Optical Connections Industry Focus 2022-2023

FADY MASOUD XR OPTICS

CAPACITY AND INTELLIGENCE WITHOUT COMPLEXITY The breakthrough architectural approach of XR Optics has major implications across access, aggregation, and metro optical networks, including: • Significant TCO reduction: XR Optics allows one or multiple low-speed transceivers to connect directly to a high-speed transceiver in a point-to- multipoint configuration, reducing the number of optical transceivers in the network by approximately 50% and removing numerous Layer 1/2 traffic aggregation platforms for a significant reduction in total cost of ownership (Figure 2). A technical-economic analysis performed on BT’s network, which consisted of 226 horseshoe networks connecting 880 intermediate nodes and was representative of a wide range of metro networks across a national geography, revealed a TCO savings of 76% over five years compared to a traditional architecture-based on ROADMs and point-to-point transponders.

• Standards-based solutions: For a technology to be pervasive throughout the network, it must be standards- based. The Open XR Forum fosters collaboration between its members – 25 and counting, from network operators, network equipment manufacturers, and component/subsystem vendors – to accelerate the adoption of intelligent coherent pluggables and drive standardisation of networking interfaces to ensure multi-vendor interoperability and an open, multi-source solution ecosystem. • Flexible Management: Today’s coherent pluggables are managed using a register-based standardised information model that the host device and pluggable module must support to achieve interoperability. This approach has drawbacks when it comes to more advanced networking features, and furthermore, it ties together management with the host device’s deployment cycles. As coherent pluggables absorb more functionality and expand their range of possible host devices beyond IP devices, their management becomes complex. The Open XR Forum issued specifications introducing a dual-management paradigm allowing for disaggregated network management of Open XR intelligent coherent pluggables. This architecture preserves the current register-based management path for applications and features supported in existing and future MSAs while introducing a “dual-management” IP/ Ethernet paradigm. This accelerates deployment of innovative features and rapid introduction of advanced applications with virtualised transport functionality, without the delay of co- development and deployment on each hosting device in the network. Although conceived as a method to rapidly introduce point-to-multipoint coherent optical applications, it also introduces advanced transport features and remote management for point-to-point applications. Intelligent system-level features such as streaming telemetry, dynamic capacity allocation, and intergenerational interworking are also key XR Optics capabilities. • Multigenerational network architecture: Network technologies need to scale to higher speeds seamlessly and quickly with minimal disruption of day-to-day operations. XR Optics’ unique ability for low-speed transceivers to communicate directly and simultaneously with a high-speed hub transceiver simplifies

This leads to maximised ROI and faster time to market for next-generation business services. • Order of magnitude capacity increase: Current access technology caps capacity at 10G to 40G. Extending coherent technology from the core to the edge/ access raises the bar for capacity to 400G and beyond. This enables highly scalable optical transport technology across the network while meeting current and future capacity demands for a future- proof network. • Software-defined capacity allocation: The increase in connected devices and the bandwidth they consume exacerbates the strain on networks, increasing manual interventions and truck rolls. XR Optics enables dynamic, rapid capacity allocation by assigning more digital subcarriers, without complex planning and time-consuming truck rolls. Capacity can be allocated permanently or for a certain period, and this process can be performed manually or automated.

Figure 2: Network simplification through equipment reduction (Source: Infinera)

• High-volume manufacturability: In the volume-driven metro access/ edge market, networking equipment must be cost-effective. Though coherent technology is technologically sophisticated, extending it to the edge requires meticulous design, with compact footprint, low power consumption, cost-effectiveness, and high-volume manufacturability. This can be achieved through a high level of monolithic integration and intelligent design of key building blocks such as the digital signal processor (DSP) and transmit/receive optical sub-assembly (TROSA). Compact, powerful, low-power DSPs deliver advanced modulation schemes, support point-to-point and point-to-multipoint with digital subcarriers, provide virtual transponder capabilities, and enhance management. Monolithic vertical integration can deliver a highly integrated TROSA with leading optical performance, greater reliability, and high-volume manufacturability.

• Simplified architecture: Like many access network technologies, XR Optics is based on a broadcast architecture. Leveraging Nyquist digital subcarrier technology, a single 400 Gbps transceiver can generate 16 x 25 Gbps lower-speed subcarriers that can be steered to different destinations. It brings coherent technology to PON networks, supporting single-fibre and dual-fibre networks, as well as symmetrical and asymmetrical traffic flows. XR Optics enables an order- of-magnitude increase in capacity with the ability to support terabits of capacity on existing single-fibre infrastructure with programmable DWDM support. It enhances flexibility with programmable

baud rates and/or per-subcarrier channel power to extend reach

network capacity expansion by decoupling node upgrades from

where needed. XR Optics can also be seamlessly deployed over existing fibre infrastructure leveraging building blocks such as splitters, filters, and amplifiers, enabling smooth integration of coherent technology into direct-detect networks.

network-wide upgrades, enabling certain spans/links or nodes to be upgraded to higher capacity while the rest of the network remains unimpacted. This aligns capex with actual capacity demands.

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INDUSTRY FOCUS 2022/2023

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