Customer-premises equipment
Encyclopedia
Customer-premises equipment or customer-provided equipment (CPE) is any terminal
and associated equipment located at a subscriber's premises and connected with a carrier
's telecommunication
channel
(s) at the demarcation point
("demarc"). The demarc is a point established in a building
or complex to separate customer equipment from the equipment located in either the distribution infrastructure
or central office of the Communications Service Provider
.
CPE generally refers to devices such as telephone
s, routers, switch
es, residential gateway
s (RG), set-top box
es, fixed mobile convergence products, home network
ing adaptors and internet access gateways
that enable consumers to access Communications Service Providers' services and distribute them around their house via a LAN
(Local Access Network).
Also included are key telephone system
s and most private branch exchanges. Excluded from CPE are overvoltage
protection equipment and pay telephones.
CPE can refer to both devices purchased by the subscriber and provided by the operator or service provider.
Under the Bell System
monopoly in the United States (post Communications Act of 1934
), the Bell System owned the phones, and one could not attach one's own devices to the network, or even attach anything to the phones (a popular saying was "Ma Bell has you by the calls"). Thus phones were property of the Bell System, located on customers' premises – hence, customer-premises equipment. In the U.S. Federal Communications Commission
(FCC) proceeding the Second Computer Inquiry
, the FCC ruled that telecommunications carriers could no longer bundle CPE with telecommunications service, uncoupling the market power of the telecommunications service monopoly from the CPE market, and creating a competitive CPE market.
With the gradual breakup of the Bell monopoly, starting with Hush-A-Phone v. United States [1956], which allowed some non-Bell owned equipment to be connected to the network (a process called interconnection
), equipment on customers' premises became increasingly owned by customers, not the telco. Indeed, one eventually became able to purchase one's own phone – hence, customer-provided equipment.
In the Pay TV industry many operators and service providers offer subscribers a set-top box
with which to receive video services, in return for a monthly fee. As offerings have evolved to include multiple services [voice and data] operators have increasingly given consumers the opportunity to rent additional devices like access modem
s, internet gateways and video extenders that enable them to access multiple services, and distribute them to a range of Consumer Electronics
devices around the home.
operators looking for a way to deliver video services via both traditional broadcast
and broadband
IP networks. Spain’s Telefonica
was the first operator to launch a hybrid broadcast and broadband TV service in 2003 with its Imagineo DTT
/IPTV
offering, while Polish satellite operator 'n
' was the first to offer its subscribers a [Three-way hybrid]] (or Tri-brid) broadcast and broadband TV service, which launched in 2009
is used in the digital TV industry to describe a piece of consumer hardware that enables them to access both linear broadcast and internet-based video content, plus a range of interactive services like Electronic Programme Guides (EPG), Pay Per View (PPV) and Video on Demand
(VOD) as well as internet browsing, and view them on a large screen television set. Unlike standard set-top boxes , which sit on top of or below the TV, a set-back box has a smaller form factor to enable it to be mounted to the rear of the display panel flat panel TV, hiding it from view.
is a home networking device used to connect devices in the home to the Internet or other WAN
.
It is an umbrella term, used to cover multi-function networking appliances
used in homes, which may combine a DSL modem or cable modem
, a network switch
, a consumer-grade router, and a wireless access point
. In the past, such functions were provided by separate devices, but in recent years technological convergence
has enabled multiple functions to merged into a single device.
One of the first home gateway devices to be launched was selected by Telecom Italia to enable the operator to offer triple play services in 2002 . Along with a SIP VoIP handset for making voice calls, it enabled subscribers to access voice, video and data services over a 10MB symmetrical ADSL fiber
connection.
at the IBC exhibition in Amsterdam. The ADB Virtual Gateway uses software that resides within the middleware and is based on open standards, including DLNA home networking and the DTCP-IP standard, to ensure that all content, including paid-for encrypted content like Pay TV
services, can only be accessed by secure CE devices.
radio
that is installed at a business or residential location to connect to an access point
to send/receive high speed data wired or wirelessly. Devices commonly referred to as a subscriber unit include cable modem
s,, access gateways, home networking adapters and mobile phone
s.
circuit, such as an ISDN, E-carrier
/T-carrier
, DSL, or metro Ethernet
. This includes any customer-owned hardware at the customer′s site: routers, firewall
s, switch
es, PBXs, VoIP
gateways, sometimes CSU/DSU
and modem
s.
Application Areas
Terminal (telecommunication)
In the context of telecommunications, a terminal is a device which is capable of communicating over a line. Examples of terminals are telephones, fax machines, and network devices - printers and workstations....
and associated equipment located at a subscriber's premises and connected with a carrier
Common carrier
A common carrier in common-law countries is a person or company that transports goods or people for any person or company and that is responsible for any possible loss of the goods during transport...
's telecommunication
Telecommunication
Telecommunication is the transmission of information over significant distances to communicate. In earlier times, telecommunications involved the use of visual signals, such as beacons, smoke signals, semaphore telegraphs, signal flags, and optical heliographs, or audio messages via coded...
channel
Channel (communications)
In telecommunications and computer networking, a communication channel, or channel, refers either to a physical transmission medium such as a wire, or to a logical connection over a multiplexed medium such as a radio channel...
(s) at the demarcation point
Demarcation point
In telephony, the demarcation point is the point at which the public switched telephone network ends and connects with the customer's on-premises wiring. It is the dividing line which determines who is responsible for installation and maintenance of wiring and equipment -- customer/subscriber, or...
("demarc"). The demarc is a point established in a building
Building
In architecture, construction, engineering, real estate development and technology the word building may refer to one of the following:...
or complex to separate customer equipment from the equipment located in either the distribution infrastructure
Infrastructure
Infrastructure is basic physical and organizational structures needed for the operation of a society or enterprise, or the services and facilities necessary for an economy to function...
or central office of the Communications Service Provider
Communications Service Provider
A communications service provider or CSP is a service provider that transports information electronically. The term encompasses public and private companies in the telecom , Internet, cable, satellite, and managed services businesses.The market in which a communication service provider specializes...
.
CPE generally refers to devices such as telephone
Telephone
The telephone , colloquially referred to as a phone, is a telecommunications device that transmits and receives sounds, usually the human voice. Telephones are a point-to-point communication system whose most basic function is to allow two people separated by large distances to talk to each other...
s, routers, switch
Switch
In electronics, a switch is an electrical component that can break an electrical circuit, interrupting the current or diverting it from one conductor to another....
es, residential gateway
Residential gateway
A residential gateway is a home networking device, used as a gateway to connect devices in the home to the Internet or other WAN.It is an umbrella term, used to cover multi-function networking computer appliances used in homes, which may combine a DSL or cable modem, a firewall, a consumer-grade...
s (RG), set-top box
Set-top box
A set-top box or set-top unit is an information appliance device that generally contains a tuner and connects to a television set and an external source of signal, turning the signal into content which is then displayed on the television screen or other display device.-History:Before the...
es, fixed mobile convergence products, home network
Home network
A home network or home area network is a residential local area network . It is used for communication between digital devices typically deployed in the home, usually a small number of personal computers and accessories, such as printers and mobile computing devices...
ing adaptors and internet access gateways
Gateway (telecommunications)
In telecommunications, the term gateway has the following meaning:*In a communications network, a network node equipped for interfacing with another network that uses different protocols....
that enable consumers to access Communications Service Providers' services and distribute them around their house via a LAN
Län
Län and lääni refer to the administrative divisions used in Sweden and previously in Finland. The provinces of Finland were abolished on January 1, 2010....
(Local Access Network).
Also included are key telephone system
Key telephone system
A business telephone system is any of a range of a multiline telephone systems typically used in business environments, encompassing systems ranging from small key systems to large scale private branch....
s and most private branch exchanges. Excluded from CPE are overvoltage
Overvoltage
When the voltage in a circuit or part of it is raised above its upper design limit, this is known as overvoltage. The conditions may be hazardous...
protection equipment and pay telephones.
CPE can refer to both devices purchased by the subscriber and provided by the operator or service provider.
History
The two phrases, "customer-premises equipment" and "customer-provided equipment", reflect the history of this equipment.Under the Bell System
Bell System
The Bell System was the American Bell Telephone Company and then, subsequently, AT&T led system which provided telephone services to much of the United States and Canada from 1877 to 1984, at various times as a monopoly. In 1984, the company was broken up into separate companies, by a U.S...
monopoly in the United States (post Communications Act of 1934
Communications Act of 1934
The Communications Act of 1934 is a United States federal law, enacted as Public Law Number 416, Act of June 19, 1934, ch. 652, 48 Stat. 1064, by the 73rd Congress, signed by President Franklin D. Roosevelt, codified as Chapter 5 of Title 47 of the United States Code, et seq. The Act replaced the...
), the Bell System owned the phones, and one could not attach one's own devices to the network, or even attach anything to the phones (a popular saying was "Ma Bell has you by the calls"). Thus phones were property of the Bell System, located on customers' premises – hence, customer-premises equipment. In the U.S. Federal Communications Commission
Federal Communications Commission
The Federal Communications Commission is an independent agency of the United States government, created, Congressional statute , and with the majority of its commissioners appointed by the current President. The FCC works towards six goals in the areas of broadband, competition, the spectrum, the...
(FCC) proceeding the Second Computer Inquiry
Second Computer Inquiry
The Second Computer Inquiry is the second proceeding in the FCC trilogy The Computer Inquiries, which created the FCC's policy of regulating the way in which telecommunications carriers' networks are opened up and made available to enhanced services...
, the FCC ruled that telecommunications carriers could no longer bundle CPE with telecommunications service, uncoupling the market power of the telecommunications service monopoly from the CPE market, and creating a competitive CPE market.
With the gradual breakup of the Bell monopoly, starting with Hush-A-Phone v. United States [1956], which allowed some non-Bell owned equipment to be connected to the network (a process called interconnection
Interconnection
In telecommunications, interconnection is the physical linking of a carrier's network with equipment or facilities not belonging to that network...
), equipment on customers' premises became increasingly owned by customers, not the telco. Indeed, one eventually became able to purchase one's own phone – hence, customer-provided equipment.
In the Pay TV industry many operators and service providers offer subscribers a set-top box
Set-top box
A set-top box or set-top unit is an information appliance device that generally contains a tuner and connects to a television set and an external source of signal, turning the signal into content which is then displayed on the television screen or other display device.-History:Before the...
with which to receive video services, in return for a monthly fee. As offerings have evolved to include multiple services [voice and data] operators have increasingly given consumers the opportunity to rent additional devices like access modem
Modem
A modem is a device that modulates an analog carrier signal to encode digital information, and also demodulates such a carrier signal to decode the transmitted information. The goal is to produce a signal that can be transmitted easily and decoded to reproduce the original digital data...
s, internet gateways and video extenders that enable them to access multiple services, and distribute them to a range of Consumer Electronics
Consumer electronics
Consumer electronics are electronic equipment intended for everyday use, most often in entertainment, communications and office productivity. Radio broadcasting in the early 20th century brought the first major consumer product, the broadcast receiver...
devices around the home.
Hybrid devices
The growth of multiple-service operators, offering triple or quad-play services, required the development of hybrid CPE to make it easy for subscribers to access voice, video and data services. The development of this technology was led by Pay TVPay TV
Pay television, premium television, or premium channels refers to subscription-based television services, usually provided by both analog and digital cable and satellite, but also increasingly via digital terrestrial and internet television...
operators looking for a way to deliver video services via both traditional broadcast
Broadcast
Broadcast or Broadcasting may refer to:* Broadcasting, the transmission of audio and video signals* Broadcast, an individual television program or radio program* Broadcast , an English electronic music band...
and broadband
Broadband
The term broadband refers to a telecommunications signal or device of greater bandwidth, in some sense, than another standard or usual signal or device . Different criteria for "broad" have been applied in different contexts and at different times...
IP networks. Spain’s Telefonica
Telefónica
Telefónica, S.A. is a Spanish broadband and telecommunications provider in Europe and Latin America. Operating globally, it is the third largest provider in the world...
was the first operator to launch a hybrid broadcast and broadband TV service in 2003 with its Imagineo DTT
Digital terrestrial television
Digital terrestrial television is the technological evolution of broadcast television and advance from analog television, which broadcasts land-based signals...
/IPTV
IPTV
Internet Protocol television is a system through which television services are delivered using the Internet protocol suite over a packet-switched network such as the Internet, instead of being delivered through traditional terrestrial, satellite signal, and cable television formats.IPTV services...
offering, while Polish satellite operator 'n
N (Poland)
n is a Polish DTH platform. It was launched on October 12, 2006 and is owned by ITI Neovision. On June 30, 2011 the company had reached 826,000 subscribers.- Channels :There are currently:* 94 encrypted channels...
' was the first to offer its subscribers a [Three-way hybrid]] (or Tri-brid) broadcast and broadband TV service, which launched in 2009
Set-back Box
The term Set-Back BoxSet-Back Box
The term set-back box is used in the digital TV industry to describe a piece of consumer hardware that enables them to access both linear broadcast and internet-based video content, plus a range of interactive services like Electronic Programme Guides , Pay Per View and Video on Demand as well...
is used in the digital TV industry to describe a piece of consumer hardware that enables them to access both linear broadcast and internet-based video content, plus a range of interactive services like Electronic Programme Guides (EPG), Pay Per View (PPV) and Video on Demand
Video on demand
Video on Demand or Audio and Video On Demand are systems which allow users to select and watch/listen to video or audio content on demand...
(VOD) as well as internet browsing, and view them on a large screen television set. Unlike standard set-top boxes , which sit on top of or below the TV, a set-back box has a smaller form factor to enable it to be mounted to the rear of the display panel flat panel TV, hiding it from view.
Home Gateway
A residential gatewayResidential gateway
A residential gateway is a home networking device, used as a gateway to connect devices in the home to the Internet or other WAN.It is an umbrella term, used to cover multi-function networking computer appliances used in homes, which may combine a DSL or cable modem, a firewall, a consumer-grade...
is a home networking device used to connect devices in the home to the Internet or other WAN
Wide area network
A wide area network is a telecommunication network that covers a broad area . Business and government entities utilize WANs to relay data among employees, clients, buyers, and suppliers from various geographical locations...
.
It is an umbrella term, used to cover multi-function networking appliances
Computer appliance
A computer appliance is generally a separate and discrete hardware device with integrated software , specifically designed to provide a specific computing resource. These devices became known as "appliances" because of their similarity to home appliances, which are generally "closed and sealed" –...
used in homes, which may combine a DSL modem or cable modem
Cable modem
A cable modem is a type of network bridge and modem that provides bi-directional data communication via radio frequency channels on a HFC and RFoG infrastructure. Cable modems are primarily used to deliver broadband Internet access in the form of cable Internet, taking advantage of the high...
, a network switch
Network switch
A network switch or switching hub is a computer networking device that connects network segments.The term commonly refers to a multi-port network bridge that processes and routes data at the data link layer of the OSI model...
, a consumer-grade router, and a wireless access point
Wireless access point
In computer networking, a wireless access point is a device that allows wireless devices to connect to a wired network using Wi-Fi, Bluetooth or related standards...
. In the past, such functions were provided by separate devices, but in recent years technological convergence
Technological convergence
Technological convergence is the tendency for different technological systems to evolve towards performing similar tasks. Convergence can refer to previously separate technologies such as voice , data , and video that now share resources and interact with each other synergistically.The rise of...
has enabled multiple functions to merged into a single device.
One of the first home gateway devices to be launched was selected by Telecom Italia to enable the operator to offer triple play services in 2002 . Along with a SIP VoIP handset for making voice calls, it enabled subscribers to access voice, video and data services over a 10MB symmetrical ADSL fiber
Fiber
Fiber is a class of materials that are continuous filaments or are in discrete elongated pieces, similar to lengths of thread.They are very important in the biology of both plants and animals, for holding tissues together....
connection.
Virtual Gateway
The virtual gateway concept enables consumers to access video and data services and distribute them around their homes using software rather than hardware. The first virtual gateway was introduced in 2010 by Advanced Digital BroadcastAdvanced Digital Broadcast
Advanced Digital Broadcast designs, manufactures and deploys solutions to distribute pay-TV and multimedia services to the connected home, for all types of networks. The company has its global headquarters in Geneva, Switzerland and regional headquarters in Denver, USA and Taipei, Taiwan...
at the IBC exhibition in Amsterdam. The ADB Virtual Gateway uses software that resides within the middleware and is based on open standards, including DLNA home networking and the DTCP-IP standard, to ensure that all content, including paid-for encrypted content like Pay TV
Pay TV
Pay television, premium television, or premium channels refers to subscription-based television services, usually provided by both analog and digital cable and satellite, but also increasingly via digital terrestrial and internet television...
services, can only be accessed by secure CE devices.
Broadband
A subscriber unit, or SU is a broadbandBroadband
The term broadband refers to a telecommunications signal or device of greater bandwidth, in some sense, than another standard or usual signal or device . Different criteria for "broad" have been applied in different contexts and at different times...
radio
Radio
Radio is the transmission of signals through free space by modulation of electromagnetic waves with frequencies below those of visible light. Electromagnetic radiation travels by means of oscillating electromagnetic fields that pass through the air and the vacuum of space...
that is installed at a business or residential location to connect to an access point
Wireless access point
In computer networking, a wireless access point is a device that allows wireless devices to connect to a wired network using Wi-Fi, Bluetooth or related standards...
to send/receive high speed data wired or wirelessly. Devices commonly referred to as a subscriber unit include cable modem
Cable modem
A cable modem is a type of network bridge and modem that provides bi-directional data communication via radio frequency channels on a HFC and RFoG infrastructure. Cable modems are primarily used to deliver broadband Internet access in the form of cable Internet, taking advantage of the high...
s,, access gateways, home networking adapters and mobile phone
Mobile phone
A mobile phone is a device which can make and receive telephone calls over a radio link whilst moving around a wide geographic area. It does so by connecting to a cellular network provided by a mobile network operator...
s.
WAN
The terms “customer-premises equipment,” “Customer-provided Equipment,” or “CPE” may also refer to any devices that terminate a WANWide area network
A wide area network is a telecommunication network that covers a broad area . Business and government entities utilize WANs to relay data among employees, clients, buyers, and suppliers from various geographical locations...
circuit, such as an ISDN, E-carrier
E-carrier
In digital telecommunications, where a single physical wire pair can be used to carry many simultaneous voice conversations by time-division multiplexing, worldwide standards have been created and deployed...
/T-carrier
T-carrier
In telecommunications, T-carrier, sometimes abbreviated as T-CXR, is the generic designator for any of several digitally multiplexed telecommunications carrier systems originally developed by Bell Labs and used in North America, Japan, and South Korea....
, DSL, or metro Ethernet
Metro Ethernet
A Metro Ethernet is a computer network that covers a metropolitan area and that is based on the Ethernet standard. It is commonly used as a metropolitan access network to connect subscribers and businesses to a larger service network or the Internet...
. This includes any customer-owned hardware at the customer′s site: routers, firewall
Firewall (computing)
A firewall is a device or set of devices designed to permit or deny network transmissions based upon a set of rules and is frequently used to protect networks from unauthorized access while permitting legitimate communications to pass....
s, switch
Switch
In electronics, a switch is an electrical component that can break an electrical circuit, interrupting the current or diverting it from one conductor to another....
es, PBXs, VoIP
Voice over IP
Voice over Internet Protocol is a family of technologies, methodologies, communication protocols, and transmission techniques for the delivery of voice communications and multimedia sessions over Internet Protocol networks, such as the Internet...
gateways, sometimes CSU/DSU
CSU/DSU
A CSU/DSU is a digital-interface device used to connect a Data Terminal Equipment device or DTE, such as a router, to a digital circuit, such as a T1 line. The CSU/DSU implements two different functions...
and modem
Modem
A modem is a device that modulates an analog carrier signal to encode digital information, and also demodulates such a carrier signal to decode the transmitted information. The goal is to produce a signal that can be transmitted easily and decoded to reproduce the original digital data...
s.
Application Areas
- Connected HomeHome networkA home network or home area network is a residential local area network . It is used for communication between digital devices typically deployed in the home, usually a small number of personal computers and accessories, such as printers and mobile computing devices...
- Pay TVPay TVPay television, premium television, or premium channels refers to subscription-based television services, usually provided by both analog and digital cable and satellite, but also increasingly via digital terrestrial and internet television...
- Over-The-Top Video services
- BroadbandBroadbandThe term broadband refers to a telecommunications signal or device of greater bandwidth, in some sense, than another standard or usual signal or device . Different criteria for "broad" have been applied in different contexts and at different times...
- IP Telephony
- Fixed Mobile Convergence [FMC]
Other uses
- Cellular carriers may sometimes internally refer to cellular phones a customer has purchased without a subsidy or from a third party as "customer provided equipment."
- It is also notable that the fully qualified domain name and the PTR record of DSL and cable lines connected to a residence will often contain 'cpe'.
See also
- Demarc extensionDemarc extensionIn telecommunications, a demarc extension is the transmission path originating from the interface of the access provider's side of a telecommunications circuit demarcation point within a premise and ending at the termination point prior to the interface of the edge Customer Premises Equipment...
- Demarcation pointDemarcation pointIn telephony, the demarcation point is the point at which the public switched telephone network ends and connects with the customer's on-premises wiring. It is the dividing line which determines who is responsible for installation and maintenance of wiring and equipment -- customer/subscriber, or...
- InterconnectionInterconnectionIn telecommunications, interconnection is the physical linking of a carrier's network with equipment or facilities not belonging to that network...
- On-premises wiringOn-premises wiringIn telecommunication, on-premises wiring is customer-owned communications transmission lines. It is also called customer premises wiring . The transmission lines can be metallic or optical fiber, and may be installed within or between buildings.Premises wiring may consist of horizontal wiring,...
- Terminal equipmentTerminal equipmentIn telecommunication, the term terminal equipment has the following meanings:* Communications equipment at either end of a communications link, used to permit the stations involved to accomplish the mission for which the link was established....