mr. richard jones' presentation at qitcom 2011
DESCRIPTION
QITCOM 2011 Presentation: FTTH ModelsPresenter:Mr. Richard Jones - Managing Partner, Ventura TeamTRANSCRIPT
FTTH MODELS
Copyright Ventura Team LLP 2008 - 2010 – Page 2 [email protected]
We’re going to discuss learning from…
Several million homes passed planned/implemented
The business case and strategy for the World’s fastest ubiquitous network -
Our own startup operator (rated top 5 in the World for service value by Point Topic)
“1 GIGABIT EVERYWHERE”
Planning a 20,000 cabinet FTTX deployment with up to $3
billion investment
Copyright Ventura Team LLP 2008 - 2010 – Page 3 [email protected]
Technologies can rarely be considered in isolation
How do companies commit to a network to compete with their challengers…
3GWiMAXLTEFTTX
Source: Alcatel-Lucent
Copyright Ventura Team LLP 2008 - 2010 – Page 4 [email protected]
..and even the simplest deployments can be very complex – particularly for incumbents
Source: BT
Copyright Ventura Team LLP 2008 - 2010 – Page 5 [email protected]
You can’t normally build everywhere…
Source: Ventura Team LLP
Copyright Ventura Team LLP 2008 - 2010 – Page 6 [email protected]
There is no ‘one right approach’ for every country/situation…
FTTC (VDSL2) GPON PTP
Typical Speeds
>40Mbps <100Mbps <=1Gbps
PROS Cheapest solution Cheaper than PTP initially (we’ve seen 5% savings where ducts are widely available to 21%)Saving in central office space
Future proofSymmetric servicesSecurity for businesses
CONS Limited speedProblems of quality of final copper dropLimited opex savings
Shared fibre – not seen as secure as PTPWill probably need upgrade in the future
Lots of fibre to installLarger central offices required
These choices are considered in isolation and the cost of migration later forgotten
Copyright Ventura Team LLP 2008 - 2010 – Page 7 [email protected]
…and the fibre product offerings vary enormously from country to country
These bundles from different operators are very different propositions from one another
0%
20%
40%
60%
80%
100%
120%
Virgin Media 30
BT Infinity 40 (low upstream)
BT Infinity 40 (high upstream)
Zon Fibra 30
Portugal Telecom 30
Virgin Media 100
Zon Fibra 1000
Verizon
1 Gbps for $26 (Hong Kong) or 30 Mbps for $60 (Portugal)
Copyright Ventura Team LLP 2008 - 2010 – Page 8 [email protected]
However take up is not always as high as expected – people don’t just buy technology
Source: Ofcom
How much more will people pay to double their broadband speed?
Copyright Ventura Team LLP 2008 - 2010 – Page 9 [email protected]
Getting the scenario right for any deployment is very complex – small changes create huge impacts on results
This fictional example inspired by a real case shows different availability & competition scenarios (defined on the left) and resulting peak funding (PFR) and rate of return (IRR) and also takes into
account the cross-impacts on mobile broadband
Copyright Ventura Team LLP 2008 - 2010 – Page 10 [email protected]
…and getting it wrong can be disastrous
