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Use of MPLS in Mobile Backhaul Networks - Broadband Forum

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Issues:<br />

Traditional <strong>Backhaul</strong>-Expensive<br />

� <strong>Mobile</strong> operators are generat<strong>in</strong>g revenues from a range <strong>of</strong> new<br />

“next generation” data services that are designed to generate<br />

revenues <strong>in</strong> addition to those from legacy voice services.<br />

� However, these new 3G-based services require a substantial<br />

<strong>in</strong>crease <strong>in</strong> bandwidth, which will <strong>in</strong> turn lead to greater mobile<br />

backhaul costs.<br />

� It is estimated that backhaul can account for as much as 30%<br />

<strong>of</strong> a mobile operator’s operat<strong>in</strong>g costs (Opex)<br />

(source: Yankee Group, 2005)<br />

� If mobile operators were to expand the backhaul network to<br />

meet these new bandwidth requirements <strong>in</strong> the traditional<br />

manner, the move to 3G could represent a significant <strong>in</strong>crease<br />

<strong>in</strong> required bandwidth and associated opex.

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