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Shanghai Bell IP core network three major upgrade strategies

Traditional IP core networks are under pressure to evolve in order to meet growing capacity demands. With the rapid growth of traffic, the adoption of 100/400G technologies, and the need to phase out outdated equipment, the evolution of IP core networks is now more critical than ever. Operators must explore effective strategies to evaluate different transformation options, optimize costs, and future-proof their infrastructure. Next-generation core routing platforms offer a powerful solution for operators looking to modernize their IP core networks. These platforms leverage breakthroughs in 100G Ethernet (GbE) IP delivery and 400Gb/s network processors, enabling more efficient and cost-effective network architectures. Bell Labs recently worked with a major European operator to help them address key challenges in their multi-level, dual-plane IP core network, which spans over 100 sites. The operator faced three main issues: underutilized link and node capacity, high operational costs, and the upcoming deregulation of IP peering, which would significantly increase traffic and change traffic patterns. To tackle these challenges and achieve cost reductions, Bell Labs collaborated with the operator to develop capacity and cost optimization strategies. Three key strategies were proposed: **Strategy 1: Improve Link Utilization** Increasing link utilization helps operators manage high-traffic networks while minimizing the impact on QoS for best-effort (BE) traffic. Critical traffic remains protected. The study showed that increasing utilization from 50% to 67% can save 23% in transmission costs, affecting only 12% of maximum flows. A jump to 80% utilization could result in 30% cost savings, impacting just 18% of peak traffic. **Strategy 2: Reduce the Number of IP Core Nodes** By reducing the number of backbone nodes, operators can cut capital expenditures (CAPEX), save space, and reduce energy consumption. For example, cutting the number of IP backbone nodes from 100 to 40 could lead to 23% CAPEX savings over five years and 48% savings in space and energy use. **Strategy 3: Adopt Next-Generation Core Routing Platforms** Platforms like the Alcatel-Lucent 7950 XRS offer greater scalability and efficiency. Early migration to such platforms can significantly lower long-term total cost of ownership (TCO). In the next five years, the new platform will occupy minimal rack space, unlike traditional routers that continue to require additional racks, leading to faster deployment and reduced maintenance costs. These strategies not only help operators adapt to changing network demands but also ensure they remain competitive in an evolving market. By embracing innovation and optimizing their infrastructure, operators can achieve both performance improvements and cost efficiencies.

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