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By Wang Yusen, Zhan Yuan

Since the inception of the first commercial GSM network in Europe in July 1991, the telecom industry has experienced massive developments in this field. To date, the total number of global GSM subscribers has reached a staggering 2.1 billion, including 500 million new subscribers in 2006, which breaks down to 1.3 million per day. In the coming years, the number of GSM subscribers will continue to grow. 29 CDMA operators have shifted to GSM, and 258 GSM networks have been deployed in 136 countries.

The continual growth in subscriber numbers has necessitated increasingly complex GSM networks that have led mobile operators to look for ways to realize optimization and achievable network development and thus garner sustainable market success.

With greater numbers of operators providing EDGE (Enhanced Data rates for GSM Evolution), a wave of GSM network construction, expansion and optimization is set to occur. The current complexity of GSM networks has placed greater pressure on equipment and service delivery. In many areas frequency resources are seriously restricted, hindering both network quality improvements and new service deployment. Operators are thus investigating a number of urgent issues. Firstly, how can the conflict between increasing subscriber requirements and restricted network resources be solved? Secondly, what is the best way to provide new networks that can evolve in the long-term to ensure they remain advanced and competitive? Given that MOU (Minutes Of Use) and subscriber numbers are increasing while ARPU is decreasing, what forms best investment plan for network expansion and optimization in order to meet increasing user requirements?

To control costs and increase the input-output ratio, it is necessary to adopt a long-term competition mechanism to avoid monopolization. To achieve this, the idea of wireless network adjustment has been selected by many GSM operators throughout the world.


GSM network reconstruction booming globally

• Digitel seeks solutions
  
  Digitel formally began GSM operations in 2003 and presently serves over 1.1 million subscribers in the Phillipines. Previously, their GSM network carried an unsuitable structure that caused serious congestion. In Manila, home to the majority of high-end subscribers, Digitel was providing inadequate coverage for indoor locations and high-buildings. Numerous commercial difficulties were compounded by extremely high operation costs, and this situation was exacerbated by fierce competition in the domestic mobile communications' market. Digitel experienced stagnant subscriber growth after three years of development, and many subscribers began to switch networks to an extent that exceeded the company's worst expectations. It was clear that existing network quality had to be improved, capacity expanded, and a strategy formed for future business direction.
  
  In April 2005, Digitel selected Huawei to adjust its GSM network in Manila. Huawei dispatched a project team to investigate service deployment and offered comprehensive operational support allowing Digitel to quickly deploy high-speed data services. This resulted in greatly improved performance indices characterized by decreased congestion, enhanced network quality and improved indoor coverage. The new EDGE-based optimized network delivered a rich service experience to end users and, consequently, a rapid increase in traffic due to a welcome doubling in subscriber numbers.

  
  Tabe 1 Proportion before and after optimization
  

　　Network adjustment has allowed Digitel's GSM network to offer
　　deeper coverage in dense urban areas and wider coverage in
　　remote areas. Operating  successfully since 2005, subscriber
　　numbers are continuing to grow and Digitel is confident
　　regarding future development that will entail larger scale 
　　network adjustments.

• Ufone finds its competitive advantages
  
  With a population of 170 million people and mobile penetration rate of just 20%, Pakistan offers massive future market potential. Indeed, the annual domestic growth rate for mobile communications currently sits at 140%, rendering the country a key area in the Asia Pacific region. Of the six domestic operators, Mobilink and Ufone are the two largest respectively. Ufone, a successful subsidiary of the multinational Etisalat, currently serves 9 million subscribers and has enjoyed rapid expansion in Pakistan with subscriber numbers increasing from 650 thousand to 9 million over the past two years.
  
  Despite an average monthly subscriber increase of nearly 1 million, Ufone had still faced enormous pressure due to some serious competition. Aiming to maintain its competitive advantage and acquire a dominant future market position, Ufone opted to replace its existing network in 2006 with a new GSM network that would cover over 1500 Pakistani cities and towns and provide subscribers with richer high-speed data services.
  
  Ufone stipulated three basic demands for equipment vendor selection. The first required vendors to evidence their ability to swiftly construct a network capable of meeting new subscriber numbers. Secondly, the new network called for smooth 3G evolution potential to protect current investment and anticipate the coming 3G era. Thirdly, the chosen vendor had to demonstrate its long-term strategic partnership abilities and the aptitude to respond effectively to Ufone's marketing strategies.
  
  Ufone also set parameters for technologies and solutions, equipment evolution capability and vendors' delivery capacity. In depth consideration and comparison led Ufone to select Huawei for GSM network relocation. Successful scheme deployment afforded Ufone significant benefits, and the company is highly satisfied with the relocation effect: "When we deployed the previous GSM network, it was the largest GSM network in Pakistan's telecom history. The new network, with twice the previous capacity, has enabled Ufone to keep a leading position."remarked Ufone's CEO, Babar Khan. "At present, Pakistan's mobile market is still growing quickly. By expanding our network, we can now double capacity for subscribers."
  
  
• Jiangsu Mobile tackles high traffic
  
  In recent years, Nantong, a city in Jiangsu China, has experienced rapid economic development and a sharp increase in communication needs. Qidong, a district of Nantong nicknamed "Mini Shanghai", has a densely concentrated urban population. To solve congestion in areas with high traffic, base stations in the Qidong network are generally large capacity. The average urban site model was S6/6/6 and, in some base stations, the capacity of the three sectors reached 36 TRXs.
  
  Faced with area's speed of development the local mobile operator, Jiangsu Mobile, encountered many problems. ROI (Return on Investment) was increasingly difficult to obtain, the number of online subscribers increased, network congestion escalated, resources became restricted and the service quality of the sole equipment vendor was substandard. Additionally, problems were occurring with routine maintenance, network planning and optimization.
  Jiangsu Mobile consequently decided to adjust and expand its network, but first had to consider a range of issues. The KPI indexes of the new network had to equal to or surpass those of the existing network, services needed to be maintained during network cutover and the new network had to possess smooth evolution capabilities. After discussion with different equipment vendors, Jiangsu Mobile was finally convinced by Huawei's solution and the relocation project began in April 2006, and covered three cities: Qidong, Rudong and Hai'an. Over 300 base stations were relocated and constructed, which now support 3,200 TRXs and 720,000 subscribers.
  
  The network adjustment project comprised three phases: preparation, cutover implementation and network optimization. During the preparation phase, network planning and engineering experts collected information concerning network quality and customer complaints in Nantong. By utilizing Huawei's parameter optimization and configuration tools, the experts developed a configuration scheme that ensured stable and smooth network evolution, while inheriting key network parameters.
  
  The cutover implementation phase was carried out early in the morning, when traffic is lowest, in order to reduce the impact on terminal users. The project realized overall adjustment and segmented cutover and optimized the use of equipment room space and transmission resources. Base stations were commissioned ahead of schedule and cutover was simplified with connections made among jumpers and feeders only. The shortest base station cutover duration was just 18 minutes, and Huawei created the new records of implementing cutover in 12 base stations simultaneously and replacing 62 sites in one evening.
  
  To ensure decent network quality after adjustment and during network optimization, Huawei implemented real-time optimization during and after replacement. Huawei's network planning experts were divided into a number of groups who took on real-time test monitoring and segmented optimization in replacement areas after each cutover. Huawei's GPAC (Global Performance Analysis Center) was employed for centralized data management in order to rapidly locate and solve problems and guarantee high-level network quality.
  
  By analyzing traffic statistics, Jiangsu Mobile observed equal or improved KPI in the adjusted network, which was well received by subscribers. Jiangsu Mobile has successfully reached its objectives of improving network quality and increasing investment returns.
  
  
• Harbin Unicom reconstructs network in dense urban areas
  
  In late April 2006, Huawei won the bid for reconstructing Heilongjiang Unicom's GSM network in Harbin, the province's capital. The overall project goal was to adjust a large-scale network by utilizing 310 900MHz and 170 1800MHz base stations. Most of these were located in geographically important and dense urban areas. The scheme embodied expansive relocation, advanced softswitch technology and mature base station equipment.
  
  After reconstruction, the network was transformed into a dual-frequency GSM network supporting 2,700 TRXs and 840,000 subscribers. In total, 12 cutovers were achieved, and 48 base stations were replaced in one night during the largest cutover. Huawei completed the project in 24 days, despite an industry average of about 6 months for this type of scheme. The engineering period was free of customer complaints, and, after adjustment, Harbin Unicom experienced enhanced network coverage and smooth network upgrades that had been designed to meet end users' needs.

Balancing technical innovation and project management

• Issues faced by operators and vendors
  
  Competition is leading increasing numbers of operators to identify network relocation by equipment vendors as an efficient way of solving existing problems, improving network capacity and maintaining competitiveness. However, doing so creates numerous challenges for both operators and vendors.
  
  Firstly, new equipment must enable better network performance in order to solve existing problems. Increasing subscriber numbers and restricted frequency resources mean that operators require base stations with larger capacity and higher spectrum utilization. To reduce CAPEX and OPEX, operators need to minimize the number of sites via technical support from equipment vendors. The new equipment must also provide a rich array of services so as to increase operators' profits.
  
  Secondly, each equipment vendor must possess sufficient relocation project management and implementation capabilities. Outstanding equipment represents a precondition for relocation, while project management describes the core. Each relocation project invariably consists of three phases: preparation, cutover implementation, and network optimization. To implement large-scale network relocation, effective project management systems monitor all the involved procedures. To avoid affecting service usage, cutover occurs in the evenings, and hundreds or thousands of base stations must be cutover in a very limited timeframe, while stability and reliability guarantees remain of paramount importance. This has placed considerable demands upon the shoulders of equipment vendors.
  
  Thirdly, given tight deadlines that involve thousands of TRXs, an equipment vendor must display strong network planning and network optimization capabilities in order to ensure relocation success. The replacement network must exhibit improved quality and solve network congestion, restricted frequency resources and coverage blind spots.
  
  Fourthly, newly adopted equipment must enable long-term evolution, especially towards 3G and IP networks to render operators' investment long-term and sustainable, and obviate the need to significant reinvestment.
  
  
• Advanced Huawei GSM solutions
  
  The current major concerns facing mobile operators rest with increasing network capacity via technical measures, reducing maintenance expenses and continually deploying new services. To meet these needs, Huawei's GSM features the following characteristics.
  
  1) Large capacity and high spectrum utilization
  
  Greater coverage does not only provide existing subscribers with superior network quality, but also attracts new subscribers in more areas, thus increasing operation benefits. Huawei's EnerG GSM solution adopts AMR technology and a unique concentric circle algorithm to enable large capacity and high spectrum utilization. It can improve coverage in fringe areas and cater to high capacity applications in dense urban areas.
  
  2) Fewer sites and low maintenance costs
  
  Network CAPEX is dominated by site engineering expenses averaging 42% of the total, and this is followed by access network equipment costs. The most efficient method to reduce CAPEX lies with site reduction. Huawei's new-generation GSM dual-density base station adopts dual-density frequency and supports many advanced wireless technologies such as transmitting diversity, 4-line receiving diversity, ICC and AMR. Huawei's base stations can greatly reduce the number of sites, thus minimizing maintenance costs and OPEX.
  
  3) Diversified services, rich choices
  
  Huawei has assisted Digitel and Ufone to deploy EDGE services. These two operators' networks can enable 80% 3G services, which fully satisfy user demands for high-speed data transmission. Huawei has helped China Mobile to successfully launch its colorful RBT service and provides many mature RBT solutions. So far the number of subscribers supported by China Mobile's RBT platform using Huawei equipment has reached 80 million. While satisfying personalized experience requirements, Huawei increases operators' ARPU and enhances brand equity. The network relocation project with Harbin Unicom soundly illustrates Huawei's capabilities in terms of network management, network planning in complicated landforms and swift implementation.

Aiming higher in GSM

With continuous GSM network development, network adjustment has become a common network construction mode for mobile operators. Under the ethos of continuous investment and non-stop innovation, Huawei has released a range of GSM solutions that enable stability and smooth evolution. To date, Huawei employs 800 network planning and optimization experts globally and has accumulated a wealth of experience in a range of environments. By the end of 2006, Huawei had participated in network construction and adjustment projects for over 150 GSM operators in more than 80 countries. So far 800,000 of Huawei's TRXs have been applied worldwide, inclusive of 300,000 supplied in 2006 alone. This has raised the company's position as a mainstream global GSM supplier. In terms of domestic GSM equipment procurement in 2006, Huawei won 12% of China Mobile's and 30% of China Unicom's total orders. So far its GSM equipment has been applied from edge networks to developed areas, including Guangdong, Jiangsu and Shandong provinces.

According to Yu Chengdong, president of Huawei's Mobile Networks, "Huawei is the fastest growing mobile equipment supplier in the world. In 2006, Huawei mobile experienced great changes, making the company one of the top mobile equipment suppliers. We have been dedicated to enriching communications and the lives of our customers. In the future, we'll continue to devote ourselves to providing innovative products, services and solutions to meet customers' increasing mobile communication needs, create long-term value and explore potential value for customers."Indeed, in 2007 Huawei will strive to consolidate its advantages and further assist mobile operators achieve success.