This document discusses open access networks and the roles of different players in fiber infrastructure. It argues that traditional vertically integrated models are giving way to more specialized open models, with different players focusing on specific roles like infrastructure investment, network operations, or retail services. The document presents a "partnership model" as a pragmatic approach, with one player investing in fiber infrastructure, another operating the active network, and service providers renting connectivity. This allows different players to focus on their areas of expertise.

1. Technical view on open access
Gerlas van den Hoven - g.vdhoven@genexis.nl
Genexis - Eindhoven, NL

2. The information age
Today we enter the information age
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3. No information age
... without good infrastructure
What is the right technology choice?
How to protect the investment?
Open or closed network?
How to make money?
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4. Open or closed networks?
• Traditional business models are vertically integrated
‣ Larger economy of scale
‣ Bigger piece of the pie
‣ Market dominance
‣ But also: technically the easiest solution
• Business models of the Digital Age are open
‣ Every person makes his own choices: no more one size fits all products
‣ Each layer in the food chain is becoming a specialism
‣ No single killer app - the success of mobile apps/iPhone lies in the fact that they are not
developed by Apple or AT&T
‣ And: open standards enable interoperability
Openness creates business opportunities
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5. Opening FTTH networks
3 tiers
Service Service
Service Service Service
Service
Service
Active Active Active Active
network network network network
Passive Passive Passive
network network network
Network Closed Open
elements model model
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6. Roles in the foodchain
Marketing expertise, customer
Service Very different roles
interactions, retail
Very different expertise
Active Network expertise, operational
excellence, wholesale business case It would be a surprise to
network
find these all combined in a
single company
Passive Financial expertise, long-term view, And don’t forget about the
network security of investment, and CASH! CASH!
Network
elements
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7. Fiber infrastructure
• Considerations
‣ Point-to-point vs point-to-multipoint
‣ Position and size of PoPs
‣ FTTHome vs FTTBuilding vs FTTCurb
‣ Value of the investment
• Deployment examples
‣ Verizon (“incumbent”) deploys point-to-multipoint FTTH in suburban areas
‣ Netcologne (“newer operator”) deploys FTTB in MDU environment
‣ Reggefiber (“investor”) deploys point-to-point FTTH in SDU towns and cities
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8. Network infrastructure
• Considerations
‣ GPON, PTP Ethernet, EPON, WDM PON, RFOG, VDSL, DOCSIS 3.0, ...
‣ Power consumption and density in POP
‣ Leap-frog bandwidth with larger upfront investment vs incremental bandwidth steps with
recurring investments
‣ Symmetric vs asymmetric networks
‣ Operational ease vs larger complexity in order to support “legacy” equipment
• Deployment examples
‣ Deutsche Telekom (“incumbent”) deploys GPON to reduce active equipment in the field
‣ UPC (“cable operator”) deploys DOCSIS 3.0, making more incremental capex steps
‣ KPN (“incumbent”) deploys PTP Ethernet for ease of operations and ability to combine
wholesale and retail offerings
‣ Altibox (“newer operator”) deploys PTP Ethernet enabling multiple service providers
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9. Opening FTTH networks
Utopia vs Reality
Service Service Service
Fiber access
Partnership model
Active Active Active
Bitstream access
network network network
Passive Passive Passive
network network network
Network Closed Realistic Open
elements model model model
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10. Partnership model
A pragmatic open network
• Let everyone play his/her role
‣ Fiber deployment requires specific types of investors
‣ Active network operations requires high-level of knowledge to make the right decisions in
terms of technology and network design
‣ The active network operator has a very strange position: while he depends on the
investor to supply the passive infrastructure, he is also dependent on the service provider
to make money
‣ It’s unrealistic to believe that 10 service providers will magically appear once the network
it is operational
• Deployment example: The “Dutch” model
‣ Reggefiber invests in fiber and operates the passive network
‣ KPN rents the fiber and take the roles of active operator and service provider
‣ Reggefiber also operates its own active network and rents the connectivity to Vodafone
and a few smaller providers
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11. Opening FTTH networks
• Conclusion: There is no one model that meets all requirements
‣ Technologies each have there own quirks
‣ Incumbents come from a very different position than newer operators
‣ The expertise of the operator will determine which role or roles he is likely to take
‣ Forming partnerships along the open model “axis” is a strong step in the right direction
Open networks are not about achieving some ideal model, but about
attracting users to the digital highway and changing our society into a
more sustainable one
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12. Attracting the user
Don’t tell me the users are not interested in new services
HD content, 3D-TV, e-health, teleworking, gaming,
smart energy, ambient intelligence, cloud computing
domotica, security, education, knowledge ... and more!
If you offer them in the right way and market them the right
way, then the user will even pay for them!
Thank you!
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