Free Space Optics

The Bright Future of Wireless Communications

Lasers in Free Space?

What is FSO?

Line of sight free space (wireless) transmission technology

Utilizes light (laser) to transfer data

Delivers high speed secure connection

Offers economical solution (low power consumption, no wide radiation)

Optical Transmission

TX

RX

Optical fibre

Optical fibre

Lasertransmitter

ReceiverDiode

TX optics

RX Optics

FibreOpticTransceiver

Fibre Optic

Optical Transmission

Free SpaceTX

RX

FreeSpaceOptics

Transmitter

Receiver

Lasertransmitter

ReceiverDiode

TX optics

RX Optics

Why Free Space Optics?

License-free operation

High bandwidth

High data security

No interference issues

Rapid deployment/re-deployment

Excellent price/performance (low cost per bit)

Link Dynamic Range

Mar

gin

(Dyn

amic

Ran

ge)

Receiver sensitivity

Distance

Pow

er

Bud

get

Multibeam Systems

To increase power

To Compensate building swaying

To introduce redundancy

Eye Safety

Human eye

7 m

m

Optical apertures/surfaces

TX optics: 1962 mm2Footprint: 196250 mm2Human eye: 38 mm2

NOHD Values

1.8 m – 85 m

Birds, UFO’s,…

Chance to block the beam < 10-12

Chance for UFO…?

Competitive Analysis

Fibre

Leased Line

Radio

Microwave

Alternative To Fibre

Cost of installation

Speed of installation

Flexibility

Alternative To Leased Line

BandwidthCost of ownership

vs. leasing cost

Alternative To ISM Band Radio

Bandwidth

Reliability

Security

Alternative To Microwave

Licensing

Speed

Price

Difficulty of installation

Application Summary

Microwave-Frequency license-Speed

Fiber Optic Cable-Expensive-Long installation time

Branch Office

Headquarters

Security?

Microwave-Frequency license-Speed

Laser Link-High Speed-No frequency license-Secure-Rapid deployment

Typical Users

GSM/UMTS

Corporate telephone

Telco networks

Corporate LAN

Internet

Temporary Applications

Backup links

Corporate Networks - LAN

LAN A LAN B

100 Mbps

Corporate Networks - Telephone

Localsubscribers

TelephoneExchange

TelephoneExchange

Localsubscribers

2 Mbps (E1)

Carriers – Last Mile Access

Fat pipe to corporate users

Support residential areas

Set up alternative routes

Expand bandwidth

Carriers – Last Mile Access

ExistingNetwork

Residential AreaCorporate Users

Industrial Areas

Mobile Operators – BTS Access

Base Transmitter Station (BTS)

Base Station Controller (BSC)

2 Mbps – 34 Mbps (E1-E3)

ISP’s – Metro Area Networks

Point of Presence (POP)

ResidentialResidential

ResidentialCorporateUsers

Temporary Installations

Disaster recoverySatisfy prompt or temporary needsOffice leasing (corporate)Rapid network expansion (Telco)

Backup Links

To provide 24 hours a day availability

High speed secure connection

Alternative data path

Market Analysis

Customer Base

Market Expectations

Reasons

Customer Base

Carriers and Telco’sLandline and wireless servicesLast mile access

Internet Service ProvidersCompanies and corporations of all sizeCampusesHospitalsFactoriesOffices

Market Expectations

Chart 1: FSO Market Projected Growth ($ mn)

0

200

400

600

800

1000

1200

1400

1600

1800

2000

2200

1999E 2000E 2001E 2002E 2003E 2004E 2005E

Merrill Lynch: FreeSpace Optics 15 May 2001

Need for Bandwidth

Convergence in communication

Increasing number of subscribers

Demanding wireless apps (3G, UMTS)

Internet boom