11-Maurice Duault.ppt

1© 2001, Cisco Systems, Inc. All rights reserved.

Deploying Residential SIPService over Broadband Access

Maurice Duault

[email protected]

© 2001, Cisco Systems, Inc. All rights reserved. 2© 2001, Cisco Systems, Inc. All rights reserved. 2© 2001, Cisco Systems, Inc. All rights reserved. 2

Agenda

• Environment

• Architecture

• Business Case


Is SIP ready for residential service over broadband ?

STOCKHOLM, Sweden August 22, 2002 - Cisco Systems today announced that its technology will help enable the launch of a new residential telephone service by Bredbandsbolaget (B2), a next-generation Ethernet over fiber

broadband provider reaching 220 000 households, which will provide a real alternative to the public switched telephone network (PSTN)-based calls in the residential market. With this end-to-end residential voice service B2 will be offering a competitively priced, fully functional telephony service using Voice over IP (VoIP), to its existing customers, as well as to new customers outside its established ISP service. B2 has opted to deliver calls over its Metro Ethernet broadband network using Session Initiation Protocol (SIP), a flexible communications standard developed for the Internet and providing a simple, stable and cost-effective platform that can be used to integrate new services such as unified messaging in the future. video, which also makes it is ideal for the kinds of integrated services B2 is contemplating in the future."

http://newsroom.cisco.com/dlls/prod_082202.html


Metro Ethernet technologies

7600/6500/4000

3550/4000

3550/4000

3550/4000

GE

10720/7600

12000

DPT/ RPR

SDH/WDM

ONS 15000

ONS 15000


Metro market segmentation

Utilities, MunicipalitiesUtilities, Municipalities• Ducts Ducts • RelationshipsRelationships• Named accounts - SMBNamed accounts - SMB

• Existing Fiber Existing Fiber • In-building wiringIn-building wiring• Protect TOP 500, then expandProtect TOP 500, then expand

• TenantsTenants• Value of property increaseValue of property increaseReal Estate DevelopersReal Estate Developers

PTTsPTTs

CableCos and MSOCableCos and MSO

NSPsNSPs

• Access infrastructureAccess infrastructure• ConsumersConsumers

• Service FocusService Focus• Triple play: Video/Voice/DataTriple play: Video/Voice/Data


Common requirements

IP Core

• Provide signaling and call control for VoIP services

• Provide carrier class gateways between TDM and VoIP

• Provide regulatory features

(country-dependent)

• Provide end user access interfaces (POTS,

PRI, IP Phones)

• Provide provisioned, managed and

networked services

• Provide enhanced service platforms(VXML, IVR, Presence, etc)


Alternative Approaches

Inside-Out Approach

• Start with network core and build out to edge

• PSTN element replacement is the operative paradigm

• Capture the network, then the subscriber

• Endpoints are dumb

• Centralized call control

• PSTN-centric architecture

• Development focus on legacy integration

• Opex reduction-driven

Outside-In Approach

• Start with network edge and build in to core

• PSTN service substitution is the operative paradigm

• Capture the subscriber, then the network

• Endpoints are intelligent

• Distributed call control

• IP-centric architecture

• Development focus on new services

• Profitable revenue-driven


Why SIP

• The distributed nature of SIP lowers the barrier to entry

• Standard

• Internet friendly

• Integration of data, voice, video, IM and presence applications


Agenda

• Environment

• Architecture

• Business Case


Reference Network ArchitectureDistributed switching

ASP

Internet

IP

Enterprise IP Tel

GK

MultiserviceVPN

H.323SIP

CarrierInfrastructure

Infrastructure

GK

GK

GK

LCRLILNPIN Billing

PGW

PSTN

PSTN Termination

SLT

MG

GSMUMTS

Mobile TerminationSLTPGW

MG

PGW

Residential VoIP over BB

IP

ProxyGK

MGC


Ethernet Access• Ring Topology• Star Topology

GSR

Operations and Management

NMS Performance, Fault,

Provisioning Servers

BILL

Care

AAA

Video/Voice Services• Cisco Call Control• Partner Call Control • Video Content PSTN

ETTx Network Architecture

End CustomerDeployments

CPECPE

PBX

VoIP GW

ITS SMB Residential - MDU

V

V V

CPE

STBSTB

IP Core

6500 2950/35504000

GKGK

App Svr

AAA

SS7

VideoContent

PGW GK

GK

CSPS

SVR

BTS


SIP Residential configuration

Reference Transport Infrastructure

IP Network

PSTN

Broadband Network

ATA VoIP GWsRTP/voice

VoIP Network

InfrastructureZoneResidential Zone

VoIPInfrastructure

AnalogPhones

PGW2200

SIP

CSPSSIP

PSTN

SLT SS7 STP

IMT

MGCPIPPhones

SoftPhones

V V


Example of SIP Residential Services

Basic Calling

Voice, Fax

Network provided announcements

Access control

Line Features

Call forward unconditional *

Call forward on busy *

Call forward on no answer *

Calling Line ID Presentation *

Calling Line ID Restriction *

Call by call selection of CLIP/CLIR *

Redial on busy *

Last missed call automatic

dialling *

Blocking call to GSM / Int #

Call Waiting *

3 Party Calling *

Call Hold *

Emergency Call #

Local Number Portability #

* Implemented by the CPE

# Implemented by the PGW2200


Cisco Analog Telephony Adaptor(ATA)

• Integrates analog telephones and fax machines into a VoIP network

• Supports call waiting and call forwarding(unconditional, no answer & busy)

• Provides ability to select CLIP or CLIR on a per-call basis

• Registers with SIP Registrar server

• Supports DHCP, TFTP, DNS, NTP, HTTP Digest

• Provides 2 RJ-11 ports and 1-2 10/100 MB Ethernet ports

Cisco ATA 186 Cisco ATA 188


Auto-provision Residential - VxML

• Plug in Phone to ATA

• Plug in ATA

• DHCP/BootP Default config

• Pickup phone, config will only dial VxML application

• Enter your details

• Choose phone number

• Told to power cycle ATA

• ATA is now provisionedIP QoS

CarrierCarrier

VxML on GatewaysVxML on Gateways

Auto-Provisioning Script


Cisco SIP Proxy Server(CSPS)

• Provides call processing functionality via Redirect or Proxy server

• Manages end point registrations via Registrar server

• Provides availability and scalability via ‘farming’

• Lots of external interfaces:

Enum: Phone number to URL translation

LRQ: Integration with H.323 networks

RADIUS: Authentication and Accounting

• Supports DNS, NTP, HTTP Basic/Digest, IPSec, UDP/TCP, RADIUS

• RFC 2543 compliant

• Operates on Linux and Solaris platforms


Cisco PGW 2200 PSTN Gateway

• Provides the bridge between legacy PSTN networks and packet networks

• Supports 600 DPC, 6 OPC, 192 signalling links, 256 MG

• Manages billing for off-net calls, local number portability and emergency numbers

• Provides called/calling party analysis, black/white list screening, routing algorithms, number normalization and many other features

• Supports SS7, SIP, H.323, MGCP, DTMF Relay, DNS


• Operates on Solaris platforms


Cisco Media Gateways

• Provides the bridge between legacy PSTN networks and packet networks

• Supports VXML-based IVR for subscriber provisioning (development of scripts is responsibility of customer)

• Supports SIP, H.323, MGCP, DTMF Relay, T.38 Fax, DNS SRV

• Supports digital (T1/E1 PRI, T1 CAS, E1 R2) & analog (E&M, FXO, FXS) PSTN interfaces


• Includes 827- 4v, 2600, 3600, 3700, 5350, 5400, 5850, 7200, uBR925, CVA 122 platorms


Agenda

• Environment

• Architecture

• Business Case


5 2484

157224 250 262 271 274 283

Revenues

ETTx Business Case: Summary of Key Financials….

Operational expenditure

Capital expenditure*

* Including investments in working capital** WACC = 12%; Corporate tax rate = 35%; Perpetuity growth (after 15 years) = 2%

Source:ETTx model

2002 03 04 05 06 07 08

Free cash flow

Financing need: ~ 188Cash-flow positive Yr 6

NPV** ~ 184

09 10 11

2002 03 04 05 06 07 08 09 10 11

”

-10 -24-62

-106-144 -157 -161 -164 -163 -166

-29 -48 -54 -44-13

34 47 54 59 62

-21 -43 -64 -77 -75-37 -29 -27 -24 -23

Other Model Conclusions:-Most business cases can be shown profitable (EBITDA Positive) within 24 to 36 months-Healthy blend of business (SMB) and residential customers contributes to optimal business case-Business case improves with delivery of voice or voice/video services

EXISTING ATTACKER“FULL BLOWN ETTx


Only data Data/voice Data/voice/video

Services offered

To

p 2

5%

To

p 5

0%

10

0%

Co

vera

ge

of

cit

y (s

urf

ac

e)

Very effective to bundle voice and data while full triple play becomes less important at small coverageUSD Millions; Percent

EXISTINGATTACKER

RESIDENTIAL &BUSINESS

NPV* = 103 NPV* = 165 NPV* = 184

IRR = 18% IRR = 22% IRR = 22%

CF positive = 2007 CF positive = 2007 CF positive = 2007

Financing = 193 Financing = 164 Financing = 188

NPV* = 93 NPV* = 148 NPV* = 158

IRR = 19% IRR = 23% IRR = 22%



NPV* = 77 NPV* = 121 NPV* = 124

IRR = 19% IRR = 24% IRR = 23%




Residential VoIP value propositionfor the Service Provider

• Bundle voice with data or video services over broadband access.

• Reduce churn with service bundling

• No need to deploy Class 5 TDM switches

• Drive broadband growth

• Integrate provisioning of voice, data or voice services

• Provide the same voice services over any broadband access technologies.

• Capitalize on a single VoIP infrastructure for residential, and business services.


Residential VoIP value propositionfor the customer

• Fewer boxes at home

• Additional voice lines

• New telephony experience (XML applications, addition of video)

• Mobility

• Single bill for voice, video and data

• Cost savings specifically for on-net calls (depending on SP charging structure adopted).


Conclusions

• SIP is ready for deployment

• Broadband access business case is improved with VoIP services

• VoIP infrastructure is available for residential and business voice services over broadband access

25© 1999, Cisco Systems, Inc.

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11-Maurice Duault.ppt