World Telecommunication Day 2005
was marked as an important
anniversary. It will be more than a
century since telecom began helping
the world communicate. From the
birth of the telegraph, through
radio and television broadcasting to
satellite communications and the
Internet, the work of telecom has
helped harness the power of science
and technology to fulfill a basic
human need for communication. It is
next to impossible to do justice to
a huge field such as telecom in a
short writing; none the less it is
interesting to make an attempt.
PAST:
Telecommunications in the past
century has consisted primarily of a
combination of narrowband,
circuit-switched voice, fax and data
and, more recently, packet-switched
data and voice. The networks have
supported multiple formats and data
rates, using mainly electronic
switching with SONET rings for
multiplexing to high data rates, and
high-speed restoration. For the past
almost 150 years, Telecommunications
has experienced what can be termed a
peaceful evolution. In the late
1800s, it started as analog in
nature, using twisted copper pairs
for single channel communications
transport and with conversation
which was mechanically switched in
the central office.
In early 1900s the invention of
vacuum tube led to analog systems
utilizing FDM (frequency division
multiplexing). Multiplexing was
expensive, so the technology was
reserved for long-distance and
high-volume service. FDM technology
resulted in the consolidation of the
long-distance networks into fewer
routes with much more capacity.
In 1950s the advent of the
transistor changed the field of
telecommunications among others. TDM
(Time Division Multiplexing) was
born. In 1969, transistor-based
digital wireless systems (RF
transmission systems including
microwave and satellite) were
developed. In 1960s, the concept of
PCM (pulse code modulation) was
developed. This when used in
conjunction with TDM resulted in the
first electronic switch and offered
relief to the growing voice traffic.
In 1970s laser diode was invented,
so light wave transmission took
place. Fiber optic systems using WDM
(Wave Division Multiplexing) were
also being deployed. It was the same
time period when packet switching
was introduced. In 1980s major
migration from copper to fiber
started. Fiber was planted under
ground as well as under sea; the
first trans-Atlantic optic fiber
cable was planted. This growth has
continued and has made it from the
Core (SONET) to the Access in the
form of FTTH (Fiber to the Home).
Another non-technical but important
migration stated in the attitudes of
the regulation authorities, as the
once Ministry of PTT (Post,
Telephone and Telegraph) in most if
not all countries of the world
started to melt away.
In 1990s Internet became more
commercialized riding on the
Telecommunication Infrastructure.
The isolated islands of data
communication were let loose on the
information highway. This is where
the Evolution turned into
Revolution. Telecommunications
providers were forced to upgrade
their networks to accommodate this
enormous amount of traffic. Vendors
were forced to make gear, which were
more ’data-friendly’ and introduced
technologies, which could bear the
onslaught brought by this wave.
Frame Relay, ISDN, ATM and DSL are
all productions of this era.
Broadband was not just a buzzword,
but a ’must-have’. But the major
revolution that happened in
Telecommunications has been the
Circuit to Packet (C2P) Migration,
and the Convergence of Voice, Video
and Data services, as known as
’Triple Play’.
PRESENT:
In 2000s, the theme has turned
into ’Triple Play Solutions:
Anytime, Anywhere’. New generation
is well versed in Internet and now
demands mobility. Having voice,
video and data on one network is not
enough, it has to be wireless as
well. The NET revolution has become
more violent due to the explosion of
wireless growth. As a matter of
fact, both wireless and Internet
complement each other. Not only are
new technologies being introduced,
but they are being rolled out at a
pace never seen before. New kids on
the block include WAP, GPRS, WiFi,
WiMax and WLL. HOT SPOTS are the new
stars of this decade. Consumers are
being bombarded with terms such as
wireless, mobile, portable and the
likes. In a nutshell,
Telecommunications networks started
to transition from fixed lines to
mobile to Internet.
All great evolutions in
Telecommunications started from the
backbone (CORE) and migrated towards
the last mile (Access). Introduction
of technologies such as FDM, TDM,
improvements to the
telecommunications infrastructure
such as Multiplexers, Switches,
Digital Loop Carriers, introduction
of fiber both as Transport (SONET,
WDM, DWDM) and as Access (FITL, FTTC,
FTTH), advancements in wireless
again both as Transport (Microwave,
Satellite) and Access (GSM, WCDMA,
3G) have all followed this roadmap.
VoIP has been unique in the sense
that it started from the access and
worked its way back towards the
CORE. Telecommunications providers
resisted this wave, but eventually
gave in and joined the bandwagon.
This onslaught has been fueled by
the advent of numerous Wireless
Technologies, such as WiFi, WiMax
and WLL. The trends in technological
advances have been violent. ISDN
which was considered as the first
voice/data solution was phased out
to the more robust ATM, which in
turn is losing to the new flavor of
Ethernet, the Gigabit Ethernet.
Currently, there are 1.4 billion
telephone lines, 1.1 billion
cellular telephone subscribers
400-500 million Internet users which
translate into 250 billion minutes
of int’l voice/fax traffic, 2.5
trillion minutes of total voice/fax
traffic, 1’000’000 Gigabits (1
Petabit) per second of Internet
traffic, Services market of around
US$1.1 trillion, Equipment market of
around US$400 billion. New
Generation is rejecting the fixed
lines.
FUTURE:
There are four major components that
form the Telecommunications puzzle;
Vendors, Service Providers, End
users and Regulators. Each has a
tremendous effect on how the future
will be formed. Gone are the days
when vendors twisted the arms of
service providers, forcing their
’boxes’ upon them, which in turn
forced the end user with a limited
choice of services. Customers are
smarter and more educated about
various technologies and demand the
best for the minimum possible price.
Lets look at all four briefly.
Vendors:
The telecom landscape is changing
drastically and swiftly, in
virtually every dimension and the
telecom network of the 22nd century
will be radically different from the
network of today. All traffic will
be packet-switched through a single
format IP-network, with an optical
backbone, running at rates in excess
of 10 Tb/s, with optical switching,
and optical restoration. Networks
will have to offer a variety of
access systems ranging from wireless
to circuit to packet systems, a set
of transport switching and routing
systems that has an optical core. A
set of network services that build
on top of the transport to make them
useful, A layer of network
management to perform element and
multi-element network management,
remotely, proactive monitoring and
automatic response to outages. A
layer of service provisioning
systems performing customer care,
billing, trouble, tracking/
dispatching and adding/removing
services remotely with minimum or no
downtime. Networks will HAVE to be
Evolvable, Scalable, Flexible,
Reliable, Have open standards, be
easy to maintain and operate, be
open to rapid service development,
be priced competitively, Support
multiple services, be most important
of all, Be Secure, in order to
survive.
Expect further refinement and growth
of Intelligent Networks (IN),
pro-active and self healing,
offering security features with
minimum supervision. As light based
systems are improved upon, we will
see more switching and not just
multiplexing in light domain. This
will give birth to a whole new
world, since Optical to Electrical
(O/E) and vice versa switching
causes huge delays. Bandwidth will
not just be increased alone but
groomed and managed. Unused
bandwidth will be viewed as a ’cost’
and every byte will be sold, be it
in wireless or wire line. Legacy
switches will phase out and will be
replaced by ’intelligent’ data
switches (layer 2/3). As a result,
the data world hierarchy referred
to, as CORE, ENTERPRISE and EDGE
will be reduced from 3-tier network
to 2-tier network due to this
migration of intelligence to the
EDGE. It will be just CORE and EDGE.
As users demand mobility, EDGE will
experience a rise in technologies
such as FWO, WLL, WiFi, Wimax and
3G. As the lines between voice,
video and data start to blur
further, there will see a take over
by VoIP from wireless to wire line,
from CORE to ACCESS. Issues such as
billing, reliability, security will
be ironed out. Existing technologies
will be given a ’face-lift’ and in
many cases be replaced altogether;
these technologies such as optical
networks, wireless networks, the
Internet, and broadband
technologies, will assist us in
migrating from narrowband to
wideband to broadband networks over
the next decade. Some technologies
will render themselves
As users demand mobility, EDGE will
experience a rise in technologies
such as FWO, WLL, WiFi, Wimax and
3G. As the lines between voice,
video and data start to blur
further, there will see a take over
by VoIP from wireless to wire line,
from CORE to ACCESS.
obsolete during different phases of
their life cycles (introduction,
growth, maturity and decline), but
most will still hang around,
especially which have been planted a
lot, e.g. ISDN.
Service Providers:
Even though Total billable
minutes of used (MOUs) will continue
to grow, the Voice revenue will
continue to decline and replaced by
the more profitable data traffic,
bulk Internet traffic as well as the
insignificant looking SMS/MMS. This
will force TELCOS to upgrade their
networks to make them more
data-friendly and eventually VoIP
will not be a dirty word as all
voice traffic will be carried in the
form of data packets.
TELCOS have dropped opposition to
VoIP and are embracing it, as they
have realized that their survival
depends on it. Again this migration
will start from the ’core’ and work
its way up to the Edge and finally
Access. VoIP and VoIP related
solutions (products and services),
security billing, QoS will grow. We
will see growth in Ring Tones,
M-Gaming, Chatting, M-Shopping, and
M-government! More bandwidth hungry
E-business applications will
continue to grow, forcing a
tremendous growth for Internet.
As rate wars continue and further
heat, profit margins will thin out,
stock values of Telecommunications
vendors as well as service providers
will tumble, but vendors and
carriers (esp. wireless carriers
with their huge air spectrum fees)
will try to establish as huge a
footprint as they can. A lot of
mergers and acquisitions will take
place.
End Users:
On the end user side, as more
and more consumers demand
’Always-ON’ voice, video and data
solutions, we will see more gadgets,
such as smart phones (a combination
of cell phone, PDA and laptop),
which consume less power and offer
more battery life. They will have
rugged shells and will be
’recycle-able’ and in some cases
’disposal’. Voice Video and Data
will no longer be limited to your PC
only, but to your smart phone or a
similar portable ’communications’
device. ’Triple Play’ will not only
mean a network, which can handle
different forms of traffic, but
offer solutions. Users will hold
Service providers responsible for
security.
Regulators
It used to be Ministry of PTT
(Post, Telephone and Telegraph) in
most if not all countries of the
world. United States was a
trendsetter when it started
Deregulation of Telecom sector in
1980s. The other countries are
following the same practice, and not
because TELCOS have had a change of
heart but the fact that they realize
that they have no other choice.
There will be a movement from
Monopoly to Duopoly and to
Increasing competition, Private
sector participation and Independent
regulation will also make their
presence felt. In addition to this,
cable operators, telecommunications
service providers and new data
entrants will all compete with each
other by offering a ’One Package
Solution’ to increase their customer
base and hence their revenues.
There will be more relaxation in the
rules and regulations, since all
nations fear falling behind in the
technological sphere. These changes
will also occur in entertainment
industry (movies, cable operators,
satellite content providers). The
convergence of telecommunications,
computation and entertainment
industries, will lead to the
provision of innovative services
e.g. Bandwidth expansion, the great
Rates war, and the Globalization.
This in turn will create a need for
a new generation of both technical
and personal management skills.
In a nutshell, Telecom and Internet
both need each other whether they
like it or not. TELCOS need to
revamp their operations and go to
Next Generation Networks (NGN) to
accommodate Internet 2, which will
be more bandwidth intensive,
demanding QoS and used by real-time
applications and mission critical
services. The Internet needs to
implement IPv6, thus increasing
security and eliminating a constant
fear of ’running out of IP
addresses. Broadband will continue
to grow, battle between DSL, and
Cable modem will continue, ISDN, T1
will decline (new installations). On
the wire-line front, Fast Ethernet
to gigabit transition will happen,
DSL will post a solid growth, Cable
Modem will follow second, but the
leaders would be wireless such as Wi
Fi, WiMax, Ultrawide-band,
Bluetooth, Zig Bee and RFID. These
will eliminate any lines left
between PAN, CAN, LAN, MAN and WAN.
How accurate we will be in
predicting future? Well, I leave the
readers with an interesting quote…
”This ’telephone’ has too many
shortcomings to be seriously
considered as a means of
communications. The device is
inherently of no value to us.” -An
1876 internal memo at Western Union,
responding to Alexander Graham
Bell’s offer to sell them his patent
on the telephone for $100,000
Muhammad Farooq is a BSc. (EE) from
USA and is completing his MBA. He is
MCSE, CCNA, NGDLC, ATM and NGN
certified. He has worked in
Telecommunications sector, and
taught at various universities.
Currently he is working as a
Telecom/IT Consultant in UAE and
running an online Telecom/IT
newsletter (www.farooq.com.pk).
He can be reached at info@farooq.com.pk