Cost of 3G network can be 30% lower

September 14, 2004

The cost of building 3G networks can be cut by 30% - a figure that could save a network operator £300 million, according to UK-based 3G optimisation specialists Arieso.

Arieso identified the cost saving, which could further grow as the network grows, with figures taken from network trials carried out using Arieso's advanced optimising techniques. In one best case scenario, Arieso determined a potential saving of over 40%, with nearly half of the original sites installed by the operator found to be unnecessary. The reduced size network showed no loss of service or reduction of key performance indicators.

However, if the operator chooses to keep the original number of sites, the capacity of the optimised network can be doubled, the coverage improved, and the number of dropped calls reduced.

3G networks require a radically different approach to that of existing 2G and 2.5G networks. Operator foresight and optimisation is now proving critical in terms of developing the highest quality network in the most cost-effective manner.

Arieso's trials use intelligent network optimisation techniques based on operator data. The multimedia composition of 3G network traffic requires a much more sophisticated approach to implementing coverage and capacity to meet subscriber expectations.

Arieso chairman Mike Pinches explained: "Taking the UK as a 'typical' scenario, a network of around 10,000 sites would be required for national coverage. The average cost of a site is £100K including the building, radio and ancillary services, installation and commissioning, giving an investment of £1 billion.

"If the network is properly optimised prior to implementation, our trial results see an average saving of £300 million. If an existing network is optimised using the correct intelligent products, then sites proved to be 'surplus' to existing requirements can be used to provide extra capacity."