Transcript About EICTA
Moving Towards a Very High Speed Europe Eicta Position on Next Generation Access (NGA) I2010 meeting – Brdo – May 13th & 14th 2008 Jean Pierre Lartigue - EICTA on 1. Predictions for the Future 2. Importance of NGA 3. Political push for a Very High Speed Europe 4. Removing Obstacles to Investment : Civil works and passive infrastructure sharing 5. Digital divide, Avoiding the gap: Public policy actions 1. Predictions for the Future Consumers Growing Needs Require a Bold Approach to Very High Speed Broadband Access Future broadband - Policy approach to next generation access - OFCOM Sept 2007 2. Importance of NGA Starting point for FTTx: The Bandwidth Equation ADSL - CO ~12 Mbps VDSL – CO ~50 Mbps FTTH - SDU 100 Mbps+ FTTN - VDSL ~50 Mbps FTTH - MDU 100 Mbps+ FTTB - VDSL ~100 Mbps Drivers: upfront CAPEX, competition, time-to-market Two Resulting Paths to Mass Market Fibre Copper-Centric Fibre-centric 100% 85% 85% DSLAM (ADSL) 3-5 Mbps ADSL2+ 50 Mbps FTTH/B 25 Mbps >100 Mbps 2005 DSLAM (ADSL) VDSL2 Reha b 2010 Greenfield 2015 VDSL2: 30 Mlines in ’06 120 Mlines in ’11 Coverage Coverage 100% 3-5 Mbps ADSL2+ 25 Mbps FTTH/B >100 Mbps Reha b 2005 2010 Greenfield 2015 FTTH: 12 Mlines in ’06 50 Mlines in ’11 Various Strategies Observed to Mix VDSL and FTTH CO VDSL2 & FTTH FTTH & FTTN Greenfield VDSL2 FTTH FTTB/VDSL2 & FTTH FTTH/B FTTH FTTN VDSL2 FTTH only FTTH 3. Political Push for a Very High Speed Europe: The Cases of UK and France Example of National Initiative: UK Very High Speed Broadband Projects Case Analysis “South Yorkshire Digital Region” Four local UK authorities in South Yorkshire region created “Digital Region” project Create BB infrastructure to spur economic regeneration and bridge Digital Divide The project will sell wholesale access to ISPs using FTTC with speeds up to 50MBit/s Provide NGA to 600 000 homes (i.e 1.3M citizens) and 40 000 businesses across region Case Analysis “BT and Ebbsfleet trial” BT Openreach: fibre local access at Ebbsfleet Valley in North Kent in a new build zone The trial is intended to gauge what demand exists for very high speed broadband Connect 10 000 homes, 6M feet of commercial space and 3 M ft of retail, leisure and community facilities with speeds of up to 100 Mbit/s This will be offered on a wholesale basis to all UK Communications providers Example of National initiative: French Very High Speed Forum Recommendations Aim: 4M subscribers by 2012 with measures to reduce costs 1. Reduce the cost of wiring buildings Measure 1: Ensure the pre-wiring of new buildings Measure 2: Facilitate operators’ access to existing buildings Measure 3: Ensure that « in-building » wiring is shared among between operators 2. Reduce civil engineering costs Measure 4: Regulate duct offers Measure 5: Facilitate operator access to existing ducts (electricity, telecoms, sewers…) Measure 6: Promote VHS BB for businesses with the creation of a “Very high-speed business area” label Measure 7: Allow favorable (public domain) fees for empty or shared ducts Measure 8: Improve knowledge of existing ducts by public domain managers 3 - Ensure access for all Measure 9: Ensure that part of the digital dividend benefits to rural areas 4 - Reinforce R&D and the development of usages Measure 10: Reinforce R&D and development of innovative VHS BB service with competitive clusters Measure 11: Set up one or more large- scale experimental platforms, supporting pilot VHS pilot services 4. Removing Obstacles to Investment : Improving cost of civil works and Passive infrastructure sharing A Mix of Market and Policy approaches will be needed MARKET DRIVEN POLICY DRIVEN Fast service take rate Mass market dense area Natural competition Underserved BB area High cost/subscriber No private FTTH CAPITAL Positive business case URBA N SUBURB-1 SUBURB-1 RURAL-1 No business case URBA N Risky business case RURAL-2 RURAL-3 Alternative private fibre networks in many European Capitals Open community networks required in underserved areas Public funding is key to achieve 100% coverage 100% Retail, Service applications, Network Service applications, Network & IP Wholesale Optional: IP Wholesale Network, infra resources Optional: Dark fiber roll-out Dark fiber rollout and renting Labeling / Precabling Labeling / Precabling Access to public infrastructure Access to public infrastructure Build of Primary infra Market Driven Risk Driven Policy Driven e.g. Tier 1 cities e.g. Tier 2 & suburban e.g. rural Civil work ~600 €/subs ~1200€/subs ~4000 €/subs Total Pay back ~4 years ~8 years > 20 years Investment (%) Retail, service applications Retail, Private Sector Public Sector Area types Several practices of sharing in progress Market Driven Risk Driven Policy Driven Sharing Dark Fiber in the Building Joined re-use of ducts or dark fibre Local community as IP Wholesaler Wholesaler CO CO SP1 SP2 SPx CO CO CO FFP Fiber Flexibility Point Building Private Building owners Private Ducts / fiber Private Public National public coordination must be promoted And already active in several Member States Government Local Communities Ministries of Industry, Housing, civil Works, Economy,… Municipal network managers Telecom Industry Market experts Network operators incumbent and CLECs Need to Reduce Passive Infrastructure Costs Passives Total 50 % 15% 20% Optimised Civil Engineering Trench Sharing Ducting Aerial 10% 5% Local Reference Coherence: Agenda Investors Civil Works Coverage IMPACT FACTORS 5. Digital Divide – Avoiding the Gap: Public Policy Actions Recommendations on Public Policy Actions European institutions should invite Member States to adopt proactive policies aimed at spurring NGA investment and preventing the Digital Divide through: 1- Creation of Next Generation Access Forums Must address deployment in suburban and rural areas 2- Establishment of national Very High Speed Broadband Strategies Need broadband coverage to 30% European population by 2010 and 40% European population with Very High Speed by 2012 3- Close involvement of local communities in the definition of Very High Speed broadband strategies Public Funds should be encouraged to support local investment in ICT infrastructure open to all players Recommendations on Public Policy Actions con’t 4- Confirmation of technology and architectural neutrality Fibre paradigm is different from copper and need flexible approaches according to investment requirements 5- European institutions need to play an active role by supporting local communities in above mentioned actions EICTA invites them to create public forums addressing best practices for NGA deployment in urban, sub-urban and rural areas