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What is Fiber-To-The-Home? Fiber-To-The-Home is one of the most advanced technologies to bring bandwidth into a home or office. Submarine cables are nowadays spanning the earth and most countries have at least one fiber-optic ring interconnecting the main economic centres of a country. The only place in a telecoms network where bandwidth is still scarce is in the access network, the last part of a network connecting the customer. A Fiber-To-The-Home network enables a service provider to deliver a wealth of services to a consumer. Not only entertainment and communications services, but also services for health care, education, safety etcetera. Is Fiber-To-The-Home (FTTH) a good investment? That depends. A FTTH network is definitely future proof and can in general be operated with lower OPEX (Operational Expenses) than traditional wired access networks. On the other hand, the majority of consumers might not need the capacity offered by FTTH and have several alternatives. So from a technical point of view the answer to this question is yes. However the real answer lies in the readiness and structure of the (local) market and the business model. As a newcomer in a market, investing might be a good idea. But how are you going to convince consumers to use your network? Do you have services on offer that are attractive enough for them to churn. As an existing market player with an established customer base, you might want to wait before most of your clients will require the speed offered by FTTH before investing. Conict Consultants and FTTH FTTH is capital intensive and stepping into this business requires awareness of the inherent risks that come with this business. Conict Consultants has gone through the strategic options and decisionmaking before, supporting several clients in FTTH decisionmaking and implementation since 2001. We have supported private investors, housing corporations, operators and municipalities in making the right decisions, finding the right market positioning and to get the required portfolio of services implemented. |
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