Creating a brighter future CASE STUDIES COLLECTION FTTH COUNCIL EUROPE — February 2015 www.ftthcouncil.eu CASE STUDIES COLLECTION INDEX ANDORRA • THE FTTH CASE STUDY OF ANDORRA TELECOM 4 AUSTRIA • THE FTTH CASE STUDY OF ARGE GLASFASER WALDVIERTEL 6 DENMARK • THE FTTH CASE STUDY OF WAOO! 8 FINLAND • THE FTTH CASE STUDY OF OSTROBOTHNIA 10 • THE FTTH CASE STUDY OF SUUPOHJA 12 FRANCE • THE FTTH CASE STUDY OF PAU PYRENEES 14 • THE FTTH CASE STUDY OF PAYS CHARTRAIN 16 GERMANY • THE FTTH CASE STUDY OF BORNET 18 • THE FTTH CASE STUDY OF M-NET 20 • THE FTTH CASE STUDY OF NETCOLOGNE 22 • THE FTTH CASE STUDY OF OBERHAUSEN 24 • THE FTTH CASE STUDY OF SASBACHWALDEN 26 HUNGARY • THE FTTH CASE STUDY OF BÓLY CITY 28 ITALY • THE FTTH CASE STUDY OF FASTWEB 30 LATVIA • THE FTTH CASE STUDY OF LATTELECOM 32 LITHUANIA • THE FTTH CASE STUDY OF TEO 34 LUXEMBOURG • THE FTTH CASE STUDY OF P&T LUXEMBOURG 36 www.ftthcouncil.eu CASE STUDIES COLLECTION INDEX MACEDONIA • THE FTTH CASE STUDY OF MAKEDONSKI TELEKOM 38 THE NETHERLANDS • THE FTTH CASE STUDY OF AMSTERDAM CITYNET 40 NORWAY • THE FTTH CASE STUDY OF ALTIBOX 42 • THE FTTH CASE STUDY OF ATB NETT 44 • THE FTTH CASE STUDY OF IT-NORRBOTTEN 46 PORTUGAL • THE FTTH CASE STUDY OF PORTUGAL TELECOM 48 RUSSIA • THE FTTH CASE STUDY OF ER-TELECOM 50 SPAIN • THE FTTH CASE STUDY OF RED ASTURCÓN 52 SWEDEN • THE FTTH CASE STUDY OF SKANOVA 54 • THE FTTH CASE STUDY OF STADSNÄT I SVEALAND 56 • THE FTTH CASE STUDY OF STOKAB 58 SWITZERLAND • THE FTTH CASE STUDY OF SWISSCOM 60 • THE FTTH CASE STUDY OF OBERWALLIS 62 UK • THE FTTH CASE STUDY OF CITYFIBRE BOURNEMOUTH 64 • THE FTTH CASE STUDY OF HYPEROPTIC 66 • THE FTTH CASE STUDY OF JT (JERSEY TELECOM) 68 • THE FTTH CASE STUDY OF KC LIGHTSTREAM 70 • THE FTTH CASE STUDY OF WWHC CAMBUSLANG 72 www.ftthcouncil.eu www.ftthcouncil.eu FTTH CASE STUDY Andorra Telecom Small country, FTTH world leader Andorra’s commitment to universal ultra-fast broadband for all citizens has paid impressive dividends over a short period. The Principality of Andorra and its deployment of FTTH In 2007, the company carried out two small pilots, to test demonstrate what can be achieved in short order with a strong the processes involved as much as the actual technology: vision and the right level of commitment. The mountainous “Deployment began early in 2008, and was completed in May country has a population of only 75,000, but without enjoying of 2010,” he recalls. “It was a 100% horizontal deployment, any of the economies of scale of a larger economy it has although there are still some large residential buildings to be become a fibre access example for the rest of Europe. connected.” General Information Infrastructure owner: Andorra Telecom, a full service (including fixed, mobile, TV and Internet) network operator. Location: The network covers the Principality of Andorra. Network status: Operational When the country’s incumbent telco Andorra Telecom, its only provider of communications services, decided in 2006 to improve the services available to citizens, it soon arrived at FTTH as the best way to meet its ambitious targets. Subscriber penetration rates, in May 2012, were running at 37.69% of all Andorra’s 52,000 households, rising to 52.97% “We wanted to improve the services available to people, and when only measuring households inhabited full time, as our revenues at the same opposed to second homes. (see box below for full figures). time,” says Jaume Salvat, CEO of Andorra Telecom. “We’re a broadcaster too, so that meant premium TV services over the same Deployment network. ADSL was not Size of network: sufficient for that purpose, High speed broadband is universally available to all so we decided instead Andorra’s 75,000 population. to invest in future-proof Penetration: infrastructure. We wanted Total number of households in Andorra: 52,000. a long term approach, to Households passed: 100% minimise impact and allow Total number of inhabited households: 37,000 (rest are better and more innovative holiday homes). services, while lowering Penetration of inhabited households: 52,97%. operational expenses.” Penetration of total households (holiday/inhabited): What followed was a commitment to provide Internet access 37,69%. over optical fibre as a universal service, to all final users, in Households connected at full 100Mbps speed: 18,050 any populated spot, in any geographical situation in Andorran (the remainder are connected, free of charge, at a lower speed pending an upgrade). territory, at a reasonable basic price and with 100 Mbps symmetric speed of access. Technology/architecture: FTTH “Fibre comes at a higher initial Capex, but comes with big Deployment method: Ducts. advantages that made it the only option,” explains Salvat. “We recognised that it would enable us to move from being a traditional telecoms operator to a much more service-focused one.” 4 1 www.ftthcouncil.euwww.ftthcouncil.eu Tough challenges “We have faced the toughest challenges possible on this deployment,” claims Salvat. “The only advantage has been the small size of the country. Otherwise we have enjoyed none of the economies of scale of a larger deployment, and terrain that is very mountainous. Around 50% of people are in the two biggest cities, and the rest in small towns. It’s complex.” Business Case Investment: No public subsidy for the deployment, everything paid for by Andorra Telecom Number of years to ROI: 7 Business model: Increasing penetration of the FTTH network by provid- ing products adapted to every segment of the market. New services on FTTH network only. Consolidation of backbone technologies and service platforms. “The call pops up on screen and you can choose whether or not to answer. There are other interactive services, like white and yellow pages and weather information. We’re going to be developing more and more bundles for Meeting these challenges, he says, was more than just a customers.” technical matter: “The company has also had to go through major evolution,” he explains. “We are no longer just Andorra Telecom, he says, wants to get rid of all of its focused on delivering basic connectivity. We have changed legacy copper network as soon as possible, as it is an added how we do business, and are based more around services expense to run two networks side by side. now. That’s been the challenge – not the technology but getting the company ready, and adapting mindsets of people who had in many cases been working for us for a End-user Services long time.” Services: He explains that Andorra Telecom’s unusual regulatory 60% of subscribers take a triple play bundle, costing 69 Euros, and 40% take a double play bundle, costing 49 Euros. Fortunately, in most cases, consumer response to FTTH has been very strong, helping to make this ambition realistic: “We can show clearly that fibre is better – even if a lot of people only have a holiday home here and don’t want anything more than a telephone,” says Salvat. “People have generally been very enthusiastic, realising that 100Mbps symmetric offers clear advantages. Once you offer a certain level of service, it becomes like a commodity and people start to expect more, so we have to keep on developing new services at a lower price. We have some very demanding customers.” He says that in addition to consumer satisfaction, it is becoming strategically advantageous for companies to position has also influenced the project: “What we want to locate in Andorra: “I see a lot of jobs being created in provide is an attractive service at a good price to 100% of the future,” he believes. “We have made an up-front households,” he says. “In a country of our size, that won’t investment that is going to pay back commercially and in be achieved through competition. At Andorra Telecom, terms of people’s quality of life. There is no doubt we made we build, operate and provide services. We’re a mobile the right decision.” operator too, ready to move to 4G.” He says that his priority now is concentrating on developing services for the new broadband network, for example in the area of Internet TV: “We provide IPTV, and can allow Written in March 2011, updated in August 2012 consumers to take calls on their TV if they like,” he enthuses. Photos provided by Andorra Telecom Contact us on [email protected] 5 2 www.ftthcouncil.euwww.ftthcouncil.eu FTTH CASE STUDY ARGE Glasfaser Waldviertel Austrian villages build their own FTTH network FTTH isn’t just for big cities. A trio of small market villages in the northeast of Austria have installed a community-owned fibre network that is breathing new life back into the region. The story begins in 2003 when community leaders recognised with work starting in 2005, then St Martin, with the timetable that they had a problem of high unemployment and a declining determined by the planned sewer work. And in 2009 network population. Located near the Czech border, near the former construction started at the resort village of Bad Großpertholz. Iron Curtain, the region had gone into sharp decline since 1945. Today the fibre network passes more than 650 homes and small In one of the towns, St Martin, the number of inhabitants had businesses, of which around 250 are receiving services over fallen from 2,500 to just 1,250. To slow the exodus of young the network (June 2010 figures). The aim is to reach all 1,500 families and businesses from the region, the three mayors homes and 150 small businesses in the three communities by decided to modernise the communications infrastructure.