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Most deployed wireless base stations connect to the backhaul network via PDH circuits (typically, T1s or E1s). These PDH circuits may be used to backhaul traffic directly from the cell tower to the mobile switching center or connect into microwave radios at the cell tower for backhaul to hub site locations, which aggregate the traffic over a SONET or SDH optical transport network back to the mobile switching center.
Each cell site typically supports several generations of wireless base station technologies. As new generations are deployed, the existing technologies must still be supported. Mobile operators also must support the growing data traffic as they ensure that subscribers' quality of experience for voice calls is not compromised.
As mobile operators upgrade their base stations to support Ethernet interfaces (UNIs), they must also transport that Ethernet traffic over existing PDH backhaul networks or PDH connections to microwave radios to connect to the backhaul network. Unfortunately, because of PDH circuit contractual commitments with PDH access network providers, fiber to the cell tower availability and the depreciation of microwave radio capital equipment, many mobile operators cannot upgrade their backhaul networks to natively support carrier Ethernet over fiber. Therefore, mobile operators must use their existing PDH-based infrastructure more efficiently to support their legacy, circuit-based services while they introduce and expand their packet-based mobile broadband data services. Mobile operators would prefer fiber to the cell site if it can be deployed cost effectively. However, most cell sites will not have access to a fiber backhaul network in the foreseeable future.
High-speed 3G data services, such as high-speed packet access (HSDPA and HSUPA) services, enable ubiquitous mobile broadband data connectivity. However, mobile operators face a number of technical, operational, and business challenges to reduce recurring OpEx for their PDH-based backhaul network connections.  As the Unstrung Insider graph published in 2007 illustrates, explosive 3G data traffic growth with flat-rate data pricing plans requires mobile operators to focus their efforts on carefully managing OpEx to maintain margins as they ensure a good quality of experience for mobile subscribers' voice and data traffic. |