IT245 Business Information Systems

Business Information SystemsUnit 511 min read

Telecommunications, Internet & Wireless Tech: Networks, Protocols & Apps

Unit 5 of Business Information Systems explores how data travels—from wired/wireless networks to the internet’s architecture, protocols (TCP/IP, HTTP), and wireless tech (Wi-Fi, Bluetooth, 5G). It covers real-world applications in Nepal (e.g., Ncell’s 4G, eSewa’s secure transactions) and global systems (Google’s fiber,

Core Concepts: How Data Moves

1. Telecommunications Basics

Telecommunications is the electronic transmission of data (voice, text, video) over distances using wired or wireless media. Businesses rely on it for:

  • Internal communication (email, intranets).
  • External transactions (online banking, e-commerce).
  • Remote operations (cloud services, telemedicine).

How It Works: The Data Pipeline

flowchart TD
    A["Data Source\n(e.g., your laptop)"] -->|"Encapsulation"| B["Application Layer\n(HTTP, FTP)"]
    B --> C["Transport Layer\n(TCP/UDP)"]
    C --> D["Network Layer\n(IP)"]
    D --> E["Data Link Layer\n(Ethernet/Wi-Fi)"]
    E --> F["Physical Layer\n(Cables/Waves)"]
    F --> G["Transmission Medium\n(Copper, Fiber, Air)"]
    G --> H["Destination\n(e.g., Daraz server)"]
    H -->|"Decapsulation"| I["Recipient"]

Key Terms:

  • Bandwidth: Capacity to transmit data (measured in bps—bits per second). NTC’s fiber optic cables have 10 Gbps bandwidth.
  • Latency: Delay between sending and receiving data (e.g., 50ms for Ncell’s 4G).
  • Throughput: Actual data transferred (lower than bandwidth due to overhead).

2. Network Types

Type Definition Example in Nepal Pros Cons
LAN Local Area Network (small area, high speed) Office Wi-Fi, college intranet Fast, low cost Limited range (~100m)
WAN Wide Area Network (global, slow) Internet, Ncell’s mobile network Global reach High cost, latency
MAN Metropolitan Area Network (city-wide) Kathmandu’s fiber backbone Covers a city Expensive infrastructure
VPN Virtual Private Network (secure tunnel) Nabil Bank’s remote access Encrypted, secure Slower speed

In the Real World

  1. Ncell’s 4G Network

    • Uses TCP/IP protocol to route calls/data. When you send a WhatsApp message, it travels via cell towers → core network → internet → recipient’s device.
    • Worked Example: Tracing a call from Pokhara to Kathmandu:
      Your Phone (4G) → Ncell Tower (Pokhara) → Microwave Link → Core Switch (Kathmandu) → Recipient’s Phone
      
      Latency: ~30ms (Pokhara to Kathmandu).
  2. eSewa’s Secure Transactions

    • Relies on HTTPS (HTTP + SSL/TLS) to encrypt data between your phone and eSewa’s server.
    • How it works:
      sequenceDiagram
          participant User
          participant eSewa
          participant Bank
          User->>eSewa: Enter payment details (encrypted via TLS)
          eSewa->>Bank: Request payment (via VPN)
          Bank-->>eSewa: Confirmation (encrypted)
          eSewa-->>User: Success
  3. Daraz’s Order Fulfillment

    • Uses SCM (Supply Chain Management) + Telecommunications to track orders:
      • Your order → Wi-Fi/4G → Daraz server → Fiber backbone → Warehouse robot → Delivery partner (Pathao/Khalti).
      • Real-time tracking: GPS + cellular networks update your location.

3. Internet Architecture: The OSI and TCP/IP Models

OSI Model (7 Layers)

mindmap
  root((OSI Model))
    Layer 7: Application (HTTP, FTP)
    Layer 6: Presentation (Encryption, Compression)
    Layer 5: Session (NetBIOS, RPC)
    Layer 4: Transport (TCP, UDP)
    Layer 3: Network (IP, Routing)
    Layer 2: Data Link (Ethernet, Wi-Fi)
    Layer 1: Physical (Cables, Signals)

TCP/IP Model (4 Layers)

OSI Layer TCP/IP Equivalent Protocols Example in Nepal
Application Application HTTP, DNS, SMTP Loading Daraz website (HTTP)
Transport Transport TCP, UDP Ncell’s VoIP calls (UDP for voice)
Internet Internet IP, ICMP Routing data from Pokhara to India
Network Access Network Access Ethernet, Wi-Fi, PPP Your home Wi-Fi (802.11n)

Worked Example: Loading a YouTube Video

  1. Application Layer: Your browser sends an HTTP GET request to YouTube’s server.
  2. Transport Layer: TCP splits the video into packets and assigns sequence numbers.
  3. Internet Layer: IP adds a source/destination IP address (e.g., 192.168.1.2 → 142.250.190.46).
  4. Network Access: Ethernet/Wi-Fi sends packets via frames to your router.

4. Wireless Technologies

A. Wi-Fi (IEEE 802.11 Standards)

Standard Frequency Speed Range Used By
802.11n 2.4 GHz / 5 GHz Up to 600 Mbps 70m Home Wi-Fi, cafes
802.11ac 5 GHz Up to 3.5 Gbps 35m Modern offices, hotels
802.11ax 2.4/5 GHz Up to 10 Gbps 100m Airports, stadiums

Real-World Use: Khalti’s POS machines use Wi-Fi to connect to banks for real-time transactions.

B. Cellular Networks (2G, 3G, 4G, 5G)

Generation Speed Latency Nepal Example
2G Up to 384 Kbps ~300ms Ncell’s SMS (still used)
3G Up to 42 Mbps ~100ms NTC’s mobile internet
4G Up to 1 Gbps ~30ms Ncell’s 4G LTE
5G Up to 10 Gbps ~1ms Pilot projects in Kathmandu

Worked Example: Ncell’s 4G vs. 5G

  • 4G: Downloads a 1GB movie in ~10 minutes (theoretical max).
  • 5G: Same movie in ~1 minute (10x faster). Used for AR/VR apps (e.g., virtual property tours).

C. Bluetooth & NFC

  • Bluetooth: Short-range (10m), low power (used in wireless headphones, keyboards).
  • NFC: Ultra-short (4cm), used in Khalti Tap, contactless payments.

5. Internet Protocols

A. TCP (Transmission Control Protocol)

  • Reliable, connection-oriented (like a phone call).
  • Features:
    • Handshake: SYN → SYN-ACK → ACK before data transfer.
    • Flow Control: Adjusts speed to avoid overload.
    • Error Checking: Retransmits lost packets.

TCP three-way handshake diagram**How TCP establishes a connection (Image: CC BY-SA 3.0, via Wikimedia Commons)

Real-World Use: Bank transfers via internet banking (e.g., Nabil Bank’s online portal) use TCP to ensure no data is lost.

B. UDP (User Datagram Protocol)

  • Fast, connectionless (like sending a postcard).
  • Used for:
    • Video streaming (YouTube, Netflix).
    • Online gaming (low latency is critical).

Comparison Table:

Feature TCP UDP
Reliability Guaranteed delivery No guarantee
Speed Slower (handshakes, retries) Faster
Use Case File transfers, emails Live video, VoIP

6. Emerging Wireless Technologies

A. IoT (Internet of Things)

  • Devices like smart meters (NTC), wearable health monitors connect via wireless.
  • Protocols: MQTT (lightweight), LoRaWAN (long-range, low power).
  • Low Earth Orbit (LEO) satellites provide internet in remote areas (e.g., Dolpa, Mustang).
  • Latency: ~20-50ms (better than geostationary satellites).

C. 6G (Future)

  • Expected by 2030, with:
    • 1 Tbps speed.
    • AI-driven networks.
    • Holographic communication.

Case Study: NTC’s Fiber Optic Network in Nepal

Problem: Nepal’s hilly terrain made wired networks expensive. Solution: NTC built a fiber optic backbone (2015–present) using:

  1. Dense Wavelength Division Multiplexing (DWDM): Sends multiple data streams on a single fiber.
  2. Microwave links: Connects remote areas (e.g., Pokhara to Dhangadi).
  3. Undersea cables: Links Nepal to India (EAI) and China (CPEC).

Impact:

  • Bandwidth: Increased from 10 Mbps (2010) to 100 Gbps (2023).
  • Coverage: 90% of districts now have fiber.
  • Applications:
    • e-Governance: Online voter registration.
    • E-commerce: Daraz, Sastodeal.
    • Telemedicine: Hospitals in Dhankuta connect to Kathmandu doctors.

Exam Tip

What Examiners Look For

  1. Definitions with Examples:
    • Don’t just say “TCP is reliable.” Explain how (handshake, retransmission) and give a Nepali example (e.g., Nabil Bank’s secure login).
  2. Layered Models:
    • Always draw OSI/TCP/IP when asked about data transmission. Label each layer + protocol (e.g., “Layer 4: TCP for Ncell calls”).
  3. Real-World Applications:
    • Link concepts to Nepali companies:
      • Ncell: 4G/5G, TCP/IP.
      • eSewa: HTTPS, VPN.
      • NTC: Fiber, DWDM.
  4. Comparisons:
    • Tables for Wi-Fi standards, TCP vs. UDP, or 2G vs. 5G score extra marks.
  5. Diagrams:
    • Mandatory for:
      • OSI/TCP/IP models.
      • TCP handshake.
      • Network topologies (LAN/WAN).
    • Label every arrow (e.g., “HTTP request → DNS lookup”).
  6. Shortcomings:
    • Always mention limitations (e.g., “5G is expensive but has low latency”).
  7. Numerical Problems:
    • If asked to calculate bandwidth usage, use:
      Bandwidth (bps) = File Size (bits) / Time (seconds)
      
    • Example: A 5MB file takes 10 seconds to download on 4G.
      • Convert 5MB to bits: 5 × 8 × 1024 × 1024 = 41,943,040 bits.
      • Bandwidth = 41,943,040 / 10 = 4,194,304 bps ≈ 4 Mbps.

Common Mistakes to Avoid

  • ❌ Saying “Wi-Fi uses radio waves” without specifying 2.4 GHz/5 GHz.
  • ❌ Confusing TCP (reliable) with UDP (fast)—always state the trade-off.
  • ❌ Forgetting physical layer (cables, signals) in OSI model.
  • ❌ Not linking theory to Nepali examples (e.g., “Ncell uses TCP for calls”).

Quick Revision Checklist

Topic Key Points to Remember
OSI Model 7 layers: Application → Physical. Layer 3 (Network): IP routing.
TCP/IP 4 layers. TCP: Reliable (handshake). UDP: Fast (gaming, video).
Wi-Fi Standards 802.11n (600 Mbps), 802.11ac (3.5 Gbps), 802.11ax (10 Gbps).
Cellular Networks 2G (SMS), 3G (mobile internet), 4G (1 Gbps), 5G (10 Gbps, 1ms latency).
Internet Protocols HTTP/HTTPS (web), DNS (domain to IP), FTP (file transfer).
Nepal Examples Ncell (4G), NTC (fiber), eSewa (HTTPS), Daraz (SCM + telecom).

Based on the TU BIM syllabus for Business Information Systems (IT245), unit 5.

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