ Unified portunities in the immature as No.1 in the world in the Libya, Algeria, Tunisia, Mo-
Communications, triple broadband market. To re- latest reports and its SmartAX rocco and Egypt.
play over DSL, IP Centrex, construct carriers' core DSLAM solution ranked
U-PATHTM Communication competency, Huawei's solu- No.2 according to Gartner.
Assistant, and other service tions suggest wire-line op- Moreover, Huawei's custom-
solutions. erators pay more attention ers are not limited to China
to aspects related to cutting and other developing
"What Huawei demon- OPEX, promoting broad- countries, but include carri-
strates are the solutions nec- band services, improving ers in developed countries as
essary for carriers to profit in their IP network to a carrier- UK, France, USA, and
a changing industry," said grade level, and delivering Canada.

HUAWEI
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TECHNOLOGIES
TECHNOLOGIES
APRIL
APRIL
2005 . ISSUE
2005 . ISSUE
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News in Brief

Serial Reports from CeBIT 2005

The new products have been from today’s product launch. tomers to reduce total cost of
tested by the Ministry of ” Huawei has set up a ownership and generate
Information Industry, China European Logistics Center in greater profits. The new
Hannover, Germany, and delivered excellent Amsterdam to provide UMTS1800 solution enables
• 11 March 2005 performance results. Huawei logistics and after-sales operators to share their
Huawei Launches 3G Mobile implemented strict IPD and service to support the launch 1800M spectrum with the
Handsets for Europe CMM quality control pro- of Huawei’s new 3G handsets existing GSM1800.
cesses to ensure the products in Europe. Some of these ser-
Huawei introduced its latest a sound quality. Specifically, vices include a hotline for The launch of UMTS1800
3G mobile phone handsets in E600 data card received high consumers and round-the- solution will greatly benefit
Europe at the CeBIT Fair in praise and demonstrated clock technical support as operators who possess spec-
Hannover, Germany. These excellent performance in 3G well as plans to organize fairs trum license of 1800M,
new mobile handsets include tests held by mainstream and training for consumers. which is widely used world-
U626, U326 and E600 data European operators. wide in GSM. Huawei is
card. This marks the next phase “The launch of our 3G hand- focused on delivering the
of Huawei’s expansion and Dr. Xu Zhijun, Executive Vice sets in Europe reinforces best products and solutions
developments in 3G space. President of Huawei said: Huawei’s position as a lead- through continued research
“The launch of our new 3G ing global communications and development to enable
Huawei’s new handsets are handsets demonstrates vendor capable of providing our customers to enhance
based on WCDMA, GSM and Huawei’s strength and lead- a fully integrated 3G solution. their competitiveness and
CDMA systems, which include ership in this growing market We continue to focus our ef- profitability.
a variety of products such as segment. A recent report by forts in providing our custom-
mobile phone, data card, market research firm Strategy ers with 3G mobile handsets Huawei has been taken as
fixed station, etc. In particular, Analytics indicated the and solutions that fit custom- the fastest-growing 3G
the new WCDMA handset expected growth of 3G ers’ requirements at the best provider. It has provided
features powerful functions mobile phones globally will value,” added Dr. Xu. total mobile solutions and
and fashionable designs increase by 100% to reach 40 services for operators in
that target a wide range of million, from 2004-2005. Hannover, Germany, more than 60 countries,
European consumers from Huawei was the first manu- • 16 March 2005 and has won 10 UMTS
low end to high end. In facturer in China to introduce H u a w e i Te c h n o l o g i e s commercial contracts in
addition to the new WCDMA the commercial use of 3G Launches Breakthrough Netherlands, U.A.E, Hong
terminals, Huawei was also t e r m i n a l s , a n d t o d a y ’s UMTS1800 Solution Kong, Mauritius, Malaysia
introducing its cdma2000 se- announcement is the next and etc.
ries mobile phones and wire- step of our plans to bring 3G Today, Huawei launched the
less modular products. The handsets into international world’s first UMTS1800 end- Hamburg, Germany,
powerful array of terminal markets. The successful intro- to-end solution at CeBIT Fair • 17 March 2005
products demonstrates duction of our 3G handsets in Hannover, Germany. This Huawei Successfully Holds
Huawei’s capabilities in pro- in Hong Kong and Slovenia breakthrough solution will Global Industry Analyst Con-
viding end-to-end solutions in has generated handset orders provide telecommunications ference in Hamburg, Germany
3G space, offering more, in these markets. We are also operators who possess
newer and better wireless expecting for more coopera- spectrum license of 1800M Huawei successfully held its
terminal products for tele- tions with European opera- advanced 3G service for the Global industry analyst confer-
communications operators. tors in product customization first time, it also helps cus- ence in Hamburg, Germany

88 HUAWEI
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APRIL2005 ISSUE1616
 Huawei Releases New Generation
during March 14th -16th Intelligent IP DSLAM with SmartAX
2005 in CeBIT. Over 50
analysts from 28 different MA5600
market research companies
——Huawei Educates Operators
took part in the event. The
analysts came from 17 coun- on the Power of Broadband
tries covering Europe, Latin
America, North America and
Construction London
Asia Pacific. This was the sec-
ond global industry analyst February 21 - Huawei an- ing solution and fully satis- tended to help operators

conference held by Huawei, nounced its next-generation fies high bandwidth services improve network capability,

While the first one was held intelligent IP DSLM, SmartAX such as video, streaming speed up service develop-

in Shenzhen, China in 6th MA5600 to more than 400 media and Triple Play. It also ment and expand the

June 2004. representatives from over supports 1,000 multicast market. It can help operators
100 telecom operators in the channels, up to 600PPS to take lead in the develop-

In 2004, Huawei’s sale rev- 21st Century Communica- IGMP processing capability ment and establish an ad-

enue reached to US$5.58 tions World Forum in and hierarchical multicasting vantageous position. Take

billion, 45 percent increases London. Huawei’s SmartAX and duplicating capability. the expansion of multicast

year on year. In particular, its MA5600 is a comprehensive The product delivers the service for example, from the

international sales reached solution that provides opera- strongest level of service perspective of users, it pro-

US$2.28 billion, with 117 tors with extensive support support, possesses excellent vides unique functions such

percent increase compared for diversified networks and service sensing, QoS, charge as program preview and fast

with last year and accounted value-added services by de- policy, and flexible access channel shift; In terms of

f o r 4 1 p e rc e n t o f t h e livering a more intelligent and VPN (Virtual Private content management, it pro-

company’s total sales. The network mechanism and se- Network) solution methods. vides such functions as

a n a l y s t s w e r e g re a t l y curity management. As the global broadband online statistics of program

impressed by Huawei’s 2004 According to Infonetics, a network’s continuous devel- viewing rate. For the pur-

achievements, specifically in leading consulting company, opment at full speed with pose of fast and economi-

the areas of 3G, NGN, IP IP DSLAM will become a the number of users reach- cally providing services, it

DSLAM etc. Huawei also mainstream mode in future. ing more than 90 million, the provides automatic line

briefed them on its predic- European operators are be- weakening of the core value adaptation, terminal

tions of future industry devel- ginning to select IP DSLAM of the network and the fast incubation, auto-sensing

opment trends and roadmap as their new-generation so- rise of OPEX (network opera- and testing, etc.

for different product areas. lution and such large-scale tion cost) will be a growing Presently, more and more

Both sides thoroughly dis- development of IP DSLAM concern for operators. With operators have chosen the IP

cussed what they were inter- will likely continue in 2005. weak support to service and DSLAM construction mode.

ested in. Huawei has already delivered QoS control, diversified ser- This platform will play a sig-
IP DSLAM products to the vices can hardly be tuned nificant role in helping op-

After the conference, the market, and is pioneering into a unified service experi- erators to construct the high

analysts were invited to pay the industry. ence and operation mode. bandwidth network and

a visit to Huawei’s booth at The SmartAX MA5600 has SmartAX MA5600 is not multi-services as well as im-

CeBIT in Hanover. 210 G back panel and end- merely a simple access and proving the convenience and
to-end wire speed forward- multicast platform, but is in- cost-effectiveness.

HUAWEI
HUAWEITECHNOLOGIES
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2005 . ISSUE
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