Comparative TCO of microwave backhaul systems
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www.cbnl.com Total cost of ownership in modern backhaul Comparative TCO of microwave backhaul systems John Naylon, CTO August 2013
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An overview of total cost of ownership in modern backhaul
Transcript of Comparative TCO of microwave backhaul systems
www.cbnl.com
Total cost of ownership in modern backhaul
Comparative TCO of microwave backhaul systems
John Naylon, CTO
August 2013
Commercial in confidence 2
About CBNL and VectaStar
CBNL is the global market leader in point-to-multipoint (PMP) microwave backhaul and access solutions
We have a single product family – VectaStar – that has been under continuous development for over 10 years
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Wireless Backhaul from Intermodal Perspective (2013)
50% market share
PtMP Wireless Market for Small Cells and LTE (2013)
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A simple TCO model for wireless backhaul
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This model encompasses the “big ticket” items; numerous other factors could be included, but the final total is unlikely
to be significantly affected
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PMP and PTP are complementary technologies
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Multipoint microwave
Point-to-point microwave/mm-wave
Less equipment per linkLower TCO per link
Shared capacityShort range
Best for last mile
More equipment per linkHigher TCO per linkDedicated capacity
Long range
Best for middle mile
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TCO comparison: multipoint versus point-to-point
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Multipoint microwave
Point-to-point microwave/mm-wave
Bandwidth dynamically shared between links
Statically provisioned bandwidth for each link
At hub, shared radio and antenna for all links
At hub, dedicated radios and antennas for each link
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Compare TCO backhauling 5 sites: equipment
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Remote
Hub
Remote
Remote
Remote
Remote
Assume hub is 2× price of remote end
Each additional site needs only the remote end of the link
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cost
Unit of cost = 1 radio transceiver. Assumes PMP and PTP radios are equally priced, which is valid for microwave comparison. Millimetre wave radios are currently ~2× price of microwave radios.Source: Maravedis-Rethink, Wireless Backhaul Market from an Intermodal Perspective, April 2013
Remote
Remote
Hub
Remote
Hub
Remote
Hub
Hub
Remote
HubEach additional site needs equipment at both ends of the link (for either star or chain configurations)
Each end of the link is the same price in PTP
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cost
Multipoint microwave
Point-to-point microwave
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4
8
6
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Compare TCO backhauling 5 sites: installation
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Remote
Hub
Remote
Remote
Remote
Remote
Assume hub install is 2× price of remote terminal install
Each additional site needs only the remote terminal install
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cost
Each link to a site needs two teams and simultaneous access to each end of the link for alignment
Assume this is 3× price of sending one team to one site
15cost
Link
Link
Link
Link
Link
Unit of cost = 1 site installation
Point-to-point microwave
Multipoint microwave
3456
3
6
9
12
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Compare TCO backhauling 5 sites: site rental and power
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Remote
Hub
Remote
Remote
Remote
Remote
Hub site may have higher rental or power consumption than remote site
Single antenna rental and unit of power consumption added per site
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cost
Remote
Remote
Hub
Remote
Hub
Remote
Hub
Hub
Remote
HubRent is per antenna, and power consumption per radio, so each additional link incurs another two units
Each end of the link comprises a radio and antenna
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cost
Point-to-point microwave
3456
2
4
8
6
Unit of cost = 1 year’s site rental and power
Multipoint microwave
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Compare TCO backhauling 5 sites: spectrum
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Point-to-point microwave
Multipoint microwave
Example: spectrum costs vary widely but PMP bands are often relatively under-utilised, hence spectrum affordable
Commercial in confidence 10
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20,000
40,000
60,000
80,000
100,000
120,000
Sites per backhaul hub
5 y
ea
r T
CO
, N
PV
Bottom line: PMP drives down backhaul capex and opex
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Typical average number of sites per backhaul hub is between 4 and 6
PTP millimetre wavePTP microwaveMultipoint microwave
Conclusion— Microwave PMP can offer very significant TCO savings versus
microwave or (especially) millimetre wave PTP for last mile links in dense backhaul networks; PTP is better suited to the middle mile, trunking applications and long range links
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Thank you for your time
John Naylon, CTO
August 2013
Comparative TCO of microwave backhaul systems
