Mobile Broadband Everywhere: Spectrum for Services Wladimir Bocquet Group Spectrum Office, Orange FT Group [email protected]

Agenda

1 2 3 4 2

Main usages of Mobile Broadband

Growth

Operator perspectives – Orange experience

Conclusion

Orange FT Group: serving consumers in 27 countries Western Europe

Central and Eastern Europe

Africa, Middle East & other

end 4Q 2008 Tunisia

177 M subscribers, of which:

Jordan Egypt

UK Belgium

Poland

Senegal

Luxembourg France

118 M mobile

Slovakia

Switzerland Romania

Moldova

Mali

Niger

Guinea-Bissau Cameroon Guinea Ivory Coast Equatorial Guinea

Central African Republic Kenya Madagascar

12 M fixed broadband

Spain

Vanuatu


also serving corporate in 220 countries and territories

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Mauritius

Dominican Republic Botswana

Mobile Broadband: Opportunities for consumers

user behaviour with Mobile Broadband

consumer needs

serenity voice centric

voice and web majors

voice and advanced web

 abundance promise  peace of mind / simplicity  security and privacy

entertainment

business needs

 on demand (content & services)  me and my communities  from mass media to my media voice centric

voice and remote access

applicationscentric mobility

ethics and involvement  responsible purchase  CO2 footprint lowering  information transparency

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Mobile Broadband: Key Services Application Application Stores Stores quick quick stats stats on on downloaded downloaded apps apps  Lagardè Lagardère Active (press - France): 1m apps in 7 months and 32m pages viewed in June 2009 alone 

Apple Store celebrated its 1.5bnth application in July 2009: 20bn apps downloaded by 2014

Mobile Mobile portals portals Mobile Internet users and penetration in Western Europe

mobile mobile media media and and Internet Internet access access keeps keeps growing growing in in Western Western Europe Europe

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Source: Forrester Research

Mobile Broadband: Key Services (cont’d) Social Social Network Network Service Service Social networking - one of the main applications -stimulates mobile broadband usage People visiting SNS/Blog

Mobile Mobile TV TV & & Video Video

Video and TV is centred around the new Smartphone TV applications Europe’s 5 biggest market: people who watched TV and/or video on mobile phone ever in a month, June 09

Source: ComsCore

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m|metrics

Mobile Broadband: Key Services Mobile internet and Video/TV traffic will explode in the coming years 

the usage per user increases with the performance and usability of devices … and the abundance of offerings

data AUPU in MB/Month

3G

2G 1000

PC card consumer: 623 MB/month PC card business: 189 MB/month IPhone:

100

around 90 MB/month



New user requirements for Mobile Services increase bandwidth hungry

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3G+ & unlimited option: 95 MB/month 3G+ handset: 34 MB/month 3G handset: 12 MB/month

EDGE only handset: 5 MB/month

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Source : Orange France Dec 2007 figures

Lead Lead to to increasing increasing demand demand for for suitable suitable spectrum spectrum 7

Agenda

1 2 3 4 8

Main usages of Mobile Broadband

Growth

Operator perspectives – Orange experience

Conclusion

Growth everywhere: mobile broadband subscription growth IMT with HSPA is a key for Mobile Broadband

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Traffic growth (1/2) The current and future trends mobile traffic forecasts with three scenarios



Core scenario: scenario this is the most likely scenario and assumes that current trends witnessed in mobile markets will continue throughout the forecast period.



Conservative scenario: scenario effect of the crisis and the consumers choose to remain loyal to traditional.



Aggressive scenario: scenario economic downturn has less an effect on data services as consumer demand and attractive pricing schemes fuel higher than expected growth in user and traffic

(in ExaBytes per year)

An exabyte (TB) is equal to 1 million terabytes 10

Traffic growth (2/2) The current and future trends

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A terabyte (TB) is equal to 1012 (1 trillion short scale) bytes or 1000 gigabytes

Agenda

1 2 3 4 12

Main usages of Mobile Broadband

Growth

Operator perspectives – Orange experience

Conclusion

Growth of the 3G base : At France telecom the number of 3G+EDGE customers rose by 35% in one year

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Traffic growth : better understanding of mobile data traffic in Europe significant increase of voice + data traffic 

traffic growth driven by – –

Increase in terms of penetration New Mobile Broadband capable devices

% of laptops connected with Mobile Broadband 40,0%

Data Traffic multpied by 4 between 2008 and 2009

30,0%

in March 2008, ~60% of Orange France mobile data traffic was already on the 3G network

20,0%

10,0%

0,0% 2007

2008

Strategy Analytics 14

2009

2010

2011

Lehman

Mobile Broadband: a global trend towards LTE beyond 3G

3GPP wide area mobility

LTE GSM GPRS

EDGE

HSPA

UMTS

HSPA+ HSPA R8 802.16m 802.16e

short range mobility

WiMAX 802.16802.16-2004

Wifi

802.11g

fixed

10 kbps

1 Mbps

802.11n

802.11vht

100 Mbps peak rate

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Harmonisation



Harmonisation is still key – Harmonising spectrum has been the bedrock of the success of technologies such as GSM by driving equipment & device economies of scale – The process of releasing more spectrum has, however, highlighted the difficulties of harmonising both spectrum allocation & band-plans across regions – Concerted efforts are needed by national & international regulators to limit any differences on spectrum licensing

Maximising Maximising technology technology economies economies of of scale scale through through spectrum spectrum harmonisation harmonisation and and ensuring ensuring effective effective link link between between spectrum spectrum strategy strategy && device device availability availability is is key key 16

Spectrum Harmonisation: A time consuming process Time to achieve regional & international spectrum harmonization is about several years from start to commercial volumes



GSM services – originally around voice



To adapt new data needs new bands had to be identified.



1992: 1992 WRC-92 the 2.1GHz band was identified.

13 YEARS

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1999: 1999 UMTS was standardised as the main technology to be used in this band.



2000: 2000 Awards process in Europe



2005: 2005 Launch of mass market services

PROCESS

Spectrum Harmonisation Why are the spectrum enablers key for mobile broadband?

UMTS UMTS at at 22 GHz GHz

Spectrum Today

Extension of coverage

Refarming

New spectrum

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Extension of capacity, high-bit-rate and services

UMTS/LTE UMTS/LTE at at 1800 1800 MHz MHz

HSPA HSPA at at 900 900 MHz MHz

UMTS/LTE UMTS/LTE at at 2.6 2.6 GHz GHz LTE LTE at at 800 800 MHz MHz

IMT IMT Advanced Advanced at at 3.5 3.5 GHz GHz

Agenda

1 2 3 4 19

Main usages of Mobile Broadband

Growth

Operator perspectives – Orange experience

Conclusion

Conclusion Growth of mobile spectrum usages

Data traffic for Internet Access More and more customers and devices with mobile internet capability.

Data traffic for multimedia contents on Mobile Broadband Live television and video on demand...

Data traffic for smart networking people Social networking.

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Conclusion Future mobile spectrum needs

Important to facilitate harmonised use of identified spectrum for Mobile Broadband –

Importance of technical studies to ensure no interference

–

Adequate balance between Capacity and Coverage bands, with particular attention to the bands below 1GHz

We encourage harmonisation of spectrum usage worldwide – to optimise economies of scale – to ensure timely availability of equipment – to respond quickly to market needs and bridge the Digital Divide

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thank you

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