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2012 Sales Kickoff Competitive Landscape Proprietary and Confidential Outline Outline Duration: 45 minutes • • • • • • • Differentiators and positioning Ruckus Cisco GoNet BelAir Altai Summary Proprietary Information. 3 Differentiators and Positioning Alvarion Wi-Fi Key Differentiators • Technology differentiators • Two-way spatially adaptive Beamforming • Interference Immunity Suite • 900 Mbps per unit, three streams • 512 users per unit • 3x3 MIMO • High Gain Diversely Polarized (HGDP) antenna • Others • • IP-68, high EIRP, 4.9-5.9 GHs single HW Solution differentiators • • • Very flexible: bands, field-of-view WCPEn-2400-I, Market leading Wi-Fi CPE Built-in Access Controller Proprietary Information. 5 Alvarion Wi-Fi Key Differentiators • Value proposition • • • • • • Best coverage and capacity Best interference mitigation Lowest cost per sq-km • Superior in NLOS and high interference Best for BWA services • • Unique Beamforming indoor Wi-Fi CPE Superior indoor signal penetration Best for large venues (Airports, campus, stores, hotels… ) • Ubiquitous coverage with fewer units Experienced • • An Alvarion company – a wireless powerhouse Two decades of wireless broadband experience Proprietary Information. 6 Outdoor Wi-Fi Market & Positioning Alvarion is a Carrier Grade Wi-Fi Market Leader Ruckus Distribution Tropos Firetide Skypilot Cisco MikroTik Low-end WISPs $$$ per Account Ubiquiti High-end WISPs SPG Malls Hotels Oil & gas Mines Sea ports Air ports Safe City Carrier Access Service Direct Cisco Cellular Offloading Campus Alvarion-Wavion Altai, GoNet, BelAir Motorola Growth, $1B Market in 1-2 years Proprietary Information. 7 Ruckus Wireless Ruckus – in a nutshell • • • • • • • • • • Privately held Revenue 2011: $120M (estimated) HQ: Sunnyvale, CA, USA 300+ employees Solutions: Wi-Fi for enterprises/carriers, indoor/outdoor Customers: enterprises 70% and operators 30% Technology: 802.11a/b/g/n, adaptive antenna array, mesh Main partners: Alcatel-Lucent, Nokia Siemens • Distribution: 2,600 partners WW Main customers: AT&T, Deutsche Telekom, Swisscom, China Telecom, KDDI and Tikona Active WW, less in Africa Proprietary Information. 9 Ruckus Claim to Fame • • • • • Smart antenna selection for better coverage Tikona network KDDI win Perceived as low price Good CPE Proprietary Information. 10 Beamforming vs. Pattern Selection Ruckus Antenna Pattern Selection Alvarion Beamforming • • • • • • • Unique High Gain Diversely Polarized (HGDP) antenna array Exploits multipath Coherently combines all reflections Adapts per packet per user, tracks movements and noise variations Excels in NLOS and noise handling Excels in indoor penetration Max gain: 20 dB • • • Multiple low-gain antennas Selecting an antenna pattern from 4000+ patterns No coherent combing of reflections • “Try-and-error” over multiple packets • • Good for home usage (few of users, low interference, less dynamic) Max gain: (estimated) 10 dB Proprietary Information. 11 Indoor Competitive Test, Hanoi Vietnam 50m Site Alvarion Ruckus ATI lobby 35-50 Mbps 15-20 Mbps K. Ro Café 300 Kbps No Access K.R o Café 2nd floor 2 Mbps No Access Xe May Moto bike Garage 10-15 Mbps 1-2 Mbps Under construction House 15-20 Mbps 2-3 Mbps Computer Shop 2-4 Mbps No Access M&V Shop 15-20 Mbps No Access Grocery Shop 10-15 Mbps No Access Proprietary Information. 16 Outdoor Coverage Competitive Test • Light urban, heavy interference, laptop tests WBSn Sector Mbps Ruckus Sector On average, WBSn provides 50% greater ubiquitous coverage, and 50% higher capacity Proprietary Information. 17 Building Coverage Alvarion: Superior Radios Cover Building Using Fewer Units Alvarion Ruckus List price: $14,700 List price: $48,000 Proprietary Information. 18 Hotel Coverage Tests • • A test by a large hotel chain Thick concrete walls, reinforced with heavy metal structure LOCATIONS #1 #2 #3 #4 #5 #6 #7 #8 #9 #10 #11 #12 Results: • Undesirable results with BelAir and Ruckus • BelAir and Ruckus require additional equipment – expensive • Wavion is the preferred solution Proprietary Information. 19 Seoul International Airport, S. Korea • • KT “Ruckus failed in the airport due to coverage and throughput performance. … started checking Airport coverage with twelve Ruckus APs and had bad coverage and throughput. Then … tested Wavion and Wavion covered half the floor with one WBS2400-SCT. Still …decided to go with Ruckus as it got better throughput when tested Ruckus in short distances. After installing four Ruckus … got lots of dead spots and 20 meter-only coverage for the throughput measured in initial trials. … have decided to remove Ruckus and install four Wavion units.” Proprietary Information. 20 Ruckus Latest News • • ChannlyFly • A Buzz over “Online ACS” support Cellular data offloading • • Announced a GW on 2/11, still not in market Acquisitions of Intelinet and ComAbility • Different approaches – no focus Proprietary Information. 21 Tikona and KDDI Insights • Tikona India • • • • • • 40k 11g only Ruckus APs in 39 states Low QoS and a lot of technical issues Huge churn, 300k customers dropped to 100k Investors are not happy • • • Not profitable No additional POs for Ruckus over the last year Scanning for alternatives: 2.3 GHz spectrum, LTE, managed services… A bad Wi-Fi example for Indian operators KDDI Japan • • • Was planning 100,000 hotspots by 3/12 A couple of thousand indoor APs only are under installation A new RFI – released yesterday Proprietary Information. 22 Limited Actual Field Performances • • • ATI Vietnam • • Ruckus won the deal in 2010 The project is on hold: • Performance does not meet expectations in Hanoi (1st phase) • Limited coverage • Only LOS • Reasonable performance with Ruckus CPEs only • WBSn showed superior performances in trials PLDT • Ruckus failed the POC – low performance Other limitations • • ZD – a must, extra cost No good Omni solution – need 3x sectors – expensive and complex! Proprietary Information. 23 How to win Ruckus • • • • • Alvarion radio superiority • • • Much better in metro NLOS Much better in handling interference Much better in indoor signal penetration Business case advantage WCPEn-2400-I – the BWA Ace up the sleeve Leverage on Alvarion • Presence, support, distribution Tikona – a failure! Proprietary Information. 24 Cisco Systems Cisco in a nutshell • • • • • • • Public company Revenue 2011: ~$1.6B • 50% Enterprise WLAN market share HQ: San Jose, CA, USA Solutions: enterprise Wi-Fi, smart cities, carrier 3G/LTE offloading, outdoor/indoor Customers: enterprise, government, carriers Technology: 82.11a/b/g/n, mesh, CleanAir Active WW Proprietary Information. 26 Cisco Claim to Fame • • Complete solution • • • Indoor/outdoor AP Access Controllers Gateways Core integration Proprietary Information. 27 Metro Hot-Zone Cost Comparison Alvarion WBSn-2450 Cisco Aironet 1552 Ruckus ZoneFlex 7762(s) Costs per blanket sq-km coverage in urban area $3,500-$4,000 depending $3,000-$3,500 depending $2000, SW upgrades are on configurations on configurations priced separately Unit List Price AC license: $670 AC: $250-$450, per AP AC: $120-$225 per AP No need for redundancy - need redundancy need redundancy distributed architecture 8 18 15 Units required Better coverage due to superior radios Equipment cost (base $35,360 $69,300 $35,250 station and ACs) $2,800 $6,300 $5,250 Installation and backhauling costs $5,314 $11,853 $9,653 $64,728 $134,865 $88,763 Maintanace per year Total 5Y project cost Comment Price lists (to the best of our knowledge) BH: $500, 30% of sites Installation and commissioning: $200 per site Support: 1% of cost Electricity $120/site/Y Rental : $500 /site/Y Proprietary Information. 28 How to win Cisco • • • • Cisco is expensive Alvarion radio superiority • • • Much better at metro NLOS Much better at handling interference Much better at indoor signal penetration COST Alvarion is flexible and committed • Alvarion is big enough to deliver, and small enough to care Leverage on Alvarion • Presence, support, distribution Proprietary Information. 29 BelAir Networks BelAir in a nutshell • • • • • • • • • • • • Privately held • Comcast Venture, T-Mobile venture and others Revenue 2011: $40M-$50M (estimated) HQ in Kanata, Ontario, Canada 200 employees Solutions: small cell HetNet, metro Wi-Fi, outdoor and indoor Customers: Cable and mobile operators, governments and military Technology: 802.11, WiMAX, 3G/LTE, strand-mounting Main partners: Alcatel, Motorola, ip.access, Ericsson? Tessco Main customers: AT&T, Comcast, Cablevision, Time Warner A significant deployment: Times Square, NYC Mainly active in North America Marketing positioning: carrier Wi-Fi and small cell solutions Proprietary Information. 31 BelAir Latest News • Launched GigXOne solution in 11/2011 • • • • • New indoor AP (BelAir1000) New outdoor AP (BelAir 1100, 2x2:2 no BF) New Strand-mounting AP (BelAir3200, 3x3:3, standard BF) New controllers (BelAirCC8000, BelAirHZ4000) Targeting service providers – Hot zones, 3G/LTE offloading, campuses Proprietary Information. 35 How to Win BelAir • • • • Alvarion radio superiority • • • Much better at metro NLOS Much better at handling interference Much better at indoor signal penetration Belair has limited support outside Americas • No ETSI certification Belair cellular offloading solution focuses on tunneling, less practical for most operators Leverage on Alvarion • Presence, support, distribution Alvarion cuts the cost by 50% Proprietary Information. 36 GoNet GoNet Update • • 11a/g portfolio has come of age 11n is late, a new portfolio introduction is expected during 2012 • • Standard (1st generation) 11n 2x2 MIMO, uplink BF (MRC) only no TX BF Fully OEM based (AuteLAN, China, limited support capabilities) • Implies limited in-house resources MBW311/312 Indoor 20 dBm low power No BF Standard 2x2 MIMO Singe/dual radios 5.2, 5.3, 5.8 GHz support FIT/FAT IP TR-69, NMMP v2/v3 MBW 610 Outdoor Dual radio 5 GHz mesh Standard 2x2 MIMO No BF Access Controllers ACW 5608 (Pizza box) ACW 6810 (rack) Carrier grade 128 APs to 16k APs From 4096 users to 512k users CAPWAP, SNMP GRE tunneling Proprietary Information. 38 11g Comparison Tests Field Test Alvarion WBS-2400 GoNet MBW 1100 Lab Test Alvarion 11g clearly outperforms GoNet 11g Alvarion Beamforming GoNet Beam selection 6 radios, spatially adaptive BF per packet, exploits all propagation paths, ensure coherent combinations of signals at receiver’s antenna, 5-10 dB gain 4 radios, beam selection with 14 beam options, no exploitation of multipath, no adaptivity of beam pattern, decreased array gain in end-fire (due to linear array structure), 0-5 dB gain Proprietary Information. 39 How To Win GoNet • • GoNet solution is: • • • Old Low performance compared to Alvarion Expensive Expected GoNet 11n products are inferior GoNet Proprietary Information. 40 Altai Company in a Nutshell • • • • • • • • • • Privately held Revenue 2011: $10M-$20M (estimated) Based in Hong Kong 200 employees Solutions: BWA, rural, verticals, 3GO Technology: 802.11a/b/g/n, antenna selection • Spectrum: 2.4, 3.5, 4.9, 5.x GHz Largest deployment: 150 base stations, in Malaysia Mainly active in Asia, ME, US Marketing positioning: carrier-grade super Wi-Fi Latest PR: provided services on New Year’s Eve. Jan. 2012 based on A8-Ei with Fitel (ISP) Proprietary Information. 42 Altai A8 Portfolio Evolution A8 A8-Ei Omni Cumbersome Expensive b/g access + a BH 4 sectors 14 dBi, ant. selection Limited NLOS 6.5 kg, w/o ant. $3,400 (eBay) A8i Launched June/10 Sector 19 dBi b/g access Limited NLOS $1,600 Launched Feb/11 11a (BH) + b/g (access) 8 elements ant. selection, 14 dBi, -3dB at back Ant. section 10.5 kg - heavy A8n Launched June/11 (not on website) Cumbersome 11an (BH) + b/g/n (access) 2x2 MIMO, no BF 4 sectors, ant. section Limited NLOS Expecting (standard) 11n availability in 2012 Proprietary Information. 43 Altai A2 and A2e • Basic radio solutions • 802.11a/n (BH PTP/PTMP) • • • • 23 dBm, 5.150-5.825 GHz (partial 5.8) 802.11b/g/n (AP/CPE) • 26 dBm, 13 ch. • 2x2 MIMO, no BF Flexible field of view (No dual band Omni) Ant. Altai A2 Altai A2e 2.4 GHz 5 dBi Omni, ext. 12 dBi panel , ext. 13 dBi, panel, built-in 5 GHz 16 dBi panel, built-in 9 dBi Omni, ext. 20 dBi panel, ext. Alvarion WBSn-2450-OS/S WBSn-2450-SO/S IP-67 1st generation 11n equipment Proprietary Information. 44 How To Win Altai • • • • • Alvarion radio superiority • • • Much better at metro NLOS (not LOS) Much better at handling interference Much better at indoor signal penetration Altai 11n is basic and late • No BF, 2x2 MIMO Altai is expensive • • A8/A8n is expensive More base stations per sq-km WCPEn-2400-I – the BWA Ace up the sleeve Limited core integration experience Proprietary Information. 45 Summary Alvarion Wi-Fi Key Differentiators • Technology Differentiators • Two-way spatially adaptive Beamforming • Interference Immunity Suite • 900 Mbps per unit, three streams • 512 users per unit • 3x3 MIMO • HGDP antenna • • Solution Differentiators • Very flexible: bands, field-of-view • Built-in Access Controller • WCPEn-2400-I – best CPE in the market • Value Proposition • • • • • Best coverage and capacity Best interference mitigation Lowest cost per sq. km Best for BWA services Best for large venues Experienced • 15+ years of wireless and Wi-Fi Proprietary Information. 47 Thank You • • • Name: Lior Mishan E-Mail: [email protected] Phone: +972-54-5225756