Exchanging data over wireless networks is expected to grow at a steady rate in North America, according to the latest data from ABI Research. The firm said it expects growth of 16 percent each year through 2011, with a bit of a boom in bandwidth demand in 2008 and 2009.
As wireless operators prepare their networks for this impending data-usage boom, one of the things they’re increasingly doing is using fiber for backhaul.
Using fiber for wireless backhaul is a trend that will grow as the wireless industry’s need for bandwidth grows, said Michael Arden, principal analyst at ABI Research covering broadband and multimedia technology. But Arden also pointed out that fiber is but one choice carriers have for transporting backhaul.
“The technology that’s been used the most in the past is TI and copper lines, but the new generation of mobile technology is actually suited to be transported over Ethernet, which works better with fiber, so that’s part of the reason why there’s more of an interest in fiber.”
Cost is another consideration; in dense urban markets, fiber is often readily available and is usually a cheaper alternative than transporting via microwave or air-to-ground technology. These options are commonly put to use in rural markets where fiber isn’t already installed.
Nonetheless, each carrier makes decisions within each of its markets based on unique circumstances. Arden noted that Verizon Wireless will likely use parent company Verizon Communications Inc.’s network assets whenever possible. If Verizon Wireless has T1s available for backhaul, the carrier may not seek out fiber. But if the data usage calls for a fiber/Ethernet transport solution, Verizon Wireless probably wouldn’t hesitate to jump to fiber.
But don’t look to cable players to use fiber, said Arden. “The cable guys will probably use their own networks for backhaul if they get into wireless data delivery. For added capacity, they seem to be looking more at WiMAX rather than fiber.”
Supplying fiber-based mobile backhaul has become a booming business for companies such as Level 3 Communications Inc. and XO Communications.
XO provides national and local telecom services such as local and long-distance voice, dedicated Internet access, private networking, data transport and Web services to businesses, large enterprises and service providers over a nationwide facilities-based IP network in 75 U.S. markets.
And while Level 3 used to be thought of as an Internet backbone supplier, Howard Zonder, the company’s director of wireless offer management, said that the company is also working with several wireless carriers to provide fiber-based mobile backhaul. He said T1 solutions don’t supply the scalability needed by carriers as they deploy 3G networks and prepare to offer 4G services.
Zonder divulged that wireless carriers have become a significant focus for Level 3, especially in major markets where the company’s fiber holdings have piled up after a string of acquisitions in the last year have significantly expanded Level 3’s footprint.
When asked how fiber fares when compared to alternative backhaul solutions, Zonder declared: “Their first choice is fiber, because it’s stable-it’s not susceptible to interference from weather conditions and it has high-bandwidth capabilities for scalability.”
In urban areas, Zonder said carriers are trying to save costs by using a converged pipe to deliver voice and data. Often, carrier must maintain separate transport systems for voice and data, but an Ethernet over fiber architecture lets them shoot both signals through the same pipe.
Nonetheless, Zonder cautioned that when designing wireless networks, there is no silver-bullet for handling backhaul traffic.
“Each market has to be evaluated in order to understand what will work best,” he said. “Companies that can offer carriers scalability will be in demand because carriers are looking to solve networking problems across entire markets, not just at specific sites.”
And the increased attention fiber is getting is leading to other business.
Virginia-based CFN Services is touting an application that helps operators and potential operators determine how much fiber capacity is available in a given market and illustrates the available fiber’s proximity to available tower sites.
CFN, a network services provider, said it recently added wireless facilities to its FiberSource platform, which now supplies information about fiber proximity on more than 200,000 tower and building-based wireless infrastructure sites nationwide.
Though FiberSource was originally designed as a wireline infrastructure knowledge base, Mike MacKenzie, vice president of CFN’s business development, told RCR Wireless News that CFN increasingly is hearing from wireless players looking to fiber for their backhaul needs. He said carriers are off-loading their backhaul to fiber to free up precious and expensive spectrum space on their cellular networks.
To serve carriers who want to quickly understand their fiber network options within given markets for backhaul purposes, CFN integrated wireless site data into FiberSource from among several hundred public and private tower and site owners, including the top 25 wireless tower companies representing more than 80,000 collocation sites. The FiberSource knowledge base contains proprietary infrastructure data about more than 350,000 route miles of deployed fiber as well as transport services and other telecom infrastructure facilities from 550 metro networks across 120 markets.
Privately held CFN said in addition to cellular carriers, it’s hearing from emerging WiMAX players as well as other wireless data services providers seeking information about deployment strategies and networks optimization opportunities. Government officials are also showing signs of interest in the toolset as they develop emergency preparedness plans for maintaining communications during disaster situations.
