T H E
`
`1 • •
`
`EDITORS -IN -CHIEF
`Kornel Terplan
`Patricia Morreale
`
`Cg.0 CRC PRESS
`
`Q IEEE PRESS
`
`A CRC Handbook Published in Cooperation with IEEE Press
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`Bright House Networks - Ex. 1147, Page 1
`
`

`
`Library of Congress Cataloging-in-Publication Data
`
`The telecommunications handbook /edited by Kornel Terplan, Patricia Morreale.
`p, cm.
`Includes bibliographical references and index.
`ISBN 0-8493-3137-4 (hc.: alk. paper)
`1. Telecommunication —Handbooks, manuals, etc.
`I. Terplan, Kornel. II. Morreale, Patricia.
`TK5101.T355 1999
`384--dc21
`
`99-044580
`CIP
`
`This book contains information obtained from authentic and highly regarded sources. Reprinted material is
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`O 2000 by CRC Press LLC
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`
`Bright House Networks - Ex. 1147, Page 2
`
`

`
`1-2
`
`The Telecommunications Handbook
`
`• Deregulation and privatization
`• Communication convergence
`• Customer orientation
`
`Growth of the Global Telecommunications Market
`
`Explosive expansiozi driven by internal growth and acquisition is forcing telecommunications providers
`to increase the productivity of their current support systems. Growth and acquisition mean that the
`number of subscribers grows for existing services, new services are provisioned on existing intrastructures,
`and completely new services on new infrastructures are deployed or acquired. Several support systems
`vendors have worked to capitalize on this opportunity with solutions that reduce complexity. These
`support systems vendors do not usually replace existing systems, but add functionality to accommodate
`new services, such as:
`
`• Internet, intranets, and extranet
`• Special data services on top of voice networks
`• Wireless services and fixed wireless services
`• Cable and video services
`• Voice services on top of data networks
`
`Adding functionalitiesthat intemperate with each other opens new business opportunities for support
`systems vendors. The coming years will experience a bitter competition between circuit- and packet-
`switched services. Tradition, stability, and quality of existing services will compete against new technol-
`ogies with easier maintenance and reduced operating expenses. The transition from circuit-switched to
`packet-switched technologies may take decades.
`
`Increasing Network Complexity
`
`As a result of customer expectations, the time-to-market of new services is extremely short. Incumbent
`and new telecommunications service providers do not have the time to build all new infrastructure, but
`combine existing and new infrastructures, such as copper, fiber, and wireless. They deploy emerging
`services on the basis of a mixture of infrastructures as an overlay. New services use emerged and emerging
`technologies, such as:
`
`Emerged technologies: voice networks, ISDN, circuit switching, packet switching, message switch-
`ing, frame relay, Fast Ethernet, Fast Token Ring, and FDDI/CDDI.
`• Emerging technologies: ATM, mobile and wireless, SMDS, Sonet/SDH, cable, xDSL, and B-ISDN.
`
`Each of these technologies has its own support system solutions. The only elements in Public Switched
`Telephone Networks (PSTN) that should be managed are the switches themselves. On average, the ratio
`of managed elements to subscriber lines is around 1:10,000. The advent of distributed, software-based
`switchizlg and transmission has created a large number of additional managed elements, about one for
`each S00 subscriber lines. Moreover, multiple elements per subscriber in digital loop carrier systems,
`digital cellular networks, or hybrid fiber/coax systems may cause an explosion in terms of managed
`elements. As a result, the size of configuration databases and event messages generated by more intelligent
`network elements have grown exponentially over the last 2U years.
`Growth in the ntmzber of network elements has been accompanied by an increase in the complexity
`of items to be managed. Sonet/SDH, ATM, and digital wireless are highly complex, with a high degree
`of interdependence among network elements. This in turn snakes service activation and fault isolation
`a challenge, especially as the number of service providers increases. As networks shift from lower-speed,
`dedicated-rate, and inflexible services to mobile, fully configurable, bandwidth-on-demand, and high-
`speed services, support systems must adapt to this new situation.
`
`Bright House Networks - Ex. 1147, Page 3
`
`

`
`ications Handbook
`
`Telecommunications Services, Regulation, and Standardization
`
`~-3
`
`When services are offered in combination, support systems should be modified, re-engineered, and
`connected to each other. This opens new business opportunities for support systems vendors.
`The introduction of standards for support systems is accelerating the demand for third-party support
`systems. Legacy systems are primarily proprietary systems not integrated across functional areas. Service
`providers depend upon custom development by internal development staff and outside integrators to
`connect various support systems. The introduction of technology standards, such as Telecommunication
`Management Network (TMN), Distributed Communication Object Model (DCOM), Common Object
`Request Broker Architecture (COBRA), Telecommunications Information Networking Architecture
`(TINA), and Web-Based Enterprise Management (WBEiVI) have begun to gain critical support by new
`support systems vendors.
`The implementation of standard gateways enables interaction between newer client/server solutions
`and existing legacy systems, easing interoperability among all support systems. In particular, TMN may
`help to streamline support system processes and to position support systems.
`
`Deregulation and Privatization
`Telecommunications service corripetition began in the 1980s in the U.S., led by MCI with three operating
`support systems playing a key role. The AT&T divestiture in 1984 marked a major breakthrough. The
`second significant milestone was the Telecom Act of 1996. As telecom deregulation continues, with
`Regional Bell Operating Companies (RBOCs) actively pursuing the long-distance market and long-
`distance carriers moving into local services, major support systems re-engineering efforts are expected.
`Under the pressure of the European Commission (EC), Europe is in the process of deregulation and
`privatization. It is a much slower process than in the U.S., because multiple countries are involved with
`their own agenda. InteroperaUility of support systems is more difficult than in the U.S.; but at the same
`time, it offers opportunities for support systems vendars. It is assumed that Asia/Pacific, South America,
`Eastern Europe, and Africa will follow this deregulation and privatization trend.
`Competition is everywhere —long distance, local exchange, ISP, cable, and wireless. In many cases,
`support systems are the differentiators. The best opportunities are seen with Competitive Local Exchange
`Carriers (CLECs). Suppart systems requirements vary quite substantially from carrier to carrier. As a
`result, CLECs support system strategies are ranging from internal development, to outsourcing, to systems
`integrators, and to third-party software/service providers. CLECs could be small or medium sired, with
`or without facilities. In all cases, they must intemperate with Incumbent Local Exchange Carriers (ILECs)
`by opening the support systems to permit access by CLECs in various phases of provisioning and artier
`processing and service activation. Key issues are:
`
`• Local Number Portability (LNP): This allows customers to retain their telephone numbers even if they
`change service providers. It is not only the telephone number that is impartant; customers also typically
`want to retain access to advanced features they have come to expect from an intelligent network.
`Extranets connecting support systems of ILECs and CLECs: II.,ECs are required to provide access
`to information on five classes of support systems. They are preordering, ordering, provisioning,
`repair, and maintenance.
`•Directory services: Real-time service processing requires additional customer-related data. The
`expanded directory role includes end-user authoz•ization and authentication. It also includes the
`real-time allocation of network resources according to a user's class of service and other policy-
`basedvariables. Directory Enabled Networks (DEN) promise to increase momentum for directary
`services by bringing physical infrastructures under the directory umbrella and tackling the stan-
`dardization of directory information.
`•Fraud management: Offering multiple services that are accessible by user-friendly interfaces
`increases the risks of penetration. Service providers agree that up to 5% of their revenues is lost
`as a result of fraud. Real-time surveillance systems combined with customer• analysis features of
`billing systems may help redcice fraud risks to a reasonable minimum.
`
`nunications providers
`isition mean that the
`:istingintrastructures,
`veral support systems
`ice complexity. These
`ality to accommodate
`
`~ortunities for support
`circuit- and packet-
`against new technol-
`>m circuit-switched to
`
`nely short. Incumbent
`iew infrastructure, but
`Chey deploy emerging
`emerged and emerging
`
`thing, message switch-
`
`le, sDSL, and B-ISDN.
`
`:nts in Public Switched
`>. On average, the ratio
`buted, software-based
`lements> about one for
`1 loop carrier systems,
`in terms of managed
`ited by more intelligent
`
`-ease in the complexity
`lex, with a high degree
`:ion and fault isolation
`shift from lower-speed,
`on-demand, and high-
`
`Bright House Networks - Ex. 1147, Page 4
`
`

`
`C~;
`
`~~
`
`1-8 The Telecommunications Handbook
`
`In reality, there may be multiple parties (and supplier—customer relationships) at each layer of the
`service value model. Also, some regulatory environments in countries use the term enhanced services,
`rather than value-added services. What exactly is meant by enhanced services depends on the country.
`Since the regulatory Environments for enhanced services are often more relaxed than for basic data
`transfer services, there is an incentive for sLippliers of teleconununications services to by to categorize
`as many services as possible in the enhanced services category. That ~vay the regulation for providing
`that service would be much less strict. An example of such a loophole in the legislation is the use of
`different protocols, such as Internet Protocol, to send voice over a private line. The resulting voice-
`connection service looks exactly the same to the end usez-s, but the transmission protocol is different.
`Soz1~e regulatory environments see the translatioxi of acircuit-oriented connection into packets, giving
`each of the packets its own path for transport, as an enhancement and therefore call it (e.g., in the U.S.)
`"enhanced service:'
`
`1.1.1.4 Examples of Services
`The service value model already shows several examples of services in the rightmost column. Some
`services are addressed here in more detail as they are often used in industry. First of all, the standard
`telephone service is addressed. A more precise name for that service is Public Switched Telephone Network
`(PSTN). The PS'I'N is the most extensive in the world and allows people with a telephone set to speak
`with each other. In recent years, the PSTN has also been used for transmission of faxes (images from
`paper converted into data) and data (via modems). Btiit, in essence, the PSTN service still transmits
`sounds between PSTN connections in the world. 'These connections are highly standardized and various
`kinds of telephone sets can be used ii1 almost all parts of the world. Tn the service value model, we regard
`PSTN as a basic data transfer service.
`Integrated Services Digital Network (ISDN) is a service that is less ubigtritous, and one that has become
`popular in recent years. The most important difference is that the circuit between the parties that are
`connected is digital rather than analog. It can therefore transmit more than just sotmds and is much
`more efficient in transporting data signals. In one view it replaces Che existing PSTN service, bLit in other
`views it adds a series of services to PSTN, which are quite different from anything that PSTN can offer.
`The new services are based nn transport of data. Not only can data be transported very fast (t~asic rate
`ISDN is 144 kb/s), but data can also be sent while the ISDN circuits are in use, and therefore additional
`end-user services can be performed, such as call waiting, calling line identification, ai d transmittal of
`packet-oriented data (such as Internet traffic). Most regulatory environments stIll do not characterize
`ISDN as a value-added service and therefore it fits in the "basic data transfer service" category of our
`model.
`An example of a value-added service would be the virtual private network service, which connects
`users in different locations with each other, so thlt they seem to work in a "closed user group:' Working
`in a dosed user group, they can call each other with short extension numbers and t11ey can use different
`features of telephones, that are usually available for the users of phone extensions in businesses connected
`to a private branch exchange (PBX). There is also a "data version" of flee virtual private network, which,
`just like that described in the voice example, forms a closed user group exchanging data.
`Other examples of basic data transfer services are the services meant for the transport of pure data,
`such as leased lines (supplying a permanent circuit) or packet-switched service (supplying transport of
`packets of information).
`An example of an infrastructure service is dark fiber service. This service is not yet widely offered, but
`gives operators the capability of completely controllizig the transmission technology on both ends of a
`fiber and also reaches efficiencies by using types of equipment that make maximum use of the fibers.
`Figure 1.3 shows an example of actual supplier—customer relationships, mapped on the service value
`model. Chosen is an example of a multiple country situation, to make it clear that operatars can operate
`across borders. Infrastructure operators are most often active across international borders, as they have,
`for a long time, formed an actual bottleneck for communication and had to supply service across borders
`
`Bright House Networks - Ex. 1147, Page 5
`
`

`
`nicntions Handbook
`
`Telecommunications Services, Kegulntion, and Stnndnrdization
`
`1-9
`
`~s) at each layer of the
`erm enhanced services,
`spends on the country.
`~d than for basic data
`yes to try to categorize
`gulation for providing
`~gislation is the use of
`~. The resulting voice-
`n protocol is different.
`~n into packets, giving
`gall it (e.g., in the U.S.)
`
`htmost column. Some
`rst of all, the standard
`led Telephone Network
`telephone set to speak
`of faxes (images from
`service still transmits
`ndardized and various
`value model, we regard
`
`id one that has become
`en the parties that are
`t sounds and is much
`N service, but in other
`g that PSTN can offer•.
`ed very fast (basic rate
`id therefore additional
`on, and transmittal of
`ill do not characterize
`~rvice" category of our
`
`~rvice, which connects
`t user group." Working
`t they can use different
`1 businesses connected
`rivate network, which,
`ag data.
`z•ansport of pure data,
`supplying transport of
`
`yet widely offered, but
`ogy on both ends of a
`um use of the fibers.
`'d on the service value
`operators can operate
`borders, as they have,
`service across borders
`
`Gad uses
`
`International
`organization
`field office (a
`
`,______
`
`_
`
`VPN
`Servic s
`
`Country A
`
`Country B
`
`International organiz~Iion (b) _~
`
`V lue Added Services ~
`
`— —
`
`"I'clec~m,
`Operators,
`Value i\tided
`Service I rovider Operator!
`or resellers
`Value Added
`Service
`rove er ~c)— ~
`sei ices
`
`Value Added
`Service Provider d
`
`Internet
`Service Provider (i)
`
`Basic D to Transfer Services
`
`Operator (e)
`
`Operator (f)
`
`Infrastructure Services
`Infrastructure operator (g) ~ Infrastructure operator (h)
`
`7~clecom
`Operata~s
`
`lntrastructtu c
`operatcns
`
`FIGURE 1.3 Example of supplier-customer relationships anappecl on the service value model.
`
`as a mandate by their governments. Infrastructure operators are at the bottom of the service value model
`for the actual owner and manager of the border, crossing links. Some value-added service pz•ovideis ti•y
`to become "international" by offering "managed services," e.g., at the value-added services level, such as
`the value-added service provider (d) that operates in both country A and country B and therefore
`maintains relationships with both infrastructure operators (g) and (h). ~Che service value model hez~e
`helps to understand the relationships between the parties that enable the operation of the international
`network. In Figure 1.3, both the end-customer organization (the multinational organization, b) and
`value-added service provider operate across international borders.
`
`Standardization of Services
`Telecominunicatious services cazi be categorized by their use (e.g., video sez-vices, voice services, and data
`services). The function of the service is sometimes even used to describe the service, but that can lead
`to various misinterpretations, Telephone service, for instance, is ~ term that is often used, but when looking
`at different countries quid networks, many services cai~ be identified that could be mined telephone
`service. This includes telephone service with a certain technical interface between the telephone (an often-
`used typz of terniinal) and the central office location of the providEr of the services. Telephone services
`could be provided using, for izistance, an IST~N network, or a TCP/IP` network Some services are
`standardized and named such that a wide audience knows what the service is exactly at~d may use it with
`standardized equipment and peripherals that connect well with the networks. More on standardization
`foIlows in Sectiozi 1,3 of the Handbook.
`
`1.11.5 Quality of Service
`
`Quality of service is an important aspect of a telecommunications service. Quality of service [Cole, 1991;
`Frieden, 1996] was measured the very first time that networks were made available, Uut as there was
`often only a single supplier in the country, quality of service was measured and reported to the government
`organization responsible for the network, and that was it. Of course, there were certain quality of service
`levels that were required in many countries, because of the importance of the network for, e.g., emergenry
`calls. During the 1980s and 1990s, a more detailed system for measuring quality of service was established
`
`"TCP/IP =Transaction Control Protocol/Internet Protocol.
`
`Bright House Networks - Ex. 1147, Page 6