Indian Mobile Infrastructure - To 3G or not 3G For

To most overseas investors circa 1994, a first look at the Indian Telecommunication Policy appeared to reduce the reserves. In our naiveté, we expected this Policy to put India at least on par with China where a stifling regime governed telecommunications. Disastrous implementation however ensured India languished behind its neighbor on tele-density, the use of cellular and broadband coverage.

Fortunately, subsequent developments, such as unified licensing system, although a reactionary response to events that threaten to overwhelm TRAI (the Regulator), pull the Indian de-regulation, even in front of places like Hong Kong, where a scenario is hardly unique under discussion. Merits of particular aspects of de-regulation, though, the foreign investor expects to see a clear roadmap forward if the increase in FDI to 74% eligible to hold any meaning. The latest scam on the future of the 1900MHz band is an excellent opportunity for TRAI to use the controversy to determine precisely a map.

Of equal interest to the foreign investor and something that the operators on both sides of the GSM-CDMA divides agree, is the disappearance of high-margin question. The future in the long slog uphill for every rupee increase in ARPU (Average Revenue per User). Making the most interesting is the futility of the past successful product and marketing strategies in terms of margin today. Furthermore, when a last look, the government had its hand in the chest for an amazing 22-25% of revenues in the form of license fees, revenue share and a second through a disingenuous charge "loads the ' spectrum use. " Add the access deficit charge (ADC) ransom to be paid to BSNL dominant carrier and one can not blame some investors to put away the calculator and heading toward the door.

With collection rates due to abysmal levels in cellular roll-out of pseudo-WLL/CDMA, cellular operators look at the additional infrastructure investments with trepidation. However, innovative value-added services being one of the few ways to raise ARPUs from their funk, they must invest. How they do it intelligently, decide their fate.

The implementation 2003-04 EDGE (Enhanced Data for GSM Evolution) by some GSM operators is the kind of response you hoped to see. Cost effectively providing three times the data capacity of GPRS, EDGE gives operators like Bharti, Hutch and IDEA's distribution system to deliver innovative information and entertainment services-based, economically as well as venture into rural areas. Using the same TDMA (Time Division Multiple Access), the frame structure, such as GSM, EDGE provides that the planes of the existing cells to remain intact. On the other hand, it uses a new modulation scheme that is used for 3G cellular capabilities. This makes it a sort of halfway to 3G, for those who still dare to contemplate such an option. However, while the Edge was a smart decision, the jury is still out on 3G.

Emulating European cellular operators whose track record belies such faith, some Indian cellular carriers have started to mark the transition paths towards that Holy Grail. Although collection rates in India were not so sad as I am, the distribution 3G could be a disaster waiting to happen. It 'was so heartening when the Indian minister said last year that India seeks to climb to fourth generation wireless technology, skipping 3G as it has not been found convenient. This is one of the rare occasions when the industry is well served by listening to his minister.

However, these are just words until the Hon Minister unfetters first VOIP (Voice-over-IP). Unless the chastity belt around VOIP networks is discarded and are allowed to mingle with the PSTN, India is to tie in knots on the 4G, in which among other things, the theme is pervasive IP. Living outside India a delay usually behind current events, but to the best of my knowledge today VOIP - PSTN interconnect incredibly, remains illegal.

A beneficial result for the 1996 fiasco surrounding the deals for regional circles has been a reluctance to consider all other auctions, for 3G. This saved Indian operators from the fate of their European counterparts. While in Europe the 3G license fee has not done anything to secure a future for the technology, emerging OFDMA (WiFi / WiMax MMDS) alternatives may well deliver the final blow. Whatever the counter-arguments out there, the fact that 3G services in the United Kingdom are still in the rescue of sales of basic voice services to pick up a customer base, says it all.

Unlike EDGE, 3G is not just about going software updates and mathematics becomes more daunting in magnitude. For starters, the air interface / frame construction (against TDMA WCDMA) is completely different. This means that changes to each cell-site network. And then of course there is all the necessary to inter-operate with the elements of the existing 2G network.

Alternatively, however, exists, which until recently dared not speak its name for fear of the establishment Telecommunications.

Contrary to negative press stemming largely from the large cellular operators, it is possible to co-opt the Wireless LAN (WLAN) in an eco-system with cellular networks. An EDGE cellular network patched into WLAN (WiFi / WiMax) networks in the area of ​​high density, may allow Indian operators to provide services at high data rates with laser precision exactly where required and costs much less 3G-tion in a similar area . I am sure that this is similar to what the IT minister has in mind. Furthermore, the mesh network can provide connectivity inside mobile phones based on voice over broadband in areas with poor mobile reception.

An interesting aspect is the recent distribution furtive WiMax in Japan by Vodafone and elsewhere by other operators canopy 3G vidicating the position taken in this document.

The mobile operator can offer different types of fixed line / broadband tariff structures of its kind in this area, raising fears that they would eat into revenue phones, but you have to wonder how much of the traffic generated would be cannibalized and how much revenue would result in incremental dollars from traffic currently no way on fixed broadband / wireless and more different flavors of Voice over Broadband (VOB) services used more and more precisely from these places.

No one touts OFDMA air interfaces as an alternative to WCDMA / 3G. And 'the integration of two technologies that creates a potentially winning alternative, especially in the Indian context. Integrating selected WLAN Hot Spot in a cellular network requires an IP Network Controller (INC), an IP access network, a patch to allow WLAN access network to deliver relevant accounting information to mobile AAA (authentication, authorization and Accounting) server and an investment in IP roaming. Less than a widget in there, that is essentially.

Given the relative simplicity of this solution, anyone who has seen engineers sweat the cell site deployment in congested places must ask why the operators have already adopted WLAN to increase cell coverage cheap.

Costs aside, there is an interesting aspect of 3G technology, which could force the operators to consider options for increasing cellular OFDMA-based data distribution systems. It may not be common knowledge, but differs from 3G 2G (GSM) in one important respect - the interdependence of network quality. In 2G, high traffic in a position tends to introduce only a poor quality in the particular cell that covers that position. In 3G, however, the low quality also affects neighboring cells for a cell size can vary depending on the traffic load port. Called "cell-breathing" this is due to the interdependence between capacity and coverage as WCDMA air interfaces, and could eventually affect the quality of the voice.

N service provider, however, it goes without compromising the voice quality and capacity for reasons of data. This implies there is merit in a special data-centric networks. And if those options are available at least the suburbs, at costs substantially lower than the vaunted 3G, and if these options seems destined to become the bulwark of future 4G data delivery mechanisms, then surely the Indian operator agrees not to adopt the same cell blinkered thinking that is the hallmark of its European counterpart and give serious consideration to a GSM / EDGE, WLAN-based solution.

It is confusing because instead of beating around the bush, the European and U.S. phones do not have swooped in and massively sequestered wireless access for IP traffic from the fragmented but potentially formidable WLAN and Voice over Broadband (VOB) players. After all, at least for now the mobile phone operator holds all the cards. Only he gets to decide whether the customer receives a combined cellular + WLAN bill. This gives its cellular-WLAN Combined service of a murderess advantage over any other fixed broadband wireless / VOB Vonage type offered. Now cellular operators could have usurped large chunks of IP traffic and decimated the upstart players VOB before they ever took root. Alternatively, a declaration of intent may have the WLAN and the players scurrying VOB to negotiate interconnection agreements and revenue sharing in terms that could only be beneficial for the mobile operator.

It 's too obvious a scenario and one does not expect this last myopia. Implementation of systems for WiFi T-Mobile in the U.S. and Europe is apparently such an endgame in mind. And so it was, hopefully, the Honourable IT Minister's intention, when squared off against 3G.