Wednesday, October 13, 2010

Wireless Network Optimisation

Following on from my last post on monitoring network performance, I attended a webinar called Wireless Network Optimisation from Alcatel-Lucent. It outlined some of the main concerns for a wireless network operator once a network is deployed, although this really boils down to just one thing: How can the bottom line be improved from the exiting network infrastructure? The answer is to optimise the network configuration. The webinar described a 4-step methodology for network optimisation:
  1. End-to-End Audit. Collect data from the network such as network topology capture or performance monitoring.
  2. Traffic Profile Analysis. Correlating current network capacity and projected traffic forecasting.
  3. Recommendation. Develop a new planned configuration change.
  4. Execution. Deploy and activate the new network configuration.
Alcatel-Lucent claim 10-63% in actual cash flow savings from optimisation project customers. I assume one objective of the webinar was to promote the Alcatel-Lucent managed service business which is not just for outsourcing management of Alcatel-Lucent supplied network equipment but also multi-vendor networks.

How big is this business for Alcatel-Lucent? According to their Q2 2010 Earnings Report, in the quarter Alcatel-Lucent had total revenues of €3.813 billion and a net loss of €183 million. The Services division had revenues of €883 million, making a profit €19 million in Q2. In the webinar, Alcatel-Lucent stated that have 60 optimisation tools built in-house and another 20 co-developed with Bell-Labs. They have 800+ design and optimisation experts to perform the work for their 250+ customers.

I think this gives a picture of the scale the business, but also an idea that once the network equipment is purchased and installed, the work if far from done. It should come as no surprise then that the network operators, the customers for the network equipment vendors such as Alcatel-Lucent, would desire that the vendors bring to markets network equipment that are capable of Self-Organising Networks (SON).

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