George Wu

1
WiMAX Technology and DeploymentFujitsu
Perspective

• George Wu
• Director of Marketing
• Technology Solutions/ASSP
• Fujitsu Microelectronics America, Inc.

Information Technology Association of America
(ITAA) Webcast October 19, 2004
2
Agenda

• Introducing Fujitsu
• Fujitsu Wireless Strategy
• WiMAX Deployment Fujitsu Perspective

3
Introducing Fujitsu
4
Fujitsu at a Glance

• Fujitsu is a leading provider of customer-focused
  IT and communications solutions for the global
  marketplace. Comprising more than 500
  subsidiaries and affiliates, the Fujitsu Group
  operates in more than 60 countries across the
  globe.
• Established June 1935
• Stock Exchange Listings Tokyo, Osaka, Nagoya,
• 
  Frankfurt, London, Swiss
• Consolidated Revenues US45 billion
• Employees 157,000 worldwide
• RD Expenditure US2.4 billion
• Principal Business Areas Software Services,
  Platforms, Electronic Devices

Note FY2003 consolidated net sales US1106
WW employees as of March 31, 2004
5
Fujitsu Limited Unique Value Proposition

• Our technologies, platforms and services form
  an integrated value chain that enables us to
  provide customers with complete, end-to-end
  solutions

Customers
Customers
Customers
(Electronic Devices)
6
Fujitsu Electronic Devices Group (EDG)
Global Presence / Globalization
7
Global R D Centers Development Emphasis
Japan FUJITSUAkiruno Technology Center FDI, FVD,
KFJ, FLS
Europe FME Frankfurt, Munich, Maidenhead

• ASIC, MCU, RF, Mixed-Signal, Flash
• Mobile, W-CDMA
• In-Car Multimedia

• ASIC, MCU, ASSP, Bi-CMOS
• Digital AV (DSC, DTV, DVC)
• Mobile, W-CDMA
• In-Car Multimedia
• Basic Technology
• Basic Products, Advanced System LSI

USA FMA Sunnyvale, Dallas

• ASIC, MCU, Technology Solutions
• BWA (WiMAX, UWB)
• Networking
• Automotive
• Consumer
• Industrial
• Security

Asia FMAL Singapore, Hong Kong, Shanghai,
Shenzhen

• ASIC, MCU, Flash, Analog
• Consumer
• PC/PC Peripheral

8
FMA Market Segment and Product Focus

• Key Market Segments
• Networking
• Metro / Enterprise / Access
• Storage (ASIC)
• Wireless (BWA UWB)
• Automotive (GDC)
• Consumer / Industrial
• Security (ASIC)

• Key Products Services
• ASICs / AccelArray
• MCUs
• Selected ASSPs
• FRAM
• Memory (FCRAM)
• Biometric Sensors
• Displays
• Wafer Fab Services
• Packaging Services

9
Fujitsu Wireless Strategy
10
Wireless Market at a Glance
Satellite
Cellular
Global
MAN (Fixed Wireless)
GSM/CDMA (3G)
802.16x, LMDS/MMDS/WLL
LAN
802.11x, HiperLAN
PAN
Narrowband
Broadband
Bluetooth, UWB
PAN LAN MAN 3G
Cellular Satellite Cordless Phones
WLANs Residential Towers Multimedia
(Voice, Global Cellular Phones PCs
Hotels Businesses Video, Data) GPS PDAs
Retail SoHo Cellular
Phones Home Gateways Conference
Business
Max. bandwidth up to 128Kbps Min. bandwidth of
200Kbps
11
Broadband Wireless

• Present Time
• Proprietary solutions
• Expensive equipment for the consumer
• Limited market exposure
• Looking Ahead
• WiMAX standardization
• High data rates
• Long range
• Scalable system capacity
• Low-cost equipment for the consumer
• Vendor interoperability
• Quality of service

Limited Growth
Expanded Growth
Fixed BWA
Mobility
12
Wireless Strategy
WiMAX 802.16 3rd gen
WiMAX 802.16REVd
WiMAX 802.16.e
MAN
Cellular
3G
Participation through Partnerships with CUSTOMERS
Switched and Higher-rate Wi-Fi
Wi-Fi with QoS, Security ...
Wi-Fi 802.11a/b/g
LAN
UWB-based Wireless USB
Standard Ultra-wideband (802.15.3a)
Proprietary Ultra-wideband
UWB-based Wireless 1394
Bluetooth v2.0
PAN
Bluetooth v1.1
Zigbee
CY2004
CY2003
CY2006
CY2005
CY2007
13
Fujitsus WiMAX Advantages

• One of the founding members of the WiMAX Forum
• Full commitment to the WiMAX cause from the
  get-go
• Longstanding System-on-a-chip (SoC) design
  experience in the telecommunication and
  networking areas
• Extensive experience in embedding high speed
  ADC/DAC into SoC
• Extensive embedded processor experience for ARM
  and ARC
• Proven deep submicron process technology with a
  roadmap beyond 90nm
• Rich package lineup to suit a large variety of
  wireless applications

14
WiMAX Deployment
15
WiMAX a Trillion Dollar Holy Grail!

• Finally, a wireless technology that holds the
  potential of fulfilling so many promises
• Tremendous curb appeal a powerful
  price/performance duo
• Narrow the digital divide between developed and
  developing nations
• Zip information straight to the doorsteps of
  rural communities
• Give cable, DSL and T1/E1 a run for their money
  in some areas
• When Wal-Mart enters the BWA game, wed better
  pay attention

16
Market Perception
WiMAX The (Next) Great Wireless Hope
WiMAX in Focus
Hot Spots Wont Be Limited For Long
WiMAX Promises Breakthrough in Broadband Access
Waiting for WiMAX
WiMAX Worth Watching
The Next Big Thing For Wireless?
10 Technologies to Watch in 2004
Most Promising Technology of the Year
17
What is WiMAX?

• A non line-of-sight broadband wireless
  standard capable of
• transmitting massive information over long
  distances
• Offers new and exciting opportunities to
  established and newly
• emerging companies
• Can go places where no wired infrastructure can
  reach
• Backhauling Wi-Fi hotspots cellular networks

18
Radio Frequency Spectrum
Low/Mid UNII-band (802.11a) 5150-5350
Upper UNII-band 5725-5850
3.5GHz band 3400-3600
MMDS 2500-2690 2700-2900
3300-3400
WRC (new) 5470-5725
ISM (11b/g) 2400-2480
US WCS 2305-2320 2345-2360
WiMAX profiles available
Future WiMAX profiles
WiFi
Note also keep an eye out for 4.3GHz (emergency
band), 4.9GHz (public safety band)
19
The WiMAX Benefits

• Pre-Standard
• Proprietary, vertical solutions
• No volume-silicon market

• Post-Standard
• Equipment interoperability
• Economies of scale
• Superior price/performance

Equipment Mfrs Focus
Large revenue opportunities Large
revenue opportunities
20
WiMAXs Key Success FactorsSome Salient Examples

• Plenty of available spectrums both
  license-exempt and licensed
• Full service offerings from the carriers and
  service providers to sustain steady revenue
  growth
• Scalable and affordable standard-based
  semiconductor solutions
• Cost-effective base station and subscriber
  station equipment offering carrier-class feature
  sets
• On-time Plugfest activities through the WiMAX
  Forums designated test lab(s)
• Strong backing from the government of each nation
  that deeply acknowledges the technology and its
  economic impact

21
BWA Market Structure
22
WiMAX Market Structure
And more and more companies are entering the
WiMAX zone!
23
WiMAX a Borderless World
A fantasy comes true for fixed and mobile
wireless users worldwide
24
Who are the Customers?
Enterprise Academic Campuses
Baby Bells
Mass Consumer Market
Cellular Operators
WISP
Public Safety Agencies
Wireless Consumer Gadget Makers
Laptop, Cell Phone, PDA
Others
BWA Equipment Makers
Fixed Wireless (802.16REVd)
Mobile Wireless (802.16e)
ODM
IDM (Fujitsu)
Fabless Semi
25
The WiMAX Deployment Phase
Fixed Wireless (Outdoor)
Fixed WiMAX (Indoor)
Mobile WiMAX
2005
2007 (earliest)
Likely to occur after 2008
Where forced air cooling is not possible inside
the CPE. Where natural air cooling is not
possible inside the CPE.
26
Deployment Outlook (1)

• WiMAX deployment will happen globally as each
  countrys need arises
• There will be activities in Asia (e.g. China),
  Europe (e.g., U.K., France) and North America
• Other geographical areas like Latin America, the
  Middle East and Africa may jump into the WiMAX
  fray once full interoperability and compliance
  can be realized
• 2005 System-level plugfest(s) and very
  small-scale product ramp (Note 802.16REVd-based
  solutions will reign in this period)
• 2006 Small to moderate production ramp (Note
  802.16REVd-based solutions will continue to reign
  in this period 802.16e-based SoC design start
  activities will be rampant.)
• 2007 2008 Moderate to large production ramp
  for 802.16REVd-based solutions (Note both 802.16
  REVd- and 802.16e-based solutions will co-exist)
• Beyond 2008 802.16e-based solutions may
  dominate the mobile wireless market

27
Deployment Outlook (2)

• The initial fixed wireless (802.16REVd)
  deployment involves non-cellular data-networking
  applications only
• Spearheaded by companies with (proprietary OFDM)
  system shipments
• Small-town or city trials and rural-area launches
  by WISPs or Baby Bells
• Rollout scheme
• Deploying WiMAX Certified base stations first
  followed by introducing attractive sign-up
  packages (i.e. reduced CPE price in exchange for
  long-term service contracts) to increase CPE
  sales
• First-generation CPEs will be outdoor types
  followed by indoor CPEs in subsequent generations

28
Deployment Outlook (3)

• With an increasing number of WiMAX Certified CPEs
  in the market, BWA system companies will
  gradually OEM their CPEs or narrow their product
  focus to base stations only to avoid price
  erosion in access equipment
• Thanks to the availability of license-exempt
  frequency bands, a handful of CPE start-ups will
  run trials with new and existing WISPs in remote
  areas and less populated towns
• There will be several LSI providers for
  802.16REVd
• However, the competitive landscape for 802.16e
  will witness more fabless semi companies and IDMs
  competing with feature-rich SoC solutions for the
  mobile wireless market

29
The WiMAX Ecosystem
Non Line-of-Sight Point to Multi-Point
Line-of-Sight Backhaul
802.16d
802.16
Telco Core Network or Private (Fiber) Network
INTERNET BACKBONE
30
An Observers PerspectiveSome Provocative
Thoughts

• An exciting time for those who cherish the WiMAX
  potential
• Fixed wireless deployment based on the 802.16REVd
  standard will see moderate growth over the next
  few years
• Wired and wireless technologies will co-exist
  together in many places
• Wi-Fi lacks the technological attributes (e.g.
  distance) to compete with WiMAX in the near
  future (or can it?)
• The battle between 3G, 3.5G and 802.16e will take
  the center stage after 2008 (or will it?)
• Another opportunity of a lifetime for start-ups
  to shine
• MA activities will kick into full gear once
  interoperability has been tested and proven
• Traditional WLAN box makers like Linksys and
  Netgear may jump into the act once the market for
  fixed wireless access has been validated

31
Why Fujitsu for WiMAX?

• One of the two major integrated baseband LSI
  suppliers
• Fujitsu will provide a complete RFBB WiMAX
  Certified solution
• Flexible and scalable SoC architecture
• SoC solution capable of supporting base stations
  and subscriber stations
• Low external component count
• Market-enabling schedule
• Competitive pricing
• Full product roadmap commitment

32
(No Transcript)