Wireless Evolution - cdg. · PDF fileVoice Command, Short Message Service, ... Current - 56...
Transcript of Wireless Evolution - cdg. · PDF fileVoice Command, Short Message Service, ... Current - 56...
Wireless EvolutionCDMA2000 1X – Seamless Evolution to Next-Generation Services
Steve Falk, Vice President, Global Development
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Agenda
! Sprint Overview
! Sprint’s Choice of CDMA Technology
! PCS Vision—3G Application Overview
! 3G—Driving Take Rate, Usage and Revenue
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Long Distance Local Mobile
Coverage United States/International
18 states United States
Network Voice, Data, Digital Subscriber Line (DSL), Tier 1 Internet, Hosting
Incumbent Local, DSL All Digital CDMA
Products Outbound/Inbound Voice, Internet/Data Services, Managed Services, Professional Services
Local Service, DSL,Carrier Access, Product Distribution
Voice, Web Access, Voice Command, Short Message Service,
Customers ConsumerSmall BusinessLarge Business/Multi-National Company
ConsumerSmall BusinessLarge Business
ConsumerSmall BusinessLarge Business
2002 Revenue $9 Billion $6 Billion $12 Billion
Year Launched 1986 1899 1996
Sprint is a Total Communications Company
3G - PCS Vision
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Sprint Customer Segment Transformation
Sprint’s Choice of CDMA Technology
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CDMA2000 is commercially available across six continents
63 CDMA2000 1X commercial networks (first deployed Oct 2000)15 CDMA2000 1X networks scheduled to be deployed 2 CDMA2000 1X trial networks8 CDMA2000 1x-EV-DO commercial networks (first deployed Jan 2002)5 CDMA2000 1xEV-DO networks scheduled to be deployed 2 CDMA2000 1xEV-DO trial networks
1X Commercial1X Deployment 1X Trial
1xEV-DO Commercial1xEV-DO Deployment1xEV-DO Trial
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CDMA2000 will Continue to Expand Rapidly and Dominate the 3G Market Throughout the Decade
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50,000
100,000
150,000
200,000
250,000
300,000
Millio
ns
2001 2002E 2003E 2004E 2005E 2006E 2007E
WCDMA CDMA2000
0.0
100.0
200.0
300.0
400.0
500.0
600.0
2001 2002 2003 2004 2005 2006 2007
sub
scri
ber
s (m
illio
ns)
WCDMA CDMA2000
Source: Deutsche Bank, April 2003 Source: Strategy Analytics, 2003
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Sprint CDMA Network
! The Sprint nationwide PCS network covers more than 248 million people and more square miles than any other digital network in the U. S.
! Sprint’s wireless PCS network consists of over 20,000 CDMA cell sites− Every cell site and every RF carrier operates on IS-
2000 Release 0 of the CDMA standard! For a Vision customer, they have access to Vision
services where ever Sprint’s PCS service is offered –Nationwide
! Sprint targets an average user data rate of 60-80 kbps− As measured by performance indicators and network
testing Sprint is currently hitting this target.
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2006 – 2.5-3.1 mbps CDMA2000 1xEV-DV
Current – 144 to 720 kbpsCDMA2000 1X (with
compression)
Current - up to144 kbpsCDMA2000 1X
(Release 0)
Current - 56 kbps 2G - Compression
Current - 14.4 kbps 2G IS-95A
Evolution of CDMA2000 Platform
Sprint’s CDMA2000 Migration PathSprint’s evolution of CDMA technology along the IS-2000 path continues to expand on the base capabilities of CDMA2000 1X, bringing more wireless capacity and higher peak data rates in order to meet the needs of our customers.
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Key Reasons Sprint PCS Uses CDMA! Highest Quality of Service
− Outstanding voice quality and clarity− Lowest incidence of dropped calls, uninterrupted data transmission− Most secure technology
! Easiest / Quickest Transition to 3G− All 3G Standards roads lead to CDMA technology in the ITU− Starting with CDMA has significant advantages
! CDMA provides a natural path to 3G! Avoids technology / market confusion of switch to new
technology− Flexible in supporting 2G technologies
! Lower Longer-Term Cost Structure− Migration path includes upgrades rather than complete technology
change! Avoids building multiple infrastructures ! No need to add BTS (base stations) - significant portion of
CAPEX! Backward Compatibility
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How CDMA2000 1X Benefits Sprint
! Faster data speeds enable exciting applications for customers
! Up to double voice capacity! Tenfold increase in physical layer data throughput from
14.4kbps to 144kbps ! Backwards compatibility with existing systems! Graceful network migration to 3G in existing spectrum
ISP Accessthrough the
Internet
Dial
Hotel
HomeConferences
Meeting Rooms
Mobile
Commuting
LANs RouterRouterATM Switch
Internet
Always On Connection""
Any whereAny time
" Any way
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3G Benefits for Customers
! Faster speeds to connect, send and access information via PCS Vision (3G services)
! Longer battery life and longer standby times for wireless device
! Improvements to 2G applications− Enhanced email - send and open attachments− More sophisticated business applications− More elaborate games
! Plus the support for additional applications− Streaming video and audio− Video camera remote monitoring− Video mail− Digital Imaging
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PCS VisionClarity You Can See and Hear
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PC• Internet• Broadband
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PCS Vision is the 3rd Screen in your life
TV• Cable• DTV
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PCS VisionWireless you can see
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Vision Apps Fall into 4 Core Content Areas
COMMUNICATION
PERSONALIZATIONENTERTAINMENT
INFORMATION•Messaging•Picture Mail•Greeting Cards
•Games•Music•Animation/Comics
•Web•Info Apps•Multimedia
•Picture Frames•Ringers•Screen Savers
TRANSACTIONS
All content satisfies basic customer needs
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Sprint 3G Services using CDMA2000 1X Network
! Rich, full color graphic screens
! Dynamic selection of advanced multimedia services
! Picture Mail! Messaging! Games! Unique Ringers & Screen
Savers! Web access
PCS Vision gives people the ability to do more than just make phone calls:
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! Build value into Vision, creating further differentiation− Drive more customers
to PCS (Subscriber Growth)
− More customers who pay more (Revenue Growth)
− More customers who stay longer (Reduced Churn)
Picture Mail
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! 1st low-end integrated camera phone in US
! No setup required - just point, click, share!
! Audio clips for ease of attaching a message
! Fun frames to personalize your pictures
! Use Pictures as screen savers, caller-id
! Create a picture wallet on the phone
! Upload and save pictures on-line
Picture Mail Features
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FUN FRAMES
INSERTS
STICKERS
Coming Soon . . .
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! Benefits− Turn down time into fun time− Full color, sound, and vibration
! Current Offering− Over 125 games in multiple categories
! Retro (Pac-man)! Action & Adventure (MotoGP)! Puzzles (Tetris)! Casino & Card (Blackjack)! …and more
! New for 2003− More branded games (Q*Bert)− Multi player games (JUMBLE)
Games - Have Fun in an Otherwise Wasted Moment
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! Benefit! Personalize the way your phone
sounds! Current Offering
− Over 300 ringers! Pop (Oops I Did It Again)! Rock (One Step Closer)! R&B (Independent Women)! Movie/TV Themes (James Bond
Theme)! …and more
! New for 2003! Voice ringers! Animated ringers! College Fight Songs! Funny Animal Noises
Ringers - Make your Phone Unique
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Focused Line-up of Content! Over 125 games from 18 partners! 630+ Ringers and Screen Savers from 25 partners! 39 web sites from 24 partners! 12 information apps from 9 partners
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In Summary
! 3G services establish a platform for continually releasing new and more robust applications to drive growth, revenue and reduce churn.
! Vision Take Rate At An All Time High− Vision take rate 67% on Vision-capable handsets− 56% subs are new vs. existing PCS subs
! Customer Base Continues To Grow− Vision subs 2.1M at the end of 2Q’03− Billed casual users 350K− Combined PCS Vision and Wireless Web (2G data) subscribers total
4.6M at the end of 2Q’03
! Revenue Growth Is Strong− PCS Vision contributed additional $2 in ARPU of total $62 ARPU
! Vision Customers Are Staying After Promotion− 3G services create stickiness, reducing churn