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Back to the future with simple wholesale services now

The past few months have shown that networks are essential for all of us, and it’s clear that we need to rethink how we build and use them. The digitization of all ecosystems will be a key part of the “new normal,” and efforts to digitize networks need to accelerate. It’s also now important for service providers to team up to address changing requirements. Is charging for network usage becoming essential? What new technologies are emerging that will enable us to do more with less and at a faster pace? In his NAMEX 2020 workshop, Christoph Glingener explained how simple wholesale services will be key to the digital revolution.

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Back to the future with simple wholesale services now

  1. 1. Back to the future … with simple wholesale services NOW! Christoph Glingener
  2. 2. © 2020 ADVA. All rights reserved.22 Outline 2 Impact of Covid-19 3 Simple wholesale services 4 How can they be realized? 5 Summary 6 Q&A 1 Introduction
  3. 3. © 2020 ADVA. All rights reserved.33 Global provider of solutions for edge network innovation Who is ADVA? Background • Headquartered in Munich, Germany • More than 1,900 employees • Over EUR 0.5 billion turnover Our mission Being your trusted partner for connecting, extending and assuring the cloud Our vision Virtualization and software are keys to differentiated solutions, while hardware will remain strategically important Atlanta Richardson Neuchâtel York Meiningen Munich Gdynia Haifa Shenzhen Singapore Melbourne Cloud interconnect Cloud access Network synchronization
  4. 4. © 2020 ADVA. All rights reserved.44 Happy Birthday! 1970s 1980s 1990s 2000s 2010s 2020s ~1970 Low-loss fiber, Semiconductor laser @ room temperature ~1990 Erbium-doped fiber amplifier (EDFA) ~2010 >50GS/s >50M gate DSP ASICs ~1977-92 Regenerated direct-detection systems ~2010- DSP-based coherent WDM systems ~1993-2009 Amplified dispersion managed WDM systems~2005 Wavelength selective switch 50 years of light-speed connections 25 years of NAMEX
  5. 5. © 2020 ADVA. All rights reserved. Confidential. Impact of Covid-19
  6. 6. © 2020 ADVA. All rights reserved.66 Impact of Covid-19 on Telecom … and we need to rethink! Then we got redirected … Traffic explodes (March 2020) : • Global internet traffic up 30+% • Web traffic up close to 20% • Gaming, up 50% • VPN, up 30% • Video, up 20% • Voice (fixed/mobile) up 50% • Collaboration up 25% 5G conspiracy theory Revenues down?: • Telecom services stable (IDC)? • Mobile/equipment sales down • Advertisements down • Roaming charges vanishing • IT spending down by 3% (IDC) • SD-WAN growth stalling? Cut costs!Build more! Connect everyone Localize everybody Remote education Remote working Telemedicine 70% of 2020 budget already spend (Cignal AI) ? SME
  7. 7. © 2020 ADVA. All rights reserved.77 Impact of Covid-19 on connectivity equipment provider Supply chain … • Component shortages due to local lockdowns • Distribution, I&C challenges • Push for better business continuity and regionalization/localization … is overall intact and moving to “new normal“ (ADVA) Demand From supply side challenges to demand side challenges? Then we got redirected … Cignal AI, April 2020
  8. 8. © 2020 ADVA. All rights reserved.88 Support a new way of living and a new way of working A huge opportunity for all of us! The new normal? • Networking is essential! • Distributed flexible workforce (office, WFH) • Processes, tools for this and remote R&D, … • Interact with suppliers and customers virtually • Ensure supply! • Connectivity to sites AND homes • Expedite digitization • New ways to bring solutions to customers • Increase supply continuity, (part) localize production • Disaggregate services & networks • Simplify and automate • Charge for connectivity AND bits • Team up with other SPs • Pot. use government funding  Simple wholesale services Service provider • Ensure network/service continuity • Upgrade networks to cope with changed requirements • Get revenue aligned with spend • Do more, faster with less ! (Enterprise)
  9. 9. © 2020 ADVA. All rights reserved. Confidential. Simple wholesale services
  10. 10. © 2020 ADVA. All rights reserved.1010 Disaggregation of services, networks and network elements Vertical disaggregation Horizontal disaggregation Optical Layer Packet Layer Proprietary APIs Closed (“god box”) Optical Layer Packet Layer Open APIs Open APIs Delayer Open HW Open SW Open APIs Disagg Partition Terminal API API OLS Partial Disagg Full Disagg Terminal API ROADM API Amplifier API Connectivity Applications APIs APIs Partioned Connectivity Demarc Demarc Disagg Network Equipment Services
  11. 11. © 2020 ADVA. All rights reserved.1111 of services, networks and network elements Transformation of networks towards maximum agility and cost efficiency Digitization Visibility Simplification Programmability Standards Automation Intelligence Automation • Auto-planning, • Restoration/availability, • ZTP • Service activation and assurance • Service management Programmability • Layer and partition, • Disaggregate • Virtualize • Std. APIs and models • White boxes, open source • Telemetry, probes Intelligence • Applying ML/DL/AI to further minimize human intervention (e.g., predictive maintenance)
  12. 12. © 2020 ADVA. All rights reserved.1212 The IoT opportunity Device/IoT edge On-premise edge Network edge Core Cloud Fog compute Cloud compute IoT Edge Connect IoT GW < 1ms <5ms <10 ms Latency <40ms <60ms >100ms Fibernet-of-Things (FoT) SCADA, ICS, … Sigfox LoRa NB-IoT, … 5G Privatemesh IoT GW AWS outpost? Azure stack?
  13. 13. © 2020 ADVA. All rights reserved.1313 IOT - Key network properties IoT Application Bandwidth (bit/s) Latency (ms) EC? Sync Security Availability ZTP Con. Car & V2V 1M – 25M 1 – 5 (V2V) - 20 Local/ dist. 99.999 Transportation (ITS) 5K – 1M 10 - 100 distr. 99.999 Telemedicine 1K - 30M 30 local 99.999 Indust. automation 40 – 48K 0,25 - 10 local 99.9999999 (?) Process automation 20 – 1K 50 - 100 local 99.99 Smart grid 800 – 100K 3 - 20 distr. 99.999 Smart home 8 - 20M 1000+ local 90 Professional audio 6K – 1M 2 local 99.99999 (?) Based on: Cisco VNI 2017, IEEE Comms Mag 2017, IEEE Comms Sruvey 2019
  14. 14. © 2020 ADVA. All rights reserved.1414 The enterprise opportunity Device/IoT edge On-premise edge Network edge Core Cloud Private / public / hybrid / multi-cloud … IT / OT convergence Seamless branch office access SD-WAN Wireless Convergence WiFi Enterprise LTE (Private) 5G Connectivity Bandwidth (bit/s) Latency (ms) EC? Sync Security Availability ZTP SD-WAN, uCPE 10/100M – 1G >100 Local/ dist. 99.99 Enterprise DCI 2/10G – 100+G 10 - 100 X BC/DR, 99.999 Edge DCI SaaS/applications
  15. 15. © 2020 ADVA. All rights reserved.1515 Cloud DC Mobile Core Device/IoT edge Cell site Street cabinet? Network edge Core Cloud The mobile opportunity UPFBBU DU CU CU UPFDU uRLLC eMBB DWDM / Transport IP/MPLS/Ethernet Compute cRAN vRAN oRANDisaggregate Virtualize Centralize Distribute CSG 5G Edge Cloud MEC Edge property Requirements Bandwidth 1G … 10G … 25G … Latency 10 ms RTT (eMBB) 1ms RTT (uRLLC) Edge compute? Infrastructure: Host DU, CU, UPF VA Apps : MEC Sync ±1,5 µs e2e (5G TDD) ± 130 ns (same DU) Security SNOW-3G, ZUC, AES (UE - RRH) MACSec, IPSec in the edge Availability 99.999 (uRLLC) ZTP
  16. 16. © 2020 ADVA. All rights reserved.1616 Simple wholesale services Device/IoT edge On-premise edge Network edge Core Cloud Footprint, premises Underlay connectivity services Sync as a service, security as a service Network slicinguCPE Edge DCIManaged fiber Passive optical Active optical X-Haul Backhaul Ethernet/IP NFV platform as a service / mMTC GW Other VA (e.g., MEC, fog, …) Overlay, e.g., SD-WAN Enterprise mobile Neutral host
  17. 17. © 2020 ADVA. All rights reserved.1717 Simple wholesale servicesServiceComponents Progressive Service Offering L2/3 Switched/Aggregated Sync aaS (PTP), Security aaS (L2/3 Encr.) Network Slicing SDN Layer (TSN?) L2/3 Footprint, Premises Dark Fiber (unmanaged) Dark Fiber (managed) Spectrum (flexible or fixed) Active Wavelength Optical/Layer1 Sync aaS (Optical Timing Channel), Security aaS (Layer 1 Encryption) Edge Compute NFV aaS SaaS Neutral Host, IOT GW, … Orchestration Hosting Property Subscription or Perpetual Licenses Compute Security Sync Availability Latency Bandwidth (Throughput?) SLADemarcation/Metering Automate
  18. 18. © 2020 ADVA. All rights reserved. Confidential. How can they be realized?
  19. 19. © 2020 ADVA. All rights reserved.1919 Optical wholesale services L2/3 switched/agg Sync/sec aaS Network slicing L2/3 Footprint, premises Dark fiber (unmanaged) Dark fiber (managed) Spectrum (flex/fix) Active wavelength Optical/Layer1 Sync/sec aaS Edge compute NFV aaS SaaS Orchestration Hosting On-premise edge Network edge Core Enterprise DCI Access link monitoring (OTDR) Fibernet of things (IOT) A-OLS (G.metro) Outdoor-OLS Core-OLS DCI - OLS Metro OLS Open disaggregated connectivity 10/100G CPE Outdoor TP 1/10G G.metro Teraflex Quadflex SAN DCI TP Edgeflex, OpenFabric Optical timing channel Layer 1 Encryption incl. QRA/QKD Open SDN NBIs Ensemble Controller Fiber/Optical/Sync Director
  20. 20. © 2020 ADVA. All rights reserved.2020 L2/3 wholesale services L2/3 switched/agg Sync/sec aaS Network slicing L2/3 Footprint, premises Dark fiber (unmanaged) Dark fiber (managed) Spectrum (flex/fix) Active wavelength Optical/Layer1 Sync/sec aaS Edge compute NFV aaS SaaS Orchestration Hosting On-premise Network edge Core DIY Mobile/CPE Edge GM CSG/RRH GM Core GM Edge aggregation Layer 2/3 encryption Open SDN NBIs Ensemble Controller Packet/Sync Director DCSG Secure access 5G transport MEF services 1-100G NID/CPE/CSG Activator Disaggregated NOS
  21. 21. © 2020 ADVA. All rights reserved.2121 On-premise Network edge Core DIY Mobile/CPE Enterprise IoT Hosting wholesale services L2/3 switched/agg Sync/sec aaS Network slicing L2/3 Footprint, premises Dark fiber (unmanaged) Dark fiber (managed) Spectrum (flex/fix) Active wavelength Optical/Layer1 Sync/sec aaS Edge compute NFV aaS SaaS Orchestration Hosting Compute CPE Edge compute Connector uCPESD-WAN Enterprise µCloud Enterprise mobile IT/OT convergence IoT IoT GW Hybrid CPE/Agg Open SDN NBIs Ensemble Controller Packet/Virtualization Director NFVi overlay on packet edge Largest library of commercial VNFs Open ecosystem Largest white/grey box support Ensemble Orchestrator Open NBIs
  22. 22. © 2020 ADVA. All rights reserved. Confidential. Summary
  23. 23. © 2020 ADVA. All rights reserved.2323 The past months have shown that • Networking is essential • We need to charge for usage! • We need to do more, faster with less  Digitization and disaggregation of networks need to be accelerated  Wholesale set-ups with simple services are required  Key service properties range from bandwidth to edge compute/SaaS and need to be defined by SLAs and ensured/metered This is a huge opportunity for all of us – we are in the right industry! Summary
  24. 24. © 2020 ADVA. All rights reserved. Confidential. Q&A
  25. 25. Thank you IMPORTANT NOTICE The content of this presentation is strictly confidential. ADVA is the exclusive owner or licensee of the content, material, and information in this presentation. Any reproduction, publication or reprint, in whole or in part, is strictly prohibited. The information in this presentation may not be accurate, complete or up to date, and is provided without warranties or representations of any kind, either express or implied. ADVA g shall not be responsible for and disclaims any liability for any loss or damages, including without limitation, direct, indirect, incidental, consequential and special damages, alleged to have been caused by or in connection with using and/or relying on the information contained in this presentation. Copyright © for the entire content of this presentation: ADVA. cglingener@adva.com

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