1 fttx in telekom slovenije beyond nga matjaž pogačnik, mba telekom slovenije d.d. brussels,...

1

FTTx in Telekom SlovenijeBeyond NGA

Matjaž Pogačnik, MBATelekom Slovenije d.d.

Brussels, October 9th, 2008

2

Agenda

1. Slovenia and Telekom Slovenije2. Access and BB networks Telekom

Slovenije3. FTTx implementation4. Conclusion

3© Telekom Slovenije Confidential

Area: 20.256 km²Population: 2.006,694Settlements: 5.988Cities over 10.000 16 (2 over

50.000)Households: 685.847BB access: 56 %CATV: 54 %

Short facts about Slovenia


Telekom Slovenije: after successful diversification, a future focus will be on stronger integration

100% 83.38%100% 63.75%100% 50% 75%

100%

100%

100%100%

Slovenia

Mobileoperator

Slovenia

Construction and

maintenance of

telecom networks

Slovenia

Systems integrator

Slovenia

Telephone directory publisher

Bosnia-Herzegovina

ISP

Gibraltar

Telecom incumbent

Mobile portal

Saline

24%

M-Pay d.o.o. SloveniaMobile payment

Slovenia

Slovenia

Searchengine

Searchengine

Serbia Croatia Slovenia

Searchengine

Slovenia

Internet search engine

76%

70%75% 70%

Macedonia

ISP

Fixed licence

ISPAlbaniaKosovo

ISP and 2nd GSM license

ISPFixed

licence

Bosnia-Herzegovina

50%100%


Agenda




Broadband in Telekom Slovenije

• March 2001: First commercial subscribers (ITU-T G.992.1 Annex B (ADSL/ISDN), ADSL packet 512/128 kbit/s)

• February 2003: ADSL packet 8192/768 kbit/s• September 2003: IP TV over ADSL (1 STB, ATM, mcast on BRAS)• September 2004: LLU• May 2005: Triple play @ ADSL2+ @ IP/Ethernet DSLAM • January 2007: VDSL2 • April 2007: First commercial FTTH subscribers • Triple play service: data, VoIP, IPTV (120 channels, HDTV, EPG,

VoD, nPVR, MPEG2 MPEG4); analogue TV over FTTH (80 channels)

• Prices: Triple play@30 EUR; standalone: 20/20 Mbit/s@26 EUR, IPTV@12 EUR, VoIP@14 EUR, CATV@12 EUR


Strong infrastructure competition in SlovenijaQ2/2008 situation

• BB market share of TS is 48% (from 100% in 2004)• market share per technology:

– 23% Cable (0% TS)– 8% FTTH (25% TS)– 69% DSL (67% TS)

• FTTH subscriber growth taking up• Cable operators going for FTTH implementation• TS has 25% FTTH market share

FTTH in Slovenia: Telekom Slovenije is follower!

24,8

28,1 28,6

32,333,6

1,7

8,6

24,0

28,2

30,5

0

5

10

15

20

25

30

35

40

dec. 04 dec. 05 dec. 06 jun. 07 dec.07

%

EU SI

Comparison of LLU and BSA over xDSL EU and SI (Source:EU)


Market share of alternative operators is increasing

Število xDSL priključkov po operaterjih v SIVir: TS

73.65492.904

119.348 132.705148.722 159.984 171.622 177.611

920

1.664

11.244

28.732

48.38863.075

76.37986.221

0

50.000

100.000

150.000

200.000

250.000

300.000

dec.04 jun.05 dec.05 jun.06 dec.06 jun.07 dec.07 jun.08

Telekom Ostali

• Number of xDSL subscribers growing• Market share of alternative operators increasing

(Q2/2008 = >30%)

Deleži operaterjev na trgu xDSL v SI (PRD + SRD + BSA)Vir: TS

98,891,4

82,275,5 71,7 69,2 67,3

1,28,6

17,824,5 28,3 30,8 32,7

98,2

1,8

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%


Telekom OSTALI


Alternatives migrating from BSA to LLUDeleži posameznih dostopov (PRD, SRD, BSA) novih vstopnikov v SI

Vir: TS

0,0

13,2

25,932,4

40,347,3 50,8

0,0

0,0

15,6

25,0

23,6

27,626,9

100,0

86,8

58,6

42,636,1

25,2 22,3

100,0

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%


PRD SRD BSA

• Fast progress in Ladder of investment• Market share of new DSL connections is in favour of

alternative operators

Deleži novih xDSL priključkov na trgu xDSL v SlovenijiVir: TS

96,3

73,4

43,3 44,9 43,4 46,737,8

3,7

26,6

56,7 55,1 56,6 53,362,2

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

I.pol.05 II.pol.05 I.pol.06 II.pol.06 I.pol.07 II.pol.07 I.pol.08

Telekom Drugi


Access networks today: last mile is relatively short, pairgain systems are bottleneck

BB Services:• HSI: 188.000• VoIP: 80.000 • IPTV: 60.000

Hitrost na ADSL/VDSL2 priključkih (IPBANi)

0

10000

20000

30000

40000

50000

60000

70000

80000

0,1

0,3

0,5

0,7

0,9

1,1

1,3

1,5

1,7

1,9

2,1

2,3

2,5

2,7

2,9

3,1

3,3

3,5

3,7

3,9

4,1

4,3

4,5

4,7

4,9

zračna razdalja (km)

hit

rost

(kb

it/s

) ADSL povprečje DS vključeno

ADSL povprečje max DS

ADSL max hitrost DS

VDSL2 povprečje DS vključeno

VDSL2 max hitrost DS

VDSL2 povprečje max DS

Number of POTS, ISDN-BA, PRD

54%

23%

10%

5%4% 4%

do 1 km

do 2 km

do 3 km

do 4 km

nad 4 km

brez podatka


Agenda




FTTH milestones and objectives of Telekom Slovenia

• April 2007 - Mass P2P fiber deployment• Filling available ducts space

• 2008 - more focus on FTTN: • Civil works & available ducts• ’black holes’’ & pairgain reduction

• FTTH customers today:• 70.000 homes passed

• 13.500 customers– 0,1 % > 20/20 Mbit/s– 1 IPTV: 41 %– 2 IPTV: 19 %– CATV: 44 %– VoIP: 96 %

IPTV is the driver!


• P2P– Future proof (unlimited speed per subscriber - possibility of 10Gbit/s)– End-to-End Ethernet – no additional complexity– CPE is a mass market product– Greenfield players are deploying P2P

• PON +– Usually quoted reasons:

• Less fibres• Less space (CO, underground pipes)

– Not quoted reasons:• Preventing LLU• Impact of suppliers

• PON -– IPTV limited– Interoperability– Higher cost (SW + CPE)– More BW – upgrades?– No backward compatibility

P2P will prevail in long turn

• WHY CATV– Traditional customer prefers classical TV instead of IPTV today.

– CATV customer will be offered other services - IP services.


CATV

Internet

PC

Router

Transmitter

1550nmEDFA

Central office

Single-mode Fiber

TV

SDCajun P112T

LNK COL TXPWR NMA RED

9 10 11 12

13 14 15 16

1 2 3 4

5 6 7 8

17 18 19 20

21 22 23 24

NMA

RX RDX

Lucent Technologies

Triple Play Optical Ethernet Switch

5#Twisted Pair

Coaxial Cable

PSTN

Gateway

IP/POTS phone

CATV

Customer Premises

CATV

CATV Data

Data

Data

SDCajun P112T

LNK COL TXPWR NMA RED

9 10 11 12

13 14 15 16

1 2 3 4

5 6 7 8

17 18 19 20

21 22 23 24

NMA

RX RDX

Lucent Technologies

IPTV

CPE

Distribution Hub

Technical solution: P2P two fibers: IP + CATV


FTTx vs Others = why bother with FTTH?

• FTTH: – 2007: without civil works: 970 EUR– 2008: Urban areas: 1.310 EUR– 2008: Rural areas: 1.860 EUR– Up to 7.000 EUR/HH in rural areas!

• FTTB: – 24 port: 2.041 EUR– 48 port: 1.160 EUR– 96 port: 689 EUR

• FTTN: – 200 port: 815 EUR

• ADSL2+:– 240 port: 122 EUR

• VDSL2:– 216 port: 247 EUR

• Wimax:– 200 port: 650 EUR

Procent - št. večstanovanjskih objektov v razredu

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

10 20 30 40 50 60 70 80 90 100 110 120 130 140 180 190 200

Razred večstanovanjskega objekta (št. stanovanj)

Procent - št. večstanovanjskihobjektov v razredu


xDSL vs FTTx network perspective

Testna prezentacija.


QoE: reliability and stability

• Different requests from different user groups (gaming vs IPTV)• Fault reports statistics have a strong seasonal extremes• FTTH solves the xDSL reliability and stability issue

TF in PRD prijave okvar 2001 - 2008

0

5.000

10.000

15.000

20.000

25.000

30.000

35.000

maj

01

okt

01

mar

02

avg

02

jan 0

3

jun 0

3

nov

03

apr

04

sep 0

4

feb

05

jul 0

5

dec

05

maj

06

okt

06

mar

07

avg

07

jan 0

8

TF centrale / delilniki TF dostop.omrežje TF naroč.naprave & napeljave TFostalo PRD


Focus on applications, services and content

• HD programs only for FTTH customers• Ambient - videoarts in VoD (SD and HD)• Security package, WiFi AP• Siol Plac! Network storage


Agenda




FTTH is a must!• TS is follower in FTTH Main FTTH driver is competition• FTTN driven by services

• Build it and they come! NOT WORKING!• 3-4 parallel infrastructures - who will survive?• NGA is here!• Who will compensate for OTTs? BBC, Disney

TS expectations:• Market analyses and definition on sub-national level different

obligations in different areas and markets• Up-to-date market situation should be considered• Coherent approach to regulation (markets 4 and 5 together)• Symmetrical obligations for all FTTH players• Slovenija has unique situation!


Thank You for Attention!

www.telekom.si


14%

13%

6%

35%

10%

5%

17%

Optical port, 140 EUR

CATV port, 127 EUR

ODF, 60 EUR

Optical connection CO end-subscriber(sewage system, pypes, cables,joins, work), 330 EUR

Instalation in building, 100 EUR

Instalation in department, 50 EUR

CPE, 163 EUR

Price per FTTH subscriber in 2007 is 970 EUR

-120.000.000

-100.000.000

-80.000.000

-60.000.000

-40.000.000

-20.000.000

0

20.000.000

40.000.000

60.000.000

80.000.000

1 2 3 4 5 6 7 8 9 10 11

NPV

denarni tok

• BE in the 8th year • NPV in 10th year is 44 mio EUR• IRR = 16%


Central Office:• Optical access L2/L3 switch is conected to LAS• Optical switches and CATV equipment must be placed in racks with fiber guides (like optical

distribution frames - ODF)• The ODF for access network is separated from the ODF for backbone • LC / APC connectors, interconnect

Access network: • Optical kable with 864 fibres from central office, splices in shafts • 2 fibres/residental subscriber, 4 fibres/business subscriber• From CO to subscriber without connectors – only splices

Costumer:• Optical fibres terminate in an outlet box with SC connectors. • Possibility of self install • CPE: WAN + 4port 10/100BaseT + 2port FXO/FXS SIP + RF+ WiFi + USB

FTTH elements


Central office

LAS

Obstoječi (MK) ODF

CATV Head end

IP RAS

F2 access cable

846 fiber

Existing backbone cable


CPE – one box fits all approach

WAN interface = 100baseFX (SM BiDi)

• 4x 10/100BaseTX LAN ports

• 2x RJ11 (SIP interface) – POTS (FXS)

• 2x USB host (possibility of WiFi interface 802.11g - USB stick)

• 1x RF COAX OUT in aditional unit with place for extra lenght of patchcords, MMC unit and power suply.


IPIP ODFODF CATVCATV

CO location – opportunity to renowate

• Heat dissipation dictates placement of equipment

1 fttx in telekom slovenije beyond nga matjaž pogačnik, mba telekom slovenije d.d. brussels,...

Documents

mba telekom slovenije

bb networks telekom

slovenia slide

eur slide

conclusion slide

eu slide

ftth market share ftth

bb access