$50 Billion to Wire Britain with Fiber?
The high require to be paid of replacing copper broadband links to homes creates a tough case to get started on long-distance fiber networks
by Natasha Lomas
The enormous cost of structure a full end-to-end filament next generation broadband network acrosss the UK may create a compelling case in quest of getting on with rolling out fibre to the cabinet (FTTC) in the next few years in lieu.
The cost of deploying a next-gen fibre network in the UK has been estimated at £5.1bn for FTTC (filament to the cabinet), compared to &enclose;28.8bn for full fibre to the home (FTTH), according to a give out from the government’s advisory arrange without interruption broadband, the Broadband Stakeholder Group (BSG).
FTTC refers to laying staple between the bandy and the street cabinet, while FTTH means replacing the copper line from the cabinet to the home as well to create a well stocked end-to-end fibre connection.
Tim Johnson, corypheus analyst at broadband analyst house Point Topic, told silicon.com: “BT’s network will await very old-fashioned indeed if it hasn’t got [FTTC] within five years.”
But he confessed to being “pessimistic” about the prospects for a full strength staple rollout in Blighty before 2025 at in the smallest degree.
While the UK’s broadband infrastructure is based on a fibre backbone, the so-called ‘last mile’ connections betwixt homes and telephone exchanges are almost entirely copper-based—creating in posse speed bottlenecks, especially as bandwidth-heavy online applications such for example video players become increasingly popular. This be unexhausted mile issue is referred to as ‘next generation access’ (NGA).
Johnson said a FTTC rollout is vital inside five years if the UK wants to stay competitive and support the kind of web services users will want over the next decade or so. “I do think fibre to the cabinet is pretty vital,” he said.
“[Without FTTC] it’d be a bit like still trying to use a black and white monitor when you admittance the Word program. It’s going to stop working… I really behave ponder unless that’s largely done within five years the British network will exist in trouble.”
Johnson described the BSG report as “another piece of evidence” that FTTC is living: “It’s nice cost forcible. I think the business subject of discussion for it is going to look stronger by the day more or not so much. What’s &impound;5bn? It’s moiety an Olympic games or something. It’s not a great deal of money per household. You don’t bring forth to make very dramatic assumptions before somebody’s getting a return on it.
“I also think that in practice what it would deliver would be about that which mob are going to want over the next five to 15 years, five to 10 years maybe.”
By contrast the for the most part £29bn estimate for FTTH is a much greater amount of difficult proposition at this point, according at Johnson, who believes a full pile rollout is “15 to 20 years off” in the UK.
“To try and require to be paid justify that at this stage I think is unrealistic,” he said, adding that any FTTC rollout should be done with a view to ensuring a smooth future transition to FTTH, and therefore by factoring in a little additional spending to render certain the infrastructure is futureproofed for an eventual end-to-end fibre rollout.
According to the BSG report, the largest single require to be paid component part involved with building a next-gen network will be the civil infrastructure costs associated with deploying and installing the pile in new or existing ducts. However through re-using existing telecoms ducts, sharing other infrastructure owned by utilities companies and even use of overhead fibre in some areas, infrastructure costs could be significantly reduced, the report noted.
The report also predicts there will be much greater cost associated by building out NGA in rural areas, and other areas of lower population density, so commercial rollouts in in this way regions are likely to be “much more difficult”.
Antony Walker, chief charged with execution of the BSG, said in a statement: “If rural areas are to be served in a proper time frame, thinking needs to wince now about creative solutions for make them greater quantity attractive to investment.”
A spokeswoman for Ofcom told silicon.com the telecoms regulator is talking to regional disentanglement agencies “about making sure the nearest generation of broadband access is made available and in what condition that be possible to happen realistically”.
