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  1. KONFERENSI INTERNATIONAL – Towards The All IP Network STT – TEL, Bandung, 30 Oktober 2007 REGULATION TOWARDS NGN KOESMARIHATI, Committee Member

  2. What is NGN ?

  3. Characteristic of NGN - ITU The NGN is characterized by the following fundamental aspects: • Packet-based transfer  • Separation of control functions among bearer capabilities, call/session, and application/service • Decoupling of service provision from transport, and provision of open interfaces • Support for a wide range of services, applications and mechanisms based on service building blocks (including real time/streaming/non-real time services and multi-media) • Broadband capabilities with end-to-end QoS and transparency • Interworking with legacy networks via open interfaces • Generalised mobility

  4. Characteristic of NGN - ITU • A variety of identification schemes which can be resolved to IP addresses for the purposes of routing in IP networks  • Unified service characteristics for the same service as perceived by the user • Converged services between Fixed and Mobile networks • Independence of service-related functions from underlying transport technologies • Support of multiple last mile technologies • Compliant with all Regulatory requirements, for example concerning emergency communications and security/privacy, etc.

  5. Access growth di Indonesia Wireless Access growth ( cellular + FWA) wth CAGR 41% from 2002 (12 mill.) to 2006 (68.8 mill) Source : DGPT

  6. Broadband Access • Wireline • A(DSL) over existing copper cable • Cable Internet over Coaxial • Fiber Optic ( FTTC, FTTH) • Wireless • Mobile technology : 3G / HSDPA / HSPA and EV/DO • WiFi / WiMAX Series : 802.11n, 802.20, 802.16d, 802.16e • Others : I-Burst , PHS

  7. MAJOR DRIVING FORCE FOR NGN • Strong Growth in high speed internet , ADSL and FO • Technology enhancement in mobile network – rapid growth in mobile users, 3G started and gaining market share • Deregulation and competition, • Decline revenue in PSTN All- IP integrated network, Fast Internet, VoIP, IPTV NGN – NETWORK

  8. Evolution of Cellular Mobile • Voice specific,narrow band, analog • only CS • NMT, AMPS, TACS First Generation • Majority voice,narrow band, digital • PS can be added - • G2.5 (GPRS, EDGE,CDMA2000-1X) • GSM , CDMA One, Second Generation (2G) • For voice, multimedia, broadband, digital • CS and PS (IP) • IMT-2000 (WCDMA, HSDPA,….. • (CDMA 2000 EV-DO,CDMA2000 EV-DV) Third Generation (3G) • IMT – Advance • All IP – FMC – through IMS • LTE , IEEE series …..& Beyond

  9. Government Initiatives • Review Law no 36 on Telecommunications • At the same time review the regulation on Licensing, numbering , and FTP ( fundamental Technical Plan) • Together with ICT Community to establish ICT Roadmap • Re-arrangement of Frequency • Establish the Frequency master Plan • Re-arrangement of 3G frequency • Re-arrangement of BWA frequency • Re-arrangement of Broadcasting frequency • Spectrum fee based on bandwith • Study on NGN • Together with APJII and TELCO trial on IPv6 and ENUM • Establish USO Program – to have voice and data ready to all villages by 2009 – tender in progress • PALAPA RING Project – to facilitate operators to build fiber optic across the country, to link the 33 Province capitals and 440 district capitals ( Kabupaten) • Establishment of ID-SIRTII, for the network security.

  10. Major Functions of Regulator • Encourage Competition • Spectrum assignment • Numbering • Interconnection • Access • Quality of Services • Cyber – security • Dispute Resolution

  11. Expected Regulation • More flexible To cope with the Convergence • Convergence in Services – telecommunications, IT , broadcast or triple play – telephone, internet , TV • Convergence fixed and mobile • Convergence in Licenses – individual licenses – class licenses – no license • Technology Neutral • Securing “ Any to Any Connection” • Spectrum fee –BHP – based on bandwith • Strict compliance – right – obligation – penalty • Support to the national product • Consumer Protection • Intellectual property Right protection • Cyber- Security • Lawful Interception • Through Public Consultation

  12. Market structure and impact to licensing NGN will change the market structure from: • vertical market, whereby different network for different services, and by different licensing, to • horizontal market, whereby any services could be provided by the same network and could be using the same terminal

  13. Convergence Network Convergence might be seen as the migration from vertical to horizontal markets, at different levels Service Applications (email, TV, web, voice, …) Cable Telco Cellullar Broadcast Service Network NGN Network Cable Telco 2G/3G /4G Broadcast Wifi/ Wimax Access Access Device Hybrid 3G-Wimax Hybrid Telco-broadcast Device Hybrid Cellular-Broadcast Hybrid fixed-mobile Source : Rajendra Singh, World Bank

  14. Unified Service Licensing In NGN environment , the regulation on Licensing should be make simpler and faster such as : • promote innovation, with more varieties of features; • more efficient use of resources; • resulting lower tariff; • and yet has to maintain level playing field, to have a healthy competition.

  15. Unified Access Licensing • In this transition period, the government will introduced unified access licensing whereby for spectrum that is issued for access, it could be used for fixed wireless access, fixed wireless access with limited mobilty or full mobile. • Reason : fair, eficient used of spectrum, speed up penetration and drive the mobile tariff down.

  16. ROAD TO UNIFIED ACCESS LICENSING How to encourage innovation, speed up the teledensity and penetration and yet maintain level playing field • Issue of Spectrum Pricing • Issue of Interconnect • Issue of numbering

  17. The Objective of Spectrum Re- Arrangement • To optimize the use of the spectrum frequency to the optimum benefit • Giving guidance for the use and allocation of frequency for various sevices. • to accelerate the growth of national telecommunication and IT industry. • The Master Plan will be publicly available,

  18. Interconnection • Cost- based Interconnection was implemented since 1 Januari 2007, following the Ministerial Regulation no 8 year 2006. • Dominant Operators have submitted their “Reference Interconnection Offer” to BRTI. The approved RIO has already been published in their website. The interconnection tariff was calculated based on LRIC Bottom Up default. The scheme has not perfect yet, but the regulation has started the transparancy, open and non discriminative .. • Review on calculating the interconnect tarif has been carried out. The calculation is based on data 2005 and based on LRIC Bottom Up best practice Indonesia, which will be closer to reality.. • In the IP-based network, the calculation approached will be different again. It will be more depending on the volume of traffic committed, and could be back to B – B arrangement and not element cost. • However, it is predicted that cost-based interconnection is still valid for some years to come.

  19. Numbering, Naming and Addressing • NGN requires reviewing on the numbering, name and addressing the access network • At present telecom numbering using E 164, rules by ITU and coordinated by national regulator, while the internet is using IP address which is coordinated by ICANN ( Internet Corporation for assigned Names and Numbers) which is outside the national regulator. IETF has introduced ENUM as an integrated numbering scheme. • However there is no consensus yet on what numbers within national numbering plan should be used for NGN services, especially for VoIP. This requires extensive consultation between all the stakeholders. Another important is the privacy concern with related to the operation of ENUM database. • Therefore, Regulator urge that all telcos and ISP operator to be actively involve in the test bed ENUM that is currently conducted, to identify problem faced in implementing the ENUM

  20. Review National Numbering Plan The Objective of reviewing National Numbering are as follows : • Increase efisiensi in allocating the number, to accommodate the increase number of player and anticipate for next generation network. • Harmonisation of fixed local numbering, fixed wireless access and cellular mobile numbering to pepare for the unified access licensing. • Guidance for implementation of number portability. • Guidance for implementation of ENUM It has to be certain that any change in numbering is as necessary only, and not too much burden for the subscribers.

  21. Consumer Protection & QoS • A draft of ministerial Regulation on Minimum Standard of QoS for : • PSTN • Cellular Mobile, • BWA • Internet Has been put in the website for public consultation • Study on Number Portability

  22. Trial on IPv6 • IP address is from APNIC, Asia Pacific , may be exhausted due to heavy demand of China ad India, • Not only base on shortage but base on the long term vision of technology renewal, and benefit that can be reached • The Government has to have strategy on deployment of IPv6. • No country has mandated IPv6. However to face long term strategy the government has to take lead by making the trial together with ISP and Telco operator, and apply IPv6 to all government network, to encourage IPv6 transition.

  23. Security • NGN needs security mechanism to protect from service denial, and virus attack, and to protect customer’s information from malicious hacking; • As the NGN is all IP-based network, the issue of Security become very important; • Government issued Permen No 26/PER/M.KOMINFO/5/2007 regarding “Pengamanan Pemanfaatan Jaringan Telekomunikasi Berbasis Protokol Internet”, and the formation of ID-SIRTII.

  24. Managing Essential Resources • According to PP No.38 year 2007 re. “ pembagian kewenangan Pemerintah Pusat dan Daerah”, stated as follows: • All the authorization regarding spectrum and radio frequency are within the Cental Government (c.q. DG Postel) • The authorization to access essential ICT infrastucture such as telecommunication Tower and Road Digging is done by Pemerintah Daerah (Kota/Kabupaten)- ( the Regional Government) • Pemerintah Pusat (Depkominfo, c.q. Ditjen Postel) has to give standard and gudance to Pemerintah Daerah in 2 years time. • It is approved that sharing use of Tower, Duct are promoted

  25. THE NEED OF ROAD MAP • Require a roadmap as a guidance for Regulator and Industry as well as for the bases for the reviewing the ICT Law, • BRTI together with the stakeholders are preparing ICT Infrastucture Road Map, to support the Vision of the Depkominfo :”Terwujudnya penyelenggaraan komunikasi dan informatika yang efektif dan efisien menuju masyarakat informasi yang sejahtera dalam kerangka Negara Kesatuan Republik Indonesia” The first draft could be retrieved and downloadfrom website www.postel.go.id and www.brti.or.id

  26. KONDISI Infrastruktur (Perkiraan sampai dengan akhir 2007) Source :Draft ICT Road Map

  27. KONDISI Infrastruktur (Perkiraan 2011) Source :Draft ICT Road Map

  28. Conclusions • Convergence of telecommunications IT and broadcasting is happening. NGNs is in front of us, whereby the network could offer various services voice, data and image. • The NGNs wil be broadband and IP based, is an open architecture and offering less CAPEX and OPEX. • Regulation has to support innovation and benefit of technology can offer, while maintaining the level playing field

  29. Thank you for your attention Menara Ravindo 11th Floor Jl. Kebon Sirih Kav. 75 Jakarta 10340 Tel. (6221) 3154970/71 Fax. (6221) 3155070 www.brti.or.id Email: koesmarihati@brti.or.id