The document discusses recommendations for a broadband provider to future-proof its network infrastructure. It recommends: 1) Using fiber for all new "last mile" builds to homes to support higher speeds; 2) Upgrading current infrastructure over 18 months to optimize for the new DOCSIS 3.1 standard; 3) Integrating 4G LTE mobile services by exploring acquisition of a mobile provider and developing mobile video offerings.

1. Utility Infrastructure Law
"The closer you get to the
home, the more investment
is needed, averaged per
home connected."

2. CONQUERING THE FUTURE
Jason Pate
Christopher Tolbert
Frank Tseng

3. "We will deliver a superior experience to our customers
every day. Our products will be the best and we will offer
the most customer-friendly and reliable service in the
market." - Comcast’s Mission Statement
CONTINUING TOWARDS THE FUTURE
Mission Industry Analysis Recommendations

4. CARVING A PATH TO SUCCESS
Going the Distance
All-fiber ‘last mile’ for
all future build outs
Going Gigaspherical
Infrastructure
upgrades to optimize
for 3.1
Go Mobile
Investigate mobile
acquisition
opportunities
Mission Industry Analysis Recommendations

5. CURRENT STATE OF THE INDUSTRY
Fiber to the Node: FTTN
• Most major broadband networks are not connected to the home
• Incumbents use Hybrid Fiber Coaxial (HFC) Networks
• Fiber optics to the node
• Coaxial/copper to the house or end-user
• Insurgents (Google) and some incumbents (Comcast, Verizon) are taking
advantage of advanced technologies like fiber to the home (FTTH)
Mission Industry Analysis Recommendations

6. CURRENT STATE OF THE INDUSTRY
Cable DSL Wireless Satellite
Speed
Down
4 - 100 Mbps .11 - 15 Mbps 0.4 - 50
Mbps
0.5 - 1
Mbps
Up 2 - 8 Mbps 0.1 - 1.0 Mbps 0.2 - 6 Mbps < 1 Mbps
Cost $25 - $100 $35 - $100 $30 - $110 $100 - $250
• Speeds for broadband internet have increased over the years, amid several
options for gaining access
• Google is one of the largest insurgents and is building a complete FTTH
network at 1Gbps…that is affordable - $70/month
• Some incumbents can offer ½ the speed via FTTH at ~$400/month
Mission Industry Analysis Recommendations

7. CURRENT STATE OF THE INDUSTRY
Cable Internet Availability
Source: National Broadband Map 06/30/13
Mission Industry Analysis Recommendations

8. CURRENT STATE OF THE INDUSTRY
Fiber to the End-User Availability
Mission Industry Analysis Recommendations
Source: National Broadband Map 06/30/13

9. CONNECTING THE DOTS: TODAY
Hybrid Fiber Coaxial Networks (FTTN)
First Mile:
Core Network
Middle Mile:
Metro Nodes
Last Mile:
Access
Network
Relational Investment: 1x 3x 10x
Approx. Cost per Connection: $134 $403 $1479
Source: arstechnica 2010 http://bit.ly/RrAenT
Mission Industry Analysis Recommendations

10. CONNECTING THE DOTS: TOMORROW
Fiber To The Home (FTTH)
First Mile:
Core Network
Middle Mile:
Metro Nodes
Last Mile:
Access
Network
Relational Investment: 1x 3x 10x
Approx. Cost per Connection: $134 $403 $1479
Source: arstechnica 2010 http://bit.ly/RrAenT
Mission Industry Analysis Recommendations

11. CHALLENGES OF THE LAST MILE
10X Fiber investment cost per connection of the last mile
35+ Number of years it would take Google Fiber to take
over the US if they used 100% CAPEX for this effort
140 Dollars in billions that it would take to outfit the
whole US with FTTH
Mission Industry Analysis Recommendations

12. CLAIMING THE FUTURE OF THE INDUSTRY
October 2013 - CableLabs announced DOCSIS 3.1 specifications
Late 2014 – Initial batch of DOCSIS 3.1 products to be released
2015 – 2016 – Full deployment of DOCSIS 3.1 product lines
-Initial modems will provide 4-5Gbps, with upgrade capabilities to 10+Gbps
Mission Industry Analysis Recommendations

13. CREATING VALUE
Mission Industry Analysis Recommendations

14. CREATING VALUE
Mission Industry Analysis Recommendations

15. CLAIMING THE FUTURE OF THE INDUSTRY
Cloud Gaming
Movie Streaming
Live Events Streaming
Mission Industry Analysis Recommendations

16. CLAIMING THE FUTURE OF THE INDUSTRY
Distance Learning
Home Automation 2.0
Increased Productivity
Mission Industry Analysis Recommendations

17. CUTTING THE CORDS
50% of average global
mobile web users now
use mobile as their
primary or exclusive
means of going online
Mission Industry Analysis Recommendations

18. CLAIMING THE FUTURE OF THE INDUSTRY
Current option lease spectrum with Verizon to operate as a Mobile
Virtual Network Operator (MVNO)
-Rights to have bulk access at wholesale rates
Faster networks allow for direct distribution of Comcast content to
mobile via a mobile video services
-Limitations in control over the mobile network
Mission Industry Analysis Recommendations

19. CONNECTING THE CORDLESS
Mission Industry Analysis Recommendations

20. CLOSING THE GAP (ANALYSIS)
Trends
Triggers
Gaps
Actions
Hyper speed internet
• Video/TV streaming
• Live event streaming
• HD/4K Quality
• Cloud gaming
• Home automation
• Limited to average
speeds of 100Mbps
• Majority HFC network
Advanced modem technology Mobile 4GLTE integration
• Need for hyper speed
internet
• Natural advancements in
technology
• Moore’s Law
• Internet of things
• Internet Everywhere
• More connected
devices
• Currently on DOCSIS 3.0
• DOCSIS 3.1 deployment
not until 2015-2016
• Hardware not compatible
• Leased mobile assets
• Competitor have
mobile assets
• Limited broadband
access in rural areas
• Build FTTH for all new
roll outs
• 18 month plan to upgrade
current infrastructure for
DOCSIS 3.1 specs
• 12 month mobile
acquisition plan
• Determine full or
partial ownership
Mission Industry Analysis Recommendations

21. CREATING LONGEVITY
Recommendation 1
All-fiber ‘last mile’ for all
future build outs
Mission Industry Analysis Recommendations
• Implement construction of Fiber to the Home for all
new roll outs
• Coordinate with local utilities to “dig once”
Recommendation 2
Infrastructure upgrades
optimized for DOCSIS 3.1
• 18 month plan to have current systems ready for
DOCSIS 3.1 deployment
• Strategic agreement with Motorola to ensure
DOCSIS 3.1 early access
Recommendation 3
Mobile 4GLTE Integration
• Explore T-Mobile acquisition
• Develop mobile video service product