FTTH-network

investment of municipalities

Anne-Mari Leppinen

Reaching the Final 10% Seminar

20th November 2013London

Suupohja FTTH-network

Suupohjan Seutuverkko Oy (SSV) is a non-profit limited company owned by seven municipalities in Western Finland, founded in 2005

The length of the network is over 1500 km and implemented 100% with own fibre cable

Operates both in public and private sector

All the public places such as schools, hospitals, libraries, day care etc. have fibre and they form one big secure intranet

connections! All the villages in the area have FTTH-network and anyone can join it! Many customers in little villages are already using 150 Mbits/s symmetrical internet

Operational model

SP

SP

SP

SP

SPMaintenance fee

Service fee

SERVICE LAYERInternet, IPTV, etc etc

INFRA LAYERBuilding, maintaining, owning, renting dark fibre/capacity

NO FEES

SERVICE PROVIDERS CAN USE THE INFRA FOR FREE !

• free competition among ISPs • decreasing prices & incresing quality

•ISPs do not have to invest in the physical cable, they can concentrate on the services

Different roles of municipalities

• Ownership• Municipality as owner of passive infra • Municipality as owner of passive and active infra • Municipality as member of co-operative

• FinancingBroadband for everyone 2015-project 33%/33%/33%• Municipality guaranteed loans• Municipality loans• Municipality issued broadband vouchers• Equity in the limited company• Reserve for invested non-restricted equity

• MOST IMPORTANT• Strong support from public sector!!!

• Ensures smooth decision making process, permitting• Political people’s attendance in village events etc.

Democrac

y &

bureaucra

cy

Benefits for municipalities

ENGAGE & manifesto

1. Digital Infrastructure for European Competitiveness2. High Speed Broadband is an Essential Utility3. Financial instruments4. Public Investment Plays a Vital Role5. Open Access Networks are the Way Forward6. Regulate to Support Equity Between Urban and Rural Areas7. Fibre First8. Manage the Transition from Copper to Fibre9. The Role of Local Authorities Should be Strengthened10. Knowledge Transfer, Piloting and Applied Research

• Addresses the building of HSB networks at efficient cost, translating best practice into effective and efficient policies. • Rural and urban areas are equal players in the development of new digital infrastructure and services • Target of the manifesto to gather wide support & influence all political layers • Sign online www.engage-interreg.eu

Thank you!Anne-Mari Leppinen

anne-mari.leppinen@suupohja.fi

+358-40-678-7199