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<p>The Latest News From The Wireless Industry In Japan<br>
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Issue No. 179 Thursday November 06, 2008<br>
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<p>Next-Generation Networks in Japan<br>
Seven years after DoCoMo launched its 3G FOMA services,<br>
the company is testing a next generation network technology<br>
called LTE or Super 3G. What are the company's plans and how<br>
do they compare to KDDI and Softbank?<br>
The target date for the commercial launch of LTE is 2010,<br>
starting with mobile broadband for PCs as the initial<br>
application. LTE, or Long Term Evolution, and enables<br>
high-speed data transmissions of up to 200Mbps downlink<br>
and 50Mbps uplink. Although LTE uses the existing 3G<br>
spectrum, new technologies are applied in its radio access<br>
system. One technology is orthogonal frequency division<br>
multiplexing (OFDM), which transmits data using multiple<br>
sub-carriers in parallel. This technology is well suited<br>
for urban environments where multipath propagation occurs.<br>
The core network of LTE is all-IP.</p>
<p>LTE does not come without its headaches. The technology<br>
needs to overcome two important hurdles: backward compatibility<br>
and cost. KDDI could benefit from the backward compatibility<br>
of CMDA earlier this decade. Customers can use their new<br>
phones even in areas where the latest technology is not<br>
available. KDDI only needed to operate one CDMA network<br>
while DoCoMo has to support both the 2G PDC and 3G FOMA<br>
networks. LTE is also costly as it needs a completely new<br>
set of radio access and core infrastructure components.<br>
New LTE chipsets are still very expensive. Prices will<br>
come down as soon as economies of scale kick-in when more<br>
carriers deploy the technology. This will not help DoCoMo<br>
much as it will be the first carrier to deploy LTE. </p>
<p>Softbank takes another evolution path. It selected HSPA+<br>
above LTE for cost and backward compatibility reasons.<br>
HSPA+ requires less investment because the technology is<br>
based on W-CDMA and does not need a completely new<br>
infrastructure. Backward compatibility is guaranteed.</p>
<p>KDDI has not made a choice, yet. The options are LTE and UMB<br>
(Ultra Mobile Broadband) developed by Qualcomm, KDDI's<br>
supplier of the CDMA technology. There are not many differences<br>
between the two technologies. Last year Verizon that like KDDI<br>
operates a CDMA network selected LTE for its next generation<br>
network. Earlier this year, Verizon started a trial with its<br>
partner Vodafone. </p>
<p>DoCoMo is moving full steam ahead towards LTE. Keeping its<br>
reputation as a pioneer comes at a hefty cost, though. Will<br>
its shareholders also be happy with the higher download speeds<br>
or ask for postponing the roll-out? </p>
<p>By Arjen Van Blokland</p>
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