Legacy platforms replacement
Sipos Attila
PKI Fejlesztési Igazgatóság Balatonkenese 2009.05.26.
Contents
▪
Old legacy systems in MT’s network
▪
Financial statistics
▪
Technical risks
▪
Target architecture and migration rules
▪
Estimated capex and proposed time schedule
▪
Conclusions
Old legacy systems in MT’s network
* average time from purchase weighted by equipment number
Platform Network size Average equipment age (year) *
Hytas-Ke
125k POTS; 12k ISDNcapacity 12
voice optical access
PSTN 3.4 M 64kbit/schannel capacity 18
voice switches
MLLN 13 000 user equipmentat1000 CO sites 12
narrowband data ATM DSLAM
213k portcapacity 451sites 6
broadband access
PDH 1555 equipmentat 1128 CO sites 15
old transmission
Access Mux-es 36.7k POTS; 2.6k ISDNcapacity at 725sites voice access 11
Book values of legacy systems
* Not including ADS exchanges 0
2 000 4 000 6 000 8 000 10 000 12 000
2008 2009 2010 2011 2012 2013 2014 2015
mHUF
HYTAS PSTN * MLLN ATM
ATM DSLAM PDH
Accesss Mux
• Legacy systems support to generate 163 BHUF revenue
• The most significant cost components:
• General costs: 37%,
• Outpayments: 13%,
Costs and revenues of legacy systems - 2008.
0 20000 40000 60000 80000 100000 120000 140000 160000 180000
Revenue Costs
M HUF
Revenue General costs
Other not technical tasks Outpayments
Non EBITDA realated costs (D&A, capital cost) Other not Technology
Technical Services Directorate Real estate
Connected infrastructure (eg. cable network, management systems)
Direct technical costs
• other not technical tasks (mostly marketing activities): 16%,
• D&A, capital cost: 24%.
• Direct technical cost is only 2% (2,9 BHUF)
Costs and revenues of legacy systems in 2008
Costs of products on legacy systems - 2008.
0 20 000 40 000 60 000 80 000 100 000 120 000
Flexcom
DatexP Fram
e relay
MLLN Access IP services HSI
VoIP
Voice services (PSTN/ISDN)
Multiflex
HSLL
Products M HUF
General costs
Other not technical tasks
Non EBITDA realated costs (D&A, capital cost) Other not Technology
Technical Services Directorate Real estate
Technology
Costs of products in 2008
Direct technical costs in 2008
67
778
54 58 0 0
99
317 181
157 59
1 125
0 200 400 600 800 1 000 1 200 1 400 1 600 1 800 2 000
Hytas- KE
PSTN MLLN ATM DSLAM
PDH Access Mux
mHUF Operational cost
(mHUF)
System support (mHUF)
Technical risks
▪ General risks
▪ the equipment are very old, they are at their end of life (EOL) or over EOL
▪ high probability of equipment failures, difficult to keep the SLAs
▪ very expensive system support or no system support at all from the vendor
▪ lack of spare parts
▪ repairing faulty cards is difficult or not possible
▪ PDH specific risk
▪ High risk of equipment faults, especially end of life of Lasers
▪ Access Mux specific risk
▪ difficult and expensive operation due to degradation and increasing saturation of copper cables
Target network architecture
opt. Packet Cu
Cabinet Local Exchange PoP
DSLAMor MSAN
IP/MPLS Backbone
Leased Link 2 … 155 Mbit/s
Leased Link 2,5G/10G
LSR BRAS
Cluster
Customer Location Product
Service Platform TMH, 3rt PTY
OTN/DWDM backbone OTN/DWDM
Metro/Regional
ENT
LER LER
Residential/Business DSL
Ethernet Link 10M/100M
Ethernet Link10G Ethernet Link 1G
Ethernet based L2 Aggregation
Seamless MPLS IP-TV
D-Server
ENT ENT NT
TDMoE
NT
ASR PSR
EoSHDSL ONT
OLT
Residential/Business GPON
Outdoor DSLAM or
MSAN
NT
ATM DSLAM
MLLN Node PDH
(S)HDSL PDH Micro
Access Multiplexers
365 settlements
Optical
Copper
Microwave
Optical Copper
New optical cable / Ethernet Microwave system
1103 nodes 1-1.6 M cust.
725 sites 34.3k POTS
2.20k ISDN
MSAN NB ? / MSAN BB Annex J
240 sites
WDM Ethernet Switch
1000 CO nodes 13k end user
equip.
1175 nodes 173k cust.
Migration rules
Ethernet DSLAM Ethernet over Copper Ethernet switchRSU/SSU
Technical solutions and capex estimation
We presumed that PSTN, MLLN, ATM, PDH and Access Mux replacements will go in parallel, which results appr. 2-3 BHUF save on the optical cable and microwave
installations.
Platform Short description of replacement Estimated capex in
paralel realisation (mHUF)
Hytas-Ke Migration to GPON Migration by MSAN
in T-Kábel areas: HFC (DOCSIS 3.0)
PSTN replacing PSTN Switches with MGWs and IMS replacing RSUs with MSANs
reconstruction of Distribution Frames 3500
installing optical cables and microwave links to replace copper cables 620 MLLN technology migration to TDMoIP, Eth access for IP VPN and XoT (end-to-end) 2000 installing optical cables and microwave links to replace copper cables 1 398
ATM DSLAM migrating DSLAM ports to GPON, IP DSLAMs 1200
bandwidth limited locations: optical cables and microwave links 624
PDH installing WDM/L2 switches 2200
Access Multiplexers Installing new MSANs 1450
installing optical cables and microwave links to replace copper cables 4 660
XoT: X.25 over TCP IP 38 052
7000 13400
Proposed time schedule
2009 2010 2011 2012
PSTN - EWSD, AXE replacement ATM DSAM replacement
MLLN migration
Access Multiplexers replacement
2013 2014 2015
PDH replacement
HYTAS replacement IMS core consolidation
PDH replacement in ADS areas
CAPEX: 4118mHUF 5715mHUF 9889mHUF 9852mHUF 6160mHUF 2318mHUF
Conlusions
▪ The full old legacy network replacement CAPEX is apr. 38 MrdFt in the next 6 years
▪ Hytas replacement shall be achieved independently from other replacements
▪ The replacement of PSTN, ATM DSLAMs, Access Muxs and MLLN nodes shall be realised together and they shall be harmonised with the PDH transport migration.
▪ The most significant cost element is the construction of the new transport media optical cable/microwave links on the rural areas
