1. Innovation Dynamics in the IP Environment
The Future of Voice
ITU Workshop
Geneva, January 2007
Knud Erik Skouby
CICT, Danish Technical University (DTU)

2. Overview Innovation Economics: Changes and disruptions
The Internet & The Internet Protocol
Next Generation Networks
Convergence and Converged services
Conclusion

3. Innovation in the IP Environment
Two overall effects:
Changes in Technology
Separation between network technology and services
Intelligence moved from the core to the edge of a network
Scalability
Distributed design and decentralised control
Changes in products/ markets
access to multimedia applications regardless of the device used or the type of network connected to
Disruption

4. Parameters driving changes
TECHNOLOGY
Applications
Regulation
Services
POLICY
MARKET

5. Technological trends

6. The Internet In the beginning primarily used for Today: Future:
data services, and World Wide Web (WWW)
Today:
a variety of audio/video services like Internet radio and TV, B-logs, computer games, etc
Future:
‘Internet of things’: RFID and ‘sensor networks’
Internet Protocol (IP) design principles
Distributed design and decentralized control

7. Internet services - Examples of Internet’s impacts on media servcies

8. Next Generation Networks (NGN):
A specific network architecture and related equipments, with one common IP core network deployed for the entire legacy. Relates to the transition of current dedicated voice (and radio/TV) networks to the IP based networks:
Next Generation Core Network (NGCN)
the new switching, gateways and transmission equipments in the core network, enabling several access networks to use the same core network
Next Generation Access Network (NGAN)
new access networks, as deployment of optical fibers, and the associated challenges

9. NGAN: Fixed networks
Main access technologies are xDSL and cable modem.
Main development tendencies for these technologies:
Extension of coverage
Increase in capacity per connection.
Unbundling
Bitstream access
Other technologies
FTTx
Capacity is almost a ‘non-issue’ but of course high capacity has high cost
In the current provisions of FTTH from energy firms, figures of 2 – 10 Mbps and up to 100 Mbps can be identified
The main deployment of fibre is in the backbone network of the new/alternative broadband operators
PLC
Availability of infrastructure in the households, No need for wireing
High bandwidth: started around 1 Mbitps but know 45 Mbps modems are available
Source: TDC

10. NGAN Technologies - Wireless
WiFi
Unlicensed Industrial, Science and Medical (ISM) band (The IEEE b standard). Absence of licensing barriers, the simplicity of the technology and cost effectiveness
WiMAX
the IEEE standard for fixed wireless access; it is expected to go mobile in 2008.
Digital broadcast infrastructures
Not worldwide standards and different markets apply to different standards: European DAB &DVB, US ATSC or Japanese ISDB standards.

11. Traditional/current framework -Silo based
Different technologies,
Different sectors,
Different industries
Different markets
Different regulations
The Silo framework is based on:
Technology specific parameters
Regulatory parameters
Content
Service
Broadcast
Press media
Telecom
Internet
Network
Terminal

12. New/Future framework -Convergence
Content
Provision
Service
Infra-structure
End user
equipment
Broadcasting
Telecom IT
End User

13. Convergence (II) Single Play Dual Play Triple Play FTTH DSL Cable
-2000
Dual Play
Triple Play
2005- TV
FTTH
Internet
Telephone TV
DSL
Internet
Telephone TV
Cable
Internet
Telephone TV
Wireless
Internet
Telephone
Based on Henrik Clausen, IDC Telecom Conference 2006

14. Convergence (III)

15. VoIP Scenario Calls from PSTN to IP & from IP to PSTN, using a gateway
Characteristics:
IP terminals are computers, mobile phones PDA’s and dedicated IP phones.
Calls can be placed both to and from a traditional PSTN telephone.
Advanced signaling systems are being used

16. Conclusion: Impact on the Telecom Market
Vertical Separation of Networks and Services
Service and Network Convergence
Death of distance and cheaper bandwidth
Low cost wireless access in rural areas
Change of the fundamental cost structures and investment patterns in the ICT/ telecom sector
Infrastructure as well as applications, services and content oriented technology are changed
Market Convergence
New business models
Direct implications for developing countries.