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WLAN Cellular Interworking
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802.11 Wireles s Local Area Networks (WLANs or WiFi s ys tem s ) have given the cellular indus try good reas on to flag
an alert. After all, WLANs provide a com bo of bandwidth, flexibility and cos t that cellular s ervices jus t cannot m atch.
As a res ult WLAN s eem s to have becom e tom orrow's 'killer network', with us age taking off at an explos ive rate. This
docum ent by HSS addres s es is s ues of critical concern to top bus ines s and technology decis ion-makers in the cellular
world – to decis ion-m akers who wis h to convert this threat into an opportunity for their firm s .
Where exactly does WLAN fit into the m yriad of proven and nas cent telecom m unication technologies ? In which
directions are WLAN technologies and products evolving? Does m arket res earch validate the thes is that WLAN could
s ound the death knell for cellular? Or are WLAN and cellular des tined to coexis t and collaborate to deliver enhanced
value to end-us ers ? What does HSS offer as a proven s olution architecture for WLAN-Cellular interworking? How
does this s olution enable delivery of unified billing, s ecure authentication, roam ing, location-bas ed s ervices and
s eam les s handover between WLAN and Cellular? How does HSS’ s olution enable WLAN interworking to be migrated
acros s GSM, GPRS and UMTS networks ? What bus ines s cas e and bus ines s m odel does HSS propose to OEMs and
TSPs for adding this s olution to their product and s ervice offerings ? And finally, how can OEMs and TSPs work with
WLAN-Cellular interworking s olution providers s uch as HSS to realize this opportunity?
HSS’ ans wers thes e ques tions with a vis ion to accelerate the deploym ent of interworked WLAN-Cellular s olutions –
s olutions that will deliver ‘4G-like’ s ervices to the com m unication hots pots in a cellular world.
Introduction
What is an all-pervasive human need that gets satiated in a McDonalds in Tokyo or a Starbucks in New York? Food
and drink? Yes, there’s that too… For today, many people use a trip to McDonalds in Japan or Starbucks in the US to
fulfill their need to be in touch, to communicate, to learn and to explore the world. And they can do this using the
inexpensive Wireless LAN (WLAN or WiFi) networks that McDonalds and Starbucks have set up at their outlets. So
what if cellular was already there…
Why do market-savvy and street-smart firms a dd WLAN to their offerings? Obviously, there’s a fast buck to be made
by offering WLAN services. The bottom line here is that in the complex and heavyweight world of wireless
communication, WLAN is a new, refreshingly simple and nimble player that’s rewriting the rulebook. That’s because
WLAN is a ‘Do-it-Yourself Wireless’ that’s a 1000 times cheaper and 100 times faster than the multi -million dollar cell
sites wireless operators have set up.
So like-it-or-not, wireless equipment manufacturers and service providers have been forced to take a long, hard look
at this maverick technology. Neither can firms afford to miss the WLAN bus, nor do they know how to get fully on
board. Could WLAN’s pitfalls, i.e. security, roaming and billing, offer operators leverage for interworking?
Read further to understand about the Pandora’s box that WLAN has opened for cellular, and of the solutions
available to mobile operators to deal with the situation.
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WLAN Cellular Interworking
WLAN vs. 3G Cellular: Rivalry vis-à-vis from this, WLAN operates in the unlicensed ISM
Synergy? (Instrumentation, Scientific and Medical) band at
2.4 GHz, which saves operators expensive
3G cellular was developed to solve two needs, license fees.
the first one to be always connected and the
To top it all, WLAN data is routed through the
second one to enable the use of applications
public Internet, which is much cheaper than
requiring high and flexible bandwidth. 3G
routing it through the private Intranet of the 3G-
provides bandwidths of upto 2 Mbps on demand,
core network. The low cost of WLAN is borne out
low data rates and free roaming across large
by the market’s pricing information. For example,
areas. On the other hand, WLAN provides a
a European WLAN service provider offers a time
higher bandwidth (11 Mbps) at a much cheaper
based charging scheme for WLAN of approx.
cost. The flip side of WLAN is that the range of
$0.25 per minute, which given the phenomenal
coverage provided is just 100 meters. This
data rates possible, is much cheaper than any of
makes many people argue that if WLAN
the subscription charges projected for 3G.
coverage were to become ubiquitous, 3G
services will not take off at all. We will try to
3. Simplicity
answer this argument from alternative
WLANs can be accessed from laptops and PDAs
perspectives.
by using inexpensive, relatively simple and stable
technology. Thus WLAN does not face the
Rivalry
technological maze and forever evolving
There are many aspects in which WLAN
standards that 3G faces.
threatens the take-off of 3G services. Some of
them are:
4. Presence
1. Bandwidth
WLAN is already a popular technology. On the
WLANs provide a data bandwidth of 11 Mbps vs.
other hand 3G is suffering from an array of
the bandwidth of 2 Mbps promised by 3G. For a
technical glitches and is likely to take some more
user living in a dense urban area (i.e. an area
years to get deployed. If WLAN presence
having a dense network of WLANs), a PDA and a
becomes widespread in this period, there may
2G phone can fulfill most of the needs that a 3G
not be much of a market left in which 3G can
phone can fulfill. Thus 3G will find it extremely
make its presence felt.
difficult to penetrate in the dense urban areas.
Synergy
2. Cost
1. Better Coverage
WLAN access networks can be established at a
Though WLAN provides higher bandwidth at a
fraction of cost of a 3G-access network. Apart
cheaper rate, it cannot provide the coverage
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provided by cellular networks. Thus if a unified minimize the disruption caused by WLAN to their
WLAN / 3G Cellular access solution emerges, it business. Thus mobile operators can effectively
will enable the user to be ‘always best hedge their risks between cellular and WLAN.
connected’. When the user is near a WLAN,
he/she can enjoy the bandwidth provided by Current Scenario and Trends
it.When he/she is out of coverage from WLAN, 3G
network will provide continued access to the user. Current Wireless Technologies
A large number of wireless technologies are
2. Single Bill and Roaming being developed at present, catering to different
The complex billing/roaming technology of 3G needs of end users. These technologies can be
can be extended to WLANs as well. Thus users broadly classified into Wide Area Networks
can get their connections through WLAN or 3G, (WAN), Local Area Networks (LAN) and Personal
through their service provider’s WLAN or a Area Networks (PAN). The table below shows
competing service provider’s WLAN – and still this classification of wireless technologies:
get a single bill for all these connections.
WAN LAN PAN
3. Creating A Market for 3G Services GSM 802.11x Bluetooth
According to one school of thought, as WLAN is WAP HiperLAN UWB
gaining popularity before 3G, WLAN will actually GPRS UWB
create a market for 3G services. People will get 3G
used to high data rate applications while using
WLAN. These WLAN users will in the future start
using the same applications on 3G networks, The main aim of PAN is to connect different
taking advantage of their wider coverage. Thus, electronic devices used in close proximity in
from this perspective, WLAN will accelerate the homes and offices. Thus PAN may connect
roll-out of 3G services. printers, faxes, etc., wirelessly to computers or
PDAs. LANs aim to provide a platform for
Despite this positive effect on 3G services, communication while inside a building, campus,
WLAN will definitely cannibalize part of the 3G etc. WLAN falls under this category. WAN
data service revenues – the estimates vary from technologies such as GSM / GPRS / 3G etc.
7% to 25%. As a result, the safest course of provide ubiquitous coverage in large
action for mobile operators is to aggressively geographical areas. Figure 1 compares the
enter the WLAN business. By focussing on the range and the throughput of these technologies.
synergy offered by WLAN to their current
business, mobile operators will be able to
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WLAN Cellular Interworking
2. Single Standard
802.11b is the de-facto WLAN standard at
1
Hotspots: Public places from where WLAN can be
accessed for a payment.
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when converted to pdf, 50 is in bold
2
Technology Adopters: People who first adopt a new
technology.
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billing services using Internet-based AAA added services that only mobile operators can
authentication. Virtual WISPs will be able to provide in the WLAN space to their subscribers,
compete with mobile operators due to the low effectively differentiating themselves from pure
capital investments they need to provide wide WISPs.
coverage. The incentives for an existing WISP to
allocate network resources to a virtual WISP are 1. Extensive Roaming and Single Bill for all
(1) increased capacity utilization and revenues Public WLANs and Cellular Networks
and (2) reduced marketing and customer The key to differentiating the WLAN service
relationship management costs. provided by mobile operators is to enable the
user to use the same dual-mode WLAN-Cellular
Virtual WISPs have been successful in the U.S. card for accessing all WLANs and Cellular
because of their ability to expand fast. However, Networks – even those networks not belonging to
in future they are unlikely to be able to provide the service operator – while providing users with
value-added services like Cellular-WLAN a single bill and personalized services. Mobile
roaming, etc., due to the high entry barriers in the operators, whose extensive cellular roaming
cellular services’ market. WISPs’ past successes agreements extend their presence into all
in the U.S. can be attributed to the preoccupation geographical markets where cellular / WLAN
of the U.S. mobile operators with the upgradation services will be offered, are best poised to offer
of their outdated networks and their weak this service. Standalone WISPs will take a long
financial conditions. Hence Virtual WISPs are not time to reach roaming agreements among
likely to do as well in Europe and Japan, where themselves.
mobile technologies have kept upto date and
operators are in a better shape than their peers in 2. Better Security
U.S. Business users and ultimately public users of
commercial services will demand high-class
Differentiation in Service Offerings security at the air-interface level as well as at the
As a result, outside U.S. mobile operators are back-haul network level. Thus a safe WLAN
expected to become the predominant WISPs, solution must be able to improve upon the
providing value-added WLAN services to their security currently provided by 802.11.
existing subscriber base. Within the U.S. it will
take longer for mobile operators to recover the In WLAN solutions data is routed through the
ground they have lost to WISPs. public Internet, which is insecure and prone to
eavesdropping. The data of the users who have
We will now briefly discuss some of the value- VPN access can be routed through their VPN
making their communication totally secure.
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WLAN Cellular Interworking
However, a safe WLAN solution has to go for free / at a token charge, mobile operators can
beyond this and provide better security even to encourage their subscribers to access Internet
those who don’t have VPN access. Mobile through the 2.5G/3G network when the WLAN is
operators are well positioned to provide a more not available. This is possible due to the low
secure data service by routing the data of users capital investments required for and the
through their private n
I tranet. However such core increased revenues resulting from WLAN
network routing solutions does not make the services. Thus WLAN can enable operators to
WLAN air interface fully secure. get better returns on from their 2.5G/3G
investments by increasing the usage of cellular
3. Handover between 2.5G/3G and WLAN data services.
This service would be mainly targeted to laptop
users. These users’ laptops would be always 3. Edge over Competition
connected to the Internet as users move between By providing WLAN services, mobile operators
cellular coverage and WLAN coverage. WLANs can enhance the value and premium-branding of
will provide higher data rates, and 2.5G/3G the services that they offer to their current
networks will provide higher coverage. The key subscribers and that they advertise to their rivals’
enabler here is that users will have access to subscribers. This reduces the customer churn
both these networks through a single WLAN- and reduces the cost of customer acquisition. In
Cellular dual-mode card. Clearly, only mobile addition, as WLAN users will be the premium
operators will be able to provide this service users and early adopters, mobile operators can
effectively target the cream of their rivals
Value Delivered to the Mobile Operators customer base.
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corporate segment, where the ARPU (Average but the introduction of voice capabilities will
Revenue Per User) exceeds that of other depend on the success of VoIP technology. This
segments by a factor of three or more. is as voice traffic through WLANs will be routed
through the Internet, as done in the VoIP
Obstacles for Future framework.
The main obstacles for the growth of interworked
WLAN-Cellular services are likely to be the Thus the take-off and stabilization of VoIP is
following: another hurdle for the future development and
wider acceptance of WLAN by users of current-
1. Security day cellular systems.
The main commercial target of initial WLAN
services, i.e. business users, will not adopt it in a Interworking Solution: HSS’ Solution
big way until the security of the system is has Architecture for Billing, Security and
been made foolproof. The current security Seamless Handover
provided on the air interface by the 802.11b
standard has proven to be fragile and needs Alternatives
improvement. Several attempts have been made Assuming a basic requirement of allowing
to improve the security of the WLAN air interface, roaming from a GSM//GPRS/3G network into a
but these have been repeatedly broken. This is in WLAN hotspot, a number of alternative
contrast to the security provided in cellular architectures are possible. The 3GPP (Third
systems by use of asymmetric keys on the Generation Partnership Program) is studying this
terminal SIM card and network HLR (Home requirement (3GPP TR 22.934), and ETSI BRAN
Location Register), which is 100% secure on the also has this requirement as one of its objectives.
air interface.
Figure 3 (on the next page) shows the alternative
2. Voice Capabilities architectures that have been considered.
In future, with the advent and widespread usage
of the mobile ‘killer applications’ that will benefit Alternative 1: The WLAN access node is
from the high bandwidth of WLANs, consumers presented as a RAN (a Radio Access Network) to
might also like to access WLANs through their a cellular core network – this is the approach that
3G phones. This would make it necessary for ETSI BRAN has adopted. This locks-in the
WLAN solutions to provide the seamless roaming cellular core network for relay of data traffic.
and voice capabilities that are provided by default
in cellular systems. Most of the cellular-WLAN Alternative 2: The WLAN access node
interworking solutions currently being developed masquerades as a GSN in a cellular network,
can be upgraded to provide seamless roaming, ensuring HLR based security while allowing data
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WLAN Cellular Interworking
# Criterion 1 2 3 4
Is it possible to use this solution without the co-operation of a local serving 7 3 3 3
1
GPRS operator?
Is it possible to maintain the IP session while moving between cellular and 3 3 7 3
2
WLAN coverage?
When back-hauling traffic to home intranet, is it possible to keep it within a
3 3 3 7 7
controlled network (for security and QoS reasons)?
5 Does the solution use the GSM/3G HLR/SIM information for authentication? 3 3 3 7
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GPRS Network
SGSN GGSN
FA HA
GERAN/UTRAN
HA
HLR
1
W-RAN
Internet
2
W-GSN
AAA
Access Point 4
FA
Ÿ Be a BSS/RNC to the
GSM/3G core network
Ÿ Talk Iu or Gb
Tight Coupling
Ÿ Be an SGSN to the
Local
GSM/3G core network Backhaul
Access
Ÿ Talk GTP, MAP, GTP'
Loose Coupling
Ÿ Authorization and
Charging through AAA
Ÿ AAA linked to HLR and
Charging
Ÿ Use Mobile IP
No Coupling
Ÿ Subscription attached
to Home Agent
Ÿ Foreign Agent on
Router on site
Connection survives
'Seamless' System
Architecture
Separate (Linked)
services available
Authorization and
3GPP PS based
Coupling
system change
Separate Bills
and Charging
Common Bill
reconnection
Charging
Change
Service
Integration
Ÿ
Ÿ
Ÿ
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WLAN Cellular Interworking
iii. This solution uses standard cellular ix. This solution doesn’t try to contact the
authentication. After authentication, the W-GSN cellular MSC. The mobile may remain attached to
and user terminal have a Kc key to use for link the overlaying cellular network’s MSC for voice
encryption of each session. traffic. If radio technology does not permit this,
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voice calls can be done over IP calls through a
VoIP gateway at the W-GSN site. 3. Future Proof
W-GSN works in GSM and enables handover
x. This solution enables even GSM operators to from 3G/GPRS to WLAN networks. So operators
provide WLAN services – with the exception of need not upgrade WLAN interworking
handover. infrastructure while migrating from GSM to GPRS
to 3G.
xi. This solution enables cellular operators to
have location information on WLAN users within 4. Secure Authentication
the radius of an access point (i.e. 50 W-GSN makes the WLAN air interface as secure
meters). This user location information could be as that of cellular, i.e. 100% secure.
stored in the W-GSN.
5. Unified Billing
Business Value of HSS’ W-GSN The user will get the same bill for usage of all
WLAN and/or cellular services.
Value Delivered to Mobile Operators
The value delivered to mobile operators by 6. Location-Based Services
WLAN-cellular interworking solutions has been The position of access points and identity of
discussed. Operators can expect large returns on users connected to them can be used to create
very small investments, increase the use of their location based-services.
existing GPRS/3G data services, acquire a
competitive edge and possibly gain access to the 7. Flexible
lucrative enterprise segments. Specific W-GSN allows mobile operators to route user
advantages of using HSS’ W-GSN are given data though Internet or through the core GRX
below. network shared by operators. Thus mobile
operators can meet different security needs of
1. Cellular-WLAN Roaming users and optimize the utilization of their core
Using a single dual-mode WLAN-cellular card, network.
the same laptop can be used in the cellular as
well as in the WLAN network. Value Delivered to OEMs
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WLAN Cellular Interworking
Conclusion
A WLAN-cellular interworking solution at a WLAN
hotspot creates a ‘win-win-win’ situation. Most
important of all, the end-users win. The hotspot
owners visited by more WLAN-savvy clients win.
And the cellular service providers who interwork
first also win. So why wait and lose?
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