100G Enabling Next Generation

Network Solutions
Jim Westdorp
Senior Director, Portfolio Management
April 2010
Ciena Confidential and Proprietary

The 2010 EAA OSHKOSH Air show!

An airplane enthusiasts dream . Acres and acres of planes and an

air show every day for a week

Ciena Confidential and Proprietary

The Need for Speed

YouTube today uses as much
bandwidth as the entire
Internet in 2000:
200 Tbytes of traffic daily

By 2010, 27%
of Business
access will
require 100M 10G Ethernet

EADs (Millions)

3.0
2.5
2.0
1.5

R&E, Supercomputing and

DoD users need massive
bandwidth for next gen
applications.

Source: Infonetics 2H 2007

10/100M
 44% CAGR (07-10)
10/100M
1G

36%
CAGR (07-10)
1G
10G  415% CAGR (07-10)
10G

Storage bandwidth growth:

6,000,000 Terabytes 2008 ->
> 16,000,000 Terabytes 2010

1.0
0.5
0.0

2007

2008

2009

Gartner Group, Oct 2006

2010

We are in the midst of massive growth where bandwidth requirements are exploding

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100G Interest is Up!

Ciena Confidential and Proprietary

100G Market Drivers

Network Infrastructure Exhaust > Transmission Capacity Expansion

Carriers reporting traffic growth rates of 30% to 50% annually
Some networks have heavily loaded 10G links and are fiber constrained
10G to 100G muxponder solution provides 10X capacity per wave
80x100G

System
Capacity 7
(Tbps) 6
5

50% Growth

80x40G

3
30% Growth

2
50chx10G

1
1H08

80x10G

2H08

1H09

2H09

1H10

2H10

1H11

2H11

1H12

2H12

100G Service Requirement > Native 100G Service Offerings

100G service offerings to customers with 100G data sources
100G infrastructure links to support 10G and 40G packet service offerings
Availability of 100G interfaces on switches is gating item

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Market Drivers
40G/100G Applications
10G
10G

10G
10G
10G

100G
100G

Support growth
Facilitate edge
applications
Agile Photonics
Lowest $/bit

$/bit

Leverage
aging plant
Roll legacy
systems &
free-up fiber

10G

100G

Fiber Relief

100
Gbps

Bulk Transport

Maximum
throughput
Computationally
intensive
research

Rapidly activate
sub-circuits
Minimize field
Operations
Minimal O/E/O

Rapid Service Turn-Up

6

Supercomputing
Ciena Confidential and Proprietary

Market Drivers
40G/100G Customer Insights


Explosion of 40G/100G services will occur in 2012

 40GE, 100GE from router/storage vendors
 Emergence of CFP pluggable interfaces at competitive prices

Heavy Reading Market Survey, June 2009

 All operators asking for 100G compatible deployments
 Most operators continuing to deploy 10G/40G and want to deploy 100G
channels next to 10G/40G channels
 Bulk of operators want coherent, electronic dispersion compensated
systems
 10GE, 100GE new services most likely to be deployed

100G to emerge in LH applications first, then cross over to Metro

applications
 Total cost of ownership ($/bit/km) critical
 Services emergence vs. capacity exhaust factors to consider

Service latency emerging as key technical factor

 New to large carriers, existing in enterprise customers
 Service latency: link latency + equipment latency
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Ciena Confidential and Proprietary

Approaches to 100G Requirements

Transmission capacity expansion in long distance networks
 Case A - No impending capacity exhaust
 Transceiver cost is sole factor
 Stay with 10G for small incremental traffic

10G
10G
10G
10G
10G
10G
10G
10G
10G
10G

100G

10G
10G
10G
10G
10G
10G
10G
10G
10G
10G

100G

10G
10G
10G
10G
10G
10G
10G
10G
10G
10G

100G

 Case B - Impending exhaust ample fiber

 10G - add new ROADMs and amplifiers
 10G - add new space and power
 100G - increased cost balances new amps

 Case C - Impending exhaust need fiber

 10G - add fiber cost, typically 20 year IRU
 10G - add ROADMs and amplifiers
 10G - add new space and power
 100G increased cost balances new fiber, amps

 Case D Need to support 100G services

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Ciena Confidential and Proprietary

Proof Points
First commercial deployments of 100G

Frankfurt

100G
over
900km!

Ciena in a unique position to win business with a

solid solution + first mover advantages!
Paris-Bouvets
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Ciena Confidential and Proprietary

Cienas Public 100G Milestones

SC08 - Supercomputing
Nortel 100G in SCinet
Carried live traffic for the
duration of the event

OFC/NFOEC
100G, 1000km, 50GHz
3 fiber types, no comp

2008

FEB MAR

OCT NOV DEC

COMCAST
Carrying live Internet for IETF
Philadelphia - Washington
335km, 4x 50GHz ROADM
100G error-free 7 days
Foreign 40G live video traffic

NEOS Networks
Manchester London
705km, no regens
10G/40G/100G over
existing network

100G Demo over

Challenging
Conditions

100G over same

challenges carrying
live traffic

100GE over 100G

Worlds 1st: 100GE over
100G wavelength
800km, PMD 60ps DGD
10G/40G/100G, 50GHz

100G over
worst span in
network

10

VERIZON
890km, >30 x 10G
LIVE DEPLOYMENT!
DEC

MAR APR MAY JUN JUL

2009

VERIZON
100G over fibre that could
not carry 10G, 73km
Passed 107ps DGD PMD

JANET/Verizon Business
London, Reading 103km
25ps mean DGD added
10G/40G/100G over
existing network

BANVERKET
Sundsvall - Stockholm
810km, no regens
10G/40G/100G over
existing network

OFC/NFOEC
10x10GE over 100G
800km, 4 x 50GHz ROADM
Colorless OADM with
coherent receiver

 100GE over
112Gbps

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2010

TELSTRA
2038km, no regens
10x10GE over 100G

SURFNET
Amsterdam, Hamburg
1244km, no regens
80ps DGD
10G/40G/100G over
existing network

10 x 10GE over

112Gbps
Record Distance

 100G requiring
No Network
Re-Engineering

Balancing act of technology choices for 100G

Provide highest performance, lowest cost solution for target market(s)

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Ciena Confidential and Proprietary

Cienas Unique Investments

ADVANCED MODULATION SCHEMES
Q

Coding gain (dB)

(0,1)

HIGH CODING GAIN TURBO FEC

Q (0,0)

14
13

(1,1)

(1,0)

3 x ODU3+

soft dec.

11
9

QAM/QPSK

100GigE
Shannon bounds

12
10

hard dec.

candidate
soft dec. codes

Wraptor hard dec

8
7

Multi-Level, Phase, Polarization Modulation

Coherent Rx Phase & Amplitude recovery

2
60% 50% 40% 30%
0
Overhead
%

10%

RS-8 (OTN Standard)

Flexible payload rate and FEC overhead

Target 10-12 dBs of Coding Gain

HIGH PERFORMANCE DAC / ADC

DAC

15

CUSTOM HIGH PERFORMANCE DSP

ADC

Carrier Phase & Polarization Recovery

High Speed, Resolution & Linearity

Ultra Low Power (CMOS)

Chromatic Dispersion & PMD Compensation

Makes 10G / 40G / 100G DWDM / ROADM Plug n Play

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Ciena Confidential and Proprietary

Todays 40G/100G products

100G

40G

Dual Polarization
Vertical
Polarization
Horizontal
Polarization
Dual Polarization

QPSK X - polarization

ADC
CD
filter
ADC

Hxx

(0,1)

Decision

Q (0,0)
I

Carrier
rec.

Hyx

(1,1)

Hxy

ADC
CD
filter
ADC

Pol rec.
MIMO

Hyy

(1,0)

Carrier
rec.

QPSK Y- polarization
(0,1)

Control, optimization & calibration

Q (0,0)
I

Custom ASIC Technology

Enables Small, High
Performance Receivers
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Ciena Confidential and Proprietary

(1,1)
Rx Data Before DSP

(1,0)

Rx Data After DSP

Cienas Adaptive All Optical Networks

TWc

SMF-28

TWc
E
LEAF

 Simpler, all optical networks

for all 10/40 and 100Gbps
 Leverage existing fiber
assets without excess cost
 Provide immediate efficiency
gains for 10Gbps traffic

E
LEAF
SMF-28

1.

Mixed fiber routes

 Removal of regenerators
 No in line compensators

2.

Optical pass through and

branching via ROADM

3.

Restoration and Control Plane

Preserve investment value into the future

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Ciena Confidential and Proprietary

Cienas value proposition

Cienas solutions allow service providers to cost effectively
increase network capacity to 40 Gbps/

1. Simpler

 Every fiber carrying 10G today can carry Cienas

40G and 100G going forward
 Deployable over any fiber plant and most foreign amps

2. Future Proof
 50GHz ROADM compatible
 No dispersion or PMD compensators
 Extends the reach to 1000-2000 km

3. Business benefits today

 Wavelength saving
 CAPEX reduction through 4:1 10G aggregation
 No additional Regenerator sites needed

No network reengineering

40G & 100G are here today

use them to drive sales today as customer investments are now future-proof
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Ciena Confidential and Proprietary

Cienas 100G Brings Carriers

 400G - 800G per shelf
 9Tb/s capacity per
system
 High efficiency
 Coherent Receivers
 No In-Line Dispersion
comp  low latency
 High PMD tolerance
 1000+km Reach
 A history of innovation
that will continue
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Ciena Confidential and Proprietary

Satisfying the Need for Speed

10GbE, 40GB, OTU3, 100GbE, OTU4

17

We will fill up the

bandwidth just like we
learned to fill-up disk
space and memory

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Thank-you!
Questions?

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Ciena Confidential and Proprietary