Fast 2G/3G upgrade aims to create future-proof network for Telenor Denmark

When it chose Nokia Siemens Networks to upgrade its 2G and 3G network, Telenor’s aim was to create a high-performing, future-proof network to serve its Danish customers. Lowest total cost and fastest time to revenue were prime requirements.

“The upgrade will deliver immediate network improvements and build a network that is ready to meet future consumer demands.”

 

Lars Rude Andersen,
CEO, Telenor Denmark

With a population of just five million, served by four communications service providers (CSP), Denmark’s mobile market is intensely competitive. Seeing the growth potential that high speed, high quality mobile broadband could offer, Telenor Denmark set itself the goal of becoming the country’s leading CSP with a future-proof network delivering a superior mobile Internet experience.

In early 2009, Telenor Denmark started the process of selecting a vendor to help it reach its goal. Extra capacity to meet growing demand for data services was needed. Furthermore, a complete transformation of Telenor’s cost structure was vital to ensure it could stay competitive in the mobile broadband arena. A high priority for Telenor Denmark’s upgrade was to achieve the lowest total cost of ownership (TCO) for the next six years.

With the market developing rapidly, Telenor Denmark was under time pressure and had to make speedy progress. The CSP needed innovative ways to bring its network upgrade to fruition as quickly as possible.

Fastest time to revenue
The Nokia Siemens Networks project proposal best met Telenor Denmark’s two critical requirements of lowest TCO and fastest time to revenue. The deal was done.

Nokia Siemens Networks is delivering an upgrade to Telenor Denmark’s 2G and 3G networks to provide nationwide EDGE, HSPA and HSPA+ services. In addition, it is implementing a new IP backbone based on the Nokia Siemens Networks Multiservice IP Backbone solution to cater for the exponential growth in bandwidth that Telenor Denmark is experiencing.

Nokia Siemens Networks is also providing project management, network implementation, planning and optimization, as well as software, hardware and competence development services to create a high quality, high availability network.

The upgrade of the 2G network is deploying EDGE coverage during the second quarter of 2010. This is up to one year faster than other vendors could offer. It’s an important step for Telenor, which lacked EDGE capability, because the deployment will improve the experience of customers moving out of 3G coverage onto the GSM network.

The upgrade of the 3G network to HSPA has brought a huge bandwidth boost to Telenor Denmark customers, while moving to HSPA+ capability will be completed throughout the entire network by June 2010.

The network also provides best support for small screen use which creates huge signaling loads. The Nokia Siemens Networks Radio Network Controller (RNC) is scalable to support high user plane traffic, signaling and connectivity demands. Furthermore, Mobile Site Connectivity and Multiservice IP Backbone solutions manage IP interworking between the backbone and site to handle time critical traffic like voice and signaling correctly, contributing further to an improved and reliable customer experience.

Planning to stay ahead on the small screen

To help it map out a profitable future that differentiated it from competitors, Telenor Denmark engaged Nokia Siemens Networks to help define a strategy to increase subscriber data usage and identify a data product portfolio that would secure new customers, as well as serve the growing segment of high-end data users.

With existing HSPA networks in Denmark being used heavily with laptops, there exists an opportunity to gain market share by offering value added services to handheld device subscribers.

As well as addressing a highly valuable customer segment, small screen devices tend to use less data than laptops, bringing the double advantage of higher revenue with relatively low bandwidth demand.

“This was a very good process with great commitment from Nokia Siemens Networks in helping us to gain an understanding of the opportunities and translate these into practical initiatives,” says Christian Thrane, Head of Consumer Market, Telenor Denmark.

Ready for LTE
The award-winning Nokia Siemens Networks Flexi Multiradio base station (BTS) offers superb cost advantages with its market-leading efficiency that reduces site energy costs by up to 70 percent compared to conventional base stations. The compact BTS can be used outdoors and mounted directly on the antenna to eliminate feeder losses for a better customer experience with fewer sites and low power consumption.

Flexi BTS also supports refarming of WCDMA frequencies to the 900 MHz band when these are expected to become available to Telenor Denmark in 2011.

The upgrade project also includes widespread LTE exclusively from Nokia Siemens Networks. Flexi BTS is LTE-enabled, and requires just a software upgrade to support the new mobile broadband radio technology. Flexi Multiradio BTS is flexible and supports all possible LTE radio frequencies, which remain unknown until Denmark’s LTE license requirements are established.

Leader in Denmark
With its new network, Telenor Denmark is confident of growing its mobile broadband business and become the country’s number one CSP.

“Nokia Siemens Networks had the best offer on the table. They showed the strongest commitment to rapid deployment and high network quality. They know the different network technologies very well and will be able to tune the network’s performance to provide the highest network quality for our customers,” says Lars Rude Andersen, CEO, Telenor Denmark.

Challenges

  • Become the market leader in mobile data in Denmark
  • The changing market demands new skills, operational modes and market initiatives
  • Higher network capacity and performance needed to meet growing demand for data services
  • Existing cost structure would not support the growth needed to survive in Denmark’s competitive market
  • Rapid and flexible network upgrade to capture new market opportunities
  • Strong roadmap needed to identify the best growth potential and differentiate from competitors

Solution

  • 2G network upgrade of 455 base stations to create nationwide EDGE coverage
  • 3G network upgrade of nearly 2,000 sites to bring HSPA+ at 21Mbps downlink speeds nationwide
  • LTE pilot network to be implemented in 2010
  • Mobile Site Connectivity and Multiservice IP Backbone solutions to support increased data and IP voice traffic
  • Project management, network implementation, planning, optimization and competence development services

Benefits

  • Fast upgrade with time-to-revenue up to one year shorter than other solutions
  • The upgrade will provide the lowest total cost of ownership for the next six years
  • Enhanced customer experience with faster data speeds and higher nationwide network quality
  • Flexi Multiradio BTS offers lowest operational expenditure with 70 percent lower site energy costs
  • Flexi Multiradio BTS offers lowest cost upgrade via software to support evolution to LTE and WCDMA refarming to lower frequencies
  • Firm roadmap to put Telenor Denmark in top spot with future-proof network to increase subscriber data usage
  • Field proven IP solutions ensure reliable QoS network and lower risk