midas - iitm 1 cordect will designed to connect developing countries ashok jhunjhunwala tenet group,...
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Midas - IITMMidas - IITM1
corDECT WiLLdesigned to connect developing countries
ashok jhunjhunwalaTeNeT Group, IIT Madras, [email protected]
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Challenges in Developing World
Developing World has very small teledensity waiting to be connected Internet is Power
Key Challenge can they afford it?
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21.2
15.8
12.8
5.83.2
2.00.8 0.3 0.6
0
5
10
15
20
25
80 150 220 290 420 630 1040 1560 3730
monthly household income in $
mil
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Take India as an example
Monthly telecom expenditure (assuming 4% income can be spent on telecom)
3.2 6 8.8 12 17 25 42 62 150
60% (37 million) of Urban Indian households can spend less than $ 6 per month on Telecom
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Rural India can spend even less
102.1
17.010.0
3.9 1.9 1.0 0.3 0.30
20
40
60
80
100
120
80 150 220 290 420 630 1040 2510
monthly household income in $
mil
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75% (119 million) households can spend barely $ 3.2 per month on telecom
Monthly telecom expenditure (assuming 4% income can be spent on telecom)
3.2 6 8.8 12 17 25 42 100
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Low CAPEX required
Developing countries have very low Average Revenue per User (ARPU) less than $ 6 per month or $ 72 per year
An Operator can profitably serve these subscribers only by reducing capital expenditure (CAPEX) per line need CAPEX of under $ 200 per line
as opposed to $ 600 + CAPEX prevalent
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corDECT designed towards this
TeNeT group of IIT Madras and Midas have a vision to enable India get 200 million
telephone and Internet connections need to bring down CAPEX per line to $200
• Access contributes to 65-70% of per line CAPEX
took up design, development and commercialisation of technologies for this
corDECT Wireless in Local Loop• specially designed for urban as well as rural areas
OPTIMA Fibre Access Network• to connect dense urban areas
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corDECT Wireless in Local Loop
two lines 35 kbps Internet access & telephone connection supporting fax, PCO
and speakerphone Always On Internet Connection in near future
premier Internet Service at 70 kbps
DIU+
RAS
To Exchange
To IntenetIP
E1 (V5.2) voice
WS
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External Antenna for Enhanced Range of 10 Km (LoS) and 25 Km with a repeater
WS-IP: Wallset with external antenna
35 kbps (premium 70 kbps) Internet traffic plus simultaneous voice
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corDECT Wireless in Local Loop
To PSTN
To Internet Total per line cost of $150 - $200
1 million lines under deployment
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corDECT - System Architecture
10 Km
E1 (R2 / V5.2)
Voice
IP CBS
WS-IP
corDECT General Architecture
DIU
BSDE1
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corDECT - System Architecture
10 Km
E1 (R2 / V5.2)
Voice
IP CBS
WS-IP
25 Km
RBS
Power Backup
corDECT General Architecture
DIU
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Multi-Wallset : to serve lower income group
cuts the per-line cost to half
Shared Ethernet port for Internet access
Always On connection in near future
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25 km range with RBS in sparse rural areas
uses DECT frequencies
no frequency planning needed
Relay Base Station (RBS)
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Network Management System
SNMP based system Graphic User Interface enabled Fully secure network with access delegation at
the DIU Complete management of all OMC functions
even from remote locations Remote monitoring and processing of alarms,
faults, configuration and account management.
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specially designed for small towns
fully loaded DIU Power requirements: 12 Amp BSD Power requirements: 1 Amp
scalable system : 300 lines and above viable DIU + CBS + backhaul cost : 20 % of per line cost
less than 100 sq ft space needed for a DIU
each wallset provides two lines a telephone and a Internet access line
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corDECT will continue to dominate this market in future
PRESENT STATUS corDECT is lowest cost solution for
the developing markets Capex : $150-200/line
providing a voice connection and a 35/70Kbps data connection
Low upfront investment : less than $ 20K to start service in a town
FUTURE corDECT R&D driving
Cost /line down to $100 Data rate of up to 100 kbps for each channel
up to @ 2MB shared download Spectrum efficiency increase by a factor of 3 corDECT will continue to outpace 2.5 - 3G
technologies in fixed-wireless space
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Driving Commercial Internet Connections in Rural India
Can Rural India Afford Internet Connections?
For commercial viable connections, one needs
Technology Business Model Organization Driving Applications
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How does one serve people with incomes of less than a dollar a day?
Lower Connectivity cost
Aggregate demand
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Lower Connectivity cost
CAPEX cost of telephone line was $ 600 plus in India barely two years ago required ARPU of $20 plus per month to break
even affordable to barely two percent of Indian
households
Innovative Technologies and better buying has reduced CAPEX to around $325 per line
moving towards $200 per line enabling 50% of Indian homes to afford telecom
rural connectivity cost reduced from $1500 to about $300 per connection
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Aggregate Demand
in 1987 less than 5% of urban households had telephones 7 years wait for a telephone coin-box street telephones did not work long distance charges too high even for top income families
Entrepreneur-driven telephone booths (STD PCOs) introduced night time long distance charges reduced by a factor of 4
Today 950,000 STD PCOs covering every street of smallest town generate 25 % of total telecom income 300 million people use these PCOs
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How does one connect Rural India
India has 600,000+ villages 650 million people
Need Technology Sustainable Business Model Organisation which thinks and acts Rural Driving Applications towards Rural Prosperity
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Technology
BSNL’s Contribution: on the average one fibre connected rural exchange for every 150 sq km
a wireless system with 10 - 15 km range at existing fibre connected exchange would cover 80 - 85% of villages in India
CorDECT Wireless in Local Loop Developed by IITM and Midas Communications, Chennai
provides a telephone line and Internet connection in 30 Km radius
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To PSTN
To Internet
A telephone line and a 35/70 kbps Internet line
• $ 150-200 per line price
1 million lines being deployed in 03-04
IITM - Midas
corDECT Wireless in Local Loop
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N-Logue : A Rural Service Provider aggregate demand into a kiosk using
corDECT Wireless in Local Loop ISP in a box : Minnow Reliable power back-up
$ 1000 (including taxes) per Kiosk providing telephone, Internet, multimedia PC with web-camera, printer and 4 hour power back-up for PC
plus Indian language software
set up by a village entrepreneur on the line of STD PCOs needs only $ 60 per month to break even
Organisations with Innovative Business Models
n-Logue Deployment Strategy
Application & Content Providers
Telephone Backbone
Internet Backbone
Scope:•1 –3 Talukas•25 Km radius, 2000 sq
km•4 – 500 K population•2 - 5 towns•300 -400 villages
LSPBank
s
ACCESS CENTRE
500 + Connections (at least 1 in each village)
Connections:•Individuals•Government
— schools and PHCs
• Kiosks
Rs. 50,000 / KioskKIOSK
OPERATOR BanksMicro Finance Organisations
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What is the monthly income?
STD PCO $ 20+ Children learn typing
all kinds of on-line and off-line education $ 10+ Kiosk is a photography shop $ 6
also a video parlour on weekend evenings $ 6 email and browsing
voice mail and video mail $ 10+
e-governance access connect to taluka Government office for services $ 4
and much more
Word-processor in Indian Languages
Multi-lingual Office PackageIITM -
Chennai Kavigal
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Mundi . . . .
A 60 year old from a villagenear Melur
Palaniamma had lost vision in both eyes since 2 years
tie-up with Aravind hospital -- Doctors confirmed that vision can be restored in at least one eye
IITM trying to develop Remote Diagnostic tools
Blood Pressure, Sugar & Iron, ECG Monitor, stethoscope
at total cost of $ 200
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Crop comparison
Top: Ladies Finger Diseased with yellow mosaic
Below : Post treatment
Saving of $ 3,000 for the farmers Cost of information $ 0.40
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E- Dr Vet ?
In Attapati village , Priya’s chicken was limping
Photo sent to Veterinary college Identified as Curled toe paralysis Cost for process
Earlier $ 4 This case $ 0.40
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The Power of multi-party video communication
IITM - OOPS
Low bit-rate Video Conferencing (audio + video + text at 20 kbps and more)
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Can Kiosks become Micro-banks? TeNeT and n-Logue working with ICICI
Remote Bill Payment Rural ATM Micro-finance Remittance
Credit and Product Marketing is one of the biggest requirement of Rural India
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Do we have a model for sparser areas?
Fibre not available in 15% of areas in India Only about 50 to 100 villages in 20-30 Km
radius less population per village less available money
Technology Innovation
Business Innovation finance and buying/selling may make even larger
sense
• 8-10 voice channels + 64/128 kbps Internet satellite backhaul
• Each hub supports 16 to 20 remote sites with 2 Mbps downlaod
• $200 corDECT + $200 backhaul cost per connection
PSTN
Internet
2.4 m antenna3.8 m antenna
15 -20 Kms with 100 connections
For inaccessible Rural Areas
2 M
bps
-->
128
Kbp
s --
>
<-- 64 Kbps
ISRO-IITM
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To Sum Up
Developing countries require unique solutions low CAPEX, OPEX rugged, low power
corDECT designed to meet this need requires adaptation in different situation
TeNeT / Midas team has done well in coming up with technical / business innovations
is today the best fixed wireless solution will remain so as new R&D comes with 2.5G / 3 G
corDECT offering