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[IP] The Great IP Debate





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From: Dewayne Hendricks <dewayne@xxxxxxxxxxxxx>
Date: July 11, 2004 7:56:36 PM EDT
To: Dewayne-Net Technology List <dewayne-net@xxxxxxxxxxxxx>
Subject: [Dewayne-Net] The Great IP Debate
Reply-To: dewayne@xxxxxxxxxxxxx

The Great IP Debate

While the conceptual merits of IP networks are impressive, the economic viability and technical feasibility for wireless networks remain questionable.
By Sue Marek
July 1, 2004
Wireless Week
<http://www.wirelessweek.com/article/CA432357? spacedesc=Features&stt=000>

Telecom visionaries have long painted an idyllic picture of the converged wireline/wireless services that will one day be possible as operators migrate to all IP-based networks. The allure of all-IP networks is compelling because at the IP layer, both voice and data traffic are transported as packets of data, allowing carriers to efficiently deploy new services such as real-time multimedia with integrated voice and video. And once both wireline and wireless networks get to a common IP platform, telecom carriers could seamlessly merge their services and offer customers a truly bundled package.

But at the same time, wireless operators are somewhat leery of the IP-based services that these 3G networks can accommodate, particularly VoIP. The technology offers some advantages when it comes to deploying advanced services or managing the network elements; having an all-IP network instead of separate voice and data networks means that carriers have fewer pieces of equipment to deploy and maintain. Yet industry insiders say that VoIP, in some instances, is a less efficient technology than traditional circuit-switched voice networks, which have been optimized to use spectrum very proficiently.

VoIP or Circuit Switched? "All-IP networks in theory sound great," says Jane Zweig, CEO of The Shosteck Group. "But with the particulars of radio on the mobile side, migrating to VoIP requires over-provisioning of the network."

For example, in an IP environment, voice packets contain a lot of extra information, called headers, to ensure they are routed to the right location. These headers take up a lot of bandwidth and therefore are less efficient — and slower. To maintain service quality, voice packets must be delivered in a timely manner or else they will suffer some degradation.

In addition, carriers have invested so much in their legacy voice networks that many hesitate to move voice traffic from the legacy network to an IP platform. "Circuit switched is not going away. It's a legacy system that will be with us for a long time," says John Marinho, vice president of marketing and offer management at Lucent's Mobility Group. "But VoIP is the cornerstone that will enable a lot of things to be possible in the next several decades."

Exactly what voice services will be used for VoIP and what will remain on the circuit-switched network is uncertain. However, carriers are putting VoIP on their migration paths. "VoIP is part of the long-term solution" for wireless networks, says Rod Nelson, executive vice president and chief technology officer of AT&T Wireless. "It offers lots of potential for advanced services such as PTT or multimedia calls with video and voice. But for most normal cellular voice traffic, it doesn't offer huge economic gains compared to what has already been built into the existing system."

The Path to VoIP From a technical standpoint, operators could deploy VoIP in current-generation networks to provide high-quality service. But observers say wireless networks need a lot of bandwidth and a bigger uplink than existing UMTS Release 99 technology or the current iteration of 1XEV-DO, Rev. 0. If carriers migrate to the next versions of these technologies — high-speed data packet access (HSDPA) or 1XEV-DO Rev. A — uplink speeds will increase, making VoIP much more viable.

On the GSM side, Cingular Wireless recently issued a request for proposal to the vendor community for UMTS/HSDPA infrastructure, which it plans to deploy across its network. The carrier is testing UMTS in its home market of Atlanta using Lucent gear; the HSDPA component involves a software upgrade to the UMTS equipment to support data speeds of up to 14.4 Mbps downstream. According to Lucent's Marinho, HSDPA provides speeds of 384 kbps upstream, which is still limited but will support VoIP. Marinho adds that another UMTS uplink solution in development, called enhanced uplink data channel (EUDCH), could give GSM operators 4 Mbps in both directions, making it very compatible with VoIP.

Still, Cingular's deployment of UMTS and HSDPA technologies doesn't necessarily mean it will automatically migrate to VoIP, according to Kris Rinne, acting chief technical officer of Cingular Wireless. However, Rinne says that IP-based services are appealing. "IP services are much more efficient regardless of whether it is in radio spectrum or backhaul transport," Rinne says. "It's more efficient than circuit switched, but you must constantly balance that efficiency with quality."

On the CDMA side, 1XEV-DO Rev. A has an uplink speed of 1.8 Mbps with 3.1 Mbps downstream, making it possible to send voice packets with header information over Rev. A and not cause degradation of voice quality. Although no U.S. CDMA carrier has announced that it was testing or planning to migrate to Rev. A, Verizon Wireless Chief Technical Officer Dick Lynch said at CTIA Wireless 2004 that it was possible the company would continue on its EV-DO path and perhaps at some point offer a type of voice service over EV-DO.

Joining Verizon on the EV-DO path is Sprint PCS, which earlier was examining EV-DV as its preferred choice but late last month formally announced that equipment availability and market timing prompted it to forge ahead with 1XEV-DO. Sprint could decide to implement 1XEV-DV as it is building out its 1XEV-DO network, but DV equipment is not expected to be available until 2006. Although 1XEV-DV offers both a voice and data component, the voice portion of EV-DV is circuit switched. According to Peter Jarich, senior analyst, wireless infrastructure at Current Analysis, EV-DO Rev. A gives DO more potential as a voice network. "It's too early to say, but DO does seem more compelling," Jarich says.

Timetable For VoIP Though the debate over VoIP vs. circuit switched may be heating up among the carriers and vendors, VoIP over wireless likely will not be a reality for some time. According to Kai Konola, director of strategy and business development at Nokia Networks, one form or another of VoIP will migrate to cellular networks in the next four or five years. However, the mass market won't see VoIP over cellular for some time. "The capabilities of the radio networks to support VoIP in mass scale is not optimal," Konola says. "It makes more sense for carriers to provide voice over circuit switched."

The migration from circuit switched to VoIP likely will be gradual. According to Konola, many other factors are involved such as having terminals capable of handling VoIP, which require a lot of processing power.

Still, once VoIP does make it to the cellular network, most vendors believe that at some point the circuit-switched network will go away. "People will outgrow the legacy network," says Bruce Gustafson, director of strategic marketing, wireless networks at Nortel Networks. And as carriers invest more in the packet network, gradually the mix of subscribers on the IP core vs. the circuit-switched network will change. However, Gustafson also sees that different carriers will make the move to VoIP at different times based on their business strategies. "It also depends upon how wireless standards are implemented," Gustafson says.

Others are less bullish on VoIP being offered via the cellular network, primarily because of the business case. "The benefit of doing VoIP over the air interface isn't that clear," says Lars Nilsson, director of business strategies at Ericsson. "The systems are not there."

Others echo that sentiment. "The economics of VoIP in wireless are different than wireline," Nelson says. "I don't know that the same drive is there, particularly for implementers of UMTS, which brings into it integrated voice capability. If the technology you are deploying doesn't have a voice solution, you would be more motivated to do VoIP. With UMTS, it's less urgent."

Gustafson says carriers already are implementing VoIP in the core of their networks to backhaul traffic. Exactly where the carrier converts the traffic from circuit switched to VoIP depends on the network topology. The benefit, according to Gustafson, is carriers can transport more traffic using VoIP in the core. "Instead of having a half-used switch here and there, we are seeing carriers ask for one big switch that will carry 50 percent voice traffic and 50 percent data traffic," Gustafson says.

VoIP may be garnering industry buzz right now, but how it will actually make its way to the cellular network is subject to debate. For wireless operators to realize the vision of truly converged services, they need to move to an all-IP based network. But significant questions remain as to whether it will be economically and technically viable for the long-term.

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