annual report 2006

W o r l d C l a s s S t a n d a r d s

European roots – global branchesETSI is responsible for the standardisation which hasenabled some of the most important Information andCommunication Technologies (ICT) today.

• The Global System for Mobile communication (GSM™) was developed by ETSI for Europe, and is now a worldwide success story, with 2,3 billion users in over 200 countries, and 1,3 million new users every day.

• ETSI’s Lawful Interception handover standard is being deployed in Europe, as well as in the USA, Australia and elsewhere, and is a growing success.

• Digital Video Broadcasting (DVB) system specifications based on DVB Project proposals have services available on every continent.

• Since Terrestrial Trunked Radio (TETRA) was first deployed in 1997, well over 1000 contracts have been let for TETRA networks worldwide and the technology is now deployed in over 88 countries, of which 53 are outside Europe.

• Digital Enhanced Cordless Telecommunications (DECT™) has now been adopted in over 110 countries. In 2006 about 60 million DECT terminals were sold throughout the world.

• The Subscriber Identity Module (SIM), originally developed for GSM, is the world’s most successful smart card application ever, with 4 billion SIMs deployed worldwide.

Founded in 1988 to help develop an integratedcommunications infrastructure in the newly formedEuropean Market, ETSI is one of the three EuropeanStandards Organisations and is recognised by theEuropean Union and the European Free TradeAssociation (EFTA) as the region’s competent body forstandardisation in telecommunications and otherelectronic communications networks and relatedservices.

The Institute was established as a European body andretains European responsibilities. But ETSI has globalmembership; many of its Members are global players– over 100 of ETSI’s Members (nearly 20% of the totalmembership) have no established operations inEurope.

Why this global interest in a Europeanorganisation?

Because ETSI is leading the way in the standardisationof crucial technologies which are shaping themodern world, technologies such as:• Next Generation Networks (NGN)• 3G mobile communications and their evolution• Ultra Wide Band (UWB)• Electronic Signatures • Broadband Radio Access Networks • Voice over Internet Protocol (VoIP)• Intelligent transport• Band sharing• Grid• Radio Frequency Identification (RFID)• Low Power Devices• Emergency communications• Emergency alerting, eCall• GSM onboard aircraft• Communications for Public Safety • Cable communications• User accessibility• ………

ETSI is an independent, non-profit makingorganisation, one of the largest internationaltechnical associations in the field of ICT, includingtelecommunications and broadcasting. Based inSophia Antipolis in the south of France, ETSI currentlynumbers over 650 Members from 62 countries aroundthe world – including manufacturers, networkoperators, administrations, service providers, researchbodies and users – an impressive array of internationalexpertise, all working together towards the ultimategoal of a universal information infrastructure.

John Phillips,Chairman of the ETSIGeneral Assembly

“The General Assembly is not just forthe administration of the Institute –it’s also about industry technicaldirection and strategic leadership.

ETSI’s strengths include systemarchitecture and integration. OtherStandards DevelopmentOrganisations (SDOs) maystandardise components but ETSIconsistently shows that it canassemble systems that make thecomponents work together. It hasunique expertise such as in theProtocol and Testing CompetenceCentre (PTCC) for conformancestandards and the Plugtests™service for practical interoperabilitytesting.

In 2006 ETSI took its first real steps ineHealth and for 2007 ETSI is lookingat work on Radio FrequencyIdentification (RFID)-based systems.Both of these need ETSI’s specialistskills to get interoperable systems tothe market.

But there’s always more to do forthe industry. ETSI will continue toanticipate the needs of current andfuture members, and serve theindustry’s evolving needs.”

Francisco da Silva,Chairman of the ETSI Board

“Perhaps ETSI’s greatest strength is itsmembership. It is the commitmentand technical skill of individuals thatmakes things happen, and ETSI isblessed with a membership madeup of dedicated and accomplishedexperts in many diverse fields.

As a result, looking back on 2006,we have seen importantdevelopments in communicationsand IT security which will help makethe Internet a safer place to live,work and do business. Theestablishment of Next GenerationNetworks moved closer. Newproducts and systems have beenenabled in implantable medicaldevices, vehicle collision sensorsand Broadband SatelliteMultimedia. And we have seenimprovements in the man-machineinterface that makes all thistechnical progress easier foreveryone to use.

Some of our achievements in 2006are described in the followingpages. In other areas we are justbeginning. Together we can lookforward to exciting newdevelopments in 2007.”

Walter Weigel,Director-General of ETSI

“It is fitting that I should take thisopportunity to pay tribute to thework of my predecessor, Karl HeinzRosenbrock, whose mantle Iassumed mid-2006. During his 15years as Director-General of ETSI, hehelped build up the Institute intowhat it is today – a leader in thefield of standards-making, with aworld-wide reputation and animpressive list of technicalachievements.

ETSI stands now on the threshold ofnew beginnings. As technologiesconverge, there are newopportunities. ETSI is very muchmarket-driven, responding to theneeds of its Members, and is alreadywell established in thestandardisation of developing areas– areas such as Next GenerationNetworks, Radio FrequencyIdentification, eHealth, Grid, theLong Term Evolution of mobilecommunications and the drive tosecure information andcommunication networks.

I am proud to be in a position tohelp ETSI implement its strategy overcoming years, to extend its activitiesand to push back the boundaries oftechnological progress still further.”

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2006 – Progress and New OpportunitiesThe ETSI Strategy for 2006 outlined three overlappingroles for the Institute: developing standards for theglobal market; meeting our obligations as a EuropeanStandardisation Organisation; and providing services. Inall three sectors, ETSI was outstandingly successful in2006.

ETSI was established originally to develop standards forthe European market but, as developing technologieshave made the world a smaller place, the benefits ofinternational co-operation and the advantages ofglobally applicable standards have become apparent.Numerous standards developed by ETSI for Europehave found their way onto the international stage.Some of them are described on the following pages.

Six key technical areas were identified as priorities for2006 – Grid, Next Generation Networks (NGN),Emergency Telecommunications, Interoperability andTesting, Information Security and Radio Spectrumusage. But this is by no means an exhaustive list of ETSI’sstrengths. Nor does progress in these areas constitutethe sum total of ETSI’s achievements in 2006.

The highlights of 2006 include continuing work on 3Gmobile communications. ETSI is one of the foundingpartners of the Third Generation Partnership Project(3GPP™), which was established to develop globallyapplicable specifications for third generation mobiletelecommunications. ETSI and its international partnersmade solid progress in 2006 on Release 7 of the 3GPPspecifications which is due to be frozen in 2007. At thesame time, studies into the Long Term Evolution (LTE) ofthe radio access technology and a simplification of theoverall architecture (System Architecture Evolution, SAE)were completed.

New technologies bring new challenges – not least inhow to protect users from the unscrupulous and themalicious. Security standardisation has become apriority to ensure the success of the Information Societyand the burgeoning e-Economy. Here too ETSI leads thefield, with an impressive pedigree of standardisation inareas such as algorithms, lawful interception, electronicsignatures and smart cards.

Good progress was also made in Next GenerationNetworks. Work began in 2006 on TISPAN_NGN Release 2, which will focus on enhanced mobility, new services and content delivery with improvedsecurity and network management.

But new topics were introduced too. A new TechnicalCommittee was set up to develop standards for Gridtechnology. A Starter Group was established to look intoaspects of eHealth standardisation and to identify thecontributions that ETSI could make to this importantinitiative. Another important growth area for ETSIstandardisation work is Radio Frequency Identification(RFID).

If we are to measure technical achievements by thenumber of standards and reports produced, then 2006was indeed a successful year; over 1600 deliverableswere published and, by the end of 2006, ETSI hadproduced a total of nearly 18 000 since the Institute wasestablished in 1988. At the same time, production isamong the most efficient of any standardsdevelopment organisation: an average of 70% ofstandards are produced faster than targeted.

Or should success be measured by people? Confirmingthe trend observed last year, ETSI membership evolvedpositively again in 2006, rising to well over 650.Newcomers have been attracted by the new topicsbeing standardised in ETSI, and in 2006 Members joinedfrom the former Yugoslav Republic of Macedonia,Jordan, Mexico and Qatar, bringing the number ofcountries and provinces represented to 62, drawn fromfive continents. Some Members have also substantiallyincreased their financial contribution in recognition ofthe importance of the work being achieved in ETSI.

In the following pages are reports of the Protocol andTesting Competence Centre and the Plugtests™ servicewhich provide invaluable services in testing andinteroperability. Indeed, much of our technical successwould not be achieved without the unflagging supportof these and our other competence centres: the MobileCompetence Centre (MCC), the Fixed CompetenceCentre (FCC) and the Radio Competence Centre(RCC). There was also growth in 2006 in Forapolis, whichprovides services to fora and consortia.

However one measures success – by technicalachievement, by the quantity and quality of thestandards and reports produced, or by the support andconfidence of our membership – 2006 was a year ofoutstanding success for ETSI.

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New technologies bring newsecurity challenges. As technologybecomes more powerful, so too dothose who seek to exploit it fordishonest gain or make maliciousattacks on companies andindividuals. As new opportunitiesunfold, the potential damage whichcan be wrought by the criminalescalates. Security failures are nolonger just an inconvenience; theycan directly affect the value ofcompanies, cause serious publicembarrassment and have legalconsequences. They underminepublic confidence in newtechnology and hinder its take-up.

Standards are essential forinteroperability, ensuring thecompliance of products withadequate levels of security.Information security standardisationhelps protect individuals,organisations and nations againstserious security breaches.

ETSI has extensive experience insecurity standardisation, with aproven track record in creatingsecurity specifications across a widerange of technical areas including:• Public Safety and Security• Mobile and Wireless Security• Algorithms• Smart Cards• Next Generation Networks

(NGN) Security• Lawful Interception• Electronic Signatures

ETSI is developing standards toenable the new technologiesemerging today, but it also focuseson tomorrow. The Institute isaddressing the future challenges ofProduct Proofing against Crime,Digital Rights Management (DRM)and Retained Data.

Public Safety and SecurityThe need for emergencytelecommunications includes manyscenarios ranging from a minor roadtraffic accident to a major incidentlike a passenger train crash, aterrorist incident or a natural disastersuch as an earthquake or tsunami.

EMTELETSI’s Special Committee EMTEL isresponsible for the creation ofrequirements concerningemergency communicationservices. In 2007, the committeeexpects to complete its full set ofspecifications governingcommunications in times ofemergency, coveringcommunication of citizens withauthorities, from authorities tocitizens, between authorities andamongst citizens.

New reports on the suitability of theShort Message Service (SMS) andCell Broadcast Service (CBS) foremergency messaging and on therequirements for emergencycommunications network resiliencywere also published in 2006. A studyof emergency calls and Voice overInternet Protocol (VoIP) is wellunderway and is expected to befinalised by the middle of 2007.

Project MESAProject MESA (Mobility forEmergency and Safety Applications)is a transatlantic partnership project,established by ETSI and the NorthAmerican TelecommunicationsIndustry Association (TIA).Membership has expanded since itwas first established, and ProjectMESA now also has members fromCanada, China, India, Korea,Australia and Japan. Its charter is toproduce user requirements andtechnical specifications for a digital

Security for today – and tomorrow Security WorkshopTo identify new security threats– and conceive ways oftackling them – in January 2006ETSI organised a securityworkshop on ‘Future Security –the Risks, Threats andOpportunities’, bringingtogether security experts fromkey organisations all over theworld. The event, which wassponsored by Vodafone andthe United KingdomDepartment of Trade andIndustry (DTI), was so successfulthat the workshop has nowbeen established as an annualevent.

Over 70 people involved insecurity standards attended tohear presentations from expertsfrom the EuropeanCommission, the InternationalTelecommunication Union (ITU),the European Committee forStandardisation (CEN), theEuropean Network andInformation Security Agency(ENISA) and ETSI’s own security-related technical committees.

The workshop identified anumber of key areas ofstandardisation requiringfurther work and co-operationand, where appropriate, thesewere built into ETSI’s work plansfor the year. The areasidentified included:

• Handset design for security • Digital Rights Management

(DRM)• Network security, security

assurance and service protection

• Emergency Telecommunications (EMTEL)

• Smart Cards • Electronic Signatures • Lawful Interception • Biometrics • eHealth security aspects • Radio Frequency

Identification (RFID)

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mobile broadband system which will revolutionise theefficiency of first responders and rescue squads during anemergency or a disaster.

Project MESA had previously produced a Statement ofRequirements and a System Overview which togetherprovide a very high level understanding of the MESAnetwork and its ‘System of Systems’ approach. Using thesedocuments as guidelines, the industry members have beeninvited to propose their technical solutions.

In 2006, there were five technical proposals submitted byindustry participants illustrating how user requirements canbe met. The proposals, which cover technologies such ascdma2000® EVDO, W-CDMA, variations of 802.11, 802.16and satellite technologies, will form the basis for thespecifications and standards which will now bedeveloped. The suitability of these technologies will beevaluated in 2007, to produce a High Level Project MESANetwork Architecture depicting all necessaryinterconnections: identification and evaluation ofperformance criteria; technical evaluation of proposedtechnologies; and a gapping analysis of proposedtechnologies. This will then form a solid foundation for thenext step – developing a draft technical specification.Additional proposals may also be included in this process.

3GPP™ The Third Generation PartnershipProject deals with a number of 3Gservices dedicated to publicsafety: the Priority Service andMultimedia Priority Service, theVoice Group Call Service (VGCS)for public authority officials, thetransferring of emergency calldata and the Public WarningSystem.

3GPP specifications alreadysupport the high-levelrequirements identified for PriorityService, and 3GPP is nowaugmenting the existingstandards for Multimedia Priority.

VGCS is essentially complete. The high level requirementsfor the transferring of emergency call data have beencompleted. The next stage will involve industryconsultation.

Progress was made in 2006 in support of the EuropeanCommission (EC) eSafety initiative, eCall, an in-vehicleemergency call service which will allow data generatedduring a road traffic accident or similar incident to berouted to a Public Service Access Point (PSAP) as part ofan emergency call automatically instigated by thevehicle. This work has involved liaison with ETSI’s MobileStandards Group Technical Committee (TC MSG).

New work has been started on the Public Warning Systemand has progressed well, with support from all regionsfollowing several natural disasters around the world. Thisfeature will allow public authorities a reliable means of

passing messages and instructions to users of cellularterminals, to warn of impending disasters.

As a result of the 2006 security workshop, and in responseto the need for effective methods of dealing with theconsequences of downloading and activating a virus on amobile telephone, new work began on the SelectiveDisabling of User Entity (UE) Capabilities. This work isexpected to be finalised in 2007 and will be included in3GPP Release 7.

TETRATerrestrial Trunked Radio (TETRA) is another global ETSIsuccess story. Since it was first deployed in 1997, well over1000 contracts have been let for TETRA networksworldwide. Compared with 2005, in 2006 TETRAexperienced a 37% growth in the number of contracts letand a 15% increase in the number of countries whereTETRA is deployed – now in over 88 countries worldwide, ofwhich 53 are outside Europe. The fastest developingregions are Latin America and Asia Pacific.

The main market for TETRA continues to be national publicsafety organisations deploying TETRA for shared networks,the largest being a national network for Germany, whichwas announced at the end of 2006. Besides public safety,TETRA has been and continues to be deployed in all othertraditional Professional Mobile Radio (PMR) markets, suchas transportation, utilities, industrial and Public AccessMobile Radio (PAMR), as well as in the military sector forpeace-keeping and other non-tactical activities. Thoughstill numerically low, the fastest growing markets areCommerce & Industry and Utilities, which have grown 95%and 68% respectively compared with 2005.

A significant area of progress in 2006 was the completionof the Air-Ground-Air (AGA) solution to extend the rangeof TETRA Trunked Mode Operation (TMO), enablingfrequency spectrum efficient communication betweenusers on the ground and in light aircraft. Cross-border AGAcommunication for public safety organisations in Europehas also been made possible by the CEPT-ECC Decision of7 July 2006 on the harmonised frequency bands to bedesignated for AGA operation of the Digital Land MobileSystems for the Emergency Services.

TETRA Release 1 and the core of the TETRA Release 2standard are already complete; standardisation work onthe TETRA Enhanced Data Service (TEDS), the PeripheralEquipment Interface (PEI) and the TEDS Designer’s Guidecontinues and is expected to be finalised in the first half of2007.

Another significant area of progress in 2006 was thecompletion of the feasibility study into the implications of using a ‘Tuning Range’ concept for the operation ofTEDS for public safety applications in the 380-400 MHz, 410-430 MHz and 450-470 MHz bands.

ETSI also revised several of the TETRA standards in 2006 totake into account user feedback from field experience.This sort of feedback continues to play a significant part,particularly with regard to new features and facilities thatwill need to be developed and incorporated into future

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releases of the TETRA standard as additional requirementsare identified and technological innovations offer newpossibilities. The evolution of the TETRA standard istherefore expected to continue for some time to come.

Satellite emergency communicationsNew work has also been initiated on satellite emergencycommunications.

Mobile and Wireless SecurityWith the trend towards internationally distributed corenetworks and the introduction of Internet Protocol (IP) asthe network layer in the backbone network, mobiletelecommunications are facing a whole new set of threatsand risks.

The emergence of fixed broadband access to the IPMultimedia Subsystem (IMS) has led to special focus beingput on an IMS signalling protection solution that traversesNetwork Address (and Port) Translation (NA(P)T) andfirewall devices. 3GPP has also been studying therequirements – and solutions – for Next GenerationNetworks (NGN) which are not covered by ETSI’sTelecommunication and Internet converged Services andProtocols for Advanced Networking Technical Committee(TC TISPAN), such as media protection in IMS. 3GPP is alsoworking on IMS security in conjunction with solutions forsecure access to the core network which areindependent of access networks and applications.

To protect the core network signalling protocols in 3G andfixed broadband systems, security solutions are beingdeveloped for both Signalling System No. 7 (SS7) and IP-based protocols.

AlgorithmsETSI is a world leader in creating cryptographic algorithmsand protocols to prevent fraud and unauthorised accessto Information and Communication Technologies (ICT)and broadcast networks, and to protect customers’privacy.

ETSI’s Security Algorithms Group of Experts (SAGE) specifiescryptographic algorithms for use in standardisedtelecommunications systems. In recent years most of itswork has been for mobile telephone standards (GSM™,General Packet Radio Service (GPRS), Enhanced Data forGSM Evolution (EDGE), the Universal MobileTelecommunications System (UMTS™)), but the group hasalso provided algorithms for TETRA and Digital EnhancedCordless Telecommunication (DECT™).

In 2006, ETSI was responsible for a major developmentwhich will help protect users of mobile telecommunicationservices. The current radio interface protection algorithmsfor UMTS – UEA1 for encryption and UIA1 for the integrity ofsignalling messages – were designed by SAGE back in1999. No weakness has been discovered in thesealgorithms, and there is no indication that a weakness islikely to be found. However, to prepare for such aneventuality, 3GPP and the GSM Association had askedSAGE to specify a second set of algorithms, UEA2 andUIA2. Apart from the obvious requirements on speed and

implementation complexity, the main design criterion forthese new algorithms was that they should befundamentally different in nature from UEA1 and UIA1.That way, if an advance in cryptanalytic theory everthreatens one set of algorithms, it will be unlikely to affectthe other. SAGE delivered the UEA2 and UIA2specifications in January 2006.

Smart cardsSmart cards – micro-processorequipped tokens which canstore and process information– have diverse applicationsincluding banking andhealthcare, as well astelecommunications and IT.

ETSI has a well establishedpedigree in thestandardisation of smartcards, dating back to itsspecification of the SubscriberIdentity Module (SIM) for GSM– the world’s most successfulsmart card application ever, with4 billion SIMs deployed.

ETSI’s Smart Card Platform Technical Committee (TC SCP)is responsible for creating a series of specifications for asmart card platform on which other bodies can base theirsystem-specific applications to achieve compatibilitybetween all applications resident on the smart card.

Early achievements with the SIM have evolved to theUniversal Integrated Circuit Card (UICC) – from astandardised application offering secure value addedservices to a true multi-application security platformproviding the user with a wealth of opportunities. The UICCprovides a standardised security platform on whichspecific applications can be realised using today'sinterface to the outside world. Logical channels allowapplications to run in parallel, applications may sharestandardised security functions or they may have theirown security functions and attributes. The new high speedinterface currently being standardised will allow the smartcard to be used for Digital Rights Management (DRM),stream ciphering (Pay TV) and as a mass storage device.

During 2006, ETSI approved a number of new smart cardspecifications including one containing the conformancetests for the Card Application Toolkit (CAT), which definesa toolbox for creating applications such as mobilebanking, location based services and ticketing accesscontrol.

A large number of new features and functionality werealso introduced into the Release 7 version of smart cardspecifications.

To support some of the new functionality and to be ableto use smart cards for mass storage and as a device in theInternet world, it had previously been agreed to specify a new high speed protocol between the UICC

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and the terminal. In November 2006, after much debate,the decision was taken to use USB IC (Inter Chip)technology as the basis for this new high speed protocol.The technical realisation of this now begins.

Another topic about to be completed is the technicalrealisation of the USSM, the UICC Security Service Module,which could add significant value to DRM, secure e-mail,payments, banking and application download (to boththe card and the terminal device). New features andfunctions for Release 8 form part of the ongoing work.

The aim is to turn today's mobile phone into a multipurposeterminal, a lifestyle tool and personal security device byestablishing a second, contactless communicationchannel. Typical applications are ticketing and accesscontrol for public transport as well as payments using anelectronic purse on the UICC. This contactless interface isnow being standardised in ETSI.

Next GenerationNetworks ETSI is producing the standardsnecessary to enable NextGeneration Networks (NGN) tosupport multimedia services andinterworking with legacy networksand services.

In 2006 ETSI’s Telecommunicationand Internet converged Servicesand Protocols for AdvancedNetworking Technical Committee(TC TISPAN) began work onTISPAN_NGN Release 2, which has afocus on enhanced mobility, newservices and content delivery withimproved security and networkmanagement.

Lawful Interception Lawful Interception (LI) plays a crucial role in helping lawenforcement agencies to combat terrorism and seriouscriminal activity. It is therefore an essential part of theinfrastructure supporting electronic transactions. As such, itis a key factor in the growth and development of theInformation Society.

The providers of public telecommunications networks andservices are legally required to make available to lawenforcement authorities the information necessary toenable them to monitor telecommunications traffic insupport of investigations of criminal activities.

The main focus of ETSI’s Lawful Interception TechnicalCommittee (TC LI) is now on the handling of InternetProtocol (IP) traffic and the handover protocol via IPdelivery. The generic handover interface specification andthe IP-based handover interface specification werecreated in 2006 and a set of service-specific details for IPservices interception has been produced.

In 2006 the Terms of Reference of TC LI were extended toinclude work on Retained Data and the committee has

started work on two relevant specifications: one onrequirements and a second on the Retained DataHandover Interface.

Electronic Signatures An electronic signature is data in electronic form that isattached to or logically associated with other electronicsubject data and serves as a means of authentication.

ETSI’s Electronic Signatures and Infrastructures TechnicalCommittee (TC ESI) is responsible within ETSI forstandardisation in the area of electronic signatures andPublic Key Infrastructure (PKI) to support electroniccommerce in open environments.

After having successfully completed work to align theEuropean with the US Federal Bridge Certification Authority(FBCA) policy on certificates, the committee is nowconcentrating on two main activities: Registered E-Mail(REM) and digital accounting.

Registered E-Mail (REM) activities aim to provide aframework for origin authentication, proof of delivery andlong term availability. This project has a huge number ofpotential applications and is bringing together severalareas of Information Technology, telecommunications andpostal business.

Digital accounting is fundamental to boosting the adventof paperless accounting documentation (such aseInvoicing), which will increase efficiency for companiesand reduce the possibilities for fraud. TC ESI is focusing ontwo critical aspects: the requirements for trust serviceproviders and electronic signatures profiles.

In parallel, TC ESI is also updating the ‘Algo paper’, anassessment of cryptographic algorithm specifications to beused within the Electronic Signatures framework.

TC ESI’s work is increasingly influencing the internationalscene; in particular, after ETSI’s electronic signaturesstandards were adopted for eCommerce in Japan, thecommittee is collaborating closely with the ElectronicCommerce Promotion Council of Japan (ECOM).

Proofing Products against Crime A new area with significant potential for new standards,Proofing Products against Crime involves integrating orembedding crime-prevention features into products – toreduce their potential to become targets of criminalactivity (such as theft, fraud or damage), as well aspreventing their use as instruments of crime.

The term ‘product’ encompasses physical objects,electronic information, electronic services and computersoftware. The European Commission has requested actionfrom the European Standards Organisations on this topic.

ETSI’s first contribution is a White Paper on ProofingProducts against Crime, due for publication early in 2007,which will present some of the key concepts of crimeproofing and include recommendations for key areasrequiring further work.

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ETSI – a Service Providing OrganisationETSI’s Strategy for 2006 recognised the Institute’s role inproviding a professional service, both to its Members and toothers. With its wealth of expertise in diverse technical areas,ETSI is able to provide attractive and competitive services tofora and consortia through Forapolis. ETSI also has manyyears’ experience in interoperability testing and verification.

Interoperability and TestingThere is an ever-increasing awareness that mass-marketdevelopment requires interoperability based on openstandards. In addition, the end-user appreciates morechoice, but expects certainties. The main aim ofstandardisation is to enable interoperability in a multi-vendor,multi-network, multi-service environment.

ETSI has taken a number of initiatives to enable theproduction of interoperable standards. These include theappointment of a Champion for Interoperability within theETSI Board, and the organisation of a series of interoperabilityworkshops. Central to ETSI’s work on interoperability andtesting are its Methods for Testing and SpecificationTechnical Committee (TC MTS), the ETSI Protocol and TestingCompetence Centre (PTCC) and the ETSI Plugtests™ service.

ETSI TC Methods for Testing andSpecificationAs standards and interoperability become crucial factors inmarket success, the way that standards are written gathersincreasing importance. ETSI's aim is always to producedocuments that are clear, easy to understand and easy touse. TC MTS provides the frameworks and methodologiesnecessary to achieve this goal.

2006 was a particularly successful year for activities inInternet Protocol Testing (IPT). The highly successful testspecification language, Testing and Test Control Notationversion 3 (TTCN-3), was developed further. The continueduptake of TTCN-3 is very encouraging and has extendedboth outside the telecommunications sector and to an ever-widening geographical area. For example, there is a stronginterest in TTCN-3 in China and the standard has beentranslated into Chinese.

The Protocol and Testing CompetenceCentre

The PTCC is a unique resource available toETSI committees for the application ofleading-edge specification, validation and

testing techniques in ETSI standards and reports.

In 2006 specific technical assistance was offered to TC MTSwith its guidelines on a Generic Interoperability TestingFramework and other related methodologies, and the BoardAd-hoc interest group on Internet Protocol MultimediaSubsystem (IMS) testing and testbeds. Work on IMS Network-to-Network Interfaces (NNI) interoperability testspecifications has begun, and the PTCC prepared anoverview of different IMS testing initiatives.

The co-operative testing activity with WiMAX, run on behalfof ETSI’s Broadband Radio Access Networks TechnicalCommittee (TC BRAN), has led to a general interest from the

wireless world in the activities of the Centre. Support alsocontinued in 2006 in traditional areas such as the ThirdGeneration Partnership Project (3GPP™) conformancetesting, IPv6, Digital Mobile Radio (DMR)/Private MobileRadio (PMR) and TISPAN/OSA Parlay.

The PTCC co-authored the third in the series of ETSI WhitePapers, on ‘Achieving Technical Interoperability – the ETSIApproach’, published in October 2006.

The ETSI Plugtests Service The ETSI Plugtests service specialises inorganising and running interoperability testevents for a wide range of converging

standards for telecommunications, Internet, broadcastingand multimedia. Plugtests events are open to all types ofcompanies, whether or not they are ETSI members;standardisation bodies, fora and interest groups also attend.

Companies that participate in Plugtests events find theyhelp to improve both the quality and features of theirimplementations, accelerating time to market, thanks toearly product debugging. The events provide a uniqueopportunity to meet partners and competitors, whilst thefeedback obtained is extremely valuable to thestandardisation process.

In 2006, the Plugtests Service organised 13 successfulinteroperability events. These included the first LawfulInterception interoperability event and a WiMAX Plugfest.Other highlights included participation in the IPv6 Summit inBeijing, a Speech Quality test event and the NGN@home –Triple Play event at which 122 participants representing 40companies tested broadband access technologies andTriple Play applications. The third edition of GRID@workgathered together Grid experts from all over the world.

ForapolisForapolis was established within ETSI toprovide support services on a profit basisto fora involved in relevant technicalspecification activities. In 2006, the unit

saw significant growth, with the number of clients rising fromthree to six, the income increasing by 23% to over 2 M€, andthe recruitment of additional staff.

This increase in workload led to a reorganisation in July 2006to provide a more efficient service. There are now twoteams: Forapolis OMA Document Support Office (DSO),servicing the Open Mobile Alliance (OMA), and ForapolisCustomer Support Office (CSO), which takes care of allother customers:• The Home Gateway Initiative (HGI) • Linux Phone Standards (LiPS) Forum• Next Generation Mobile Networks (NGMN)• The Global Certification Forum (GCF)• Plus one undisclosed client

Indications are that continued growth can be expected in2007 with an expanded service portfolio and a furtherincrease in both the customer base and income.

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Release 7Each Release of the Third GenerationPartnership Project (3GPP™) systemspecifications for third generationcellular telecommunications providesmobile operators and equipmentmanufacturers with a stable referenceplatform to build networks andterminal equipment. The next Release,Release 7, has had the longestdevelopment period of any Releaseso far. Begun shortly before thefreezing of Release 6 at the end of2004, Release 7 is due to be frozenduring 2007. The work has involved theusual enhancements to the system,designed to bring new revenue-producing potential to networkoperators and cost reduction toequipment suppliers – aspects vital inan era of falling revenue persubscriber.

Long Term Evolution3GPP endeavours to ensure thecontinued competitiveness of 3GPPsystems over the longer term (typicallya 10 year timeframe) and is constantlylooking for economically soundsolutions that will provide greaterbitrates, maximise the use of the radiospectrum and offer increased flexibilityfor the delivery of future services. Thepurpose is to identify and thenstandardise the evolutionary path for3GPP technology, in the same waythat GSM has been evolved from abasic voice system to GPRS and EDGE.

Throughout 2006, therefore, a greatdeal of effort was directed atadvance studies towards what hasbecome known as the Long TermEvolution (LTE) of the radio accesstechnology and a simplification of theoverall architecture (SystemArchitecture Evolution, SAE). Thesedevelopments are being madepossible by the increasingly stable andever widening applicability of theInternet Protocol (IP) MultimediaSubsystem (IMS).

3GPP’s work aims to minimise thenumber of technical solutions toensure interoperability, reduce anyredundant ‘mandatory’ features andsupport mobility between the differentaccess networks that exist in the realworld.

Developments in the Radio AccessNetwork are crucial. By 2010, the 3GPPradio access technology should allowat least a ten-fold increase in datarates compared with the originalUniversal Mobile TelecommunicationsSystem (UMTS™) capability, maximisedfor slow-moving terminals, butpresenting respectable service evenat high-speed train rates (350 to 500km/h). With enhancements to HighSpeed Packet Access (HSPA), the3GPP radio access technology will behighly competitive for several moreyears to come. However, to ensurecompetitiveness in an even longertimeframe, issues such as reducedlatency, higher user data rates,improved system capacity andcoverage and future additional 3Gspectrum allocations are beingaddressed. Feasibility studiesconducted on LTE started in 2004 andculminated in 2006 with conclusionson the functionality to bestandardised. The resulting technicalspecifications should be stable by theend of 2007.

Future enhancements to the radiointerface need also to be reflected inupgrades to the core networkarchitecture, so that the full benefits ofsystem evolution can be realised. Thedevelopments will also be aligned withwork (in ETSI and elsewhere) on NextGeneration Networks, to maintain thecurrent drive for fixed-mobileconvergence towards an all-IP corenetwork.

Progress in 2006 Recent progress has been substantial,with the studies on LTE and SAE beingcompleted during 2006. This in turn hasallowed detailed specification workfor LTE and SAE to start, with a view tocompletion in the Release 8 timeframe– that is, by the end of 2007.

Increasing confidence in the stabilityof Releases up to Release 5 hasenabled a quickening of network roll-out, with 3G networks providingdemonstrably more attractive servicescompared with 2G. Meanwhile,substantial resources have beenutilised to enable reliable handoverbetween 2G and 3G services.

Mobile Telecommunications – the Third Generation

ETSI and the ThirdGeneration PartnershipProject ETSI is one of the foundingpartners of the ThirdGeneration Partnership Project(3GPP™), in which the Institutecomes together with five otherregional standardisationorganisations in Asia and theUSA, plus market associationsand several hundred individualcompanies. Established todevelop globally applicablespecifications for thirdgeneration mobiletelecommunications (theInternationalTelecommunication Union’s(ITU’s) IMT-2000 family), 3GPP isalso responsible for themaintenance and evolution ofthe specifications for theenormously successful GlobalSystem for Mobilecommunication (GSM™),which was defined by ETSI, andfor transitional technologies,including the General PacketRadio Service (GPRS) andEnhanced Data for GSMEvolution (EDGE).

Further information at:www.3gpp.org

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Additionally, much effort has been expended onhandover between 3G and WiFi networks to enablesecure and seamless Voice Call Continuity (VCC). Thisallows graceful transition, imperceptible to the user,between the public 2G or 3G network and corporate WiFinetworks or public hotspots, addressing the technicalchallenge of handover between circuit- and packet-switched domains.

The success of the IMS, developed by 3GPP to allow anew model of network service provision in an all-IPenvironment, has proved such a winning solution that it isbeing adopted by ETSI’s Telecommunication and Internetconverged Services and Protocols for AdvancedNetworking Technical Committee (TC TISPAN) in itsspecification of its Next Generation (fixed) Network. Thisgives a real boost to the goal of convergence betweenfixed and mobile networks – the long-talked-ofconvergence is really just around the corner. Indeed,convergence has been experienced from initiallyunimagined quarters, with the principally North Americancable TV operators agreeing to use IMS in their newnetworks. This initiative has now spread to the Europeancable TV operators, which traditionally use differenttechnology to their American counterparts. Finally, theWiMax community is considering using IMS as its coreservice provision technology. Towards the end of 2006, aworkshop was held in conjunction with the 3GPP plenary

meetings in Palm Springs, California, in which all theseparties came together for the first time and committedthemselves to working towards a single IMS specification.

Throughout the year, 3GPP has been supported by ETSI’sMobile Competence Centre (MCC). In particular in 2006,the MCC compiled detailed reviews of the new andimproved features of Releases 99, 4, 5 and 6, bringingtogether information formerly spread across hundreds ofmeeting contributions and reports.

Over 100 separate Features are being incorporated in Release 7 and others have already been identifiedfor Release 8. Among the more significant are:

• Improvements to location-based services made possible by the availability of the Galileo satellite specifications will enable an Advanced Global Navigation Satellite System (A-GNSS) in systems based on both the GSM/EDGE Radio Access Network (GERAN) and the UMTS Radio Access Network (UTRAN).

• eCall, the in-vehicle emergency call service being developed in co-operation with ETSI’s Mobile Standards Group Technical Committee (TC MSG), which will automatically relay data about a road accident from the vehicle involved to the emergency services, providing a faster and more effective emergency response.

• Multiple Input/Multiple Output (MIMO) antenna systems have figured in the 3GPP work plan since 2001, but progress had hitherto been slow. Finally, in 2006, real advances were made in the light of companies' continuing development work in relation to High Speed Packet Access (HSPA).

• A Public Warning System will allow public authorities a reliable means of passing messages and instructions to users of cellular terminals, to warn of impending disasters.

• The Short Message Service (SMS) has proved immensely popular over the years, with usage exceeding initial estimates by several orders of magnitude. In Release 7, the feature ‘Routeing of Mobile Terminated Short Message Service (MT-SMS) via the Home Public Land Mobile Network (HPLMN)’ allows the SMS receiving terminals’ home network to control the flow of SMS messages even when the receiving terminalis roaming in other networks. This will enable the operator to have greater ability to filter out spam and spoof messages. It will also allow it greater control over delivery costs and enable new services such as SMS forwarding.

• Another feature giving operators more control over traffic flow during periods of potential congestion is Access Class Barring and Overload Protection (ACBOP). Networks can experience unexpectedy high traffic levels, for example during traffic jams, demonstrations etc, resulting in cell-level or even wider area congestion. The mechanisms being developed are applicable to both 2G and 3G access networks and the core network.

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With increasing convergence between fixed and mobilecommunication, the telecommunication services of thefuture are likely to be delivered seamlessly over the mostappropriate access network. Users will roam betweendomains and networks unaware of the underlyingmechanisms and technologies that enable them to do so.

The new network model which is designed toaccommodate the diversity of applications inherent inemerging broadband technologies has been dubbedNext Generation Networks (NGN) and is based on theextensive use of the Internet Protocol (IP). NGN relies on afew general principles: a shared core network for allaccess and service types, packet-based transporttechnologies, open standardised interfaces between thedifferent network layers (transport, control and services),support for user adaptable interfaces and variable accessnetwork capacity and type.

ETSI is developing the necessary standards to bridge thedisparate networks and domains, allowing them tointeroperate. The work is being managed by the Institute’sTelecommunication and Internet converged Services andProtocols for Advanced Networking Technical Committee(TC TISPAN).

TC TISPAN is working closely with the Third GenerationPartnership Project (3GPP™) to define a harmonised corebased on the IP Multimedia Subsystem (IMS) for bothwireless and wireline networks. This all-IP network has beenidentified as the technology of choice to provide acompletely new telecommunication business model forboth fixed and mobile network operators.

TISPAN_NGN Release 1, published at the end of 2005,provided the robust and open standards that industry canuse as a reliable basis for the development andimplementation of the first generation of NGN systems.Release 1 fulfilled two fundamental market requirements:the support of advanced multimedia services on the onehand and providing the traditional telecommunicationsoperators with the mechanisms to replace their originalcircuit-switched networks with the new IP-basedinfrastructure. The provision of enhancements to Release 1continued throughout 2006, in particular with theintroduction of further supplementary services for IMSinfrastructure, and TC TISPAN dealt with numerous ChangeRequests for Release 1 maintenance and enhancements –a clear indication that the Release is being widelyimplemented.

In 2006 the TC began work on TISPAN_NGN Release 2,which has a focus on enhanced mobility, new servicesand content delivery with improved security and networkmanagement. The final scope of the Release has nowbeen defined; it will include an IMS NGN PerformanceBenchmark standard to improve the data available forNGN deployment decision-making. A draft of this standardwas made public in October 2006 so that feedback fromstakeholders could be incorporated. Release 2 is expectedto be completed by the end of 2007. Close collaboration

with 3GPP continues, with a number of co-locatedmeetings being arranged, to ensure that a single set ofspecifications for IMS is created.

Other major topics within TC TISPAN included additionalaccess types and interworking with private and corporatenetworks. Progress was boosted with a number of ETSISpecialist Task Forces (STFs) focusing on the UniversalCommunications Identifier (UCI) in NGN, the features andservices of global NGN (which provided particularly helpfulinput on IPTV solutions) and testing and validationinterworking.

New work was started on home devices and homenetworking with the establishment of a working group(WG5) which will deal with aspects that includeinterworking with NGN, specifically the effect on IMS andthe synergies between home devices and networks andenterprise networks. A top priority for the group will be thedefinition of standards for the customer network,concentrating on end device interfaces. TC TISPAN istherefore seeking to involve manufacturers of consumerelectronics to broaden its perspective. To this end, it iscollaborating with relevant fora such as the DSL Forum, theHome Gateway Initiative and the Digital Living NetworkAlliance (DLNA).

External co-operation is a high priority for TC TISPAN,especially since the Global Standards Collaborationdesignated ETSI the primary Standards DevelopmentOrganisation (SDO) for NGN, and TC TISPAN provides inputto, and considers feedback from, SDOs and other groupssuch as OMA, the United States Alliance forTelecommunications Industry Solutions (ATIS) and theTelecommunications Standardisation sector of theInternational Telecommunication Union (ITU-T).

TC TISPAN benefits from the strong support of operators,vendors, service providers and research and governmentrepresentatives, with some 200 delegates regularlyattending meetings. This is recognition of the importanceof TISPAN specifications to the telecommunicationscommunity, and their growing impact on industrydevelopments. TC TISPAN’s standards areproving popularwell beyondEurope, and inNovember 2006the TC took itsmessage to LatinAmerica,holding one ofits plenarymeetings and atwo-dayworkshop onNGN, which wasattended byover 400 people,in Brasilia, Brazil.

Next Generation Networks

IMS has become the point of convergence

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Radio Frequency Identification (RFID) is an importantgrowth area for ETSI and has been identified as one ofthe Institute’s top technical priorities in its Strategy for2007 and beyond.

An RFID system enables data to be transmitted by adevice (tag) via radio signals which are picked up byan RFID reader and processed according to the needsof a particular application. At its simplest level, RFIDmay be seen as an alternative to the ubiquitous barcodes. But, with the ability to store and transmit verymuch more data, RFID can be used to identify, track,sort or detect a wide variety of objects.

ETSI’s work in this area started with the standardisationof the radio interface, and input into the spectrummanagement process, mostly aimed at applications inthe field of logistics. In 2006 ETSI started to consider howto apply its expertise in interoperability and security tocomplete RFID systems, and also to look at otherbusiness applications, such as transport and logistics,access control, real-time location, supply chainmanagement, manufacturing and processing,agriculture, medicine and pharmaceuticals. With theability to identify objects and to trace them throughInformation and Communication Technologies (ICT)networks, RFID is a key enabling technology in the‘Internet of Things’.

In 2006 ETSI took part in the workshops organised bythe European Commission (EC) as part of itsconsultation process prior to issuing the CommissionCommunication of March 2007, and the Instituteexpects to continue to contribute fully to the EC’sinitiatives.

Following the publication of aTechnical Report on a Code ofPractice for the installation andoperation of RFID systems in Europe,ETSI has carried out a series ofpractical trials culminating in testsat an operational distributioncentre in Unna, Germany, in whichRFID manufacturers from Europeand the USA participated andwhich involved the use of up to 36adjacent dock doors. Despite thefact that the cartons contained ‘RFunfriendly’ materials, missed tags typically numbered less than 1.5%.

ETSI tests demonstrated that the existing spectrum-sharing requirements (a ‘Listen Before Talk’ protocoldesigned to protect other short-range devicesoperating in the same band) are too restrictive forhigh-density deployment of RFID. ETSI has thereforedeveloped alternative techniques, and has initiated areform of technical regulations through the ElectronicCommunications Committee of the EuropeanConference of Postal and TelecommunicationsAdministrations (CEPT/ECC) and the EuropeanCommission Radio Spectrum Committee. A revisedHarmonised Standard is expected to be available forapproval in 2007.

Although the current work on RFID has concentratedon the radio interface (the connection between thetag and the reader), ETSI’s future work on RFID will notbe limited to just the ‘radio interface’ part betweenthe reader and the tags but will hopefully encompassthe whole system.

Radio Frequency Identification

Radio Spectrum in general was a strategic topic areafor ETSI in 2006 and continues into 2007. RFID is a goodexample where ETSI input into the frequencymanagement process has enabled new markets todevelop.

ETSI has a Memorandum of Understanding with theCEPT/ECC, and is represented in key committees withinthe EC (including the Telecommunication ConformityAssessment and Market Surveillance Committee(TCAM), the Radio Spectrum Committee (RSCOM) andthe Radio Spectrum Policy Group (RSPG)) to ensurethat the necessary spectrum is available for ETSI radiostandards.

During 2006, ETSI provided input to enable EuropeanCommission Decisions on the operation of MobileSatellite Services in the 2 GHz band (adjacent to IMT-2000 bands) to allow mobile satellite services with a complementary ground component to improvecoverage in urban areas. ETSI also assisted thedevelopment of European Commission Decisions on

Ultra Wide Band communication equipment, RFID(taking into account the developments indicatedabove), and generic Short-Range Devices. TheseDecisions require EU Member States to make spectrumavailable under defined harmonised conditions.Coupled with the corresponding HarmonisedStandards (developed by ETSI), manufacturers may sellequipment that can be used under harmonisedconditions throughout the EU market.

Traditionally, spectrum regulations have allocatedfrequency bands to specific services and sometimes to specific technologies. In the future, spectrummanagers expect to allow a degree of flexibility in theuse of spectrum, either providing generic allocations(for example, to short-range devices), or by grantingrights (exclusive or shared) restricting only interferenceto other band users or users of adjacent bands. In 2007ETSI is expected to receive a number of newstandardisation mandates, including one to developstandards for use in such ‘flexible bands’.

Radio Spectrum

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Consumers are experiencing a changing environment fortelecommunications as a result of a number of recentdevelopments. The convergence between fixed andmobile telecommunications, the rise of the Internet andnew collaborative software and applications under theWeb 2.0 banner offer exciting new opportunities. But theyalso present new challenges. The more complex thetechnology, the harder it is for people to access. This hasgiven rise to concerns about eInclusion and thedevelopment of society and the economy. An effectivee-society relies on the fact that all citizens actually canuse modern electronic tools.

ETSI is a leading force in developing standards to achieveeInclusion and has earned an international reputation forits work in this field. ETSI’s Human Factors committee (TCHF) has a special responsibility to ensure that the needs ofall users, including those who are older, young or disabled,are considered.

TC HF is responding to the new situation, and much of itsprevious work – predominantly advising on the details ofdesign – has been replaced recently with more generalguidance on human-computer interaction.

Hot topics in 2006 were children’s use of ICT, the impact ofICT on an aging European population and the need forever wider public access to ever more complextechnological systems.

TC HF produced guidance and standards on mobileservices and access to multimedia by people with hearingimpairments. A guide on multi-cultural issues was finalisedin 2006, which aims to remove or reduce cultural barriersthat can exclude people from communicating. Work onTelecare services (delivery of health and social careservices in and outside of homes) progressed well and isexpected to be concluded in 2007.

In addition, an ETSI White Paper on Young Children and ICTwas published in March 2006, which discusses how thetelecommunications industry is becoming more ‘childaware’ and how service providers must address concernsregarding the potential risks to young children from themisuse of ICT products and services.

Through collaboration with various consumer groups andnon-government organisations, TC HF was able to puttogether guidance on the use of symbols and pictogramsto help people with visual disabilities to identify servicesavailable through television set-top boxes, for example toshow that a film or programme can be viewed withsubtitles or audio description. This work was prompted bythe UK’s Royal National Institute for the Blind. A standardwas published in November 2006, aimed at ensuring thatthe threatened proliferation of different symbolsthroughout Europe is avoided.

Work also continues on a real-time communications guide,telephone keypad design and commands for assistivemobile device interfaces. In 2006 new work was initiatedon public access terminals, on an information system fordisabled users of public transport systems, and ondeveloping the use of tactile symbols to signify thepresence of an audio description or speech output orspoken commands.

One of the highlights of the year was the 20th InternationalSymposium on ‘Human Factors in Telecommunication’(HFT2006) which was held at ETSI headquarters in March.This bi-annual event focuses on applied academicthinking, this year placing emphasis on the user’s exposureto the latest advances in communications technology.During this event, the Knut Nordby Design for AllAccessibility Award was awarded for the first time. Knutwas TC HF’s first Chairman, who died in 2005. The awardwas won by Ángela Consuelo Checa Hurtado andSantiago José Ruano Rincón from the Universidad delCauca, Popayán, Colombia, whose participation at theSymposium was enabled through sponsorship from the ETSI@LIS project.

An Information Society for All?

“eInclusion is about making sure that everyone insociety can benefit from the opportunities offeredby new information and communicationstechnologies (ICT). It’s about using ICT so thatexcluded groups can take part in a wider society,and about closing the gap between those who canaccess ICT and those who can’t.”

“Every citizen should have the chance to take partin, and benefit from, the Information Society. For thisto happen, eInclusion policies must respond to themany risks and opportunities that new technologyopens up, and must embrace the often-distinctiveneeds of many different individuals and groupswithin society.”

(the European Commission’s eInclusion @EU Project)

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Ultra Wide BandETSI is producing a set of standards to enable various UltraWide Band (UWB) devices. The standard governing tanklevel probing radar has been published, and work is welladvanced on Technical Reports on the use of UWB sensorsfor the analysis and classification of building materials,object discrimination and characterisation, and locationtracking. This work has some very practical applications,for example, UWB sensors provide a non-invasive methodof checking decay in bridges, and they can be insertedinto tools to prevent accidents. Work on objectidentification for surveillance purposes (pinpointing thepresence of a heartbeat) is also ongoing.

Automotive standardsIn 2006, ETSI published a new multi-part test specificationfor Dedicated Short Range Communications (DSRC) radiosystems, used for Electronic Toll Collection (the radiotechnology behind the electronic tag in car windscreens).Interoperability between existing schemes will be asignificant enabler to the free movement of goods andpeople throughout the European Union.

In support of the European Commission’s eSafety initiative,ETSI’s current work on Intelligent Transport Systems includescommunications between cars and between the roadinfrastructure and cars in the 5 GHz and 63-64 GHz bands.

Aeronautical and MaritimeOn the aeronautical area, work continues to enable theGlobal System for Mobile communication (GSM™) onboard aircraft. New standards for meteorological aids willbe published in 2007.

New work was started in 2006 in support of the SingleEuropean Sky (SES) Initiative in close co-operation withEUROCONTROL, the European Organisation for Civil

Aviation Equipment (EUROCAE), the European Committeefor Standardisation (CEN) and the European Committeefor Electrotechnical Standardisation (CENELEC). This isbeing performed in response to an EC mandate and co-ordinated in the Air Traffic ManagementStandardisation Co-ordination Group (ATMSCG).

Highlights in the maritime sector included new standardson the electromagnetic compatibility (EMC) requirementsfor satellite equipment on board ships, and navigation oninland waterways, based on the requirements of the RiverInformation Services Directive and the Central RhineCommittee, and updates of the standards for maritimemobile communications in the VHF band. Work continueson Digital Selective Calling (DSC).

Medical DevicesStandards for Ultra Low Powerimplantable medical devices areexpected to be published in 2007.These will enable a range ofapplications such as the remotemonitoring of blood, cranial andheart pressures, cardiac devices andinsulin delivery systems.

Digital Mobile Radio Digital Mobile Radio (DMR) is a new ETSIstandard defining a direct digital replacement foranalogue Private Mobile Radio (PMR), opening up thepotential for new services and features and strengtheningtwo-way radio's position as the number onecommunication choice for mobile professionals working indemanding environments. In 2006, the core specificationgoverning this technology was published, which willimprove efficiency and provide significant cost savings.

Cordless Audio DevicesWork is also progressing well on cordless audio devicesand wireless microphones. An existing standard forcordless audio devices has been updated to enable, forexample, the wireless connection of MP3 players to carradios. New developments in digital television, the growthin theatre, music and independent film and TV productionhave created a demand for new spectrum, and a newTechnical Report on the spectrum requirements forProfessional Wireless Microphone Systems was nearingcompletion by the end of the year.

Broadband Satellite MultimediaDuring 2006, ETSI completed work on the architecture forBroadband Satellite Multimedia (BSM) – satellite systemsthat are intended to be used for high quality interactivemultimedia communications. These systems will be able toprovide broadband access to the Internet, addressing amass market and covering large regions. BSM systems area major growth area in the industry and a priority withinETSI. Broadband satellite access networks will complementwired and wireless access systems, deliveringtelecommunications services into and within both homesand business. The specifications produced will help ensurethat the protocols developed for terrestrial InternetProtocol (IP) networks can be used over satellite systems.

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Satellite Digital Radio In 2006, ETSI produced the first technical specifications toenable the provision of digital radio systems over Europeby satellites, along similar lines to the successful systemsoperating in the United States. Satellite Digital Radio willdeliver tens of high-quality audio channels with associatedservices.

New Generation DECT™The popularity of Digital Enhanced CordlessTelecommunication (DECT) is continuing to spreadthroughout the world. The system has now been adoptedin over 110 countries. Last year about 60 million DECTterminals were sold and numbers are growing faster thanoriginally expected. There is a particularly strong growth ofDECT sales in the United States, as DECT operation is nowpermitted in the 1920-1930 MHz band in North America.

ETSI has been responding to the evolution of the fixedcommunication network which is moving to a newgeneration – Next Generation Networks (NGN). Voice overInternet Protocol (VoIP) and IP-based value-addedservices are expected to generate new services for theend-user and new revenues for suppliers and operators. Asthe dominating technology, therefore, for in-homedistribution of voice services, DECT is also moving to a newgeneration especially scaled for Next Generationcommunication networks – the ‘New Generation DECT’.In close co-operation with the DECT Forum, ETSI has beguna project to drive the standardisation, development andmarket preparation for New Generation DECT technologyand appropriate products. The specifications of Phase 1 ofthis project, covering the support of wide-band speechand improved capabilities for accessing IP services, arescheduled for approval early in 2007.

The DECT Forum plans to set up a certification programmefor New Generation DECT products and has asked ETSI toprovide test specifications. New Generation DECT willbecome an integral part of home gateways, sointeroperability is an important driver for thesestandardisation activities.

Digital Subscriber LineETSI’s work on Digital Subscriber Line (DSL) systems isextending into a new area – the energy consumption ofDSL equipment. Work will begin on the reduction of thepower consumption of xDSL equipment in 2007, withAsynchronous DSL (ADSL) and Very High Speed DSL (VDSL)for broadband equipment as the priorities.

Broadcasting StandardsJTC Broadcast (the Joint Technical Committee whichbrings together the European Broadcasting Union (EBU),the European Committee for ElectrotechnicalStandardisation (CENELEC) and ETSI) addressed someimportant new areas during 2006, such as the need forelectronic programme or service guides in digitalbroadcasting. For Digital Audio Broadcasting (DAB) andDigital Radio Mondiale (DRM), a single standard forelectronic programme guides has been developed usingXML. Similarly, an electronic service guide has beenstandardised for DVB-H (for delivery of video services tohandheld devices, such as mobile telephones or PDAs).Metadata is becoming increasingly important – as in thevery complex series of TV-Anytime specifications which willhelp consumers to find their desired content, whether it isto be broadcast in the near future, was previouslyrecorded on a local hard disk or is available on-line.

The latest techniques for the compression of audio andvideo signals permit broadcasters to make better use ofthe radio spectrum, which is especially important for newapplications such as High Definition Television (HDTV) andfor multiple low bit-rate channels delivered to handhelddevices. The majority of the standards for these newcompression systems emanate from the InternationalOrganisation for Standardisation (ISO) MPEG (MovingPictures Experts Group). In 2006, JTC Broadcast revisedseveral existing ETSI transmission standards to allow variousnew compression systems to be used on digital radio andTV services.

As the year came to an end, JTC Broadcast turned itsattention to new specifications for the delivery of televisionto handheld devices. Standards for DVB-H have alreadybeen completed, but new work is now being introducedto enable DVB-SH – the delivery of television by satellite tohandheld devices. Other technologies, such as DigitalMultimedia Broadcasting (DMB) based on DAB standardsand MediaFLO, will also be included in future activities.

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GridThe vision is that a Grid environment should consist ofinteroperating elements ranging from small devices up tosupercomputers, to serve communities ranging fromindividuals to whole industries, and should cover data,information and knowledge. Standardisation is essential toenable so many different pieces of hardware, software,operating systems, databases etc, potentially spread allover the world, to interoperate. Grid technology is widelyregarded as a key element in tomorrow’s ‘network ofnetworks’, and is expected to drive the creation of bothjobs and commercial products.

ETSI has a long history of partnership experience in theGrid standards community, notably in interoperabilitytesting and Plugtests™. ETSI’s Strategy for 2006 includedGrid as one of the Institute’s priorities and a starter groupwas set up to identify ETSI’s potential contribution to Gridstandardisation. In June 2006 ETSI’s GRID TechnicalCommittee (TC GRID) was created and held its firstmeeting in September.

TC GRID’s task is to address issues associated with theconvergence of Information Technology (IT) andtelecommunications, paying particular attention initiallyto the lack of interoperable Grid solutions in situationswhich involve contributions from both the IT andtelecommunications industries.

In 2006, TC GRID defined its first specific tasks. It willundertake a survey of existing stakeholders in the Griddomain, for which the European Commission (EC) hasprovided support funding, and work is expected to beginin 2007. A test frame for Grid standards will also bedeveloped in collaboration with ETSI’s Protocol andTesting Competence Centre, and a preliminary survey ofthe Open Grid Forum approach to standards has beenundertaken to assess to what extent ETSI testingmethodology can be applied. The successful series of GridPlugtests will be documented. Meanwhile other workitems are being identified. In particular, there isconsiderable interest in addressing the convergencebetween TC GRID and ETSI’s Telecommunication andInternet converged Services and Protocols for AdvancedNetworking Technical Committee (TC TISPAN).

Railway TelecommunicationsGSM-R is the wireless communications platform based onGSM, which has been developed specifically for railwaysas a cost-efficient replacement for all existing analoguerailway radio networks. GSM-R offers a secure platform forvoice and data communication between railway andoperational staff, including drivers, dispatchers, shuntingteams, engineers and station controllers. It deliversfeatures such as group calls (VGCS), voice broadcast(VBS), functional addressing, location-based connectionsand call pre-emption in times of emergency. It will supportapplications such as cargo tracking, video surveillance intrains and stations and passenger information services.

GSM-R has been selected by 38 countries across theworld. In Europe, GSM-R is being combined with theGeneral Packet Radio Service (GPRS) to form a basis foran Intelligent Transport System to offer railways the meansto improve the efficiency of rail operations and offer newservices to users.

The first high speed line using the new European RailTraffic Management System (ERTMS), which combines theEuropean Train Control System (ETCS) with GSM-R, wentinto use between Naples and Rome, and is already beingextended to Florence. By 2007, as well as Italy, Spain,Germany and Switzerland, there will be projects operatingfor high speed lines in France, the Netherlands andBelgium.

The conditions for implementing cross-border GSM-Rbetween France, the Netherlands, Germany and Belgiumwere defined in 2006 and the roaming agreements are inthe process of being signed. GSM-R on border-crossingtrains is becoming a reality and most European countriesare expected to sign up in 2007.

The introduction of Direct Mode Operation (DMO) withinGSM-R for its use for GSM in Professional Mobile Radio(PMR) is an important evolution which answers not onlythe requirements of the railways but also offers thepossibility of fulfilling the needs of the blue lightemergency services. In 2006 ETSI began work on DMO inGSM-R telecommunications systems and is evaluating thepossibility of using DMO GSM-R for communicationsrelated to safety in railway tunnels.

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ETSI was established to provide Information andCommunication Technologies (ICT) standards for theEuropean market place. At the same time, the Institute hasa global dimension and recognises both the advantagesof international collaboration and the benefits of globallyapplicable standards. ETSI therefore focuses partly onEurope, but also further afield.

EuropeThe campaign of Roadshows launched in 2005 to recruitMembers to ETSI and to attract new work was completedmid-2006. A total of 18 Roadshows were held throughoutEurope, including two specifically dedicated to users.Senior representatives of ETSI took the opportunity topresent the ETSI vision of how the future of the ICT industrymust be built on partnership.

ETSI members and staff attended and made presentationsat numerous conferences and exhibitions in 2006,including the 3GSM World Congress in Barcelona. Amongthe key events hosted at ETSI in 2006 were the thirdinteroperability conference on standards and openstandards, the DECT™ Congress and a workshop to discussthe role of standards and interoperability in the ICT-relatedEuropean Technology Platforms.

Working with PartnersETSI continues to work co-operate closely with its sisterEuropean Standardisation Organisations, the European

Committee forStandardisation (CEN)and the EuropeanCommittee forElectrotechnicalStandardisation(CENELEC).

In 2006 ETSIstrengthened itspartnership portfolioby signing a numberof agreements,including ones withthe Home GatewayInitiative (HGI) andthe EuropeanNetwork andInformation Security

Agency (ENISA).Partnerships were renewed with a number of otherorganisations including the TETRA Association, the ICTStandards Advisory Council of Canada (ISACC) and theAssociation of Telecommunications Enterprises of theAndean Community (ASETA). ETSI is also discussing a seriesof partnerships aimed at reinforcing its global andtechnical reach, for example with the China ElectronicsStandards Institute (CESI), the Fixed-Mobile Alliance(FMCA) and the organisation for the Advancement ofStructured Information Standards (OASIS). Looking ahead,ETSI remains committed to reinforcing its dialogue andextending its collaboration with partners around the world.

Latin AmericaETSI is keen to capitalise on partnerships with emergingmarkets and in 2003 launched @LIS, a four-year co-operation programme funded by the EuropeanCommission (EC), which aims to enhance collaborationbetween Europe and Latin America on issues related tothe Information Society. @LIS has now entered its final year(April 2006-March 2007), and earlier efforts are coming tofruition. For example, a link has been established with theMinistry of Health in Mexico through the National Centerfor Health Technology Excellence (CENETEC), which led toa co-operation initiative on Broadband access for eHealthapplications, a study trip by a Mexican ministerialdelegation to ETSI, and a two-day workshop in Mexico inMay 2006. CENETEC has joined ETSI, with the dual aim ofacting as a clearing house for relevant standards inMexico and providing input to ETSI’s newly establishedeHealth Starter Group.

Throughout 2006, a range of events was organised in LatinAmerica to promote ETSI standards and the Europeanstandardisation system including an ICT workshop in co-operation with CONATEL (a regulator) and CANTV inVenezuela, the TETRA conference in Sao Paulo, Brazil, andthe Satellite Conference of the Americas in Ecuador. ETSIalso took part in the ICT/NGN Workshop organised byRegulatel in Guatemala and the Andicom exhibition inColombia (October).

ETSI also signed a Memorandum of Understanding with theAssociation of Telecommunications Enterprises of theAndean Community (ASETA).

ChinaRecent growth in Chinese markets has made relations withChina a major priority for European businesses. ETSI, CENand CENELEC have together appointed a EuropeanStandardisation Expert in China. Responsible for helpingincrease co-operation between China and Europe in thefield of standardisation and conformity assessment, his firsttask is to explore the standardisation system in China, toidentify new standardisation needs and to foster co-operation between Chinese industry and its Europeancounterparts.

White PapersStandards are only useful if they are used, and the morewidely used they are, the more useful they become.Promotion of the Institute’s activities, its output and itscapabilities is crucial, therefore, to the success of ETSI’swork.

With this in mind, the Institute has introduced the conceptof ETSI White Papers, which will provide a free, informaloverview of areas of technology which ETSI is addressing.The first of these, on Security, was published to coincidewith the Security Workshop held on ETSI premises inJanuary 2006. Since then, further White Papers wereproduced on Young Children and ICT (March) andAchieving Technical Interoperability (October). Other titlesare planned for 2007.

Collaboration and Co-operation

16

The number of standards and reports published in 2006was up on 2004 (from about 1400 to over 1600), althoughit did not match the exceptional peaks of 2002 and 2005which were due to the large number of specificationspublished those years for 3GPP Releases.

By the end of 2006, ETSI had published a total of nearly 18 000 standards, specifications, reports and guides sincethe Institute was established in 1988.

Standards Production

3 000

2 750

2 500

2 250

2 000

1 750

1 500

1 250

1 000

750

500

250

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

Publication Prediction

18 49185 175

273

544

760

637

869 897

1 725

2 172

2 474

1 812

1 394

2 317

1 641

2 830

The number of deliverables published, for each of the years 1990 - 2006 and the prediction for 2007.

Distribution by type of published document

Technical Specification (TS)

Technical Report (TR)

ETSI Standard (ES)

European Standard (telecommunications series) (EN)

ETSI Guide (EG)

Special Report (SR)

Old deliverable types

TOTAL

in 2006

1 383

114

65

60

14

5

0

1 641

total since 1988

11 025

1 207

438

2 039

186

48

2 999

17 942

17

Specialist Task Forces (STFs) are groups of highly skilledexperts representing different ETSI Member organisationswho come together for limited periods to perform specifictechnical work under the direction of an ETSI committee.A similar mechanism has been adopted to support’funded projects’ for the Third Generation PartnershipProject (3GPP™) partners, R&D and promotion initiatives

for the European Commission (EC) and the European FreeTrade Association (EFTA).

Altogether, 45 STFs and other funded projects were activeduring 2006, involving more than 150 experts andrepresenting an investment of about 3,7 M€.

Specialist Task Forces and Other Funded Projects

Technical area

3GPP Tasks

Human Factors (HF)

Telecommunication and Internet converged Services and Protocols for Advanced Networking (TC TISPAN)

Broadband Radio Access Networks (BRAN)

Methods for Testing and Specification (MTS)

EC special contracts

Satellite Earth Stations and Systems (SES)

Electronic Signatures and Infrastructures (ESI)

Operational Co-ordination Group (OCG)

Speech Processing, Transmission and Quality Aspects (STQ)

EMC and Radio Spectrum Matters (ERM)

Digital Enhanced Cordless Telecommunication (DECT™)

Terrestrial Trunked Radio (TETRA)

TOTAL

EC/EFTA funding For the year starting May 2006 until 31 December,the EC and EFTA contribution to the ETSIstandardisation infrastructure was 1 764 k€.

The EC/EFTA contribution for specific standardisationcontracts under their 2006 budget line providedfunding of a further 2 095 k€ to support the ICT 2006Standardisation Work Programme: the work itself willbe performed between 2007 and 2009. As inprevious years, all of the contracts were signed inDecember 2006. A further 1,3 M€ of successfullyevaluated proposals for funding were not handled in2006 but will be funded out of the 2007 EC/EFTAbudget; it is hoped that they will be provided forsignature by the end of Q1 2007.

Voluntary3GPP partners

1%

ETSI budget27%

3GPP budget20%

EC/EFTASpecial

contribution6%

EC/EFTA STFs34%

VoluntaryETSI Members

12%

Funding sources in 2006

Technical areas in which resources were invested

18

k€

812,6

568,2

506,5

497,8

388,7

220,3

163,5

157,0

121,6

72,1

71,3

51,1

39,0

3 670,0

Confirming the trend observedlast year, ETSI membershipevolved positively in 2006 with asmall rise again in numbers. NewMembers have been attracted bythe new topics beingstandardised in ETSI, particularlyNext Generation Networks (NGN)and eHealth. Some Membershave also substantially increasedtheir financial contribution inrecognition of the importance ofthe work being achieved in ETSI.

The Institute now brings togetherwell over 650 Members. At theend of 2006, ETSI had 506 fullmembers drawn from 37European countries. With theaddition of the former YugoslavRepublic of Macedonia, Jordan,Mexico and Qatar, the totalnumber of countries representedin all categories of membershiprose to 62, drawn from fivecontinents. Associate membershipwas at 113, representing 24 non-European countries andprovinces, and there were also 39Observers.

The European Commission andthe European Free TradeAssociation Secretariat, whichhold special roles as Counsellors,attend the General Assembly andthe ETSI Board and continue toplay an active part in ETSI's work.

Membership

700

650

600

550

500

450

400

350

300

250

200

150

100

50

01988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

126

187

249289

316 330365

387

418

457

512

567

607

653

537

486505 506

672

Evolution of ETSI Full Membership - totals of Full Members

Albania 1Algeria 1Andorra 1Australia 2Austria 10Belgium 27Bosnia Herzegovina 2Brazil 1Bulgaria 4Canada 8China 8- Taiwan (Province of China) 9Croatia 4Cyprus 2Czech Republic 4Denmark 20Egypt 2Estonia 1Finland 15France 67Former Yugoslav Republic 1

of MacedoniaGeorgia 1Germany 78Greece 5Hungary 4Iceland 1India 3Iran 1Ireland 13Israel 8Italy 28

Japan 4Jordan 1Korea 1Latvia 2Lichtenstein 1Lithuania 1Luxembourg 6Malaysia 1Malta 2Mexico 1Netherlands 29Norway 8Poland 5Portugal 2Qatar 1Romania 4Russian Federation 8Singapore 2Slovakia 2Slovenia 3South Africa 4Spain 15Sweden 23Switzerland 17Turkey 6Ukraine 1United Arab Emirates 2United Kingdom 116United States of America 56Uzbekistan 1Yemen 1

62 countries or provinces in total 658

Membership by country (Full and Associate Members and Observers)

Membership by type

Full Members 505 506

Associate Members

110 113

Observers 39 39

Total 654 658

1 Jan2006

31 Dec2006

Manufacturers 306 (49%)

Network Operators 87 (14%)

Service Providers56 (9%)

Administrations60 (10%)

Users 31 (5%)

Consultancies 29 (5%)

Research bodies 33 (5%)

Others 11 (2%)

Other Government Bodies 6 (0.1%)

Full and Associate Membership by category

19

Assets

Summary of the Balance SheetLiabilities

The management of the finances of ETSI is described by- the budget report- the financial statements (balance sheet and income

and expenditure statement) which are established according to French laws and regulations.

Mr Philippe Aumeras, nominated auditor by the 43rdGeneral Assembly, has audited the 2006 ETSI accounts andcertified that the annual financial statements are true,sincere and give a fair view of the activities carried outduring the past financial year.

Budget MaintenanceThe key points of the budget management, comparedwith 2005, are the following:

Expenditure – In total, expenditure increased by 0,6%.Secretariat costs, which represent 26% of expenses,

increased by 2% (in line with inflation). 5,1 M€ were spenton the Mobile Competence Centre (MCC) and 2,5 M€ onthe Protocol & Testing Competence Centre (PTCC). 1,9 M€

were spent on the Fixed Competence Centre (FCC) and0,9 M€ on the Radio Competence Centre (RCC). Inaddition, 1,9 M€ were spent on Specialist Task Forces (STFs)for the Fixed and Radio Competence Centres (FCC andRCC). 0,8 M€ were spent on Plugtests™ activities for thepreparation and support of interoperability events.

Income – Members’ contributions decreased by 3%. 52% ofthe budget was funded by Members’ contributions (11,5M€). The contribution of the 3GPP™ Partners (1,6 M€)remained constant. EC/EFTA payments amounted to 4,8M€, to cover expenses related to the operation of theEuropean standardisation platform and standardisationprojects. Income generated by support services supplied tofora and consortia (Forapolis) increased by 21%.

Financial Situation

Statement of Income and Expenditure Year 2006

2006 Budget statements

Financial Statements for the Year 2006The final accounts and the balance sheet are summarised below.The fiscal accounting period is 1 January 2006 - 31 December 2006.

In 2006, income balanced expenditure.

20

Income (k€)

Members' contributions and Observer fees 11 543

EC/EFTA contracts 4 881

3GPP Partners 1 688

Voluntary contributions 335

Forapolis 2 035

Sales 347

Plugtests 353

Financial income 194

Other income 957

TOTAL INCOME 22 333

Expenditure (k€)

Secretariat 5 975

Mobile Competence Centre (MCC) 5 120

FCC, RCC and Funded Work Programme 4 261

Protocol & Testing Competence Centre 2 527

Forapolis 2 035

Special Projects 820

Plugtests 745

European Friends of 3GPP 625

Provision and losses 225

TOTAL EXPENDITURE 22 333

Income (€) Expenditure (€)

Income 22 102 681Purchases 11 425 336Expenses 10 851 406Investment management 211 095 23 611Extraordinary income & expenses 19 206 32 629

TOTAL 22 332 982 22 332 982

Net amounts at: 31 Dec 2005 (€) 31 Dec 2006 (€)

Fixed Assets 7 258 239 7 033 651

Debtors 14 079 630 18 045 108

Securities/cash 4 832 254 3 713 282

Adjustment accounts 76 369 119 031

TOTAL ASSETS 26 246 492 28 911 072

Net amounts at: 31 Dec 2005 (€) 31 Dec 2006 (€)

Equity 8 331 645 8 331 645

Provisions 150 000 150 000

Balance carried forward - 52 984 - 52 984

Creditors 6 725 885 7 155 244

Adjustments 11 091 946 13 327 167

TOTAL LIABILITIES 26 246 492 28 911 072

DECT™, Plugtests™ and UMTS™ are trade marks of ETSI registered for the benefit of itsMembers. 3GPP™ is a trade mark of ETSI registered for the benefit of the 3GPPOrganisational Partners. GSM™, the Global System for Mobile Communication, is aregistered trade mark of the GSM Association.

Published in May 2007Produced by Kingston Public Relations Ltd, UK (+44 1482 876229) www.kingstonpr.com

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