Profitable Revenue Opportunities with Multi-Degree Optics Emanuel Nachum Vice President, Americas Marketing Comptel Spring 2007 Emerging Track- Packing the Bandwidth Pipe Wednesday, February 28, 2007 4:10 pm – 5:00 pm
Profitable Revenue Opportunities
with Multi-Degree Optics
Emanuel Nachum
Vice President, Americas Marketing
Comptel Spring 2007Emerging Track- Packing the Bandwidth Pipe
Wednesday, February 28, 20074:10 pm – 5:00 pm
2
ECI Telecom – Stable & Innovative
Established in 1961
NASDAQ: ECIL
3000 employees
Growing market share2006 revenue: $656M
Growing profitability
Financial strength$246M cash position, no debt
Optical presenceAt a $400M annual run rate
Next-Gen Optical and Ethernet IP/MPLS Routing BB Access
3
Outline
Carriers challenges and opportunities
Multi-Degree service aware optics
Technological enablersAdvanced optics
10-Degree ROADM
All-Range Optics
OTN
Summary
4
Carriers Challenges and Opportunities
Increased competitionHow to differentiate?
Service price continues to declineDemand for advanced services along with legacy
Ethernet, 1/10GigE, 2.5/10/40G waves, SAN IP/MPLS based services: VLAN, VPLS, E-Line, E-LANWireless backhaul networks evolution
Hard to predict demandNeed for low risk implementationLow initial cost to prove in success-based servicesJIT service delivery
Technical challenges and cost
5
Multi-Degree Optical Convergence
Built on multi-degree ROADM platformAll-range optics Ability to add Ethernet (L2, MPLS) or SONETMigration to OTN-based payload and O&M
Multi-degree ROADM(Metro, Regional, C/DWDM)
SONET/ SDH
EthernetMPLS⇒ ⇐
6
Multi-Degree Service Aware Optics
ROADM WDMWavelengths, GigE, SAN
Ethernet, MPLSE-Line, E-LANWireless data backhaul
Integrated SONET MSPP (GFP/VCAT/LCAS)Traditional private linesWireless backhaulService adoption for reliable legacy transport
OTN – Digital WrapperSub lambda servicesE-2-E Performance and Management
E-2-E management and distributed control plane (GMPLS/ASTN)
7
Technological Enablers are Here!
Means:
Goals:
Sub-λ groomingPMAutomatic network setup40G
In band management
Automatic provisioningAutomatic power balancing
Automatic power balancingSub-λ grooming
Simplified λ provisioning
Restoration and CoSAuto discoveryFEC
Tunable lasersTCMPlanning toolsTransceivers: Pluggables, advanced modulations
ROADMService transparencyROADM and TunabilityAmplifiers:VGA, Raman
FlexibilityQuick response
End-to-end management
TransparencyResiliency
Simple planning and installation
Simple OA&M
Longer reachFewer regensBigger capacity
Time to MarketHigh QoSOPEX savingCAPEX saving
photonic digital control
Key
ena
blin
g fe
atur
es a
nd
tech
nolo
gies
8
Maturity of ROADMsWavelength Selective SwitchMulti-Port
WavelengthSwitch
Combiner
Tap
Line 1 Line n
Drop
Line 1 Line n
Add
Each drop line can be any numberand combination of channels
Multi-PortWavelength
Switch
Combiner
Tap
Line 1 Line n
Drop
Line 1 Line n
Add
Each drop line can be any numberand combination of channels
3rd GenROADM
WavelengthBlocker
DEMUX MUX
Tap Tap
Drop Add
Ch 1 Ch 1Ch n Ch n
WavelengthBlocker
DEMUX MUX
Tap Tap
Drop Add
Ch 1 Ch 1Ch n Ch n
Wavelength Blocker
2nd GenROADM
DEM
UX M
UX
Switch
Ch 1 Ch n
Drop Add
DEM
UX M
UX
Switch
Ch 1 Ch n
Drop Add
Demux Switch Mux
1st GenROADM
9
Multi-Degree Attribute
mλλ1
λn
••
Mux / DemuxOne Degree
nλ
λ1 λn• •
mλ
OADMTwo Degrees
WSS ROADMTen Degrees
mλ
nλoλpλqλ
rλ sλtλ uλvλ
10
10-Degree ROADM - Lower Cost of Ownership
Multi-port Wavelength Switch “Add” Ports
1 82 3 4 5 76 1 82 3 4 5 76
East West
Any Wavelengths to Any Port = Ultimate FlexibilityAny Wavelengths to Any Port = Ultimate Flexibility
11
10-Degree ROADM – Service Agility
Multi-port Wavelength Switch “Add” Ports
1 82 3 4 5 76 1 82 3 4 5 76
East West
Any Wavelengths to Any Port = ColorlessAny Wavelengths to Any Port = Colorless
12
10-Degree ROADM – Easy Expansion
Multi-port Wavelength Switch “Add” Ports
1 82 3 4 5 76 1 82 3 4 5 76
East West
East WestSubnetwork 1
East WestSubnetwork 2
WSS Enables Multi-degree ApplicationsWSS Enables Multi-degree Applications
13
10-Degree ROADM – More Competitive
Multi-Degree ROADMTraditional DWDM
Core Ring
10λ Subnetwork 10λ Subnetwork
10λ Add / Drop
3 Shelves
50 Transponders
42 Fiber Cables
1 Shelf
10 Transponders
32 Fiber Cables
Versus
14
All Range Optics – Cost Effective Expansion
Festoon DWDM links up to 300km
Regional non-regen DWDM links up to 2000km
CWDM links up to 80km XDM-2000
XDM-2000
XDM-2000
XDM-2000
XDM-2000
XDM-100
XDM-40XDM-40
MetroDWDM
Networks
NG DWDM Technologies• WSS ROADM• Dual stage EDFA• RAMAN
Integrated MSPP• 120G matrix• DS3 to OC192• Layer 2 switching
15
Packing Waves and Managing Them
Integrated SONET MSPP allows for filling the waves with any to any connectivityOTN (G.709, Digital Wrapper)
Cost effective, high quality sub-wave service delivery In band management eliminates OSC interconnection and distance issuesGFP-mapped data & Ethernet and groomed TDM circuits efficiently fill optical channelsRobust optical layer performance monitoring
16
OTN Services Access to Core
Unified OTN solution from access to coreEnd-to-end ODU Performance MonitoringSeamless GbE connectivityNo back-to-back OEOs or CWDM-DWDM connections
17
Dynamic Optical InfrastructureDynamic Optical Infrastructure
Core
Metro
Mobile Residential SMB Enterprise CoC
Access 2.5G, 3G Triple Play Data, Storage
Data, Storage
SONET, Eth.
NG SONET / Ethernet / MPLS
NG SONET / Ethernet
18
Summary
Multi-Degree Optics enables:Improved service agility
Multi service delivery
Lower cost of ownership
Easier and more profitable revenue growth with network expansion
Operational simplicity with any to any optical and electrical connectivity
Thank You