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0 SK Telecom Confidential 2015 Smart Solutions for Innovative Cities in Copenhagen, Denmark, 2015

1 SK Telecom Confidential 2015

Korea targeting the first 5G trial in 2018

4G/LTE markets and technologies have already matured in Korean market

4G/LTE evolution by SK Telecom

300Mbps 225Mbps

150Mbps

75Mbps 75Mbps

LTE Multi-

Carrier

LTE-A LTE-A

LTE-A

Tri-Band

CA

Market share

49.8%

SK Telecom

First 5G trial

2018

Korean government and

SK Telecom

2011.7 2012.7 2013.6 2014.6 2014.12

World’s first

commercialization

Top 8 countries by

LTE penetration

Korea, South

Japan

Singapore

United State

Canada

Sweden

U.K

Australia

64.29%

42.64%

40.19%

35.4%

29.22%

29.2%

24%

34.41%

Source: GSMA Intelligence 2014.3Q


Evolution to 5G

Is 5G just faster network?

5G 4G/LTE-A

Just

FAST?

~20,000Mbps

450Mbps

4G/LTE

150Mbps

3G

14.4Mbps

2G

384Kbps

1G


5G Key Capabilities and Standardization Timeline

We’ll make all-out efforts to demonstrate 5G in 2018 and commercialize 5G service in 2020

Document 5D/TEMP/625-E, ITU 22nd Meeting of Working Party 5D, San Diega, USA

Enhancement of key capabilities

from IMT-Adv.(4G) to IMT-2020(5G)

IMT-2020

IMT-Advanced

User Experienced

Data Rate (Mbit/s)

Peak Data

Rate (Gbit/s)

Area Traffic

Capacity

(Mbit/s/m2)

Network

Energy Efficiency

Connection Density

(devices/km2)

Latency

(ms)

Mobility

(km/h)

Spectrum

Efficiency

100

10 1

20

0.1

10

100x

1x

1x 3x

350

500

10

1 106

105

ITU IMT-2020 Standardization Timeline

3GPP 5G Standardization Timeline

2015 2016 2017 2018 2019 2020

Technical Performance Requirements

Evaluation Criteria & Method

Req., Eval. Criteria & Submission Template

Proposals

Evaluation

Spec

WRC-15 WRC-19

2015 2016 2017 2018 2019 2020

Channel Model SI

Requirements SI

Rel-14

RAN 5G Workshop 5G 1st-Rel

Rel-15

Rel-16

5G 2nd-Rel


Target 5G use cases

1) Virtual experience, 2) Mission-critical IoT, 3) Massive IoT

Virtual Experience

Incl.

Mobile broadband

Mission-Critical

Internet-of-Things

(IoT)

Massive

Internet-of-Things

(IoT)


Hyper-connected radio

Innovative Services

for virtual experience,

massive IoT, critical IoT

All-IT Infrastructure

for value creating network,

monetization

for massive and multi-Gbps

connectivity

5G architecture

A common 5G architecture needs to support various 5G use cases with diverse

requirements

Telco service

UHD & Hologram

Massive IoT

Mission- Critical IoT

Network slices

Telco/IT functions

Virtualization

O&

M

Orc

he

stra

tion

Telco API

Unified

Converged

Transport

Cloud

Core

Cloud

RAN


LTE-A keeps evolving while new RAT starts to be developed. For new RAT, Below 6GHz

and Above 6GHz are equally important

LTE-A

evolution

New RAT

revolution

Unified high layer

5G radio access

Existing

spectrum

New

spectrum

1GHz 3GHz 10GHz 30GHz 100GHz

Interworking

LTE-A

evolution

New RAT

(< 6GHz)

New RAT

(> 6GHz)

Heterogeneous

cellular network

5G architecture: 1) Hyper-connected radio

Coverage

Capacity



(A) LTE-A evolution: carrier aggregation and high-order MIMO

3.8Gbps FDD/TDD CA

• Joint trial with Nokia in MAE 2014

• 3.8Gbps peak data rate

• 200MHz BW and high-order MIMO

Full-Dimensional MIMO

• Joint development with Samsung

• 3.5GHz 3D beamforming

• maximum 8 users simultaneously

3D Beamforming

(2014.6)

(2015.3)



(B) New RAT revolution: mmWave and cmWave

7.5Gbps mmWave

• Joint trial with Samsung

• 7.5Gbps peak data rate over 28GHz

• Advanced beamforming

5Gbps cmWave

• Joint trial with Ericsson

• 15GHz cmWave with 400MHz BW

• New radio access technology

• Advanced beamforming

(2014.5)

(2015.3)

“Telecom’s Next Goal: Defining 5G”, by Wall Street Journal



(C) LTE/5G Interworking

LTE/5G Interworking

LTE/WiGig Interworking

• Joint trial with Ericsson

• Seamless interworking field trial

• LTE/cmWave tight interworking

• Joint trial with Intel

• LTE as Anchor & WiGig as Booster


Feature Phone Computer

IT Server Network

5G architecture: 2) All-IT Infrastructure

Like smartphone, ‘software’ defines functions in networks

Smartphone

Network virtualization

Programmability, scalability and service agility



5G networks running on the top of virtualized IT infrastructure

intelligently managed by central orchestrator

4G Legacy infrastructure

5G All-IT Infrastructure (SDN/NFV)

IT server farm

EPC

Virtualized

N/W functions DPI Video

Opt

• Dedicated H/W

• Static

• Simple policy

• Virtualized (Open-source S/W, COTS H/W)

• Programmable

• Intelligent

PCRF

DU Pool

RAN Core Cloud RAN Cloud Core

Virtualized

N/W functions

E2E

Control



Key strategic direction

1. Biz enabling platform

2. Guaranteed service delivery

3. Smart infra operation

• Providing network services and platforms meeting different

requirements in new business, e.g. IoT, Big Data

• Managing QoE in end-to-end networks to provide

the optimum user experience for different services

• Enhancing operational intelligence with big data analytics

and IT infra technologies



Top 3 requirements and key enablers

Biz enabling

platform

Guaranteed

service

delivery

Smart infra

operation

• Virtualized network slices for B2B, massive and critical IoT

• Programmable networks with NFV/SDN

Mission-critical IoT

Virtualized network slic #N Media

Virtualized network slice #2

x86-based general-purpose H/W

Virtual infra management

RAN function Core function

Virtualized N/W functions

E2E orchestration and intelligence

Telco Service

Virtualized network slice #1




Biz enabling

platform

Guaranteed

service

delivery

Smart infra

operation

• Real-time E2E network service orchestration

• Mobile-Edge Computing (MEC)

NFV orchestration Network OS (e.g.ONOS)

Analytics-based E2E orchestration

Unified

Transport

Unified

Transport

Distributed

Core functions

IoT

C-RAN C-Core SDDC

Private

networks




Biz enabling

platform

Guaranteed

service

delivery

Smart infra

operation

• Open-source S/W, Commodity H/W

• Analytics-based self-optimizing/organizing networks

Analytics-based

SON


5G architecture: 3) Innovative services

Offering more than just technology

Virtual Experience

Anywhere

Anytime

Mission-Critical

Internet-of-Things

(IoT)

Massive

Internet-of-Things

(IoT)


SK Telecom Confidential 2015