I am a little perplexed reading the economics of overlay discussion.
The first paragraph below states that the GSM-CDMA solution costs "just 38% of the cumulative capital expenditure and 28% of the annual operational expenditure in year 2005" of a GSM expansion at 8kb/s.
It then goes on to say that for greenfield, a GSM-CDMA scenario "brings more modest cost benefits of
approximately 10 percent for 13 kb/s and 30 percent for 8 kb/s as compared to
GSM microcells. "
I gather this is just poorly written and means that while for overlay the savings are 100%-38% or 62% for capital and 100%-28% or 72% for operational expenditure, the savings for greenfield are only 10% and 30% for 13kb/s and 8 kb/s respectively (and doesn't distinguish between capital and operational costs).
The third paragraph seems to support this interpretation by saying the savings are 53% for overlay and 16% for greenfield.
Anybody else confused by the way this was reported?
The text follows:
* For the overlay scenario, a capacity driven situation, a GSM-CDMA (13
kb/s) solution costs just 38 percent of the cumulative capital expenditure and
28 percent of the annual operational expenditure in year 2005, as compared to
a GSM microcell solution (reuse factor of 12 to 15). Differences are even
more pronounced when considering GSM-CDMA 8 kb/s solution.
* For the greenfield scenario, a coverage driven situation with medium-
traffic demand, a GSM-CDMA solution brings more modest cost benefits of
approximately 10 percent for 13 kb/s and 30 percent for 8 kb/s as compared to
GSM microcells. This scenario utilized very conservative assumptions; for
example, a two-decibel (dB) link budget difference between GSM and CDMA was
used. It is recognized that for equivalent voice quality, a larger link
budget difference is appropriate. Additionally, spectrum constraints (5 MHz
only) or higher traffic demand increases the cost benefits of GSM-CDMA.
* In both "greenfield" and "overlay" network scenarios, the GSM-CDMA
solution brings significant spectrum savings: 53 percent and 16 percent
respectively. The extra spectrum can be used for new services, such as
wireless local loop or data, or to achieve higher subscriber penetration. |
