Carrier Ethernet 2006-2011

Content

• 1 Executive Summary
  • 1.1 Service providers are waking up to the Carrier Ethernet opportunity
  • 1.2 Multiple Carrier Ethernet applications exist
  • 1.3 A clear migration path from existing infrastructures is driving Carrier Ethernet deployments
  • 1.4 Carrier Ethernet evolution and forecasts
• 2 Strategic Overview
  • 2.1 Background
    • 2.1.1 Brief history of Ethernet
    • 2.1.2 The Metro Ethernet Forum
  • 2.2 Carrier Ethernet Defined
    • 2.2.1 Carrier Ethernet characteristics and attributes
      • 2.2.1.1 Scalability
      • 2.2.1.1.1 Service scalability
      • 2.2.1.1.2 Bandwidth Scalability
      • 2.2.1.2 Reliability
      • 2.2.1.2.1 Resilient Packet Ring
      • 2.2.1.3 Quality of Service
      • 2.2.1.4 Standardised Services
      • 2.2.1.5 Service Management
  • 2.3 Market drivers
    • 2.3.1 Business Market
      • 2.3.1.1 Cost
      • 2.3.1.2 High Bandwidth Applications and Service
      • 2.3.1.2.1 Storage and Business Continuity
      • 2.3.1.2.2 Content Rich Applications
      • 2.3.1.3 Granular Flexibility of Bandwidth
      • 2.3.1.4 Operational Simplicity
      • 2.3.1.5 Fast Provisioning
    • 2.3.2 Residential Market
      • 2.3.2.1 Triple Play
    • 2.3.3 Service Providers
      • 2.3.3.1 Wireless Service Providers
      • 2.3.3.1.1 Wireless Backhaul
      • 2.3.3.2 Fixed Line Service Providers
      • 2.3.3.2.1 A Service for Increased Revenue
      • 2.3.3.2.2 A Technology for Enabling Services
      • 2.3.3.2.3 Broadband Networks Backhaul
  • 2.4 Market barriers
    • 2.4.1 Geographic Reach
    • 2.4.2 Competing Technologies
    • 2.4.3 Entry Price
    • 2.4.4 Investment in Legacy Technology
    • 2.4.5 Service Complexity
    • 2.4.6 Interworking
    • 2.4.7 Customer Perception
    • 2.4.8 Complex Scalability
    • 2.4.9 Standards
• 3 Services and Applications
  • 3.1 Defining Services
    • 3.1.1 E-Line
      • 3.1.1.1 Ethernet Private Line
      • 3.1.1.2 Ethernet Virtual Private Line
    • 3.1.2 E-LAN
  • 3.2 Carrier Ethernet services and applications
    • 3.2.1 Business Market Services
      • 3.2.1.1 Data Centre Consolidation and Virtualisation
      • 3.2.1.1.1 Virtualisation
      • 3.2.1.1.2 Location Consolidation
      • 3.2.1.1.3 Carrier Ethernet as a Solution
      • 3.2.1.2 Storage Area Networks
      • 3.2.1.2.1 Carrier Ethernet as a SAN extension
      • 3.2.1.3 VPNs
      • 3.2.1.3.1 Carrier Ethernet as an access mechanism for the VPN
      • 3.2.1.3.1.1 MPLS
      • 3.2.1.3.1.2 VPLS
      • 3.2.1.3.1.3 Tag Stacking
      • 3.2.1.4 Content Rich Applications
      • 3.2.1.5 High Speed Internet Access
      • 3.2.1.6 VoIP
    • 3.2.2 Residential Market Applications
      • 3.2.2.1 Rise in broadband lines
      • 3.2.2.2 Triple play
      • 3.2.2.2.1 Existing networks will not meet the technical needs of delivering triple play services
      • 3.2.2.2.2 Carrier Ethernet over Copper will emerge as a viable alternative
      • 3.2.2.2.3 Deployment of Ethernet in the aggregation layer is a growing trend
      • 3.2.2.2.4 Ethernet aggregation standardisation efforts
  • 3.3 Mobile Service Provider Network Infrastructure
    • 3.3.1 The need for equipment upgrades to deliver new applications
    • 3.3.2 Carrier Ethernet as Backhaul
      • 3.3.2.1 HSDPA backhaul demands
      • 3.3.2.2 Carrier Ethernet can deliver cost-savings whilst meeting the increased bandwidth demands in the backhaul
      • 3.3.2.2.1 Ethernet in the backhaul architectures
      • 3.3.2.3 Converged services will further fuel drive for Carrier Ethernet backhaul
      • 3.3.3.3 Issues to consider for Carrier Ethernet-based backhaul
      • 3.3.3.3.1 Synchronisation
      • 3.3.3.3.2 Total cost of migration
      • 3.3.3.3.3 Amount of traffic to be backhauled
    • 3.3.4 Use of pseudowires
  • 3.4 Fixed Line Carriers
    • 3.4.1 Carrier Ethernet Applications
      • 3.4.1.1 Residential markets and triple play
      • 3.4.1.2 FMC
      • 3.4.1.3 Other market opportunities
• 4 Market Trends and Evolution
  • 4.1 Certification
    • 4.1.1 MEF9
    • 4.1.2 MEF14
    • 4.1.3 Benefits of MEF certification
  • 4.2 Ethernet Market Evolution
    • 4.2.1 From Enterprise to Carrier
    • 4.2.2 Inter-working with Other Technologies
      • 4.2.2.1 Progress towards inter-working
      • 4.2.2.1.1 Vendors have developed Multiservice Edge Routers
      • 4.2.2.1.2 SDH/SONET investments
      • 4.2.2.1.3 VPLS has been developed
      • 4.2.2.1.4 Ethernet over MPLS
  • 4.3 From Services to Transport
  • 4.4 Improved Services
  • 4.5 Vendor Products
    • 4.5.1 Key Product Developments
      • 4.5.1.1 Ease of Migration
      • 4.5.1.2 QoS
      • 4.5.1.3 Carrier Ethernet Portfolio
      • 4.5.1.4 New Architectures
  • 4.6 Ethernet Over Copper
    • 4.6.1 Ethernet over Copper deployments are on the rise
  • 4.7 Higher Speeds
    • 4.7.1 Increased traffic will drive higher speeds
  • 4.8 Falling Costs
    • 4.8.1 Lower IC prices will drive cost reductions
  • 4.9 Consolidation
    • 4.9.1 Vendor Consolidation
      • 4.9.1.1 Consolidation will continued as a trend
    • 4.9.2 Service Provider Consolidation
      • 4.9.2.1 Expanding service reach through partnerships
  • 4.10 Service Topology
  • 4.11 Revenues
• 5 Key Technology Developments
  • 5.1 Transport
    • 5.1.1 Copper and Fibre (IEEE 802.3ah EFM)
      • 5.1.1.2 Ethernet in the first Mile over Copper (EFMC)
      • 5.1.2.1 2BASE-TL
      • 5.1.2.2 10PASS-TS
      • 5.1.1.2.3 802.3ad
      • 5.1.1.3 Ethernet in the First Mile over Fibre (EFMF)
      • 5.1.1.4 Ethernet in the First Mile over Passive Optical Network (EFMP)
      • 5.1.1.5 Operations, Administration and Maintenance (OAM)
    • 5.1.2 Wireless
      • 5.1.2.1 Plans to cover wireless access using WPP
      • 5.1.2.2 FSO as a complementary technology
    • 5.1.3 SDH
      • 5.1.3.1 GFP
      • 5.1.3.2 VCAT
      • 5.1.3.3 LCAS
    • 5.1.4 Resilient Packet Ring
  • 5.2 Operations, Administration and Maintenance
    • 5.2.1 ELMI for OAM
    • 5.2.2 Vendors are implementing 802.1ag
    • 5.2.3 EDDs
  • 5.3 VPLS
    • 5.3.1 Ethernet over MPLS core
    • 5.3.3 Benefits of VPLS
    • 5.3.3 VPLS drawbacks
    • 5.3.4 HPVLS is the optimum solution for Ethernet VPNs
• 6 Service Provider Analysis
  • 6.1 Competitive landscape
  • 6.2 Service Provider profiles
    • 6.2.1 COLT
    • 6.2.2 KPN
    • 6.2.3 Orange Business Services
    • 6.2.4 Deutsche Telekom
    • 6.2.5 Telefonica
    • 6.2.6 Telecom Italia
    • 6.2.7 NTL:Telewest Business
    • 6.2.8 Exponential-e
    • 6.2.9 Completel
    • 6.2.10 Vanco
    • 6.2.11 Level 3
    • 6.2.12 Verizon Business
    • 6.2.13 Yipes Enterprise Services
• 7 Conclusions and Recommendations
  • 7.1 Conclusions
  • 7.2 Recommendations
    • 7.2.1 For Service Providers
    • 7.2.2 For Vendors
• List of Tables
  • Table 2.2: Comparison of Carrier Ethernet services
  • Table 2.1: Metro Ethernet savings from a single metro area
  • Table 3.2: European households subscribing to bundled services, 2005-2011
  • Table 3.1: Worldwide IPTV subscribers and revenues, 2005-2011
  • Table 4.1: MEF certified vendors
  • Table 4.3: Enterprise vs Carrier Ethernet
  • Table 6.1: Main Ethernet service providers by country
  • Table 4.2: MEF certified service providers
• List of Figures
  • Figure 2.1: Carrier Ethernet components
  • Figure 2.3: Ethernet evolution to Carrier Ethernet
  • Figure 3.1: E-Line Type Service Architecture
  • Figure 3.2: E-LAN Type Service Architecture
  • Figure 3.3: Applications map to transport agnostic standardised service types
  • Figure 3.4: Consolidated data centres for virtualised service provision
  • Figure 3.5: MPLS VPNs and Carrier Ethernet
  • Figure 3.6: Ethernet aggregation reference architecture by DSL Forum
  • Figure 3.7: Ethernet aggregation reference architecture by ITU-T
  • Figure 3.8: RAN Backhaul network
  • Figure 3.9: Node B connects to Carrier Ethernet for backhaul for all traffic backhaul
  • Figure 3.10: Node B connects to Carrier Ethernet for backhaul for HSDPA traffic only
  • Figure 3.11: Circuit emulation for backhauling to Carrier Ethernet
  • Figure 4.1: Ethernet evolution to Carrier class
  • Figure 4.2: Common aggregation for diverse technologies and services
  • Figure 4.3: Service Providers Improve Services to Meet Customer Needs
  • Figure 4.4: Ethernet's progression towards higher speeds
  • Figure 5.1: Ethernet in the First Mile on the Global Ethernet Standards
  • Figure 5.2: Short Reach and Long Reach Options for EFMC
  • Figure 5.3: SDH moves to Next-Generation SDH
  • Figure 5.4: IEEE 802.3ah OAM
  • Figure 5.5: Ethernet OAM Layers
• List of Charts
  • Chart 2.1: MEF membership growth, 2001 & 2006
  • Chart 2.2: MEF members by company type
  • Chart 2.3: Ethernet vs SDH/SONET Interface Price Comparison for 10Gbps of Bandwidth
  • Chart 3.1: Global broadband subscribers, 2005-2011
  • Chart 3.2: Expected commercial launches by region in 2006
  • Chart 3.3: E-Line vs E-LAN service revenues, 2005-2011
  • Chart 4.1: Ethernet vs Frame Relay revenues, 2006-2009
  • Chart 4.2: Price for 10Gbps of Ethernet Bandwidth, 2002-2010
  • Chart 4.3: Vendor Carrier Ethernet market share
  • Chart 4.4: E-LAN as % of total Ethernet connections, 2005-2010
  • Chart 4.5: Global Carrier Ethernet revenues, 2005-2011
  • Chart 4.6: Carrier Ethernet revenues by region, 2005-2011
  • Chart 4.6: Highest Revenue Generating Countries for Ethernet Services in Western Europe, 2006-2009
• Appendices
  • Appendix A About visiongain
  • Appendix B Report evaluation form 3GPP
• Companies Listed
  • 3GPP2
  • Actelis
  • Adva
  • Alcatel
  • Anda
  • Asia Netcom
  • AT&T
  • Atrica
  • Axxera
  • Axxessit
  • Bahamas Telecom
  • Bellsouth
  • BT Fusion
  • BTGS
  • Cabletron
  • China Telecom
  • Cisco
  • COLT
  • Completel
  • Covaro
  • Deutsche Telecom
  • DSL Forum
  • Easynet
  • Equant
  • Ericsson
  • Ethernet Alliance
  • Exponential-e
  • Extreme Networks
  • Fibernet
  • Force10
  • Foundry Networks
  • France Telecom
  • Hatteras
  • HGC
  • Huawei
  • ICG Communications
  • IEEE
  • IETF
  • Interoute
  • Iometrix
  • ITU
  • Juniper
  • Kazakh Telecom
  • KPN
  • Level 3
  • Liberty Global
  • Lucent
  • Marconi
  • MCI
  • Metro Ethernet Forum (MEF)
  • Metro Packet
  • MetroRD
  • Microsoft
  • neuf telecom
  • Nortel
  • NTL:Telewest
  • Omnilux (ClearMesh)
  • onFiber Communications
  • TelCove
  • Telefonica de Espana
  • TeliaSonera
  • Teragate
  • T-Systems
  • Tellabs
  • Telenor
  • Telecom Italia
  • OPAL Telecom
  • Orange
  • Orange Business Services
  • Overture
  • Priority Telecom
  • Progress Telecom
  • PTT Classica
  • Quake Technologies
  • Qwest Communications
  • Rabobank
  • RAD Data Communications
  • Redback
  • Riverstone
  • Sichuan Telecom
  • Smart Telecom
  • Vanco
  • Verizon
  • Verizon Business
  • Viatel
  • VIVO
  • VMware
  • Wharf T&T
  • WilTel
  • Wireless Facilities
  • World Wide Packets
  • Yipes Enterprise Services