With the recent introduction of low-power wide-area (LPWA) technologies and the industry buzz around 5G, it’s important to understand where these new technologies fit in and where existing 2G, 3G, and 4G LTE networks are going. While operators in many markets will continue to invest in maintaining and upgrading 2G networks in the foreseeable future, operators in other markets are sun-setting existing 2G and 3G services and transitioning to 4G LTE technologies. The following is a brief summary of the current and future cellular technologies.
2G
There are several varieties for GSM and CDMA networks, including GPRS and EDGE that range from 56Kbps to several hundred Kbps peak rate. They are mature, proven, widely deployed, and very inexpensive compared to 3G and 4G LTE. Yet, their characteristic low bandwidth and high latency, as well as the the threat of discontinued service in certain markets as operators begin sun-setting their 2G networks are considerable drawbacks. They are ideal for IoT applications requiring low bandwidth such as smart meters, personal healthcare devices, industrial equipment, vending machines, and other types of devices that transmit a very small amount of data. With the massive cost of upgrading devices in the field and the long life cycles typical of many of these devices, companies may want to consider migrating to LPWA technology now.
3G
GSM and CDMA networks offer higher-bandwidth, lower latency cellular broadband ranging from 200Kbps to several Mbps peak rate. They are proven, reliable, widely deployed, greater longevity compared to 2G, and relatively inexpensive compared to 4G LTE. However, their substantially lower bandwidth and higher latency than 4G LTE, as well as the future threat of discontinued service in certain markets is a definite drawback. They are ideal for IoT applications that do not require broadband connectivity. POS or ATM terminals, building automation, rugged handhelds and toll collection are all well suited to 3G networks. Given that there is already talk about operators sun-setting their 3G networks, companies may want to consider migrating to 4G LTE or an LPWA technology in the future depending on their application requirements.
4G
Services advertised as “4G” today encompass several different technologies, including 4G HSPA+ and 4G LTE that range from 100Mpbs to 1Gbps peak rate. They offerf substantially higher data rates, better penetration in buildings, and a fraction of the latency that 2G and 3G technologies experience. Although LTE network coverage has improved, it remains less widespread and much higher in cost compared to 2G and 3G. They are ideal for IoT applications requiring broadband connectivity such as video surveillance, info entertainment, telematics, and mission-critical networking applications. In addition to speed, responsiveness, and performance to support applications that were never possible before, 4G LTE can provide a superior user experience over 2G and 3G technologies. 4G LTE also provides a path to support low-power, low-bandwidth, low-cost applications making it the most flexible and future-proof cellular technology on the market.
Low Power Wide Area (LPWA)
There are three LPWA technologies from the 3GPP standards body known as Cat-M1 (aka LTE-M), Cat-NB1 (aka NB-IOT), and EC GSM-IOT that range from 20Kbps to several hundred Kbps. They are low-power, low-bandwidth, low-cost, and extended coverage compared to existing 4G LTE (ie. LTE Cat-3/4). Unfortunately, they are Emerging technology and not expected to be deployed by a variety of operators in 2017 with immediate availability varying by region. They are ideal IoT applications requiring low-power with extended coverage such as metering, agriculture, vehicle telematics, tracking, healthcare, and consumer products. With a price point comparable to 2G and many short-range technologies, many applications that could never afford cellular, can now take advantage of all the benefits that cellular brings. Given that there is already a stepping stone to LPWA with 4G LTE Cat-1 networks today and that LPWA networks will start to become available in the first half of 2017, now is the time to begin developing low-power, low bandwidth applications and migrate to Cat-M1 or Cat-NB1 when it makes sense to do so for the regions you are deploying into.
The Prospects of 5G
There is still ongoing work within the 3GPP standards body, but 5G is starting to come into focus with a goal of supporting 10Gbps. They will incorporate both 4G LTE mobile broadband and LPWA features as well as new use-cases around high reliability (5 nines) and ultra-low latency (10-15 times more responsive than 4G LTE). The downside of 5G is that it's not expected to be standardized in 2018 with commercial rollouts expected to begin in 2019. But it will be ideal for millions of devices in small spaces with flexibility for both high and low bandwidth applications. Like any evolution in technology, 5G is being designed as the long-term replacement for 2G, 3G, and 4G LTE technologies.
Planning for Future Cellular Technologies
Globally, 2G and 3G networks are still going strong, supporting millions of customers and machines – and likely will continue doing so for many years. However, it is clear that both 2G and 3G services have reached a transition point in certain markets. Latin America, Russia, the Middle East, Africa and parts of Asia continue to see investment and expansion of 2G networks with no signs of slowing down. But there will come a time at some point in the future when companies will need to beginthinking about scaling beyond 2G-exclusive products. North America, Australia, South Korea and Japan have already capped 2G services and begun re-farming wireless spectrum. The GSMA reports that most advanced LTE operators in the United States and Australia will have entirely migrated their 2G-only connection bases to 4G by 2020.
Companies with deployments on 2G will need to evaluate whether or not it makes sense to begin migrating from 2G to EC GSM-IOT (2G based LPWA technology) or to a 4G LTE Cat-M1 or Cat-NB1 (LTE based LPWA technologies). And companies that are considering adding cellular for the first time should consider starting on 4G LTE as most module vendors provide 2G and 3G fallback options, and 4G LTE provides the most future-proof path for long-term deployments. Selecting wireless technology with footprint compatibility among 2G, 3G and 4G LTE modules (including LPWA) is a must, so when you do need to upgrade from 2G or 3G services in the future, you can simply replace the wireless module in your existing design rather than developing a whole new platform.
To learn more about the emerging cellular technologies and how to plan for them, please download the attached document (below) by Sierra Wireless called "Planning a Scalable Long-Term Wireless Strategy."
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Project mangOH
by Sierra Wireless is an open source reference design for the CF3 form factor modules, including Sierra Wireless WP Series & HL Series. When used with WP Series, it provides an out-of-the box wireless and cloud connected reference design, and enables rapid prototyping of new ideas for IoT developers. With its Arduino connector and its 3 IoT connectors fully supported by the Legato platform, you can try out multiple wireless and sensor technology combinations to best meet your specific use-case requirements. Once your prototype is complete, you can then reuse the industrial-grade design and IoT modules in final production.
 | Planning a Scalable Long-Term Wireless Strategy.pdf |