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New Zealand Engineering 1999 June

IT & Networks

The Age of Steam is Dead, Long Live the Age of DSL

What is happening in New Zealand?
Why is taking so long?
What about business links to the internet?
Video-on-Demand (VoD)
What does it cost?
Direct Broadcast Satellite from The Internet Group
What next?
Glossary

OK, I will admit there have been some advances in the telephone system since Bell signed the patent on 20 January, 1876, but I bet he wouldn’t find it too difficult to see his original invention lurking inside a modern handset. Unfortunately, in a digital world the phone has remained stubbornly analogue, but just as Alexander Graham Bell witnessed the end of the steam age, and the birth of Rudolf Diesel’s engine, we are witnessing the birth of the DSL age.

Sorry, was there a question at the back? What is DSL? DSL stands for Digital Subscriber Line, and it is finally starting to make its way in real world. It has been driven by the huge demand for bandwidth, and we all know what has driven that - the internet. DSL is a "last mile" technology. It is designed to connect you to a network, read the internet for most people, using your already installed standard copper telephone cable.

Everyone who uses the internet complains about the WWW or world-wide-wait. Everything seems to take forever, file down-loading times are exacerbated by the bloat factor, you know, those 600 kb word documents with two pictures in them. Whereas once the internet was used by the scientific community to send text messages to each other, with message sizes averaging 1 kb, the net is now full of all singing and dancing multimedia, large video files and 22 Mb monster packages like Microsoft internet Explorer 5. The plain old telephone system, (POTS), was never designed to cope with the demands placed on it by analogue modems. The fastest speed possible for analogue technology on POTS is theoretically 64 kb, with the current generation of 56 k modems effectively already at the limit.

Cable companies have eyed the potential market for getting fast internet connections to consumers, allowing them to provide services like Video-on-Demand and video conferencing which are seen as having huge commercial potential. Unfortunately, running a cable to each and every consumer is very, very expensive. That’s where Telecom has a real advantage. They already have two copper wires going into almost every home in New Zealand. The problem is that consumers would like to keep the telephone AND have these new services. DSL achieves this by leaving the analogue phones 4 kHz bandwidth alone and utilising the huge amounts of untouched bandwidth available in the upper frequency ranges.

(Click here to see Figure 1)

Figure 1 shows the spectrum diagram for Asymmetric Digital Subscriber Line (ADSL), the front runner for a number of competing DSL technologies, grouped under the generic name xDSL. Note that the downstream component, what you receive, is much larger than the upstream component, what you send. This suits video-on-demand services and the internet, which is why asymmetric services are more popular than symmetrical Single Line Digital Subscriber Line SDSL. Also note that your existing telephone bandwidth is untouched, meaning you can simultaneously have internet access and use the phone. In Table 1 the most common forms of DSL are listed, along with some limitations.

(Click here to see Table 1 - DSL Systems)

What is happening in New Zealand?

Telecom has started ADSL trials in Wellington and Auckland. Clear Communications, relying on Telecom for the last-mile connection, is waiting to get details on ADSL interconnection and line costs. Some internet Service Providers have bypassed ADSL already and have set up their own broad-band services. The Internet Group, also known as IHUG, operates Direct Broadcast Satellite, which although slower at 400 kbps, is here now and available across most of the country.

Why is taking so long?
The ability to use DSL requires very good cable between you and the nearest exchange. The exchange needs special hardware for each and every DSL user. Most telephone cable installed in New Zealand dates back to the 1960s and earlier, and some of this cable is not capable of taking the extra data bandwidth which ADSL uses. In Telecom’s trials, ADSL did not perform to full capacity on these cables, so they have switched to yet another standard, Rate Adaptive ADSL or RADSL, which is more tolerant of line conditions.

The RADSL system provides asymmetric data transmission with rates of up to 6 Mbps downstream (to the customer) and up to 800 kbps upstream. The actual rate for each line will vary and is dependent on line length and condition. This is substantially faster than competing technologies. The New Zealand Herald reported in the 23 September 1998 Business Section that in their own tests an 18.8 Mb file was transferred in just 55 seconds. Try that on a modem and re-read War and Peace while you wait.

Telecom is running trials in Wellington and Auckland, but only for customers attached to a few exchanges. It will surprise no one that these exchanges happen to be in the wealthier suburbs and the CBD. A POTS splitter is used at each end of the line, (see Figure 2 - Standard connection diagram from home to exchange for xDSL), to separate your normal telephone voice service so that only the data is transferred to the ADSL receiving modem at the Telecom end. Telecom then uses its own broad-band links into the internet, or, in the future, to your preferred ISP.

What about business links to the internet?
The asymmetric nature of ADSL is fine for the home user, who downloads far more from the internet than is sent. Business users have a far more symmetrical load, mainly e-mail, which does not fit into the ADSL profile. Similar related techniques and devices, generally called xDSL, are emerging and do appear to be a good fit; take a look at SDSL in Table 1. However, do remember that DSL is a "last-mile" technology, aimed at squeezing everything through that existing puny 0.5 mm2 of copper. If a business is in the CBD it is probably already close to one of Clear’s or Telecom’s digital circuits, so the obvious solution is to connect directly using fibre, and skip xDSL altogether.

Video-on-Demand (VoD)
I have mentioned video-on-demand twice without explaining what it is. The ADSL download bandwidth is sufficient to send high quality video. You don’t even need a computer. A set-top box on your TV can be used to receive video and display it with remarkable clarity, superior to VHS or broadcast TV. This is where a lot of commercial players, like Saturn Communications, Telecom, Sky and others see most potential. No more going to the video shop and finding the last copy of the latest block-buster has just gone. Now you can request the video you want and view it instantly on your TV without ever leaving the couch. Telecom tested video over ADSL and independent reports say the image quality was stunning.

Due to error correction requirements for video handling and the dynamic speed range involved with ADSL, the industry also develops Video DSL (VDSL), for faster speeds within a lower dynamic range, allowing better design compromises and promising simplicity that will be reflected on prices. VDSL may later evolve to symmetrical service capabilities.

Comparing xDSL with competing technologies

Speed 128 kbps – 6 Mbps
Availability Limited to trials in Wellington and Auckland
Pros: Fast, always on, uses existing wiring
Cons: Limited availability, competing standards, need to be close to exchange

The alternatives :

ISDN - integrated services digital network

Speed 64 kbps – 128 kbps
Availability Nationwide
Pros: Mature technology
Cons: Relatively slow, per minute charges For a time this technology was heralded as a significant breakthrough in high-speed access technology. But ISDN fell short of the promise generated by decades of preliminary publicity. For one thing, by the time it was generally available, ISDN was no longer considered that fast even with two 64 k B-channels. The rapid development of the internet accelerated the demand for high-speed access and leapfrogged the data communication needs for which ISDN was designed.

Other problems with ISDN include the poor implementation in New Zealand and the relatively high cost for installation. The cost of the line itself is approximately $160 a month, and calls cost twice the standard national and international rate per 64 k channel, ie. if using the full 128 kbps the charges are four times standard rates.

Cable Modems

Speed 1.5 – 3 Mbps
Availability Only some small trials in Wellington and Auckland
Pros: Fast, always on
Cons: Limited availability, requires coaxial wiring to your house Cable modems, too, have been touted as a standard-bearer for the next generation of high-speed data access. Although this technology is growing and will continue to gain market share, it appears likely to be relegated a few isolated areas in New Zealand where cable companies are prepared to spend the large sums of money required to lay cable. Most trials in New Zealand have been curtailed due to the limited revenue streams cable can generate from home-users. It seems there is just so much we will pay to see another umpteen hundred TV channels.

Another downside of this technology is that cable modems use a shared line, which means bandwidth is not guaranteed. DSL comes to the user via a dedicated line, so bandwidth is guaranteed. The use of shared lines also means that access via cable modem is not secure, and that’s a major issue for business users.

56 k Modems: Singles or Pairs

Speed 53 kbps, 112 kbps paired
Availability Everywhere except paired units
Pros: Works on POTS, cheap, V90 standard set
Cons: Relatively slow, speed highly dependent on phone line quality Available for some time now, the 56 k modem is the most common type of fast internet connection that uses conventional analog technology and POTS. Although there were two competing proprietary standards, the ITU released its V.90 standard in February, but the standard only received final approval September 1998.

Aggregating (bonding) pairs of 56 k modems is a new concept that employs two modem chips, two analog lines, and two connections to an ISP, for a maximum download rate of 112 kbps and a maximum upload rate of 67 kbps.

Direct Broadcast Satellite

Speed 200 – 400 kbps
Availability IHUG offers line of sight from skytower or nationally via satellite
Pros: Fast download
Cons: Download only, requires satellite dish DBS service broadcasts data to reception dishes. It doesn’t rely on telephone or television wiring infrastructure, and all it takes is an 18- or 21-inch satellite dish and a provider service contract. Because digital satellite systems are highly reliable, they need fewer signal checks than analog lines, helping DBS systems reach download rates of up to 400 kbps. The actual DBS broadcast rate is 12 Mbps, but service providers such as IHUG quote peak rates of 200 to 400 kbps. A downside to DBS is that you need an analog modem and telephone line to send data.

What does it cost?
RADSL from Telecom New Zealand.

Proposed charges with
ADSL Modem Purchase
Proposed charges with ADSL Modem Lease
Installation

$300 $350 (including $50 for Ethernet card)
Modem

tbc $30 per month
ADSL access per month

$59 $59
XTRA internet service per month

$40 $40
Per megabyte, above free 300 MB

35c 35c
Total per month(300 MB or less)

$99 $129
Direct Broadcast Satellite from The Internet Group
There are two prices: the first depends on having a clear line of sight to the Auckland Skytower; otherwise a satellite covers the rest of New Zealand.

Line of Sight to Skytower Satellite System
$69.00 monthly fee $69.00 monthly fee
Flat rate - No time or data charge Flat rate - No time or data charges
Hardware with 45 cm dish is $599.00 Hardware with 90 cm dish is $650.00.
Dish installation is $99.00. Dish installation is $149.00.
What next?
The roll-out of broad-band services to home users is being pushed hard by the needs of the internet. If telephone companies do not move with RADSL fast enough, competing technologies such as IHUG’s satellite system will fill the gap. Once consumers have invested money in one system or another, it will take a considerable incentive to change. I for one would welcome a straightforward fixed rate charge for fast access to the internet, and I know my family would appreciate being able to use the phone in the evenings again!

Glossary

ADSL

Asymmetric Digital Subscriber Line: Consists of modems installed in the exchange and customer premises attached by twisted pair copper wiring that can transmit from 1.5 Mbps to 6.0 Mbps downstream (to the subscriber) and from 16 kbps to 800 kbps upstream, depending on line distance.

ISDN

Integrated Services Digital Network: A digital network with circuit and packet switching for voice and data communications at data rates up to 1.544 or 2.048 Mbps. Basic Rate Access (BRA) provides two B channels at 64 kbps each and a D channel at 16 kbps.

Downstream/Upstream

Downstream: refers to data flowing from the source such as a corporate host or internet service provider (ISP) to the end user.

Upstream: refers to data flowing from the end user back to the corporate host or ISP.

DSLAM

Digital Subscriber Line Access Multiplexer: specifically, a device that takes a number of DSL subscriber lines and concentrates these to a single ATM line

DSL Modem

Short for MOdulator-DEModular, this hardware device converts ATM cells to Ethernet packets and vice versa in the use of DSL.

Ethernet Connection

A high-speed, direct connection to a network where an Ethernet network interface card (NIC) is installed so that the user can access any host connected to the network.

POTS

Plain Old Telephone Service: the only name recognised around the world for basic analogue telephone service. In New Zealand also referred to as PSTN (Public Service Telephone Network). POTS takes the lowest 4 kHz of bandwidth on twisted pair wiring. Any service sharing a line with POTS must either use frequencies above POTS or convert POTS to digital and interleave with other data signals.

Splitter

Filters which separate high frequency (DSL) and low frequency (POTS - basic analogue telephone service) signals at both the end user and central office end points.

ADSL

Asymmetric Digital Subscriber Line: uses the frequency spectrum between 55 kHz and 1.1 MHz to carry data over a twisted pair copper line, usually a telephone line. This leaves the frequency spectrum between 300 Hz and 4 kHz free for the existing telephone service.

The ADSL system provides asymmetric data transmission with rates of up to 6 Mbps downstream (to the customer) and up to 800 kbps upstream

RADSL

Rate Adaptive ADSL

Simon Bunn, is an associate with Beca Carter Hollings & Ferner

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