Elephants and Mice

The Evolution of Traffic Patterns in the Mobile RAN

Jeremy Chappell Jakarta, October 2011

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

Sycamore: Bandwidth Management Solutions Provider to Network Operators Worldwide

Government Agencies Mobile and Fixed Line Operators Utility Operators

*This slide reflects customers of Sycamores Intelligent Bandwidth Management solutions

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

Mobile Broadband (MBB) Market Drivers

POWERFUL END-USER DEVICES, ADOPTION SOCIAL MEDIA EVOLUTION

ONLINE CONTENT EXPLOSION (esp. Video) EMERGING M2M APPLICATIONS

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

MBB Service and Operational Challenges

Inconsistent user experience especially during peak periods

A combination of more users on the network and rising subscriber expectations Smartphones can consume 30x the byte volume of a traditional handset Dongle-equipped user can consume 10-20x the byte volume of a smartphone Peak traffic volumes can exceed 4-5x the baseline and spiky Prolonged data sessions driven by more capable devices and compelling content Voice-centric models losing relevance as bursty data monopolizes the pipe

Rapidly evolving baseline traffic, usage patterns and content mix

Reduce network and capacity planning predictability

These dynamics are forcing operators to increased infrastructure

investment and OPEX especially in the RAN

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

Mobile Data and Service Delivery Economics

Cost of Network - Split of OpEx (%) Cost of RAN - Split of OpEx (%)

Backhaul 43%

RAN 55%

A primary target for cost containment is the backhaul network, which can consume over 20% of total operational expense for network operators relying on a mix of self-built and leased line access.
Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

A View of Mobile RAN Traffic

Trend Analysis (elephants, mice, video, etc.) from Live Node B Traffic Studies Worldwide

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

Elephant & Mice Behavior

Elephant Bursts Ranked by Bps (All Core Sites, 1 Minute Intervals)

5 4 3 2 1

Top 5 Users > 60% of Traffic in Peak Hours

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

Elephant Sessions Can Last Many Hours

Operator X, Site Y: Elephant Burst Session Profile (BPS Ranking Shown)

Elephant Burst Sessions

1-Minute Intervals

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

Content Type Breakdown

Operator X: February 25 8 Hour HTTP Content Class

Proportion of Bytes

Video Represents > 60% of Byte Volumes in Recent Traffic Captures

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

Mobile Data Traffic Trends: A Perspective from Live Node B Traffic Studies
Mobile Video the game changer

Explosive growth; pixel-rich user devices; consumer shift toward more long form, premium content; rising subscriber quality expectations; increase in repeat content Top videos and the long tail phenomena
Justin Bieber Baby YouTube video over half a billion views Top requested BBC iPlayer show episode 1) Katy Perry Fireworks YouTube video 70 million views in 70 days Netflix - 20% of primetime U.S.

Video traffic concentration

Traffic concentrated in small number of sites first and videos

Traffic
(Dr. Who streamed 2.2M times in 2010

Internet traffic in

Video apps for iOS and Android further drive concentration

Hi Popularity Lo

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Concentration Trending Sample: Video Objects

HSP A R AN Traffic Analysis

Cumulative % of Traffic Volume

Traffic Concentrating in Fewer Video Objects

2009: 10 % of objects = 40 % of traffic 2011: 10 % of objects = 65 % of traffic

Apr 2009 Oct 2011

Cumulative % of Video Objects

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Concentration Trending Sample: Domains

Sycam ore HSP A R AN Traffic Analysis (2009 2011)

Traffic concentrating in fewer domains

2009: 1% of domains = 60% of traffic 2011: 1% of domains = 90% of traffic Significant year-over-year shift to name brand sites optimized for popular content distribution

Traffic concentrating in video-centric sites

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Video Abandonment in RAN

Video Completion Distribution

Flash Video Completion

% Completion Factor

Proportion of Video Objects

% of Total

% of Video Transfer Completed

50% of Videos are Only 40% Complete When Abandoned

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Service Quality Differentiation

Improving Service Performance with RAN-Based Optimization Techniques

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

RAN Congestion: Critical Flashpoint

Video Image Text Audio P2P

NODE B

RNC

Mobile Core

Video Image Text Audio P2P

RAN Congestion High Bandwidth, Rich Media Internet Content

Frequent cause of congestion and degraded user

Powerful End-User Devices, But

experience (insufficient transmission capacity) the network

Represents highest service delivery cost per MB in Key target for cost & performance improvements But also hardest segment (technical complexity)
Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Backhaul Reality Check

W hat W e Know

Mobile subs expect DSL-like performance all the time & everywhere

Operators are victims of their own successful marketing programs! But these sites can take months to provision with additional capacity Much faster air interface speeds drive higher capacity needs Leased lines, Metro-Ethernet, TDM/packet microwave, femtocells, etc.

Node B hotspots will continue to proliferate and get hotter

HSPA+ and LTE only aggravate the problem

Heterogeneous access & adding capacity are givens

Operators must sweat their existing assets

W hat is N eeded

Smart, adaptive & complementary approaches that dramatically

reduce backhaul congestion and improve service delivery economics while preserving the underlying network and operations
Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Adaptive Content Optimization for the RAN

Optimizes mobile broadband content in lossless manner to free
up RAN capacity and preserve a high-quality end-user experience

Adapts dynamically to changing traffic patterns - smoothing peaks

and flash events

Lowers the cost of delivering mobile broadband while ensuring a

superior multimedia experience for all end users

Improves utilization of existing RAN infrastructure while

maintaining full transparency to 3GPP radio network protocols and operations

Transparent and Non-Disruptive

Backhaul Node B RNC SGSN GGSN Filtering Billing Policy

Internet

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Content-Based Traffic Optimization in the RAN

I m proving the User Ex perience by Preventing Congestion Events
Sample Performance Impact with Content-Based Optimization Congestion
Threshold Iub Capacity

Time
Mobile Core

Node B

RNC

Congestion Threshold Capacity Demand Driven by Mobile Data Growth Optimized Throughput

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Real-Time Data Congestion Prevention

Rem oves Congestion-Causing Traffic P eaks W henever They Occur
At this Threshold IQstream avoided 90% of Congestion Minutes

Impact of Congested Iub on Service Quality: dropped packets, higher latency, stalled apps Customer Impacting Congestion

Congestion Threshold

Iub Capacity

Time

Performance: IQstream prevents up to 90% of congested minutes Result: an enhanced user experience and backhaul capacity relief
Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Adaptive Content Optimization (ACO)

Adapts to changing traffic and content patterns Works on all types of video (files, time-shift and live
streams) and all other IP content (apps, file downloads, P2P)

Lossless, full-fidelity experience Digital Rights Management (DRM) agnostic* Works transparently to existing web caches Focused on reducing congestion at critical mobile broadband flashpoint RAN backhaul

*Unlike caching, Content Delivery Networks (CDN) and transcoding

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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The MBB Optimization Landscape

Understanding the Pros and Cons of Complementary Approaches

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

Mobile Broadband Optimization Landscape

Technologies and Approaches
Client Devices Radio Access Network Mobile Core

Internet

Mobile Backhaul
MBB NB (3G/LTE) RNC/S-GW (3G/LTE)

Mobile Core

Session Optimization

RAN Content Optimization

Uses Adaptive, Content-Based Traffic Techniques to Reduce HSPA Congestion

Core-based Caching & Acceleration Session Optimization Internet Offload DPI, Policy, Enforcement

Alternative L1/L2 Backhaul Methods (Ethernet/Fiber/Femto/Wave )

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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Summary
A few Elephants can eat up all the RAN resources,
lowering overall customer experience for everyone

Mice customers also have expectations about service quality peaceful and prosperous co-existence of both Elephants and Mice:

Active RAN management can be applied to ensure a

Data reduction schemes transparently reduce resource requirements Data volume controls can be applied on a per-session, per-user and per-application basis to ensure fairness

Consistent Customer Quality of Experience (QoE)

can be attained without overbuilding.

Copyright 2011, Sycamore Networks, Inc. The information contained in this presentation is confidential and proprietary information of Sycamore Networks, Inc. and is provided for planning purposes only. Sycamore assumes no responsibility for the accuracy of the information presented, which is subject to change without notice. Sycamore reserves the right to delay the availability of the features described herein or terminate development of such features altogether.

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