connect with these top companies

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Connect With These Top Companies Visit their booths or ask the BBP staff in the Expo Hall to provide an introduction. www.adc.com www.calix.com www.corning.com www.timewarnercable.com www.multicominc.com $ )XUXNDZD &RPSDQ\ www.ofsoptics.com www.suttleonline.com Booth # 317 www.connexiontechnologies.net Booth #402 Booth #308 www.glds.com www.tonercable.com Booth #416 www.smstv.com Booth #117

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Page 1: Connect With These Top Companies

Connect With These Top Companies Visit their booths or ask the BBP staff in the Expo Hall to provide an introduction.

www.adc.com

www.calix.com

www.corning.com

www.timewarnercable.comwww.multicominc.com

www.ofsoptics.com

www.suttleonline.com

Booth # 317

www.connexiontechnologies.net

Booth #402

Booth #308

www.glds.com

www.tonercable.com

Booth #416

www.smstv.com

Booth #117

Page 2: Connect With These Top Companies

Don’t miss the all-new bonus pages in our upcoming

Digital editions

Get valuable added editorial in our digital issue BONUS sections.

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Send articles to colleagues with one click.

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Go to www.bbpmag.com/subscribe and START or RENEW your subscription now.

Select either DIGITAL or BOTH PRINT AND DIGITAL.

FOR A LIMITED TIME,

qualified subscribers can sign up for both print

and digital editions and continue to receive both

at no charge.

Page 3: Connect With These Top Companies
Page 4: Connect With These Top Companies

FiOS available in select areas only. Battery backup for standard fi ber-based voice service and E911 (but not VoIP) for up to 8 hours.©2009 Verizon. All rights reserved.

Verizon FiOS tv | internet | phone

verizon.com/communities 888.376.3608

Do you have the bandwidth to attract and keep residents?Broadband at the speed of fi ber-optic light. Streaming video and interactive gaming that defy description. The coolest programming, and more of it, on the purity of HDTV. Pure joy. This is what today’s residents demand. And this is what you can give them with Verizon FiOS®, the most advanced TV, Internet and phone service available. Set up by our own experts, who will create a custom installation plan just for you. Verizon FiOS. It’s a clear signal to today’s residents that you get it. Call 888.376.3608 or go to verizon.com/communities to learn more.

214-120_MDU_7.875x10.75.indd 1 3/20/09 3:04:51 PM

Page 5: Connect With These Top Companies

3 big U.S. fiber opportunities

Claim your share with 3 new Calix ONT solutions

250,000 cell sites

5,000,000 MDUs

5,000,000 SMBs

Enabling 4G evolution(8 T1, 4 GE, 8 POTS)

Advanced video for MDUs(8 RF video ports with integrated RFOG, 8 GE, 8 POTS)

Rack-mounted for easy SMB deployment(4 T1, 4 GE, 8 POTS)

Delivering on the promise of FTTP

766GX

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Page 6: Connect With These Top Companies

Broadband Properties (ISSN 0745-8711) (USPS 679-050) (Publication Mail Agreement #1271091) is published 9 times a year at a rate of $24 per year by Broadband Properties LLC, 1909 Avenue G, Rosenberg, TX 77471. Periodical postage paid at Rosenberg, TX, and additional mailing offices. POSTMASTER: Please send address changes to Broadband Properties, PO Box 303, Congers, NY 10920-9852. CANADA POST: Publications Mail Agreement #40612608. Canada Returns to be sent to Bleuchip International, PO Box 25542, London, ON N6C 6B2. Copyright ©2005 Broadband Properties LLC. All rights reserved.

2 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

EDITORIAL DIRECTOR

Scott DeGarmo

PUBLISHER

Nancy McCain [email protected]

CORPORATE EDITOR, BBP LLC

Steven S. Ross [email protected]

EDITOR

Masha Zager [email protected]

ADVERTISING SALES

Irene G. [email protected]

DESIGN & PRODUCTION

Karry Thomas

CONTRIBUTORS

Joe Bousquin David Daugherty, Korcett Holdings Inc.

Richard Holtz, InfiniSysW. James MacNaughton, Esq.

Henry Pye, RealPageBryan Rader, Bandwidth Consulting LLC

Robert L. Vogelsang, Broadband Properties Magazine

Broadband Properties LLC

PRESIDENT & CEO

Scott DeGarmo

SENIOR VICE PRESIDENTCHIEF FINANCIAL OFFICER

Himi Kittner

VICE PRESIDENT, BUSINESS & OPERATIONS

Nancy McCain

AUDIENCE DEVELOPmENT/DIGITAL STRATEGIES

Norman E. Dolph

CHAIRmAN OF THE BOARD

Robert L. Vogelsang

VICE CHAIRmAN

The Hon. Hilda Gay Legg

BUSINESS & EDITORIAL OFFICE Broadband Properties LLC

1909 Avenue G Rosenberg, Tx 77471

281.342.9655, Fax 281.342.1158

WWW.BROADBANDPROPERTIES.COm

Editor’s Note

[email protected]

A knowledgeable observer of multi-family housing told me recently, “There can’t be much fiber-to-

the-home activity these days. It’s so de-pendent on the new-housing market.”

Knowledgeable, but wrong.The last six months were the best yet

for fiber-to-the-home growth in North America. The latest FTTH surveys, pre-sented at last month’s FTTH Confer-ence by Michael Render of the market research firm RVA, revealed that more than 900,000 additional homes were connected with fiber between March and September, bringing the total to more than 5 million. Deployments are strong and take rates continue to rise, reflecting customer satisfaction with fiber-based services.

This record-setting growth occurred during the steepest economic downturn of the last 80 years, with jobless rates rising, housing prices collapsing and new housing construction slowing to a crawl. What’s more, broadband stimulus funds, though promised, had not yet begun to flow.

Fiber to the MDUMuch of this deployment is occurring in multifamily housing, once regarded as a challenging business case for fiber. Verizon, having won video franchises in several large cities, is rolling out FiOS services to millions of multifamily units. AT&T is also bringing its U-verse ser-vices to MDUs; though most of U-verse is based on fiber to the node, Rick Hub-bard of AT&T’s Connected Communi-ties program describes in this issue how the company deploys fiber both to the building and to the unit. Many other ser-vice providers, large and small, are also addressing the MDU market.

Although bendable fiber is an impor-tant reason for this change – read about innovative uses of ultra-bend-insensitive fiber in an article in this issue by Guy Swindell of OFS – it isn’t the beginning or the end of the story. Verizon has worked

closely with many of its vendors to drive other technology advances for MDUs; among those detailed in this issue are ADC’s Rapid Fiber vertical distribution system and 3M’s new One Pass system for distributing fiber along apartment corri-dors. We also describe innovations from vendors such as Clearfield and Miniflex that have worked with independent telcos on their MDU fiber deployments. Going forward, home-networking technologies such as G.hn will help distribute fiber-based bandwidth inside the unit.

Of course, technology is not the only driver for fiber to the MDU. Bryan Rader of Bandwidth Consulting, in an interview about the private cable operator industry, advises operators to upgrade their infra-structures to adapt to a world that is in-creasingly broadband-focused rather than video-focused. With a better infrastruc-ture, Rader says, operators will be able to offer many new premium services.

Similarly, this issue’s “Property of the Month” feature details a fiber-to-the-unit deployment by Hotwire Communica-tions at the new Trump Towers in Sunny Isles Beach, Fla. In this upscale deploy-ment, the average buyer owns four video screens and demands the best of every-thing, including broadband. Only fiber could meet that demand.

Technology providers need more than next-generation technology and service offerings to survive in today’s MDU mar-ketplace; they also need next-generation service management. This issue intro-duces a new column, “Metrics,” by David Daugherty of Korcett Holdings, which will address measurement-based best practices for MDU broadband operators aiming to provide consistent, stable Inter-net service. In the end, as Daugherty says, it’s all about the customer experience.

The Fiber-to-the-Home JuggernautThe recession hasn’t stopped FTTH. It’s growing fast, especially in MDUs.

Page 7: Connect With These Top Companies

For more information on why your building should have DIRECTV, call 888-342-7288.*Among the largest national cable & satellite TV providers. 2009 American Customer Satisfaction Index, University of Michigan Business School. †To access DIRECTV HD programming, customer must reside in a MFH2™ or MFH3™ capable property. Plus, an HD Access fee ($10/mo.), HD Receiver (H20, HR20 or greater), HD television equipment, and a qualifying programming package are required. Number of HD channels varies by package. ††“Dolby” and the double-D symbol are trademarks of Dolby Laboratories. ̂ Based on Broadband Properties Top 100 Companies list 2009. INSTALLATION: Standard professional installation only. Custom installation extra. SYSTEM LEASE: Purchase of 12 consecutive months (for standard and advanced receivers) of any DIRECTV programming package ($29.99/mo. or above) or qualifying international service bundle required. FAILURE TO ACTIVATE ALL OF THE DIRECTV SYSTEM EQUIPMENT IN ACCORDANCE WITH THE MULTI-DWELLING UNIT PROGRAMMING AGREEMENT AND EQUIPMENT LEASE ADDENDUM MAY RESULT IN A CHARGE OF $150 PER RECEIVER NOT ACTIVATED. IF YOU FAIL TO MAINTAIN YOUR PROGRAMMING, DIRECTV MAY CHARGE A PRORATED FEE OF UP TO $240. RECEIVERS ARE AT ALL TIMES PROPERTY OF DIRECTV AND MUST BE RETURNED UPON CANCELLATION OF SERVICE, OR ADDITIONAL FEES APPLY. CALL 1-800-DIRECTV FOR DETAILS OR YOUR AUTHORIZED MDU DEALER. Programming, pricing, terms and conditions subject to change at any time. Pricing residential. Taxes not included. Receipt of DIRECTV programming subject to DIRECTV Customer Agreement; copy provided at directv.com/legal and in first bill. ©2009 DIRECTV, Inc. DIRECTV and the Cyclone Design logo are registered trademarks of DIRECTV, Inc. All other trademarks and service marks are the property of their respective owners.

Everyone benefits when you’re wired for DIRECTV.Whether you’re a property owner or a tenant, find out why

over 50 million Americans enjoy DIRECTV every day!

DIRECTV is proud to be one of Broadband Properties Top 100 Companies to do business with for 2009.̂

Why OWNERS want DIRECTV Why TENANTS want DIRECTV

>> Single Dish Solution: All tenants can access DIRECTV programming via a centralized dish system

>> Customizable Programming Options: Select programming that meets the needs of your property, including bulk options

>> Local Service Network: Tenants get fast and free installation and quick customer service from our knowledgeable local dealer network

>> The Highest Customer Satisfaction Ratings: DIRECTV has had higher customer satisfaction ratings than cable for nine years running*

>> No Contract Required: Switching is quick and easy – Ask how!

>> Fast & Free Standard Professional Installation

>> Nobody offers more HD than DIRECTV: Plus, tenants can enjoy the latest in 1080p programming and Dolby® Digital 5.1 surround sound†† – same as Blu-ray discs

>> No Dish Required: And no equipment to buy

>> Exclusive Programming: Exclusive sports packages not available on cable like NFL SUNDAY TICKET™, and MEGA® MARCH MADNESS® plus premium content on The 101® Network

>> Visit us at th

e

NMHC Conference, Booth #308

T:7.875”T

:10.75”

DITV5757R_M11_Dealer_MDU_BurstTreatment_FILM.indd 1 9/29/09 4:53:47 PM

Page 8: Connect With These Top Companies

4 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

Table of Contents

What’s on tV? New Applications for Video | 92By Masha Zager ■ Broadband PropertiesThough traditional video programming is becoming a commodity, service providers can take advantage of new video applications and technologies.

BroadBand apps

Q&A With rick hubbard, At&t Connected Communities | 26The executive responsible for bringing U-verse to MDUs discusses how the company works with property owners and managers.

New technologies for Deploying Fiber in the MDU | 30A BBP Staff ReportAdvances in technology have made installing fiber in MDUs faster, easier and less expensive. Many MDU-specific products were on display at the FTTH Conference in Houston last month.

Q&A With bryan rader: the Changing Landscape for Private Cable operators | 34Consultant Bryan Rader talks about the impact of the current recession and long-term shifts in consumer behavior, and how they affect PCOs.

G.hn: A New Standard for home Connectivity | 36By Linda Schoener ■ Technology WriterBy the end of next year, products embedded with G.hn technology will begin to appear on the market. The new standard will solve problems for both property owners and service providers.

– Digital edition bonus section: Additional graphics –

Managing radio Frequency interference in MDUs | 65By Richard Sherwin ■ Spot On Networks Wi-Fi access is a must-have amenity for MDUs, but owners must prevent interference to keep Internet service from being degraded.

Another Case of the bends | 68By Guy Swindell ■ OFSUltra-bend-insensitive fiber has many uses and applications in MDUs, offering deployers a variety of opportunities to reduce installation and maintenance costs.

MdU report

The Digital Edition of Broadband Properties now includes free online-only bonus material. International news, extra photographs and other features are now available to supplement the print edition. Visit www.bbpmag.com/bbponline.php to see this month’s Digital Issue.

BUt WaIt…tHere’s More!

908,000 New Ftth Customers! A record Summer for Fiber | 20By Steven S. Ross ■ Broadband PropertiesThe latest surveys by Michael Render of RVA LLC show that fiber deployment in North America has picked up steam. More homes were connected with fiber in the last six months than ever before.

CoVer storY

editor’s Note . . . . . . . . . . . . . . . . . . . . . . . . . . 2the bandwidth hawk . . . . . . . . . . . . . . . . . . . . . 6bbP Marketplace . . . . . . . . . . . . . . . . . . . . . . . .97Advertiser index . . . . . . . . . . . . . . . . . . . . . . .100Calendar . . . . . . . . . . . . . . . . . . . . . . . . . . . .100

departMents

Provider Perspectiveis there an App for Us? | 8By Bryan J. Rader ■ Bandwidth Consulting LLCPrivate cable operators can enhance the value of their infrastruc-ture by encouraging third-party application providers to develop MDU-specific applications.

owners Cornerbe Careful What You Wish For | 10By Henry Pye ■ RealPageNow that owners often own the wiring inside their buildings, they must assume responsibility for maintaining and upgrading it – or make sure someone else does.

Introducing a new column: MetricsMeasuring and Managing Next-Generation internet Service | 12By David Daugherty ■ Korcett HoldingsDelivering stable Internet service in MDUs requires providers to measure what they want to manage.

Property of the Monthtrump towers, Sunny isles beach, Florida | 16By Joe Bousquin ■ Contributing Editor, Broadband PropertiesCondo buyers in these new Trump-branded buildings have four video screens apiece and demand the best of everything, including broadband.

NMhC Conference & expoFeatured exhibitors and Companies to Meet | 72

independent telcosFiber Deployments by independent telcos | 76By Masha Zager ■ Broadband PropertiesMore than 400 independent telcos are deploying fiber to offer advanced services to their customers.

In tHIs IssUe

Access Planning and implementation Guide | 39Sponsored by AFL Telecommunications In this special section, find out why FTTH is the fastest-growing access technology in the U.S., how it is being deployed in master-planned communities and MDUs, and how fiber optic networks can support new services.

Page 9: Connect With These Top Companies
Page 10: Connect With These Top Companies

6 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

1101010010_THE_BANDWIDTH_HAWK_0101101011

By Steven S. Ross ■ Broadband Properties

this issue carries a comprehensive explanation of the new G.hn standard for home networking.

Because G.hn operates seamlessly on multiple kinds of wire at the same time – including coax, Ethernet Cat 5 and Cat 6 (even Cat 3) cable and HDMI – and even connects to Ethernet wireless networks, G.hn will make it easier to deliver services to dwelling units with-out expensive rewiring.

Eventually, G.hn and HomePNA (IEEE 1901) will probably become the worldwide choices for dwelling units without structured wiring. But for the near future, G.hn is just another way to make flexible, high-performance home networks possible at a reasonable price. Other standards will work about as well if the existing wiring is suitable for them.

G.hn coexists easily with MoCA (coax-based Ethernet networks) and HomePNA. For instance, networks running on G.hn and MoCA can be installed and active at the same time, although they cannot exchange data di-rectly. (Failure to exchange data is not a major problem because appliances such as PCs and newer TVs can interact with multiple networks at the same time.)

Unfortunately, G.hn is not yet as-sured of coexisting with HomePlug, the protocol for moving Ethernet over electrical wiring. The emerging version of HomePlug should be compatible with G.hn, but there is no approved final mechanism for ensuring that.

MDU owners and managers who adopt G.hn and expect to use electri-cal wiring for the network must be on the lookout for tenants’ installing retail HomePlug Ethernet adapters by plug-ging them into electrical outlets. Such installations, using HomePlug versions currently on the market, could bring down a G.hn network.

hoMePLUG Not reADYFortunately, such conflicts should be rare, despite the 35 million HomePlug adapters already sold (good for about 17 million two-node home networks). Un-fortunately, the HomePlug folks have been rather slow off the mark. That may create problems well into the future. To understand why, one has to look more closely at exactly what the ITU did in October. Though G.hn was not final-ized, its key components were – the general G.hn architecture and the PHY, or physical network layer. Thus, G.hn is now stable enough to allow chip vendors to bring products to market.

Another important aspect, proposed Recommendation G.9972, allowing co-existence between G.hn products and other wireline networking standards, achieved ITU consent, the final step before a recommendation becomes a standard. The G.hn Data Link Layer portion of G.hn was also deemed stable but consent is not expected until the January 2010 ITU-T meeting.

“G.hn will empower service pro-viders to deploy new offerings, includ-ing IPTV, more cost effectively; allow consumer electronics manufacturers to network all types of entertainment, home automation, and security prod-ucts throughout the house; and greatly simplify consumers’ purchasing and installation processes,” says Matthew Theall, president of HomeGrid Forum, the trade association promoting G.hn.

The HomePlug folks, who exploded in anguish at last winter’s delay, ex-ploded in anguish once again, issuing a

press release that called the delay in con-sent for G.9972 “a significant setback for G.hn and another clear indication that the powerline networking industry is not aligning around G.hn.”

Part of the delay has to do with likely requirements for the smart-grid initia-tive included in the U.S. stimulus pack-age in February but not finalized until late spring. Only in June did AT&T (a supporter of both G.hn and HomePNA) and others begin to submit ideas to ITU to align G.hn with smart-grid require-ments. But in October the G.hn work-ing group could not agree on many cri-teria for a smart-grid device profile, or even on an informational appendix de-scribing how a G.hn smart-grid device might be configured. In fact, the group could not even agree on what a smart grid might include.

The HomePlug folks say this will de-lay final design of G.hn chips until 2011, keeping fully certified G.hn products from shipping until mid-2011. Next-generation HomePlug AV2 chips and smart-grid GP chips should be avail-able by next spring. HomePlug promises compatibility and full interoperability with HomePNA.

However, this is not a competitive race, although HomePlug is treating it that way. All the technologies have their place in bringing broadband to the last few feet. And if the folks at HomePlug think that all MDU networking prob-lems can be solved by using electrical wiring, this bandwidth hawk says the notion is absurd. bbP

HomeGrid and HomePlugWill the incompatibility between HomePlug and G.hn cause problems for property owners trying to deliver high-bandwidth services to residents?

About the AuthorWrite to the Hawk at [email protected].

Page 11: Connect With These Top Companies

Comcast delivers the one thing you want.Everything.

When you partner with Comcast, you’re partnering with America’s leading enhanced

fiber-optic network for TV, phone and Internet. Comcast has over 60 years of delivering

the best entertainment experience your residents crave. Just tap into our ready-now

infrastructure and count on delivering leading-edge products today and tomorrow. Tons of

HD choices! 10,000 On Demand choices each month! A faster Internet! A smarter phone!

Integrated and innovative technologies! And so much more. All together in one impressive

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Get started with Comcast today.

To reach a Multi-Family Account Specialist, please email us at:

Page 12: Connect With These Top Companies

8 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

Provider Perspective

Would you like to find the best gas prices in your area? Just download GasBuddy, the app

that knows the cost per gallon at gas stations wherever you go. Need a con-venient way to remember all your online passwords? That’s easy – just download the 1Password app, which securely stores all your online passwords in one place.

Do you want to play a game while standing in a long, slow line at the gro-cery store? Download the Cro-Mag Rally game app and get behind the wheel of a prehistoric hot rod.

Yes, all these applications, and thou-sands more, are available to more than 25 million iPhone users around the world. Introduced just over two years ago by Apple, the iPhone has been wildly suc-cessful and has spawned an entire cot-tage industry of programmers trying to dream up and create the next great app.

The iPhone App Store has great apps for working out, managing money, count-ing calories, finding an ATM, keeping kids entertained, decorating a room and playing poker. Downloading new apps has become so popular that nearly half of all iPhone users downloaded at least one app last month. Incredible!

Apple found a way to tap into a realm of home-grown programmers to create something that adds value to the experience of having an iPhone.

I would love to unleash that same en-ergy and talent in the private cable opera-tor (PCO) industry to develop new apps for our clients and customers. Play along with me for a minute as I explore this thought. Maybe there’s an app for us.

Most PCOs use the same architec-ture – a premises-based headend and a

high-speed connection to each apart-ment. What works for one MDU might work for another MDU, too.

Let’s turn our broadband platform into an open forum for all programmers, engineers, marketers and salespeople to brainstorm about creating new apps for our business. What would they be? What would this forum look like?

the PCo APPS StoreOur PCO Apps Store would be geared to our MDU market. We can create special apps for our subscribers that add value to living in one of our communi-ties. It’s great for property owners and beneficial to their residents.

For instance, what does an apartment renter need most after signing a lease for a new apartment? The cheapest truck rental possible and maybe an estimator to size the truck. What about cost? How much should renters expect to spend to move from their old apartments to their new ones? Guess what – the PCO Apps Store has an app for that!

Suppose a subscriber’s roommate moves out to live with his girlfriend and the subscriber now needs someone to split his rent? How can he quickly find a male, nonsmoking, Spanish-speaking, employed roommate? Great news – there’s a “roommate search” app for that.

What if a subscriber is looking for a safe place for a 3-mile run starting from the front of her apartment community? Easy – our PCO Apps Store can help her out. It can map out running paths de-signed for daytime, nighttime, easy (flat-course) or difficult (hilly) runs starting right at her doorstep. How cool.

If one of our subs was a recent down-sizing victim and now quickly needs a job to pay his rent (and his cable bill), we have a great résumé-writing app. (I’m sure our MDU client will love this app – one less move-out!)

We can make our service unique and more rewarding for our customers if we use our broadband platform in fresh, creative ways. These are just some starter ideas to get the creative juices flowing in all the great PCOs in our industry.

We know our customers; let’s build something specific for them. I leave it to the programmers and engineers in our market to design something that works well for everyone.

Apple did it, and now more than 12 million people download new apps every month. If our PCO customers download new apps over their broadband connec-tions, this could help us continue to dif-ferentiate ourselves from our competi-tion and win more business.

I bet we could create an app for that, too! bbP

Apple made the iPhone more valuable by allowing third parties to build applications for it. Private cable operators can enhance the value of their infrastructure by opening their platforms to MDU-specific apps.

By Bryan Rader ■ Bandwidth Consulting LLC

Is There an App for Us?

About the AuthorBryan Rader is CEO of Bandwidth Consulting LLC, which he founded in 2007 to assist providers with their performance in the multifamily market. Prior to starting Bandwidth Consulting, he founded and ran private cable operator MediaWorks for 10 years. You can reach Bryan at [email protected] or at 636-536-0011. Learn more at www.bandwidthconsultingllc.com.

Page 13: Connect With These Top Companies

Choosing the right teChnology Can be the

hardest part of your job.

thankfully, it Can be the least of your worries.

The service provider industry is always changing.

At any given time there are countless applications

emerging, all claiming to revolutionize the way

you do business. But do you really have the time

to investigate each one? How do you upgrade

your copper or fiber network to Triple Play,

without starting over? Shouldn’t you be able to

focus on managing your own business instead?

That’s why we’re here. We research all promising

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We provide scalable solutions because

you need options to satisfy your customers’

diverse needs. For decades, our nationwide

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providers build their businesses. Now, we’re ready

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for triple play osp solutions and to request adC’s new publication, The Book on FTTX, visit graybar.com/adC

Page 14: Connect With These Top Companies

10 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

Owners Corner

today, many property owners own the coaxial cable inside their buildings. This came about

through regulatory changes that the FCC implemented in 2003 and 2007, through owners’ attempts to give resi-dents a choice of providers and, in some cases, because of service providers’ bud-get cuts.

Along with ownership, owners may inherit responsibility for repairing, up-grading and replacing cable. In the past, providers normally assumed responsibil-ity for repairing and upgrading the coax they used; today, some providers at-tempt to shift this obligation to owners. Ian Davis, a shareholder at the commu-nications law firm Munsch Hardt, com-ments, “There is a growing attempt by several of the largest providers to shift coax maintenance costs to the com-munity owner – unless, of course, the owner is willing to give the provider ex-clusive use of that coax, thereby creating a high barrier to entry, in which case the provider will graciously agree to assume responsibility for the wiring.”

WiriNG: ASSet or LiAbiLitY?Coaxial cable in multifamily communi-ties built before 2003 is mostly not in good condition and requires significant work to support competitive service of-ferings from cable companies, telcos or direct broadcast satellite companies such as DIRECTV or Dish Network.

The industry did not adopt mod-ern quad-shield Series 6 coaxial cable or structured cabling designs until well into this decade. The majority of build-ings contain daisy-chained Series 59 or older coaxial cable. In other communi-ties, Series 59 or older cable has been installed in a home-run topology. Still

other building video infrastructures defy easy description but are equally in-capable of supporting modern services.

Chris Acker, director of building technology services for real estate man-agement company Forest City Enter-prises, comments, “For years, the multi-family industry, various direct broadcast satellite providers and, increasingly, the incumbent local exchange carriers (ILECs) have fought for owners to re-gain ownership of home-run and inside video cabling from the MSO without determining either what they are getting or the cost of maintaining, repairing and upgrading it.”

Mike Kolb, overbuild specialist for fiber deployer Connexion Technologies, estimates rewiring of coaxial cable at $225 per unit or more. Rewiring an en-tire 200-unit community costs upwards of $45,000; rewiring the same building one unit at a time can cost more than $350 per unit, or $70,000.

“Rolling a truck to a community for the piecemeal upgrade of a single apart-ment is expensive, and doesn’t even be-gin to address the lost value from poor resident satisfaction when services don’t work or are undeliverable due to infra-structure issues,” says Steve Sadler, vice president of ancillary services for mul-tifamily property developer Post Apart-

ment Homes. He adds, “If your cabling has been rendered obsolete by today’s technology, you really have no choice but to retrofit the entire community. Otherwise, you run the very real risk of frustrating your residents and driving your expense budget ever higher in a fu-tile attempt to live with what you have.”

Most providers accept responsibility for wiring individual apartments when they initiate service, regardless of con-tractual obligations. But given increas-ing competition and shrinking provider budgets, owners that are contractually responsible for rewiring could have to pick up the costs at any time.

Surprisingly, many owners fail to consider these potential costs when they negotiate new contracts or renewals. Focusing on the potential revenue from voice, video and high-speed Internet contracts is easier than accounting for potential expenses and liabilities. How-ever, unless contract negotiations cover both revenues and liabilities, owners may find that their contracts are worth far less that they estimated. In some cases, the contract may even represent a net expense.

In the next issue, Owners Corner be-gins a four-part series, “Assessing the Value of a Marketing Agreement and Avoiding Common Mistakes.” bbP

For years, owners fought to regain control of inside and home-run wiring. Now they must ensure that wire maintenance doesn’t become a burden.

By Henry Pye ■ RealPage

Be Careful What You Wish For

About the AuthorOwners Corner is written by Henry Pye and industry peers. Henry is vice president of Resident Technology Solutions for RealPage (www.realpage.com). He can be reached at [email protected].

“If your cabling has been rendered obsolete by today’s technology, you really have no choice

but to retrofit the entire community.”

Page 15: Connect With These Top Companies

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Trim: 7.875"x10"

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BA4372.HSGC.Hanly.MFE.MDU.indd 1 9/30/09 1:56:38 PM

Page 16: Connect With These Top Companies

12 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

Conventional business wisdom states, “If you can’t measure it, you can’t manage it.” Measure-

ment and feedback make the difference between chaos and controlled output. In engineering, too, the feedback loop is what changes a chaotic system into a predictable system. If you can measure a system’s output, you can make intel-ligent decisions about the input and thus control the output.

Why don’t technical service compa-nies such as Internet service providers (ISPs) apply this commonly held busi-ness and engineering principle? Why, for example, do real estate developers find getting consistent Internet services from one region of the country to the next so difficult?

You would think that if any business could incorporate this principle, the ISP business would be the one. But the most common feedback loop for Internet de-livery is the legal system. When residents complain too loudly, the property owner or manager uses legal instruments to get the service provider to fix problems. The response time for this kind of feedback is more likely to cause catastrophic failure than the desired result.

To make matters worse, service pro-viders keep reinventing the wheel. There is little or no intraorganizational feed-back regarding best practices. Even if one division of an ISP delivers reliable services, the same company won’t neces-sarily produce the same results in other regions.

These problems can be addressed only by going back to basics – by im-proving communication among service

providers and diligently collecting feed-back from end users. This is the founding premise of the Metrics column. We aim to establish an industrywide dialogue that will lead to a better understanding of the successful design and deployment of stable Internet services. In each issue, we will explore real-world examples of how Internet delivery systems have been successfully deployed and supported. We will visit with a wide range of people from real estate developers to end users and obtain their feedback on what con-stitutes success.

A SerViCe CrUCibLeGiven that students have recently moved into college housing, we will begin our discussion with the challenges of provid-ing bulk Internet services to students. This month we will consider what consti-tutes a successful student housing deploy-ment. In later columns we will review the processes that led to this success.

Students are often regarded as the most discriminating and demanding group of Internet users. Most of these

kids grew up with a game controller in one hand and a mobile phone in the other. They are the undisputed masters of multitasking and the products of the instant-gratification generation. They will be our focus group for understand-ing how to deploy, manage and support Internet services in a broad range of ver-tical markets.

A student housing community typi-cally has between 50 and 5,000 residents living in anywhere from one to several hundred buildings. Internet services are usually provided as part of the lease, and local service providers will deliver an ag-gregate data pipe to the property under a bulk service agreement. The bulk ser-vice agreement will stipulate minimum upload and download speeds and may include access to Web-based managed utilities for each resident.

SUCCeSS FroM the iSP’S PerSPeCtiVeChris Acker, director of the building technology services group for Forest City Residential Management, once quipped,

To deliver consistent, stable Internet service, providers must measure what they want to manage – and develop a feedback loop so they can apply the results.

By David Daugherty ■ Korcett Holdings

Measuring and Managing Next-Generation Internet Service

About the AuthorDavid Daugherty is the CEO and founder of Korcett Holdings. He can be reached at [email protected]. Korcett Holdings is dedicated to the development and deploy-ment of next-generation service solutions. For more information on Korcett Hold-ings, go to www.korcett.com.

“We just want the phones to stop ringing,” says a property manager. When the help desk solves

problems proactively, the phones don’t ring.

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“We just want the phones to stop ring-ing.” Acker’s main concern is to avoid distractions that keep the front-office staff from providing other on-site, value-added services.

With 10 million students in the United States checking into their rooms at the beginning of each semester, we can easily understand why facility man-agers are sensitive to how the front-office staff spends its time. The fewer calls that reach the front office during semester turn, the more time the front-office staff will have to get the residents situated in their rooms.

“During the summer and fall turn,” observes Hunter Barrow, KHI help desk manager, “students fall into two catego-ries: those with and those without PC-based connectivity problems.” Shortly after students move in, those with PC connectivity issues are quickly identified and the problems resolved. Barrow says, “Once we get everyone online, we rarely hear from them.”

We cannot overstate the importance of feedback in high-turnover properties such as student housing. If the service provider cannot accurately identify and correct problems, it will deal with the same problems the following semester, and the long-term profitability of this type of business will remain question-able. This is a primary reason service providers have not gotten much traction with bulk data services in high-occu-pancy, high-turnover properties.

Conversely, once a service provider perfects the delivery of Internet service in high-turnover properties, it will be able to reduce operational costs and improve customer satisfaction in many other ver-tical markets. The ability to deploy con-sistent solutions across geographically di-verse service regions is what makes a great service provider. We refer to this type of consistent, stable service as “next-genera-tion Internet service.”

reSiDeNt MoVe-iN DAY: A beAUtiFUL DiSASterFrom the student perspective, the new semester does not start on the first day of class, but on the day he or she moves into new housing. As parents are tear-fully saying, “Good-bye, study hard,

and I love you,” students are already off making new friends and checking out their resort-like apartment complexes. Student housing today typically features full-size gyms, ocean-sized pools, movie theaters complete with recliners, com-puter labs and, most important, Internet access.

After the parents have gone, the first things students unpack are the state-of-the-art laptops they got as high-school graduation gifts. For freshmen leaving home for the first time, Internet access is more than just an educational tool – it is their conduit to home and security, fam-ily and friends.

“The students’ Internet experience is crucial,” notes Eric Hansen, KHI senior vice president of operations. “It can en-hance or tarnish the first days or weeks of the student’s college experience. Ram-ifications of a poor first impression will quickly spread from the student to the student’s parents, to the front desk, to the resident manager and finally to the

service provider. The associated costs in terms of time and resources can com-pletely change the business model for both the developer and the ISP.”

AN oUNCe oF PreVeNtioN iS Worth A PoUND oF CUreExhibits 1 and 2 represent breakdowns of Internet-related resident complaint calls in a one-month period following move-in at two different properties. Both properties are dedicated to student housing and in most other aspects are quite comparable. The key difference be-tween the two properties lies in a single preventative step taken by the prop-erty owner in Exhibit 1: This company hired a wiring contractor that provided continuity-testing results as part of its deliverables. These tests allowed the contractor to identify and correct faulty wiring and other wiring-related issues before residents arrived. Because of this preventative testing, wiring-related complaints made up only 10 percent of trouble calls.

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Page 18: Connect With These Top Companies

14 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

In sharp contrast, the property in Exhibit 2 did not require continuity testing. As a result, wiring-related issues accounted for a whopping 28 percent of trouble calls, larger than any other cat-egory. This created a cascading series of problems for residents, the owner, the service provider and the wiring contrac-tor. The resultant chaos during move-in seriously degraded what otherwise would have been a smooth and pleasantly memorable experience for resident stu-

dents. More important, costs increased for everyone involved and the residents were left with a bad first impression of the property on-site management and the service provider.

MetriCSNext-generation Internet services re-quire builders to deploy consistent standards-based solutions tuned to the needs of a specific market. Because these solutions incorporate proactive support,

they become more stable as the num-ber of subscribers grows. Being able to rule out most design-related issues when troubleshooting also simplifies deploy-ment and support.

From a support standpoint, help desk personnel must have complete access to network monitoring and management tools. So equipped, a help desk will usu-ally know about problems before they become apparent to residents. These tools allow personnel to quickly resolve problems proactively and eliminate the need for time-consuming, reactive “find and fix” troubleshooting practices.

If a help desk has been fixing sys-temic problems proactively, then the vast majority of student-housing Internet problems encountered during semester turn will be related to connectivity. If the infrastructure has not changed since the previous semester, these connectiv-ity issues tend to originate with students’ computers. In this situation, a properly staffed help desk should be able to an-swer calls in less than 30 seconds and resolve roughly 90 percent of all calls in less than 10 minutes. The balance of the calls will be infrastructure-related and require physical intervention to resolve.

Another significant advantage of standards-based managed service is that it allows providers to reduce costs by centralizing support. Because support personnel see the same problems from semester to semester, they can identify and correct recurring problems, resulting in a significantly lower contact rate. The contact rate for managed service after the first month of operations is roughly 2 percent of the total number of active accounts, of which roughly 11 percent require a truck roll. If we compare this to the contact rate for DSL services of 30 percent, we can see that next-generation services are an order of magnitude more reliable than traditional modem-based data services.

In the next issue, we will begin an in-depth discussion of design and de-ployment standards required for next-generation Internet services. We will use these standards as the foundation for dialogue about how we as an industry can begin to rate communications infra-structure. bbP

Page 19: Connect With These Top Companies

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Page 20: Connect With These Top Companies

By Joe Bousquin ■ Contributing Editor, Broadband Properties

This month we showcase the Trump Towers triplex in Sunny Isles Beach, Fla., a condominium designed for residents who expect the best of everything, including broadband. Our thanks to Hotwire Communications’ chief operating of-ficer Eric Roden and head network engineer Chris Arisso for their assistance in preparing this feature.

Trump Towers Sunny Isles Beach, Florida

16 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

the luxury residential and hospitality properties bear-ing the Trump name are known for their resident- pampering amenities and for the cutting-edge technol-

ogy infrastructure that enables those amenities. The Trump Towers triplex in Sunny Isles Beach, Fla., is no different from its predecessors. The project’s partners, which include the Trump Organization, New York–based Dezer Development and the Miami-based Related Group of Florida, knew they would have to provide enough bandwidth to meet residents’ needs today and into the future. This was a challenging propo-sition because the average buyer at this up-and-coming North Miami address was expected to have four video screens and to demand leading-edge, IP-based technology.

To meet buyers’ anticipated demands, the partnership turned to Wynnwood, Pa.-based competitive local exchange carrier (CLEC) Hotwire Communications, an independent fiber optic service provider that focuses on multifamily deployments. Us-ing Motorola equipment, Hotwire rolled out a GPON solution based on Motorola AXS 2200 optical line terminals (OLTs). A single chassis populated with Motorola OLTs can serve more than 2,300 subscribers, which not only enables Hotwire to light all the towers’ units but also gives the company a single trouble-shooting touch point when support is needed.

“One chassis does everything, and that’s really the benefit you’re getting with a GPON deployment like this,” says Chris Arisso, Hotwire’s head network engineer. “You really have just

two pieces of equipment: your chassis coming into the build-ing and the individual ONT [optical network terminal] in each residence. If something goes wrong, chances are it’s one of those two things.”

Combine that with Motorola’s AXSvision element manage-ment system (EMS), which includes an advanced graphical user interface, and Hotwire can solve many problems right from its own call center. “It’s a fully integrated, full-control EMS, which allows us to see and do a lot more remotely,” says Eric Roden, Hotwire’s chief operating officer. “Everything’s on one

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screen, so once you have a customer talking with a technician, you can actually see that customer’s individual ONT pop up in real time, right on your monitor. It’s true plug-and-play, self-discovery technology, and it works how it’s supposed to work.”

The single-vendor approach has not only helped cut back the number of truck rolls to the property but also enabled Hot-wire to light each unit with a flick of a switch. Even though pulling the fiber backbone through the towers took months, activating the service took only a day.

“The GPON system is basically a one-day type of installa-tion after the fiber infrastructure is put into place,” Arisso says. “Because it’s a passive technology, there aren’t that many pieces to touch. It allows us to build very quickly and continue to be competitive.”

Hotwire used Motorola 1400 GT ONTs to feed a triple play of voice, video and data to each unit, with Motorola VIP 1216 set-top boxes supporting IPTV service. Through a bulk arrangement with the developers, Hotwire provides a standard video and data package, included in residents’ condominium fees, of 75 television channels and 7 Mbps downstream/1 Mbps upstream Internet access. These basic services are automatically activated when residents move in and upgrades are available for expanded video offerings, faster upstream data speeds and IP-based telephony. The network is capable of supporting Internet speeds up to 100 Mbps.

Other IP-based services are also available to residents. As one would expect in an oceanfront property bearing the Trump name, residents can interact with the buildings’ management and concierge through IP-enabled touch screens installed in their units. At the touch of a digital pad, they can communicate with other building residents, reserve meeting rooms, request va-let service, schedule service calls or send and receive e-mails.

VitAL StAtSTrump Towers in Sunny Isles Beach, Fla., with three towers of 271 units each, is a premier high-rise condominium develop-ment just north of Miami built by a partnership consisting of the Trump Organization, Dezer Development and the Related Group of Florida. Boasting the luxury amenities that are the Trump hallmark, the residences include private elevator foyers, 10- and 11-foot ceilings, floor-to-ceiling windows and views of the Atlantic Ocean and Intracoastal Waterway. Wolf and Sub-Zero appliances are kitchen standards, while Italian cabinetry and granite and marble countertops grace the kitchens and bathrooms. In-building amenities include 24-hour concierge services, a three-story lobby, state-of-the-art fitness center and health spa and access to 250 feet of sugar-white beachfront.

Greenfield or retrofit? Greenfield

Number of units: 813

High-rise/mid-rise/garden style? High-rise

Time to deploy: Fiber long-haul, vertical and horizontal deploy-ments were completed during the construction phase over a period of several months. Implementation of the Motorola AXS 2200 OLT chassis was completed in a single day.

Date services started being delivered: January 2008

teChNoLoGY How does the fiber get to the property? Fiber enters the property

at a Motorola AXS 2200 OLT chassis capable of supporting more than 2,300 subscribers.

How is fiber distributed inside the property? Fiber is brought to each tower through a horizontal subterranean conduit and distributed vertically through the buildings’ conduit risers. A splitter on each floor routes fiber to a Motorola 1400 GT ONT in each residence. From the ONT, runs of RG-6 (co-axial cable, for video) and Cat 5e (Ethernet cable, for data) lead to an average of three wall plates per residence.

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Packages and prices subject to change. Taxes, fees, and usage charges additional and apply to free, discounted, and non-discounted offers for all Hotwire packages, products, and services. Digital Cable Converter box required to view Digital Cable service. Subscription to Digital Cable required to receive DVR/HD-DVR service, HD SuperPack, Premium Digital Movie Packs, and International programming packages. Some HD channels only available with Digital Movie Lovers or The Works packages. Actual speeds for Standard and Premium Internet service will vary due to a variety of factors. Alaska, Hawaii, and Puerto Rico not included in Unlimited Nationwide calling area. Certain restrictions apply.

Page 22: Connect With These Top Companies

18 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

Why did you choose this distribution architecture? The single point of implementation simplifies servicing and trouble-shooting. If something goes wrong, chances are it’s either at the chassis or the individual ONT in the unit. Using the AXSvision EMS, we’re able to monitor and troubleshoot any issues remotely, drastically reducing our need for physi-cal truck rolls.

What is the FTTH technology? This GPON deployment uses a Motorola AXS 2200 chassis at the point of entry, a Mo-torola 1400 GT ONT in each unit and Motorola VIP 1216 IP-capable set-top boxes for video delivery.

Where is the ONT located? The Motorola ONT, which is a sin-gle-family unit, is placed in a closet inside each residence. From there, RG-6 and Cat 5e cable runs lead to structured-wiring panels in the homes.

How was the technology installed to reduce cost and protect the aesthetic? During construction, fiber was laid in conduit ris-ers throughout the buildings.

Have you provided wireless signals within units, or are residents free to set up their own wireless access points? Residents are free to set up their own wireless networks within their homes.

SerViCeS Does the building have triple play-services? Yes.

Can residents subscribe to IPTV? Yes. Hotwire is using IP pro-tocols delivering multicache technology with MPEG-2 and MPEG-4 streams. Motorola’s MPEG-4 HD encoders and IP set-top boxes allow us to offer more than 40 HD chan-nels and 300 VoD channels.

Are there amenities beyond the triple play or IP systems for man-aging the property? Hotwire deployed and maintains several Wi-Fi hotspots in the common areas, including the pool and beach areas. Other amenities delivered over Hotwire’s network include touch panels in the units for concierge ser-vices. Residents can make requests to the property manager and receive notices about community events and package deliveries. The system is also capable of providing surveil-lance services to residents.

Do residents have a choice of service providers? No. Although Hotwire does not have an exclusive service agreement in the Towers, it is the sole provider at present. Standard video and data services (75 channels, 7 Mbps downstream/ 1 Mbps upstream Internet speeds) are included in residents’ condominium fees. Homeowners have the option to up-grade their video and data packages, as well as to choose an IP-based telephony package for an additional monthly fee. See the accompanying rate card for details.

Who provides support? Hotwire provides all support. With the single-point implementation, coupled with the AXSvision EMS system, most problems can be solved remotely.

bUSiNeSS Who owns the network? Hotwire owns the network in the build-

ing and has a service-level agreement in place with the con-dominium association.

Was there a door fee? Hotwire paid a confidential fee to the development partnership.

Are services automatically included in the rent or condo fees? Yes.

Who handles billing and collection for premium services? If resi-dents choose to upgrade their services, Hotwire bills them directly.

How are the services marketed and by whom? When they move in, residents receive orientation packages and can choose to upgrade services at that time. By visiting Hotwire’s Web site, residents can see all the additional programming, data and telephony packages available in their building.

What has been the return on this implementation, in dollars or otherwise? This implementation has allowed us to meet cus-tomers’ expectations and demand for leading-edge technol-ogy. We’ve also found that residents at this community, with an average of four video screens per unit, are very technology-aware and expect to be able to do what they want with the various devices in their homes. As more and more devices become data-centric, we’re seeing convergence on a daily basis, such as refrigerators with TV sets built in to them or with a coaxial or Ethernet jack in the back.

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OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 19

oNSite exPerieNCe/ LeSSoNS LeArNeDWhat was the biggest challenge? Chris Arisso, head network engineer, Hot-

wire: The biggest challenge was en-suring that the fiber backbone and infrastructure were laid correctly from the beginning. While the sin-gle-point implementation has huge advantages in terms of troubleshoot-ing when issues arise, that’s all predi-cated on the network’s being set up correctly in the first place.

With three towers coming out of the ground, you’ve got at least 750 fiber strands. And because we do du-plex on a lot of these, you have 1,500 fibers coming into the community. If one of those is wrong, or a split is done incorrectly, you’ve got to mul-tiply that all the way through from your split count and how much fiber you’re actually working with. The details will kill you. You’ve got to make sure everything is right from the beginning and make sure each point and segment is documented and tested so when it comes time to turn everything on, you know ex-actly where everything is and you know it’s going to work.

What was the biggest success? Eric Roden, chief operating officer, Hotwire:

One-day implementation of the Mo-torola chassis. Assuming everything has been installed correctly, when you turn it on and it connects to the ONT in an individual unit, you can see the serial number on that piece of equipment and mark it. Now you know exactly where it is and you can always keep that information. Then, because we have AXSvision, we can see everything on one screen. Once you get a customer on the line with a technician, you can actually see that ONT pop up in real time. This is true plug-and-play self-discovery, and it works the way it’s supposed to work.

What would you say to owners who want to deploy a similar network? What is-sues should they consider before they get started?

Chris Arisso: You’ve got to choose the right partners. You’ve got to partner with

someone who’s going to go through the implementation with you so you can troubleshoot it together. The last thing you want is a vendor who’s go-ing to sell you the equipment and then turn their back on you.

If there’s a property owner out there that’s trying to do something like this for the first time, if he

doesn’t have somebody next to him whose been down this road before, he’s not going to be very happy for the first two or three deployments.

Finally, test everything twice, document everything three times and then test it again after you’ve documented it to make sure it’s right. bbP

You can provide for the ever-changing technological needs of residents without touching your budget. By partnering with Connexion Technologies to install a cutting-edge Fiber to the Home network in your community, your residents can enjoy the best entertainment and communications services delivered over a fiber-optic network. This network will also be ready to handle almost any new service that comes to market.

Find out more at www.connexiontechnologies.net or contact us at 919.535.7329.

Prepare your community for tomorrow with Connexion Technologies…

Page 24: Connect With These Top Companies

20 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

FTTH MarkeT reporT

bouncing back from the recession, fiber-to-the-home deployments set records for the six months

ending in October 2009:

• More new connections – 908,000 new FTTH customers.

• More total FTTH connections, which crossed the 5-million thresh-old in early August. Just three years after reaching the million-cus-tomer mark, the industry now adds 300,000 customers a month.

• Higher take rates – now above 53 percent for non-RBOC deployers and 28 percent for Verizon – con-tinuing an inexorable rise uninter-rupted even by the deployment slow-down of last fall and winter.

The improvement in overall take rates continues despite an almost to-tal absence of greenfield deployments. In earlier years, high take rates in new housing developments, often 70 to 80 percent or higher, helped make up for lower take rates in competitive over-builds. Now that the competition is on the run, greenfield deployments have become less important.

The new data comes from research conducted by Michael Render of RVA LLC, a market research firm based in Tulsa, Okla. In September, he released his newest report at the FTTH Coun-cil annual conference, in Houston. De-ployment information is based on tallies taken by Render in August and Septem-ber, while consumer data comes from his survey last spring of 3,000 broadband users, culled from a panel of 100,000.

In addition to confirming fiber’s strong health in a period of economic adversity, the newly released data offers new evidence of fiber’s contribution to the economy.

PoWeriNG the NeW eCoNoMYSurveys over the past few years have shown that reliable broadband connec-tions are associated with more telecom-muting. Render’s newly released data confirms that finding and adds a new dimension – fiber. Some 44 percent of FTTH subscribers telework, compared with only 29 percent of those with DSL connections and 37 percent of those with cable modems.

More than bandwidth and reliabil-ity are in the mix, of course. Those who expect to telework – and Render prefers that term to telecommuting, as many work-at-home personnel have no office to commute to – tend to seek fiber-con-nected homes in the first place.

Render also found that FTTH ac-cess correlated strongly with establish-ment of home-based businesses. The survey, taken during the depth of the economic troubles in spring 2009, shows 15.7 percent of those with DSL run a home-based business, versus 17 percent of those with FTTH.

At the sample size used, the chances of this statistical association’s being spu-rious are only about 1 in 10. But that assumes broadband users in all parts of the country are equal. We know, how-ever, that the Northeast – where most of the FTTH is – has been a national pacesetter in creation of home-based businesses since long before the advent of FTTH.

Nevertheless, the economic impact of even that small percentage differ-ence could be huge. Nationwide, the 1.3 percentage-point difference in busi-ness formation between households

908,000 New FTTH Customers! A Record Summer for Fiber

By Steven S. Ross ■ Broadband Properties

Led by Verizon, fiber-to-the-home deployers clocked their strongest half-year yet, returning to the long-term growth trend abandoned last fall.

The 908,000 new FTTH connections bring the North American total to more than 5 million.

Take rates for fiber continue to rise even in competitive environments, reflecting higher

customer satisfaction with FTTH.

About the AuthorSteve is corporate editor of Broadband Properties. See his blog, “Take it to the Bank,” at www.bbpmag.com. He can be reached at [email protected].

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OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 21

FTTH MarkeT reporTwith “pretty good” DSL and those with “great” FTTH would amount to about 1.5 million new businesses and full-time-equivalent (FTE) employment equal to roughly half a million jobs (some econo-mists say FTE per home business is even higher during bleak economic periods).

More thAN 2M hoMeS PASSeD As investors panicked and fortunes evap-orated in fall 2008, money to finance new FTTH builds dried up. Only those deployers that used their own retained earnings or that had lined up financing ahead of the September 2008 collapse were building last winter and spring.

Investors started testing the market this past summer – with timidity. And the stimulus program for broadband ac-tually delayed some deployments while potential deployers waited to see whether they would be eligible for federal loans or grants. Thus, the showing of the past six months is all the more remarkable.

North American FTTH deployers, almost all of them in the United States, passed 2,029,100 additional homes in the six months ending October 2009. Despite the weak economy and a dearth of greenfield deployments, the total came close to the record of 2.21 million set in the six months ending March 2008.

Non-RBOC entities, typically mu-nicipalities expanding their existing footprints or Tier 3 local exchange car-riers (LECs) overbuilding their own copper networks, accounted for about a quarter of the homes newly passed. Veri-zon deployed almost all the rest. But be-

cause Verizon typically operates in more competitive environments, the smaller entities accounted for about a third of the new FTTH customers.

What’s more, deployers of all kinds were willing to spend on marketing. The increase in homes marketed for FTTH smashed all previous highs. The last six months saw more than 2.5 million new homes marketed for FTTH, about 10 percent above the previous high, which was recorded for the six months ending September 2008.

By September 2008, of course, the greenfield market was softening, reduc-ing chances for easy sales, but take rates continued to climb anyway. The ratio of homes connected to homes marketed is

now 31 percent, up from 27 percent a year ago.

Indeed, FTTH deployments in the six months just ended rebounded by all measures – homes passed, marketed and connected – and returned to the long-term trend we’ve been calculating since 2005. This was true whether we calcu-lated the rise in absolute numbers or in percentages (see table below).

Render was unable to supply an up-date on the number of FTTH video cus-tomers before press time. Nevertheless, with more than 15 percent of all homes in the United States now passed by fi-ber, FTTH technology is clearly now a major player in both broadband and video services.

CoMPAriSoNSBandwidth supplied by FTTH providers is, on average, greater than that offered by cable or DSL providers. The biggest gap is in upload speed, where FTTH en-joys a 5-to-1 advantage over both DSL and cable modems. Render expects cable speeds to increase over the next year as large cable providers continue to phase in DOCSIS 3.0. But FTTH speeds will increase even faster, he emphasizes.

Smaller cable companies are trying to improve bandwidth for customers by laying more mid-mile fiber and by split-ting DOCSIS nodes so each node serves fewer homes. Most cable companies, fearing open-access requirements, boy-

GroWth or DeCLiNe, hALF oVer hALF Ftth homes Ftth homes Ftth homes Video Passed Marketed Connected Customers

Apr-06 -57% 252% 23% 1018%Sep-06 333% 27% 176% -2%Mar-07 -5% -16% 38% 37%Sep-07 -19% -13% 42% 118%Mar-08 43% 54% 16% 33%Sep-08 -7% 10% 10% -6%Mar-09 -35% -34% -22% -17%Sep-09 51% 66% 37% NA

FTTH homes passed, marketed and connected increased at stellar rates after a slow fall and winter.

FTTH penetration by state for the lower 48 states; the deepest green indicates states with penetration rates of 10 percent or more. Pure white indicates states with close to zero penetration.

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22 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

FTTH MarkeT reporT

cotted the first round of broadband stimulus funding. But the names of as many as 83 cable companies show up in the initial stimulus funding request summaries – and three-quarters of the projects are for the middle mile.

CUStoMer APProVALAll this progress comes despite customer uncertainty about FTTH; Render reports that only 28 percent of the public even knows what FTTH is and understands its advantages over other broadband delivery technologies. Indeed, lack of public awareness about FTTH translates into a generally blasé atti-tude about fiber – until, of course, a potential customer sees it in action in a neighbor’s home.

Customers who have FTTH say it beats other broadband de-ployment technologies by every measure of service, bandwidth and reliability except for the in-home installation process. Cus-tomers complain about installation no matter who the service provider is – all providers are struggling to bring more band-width and flexibility to home networks.

When it comes to video, the customer satisfaction gap be-tween FTTH and other technologies opens extra wide: In Ren-der’s surveys, FTTH wins in every category of service.

FTTH now also tops the list of desired amenities in green-field developments, and the gap between FTTH and second place (green space for walking or jogging) is especially wide among current FTTH users.

It is clear that buyers of new homes – a younger-than- average demographic – are more likely to be among that 28 percent who know about FTTH.

Now, if the economy would only improve enough to reig-nite the greenfield market! bbP

For more information about RVA’s research and publications, see www.rvallc.com.

FTTH Homes Passed, September 2009 (Cumulative, North America)

19,40035,700

72,100110,000

180,300189,000

970,0001,619,500

2,696,846

3,625,000 4,089,000

6,099,000

8,003,000

9,552,300

11,763,000

13,825,000

15,170,900

17,200,000

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

14,000,000

16,000,000

18,000,000

Sep-01 Mar-02 Sep-02 Mar-03 Sep-03 Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09

Source: RVA LLC

FTTH deployers in North America, almost all in the U.S., passed 2.03 million additional homes in the six months ending September 2009. Despite the weak economy and a dearth of greenfield deployments, the total came close to the 2.21 million record set in the six months ending March 2008.

FTTH Homes Marketed, September 2009(Cumulative, North America)

19,4

00

35,7

00

72,1

00

110,

000

180,

300

189,

000

413,

221

829,7001,754,300

3,218,600

5,079,999

6,643,000

7,996,400

10,082,065

12,369,000

13,875,600

16,380,100

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

14,000,000

16,000,000

Sep-01 Mar-02 Sep-02 Mar-03 Sep-03 Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09

Source: RVA LLC

The increase in homes marketed for FTTH in the most recent six-month period set a record – more than 2.5 million, or 10 percent above the previous high, the six months ending September 2008.

Homes Passed, Marketed, and Connected in Each Six-Month Period Since March 2004 (Calculated by BBP from RVA Data)

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09

Nor

th A

mer

ican

Hom

es

Passed 8,700 781,000 649,500 1,077,346 928,154 464,000 2,010,000 1,904,000 1,549,300 2,210,700 2,062,000 1,345,900 2,029,100

Marketed 70,300 8,700 224,221 416,479 924,600 1,464,300 1,861,399 1,563,001 1,353,400 2,085,665 2,286,935 1,506,600 2,504,500

Connected 13,300 68,500 66,500 99,700 235,300 123,000 340,000 467,597 663,403 770,500 847,500 662,000 908,600

Video Connected 7,750 27,825 50,400 13,500 8,600 150,900 147,900 202,600 442,600 587,000 554,000 459,300

Mar-04 Sep-04 Apr-05 Sep-05 Jan-06 Apr-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09In six months ending:

In the six months ending in September 2009, FTTH deployments rebounded by all measures – homes passed, marketed and connected. In fact, they returned to the long-term trend. RVA was unable to supply video data before press time.

FTTH Homes Connected, September 2009(Cumulative, North America)

5,50

010

,350

22,5

00

38,0

00

64,7

00

78,0

00

146,

500

213,

000

312,

700

548,000

671,000

1,011,000

1,478,597

2,142,000

2,912,500

3,760,000

4,422,000

5,330,600

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

4,500,000

5,000,000

5,500,000

Sep-01 Mar-02 Sep-02 Mar-03 Sep-03 Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09

Source: RVA LLC

More FTTH customers signed on in the past six months than in any previous six-month period. The rate of homes connected is now 31 percent of those passed, up from 27 percent a year ago. Rates differ substantially by circumstance and type of build. The continued rise in the take rate comes despite a loss of greenfield deployments, where take rates often top 80 percent.

Only 28 percent of the public is even aware of FTTH and its

advantages. But those who see FTTH in action want to sign up for

it, and those who sign up for it are happy with it.

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OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 23

FTTH MarkeT reporT

Overall FTTH Take Rate, RBOC vs Non-RBOC (Cumulative, North America, September 2009)

35.4%

26.0%

18.4%

20.8% 19.9%

22.3%

26.8%

28.8%

30.4%

31.8%

32.5%

28.4%

29.0%

31.2%

34.5%

35.9%

41.3%43.7%

47.4% 48.2%51.0%

52.4%

51.5%

51.8%

51.9%

52.4%

52.6%

53.1%

0%

10%

20%

30%

40%

50%

60%

Sep-01 Mar-02 Sep-02 Mar-03 Sep-03 Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09

Source: RVA LLC

Overall FTTH

Non-RBOC

Take rates for FTTH (homes buying services as a percentage of home marketed) continue to rise. Take rates for RBOCs (mainly Verizon) have been improving since they began marketing video services. Non-RBOC take rates tend to be higher than RBOC rates because, until recently, more of their deployments have been in greenfield developments.

Overall FTTH Take Rate, RBOCs (Cumulative, North America, September 2009)

3.0%8.3%

9.8%

15.5% 14.6%

17.6%19.0%

23.0%

25.0%

27.0%28.0%

0%

10%

20%

30%

Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09

Take rates specifically for RBOCs (the data is almost entirely from Verizon) continued to climb during the past six months, despite the recession. Although deployments slowed, marketing surged ahead.

Percent of US Households Passed and Connected to FTTH

0%

2%

4%

6%

8%

10%

12%

14%

16%

Aug-04 Feb-05 Sep-05 Mar-06 Oct-06 Apr-07 Nov-07 Jun-08 Dec-08 Jul-09 Jan-10

Passed

Connected

More than 15 percent of all homes in the United States are now passed by fiber, making FTTH technology a major player in broadband and video services. About 4.6 percent of all U.S. households were connected to FTTH by last month.

Broadband Performance (Median) Source: RVA survey March 2009

10.4

6.9

1.5

2.4

0.5 0.4

FTTH Cable Modem DSL

Download, Mbps Upload, Mbps

Bandwidth supplied by FTTH providers is greater than that offered by cable or DSL providers. The biggest gap between FTTH and cable is in upload speed, where FTTH enjoys a 5-to-1 advantage.

FTTH Sa�sfac�on vs Other Broadband % Very Sa�sfied Source RVALLC Spring 2009

63%67%

55%

70% 70%64%

47%52%

47%

58%64% 65%

Consistency ofspeed

Broadbandspeed

Provider'scustomer

service

Internet overall Reliability -service up�me

Installa�onprocess

FTTH Other broadband

FTTH beats other broadband deployment technologies by every measure of service, bandwidth and reliability, customers say, except for the in-home installation process. All deployers are struggling to bring more bandwidth and flexibility to home networks.

Compara�ve Adop�on Rate, FTTH vs Coax and Copper PairsSource: RVALLC September 2009

0%

50%

100%

150%

200%

250%

300%

3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

Ann

ual %

Gro

wth

a�

er In

trod

uc�o

n Copper

Coax

Fiber

Ten years after initial deployments, FTTH continues to rack up faster adoption rates than did coax or copper twisted pair at similar points in their life cycles.

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24 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

FTTH MarkeT reporT

FTTH Sa�sfac�on vs Other TV Delivery, % Very Sa�sfied Source RVALLC Spring 2009

74%69%

61%

70%

56%

69%

51% 49%

41%

54%

40%

60%

Quality of HDpicture

Standardtelevision

overall

Number of HDchannels

Number ofstandardchannels

Video onDemand

HD TV overall

FTTH Other broadband

When it comes to video, the gap between customer satisfaction with FTTH and with other technologies opens wide – FTTH wins in every category of service. General Public Awareness of FTTH:

Source: RVALLC Spring 2009Aware

28%

Not aware72%

RVA reports that there is still considerable customer uncertainty about FTTH. Only 28 percent of the public even knows what FTTH is about and how it compares with other broadband delivery technologies.

General Public Interest in FTTH If AvailableSource: RVALLC Spring 2009

3%

16%

28%

54%

0% 10% 20% 30% 40% 50% 60%

100 Mbps symmetrical $145

20 Mbps symmetrical $60

10 Mbps symmetrical $40

Would keep exis�ng service

General lack of awareness about FTTH translates into a generally blasé attitude about fiber – until, of course, a potential customer sees it in action in a neighbor’s home. Note the sharp price sensitivity.

Importance of Development Ameni�es if Shopping for New Home

Source: RVALLC Spring 2009

36%

39%

59%

62%

69%

35%

36%

56%

65%

82%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Fitness center / Club house

Community pool / park

24 hour neighborhood patrol

Green space / walking, jogging

Internet from a direct fiberop�c line

Current FTTH Users

Non FTTH Users

FTTH now tops the list of desired greenfield amenities – and the gap between FTTH and second place (green space for walking or jogging) is especially wide among current FTTH users.

Adoption of FTTH is driven both by entertainment – customers greatly prefer fiber-based video services – and by its advantages for

telecommuting and running businesses from home.

Projected Bandwidth Gaps: FTTH vs Other Technologies

0

2

4

6

8

10

12

14

16

2008 2009 2010

Dow

nloa

d Sp

eed

(Mbp

s)

FTTH

Cable

DSL

RVA expects cable modem speeds to increase over the next year as DOCSIS 3.0 continues phasing in. FTTH speeds are set to increase even faster.

Correla�on of % who have done telework with Download/Upload speed (Mbps)

DSL

Cable Mode

FTTH

20%

25%

30%

35%

40%

45%

50%

0 1 2 3 4 5 6 7

FTTH access is strongly correlated with working at home, in RVA customer survey data from last spring.

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OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 25

FTTH MarkeT reporTFTTH Tested Average Bandwidth Trends

1.1

1.8

4

5.2

7

12.2

0 2 4 6 8 10 12 14

2007

2008

2009

Mbps

Download Mbps

Upload

A detailed look at bandwidth offered over fiber shows an accelerating trend.

Correla�on of % who have a home-based business with Download/Upload speed (Mbps)

DSL

Cable Modem

FTTH

15.6%

15.8%

16.0%

16.2%

16.4%

16.6%

16.8%

17.0%

17.2%

0 1 2 3 4 5 6 7

FTTH access also correlates strongly with establishment of a home business, in the RVA data. At the sample size used, the chances of this statistical association being spurious are only about 1 in 10.

®

Fiber’s bandwidth advantage over other broadband technologies continues to grow. Because home-based businesses are strongly

associated with bandwidth, making fiber to the home generally available could add as many as 1.5 million new home-based businesses.

Page 30: Connect With These Top Companies

26 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

MDU reporT

bbP: Last year, AT&T reorganized the Connected Communities program to work more effectively with property owners. What led you to do that?rh: We got really serious about this part

of the business a little over a year ago. We’d had a Connected Com-munities organization before, but it was localized – a lot of the decisions were left at the very local level. If you’re dealing with an organization where the decisions are made at the local level, you’ll get answer A in city A and answer B in city B. But once we began our U-verse deployment, we found the large owners wanted to interface with folks who could give them the same answer for any of their properties across the country.

In May 2008 we put the whole Connected Communities group to-gether with a general manager in each of four regions who could en-gage property owners for contracts, supported by account managers who go out to the properties and keep the leasing managers informed.

That led us to some interesting aha moments about this space, such as how small the community of key players is even though about 25 per-cent of Americans live in some sort of MDU. So we carved out the top ac-counts and put them into a national group with its own general manager. The national team has people distrib-uted throughout the country – those are the folks who are most concerned about consistency. Now we’re able to

serve property managers better than we could before and also take key learnings back to the network and product organizations.

It’s been an interesting and suc-cessful year. If I polled the top prop-erty owners about the changes over the last year, they’d say, “While you have a ways to go, you guys have wo-ken up and gotten on the ball.”

bbP: What types of consistency are owners looking for?rh: Owners want to know that the

AT&T experience is the same in Mi-ami as it is in Dallas. Our agreements may vary – not every property is the same – but the property owners and management companies want to sit down with one person to talk about 10 properties and not have to sit down with seven different people.

The way we are organized now has given owners a good sense of who does what and what the esca-lation paths are. Our value propo-sition, once we’re through with the contracting phase, includes a local account manager who makes sure the leasing agent is trained, the col-

lateral is up to date, and everyone is aware of promotional offers. Signing a contract to have the property man-ager market on your behalf is mean-ingless unless there’s someone local who can make sure leasing managers have the information they need.

bbP: What does your typical agree-ment with an MDU owner look like?rh: We have several bulk deals where

services are included in homeowner fees or in the rent – there are pock-ets of the country where that’s more prevalent. Those deals are typically structured with a discount off the retail offer in return for 100 percent penetration.

We also offer exclusive marketing agreements and nonexclusive mar-keting agreements.

bbP: What determines which type of agreement you use?rh: It depends more on what the owner

wants than what the carrier wants. We have a model, and we’ll estimate the outcome in terms of subscrib-ers for any type of deal the owner specifies. Typically owners may also

Q&A With Rick Hubbard, AT&T Connected Communities

AT&T is rolling out U-verse across its service territory, bringing fiber closer to – in some cases all the way to – homes and businesses to deliver IPTV and high-speed Internet access. AT&T Connected Communities is a specialized division of AT&T dedicated to creating alliances with apartment ownership and management groups, single-family builders, developers and real estate investment trusts within the 22-state AT&T footprint. Recently Broadband Properties had the opportunity to speak with Rick Hubbard, the vice president of AT&T Connected Communities, about his company’s strategy for marketing U-verse services in MDUs.

Owners want to know that the AT&T experience is the same in Miami as it is in Dallas. Our

agreements may vary, but the property owners and management companies want to sit down

with one person, not seven different people.

Page 31: Connect With These Top Companies

OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 27

MDU reporTrequest either up-front payments or revenue-sharing deals. We prefer to do incentive-based deals, where the higher penetration owners can drive, the more we’ll give them. In fact, most deals are structured that way now. When we can get the owner and leasing agent to market on our behalf, we can get significant pen-etration in a short period of time.

bbP: What makes U-verse attractive to multifamily owners?rh: Although owners value the ancil-

lary revenue stream from the carrier or cable company, what they value most is leasing or selling their prop-erties. That leads into the value of U-verse. Owners are divided about whether they want to offer a choice of providers, but they didn’t use to have a decent alternative for video except for satellite. Now they have a choice that lets them future-proof their properties with an all-IP sys-tem. When we’re the second pro-vider, we really don’t mind, because in a lot of cases the residents want a choice, and they like the new fea-tures, so we’ve seen good take rates even where we’re the second.

bbP: What about the U-verse service is helping owners lease or sell their properties?rh: The early technology adopters

largely start off living in MDUs, and they love the U-verse features, particularly the whole-home DVR. They can record up to four shows at once and play them back on any TV in the house with one DVR. That lets them do time-shifting – my three teen-age daughters don’t have to fight over their programs now. In a recent upgrade you can also sched-ule shows from any TV in the house. You can even schedule your DVR from your iPhone, iPod touch or PC, or delete shows from the queue.

People who go high-definition become really HD-dependent – they get hooked on the picture clarity. So we put a lot of effort into making sure we’re the HD leader in each market. Some of the new tech-savvy residents

have gone to HD, so the owners start thinking of HD as a differentiator.

We can also deliver U-verse TV Multiview, which is an innovative feature that lets you track four shows all at one time, on one screen. You can access Multiviews for Sports, News and Kids, and there are Mul-tiviews for ESPN GamePlan and FULL COURT subscribers.

The other beauty about IP is that the numbers of channels are virtu-ally limitless – it’s not sending all the channels to your set-top box at once, only what you’re watching.

Then there’s the U-bar, which lets you go in through an Internet portal, load up the cities you want to know about and get the weather, traffic, sports and stocks all on your TV screen – you can customize your own U-bar applications. Another ad-vantage of IP is that we can readily add applications and features, such as the whole-home DVR, without switching out subscribers’ set-top boxes. It’s a software-only upgrade.

The other value is the high attach rate of those who buy TV also buying high-speed Internet access, proving that consumers desire to bundle. The Internet access includes the in-home wireless network with the residential gateway. We hook the printers up to the Wi-Fi network, and the iPhones and other smart devices can jump onto the Wi-Fi network too.

If you have our video and high-speed Internet services, your e-mail ID for home service also gives you free access to thousands of AT&T Wi-Fi hot spots, including Star-bucks. That’s been a huge value for us in what we pitch to the leasing agent when they ask how we’re dif-ferent from our competitors.

It’s hard to say if people are mov-ing in because of the U-verse service,

but they sure aren’t moving out be-cause of it.

bbP: Are you seeing demand related to telecommuting? rh: Yes, some of the owners are pushing

green initiatives and advertising the ability to telecommute. Users need to be set up with a good infrastruc-ture for that, so the owners can lever-age the fact that we have broadband speeds with U-verse up to 18 Mbps.

bbP: How are you marketing U-verse to residents?rh: The most effective way to get resi-

dents interested is to get the service into the hands of the leasing agents and owners. Once they have the ser-vice at their own homes, they start evangelizing it. When the leasing agent says, “I have it at our house and it’s great” – you can’t overestimate how important it is to get the service in their hands, because they’ll market it for you. That’s how it’s not like wa-ter or electricity. It’s so different that you want them to be excited about it and explain it to the tenants.

A lot of the properties have a TV in the leasing office or Internet café, or else in the entryway or the club-house, and we’ll provide U-verse there as a demo. Some properties have nice demo rooms where you can open up a Wi-Fi network and some of them just have a little rental office. Regard-less of where the demo goes, we’re finding that if we can get the remote into residents’ hands we have a good shot at making them customers.

For a lot of owners, it’s about making a big splash on the property. Many of them will let us host an event, which can be really effective, or they’ll do an e-mail blast. We’ll put together a nice little package for

The most effective way to get residents interested in U-verse is to get the service

into the hands of leasing agents and owners. Once they have the service at their own

homes, they start evangelizing it.

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28 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

MDU reporT

Property X, and they’ll send it out for us.

bbP: Do you try to attract subscribers through promotions?rh: We don’t do a lot of promotional

pricing – we promote everyday low pricing, and currently we offer cash back with additional incentives if you order online. The property own-ers may also offer discounts by lever-aging our current promotions. For the most part, when we price the ser-vice it’s very price-competitive, even though it has feature advantages over other video providers.

bbP: How important is the installation experience?rh: We get very high marks on our in-

stallation technicians. In the mul-tifamily world, residents will use a leasing agent as an ear to bend, and we get a lot of remarks from leasing offices about the professionalism of the installers. Residents like the fact that AT&T techs are employees, not contractors. They like the fact that they’re highly trained and wear boo-ties so they don’t track mud inside. The leasing office folks say that no news is good news, and if there’s no ranting and raving about installa-tions, they’re happy.

We were born out of the phone company – some people consider that as a negative, but it makes us very process-oriented and attuned to availability and uptime. We’re not going to send someone to open a tele-com closet who’ll say, “I’ve never seen this before.” Plus, their job isn’t over when the service is up. They’ll show the owner how to use the remote and the Internet. They don’t just say, “Here’s the TV, see ya later.”

bbP: What are the challenges of working with MDUs?rh: The attractive side of MDUs is the

density of consumers. Localized marketing efforts can reach a lot of consumers; if you do it right, you can also get really, really good technician efficiency. You’re not going seven miles from one house to another.

There are also things we have to manage. Wiring challenges are much easier to address in single-family units than in a 200-unit MDU. If the wiring is set up correctly in an MDU, you can get everything you want – density, technician efficiency and throughput. But you really need to make sure not only that the cor-rect wiring is coming in, but also that it’s spread out correctly through-out the property. We’ve had some buildings that were old and needed wiring work.

bbP: How long does it take to wire units for U-verse? rh: It depends significantly on the wir-

ing in the building. Putting fiber to the premises (FTTP) in a new build-ing is extremely quick. Even with fiber to the node (FTTN), if the structured wiring is done correctly, we have experienced installs in un-der an hour. When we do a bulk building, we have techs there doing several units a day. We link up the video signal from the central office to the building, do some tuning on the first unit, and then we’re all set.

bbP: How do you decide what technology to deploy in any particular MDU?rh: We’re upgrading our network

to bring fiber closer to customers’ homes using FTTN and FTTP

technologies. This allows us to de-liver on our customers’ increased bandwidth demands. For example, if the property is a big high-rise, we’ve used the building as the node, taking the video equipment and placing it in the basement, then running fiber into the building and running Cat 5 cable or coax up. That’s very effective because it puts the video equipment in a conditioned space as close as possible to the customer.

There’s no such thing as a cookie cutter, though. Our technicians have to get involved and say, “Here’s how we’re going to do this.” On new builds, we recommend the owners provide structured wiring to indus-try standards. It makes everyone’s lives a lot easier if you get it right up front. Owners may subcontract out the inside wiring or hire us to do it – but as long as they build to the specifications we’ve given them, it goes very quickly.

bbP: Do you ever use FTTP in overbuilds?rh: Not on a broad scale, but maybe if

there’s a substantial renovation going on, we’d work with the engineers to see what makes sense.

bbP: How do you coexist with other providers in these properties?rh: What owners care about in a multi-

provider world is the providers living in harmony with each other. If own-ers have given the rights to the coax to another company, we’ll just stay on the telephone wire (twisted pair). In other cases they want us on the Cat 5 wires, or else they don’t mind if we use the coax, as long as we live in harmony.

However, more and more new buildings have Cat 5 everywhere and coax everywhere, and that’s a real easy way to live in harmony. There are new and innovative wiring pan-els, developed by several vendors and used by all the companies, that allow for peaceful coexistence. You open up the wiring panel and the U-verse plug goes here and the cable com-pany plug goes here. That’s the way the world is going to be. Consumers

In MDUs, localized marketing efforts can reach a lot of consumers and technicians can be very

efficient. But wiring issues can be difficult to address. You need to make sure you have the

correct wiring coming in and that it’s spread out throughout the property.

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vote on what’s the best value for the money. And given that we’re the new entrant, we understand that and try to play nice.

It’s an interesting dynamic – at one point the owners might have been attracted by the larger amount of money for an exclusive provider deal, but then they’re leaving resi-dents with no choice. Is the little bit of extra ancillary revenue worth it? As you know, the FCC has weighed in on exclusive provider enforceabil-ity. Owners are still split on that one. We’ve got several properties where U-verse is the only service there, either because the owner said so, or because another provider chose not to come

in. For a large part of the population, except for brand-new builds, proper-ties already have service, so we have to compete on a product basis.

bbP: Have property owners and managers expressed concerns about installing U-verse?rh: Most of their concerns have noth-

ing to do with not liking U-verse, but with their contracts – they may already have an exclusive marketing deal with someone else. Sometimes we’re still willing to bring in U-verse and let it stand on its own merits, but that means their commissions may go down.

Still, once you start getting buzz, a few managers and owners will

call and say that people are asking whether the property gets U-verse.

The owners care about apartments being rented and renters being happy. They don’t want service outages or property disruptions. An advantage of FTTN is very minimal disruption to the property because we are riding copper already in the building.

What owners care most about is that when U-verse becomes avail-able, we have someone there to work and market the service for the first time. After that, the leasing agents will pick up on it. When a property is going green, you’ve got to be ab-solutely sure that the first few orders go through fine. We make sure all the addresses are loaded into the database. Before we market a prop-erty and make a big deal about it, we check through ordering the service – all the basic blocking and tackling.

Our mission is to have customers, owners and residents love U-verse from the very first impression. bbP

Property owners have to consider the pros and cons of exclusive marketing deals – is the additional ancillary revenue worth depriving

residents of a choice of service providers?

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New Technologies For Deploying Fiber in MDUsThere’s no silver bullet for deploying fiber in MDUs, but an arsenal of new weapons is making fiber installation faster and more economical.

Deploying fiber all the way to the living unit, once a rarity in multiple-dwelling-unit (MDU) buildings, has become more common today. Tom LeBlanc, FTTx product manager for fiber connectiv-ity vendor ADC (www.adc.com), says, “Five years ago, people never dreamed of the bandwidth they’d need. They probably believed fiber to the unit was overkill. Now, with bandwidth growing and applications growing, the thirst for bandwidth seems to be larger and faster than people anticipated.” Now, many property owners believe running fiber to the unit adds value to their buildings.

The sticking point for MDU deploy-ments has always been the diversity of building construction. “Every building is different, but we don’t want every prod-uct to be different,” says LeBlanc, adding that ADC is developing a standard set of tools to solve fiber deployment problems in most common MDU building types.

rAPiD Fiber For VertiCAL DiStribUtioNOne of these tools, the new Omni-Reach Rapid Fiber System, is a plug-and-play solution for vertical distribu-tion in MDUs. Using connectorized fiber in this application is much faster, easier and less risky than splicing.

ADC’s Rapid Fiber Distribution Terminal has a built-in spool on which technicians stock 3 mm fiber cable in 100-foot, 200-foot or 300-foot lengths; they pay out cable from the spool, pull it easily through the building riser, plug it into a multifiber push on (MPO) con-nector on the fiber distribution hub in the basement and store any remaining

slack on the spool behind the terminal. (Reduced-bend-radius fiber is relatively easy to store in limited spaces.) “Innova-tive ways of managing slack means you don’t have to have 100 different stub lengths to custom-engineer getting from point A to point B,” LeBlanc says.

Some ADC customers report that adopting the Rapid Fiber System allows them to complete as much work in a day as they once completed in six days. Al-though their fiber usage increases, sav-ings on labor and on splicing equipment lower overall deployment costs.

Of course, the economic case is dif-ferent for every locality and building type. LeBlanc says, “I would encourage each customer to go through the full cost model and see if plug-and-play makes sense. We’ve built tools to help our cus-tomers model splicing versus connector-ization – they can plug in all the prod-uct costs, make assumptions about labor costs and hours and see where the total costs per living unit come out.”

LeBlanc says the greatest demand for plug-and-play products is in mid-rise and high-rise MDUs – buildings that re-quire indoor distribution products with high fiber counts. Deployers typically place a 12-fiber or 24-fiber terminal on each floor of a high-rise building.

Property owners also prefer plug-and-play deployments in their build-ings. The installation process is faster and less disruptive, and the small hubs and terminals are less noticeable.

the LASt LeGADC is also working on tools to speed the final leg of the process – running

drop cable from the fiber distribution terminal to the living unit. Drop cable is usually connectorized only on one end so it can be cut to length. Most deployers plug the connectorized end into the op-tical network terminal (ONT) to avoid leaving shards near the living unit, then splice the other end to the fiber distri-bution terminal. In brownfields, ADC recommends preinstalling microduct (usually above drop ceilings in hallways) from the fiber distribution terminal to living units and running fiber through the duct only when the customer takes service, to align costs with revenues.

Because microduct can be costly, some deployers prefer to run fiber through moldings where possible. For this type of installation, ADC offers bundled drop cables that can be run down a hallway. Six or 12 fibers are wrapped together but not jacketed, al-lowing installers to peel off a single fiber at the entrance to each living unit and splice it to a final drop cable that runs to the ONT. LeBlanc says, “We’re still looking at ways to eliminate that last splice. We can’t make the cable available in 1-foot increments, so we’ll need ways to manage the slack for individual drop cables, such as small wall boxes.”

LeBlanc says the MDU market is still in its infancy and fiber distribution systems for MDUs have plenty of room for improvement. “There may be another generation or two of products before we feel like [our solution] is tough to beat,” he says. “But over the next few years, MDUs will become a bigger and bigger market, so we’ve got to stay with it.”

ADC Innovations Bring Fiber to the Unit

A BBP Staff Report

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3M’s newest MDU solution generated plenty of buzz at last month’s FTTH Conference in Houston. The One Pass Fiber Pathway Duct, a horizontal cable pathway and drop cable solu-tion, was developed in conjunction with Verizon for installing fi-ber in New York City apartment buildings. Now 3M (www.3m.com) is marketing the solution to other service providers that are installing fiber in brownfield buildings with indoor hallways. The solution is also applicable to hotels, assisted living facilities, hospitals, schools and small businesses.

The solution consists of a PVC duct coated with adhesive and filled with six or 12 tight buffered fibers and factory-terminated at one end with SC connectors. (3M uses Draka BendBright XS bend-insensitive fiber, but other fibers could be substituted.) The duct is packaged on a spool attached to a wheeled cart. After plugging the fibers into the fiber distribu-tion terminal on each floor, technicians wheel the spool down the hallway, sticking the duct to the wall as they go and install-ing the drop cable inside it in the same pass. An offset tool keeps the duct horizontal as the technicians make their way down the hallway.

The technicians then open a window cut over the doorway of each apartment and pre-position the final length of cable,

using a mechanical splice. When a customer requests service, the installer can quickly plug the cable into the optical network terminal in the customer’s apartment.

According to Linnea Wilkes, 3M marketing manager, in-stalling the One Pass in a hallway – including attaching the cables for each apartment – takes about two hours, compared with a full day to install a latch-molding system.

FroM AirPLANe NoSe to APArtMeNt hALLWAYWilkes says that after beginning work with Verizon in spring 2008, 3M engineers spent several months riding in construction trucks observing installations and talking with installers about what they needed. Verizon installers said they wanted a solution that they could install quickly and easily and that would be at-tractive enough to be welcomed by property owners.

3M, which is one of the world’s leading developers of adhe-sives, found that an adhesive it was already selling to hold to-gether metal plates in buildings and airplane noses would also

3M’s One Pass Fiber Pathway Duct

3M’s new flexible adhesive ribbon tape with embedded fiber makes deploying fiber around doors and corners easy. The breakout boxes also attach with adhesive. Only after customer signup does the ISP need to gain access to the living unit. The tape can be flush to the wall and plastered over; the pictures show a particularly inelegant installation to highlight the corner-handling ability of the system.

In a typical hallway, 3M One Pass can be installed in two hours.

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Ribbon cable for the 3M One Pass comes on a reel; the application head is mounted on a stick tall enough to reach the ceiling. Two installers can handle a long hallway run – one handles the applicator while the other feeds the cable.

be appropriate for this application. After months of testing, the company established that the adhesive would bond perma-nently with most painted and wallpapered surfaces. (The adhe-sive will not work with textured wallpaper or with unpainted

brick or concrete.) Installers also can apply paint over the duct, making it as inconspicuous as a bead of caulk.

Field trials of the new solution began in January 2009, and the first commercial deployment was slated for October 2009.

Wall-mounted fiber distribution panels from Clearfield (www.clearfieldconnection.com): The FieldSmart 144-port panel, which has been optimized for deploying PON-based fiber-to-the-home networks in MDUs, is able to support four splitters in a compact 24-by-26-by-8-inch footprint. Like other Clear-field equipment, this panel has the Clearview Cassette at its heart, allowing deployers to easily scale their networks.

Fiber Distribution Terminals

For the MDU, Motorola (www.motorola.com) sup-plies 12- and 24-unit mul-tiunit ONTs, along with a variety of unit-level ONTs. Some of the company’s ONTs include broadband routers and battery backups. Consolidating customer-premises devices by incorpo-rating broadband routers and battery backups into ONTs can save 30 to 60 minutes per installation, according to Motorola’s Floyd Wagoner. “That adds up to a lot of money,” he points out.

Optical Network Terminals

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As the world’s largest supplier of broadband chipsets, Broad-com (www.broadcom.com) focused until this year primarily on the cable and DSL markets. Recently the company entered the fiber-to-the-home market with a GPON chipset, which made its debut in the award-winning indoor ONTs designed by Alcatel-Lucent for Verizon to deploy in MDUs.

Greg Fisher, vice president and general manager of Broad-com’s carrier access business, offered these insights into the MDU broadband business:

“We’re now seeing a lot of activity in MDUs, where deploy-ers are feeding fiber to the building or a near-in node, then distributing via DSL or Ethernet from those configurations. … At the moment there’s more fiber to the building than to the unit in MDUs. China Mobile is deploying GPON to the building, either to each floor in a high-rise or to the whole building. It’s not uncommon to bring fiber to a floor – it makes more sense where you don’t have a strong video business model, as in China. When you have a stronger video business model, fiber to the unit makes a lot more sense.

“The first example of an indoor ONT deployment [in North America] used technology from Broadcom; now we’ll see if it’s making more sense to bring fiber to the user rather than to the building in situations with high population den-sity. It’s probably another competitive weapon for the carrier, but it depends on what the building owner favors, and that’s different in each case. It will be particularly useful where there is competition with cable; where there isn’t, there’s less of an established precedent. Historically, some of the higher popula-tion centers definitely have a cable precedent. … For a telecom carrier to come into a building [as a competitor to cable], it has to offer a value proposition and an entire deployment model that [owners] are favorable to.”

One version of Broadcom’s chipset integrates MoCA, a pro-tocol for distributing data throughout the home over existing coaxial cable. This integration allows the ONT to serve as a resi-dential gateway. “If you can integrate the capability of the broad-band home router into the system on chip, you wouldn’t have to

have the router as a separate piece,” Fisher says. “Once [Verizon] gets more experience with the indoor desktop unit, and that ex-perience is positive, and the economics of integration versus the risk of technology obsolescence makes sense, that’s a good direc-tion to go in. The gateway may change faster than the ONT … though if the combined box doesn’t cost more than a broadband home router, it doesn’t matter. It’s a story yet to play out.” bbP

Fiber to the MDU: A GPON Chipmaker’s View

Microduct is a popular solution for creating pathways in MDUs for future fiber deployments. At the FTTH Confer-ence in Houston, the British optical cable company Miniflex (www.miniflex.co.uk) introduced a microduct product with a few new twists.

Miniflex DVC Microduct is unusual in allowing deployers to push or pull optical cable through instead of using expensive air-blowing equipment. (Miniflex also offers a battery-operated micro cable pushing machine for long runs.) Cable can be inserted easily because the microduct is lined with a dynamic-velocity- conserving (DVC) material that reduces friction and static dis-charge. Pushing cable through a 100-meter cable route with

16 90-degree bends takes between three and five minutes, the company says. The microduct itself is easy to install and with-stands rough handling.

Another advantage of the Miniflex microduct is its high crush-resistance and bend-limiting features. Because the mi-croduct has a limited bend radius, it prevents the fiber inside it from being bent at angles that would cause optical loss. This eliminates the need for using reduced-bend-radius fiber, even in complex routes.

The microduct can be used in walls, floors, risers, cable ducts, cable troughs and over ceilings. A plenum-rated version is under development.

Miniflex Shows Microduct for MDU Market

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122.

For other inquiries, call 877-588-1649, or visit www.bbpmag.com.

April 26 – 28, 2010InterContinental Hotel – Dallas

Addison, TexasThe Leading Conference on Broadband Technologies and Services

Broadband Properties Magazine

the newest sponsors and exhibitors joining the 2010 Broadband Properties Summit.

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bbP: What is the economic climate facing multifamily owners today?br: This is a difficult time right now

for property owners; they are deal-ing with a drop in total renter house-holds across the country. They’re see-ing not only a decline in new-renter formation, but also vacancy rates higher than they’ve seen in several business cycles, with demand drop-ping quickly in many markets and rental rates declining at a pace they haven’t seen in quite a while.

Average rental rates are down sig-nificantly across all product types and all regions – not just on the East and West Coasts but in the middle of the country as well. The declines aren’t at the same level everywhere, but they are presenting a broad-based chal-lenge. So owners are now looking at all avenues for driving miscellaneous income to their properties. This has been an ongoing trend for the last 10 years, but it has accelerated today.

bbP: How does the economic situa-tion affect the relationship between PCOs and property owners?br: We’re now seeing some property

owners driven solely by door fees – they’re making decisions based on economics rather than on customer care or technology. They’re still ask-ing the usual due-diligence questions, but with an emphasis on economics.

Property owners do have a greater level of sophistication about technol-ogy than they did historically. They understand the options, they know the difference between DIRECTV and FiOS, they know about the need to bring choices to residents, they’re aware they should focus on provid-ing value or price according to the resident profile. They’re sensitized to all those things – but in certain cases, because of the economic challenge, the economic offer is outweighing some of these issues right now.

That’s particularly the case with regard to up-front payments. In years past, owners would sign contracts for seven, eight or 10 years that would include fees paid over the life of the agreement. Today, many owners are saying, “I want all of those fees in month one.” So operators are getting very aggressive in order to meet the demands of property owners around the country.

bbP: How can PCOs compete in this kind of market?br: This is a great opportunity for inde-

pendent broadband service provid-ers that are well capitalized and well disciplined. If they’re smart about economics, they can find tremendous opportunities to win great properties.

In past years, many providers have not been disciplined enough and have found themselves in prop-

erties they shouldn’t be serving. If you pay a big incentive up front, you need to recognize that you’re taking on the risk of property performance for seven to 10 years. Over that pe-riod, many things can change – the quality of the owners, of the prop-erty, even of the location.

The reason revenue sharing has worked in the past is that it aligns the interests of the property owner and the provider on trying to cap-ture as many of the new move-ins as possible and to sell as many services as possible. But if you pay the entire fee up front, you lose leverage over the long term. That’s why you have to be smart about properties and lo-cations. Property selection demands a high level of discipline.

In addition, private cable op-erators are now competing with the 800-pound gorillas of the cable and telco worlds. That ups the ante be-cause in some instances [these large companies are] very comfortable with paying significant up-front incen-tives. That’s not a playing field PCOs should want to compete on – they win when they compete on respon-siveness, service and customization.

bbP: What are multifamily residents looking for now?br: Broadband has really become a ma-

jor priority. The bandwidth capacity delivered to a property is very impor-

Q&A With Bryan Rader: The Changing Landscape for Private Cable Operators

Bryan Rader is CEO of Bandwidth Consulting LLC, a national firm based in Chesterfield, Mo., that offers consulting services to service providers in the multifamily market segment. Before launching Bandwidth Consulting, he founded and operated MediaWorks, a private cable operator (PCO). In his “Provider Perspective” column, which appears in ev-ery issue of this magazine, Rader shares his insights into the PCO business with BBP readers. Recently BBP spoke with him about the impact of today’s economic conditions and technology trends on independent service providers.

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tant. Customers are becoming more broadband-centric than TV-centric. Especially in younger communities, broadband is more important than the number of channels or high-definition services. With a younger clientele, there’s a shift to broadband first and television second. The min-imum acceptable speed is going up every day.

The younger set grew up on broadband over the last decade. It’s a central part of their lives, from social networking to shopping and enter-tainment – it’s a piece of everything they do. Facebook, Gmail, YouTube, Hulu – this is where they get their news and entertainment.

You have to be prepared to sup-port the customer who places a prior-ity on broadband. Be sure you have the right skill set on staff, the infra-structure to support faster speeds, a pricing model that makes sense – this change has a potential impact on all aspects of the business. This is not a short-term issue; it’s a fundamen-tal shift that’s more prevalent with younger customers, but we’ll eventu-ally see it in all customer segments.

bbP: Will broadband drive out traditional video services?br: I think we’re in the very early stages

of the “cutting the cord” trend. Again, it’s a generational shift. The adoption rate for reading news online versus on paper was a slow decaying model. The cable market still has a long-term future; it’s going to be a part of how our customers will get their infor-mation, but I think the broadband pipe will also become the centerpiece of the offering – the primary rather than the secondary product.

Twenty-somethings starting out today [in their first apartments] will get a broadband connection. They might download television shows for free and rent movies through

Netflix. Their telephone service will be cell phone only. Now, that’s the young customer, which is still only a very small percentage of the total.

bbP: How can PCOs respond to this trend?br: I’m optimistic that this behavioral

shift presents more opportunities for the service provider. We need to align ourselves with these technologies to take advantage of them. Customers may be willing to pay more for pre-mium broadband – say, $5 to $10 for a two-hour session of premium broadband for a game they’re playing. There are a lot of revenue opportuni-ties. Companies like Netflix are offer-ing immediate downloads of movies.

A number of operators are starting to talk to companies offering applica-tions to get into that space. That’s a new frontier – a point of difference in competing with the 800-pound goril-las to offer value-added service.

bbP: Are there other new services PCOs should think about selling?br: I think security has become a hot-

button issue again at a number of lev-els. Crime rates have gone up in cer-tain markets and owners are seeking new security solutions for the fitness center, the leasing office, the commu-nity as a whole. It’s a new opportunity for service providers. There are inter-esting notification methodologies such as wireless solutions and visual solutions. If incidents occur over-night, the system can trigger cam-eras to download video to property owners halfway across the country. Service providers can make solutions available both to owners and to resi-dents. bbP

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122.

For other inquiries, call 877-588-1649, or visit www.bbpmag.com.

For becoming the Monday and Tuesday Afternoon Break Sponsor at the 2010 Broadband Properties Summit.

For more information on Comcast, visit www.comcast.com.

You are cordially invited to come see Comcast at the upcoming

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Private cable operators can differentiate themselves by offering value-added services, such

as extra broadband speeds for a gaming session or a movie download.

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the first few meters inside the home are proving to be more ex-pensive to conquer than the first

mile. Network builders can now pass a home with fiber for $600 or less. But the home network needed to take advantage of fiber’s bandwidth has remained pricey due to its custom nature; every dwelling unit presents new challenges.

G.hn – standing roughly for “next-generation home network technology”– is one of several approaches to home networking that seek to make first-meter connectivity easier to handle. It is a unified standard for wired in-home networking being developed by the In-ternational Telecommunications Union Telecom (ITU-T) Standardization Sec-tor and promoted by a trade group, the HomeGrid Forum. G.hn technology is being designed to offer important ad-vantages to service providers, property owners, homeowners and tenants.

When it becomes commercial next year, G.hn will allow networking of all types of digital media over unshielded telephone lines, power lines and coaxial cable – the most common wires found in today’s homes. G.hn will also be com-patible with the two most widely used Ethernet home networking technolo-gies, Cat 5 and Cat 6 wired Ethernet (IEEE 802.3) and wireless Wi-Fi (IEEE 802.11). The new standard will enable multiple digital media devices to com-municate more easily within a home network even if they use different types of wiring.

The G.hn protocol obtained the consent of the ITU-T last December as

ITU-T Recommendation G.9960: phys-ical layer (PHY) and architecture. But the rest of the complex standard jelled only this past spring, and final details with regard to digital rights manage-ment (DRM) were still being polished at press time. In general, G.hn will use AES encryption but will be transpar-ent to other devices’ encryption and DRM schemes.

ProDUCtS AVAiLAbLe iN 2010In spring 2009, members of the once secretive ITU-T G.hn work group and Institute of Electrical and Electronics Engineers (IEEE) standards develop-ers began cooperating in a more formal way. Although G.hn prototype chips have already been produced, the full G.hn specification with DRM is not expected to receive consent from ITU-T until this fall. The first product-ready silicon chipsets will follow in early 2010 and G.hn products are expected to be-come available later next year. Some consumer electronics firms intend to

have demonstration products (not yet fully operational or ready for shipping) on display at the International Con-sumer Electronics Show in Las Vegas in early January 2010.

G.hn is the second wireline home networking standard developed by the ITU-T in recent years. The earlier one, HomePNA (ITU-T standard G.9954), is a home-networking standard for co-axial cable and phone wires used by service providers such as AT&T (for U-verse). Following the same process used by the HomePNA Alliance, the Home-Grid Forum is working toward certify-ing compliance to the G.hn specification and ensuring the interoperability of up-coming G.hn products. The HomeGrid Forum Web site, www.homegridforum.org, provides up-to-date information on the G.hn standards-setting process along with useful information that can assist property owners and network builders in making decisions about future invest-ments in G.hn technology.

G.hn: A New Standard for Home Connectivity

By Linda A. Schoener ■ Technology Writer

Home networking has been the final and most challenging broadband frontier. Thanks to G.hn, it’s about to become much simpler.

About the AuthorTechnology writer Linda A. Schoener can be reached at [email protected].

G.hn is expected to offer important advantages to service providers, property owners, homeowners and tenants. It will enable digital media devices

to communicate easily in a home network even if they use different types of wiring.

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being shaped by stakeholders from the global telecom industry along with con-tributors from consumer electronics companies, personal computing com-panies, silicon suppliers and IP licensing companies. Service providers partici-pating in the ITU-T G.hn work group include AT&T, British Telecom, China Telecom, France Telecom, NTT, Qwest and Telenor. Work group members from the home networking industry include ACN, Alcatel-Lucent, Aware, Conexant, CopperGate, DS2, Gigle, Infineon, In-tel, Panasonic and Texas Instruments.

The HomeGrid Forum has entered into agreements with several indus-try standards groups, including the Digital Living Network Alliance, the HomePNA Alliance, the Consumer Electronics Powerline Communication Alliance, the Universal Powerline Asso-ciation and the Continental Automated Buildings Association.

G.hN iNteGrAtioN iNto ProDUCtSG.hn technology will almost certainly be integrated into many consumer elec-tronics, service provider and computing products. Mario Finocchiaro, HomeGrid Forum secretary and director of business development for Aware Inc., said in a HomeGrid Forum webinar (“A Service Provider’s Perspective on G.hn,” May 2009), “By virtue of the fact that G.hn is designed to network all varieties of digital media throughout the home, any home appliance that sends or receives digital media, including voice, audio files, video and data … is a candidate for G.hn.” Televisions, DVD players, AV components, whole-home audio systems, personal video recorders and gaming con-soles such as the Xbox 360 are all likely to be embedded with G.hn technology.

Finocchiaro added, “Any of the prod-ucts that service providers use to deliver triple-play or even quad-play services to their subscribers are ideal candidates for G.hn technology. … These include set-top boxes, residential gateways, broad-band home routers and that type of net-working equipment.” Optical network terminals (ONTs) are also potentially important G.hn platforms.

G.hn-enabled computing products could include storage devices, printers and phones as well as personal comput-ers. G.hn is also being designed to con-nect personal computers to many other types of devices. “For example, if a home user wanted to watch an Internet video on a TV, or send audio files, or play music throughout the home, or print files, or store information on a home-network-to-patch-storage (NAPS) box, [G.hn could support all] these types of applications,” Finocchiaro said.

ChALLeNGe AND oPPortUNitY For SerViCe ProViDerS As a next-generation in-home network-ing standard, G.hn presents both a chal-lenge and an opportunity to service pro-viders. Verizon, for example, has been mentioned as an early participant in the ITU-T G.hn standards-setting work group. But although Verizon may in fact benefit in the future from G.hn technol-ogy, it has invested heavily in the Mul-timedia over Coax Alliance (MoCA) standard for its FiOS installations. For now, Verizon’s overriding concern in the formation of G.hn specifications is backward compatibility and interoper-ability with MoCA.

“Verizon agrees that the goal of es-tablishing a home-networking standard that can operate over any in-home com-munications medium is directionally the way to go,” said Tushar Saxena, Verizon’s director of home networking. “However, for any standard to succeed, it must address backward compatibility with technologies such as MoCA that have achieved wide-scale deployment in consumers’ homes. We will continue to work toward this larger objective.”

AT&T, on the other hand, has con-tinued to be a major participant in the ITU-T G.hn standards-setting process

since the creation of G.hn in 2006 even though it has invested in HomePNA for its U-verse deployments. Tom Starr, lead member of technical staff at AT&T Labs and an active ITU-T contributor to the G.hn standard, said in the pre-viously mentioned HomeGrid Forum webinar, “One of the important distinc-tions between G.hn and some of the legacy home-networking technologies is that G.hn is being designed from the outset to be part of a service provider’s managed service to the customer.”

FASter NetWorkS iN MDUSBecause G.hn is expected to signifi-cantly exceed the transmission speeds of existing in-home networking wired technologies, it could become indispens-able to property owners whose older ten-ants will require greater speed and better connectivity for their legacy devices.

According to Finocchiaro, G.hn is targeted to have a 1 Gbps PHY data rate, which will translate into different throughput and coverage rates for coax, telephone lines and power lines. He an-ticipates “a 400 Mbps throughput rate at 99 percent coverage over coax and 250 Mbps throughput with 98 percent coverage over power lines.” Performance levels between those targets are expected for telephone lines. With first-mile net-work speeds already reaching 1 Gbps in a few countries, in-home networking transmission speeds like these will soon be necessary.

Because G.hn is designed to coexist with networking technologies already in use in home wiring, it will have to look like Ethernet to a wide range of devices. This enhanced feature will enable G.hn to connect readily to older devices.

Initially, legacy devices might be connected through an intermediate G.hn hub that could cost between $30

Because G.hn’s transmission speeds will exceed those of legacy technologies, it could become

indispensable to property owners whose older tenants require greater speed and better

connectivity for their legacy devices.

Page 42: Connect With These Top Companies

38 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

MDU reporTto $50 by the end of 2010. Many new consumer electronic devices will have the G.hn hub built in at an expected additional manufacturing cost of about $2. That way a home entertainment cen-ter, a new TV set or a network storage drive could become a G.hn hub on the home network.

G.hn standards setters envision G.hn-compliant hubs that link dispa-rate devices. New G.hn-aware devices will likely be able to do all or most of the configuration work themselves in a few years. But older existing devices – about 85 percent of consumer electron-ics products in a typical home today – are not network-aware and will rely on hubs to connect them.

Property owners with predominantly younger tenants may choose to not add G.hn technology to existing MDU wir-ing because these tenants have newer consumer electronics devices that are al-ready Ethernet aware over standard Eth-ernet cables and Wi-Fi. Newer consumer devices with Ethernet ports can easily be connected without G.hn through a small computer or even through appli-ances such as game stations.

Do-it-YoUrSeLF NetWorkiNGFor some property owners, letting ten-ants create their own in-unit networks by

buying compatible consumer electronics products and hooking them together in an ad hoc fashion is particularly cost-attractive. Of course, even today tenants often install their own connections to bypass nonstandard and poorly installed coax cable. But ad hoc networking with today’s technologies will become more difficult for consumers in the future be-cause of DRM.

G.hn is expected to help make in-home connectivity so easy that users themselves will be able do it. Thus, prop-erty owners may not have to front the cost of doing installations if this work becomes easy enough for new tenants or homeowners to do on their own. Starr said, “The recurring theme that you will be hearing is simple self-installation by an average consumer. So this is an area where there is an enormous value avail-able. We hope to capitalize on this. This by itself could be the so-called killer ad-vantage of G.hn technology.”

Starr noted that the security and pri-vacy features of the G.hn standard are also particularly important in MDUs, where tenants often share the same wir-ing. Sharing wiring can lead to insecure transmissions or to the possibility of in-terference over electrical power lines.

Implementing G.hn technology in MDUs may present some challenges,

however. As Starr commented about AT&T’s preference for putting residen-tial gateways inside living units: “Cer-tain landlords sometimes might prefer to put the equipment in the equipment closet and not in the living unit. And that’s the interesting ‘wrinkle’ that will have to be considered.”

ForGoiNG StrUCtUreD WiriNG AND WireLeSS SoLUtioNS Most owners will use straight Ethernet, not G.hn, in structured wiring installs. But MDU owners planning to install structured wiring in new units might consider using G.hn instead to wire units for high bandwidth.

Owners opting to use G.hn technol-ogy could include it inside a structured wiring cabinet in small as well as in large apartments. But to make room for all the cables that could potentially be connected, owners will probably want to make cabinets taller than the custom-ary between-the-studs size of 28 to 30 inches deep and 14.5 inches wide. The minimum height for a between-the-studs structured wiring cabinet may need to be at least 36 inches. G.hn can be powered by the same supply that handles the ONT.

Owners could also forgo structured wiring altogether and make the pro-posed G.hn hub freestanding because new technology, such as NTT’s newly affordable bend-insensitive fiber and the “thin” version of Corning’s fiber, allows for a portable network gateway. Verizon is already deploying such ONTs in the United States. The problem, of course, is that bringing the ONT inside a home does not always meet existing regulatory requirements for telephone industry demarcation points. And the network provider, not the property owner, will own the first-meter wiring if the ONT is inside the customer premises.

The FCC has signaled that it has no interest in specifying demarcation points at the federal level even if the phone companies want them. (U.S. phone companies have always had flex-ibility on a state-by-state basis for de-termining installations of both outside and inside wiring.) This makes G.hn attractive in older structures because it

FiVe DeGreeS oF iMProVeD hoMe NetWorkiNG 1. easy fix. Common home-networking problems should be resolvable

by the customer without outside help or, if necessary, with help from a remote technical support center.

2. easy add. Customers with existing service should be able to easily move customer-premises equipment and add new devices to their home net-works by themselves.

3. No new wires. Installation of new service by a technician should never require new inside wiring or reconfiguration of existing wiring. The equipment should automatically configure itself to use the best avail-able wiring.

4. outside only. A technician should be able to install service, including home networking, without entering the home. Once the technician has placed equipment outside, customers should be able to install the re-mainder themselves.

5. Complete DiY. Like ADSL-based Internet service today, the customer performs the complete installation, with no technician dispatch.

Source: Tom Starr, AT&T Labs

Continued on Page 63

Page 43: Connect With These Top Companies

Toward a Fiber-ConneCTed world

Expanded Multi-Housing ProgramAn Agenda Developed by Industry Leaders

Secure your seat today by calling 877-588-1649, or visit our website at www.bbpmag.com

The 2010 Advisory Panel of Property Owners Includes:Brian McIntire

Director of Information Technology – Buckingham CompaniesCheryl Barraco

Director of Telecommunications – Avalon Bay Communities, IncMichael Halbrook

Ancillary Business Manager – Mid-America Apartment CommunitiesJeffrey Bond

Vice President, Ancillary Services – RelatedJorge de Cardenas

Sr. Vice President Information Technology – American Campus CommunitiesKaren Seemann

Director Ancillary Income – Essex Property TrustKent McDonald

Director of Communications Services – AIMCOMark Bershenyi

Director of Contracts – Archstone SmithMichael Burnette

Vice President, IT – Place PropertiesRobert Bishop

Vice President – Riverstone Residential GroupSteve Merchant

Vice President of Revenue Strategy – Equity ResidentialTerry Fulbright

Vice President, Director of Ancillary Services – UDR, Inc.Woodrow Stone

Sr. Director, PMO – Pinnacle

Steve Sadler Vice President, Ancillary Services,

Post Apartment Homes, L.P.

Henry Pye Vice President, Resident Technology Solutions,

RealPage, Inc.

Chris Acker Director, Building Technology Services Group,

Forest City Enterprises, Inc.

MDU Co-Chairmen:

Summit EverBiggest and Best…

GEt ConnECtEd

at tHE SuMM itaPril 26 - 28

dallaS

Page 44: Connect With These Top Companies

identifying the Value:Multifamily Emerges from recession

Multifamily HOT TOPICS on the Agenda(Confirmed and Invited Speakers as of 10-15-09)

Secure your seat today by calling 877-588-1649, or visit our website at www.bbpmag.com

• Ian Davis – Lawyer, Munsch Hardt Kopf & Harr • Art Hubacher – Lawyer, Costlow & Hubacher • Matthew Ames – Telecommunications Law,

Miller & Van Eaton

Points of Demarcation: Have the Lines Become too Blurry to See?

What does the “point of demarcation,” or “demarc,” really mean? When is it appropriately applied? Has the demarc reached the end of its illustrious life, to be replaced by anoth-er all-defining term? Or are owners and providers gearing up for yet another battle that is likely to leave them both weary? • Daniel O’Connell – National Sales Director,

Verizon Enhanced Communities • Mike Olson – DIRECTV • Richard Holtz – CEO, InfiniSys

What Is the Value in Bulk Services?Critical to many multifamily verticals, bulk services are constantly evolving. Providers and owners will discuss current, near-term and future bulk services for multifamily communities. • Karla Martin – Senior Manager, Resident

Technology Solutions, RealPage Inc. • Gregory McDonald – Director of

Telecommunications, Camden Property Trust • Jerry Grasmick – Vice President, Dish Network • Nathan Geick – MDU Division Director,

Suddenlink Communications • Robert Grosz – Executive Vice President and

General Manager, Pavlov Media • Ian Davis – Lawyer, Munsch Hardt Kopf & Harr

Owner Discussion: Marketing Agreements and Industry Trends

If you are dazed and confused by the latest version of a mar-keting agreement or by the whiz-bang technology a provider says you can’t live without, this is the session for you. We will explore industry trends in the comfortable and protected con-fines of an “owner only” setting. No glossy marketing material or legalese will add to the confusion; we’ll have only honest and frank discussion about the impacts on our industry and our residents. This is an excellent forum for smaller owners who may not have the in-house expertise to sort through a confusing and often costly decision-making process. • Steve Sadler – Vice President, Ancillary Services,

Post Apartment Homes, L.P.

Due Diligence: Evaluating an Existing Multifamily Community

Better, faster, cheaper: How do providers and owners give residents what they want for a price they want? • Henry Pye – Vice President, Resident Technology

Solutions, RealPage Inc. • Kent McDonald – Director of Resident Technology,

AIMCO • Mike Kolb – Overbuild Specialist, Connexion

Technologies

The Value Proposition for the ConsumerOwners and providers get together to discuss current and near-term service offerings that will provide value to the owner’s residents and the provider’s subscribers. How can provider offerings complement those of the owner? • Steve Merchant – Vice President of Revenue Strategy,

Equity Residential • Lin Atkinson – General Manager, National Accounts,

AT&T Connected Communities • Michael Baer – Regional Sales Manager, Insight • Tammy Gonzales –General Manager Commercial

Markets, Bright House • Vin Lipinski – Vice President Business Development,

DirecPath

Providers Panel: What Do Providers Want From Multifamily Owners, Managers and Builders?

Owners have often discussed the issues, both contractual and operational, that affect their properties; now providers will have a chance to discuss the multifamily market from their perspective. • Chris Acker – Director, Building Technology Services

Group, Forest City Enterprises Inc. • Dave Schwehm – Senior Director, National Sales,

Time Warner Cable • William (Bill) Revell – Vice President, National MDU

Sales and Services Operations, Comcast Cable • Daniel O’Connell – National Sales Director, Verizon

Enhanced Communities • Lin Atkinson – General Manager, National Accounts,

AT&T Connected Communities • Mike Olson – Vice President of Sales, DIRECTV • Eric Fichtner – Executive Vice President,

Products and Services, Connexion Technologies

Summit EverAt The SummitGet Connected… Biggest and Best…

Future of Multifamily Design: What Building Styles, Systems and

Applications will Dominate Tomorrow’s Multifamily Community?

While it is still not clear when development will begin anew, it is obvious that multifamily development will be far different from the pre-recession status quo. The expert panel will present views regarding the new post-recession world of multifamily development. • Henry Pye – Vice President, Resident Technology

Solutions, RealPage, Inc. • Ron Nickson – Vice President of Building Codes,

National Multi Housing Council

Case Study: Switched Digital VideoThe what, why, when and how of Time Warner Cable’s deployment of Switched Digital Video (SDV). What does it mean to property owners, and how will it affect your com-mon areas, such as fitness centers and community rooms? • Dave Schwehm – Senior Director, National Sales,

Time Warner Cable

Case Study: The Real Value of an Owner’s Marketing Efforts for Providers

What is the value of on-site marketing rights and owner assistance? Verizon will answer this question by reviewing a number of FiOS-deployed communities with differing degrees of on-site marketing and owner assistance. • Daniel O’Connell – National Sales Director, Verizon

Enhanced Communities

Two Triple-Play Providers Serving One Community

Residents demand choice. Providers are focusing on triple-play services and actually appear to want to compete with each other. On the surface, it sounds like paradise for own-

ers and residents, but what lies beneath the surface (or be-hind the walls) may not be so pleasant. Although providers are keenly aware of the cost of delivering their product, owners may not be aware of their own costs and obliga-tions in providing their residents with digital choices. This panel will dive below the pristine surface to explain why some may find deeply buried costs. • Steve Sadler – Vice President, Ancillary Services,

Post Apartment Homes, L.P. • Mark Bershenyi – Director of Contracts,

Archstone Smith • Lin Atkinson – General Manager,

National Accounts, AT&T Connected Communities • William (Bill) Revell – Vice President, National

MDU Sales and Services Operations, Comcast Cable • Joseph Geroux – Director of Business

Development, Charter Communications • Eric Fichtner – Executive Vice President,

Products and Services, Connexion Technologies

Regulatory UpdatePanelists will discuss changes in the regulatory landscape and the impacts of these changes (or proposed changes) on the multifamily industry. • Cheryl Barraco – Director of Telecommunications,

Avalon Bay Communities Inc. • Matthew Ames – Telecommunications Law,

Miller & Van Eaton • James W. MacNaughton, Esq. – Telecommunica-

tions Specialist, Law office of W.J. MacNaughton

4th Annual Legal Leaders PanelListen to the legal leaders for multifamily and service providers discuss today’s hot issues. Gain valuable insight into the terms and conditions in service and marketing agreements that are relevant to today’s market. • Mary Kane – Senior Counsel, Comcast

Secure your seat today by calling 877-588-1649, or visit our website at www.bbpmag.com

Page 45: Connect With These Top Companies

Making the Access NETWORK PLANNING & IMPLEMENTATION GUIDE

Distributed by:

www.broadbandproperties.com

Network Planning & Implementation Guide

FTTH • WI-FI • IPTV • VOICE • WIRELESS • VIDEO • DATA • FTTH • WI-FI • IPTV • VOICE • WIRELESS • VIDEO • DATA

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Making the AccessNETWORK

Page 46: Connect With These Top Companies

Making the Access NETWORK PLANNING & IMPLEMENTATION GUIDE

Even more, Tellabs® Optical Enterprise helps you save money by using less space, with less thermal and less power demand. Better yet, you can open new revenue streams by offering new high-bandwidth business services.

GPON is passive by nature, and thus lowers power, space and thermal demands. This directly results ina rippling effect of exponential savings not only in CapEx, but also in on-going OpEx.

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FTTH Made Easy™

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Page 47: Connect With These Top Companies

North American FTTH .........................................2

TESTING FTTx PONs .............................................4

Tough Fusion Splicers ........................................6

Making Your Marc ............................................9

Room to Grow ....................................................10

MDU Stimulus Plan .............................................11

DC Circuit Upholds FCC Order ........................15

Harborside..........................................................17

MFH3 Platform ....................................................18

High Speed Internet Access ............................19

Peabody Hotel Case Study ..............................21

www.broadbandproperties.com

The Planning & Implementation Guide is sponsored by Broadband Properties magazine and AFL Telecommunications with the

objective of helping you evaluate, design and implement last mile solutions from FTTH to wireless. For questions or comments please contact AFL Telecommunications via 864-433-5388.

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Sponsored by:

1

These pages highlight ways to make money from ultra-fast broadband services. It all seems confusing at first. There’s the familiar coax, of course, but there’s also video delivered over Ethernet Cat5 or Cat6 cable, or over fiber optic cable. Most of us know about individual satellite dishes, but aren’t those master-antenna systems huge and obtrusive?And what about the installation and testing challenges? These pages highlight the fact that “different” and “new” or “advanced” do not always mean “more complicated.” In fact, new satellite and fiber technology is easier to live with than copper. Much easier. Think “Toyota” and not “BMW” when it comes to mileage and maintenance, but think BMW or Corvette when it comes to performance.Old copper-savvy technicians go ga-ga when they see what optical test equipment can do to almost effortlessly pinpoint the

few problems that might arise, or to ratify the quality of a new installation. And optical connectors and fusion splicers make the deployment task much easier than even a few years ago. You can even drop the darn things or bump them hard against the service van. I’ve taken classes with some old guys and gals being retrained for fiber. The first hour is approached with trepidation. The next week or two of classes is a revelation. So many of the problems and uncertainties and expenses of old coax deployments simply disappear. Property owners and managers have begun to share that revelation. Check out the case studies in these pages – a hotel in Orlando, an MDU complex in Naples – to get started. And note the national data on fiber deployments from market research expert Mike Render as well. Savvy companies like DirecTV have been winning customers with standardized, robust deployment technologies – most notably DirecTV’s MFH2 and MFH3 approach to deploying video in MDUs.In short, there are no clunkers in these new broadband technologies. The auto industry should take note.

By Steven S. RossCorporate Editor, Broadband Properties Magazine

Take a Drive in the Fast Lane

Page 48: Connect With These Top Companies

Making the Access NETWORK PLANNING & IMPLEMENTATION GUIDE

Overview of North American FTTH

Overview ofNorth American FTTHMichael Render RVA Market Research

2

Fiber to the Home (FTTH) in North America continues to grow at a dynamic rate – despite difficult economic times. As of April 1, 2009 there were over 15 million homes passed in North America and nearly 4.5 million connected.

FTTH now passes 12% and serves nearly 4% of all homes in the United States.

The forces of FTTH market growth are diverse. Telephone giant Verizon accounts for roughly two thirds of the growth, but nearly 700 other providers comprise the rest. These other providers range from relatively large telephone companies to small independent telephone companies, municipalities, competitive providers, and new housing developers. Many of the small rural telephone companies have been particularly active in FTTH, including several who are completely replacing their old copper networks.

Service Provider

Page 49: Connect With These Top Companies

Overview of North American FTTH

RVA Market research and Consulting LLC is an experienced full service market research firm and is the leading market research firm tracking the Fiber to the Home market in North America. The company offers in-depth reports on North American FTTH, and the status of broadband in individual states. In addition, RVA conducts custom market research projects for a wide variety of firms.

www.RVALLC.com918-592-3100

3

To date, most of the FTTH deployment has been in the United States, but growth in Canada, Mexico and the Caribbean is now accelerating.

Based on extensive surveys of FTTH and broadband consumers, satisfaction with FTTH is very high as compared to other types of broadband and television delivery. FTTH gets especially high relative ratings for broadband speed, and the quality of television signal.

While much of the FTTH installed to date has been in existing neighborhoods, FTTH has been growing dramatically in greenfield new housing developments. FTTH is especially prolific in large master planned housing developments – large developments usually representing over 1,000 homes. It is expected that about 35% of the homes built in such developments in 2008 had FTTH… and over 80% of homes built in brand new master planned communities breaking ground in 2008. FTTH use in smaller subdivisions is also increasing rapidly.

When given a choice of five new housing development amenities, very high speed Internet from a direct fiber line is perceived to be more important than green spaces, 24 hour security patrols, neighborhood pools and fitness centers

The consumer is obviously continuing to embrace FTTH, and continuing future growth is likely.

Serv

ice

Prov

ider

Page 50: Connect With These Top Companies

Making the Access NETWORK PLANNING & IMPLEMENTATION GUIDE

TESTING

FTTx PONs

YRT2 delivers the triple-playService, Service, Service

Testing FTTx PONs

4

Fiber to the home or business (FTTx) access networks deliver voice, video, and broadband Internet services directly to the subscriber premise. Most commonly they are point-to-multipoint passive optical networks or PONs, which allow multiple subscribers to share the same feeder fiber to reduce network construction costs. Current generation FTTx GPON networks can span cable distances of up to 20 km (12 miles) and operate at an aggregate bit rate of up to 2 Gb/s. At a typical splitter ratio of 1 x 32, an FTTx PON can provide each subscriber a broadband service rate of over 30 Mb/s.

While these bit rate and distance capabilities are dramatic improvements over traditional access technologies such as POTS, DSL, and cable TV, they are still modest in comparison to the bit rates and span lengths found in core (long-distance) fiber optic networks. As a result, fewer measurements are required to certify FTTx PONs than core fiber optic networks, as shown in Table 1.

Moreover, certification of FTTx PONs never requires cross-talk, noise, and tests required to certify copper access networks. So it is likely that technicians familiar with testing traditional UTP or coax-based access networks, or fibers in the core network, will find that certifying and trouble-shooting FTTx PONs to be relatively straight-forward. However, they still will need to have a basic understanding of how PONs work and learn a few new testing strategies to be able to test FTTx PONs efficiently.

Type 2 FTTx PON (Figure 2) replace the fusion-spliced splitter with a connectorized splitter module, which is installed in a weather-proof cabinet. One benefit of using a connectorized splitter is that splitter modules can be added only when needed (when enough customers have subscribed). The second benefit is that a new test point is added at the splitter cabinet (TP3).

A Type 3 FTTx PON (Figure 3) adds an aerial or buried weather-proof, Drop Cable Terminal near subscriber locations. This allows the FTTx service installer to connect service to a given customer using a connectorized drop cable. It also adds another test point (TP4).

FTTx PONS CORE NETWORkS

Insertion Loss yes yes

Optical Return Loss (ORL) yes yes

Connection/spice loss and reflectance

yes yes

Length useful useful

Polarization Mode Dispersion (PMD)

no need yes

Chromatic Dispersion (CD) no need yes

Table 1: Certification requirements of FTTx PONs and core fiber networks

Three Popular FTTx PON ArchitecturesEvery FTTx PON connects a ‘head-end’ device called the Optical Line Terminal or OLT with multiple customer-end devices called Optical Network Terminals or ONTs. In addition, every FTTx PON

Figure 1: Type 1 FTTx PON (fusion-spliced from end-to-end)

Figure 2: Type 2 FTTx PON (has connectorized splitter module)

Service Provider

Figure 3: Type 3 FTTx PON (connectorized splitter module and drop cable terminal)

includes a feeder fiber, a 1 x N splitter, and up to N customer fibers. The simplest or ‘Type 1’ FTTx PON (Figure 1) is fusion-spliced from end-to-end, and provides just two connectorized test points, one at the OLT and the other at the ONT end of the network. In Type 1 networks one fiber is dedicated and installed to each dwelling or business unit, whether or not the resident is currently a subscriber.

YRT2 delivers the triple-playService, Service, Service

Page 51: Connect With These Top Companies

Testing FTTx PONs

5

While optical loss test sets measure end-to-end loss using a (more or less) continuous light or CW signal, an OTDR measures loss as a function of distance by transmitting pulses of light and measuring the light reflected by the network under test as a function of time. This allows OTDRs to measure the loss of individual connections, splices, splitters, and unexpected ‘events’ such as fiber bends. The disadvantage of OTDRs is that they cannot measure bi-directional loss. Instead they measure round-trip loss and divide by two, which is the average loss of both directions. A typical OTDR application is to measure the end-to-end and event loss of a Type 1 network from the customer end (TP5), using launch and receive test cords so it can see the loss of the ONT and OLT connector (Figure 5).

An example trace is shown in Figure 6. Note that drops represent event insertion loss, for example the loss of a connection, splitter, or splice, while ‘spikes’ represent event reflection.

OTDRs can analyze a trace to calculate end-to-end loss, ORL, the loss and reflectance of each event, and the loss slope of fiber sections. The capabilities of the OTDR and OLTS are compared in Table 2:

Each of these popular PON architectures dictates a different testing or certification strategy. However before we discuss these, a few ‘tools of the trade’ need to be introduced.

Certification Test Sets – OLTS and OTDRTwo types of test sets are used to certify optical fibers in core or FTTx networks: the optical loss test set or OLTS and optical time-domain reflectometer or OTDR. OLTS units are normally used in pairs, with each unit containing an optical power meter (OPM) and stabilized light source (LS). The two units may be identical or one may be a lower function ‘remote’ unit and the other a full function ‘main’ unit. Automatic optical loss test sets used to certify FTTx PONs typically contain three lasers: 1310, 1490, and 1550 nm, allowing a pair of OLTS units to measure the downstream and upstream loss of an FTTx PON with the press of a single button. Measuring loss separately two directions is called bi-directional loss measurement. A typical OLTS application in Type 2 and 3 FTTx PON networks is to measure bi-directional loss from TP1 (central office) to TP3 (splitter pigtails) as each splitter module is installed (Figure 4.)

Figure 4: OLTS pair measuring bi-directional loss of a PON feeder fiber and splitter.

Figure 5: OTDR used to measure event and end-to-end loss of a Type 1 PON from the customer location (TP5)

Figure 6: OTDR Trace for network shown in Figure 5

Serv

ice

Prov

ider

ConclusionThe two most important FTTx PON certification measurements are end-to-end insertion loss and ORL, both of which can be done with an OTDR or OLTS. However, an OLTS must be used if bi-directional loss measurements are required, and only an OTDR can locate bad splices, connections, or other faults. FTTx PON certification is normally done on an end-to-end basis on Type 1 networks and in stages on Type 2 and Type 3 networks.

OTDR OLTS

Insertion Loss Average of upstream and downstream loss (which in FTTx PONs are normally equal to within a few tenths of a dB)

Bi-directional loss (each direction is measured separately)

Optical Return Loss (ORL) Can be estimated from trace

Direct measurement

Connection/spice loss and reflectance

yes no

Length yes yes

Table 2 OTDR and OLTS capabilities

YRT2 delivers the triple-playService, Service, Service

YRT2 delivers the triple-playService, Service, Service

YRT2 delivers the triple-playService, Service, Service

Page 52: Connect With These Top Companies

Making the Access NETWORK PLANNING & IMPLEMENTATION GUIDE

TOUGH Fusion Splicers

6

By the late 1980’s fusion splicing had become fully automated by use of CCD camera-based optical systems that provided precise observation of fiber alignment and control of the splicing process. A single-fiber splicer using such an observation capability with the Profile Alignment System (PAS) core recognition algorithm could provide core alignment to sub-micron accuracy. This provided extremely low splice loss in a user-friendly automated splicer. Applying essentially the same optical system to a mass fusion splicer allowed high-productivity splicing of 12-fber ribbons.

These camera-based optical observation systems allowed development of software protocols in these fusion splicers to not only automate splicing, but to provide the operator with important quality detection capability, diagnostics, and error messages. For example, fiber alignment (or core alignment in the case of the single-fiber splicer) could be used to prevent bad splices and provide an estimated splice loss. Bad cleaves were similarly detected. A diagnostic Arc Test (which utilized the camera capability to measure the melt-back amount of non-spliced fibers) could be used by the operator to check and calibrate the heat output of the electrodes and thereby maintain good operating performance. These developments revolutionized fiber deployment by changing it from an extremely skill-dependant exercise, and also greatly improving the quality of the result.

While user-friendly, these splicers were quite large and heavy, typically between 20 and 30 pounds. That weight did not include a battery, which, with the battery technology of the day (and the power consumption of the splicer) would add very significant additional weight. Due to the size and weight and also complexity, these fusion splicers were usually relegated to rather benign splicing environments such as use in a central office, or splicing vans and trailers. For more remote locations, mechanical splicing continued to be employed.

In the early 1990’s broadband trials and deployments began to make an impact. It was desirable to provide the long-term

system reliability of a fusion splice in a more portable splicer. In response, the technology of the day allowed the introduction of unsophisticated mini-splicers. These splicers utilized a simple fixed V-groove to provide passive alignment of the fiber cladding, and they dispensed with the CCD cameras and automation in order to allow creation of small cost-effective machines. As time progressed, it was possible to develop a new generation of mini-splicer that did utilize the cameras to once again provide an automated system with embedded quality checks.

Over the years these mini-splicers improved with subsequent further miniaturization and better features. By 2000, even PAS core-alignment and 12-fiber mass fusion capability was available in such a mini platform. By this time the splicers had been refined for field use to incorporate a wind protector that could ensure a stable arc even in the presence of a 30mph wind, and the LCD video monitors were also improved to ensure easy viewing in direct sunlight. A slide-in battery pack could be substituted for the AC adapter to provide a significant remote-site splicing

ToughFusion splicers For aroughFTTX environmenT

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TOUGH Fusion Splicers

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capability in a highly portable 6-7lb field-portable splicer. This set the stage for the massive surge of broadband FTTH/FTTX activity in recent years.

During these recent FTTX deployments, use of the fusion splicer in remote-site harsh environments became the norm. Fusion splicers were increasingly subjected to harsh weather such as exposure to rain and dust. Furthermore, the nature of the FTTX deployments mandated frequent shifts from one site to another (often several times in a single day) and use for aerial cable deployments. This sometimes resulted in a splicer being dropped during setup or transportation to the next splicing location.

Examination of repair and service data showed a need to try to improve the robustness of the fusion splicing platform. A Pareto analysis revealed that the primary field-induced failures were the result of the splicer being subjected to a drop or impact. Dust and water exposure have also been significant causes of splicer downtime (and the need to return the splicer to the factory for service).

Ruggedized field-portable fiber-optic test equipment had become industry-standard for some time. A typical hand-held power meter or light source uses a rigid structure encased in a soft rubber “boot” to prevent damage in the case of the unit being dropped. Such test equipment is usually undamaged after a 30-inch drop. If we consider a power meter for example, the internal structure consists of a circuit board, a battery, and a very small photo-detector. If the structure is sufficiently strong, the internal components will survive a drop, and it is not too difficult to maintain the alignment of the photo-detector with the connector port.

For a fusion splicer, the engineering challenge is much greater. One challenge is to maintain the integrity of the V-groove alignment system and to maintain alignment of the fiber clamping system to the V-grooves. This is difficult because the clamps must move relative to the V-grooves to drive the fibers together during the splicing process. Also, the optical system must be protected from shock and impact, and it must remain in precise alignment to the V-grooves in order to properly observe the fusion process.

It is important to note that in the case of a fusion splicer, a drop or impact may result in the catastrophic mechanical failure of some part. But a “soft-kill” will result even when nothing is broken if the precise alignment of important components is not maintained. Because of the mechanical complexity of the fusion splicer, and the need for precise alignment of the components, until very recently no manufacturer was able to offer a family of fusion

splicer capable of meeting the 30-inch drop test objective of Telcordia GR-765-CORE.

Meeting the Telcordia 30-inch drop test objective and also providing greater robustness for exposure to rain and blowing dust were established as design goals for a new generation of fusion splicers. To meet these goals, a complete component-by-component level design approach was required.

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Adding rubber bumpers to the exterior corners and edges of the fusion splicer is important and reduces the impact force by half. While helpful, this is not sufficient to ensure survival of the splicer. Similarly, simply increasing the mechanical rigidity and strength of all components is also not a complete solution because the overall weight of the splicer would be increased and field-portability would suffer.

A component-by-component analysis reveals which items should be more rigid and strong, and in some cases, which items require a drastic decrease in weight. Improving robustness and strength of external parts is generally the correct approach, but in the case of internal components, reducing weight may be more important.

An example is the camera system for the PAS core-alignment splicer. The optical system for this splicer must utilize precise focus motion so the camera can provide sub-micron core observation. The standard practice had been to motorize the motion of both the 2 perpendicular X/Y observation axes cameras and also their related lenses. By fixing the position of the lenses and motorizing the movement of only the cameras, it was possible to reduce the movable mass by 70%. This greatly simplified the task of ensuring maintenance of proper optical alignment after an impact.

Two external parts of the splicer required special attention. In the case of the LCD monitor, it can be encased in a protective case and provided with an impact resistant hinge. However the viewing surface itself needs special protection from impact. This is provided with a transparent shield to protect the LCD while maintaining easy viewing in direct sunlight.

Another part that required consideration was the splicer carrying handle. Typical carrying handles for fusion splicers have been rigid hinged types. During a drop, not only can such handles be damaged, but their rigid handle structure can transmit shock to the splicer body and internal components. A resilient nylon strap provides a better solution.

Similar careful analysis has been carried out throughout every component and subassembly of the new generation fusion splicers. As a result, a family of splicers has been introduced that are resistant to drops and impacts, and significant exposure to dust and rain. These toughened fusion splicers are therefore designed to meet the challenges of the FTTX environment and stay out in the field in tough broadband deployments.

Service ProviderAFLtele.com/go/Rugged

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Making Your Marc

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Demarc...ation that is. The box on the side of the house doesn’t get much press, but plays a significant role in providing connectivity for phone, video, and data services. Created by telcos in the 80’s by FCC mandate, the demarc provides the point at which the service provider hands off service to the home owner.

Home owners today spend over one hundred dollars each month for phone, video, and data services and the box on the side of the house should reflect the cost of services being provided. So, aesthetics are important, but so is functionality. There are many functional reasons the service provider wants to have a demarc too. The demarc delineates responsibility of service and home wiring, it provides single point for terminating cables run throughout the home, it provides a secure point of entry for services, and it provides shelter to various connectivity components from the environment. As service operators provide more and more bandwidth, the

connections to the home and quality of those connections becomes critical. For example: VDSL2 requires copper connections that are clean, clear of corrosion, grounded, and protected from the environment. FTTH optical components need to be kept clean, out of the weather, and secure. Coax connections and splitters need to be protected from corrosion and grounded. So, with higher bandwidth services provisioned at the home, the look, longevity, strength, and functionality of the demarc are as much important to providing quality of service as any other part of the system.

Today’s high strength polymer alloys with UV inhibitors provide for exceptional weathering with little to no fading in tough climates with excellent resistance to impact in cold weather or warping from high heat. The demarc is last piece of the OSP hardware used to provide telecommunication services and should be just as robust and well engineered as any other part of the system.

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Making the Access NETWORK PLANNING & IMPLEMENTATION GUIDE

The people who run independent operating companies (IOCs) don’t pretend to know what’s coming down the pipe, but they do know their pipes had better be big enough to handle it. That’s why Woodstock Telephone Company in southwestern Minnesota is upgrading its network to a fiber-to-the-premises (FTTP) infrastructure now.

With an operating territory that covers about 450 square miles, Woodstock provides voice and Internet services to five communities, which include many users in rural areas. Most of Woodstock’s customers have had DSL access for years. But a few years ago, their appetite for bandwidth began to outstrip the telco’s ability to satisfy it.

Although Woodstock can deliver sufficient bandwidth, via 2,000-foot copper loops, for its business users within its five towns, it struggles to serve its more rural subscribers. “We have an awful lot of farmers out here who are pretty large businesses, and they use that Internet like you can’t believe,” says Woodstock owner and President Ken Knuth. “That’s where we’re really getting hammered.” Many of those customers want even more bandwidth than Woodstock can provide with fiber to the curb, or “fiber to the fence,” as Knuth puts it, and DSL running over 12,000-foot to 15,000-foot loops. Woodstock has put in a great deal of fiber to the curb, “but it was a stop-gap thing at best,” Knuth says. “We could have put the fiber a little deeper into the network, so we’d have shorter loops, but we’re talking about three customers per mile. Pretty soon, you get tired of doing this. It’s just patch, patch, patch, and we weren’t keeping up.”

Concluding that it made no sense to continue spending money on technology that ultimately couldn’t deliver what users wanted, Knuth decided to upgrade the entire Woodstock network to FTTH. Last year the company began driving fiber all the way to the users’ premises. Knuth vowed, “We intend to be out of the copper business in just over two years.”

A Network for Voice, Internet and VideoAlthough Woodstock’s evolving FTTH infrastructure will deliver the voice and Internet services that customers want, Knuth’s basic strategy is to position the company to provide future “pull TV” services--IPTV and video on demand.

Noting that several groups of Minnesota telephone companies have banded together to construct digital headends, Knuth says Woodstock may tie into one of those next year. Because of his belief that pull TV will replace push TV, and because of the fact that Internet traffic increases by about 43 percent each year, Woodstock had little choice but to put an FTTH network in place. “If we’re going to be ready for pull TV, we need a big pipe,” he says.

First, a Snapshot of the “Old” NetworkAnchoring the five-exchange network is a softswitch that Woodstock installed last year. Serving all five exchanges, the switch was Woodstock’s first major step in upgrading the network to FTTH.

Room to Grow

The company uses fiber to link that switch with Tellabs® 1000 Multiservice Access Platforms (MSAPs) in the towns of Holland, Garvin, Russell and Woodstock. Copper loops from those broadband digital loop carriers (DLCs) deliver DSL service to users.

Wanted: A Future-Proof Access PlatformWhen it came to selecting an access platform for the Woodstock FTTH network, Knuth and his team wanted a vendor that could offer two things: the research-and-development capabilities to keep pushing the technology and the commitment to providing long-term support for its existing products.

“We’ve got five or six companies from which we can buy access equipment today, but will they keep up?” says Knuth. “That’s what I worry about.”

He also sought a vendor that can help protect Woodstock’s existing network investments. That means, Knuth says, a vendor he can go to 10 years from now “and see that the equipment I buy [then] might work with the equipment I have today.”

Those two criteria prompted Knuth to choose the Tellabs® 1150 MSAP with its line module for a GPON FTTH solution. In addition to the fact that Tellabs “has more fiber-to-the-prem equipment out there than anybody,” he says that when it comes to evolving the platform’s functions and features, “we expect Tellabs to develop those.”

Knuth points out that he based his decision in part on Woodstock’s long track record with Tellabs, notably the Tellabs® 1000 MSAP series of broadband DLCs. “We stuck with the Tellabs platform all the way through, and we’ve been putting equipment in pretty much every year,” Knuth explains.

Knuth cites as another persuasive factor the Tellabs 1150 MSAP’s non-blocking architecture, with its 720-Gbps backplane, 44 Gbps to every multi-service card slot and 10-Gigabit Ethernet uplink capabilities. “We have to get more bandwidth into our office about every other year. We’re talking about 100 Mbps to a customer, multiplied by 1,100 subscribers. Now we’re talking about 10 Gbps and multiple 10-gig ports on a Tellabs 1150 platform. You’ve got to keep up with the service,” Knuth says, “or you’ll lose out.”

The GPON application appealed to Knuth because it is state of the art. “Remember, we’re putting in a system to last for 25 years. Why put in one that’s going to carry a meg or two? When we have pull TV and stuff like that, 2 megs, 3 megs, 5 megs is just not going to do it. So why not get all we can?”

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Tellabs 1150 Multi-Service AccessPlatform in the Woodstock article.

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MDU

In a multi-dwelling unit property or master planned community, one of the most challenging, but potentially most rewarding tasks is dealing with the technology-based amenities. If you’ve been involved with MDUs as either a property owner or service provider, you know that these have been challenging times. The MDU vacancy rate is at the highest level since 1987. In addition, additional capacity in the form of units continues to increase, roughly 22,000 units during the most recently completed quarter.

What this means is that the MDU world is in a situation where too many properties are competing for too few tenants. Across the country, although some areas have clearly been affected more deeply than others, cities and suburbs have roughly felt similar pain.

Foreclosed single family homes are now for rent at significantly lower prices than 1-2 years ago. Condos that aren’t selling are now renting. People are doubling up more often, renting with roommates, or even moving back home. On top of the factors that are increasing vacancies from the previous slide, typically a sure-fire way to increase occupancy is to decrease rents.

Obviously, the problem with declining rents is that they further contribute to declining property values, and for those companies that are public, declining stock prices. When faced with the prospect of declining prices, many industries try to add additional value to the package provided in order to try to offset price erosion.

Technology amenities can serve as an incentive to keep a customer, or persuade a customer to come to your property.

Changes in Customer Tastes and NeedsIn the past, the first place a a property manager would look would be to spruce up traditional parts of the property, such as landscaping and paint, resurface the pool or spruce up common areas. Although keeping up appearances is always a good idea, in many cases, these items may not give much bang for the buck. Amenities like the gym and pool are not used by all residents, and there is lower hanging fruit in the form of technology that can provide a very effective differentiation between one property and its competitor. A study was recently completed by the National Multifamily Housing Council that provided some very insightful information (information provided by the IMCC).

The 4 top amenities were:

• Cell phone coverage (Telecom service) • High speed Internet (Telecom service) • HD video (Telecom service) • In-unit washer-dryer

MDU Stimulus Plan with

Note that 3 of the top 4 amenities are technology-based services.

The bottom line is that the amenities which were attractive 10 years ago are now being supplanted by a much more technology-savvy consumer. Where 20 years ago the nation’s cellphone network was just only forming, today it serves as the primary means of contact for a growing number of subscribers. Landline telephone service continues to erode quarter-by-quarter, being replaced by cellphones. In addition, high speed Internet services and accompanying social networking tools such as Facebook and Twitter are vital, especially to the telecommuter. Finally, greater than 35% of the population already owns an HD-capable TV, and with the change to digital TV, it’s virtually impossible to find an analog TV set on the primary market.

All of these factors are reasons that the savvy property owner needs to look at infrastructure in a different light. Whereas a clubhouse and pool may have been indispensible amenities a generation ago, the communications infrastructure must now have a higher profile. It is not unusual now for a moving decision not to be made based upon the carpet color, but on whether true HD TV services can be provided over the property’s wiring, or whether Internet services are sufficient for the telecommuter to utilize the corporate network at home.

On top of the trends just highlighted, 86% of the US purchases a pay TV service, and 75% purchase broadband services. This means that, contrary to a swimming pool, the vast majority of the residents of a property use these services on a daily basis.

All TV services, including all HD channels, are now digital. The days of a 30 channel analog headend providing a basic channel package are rapidly growing to a close, and those operators who only provide that option will find that their customers will just replace them, either with another provider, or by the Internet.

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MDU

With any home, the linchpin of the entertainment system has been, and will continue to be, the TV. The computer will continue to complement the TV, and the services will continue to converge, but in the home, the TV will continue to be the primary delivery screen.

With so many people how purchasing HD-capable TVs, many people are making the decision not to move to a location where HD services are not available.

Likewise, people want freedom about how they interact with their various devices. DIRECTV’s DVR scheduler feature allows your tenant to be able to remotely program their DVR and watch then watch the content whenever they’re ready.

Clearly, in the near-term, buildings that don’t provide high quality technology amenities will soon be obsolete. Obsolescence will lead to lower rents/values.

Technologies exist today that allow virtually every property owner to provide very competitive and high quality technology amenities. 5 years ago, this technology wasn’t available, but its now, and we’ll mention the technology later in this article.

At the time that a property needs a reliable partner, the incumbent carriers are doing precisely the things that have not endeared them to their customer base. Property owners often face spiraling cable bills, even while the service offerings continue to lag companies like DIRECTV. The bills are sometimes indecipherable.

DIRECTV is the AnswerDIRECTV is now the nation’s largest pay TV company. DIRECTV, as the linchpin of a technology amenities package, provides an unbeatable package including fantastic video quality, more HD channels, and more exclusive sports packages than any other provider.

DIRECTV is well known as the exclusive provider for NFL Sunday Ticket, and recently announced exclusive rights for NFL Sunday Ticket until 2014. Other sports package include Major League Baseball, college football and basketball packages, NHL Hockey Center Ice, Nascar Hot Pass and other subscription packages. Scoreguide, provides you with a real-time look at all of your favorite scores at the push of a button. DIRECTV provides exclusive programming around golf and Tennis major tournaments with multiple channels during the early action.

On the interactive side, there’s a game lounge, where users compete against other people in dozens of games. In addition, DIRECTV is building the next generation of interactive services, featuring an App Store similar in concept to the App Stores run by Apple and BlackBerry for their interactive phones.

There’s an extensive video on demand library, and finally DIRECTV has a ton of international programming to satisfy a wide variety of user tastes.

Indirect and Direct Property StimulusAdding DIRECTV as an amenity can help to stimulate the bottom line directly. For example, a typical voice, data, and video package, purchased separately, can easily cost a subscriber $120 dollars or more per month.

When purchased in bulk, the cost of those services are approximately $45.00. $120 minus $45 leaves a margin of approximately $75.00/subscriber/month, which can be used to pay for the infrastucture and support costs, as shown in figure 1.

In addiiton, DIRECTV offers 3 different types of commissions, including a large up-front “pre-paid” commission and two commissions paid on a monthly basis.

Indirectly, having the service can be used to offset rent decreases.

When purchased in bulk, DIRECTV digital service can be offered at a cost of as low as $9.99/month. Providing the bulk service as an amenity can be bundled into the monthly rent, consumers can see that the package provides significant value to offset

rent decreases. Given that the vast majority of the population has a pay TV or internet service, most customers can

appreciate the value that’s bundled for them.

Figure 1: Triple Play Services

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MDU

Finally, keeping the technology infrastructure up to date is now as or more important than building that new clubhouse or landscaping package. There’s a clear consensus emerging in the real estate appraisal community that the value of the technology infrastructure has a direct relationship on the value of the property. This value will only grow as the impact of the services carried over the network continues to grow.

How do we start? DIRECTV has two different business models. These are how the subscription packages are presented to the property.

First, Direct-to-home is a model where there is a direct billing relationship is between DIRECTV and the customer. The service is delivered over the property wiring, and the pricing is standard retail pricing. This business models is useful when the subscription rate is not 100%.

The second type of business model is known as bulk. In this case, it’s basically what it sounds like. The service is bought in bulk and sold in bulk. Bulk service is typically, but not always, built in the Homeowner dues or fees, or monthly rent. In this model, instead of retail pricing, pricing is substantially below the retail price of the service. The system operator or property owner can then bundle the billing with voice, data, or security services to provide a complete amenity package. For bulk service, however, the business model and pricing is such that the property needs to commit to a 100% subscription rate for the property.

Within the Direct-to-home business model, the pricing schemes are simple. It’s basically retail DIRECTV service.

However, with bulk service, there are several options.

First, there’s “SMATV”, which is an acronym for “Single-Master-Antenna TV” service. This is what is often seen in a hotel. The system typically has a small, defined set of channels, and delivers no-frills TV without the complete DIRECTV experience. The next step up is “Analog bulk”, which is a defined set of channels. Both of these services are delivered over a master headend, shown in figure 2.

The service is then delivered over coaxial cable, and doesn’t require a settop box to see the channels.

These business models are typically applicable for student housing, apartment housing or retirement homes, places where the customers may want a no-frills, low-cost package, without the options for HD, DVRs, etc.

The next bulk business model is called “Digital Bulk”, and it delivers the entire DIRECTV experience, including program guide and options for pay-per-view, HD, DVRs, the Scoreguide service, interactive games, etc.

In addition to the base subscription packages, premium channels such as HBO, Showtime and premium services such as HD and DVR services can be purchased in bulk and provided to the resident at a substantial discount to retail.

Finally, a la carte upgrades for all of these packages are available for each of these services. The system operator or property gets a bill for the basic service, and the customer gets a bill reflecting any lease fee charges for settop boxes, pay-per-view, or any a la carte services.

Technology DeliveryDIRECTV needed to develop its own technology to deliver all of the content that it offers, since a typical cable TV network cannot support all of the content.

MFH2 (MFH stands for Multi-family Housing) delivers DIRECTV services with in an MDU over the existing coax network. It is the most common delivery method, and is an excellent choice where the property is pre-wired for coaxial cable. MFH2 uses an advanced version of the “RF technology” that has been around for years, but allows the operator to bring unprecendented choice of content to the end user. A sample component from an MFH2 system is shown in figure 3.

DIRECTV has also developed a technology platform to deliver the next generation of services. It’s called MFH3, and uses IP technology, the same protocol that’s used to deliver Internet-based services and voice over IP. Although MFH3 can be delivered over coaxial cable, it’s most commonly deployed over twisted pair copper over DSL lines, or through 100

Figure 2: Analog Bulk Figure 3: MFH2 Component

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MDU

megabit per second Cat 5 or 6 copper or fiber optic pipes. The MFH3 headend is shown in figure 4.

MFH3 delivers the complete DIRECTV experience, and enables the system operator or property owner to deliver today’s and tomorrow’s services, including triple or quad play services. In addition, this system allows the insertion of locally generated content into the program guide. Through DIRECTV’s partnership with Technicolor and Thomson, this system provides real-time service monitoring, so you’ll know if there’s a problem without your customers needing to phone it in, enabling you to provide a much higher level of service.

See the figure below for a summary of the various business model and technology choices discussed.

The typical choice for apartment buildings and student housing with coax networks is either SMATV or analog bulk service. MFH2 is also deployed in apartment buildings over coax, and MFH2 is also used in condos delivering digital bulk service.

Finally, MFH3 is typically deployed in apartment, condos, or master planned communities over twisted pair, Cat5/6, or optical fiber. MFH3 delivers digital bulk service.

Living in the Real WorldNow, let’s take a look at a real-world example using real-life numbers. In this situation, a master planned community was faced with an incumbent providing substandard service. There were limited HD options, poor and variable Internet service, and most frustrating of all, unstable pricing. Residents had a really hard time understanding their bills. The incumbent had no desire to upgrade the infrastructure, and so the homeowner’s association evaluated multiple options, including the existing incumbent carriers for both cable and telco service, and competitive satellite providers. The services offered included voice, video, and data, with video and data provided on a bulk basis to all subscribers and voice assuming roughly a 30% take rate.

There were approximately 500 users in the community, and in this scenario, the operator evaluated DIRECTV’s MFH3 platform deployed over a new fiber optic infrastructure, which is typically seen as the most expensive, but most future-proof deployment option.

Below are the are the unretouched customers numbers.

The blue bars highlight the savings by going with DIRECTV on a year-by-year basis, and the two bars highlight the cumulative amount of savings with two different scenarios. The main message here is that even with the most expensive DIRECTV platform, this operator found that a massive amount of savings, plus better service, would be available by going with DIRECTV.

SummaryThe main messages to remember are the following: 1) Consumers’ tastes are changing. What used to work may not work now, but technology amenitites are clearly the wave of the future and can help offset rent or price decreases. 2) There’s no better technology amenity than DIRECTV, and DIRECTV has a wide variety of business models and technologies for a wide variety of MDU properties3) Finally, adding DIRECTV to your property can add value to the property, and potentially decrease costs.

For More Information

AFLtele.com/go/DIRECTV

Figure 4: MFH3 Headend

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DC Circuit Upholds

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In October 2007, the Federal Communications Commission (“FCC”) issued an Order providing that cable companies could not enforce current exclusive-access provisions or enter into new such exclusive provisions in agreements to provide cable services in multiple dwelling unit properties (“MDUs”). In other words, the 2007 FCC Order barred franchised cable providers from entering into new agreements that provide that they shall be the exclusive video provider in MDUs and from enforcing such provisions in existing agreements. The cable industry as well as several real estate entities appealed the FCC Order. They argued particularly that the retroactive effect of the FCC’s Order to apply to existing agreements was beyond the FCC’s authority.

On May 26, 2009, however, the U.S. Circuit Court of Appeals for the D.C. Circuit (“DC Circuit”) upheld the FCC’s Order. The DC Circuit determined that the FCC’s Order to ban exclusivity could apply not only to future agreements but also to existing contracts with MDUs. The decision alters years of practice of the cable industry and provides significant benefits to cable competitors by opening up thousands of MDUs to potential competition. The DC Circuit did not address other types of agreements with cable providers, such as bulk contracts and marketing agreements and also did not address exclusive agreements by providers that do not use public rights of ways, including private cable operators (“PCOs”).

The cable industry as well as several real estate organizations had a history of entering into such exclusive right of entry agreements, exclusive easements and other such arrangements providing that a particular cable company would be the exclusive provider of video services in the particular MDU. Under such exclusive agreements, the cable provider would generally bear the costs of constructing and installing its system to provide services, and would often provide consideration to the MDU owner, knowing that it would obtain a return on its investment from unit owners and residents who did not have a choice in service providers. The

DC Circuit Upholds FCC OrderBanning Cable Providers’MDU Exclusivity By Gary Resnick, Board of Directors,Independent Multi-Family Communications Council (“IMCC”)and Shareholder, Gray Robinson, PA

MDU

FCC Order upheld by the DC Circuit alters the traditional exclusive access agreement entered into by cable providers. The decision also opens up thousands of MDU units to video competitors including incumbent local exchange carriers, such as Verizon, ATT, Qwest, etc., and PCOs. The FCC Order upheld by the DC Circuit, however, has limits and does not prohibit all video service providers from exclusive arrangements or apply to other types of arrangements that may be entered.

First, the FCC’s ban on MDU exclusive agreements applies only to franchised cable operators. By its own terms, it does not apply to PCOs or other service providers that do not use the rights of ways. The FCC Order has created opportunities for PCOs that previously did not have access to certain MDUs. In fact, many of us considered how various providers and property owners would have reacted if the DC Circuit reversed the FCC Order as to existing agreements and reinstated exclusive cable agreements. However, we do not have to unravel years of activity since the FCC Order. While the FCC Order does not apply to PCOs, PCOs should be cautious about relying upon their ability to have exclusive access or to be the exclusive service provider in MDUs. The FCC has an open proceeding to consider extending its 2007 Order

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to other video service providers that do not use public rights of ways. While there are three new FCC Commissioners (including a new Chairman) who were not on the Commission for the 2007 Order, Commissioner Michael Copps (who remains one of the five Commissioners) expressed his desire to prohibit similar service providers from entering into exclusive agreements. Thus, the ability of PCOs to enter into exclusive service or exclusive access agreements with MDUs may be temporary.

Second, the 2007 FCC Order and DC Circuit decision do not impact bulk agreements, exclusive marketing agreements, and other arrangements with MDUs that do not restrict access. Bulk contracts provide that a service provider will bill the MDU owner or manager for certain services that it provides to all – or nearly all – units at a discounted rate. Such bulk contracts are common particularly in states that have cable mandatory access laws, since exclusive access agreements are not effective to prohibit cable access in MDUs. Bulk contracts do not restrict access, and

thus are not prohibited by the 2007 Order. Similarly, exclusive marketing agreements provide that the MDU owner will only market a certain provider’s services, but do not restrict access to other providers. These issues, as well, will be addressed in the FCC’s open proceeding to consider extending the 2007 Order. Yet for now, there is nothing restricting cable and other video service providers from entering into such arrangements. It is generally felt that the FCC will leave intact the ability to enter into bulk and marketing agreements, and thus, that these become increasingly important in a more competitive environment.

Video and broadband, in particular, have been characterized as industries where regulation did not keep up with practices and technology. While the FCC’s 2007 Order and DC Circuit decision impose new regulations, the industries are already considering alternatives. With the ban on exclusive service and access arrangements, other creative arrangements with MDUs continue to emerge. For example, more creative forms of easements, ownership of infrastructure and structuring corporate relationships are all being used to attempt to obtain advantages in MDU environments.

The IMCC submitted comments in the FCC’s open proceeding addressing the issues of extending the 2007 Order. IMCC members also met with FCC Commissioners and staff to discuss its position on these issues. With three new Commissioners and many new staff at the FCC, however, it remains important for the IMCC to remain engaged and for those impacted by FCC decisions to communicate about their businesses and services with the FCC.

IMCC is a non-profit organization created to support the rights of independent communication service providers and their business models by being the only voice representing them in front of the FCC. IMCC is a clearinghouse of information, and is the only place a PCO can go to find out what is happening in the industry regarding regulatory issues. The mission of the Independent Multi-Family Communications Council is to bring together broadband service providers, technology suppliers and multi-family dwelling unit owners to pursue mutually productive goals which benefit residents. Membership is open to system operators and companies within the telecommunications industry as well as MDU owners. It is only through member support and payment of dues that IMCC continues to lobby on behalf of the industry, ensuring its success both now and in the future.

For more information on becoming a valued member,please contact Executive Assistant, Valerie Sargent, at [email protected] or (949) 274-3434.

Feel free to visit our websiteimcc-online.orgfor more information.

MDU

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Harborside

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Harborside

When many people think of Florida, they often think of sun and sand, the ocean and retirement. However, there’s one community in Naples, Florida that is looking forward to the future. For years, the Venetian Cove Club, La Maison Club, and the Madrid Club buildings in Naples had put up with a limited offering for voice, data, and video through the local cable TV company, delivered over a 20-30 year-old coax network. The incumbent provider was not interested in upgrading the network to enable today’s and tomorrow’s services.

Enter Ethos Media LLC. Ethos is an innovative Michigan-based company comprised of veteran IP-network operators. Being an innovator, Ethos has a firm grasp of the importance of looking ahead to anticipate services customers need today and tomorrow. This approach has led them to deploy fiber optic networks within Multi-Dwelling Units (MDU) communities, an approach that is resonating with MDU operators. Recognizing that 3 of the 4 top amenities desired by MDU customers are technology amenities, Ethos has put together a top-rated lineup of video and Internet services, with DIRECTV’s MFH3 IP video service as the linchpin of the system. This enables the residents to get the latest in HD programming, a robust video-on-demand offering, and especially pertinent in Florida, access to DIRECTV’s exclusive coverage of golf and tennis, along with NFL Sunday Ticket. Since the system does not use or cross public rights-of-way, the system enables Ethos to bundle multiple MDU properties using the same core headend equipment to enable larger quantities of scale than would otherwise be available.

The network consists of an MFH3 headend feeding an SFP-based core switch. SFPs are small devices that can either be used with fiber or copper networks. The

core switch feeds distribution switches by a fiber optic connection between buildings. Each distribution switch is then connected to each resident’s apartment by fiber, with a 100 Mb/sec connection to each. A voice-data-video gateway is included at each resident’s apartment, which then feeds a copper-based network within the apartment.

“Being a company with our roots in IP technology rather than RF, the DIRECTV MFH3 system was a natural choice for our networks,” stated Josh Henschell, Managing Director of Ethos Networks. “We can easily add voice, data, and other services as customers demand them. The 100 Mb/second network gives us sufficient capacity for short and longer-term bandwidth needs, and the network is easily upgradeable in the future.”

Finally, with a fiber-based network, Ethos knows that future maintenance costs will be minimal, leading to a long and healthy relationship for residents of the communities.

IP-based Triple Play

MDU

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Making the Access NETWORK PLANNING & IMPLEMENTATION GUIDE

MFH-3 Platform

MFH3 IntroductionAt the heart of IPTV’s benefits is the use of IP technology to offer multiple services via a single platform. DIRECTV has harnessed this power with the introduction of MFH3 (Multi- Family Housing version 3). Not to be confused with traditional IPTV, which uses public or private metropolitan area networks to deliver video services, the DIRECTV MFH3 system uses IP technology as a simple distribution platform to deliver satellite television and other services from a private “on-property” headend facility to each customer dwelling.

It enables the delivery of all DIRECTV satellite TV programming and services, using, in many cases, existing in-building wiring such as Cat 5 or Cat 3 data cables and coaxial cable. Because it is an IP distribution platform, service providers that have won the rights to deliver communications services to MDUs or private planned communities can easily integrate MFH3 with their existing voice and Internet services to deliver triple play services over a single infrastructure. MFH3 supports all DIRECTV programming and services, including the new Ka-band services.

MFH3 SystemThe MFH3 system uses the new “i” series DIRECTV receivers and enhanced software features to enable support for video services delivered using IP technology. At the center of the platform is the MFH3 Gateway technology, which converts DIRECTV signals into industry-standard multi-cast IP video packets, for delivery to MFH3-enabled DIRECTV receivers. The Gateway deploys a feature set that enables efficient and near error-free delivery of DIRECTV programming, with the flexibility to easily upgrade services as new features are deployed. With support for fiber, coaxial and Cat 3/5 cabling the system is compatible with a wide variety of existing buildings and is in line with current new construction practices.

MFH3 makes extensive use of industry-standard equipment for the system’s signal distribution components such as commercial-off-the-shelf (COTS) routers, switches, DSLAM/CPE systems, and remote management gear. The appropriate signal distribution system is determined based on the number of subscribers, existing infrastructure, and other factors that impact the overall system solution.

Other features of MFH3 include: • Integrates with High-Speed Data services, allowing operators to support double and triple-play bundles

• Supports remote management functions using standard SNMP management tools, including software upgrades • Supports a variety of property network wiring topologies including fiber-to-Cat 5e, fiber-to-Coax and VDSL2 • Supports up to 1024 receivers per headend • Supports local program insertion and control of locally encoded analog video sources

MFH3 Platform ServicesDIRECTV MFH3 properties have the added benefit of beingable to remotely monitor the performance of the MFH3network. This allows property owners and system operators to proactively address network issues. All network-managed devices that reside at a property including Gateways, Level 2, and Level 3 Ethernet switches are continuously monitored over a secure VPN connection. As an added benefit, you have the ability to view the current state of all MFH3 systems deployed at your properties from anywhere via the Internet.

DIRECTV HR20i HD DVR

The DIRECTV MFH3 satellite distribution system is a MDUsolution that operators cannot afford to do without. Withseamless integration to existing systems, multiple deployments across a range of wiring topologies, reductions in capital and operating expenditures along with additional revenue opportunities by providing coveted triple-play services to customers, operators need not wait for another system or look any further – MFH3 is a proven success.

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MFH3™ Platform

DIRECTV’s MFH3 system

MDU

AFLtele.com/go/MFH3

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High Speed Internet

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Over the past 10 years, the Internet has evolved from an interesting technology with massive potential to becoming an indispensable service that’s viewed by travelers as a utility on par with keeping the lights on or ensuring clean water from the tap.

This has placed many hospitality providers in the unexpected position of serving as network provider and operator. Hotel Information Technology staff now need to become experts in wired and wireless delivery mechanisms, communications media including Category 3/5/and6 copper cables, various grades of coax cables, fiber optics, the wireless bands available for various functions. On top of that, there are different wireless technologies for different functions including Wi-Fi and cellular for both voice and data services.

Finally, providers need to make sure that high margin business travelers receive impeccable data services, while balancing the needs of recreational travelers who may decide to watch a movie on their home DVR over the hotel network.

It’s a set of daunting tasks, but HSIA can be a strategic weapon in keeping customers happy and winning long-term loyalty. This article will lay out some of the challenges and potential rewards when dealing with HSIA services.

InfrastructureThe biggest question is wired versus wireless.

When building out a new property, there’s no question that having at least 2 or 3 Cat5-6 drops to each room is critical for delivery of existing and future services. Coaxial cable is still useful for video delivery, although the long-term trend over the next 10-20 years is clearly towards IP delivery of video services, which is more efficiently delivered over either structured Cat5/6 cabling or fiber optics. There’s a case to be made for including fiber optics to each room to accommodate future services. The price of single-mode fiber, which is the fiber type most commonly used to delivery voice, data and video services by triple-play providers, has dropped dramatically over the past decade, such that a new property or one undergoing extensive renovation should plan to include fibers to each room, even if they’re not immediately lit. The main driver for fiber to the home is bandwidth delivery, mainly to accommodate HDTV and other video-based services.

For existing properties, there’s no question that a wireless service is the most efficient way to deliver a high quality service.

The first generation of services deployed by hotels earlier this decade was often just an extension of home Internet routers, with multiple deployed on a floor to provide coverage. Over time, this method has been proven to have several significant disadvantages, including high up-front capital costs, installation deployment time and disruption to the property, constant maintenance, and the inherent limitation associated with a non-meshed service.

These are now being replaced by newer, more advanced technologies, including wireless Mesh technologies. These technologies were originally developed for widescale deployments in municipalities and other areas, with the ultimate goal of having a subscriber seamlessly transfer internet service from one node

High Speed Internet Access (HSIA) Challenges for Hospitality Providers

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to another, similar to the way that cellular calls are transferred from one cell tower to another. Although it’s still used in those applications, hotels, resorts, and stadiums have also realized that this type of technology has significant advantages over the first generation of services.

These mesh technologies have very powerful receive sensitivity, so they can receive the signals from a typical laptop computer from a farther distance, resulting in fewer nodes to needed to cover a property. Although the nodes themselves are more expensive, there are fewer of them, resulting in both decreased capital and labor costs to deploy. Since fewer nodes are used, less maintenance is needed to keep the network up and running. These nodes are most commonly deployed outside of the property, resulting in much faster and less disruptive installations/maintenance.

An additional advantage of a mesh network is that customers can now maintain connectivity while traveling anywhere in the property, instead of needing to re-associate with a new access point when moving throughout the property. This feature is becoming increasingly important as guests increasingly carry smaller devices that can use Wi-Fi signals, such as Apple’s iPod Touch® device.

Service Management

Finally, in so many properties, although HSIA is viewed as a necessary amenity, property owners have not viewed it as a strategic weapon. However, for the high margin business traveler, a good Internet connection can make the difference between a good and bad business trip. Too many times, the Internet experience is not good and leaves a bad impression on the traveler.

This doesn’t need to be the case. There are several ways that a property can cater to the connected traveler tat enhance value to both the traveler and the property.

At a minimum, a property needs to set up Information Systems technology to managed traffic to ensure a good experience. If the tech-savvy guest in room 206 decides to watch his TV over the hotels’ network or set up a temporary spam server off of his laptop, the guests in other rooms will be the ones to notice by their slow connection.

Relatively inexpensive tools are available that can groom Internet traffic and ensure Quality of Service (QoS) for those guests with legitimate business applications, and manage those high-bandwidth applications, such as video.

If desired, these tools can be connected to the property’s billing system, opening up many new opportunities. First, the property can begin to provide different levels of service, with a basic level of service provided free of charge, ranging in price and capabilities as the expected complexity and bandwidth usage of the application rise. For example, the service can be set to provide a 256K-512K service for typical web-based applications that a leisure traveler may want to use. A next tier could include access to corporate VPNs at a faster speed. An even higher tier can include lightning-fast access to video and other applications. An additional advantage of tiering services is that the revenue gained from the top-tier users can be used to partially or totally offset the cost of the additional bandwidth that they consume. This approach enables the property to meet expectations of the wide range of travelers without breaking the bank to do so. Once the service has value to travelers, the property could choose to provide upgrades to frequent travelers as a valued amenity.

By viewing the technology infrastructure as a important key to a pleasurable stay, the property can use the services to gain customer loyalty and gain positive impressions that will last far beyond the checkout time.

Hospitality

Page 67: Connect With These Top Companies

Name of Client:Peabody Hotel Group

Location:Orlando, Florida

Name of Project:Network Infrastructure Expansion

Scope of Project:AFL Enterprise Services worked with Metro Construction to provide network infrastructure for an extensive expansion of the Peabody Hotel consisting of:

• Installation of voice, video and data • Installation of more than 1 million feet of Cat5e and Cat6 cable • Cabling for CCTV and CATV • Fiber backbone consisting of AFL fiber connectors

Schedule:February 2009 – November 2010

Completion Date:November 2010

When it comes to traveling destinations in the United States, Disney World, Sea World, and Universal Studios can be considered a tourist vacuum. As one of

the most frequently visited destination spots in the world, Orlando is not only limited to vacation seeking families, but businesses as well. Orlando is a city with a booming conference and convention scene. The weather makes it ideal for company retreats and seminars. Given the high rate of traffic, Orlando also has the reputation for the best hotels in the country. At the top of the list is the Peabody Hotel, one of the most luxurious sites in the city. Priding itself on catering to the meetings and conventions industry nationwide, the Peabody Hotel has established itself as the Orlando convention hotel of choice for the nation’s professional meeting planners.

According to a recent survey, the most important amenity for a hotel guest is Wi-Fi or tiered Internet connectivity. This is what the Peabody Hotel had in mind when it began its hotel expansion earlier this year. Peabody hired Metro Construction, a general commercial contractor headquartered in Memphis, to construct a $450 million expansion of the hotel, as well as AFL Network Services, a highly regarded company in the telecommunications industry, to install a superior network infrastructure.

Providing a network infrastructure for this new expansion is no easy task. With a target completion date of November 2010, the expansion includes a 34-story guest room tower with 1,641 luxurious rooms, all of which require Wi-Fi connectivity; three new pools, each with poolside cabanas capable of high-speed Internet access; expansion of the hotel’s meeting and convention area, both areas need to have Internet access for visiting guests as well as an infrastructure that can monitor billing and guest Internet access.

In order to provide a voice infrastructure, AFL will install nearly one million feet of Cat5e cabling. This cabling is intended for high-speed data applications, providing basic voice service for the rooms. RG-6 cable will also be installed for the transmitting of cable television. About a million feet of Cat6 cable with connectivity will also be installed to allow for a high-speed data infrastructure, helping facilitate records, billing, and information that the hotel will store in its computers. The entire fiber backbone will consist of AFL fiber and connectors.

It’s only fitting that the best network infrastructure is in the best hotel of one of the most visited cities. As work continues on the expansion, AFL Network Services has proven that it can handle jobs of extreme magnitude.

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Peabody Hotel Case Study

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SPONSORS

DIAMOND SPONSOR

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122

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Summit EverAt The SummitGet Connected… Biggest and Best…

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122

Special Summit Guest:

RURAL TELECOMMUNICATIONS CONGRESS

Sponsors of Rural TeleCon

Broadband for Rural ProsperityBroadband Properties welcomes the Rural Telecommunications Congress to

Summit 2010. RTC has been invited to hold its own event adjacent to the Summit.

RTC Mission Statement:

To advance community, research, healthcare and economic development in rural areas through the application of technology.

RTC Background:

• 1997 — A group of concerned citizens, local and state government officials, consultants and others begin meeting in Aspen, Colorado each fall to discuss how the Western states can benefit from high speed broadband services. Concerns include the need for knowledge at the grass roots level about applications for education, health, government, and the private sector. The conferences attract 150 – 200 attendees.

• 2001 — Organizers reach out nationally, attracting attendees from the Eastern states. The Rural Telecommunications Congress is formed, officers elected, by-laws written. The RTC, with its exclusive focus on rural issues, immediately becomes “the national rural telecommunications conference” to attend.

• 2002 — Conference in Des Moines draws well over 350 attendees, with every state represented. Event features a Federal Resource Center and nationally recognized speakers from industry and government. The conference includes a large vendor convention hall and numerous breakout sessions.

• 2003 — Annual RTC conference is held in Washington, D.C., attracting nearly 400 attendees from around the country and the world.

• Annual events continue to attract up to 400 — a worldwide network of practitioners, advocates and technologists dedicated to the quality of life in rural communities. — 2004 in Spokane, Washington — 2005 Lexington, Kentucky — 2006 Little Rock, Arkansas — 2007 Springfield, Illinois — 2008 Smugglers Notch, Vermont

To become an RTC member or learn more about RTC, visit: www.rtcconference.org/rtc

To register for the Summit or the RTC special event, visit: www.bbpmag.com

START PLANNING NOW FOR SUMMIT 2010.This year’s event will be at a new location – an excellent hotel in a vibrant

neighborhood full of superb dining and other attractions.The InterContinental is convenient to the two main airports in Dallas –

DFW and Love Field – and adjacent to Addison Airport, ideal for private aircraft.It’s the leading event for network builders and deployers.

The Summit is widely recognized as the number one venue for information on digital and broadband technologies for buildings and communities.

Activities and Sessions Include:• Newest Case Studies on How Broadband Spurs Economic Development • Applications to

Generate Profits for Network Operators • Awards for Today’s Leading Broadband Communities • World-Class Keynoters • Evening Receptions and Networking Events

Programs now being planned involve:• The latest broadband strategies of cities and communities • Lessons learned from others –

what to emulate and what to avoid • Sessions on getting your customers and constituents on board with your plans. • Panels on increasing the ROI of your buildings.

• Roundtables on improving the appeal of your properties.Who Should Attend:

Attendees include all those involved in the design and development of communities, including:• Real Estate Developers • Property Owners • Independent Telcos • Municipal Officials

• Private Cable Operators • Town Planners • Economic Development Professionals • Architects and Builders • System Operators • Investors • Utility Organizations • System Integrators

Register Early to Receive Major DiscountsSpecial Reduced Rates Now in Effect

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Subscribers:You get huge savings at all our events when you are a current subscriber. Subscribe or renew now at: bbpmag. com /subscribe

National Broadband Leaders Named as Summit Chairmen

Honorary Summit ChairmanThe Hon. Graham Richard

Former Mayor and State SenatorNational Broadband Champion

Special Summit ChairmanThe Hon. Hilda Legg

Vice ChairBroadband Properties Magazine

Honorary Summit ChairmanTim Nulty

East Central VermontCommunity Fiber Network

Page 71: Connect With These Top Companies

OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 63

MDU reporT

cuts deployment costs. Of course, some states may have to modify their regula-tions regarding demarcation points.

Many network deployers are plan-ning to use wireless-equipped ONTs as

home gateways. But for MDU owners, wireless has been a problem, mainly be-cause of security reasons and to some ex-tent because of channel and bandwidth limitations. There will not be enough

wireless bandwidth, for instance, to accommodate the upcoming 4K ultra HDTV, whose sales are expected to start late in 2012. The cost of using G.hn in-stead of wireless distribution will prob-ably be higher than Verizon’s existing cost for wireless in-unit distribution, but G.hn would be cheaper to maintain and would also provide higher bandwidth with more security in the long run.

CoexiStiNG With other StANDArDS Coexistence mechanisms will enable G.hn to avoid interference with Home-Plug technology already in use over power lines. When a device transmits over power lines, the embedded G.hn will be able to sense whether the wir-ing is already being used by HomePlug devices. G.hn will do this by using the same frequency band as HomePlug ver-sions 1.0 and 2.0 and overlapping that band with other frequencies.

Previously, HomePlug used a higher frequency with a range that was not in-

G.hN’S teChNiCAL ADVANtAGeS• G.hn’ssupportofsecureandprivatecommunicationsisparticularlyim-

portant both for business applications and in MDUs. • G.hnofferspowerconsumptionsavings–equipmentcangointoalow-

power sleep mode and remain ready to provide service quickly. • G.hnimprovesqualityofservicebyreducinglatency,orthedelaybe-

tween one node and the next, in the home network. • G.hnsupportsatleast20simultaneouslyactivenodesinadomain.• G.hnsupportstheBroadbandForumTR-069specificationforremotedi-

agnosis of wiring and packet transmissions throughout the home. This enables the service provider to quickly and easily diagnose problems, fix them and provision the equipment from an operations center, often without the customer having to do anything and without dispatching a technician to the home. It’s like having a piece of advanced test equip-ment built into every G.hn node.

Source: Tom Starr, AT&T Labs

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122. For other inquiries, call 877-588-1649, or visit www.bbpmag.com.

Don’t Miss the Broadband Properties Summit Toward a Fiber-ConneCTed world

April 26 – 28, 2010InterContinental Hotel – Dallas, Addison, Texas

“It’s the leading event for network builders and deployers.”The Summit is widely recognized as the number one venue for

information on digital and broadband technologies for buildings and communities.

Register Early to Receive Major DiscountsSpecial Reduced Rates Now in EffectVisit www.bbpmag.com or call 877-588-1649

Continued from Page 38

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64 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

MDU reporT

cluded in G.hn. The HomePlug Powerline Alliance remedied this potential problem by making HomePlug 3.0 aware of G.hn. HomePlug 3.0 will adjust its distribution frequencies to accommodate any G.hn signal on the same wire. Now, if Home-Plug 3.0 senses that a G.hn signal is on a power line, it will move its frequency to avoid G.hn and preserve compatibil-ity. [Editor’s note: For an update on the HomePlug compatibility issue, see the “Bandwidth Hawk” column on page 6.]

G.hn will also mimic packet sizes and packet headers of other technology. Pack-ets contain mainly the information that is being transmitted – that is, the data it-self. But packets also contain the address of the device that is the intended receiver, along with information that the intended receiver needs to decrypt the contents.

This setup normally requires a two-way dialogue between the receiving device and the transmitter. Here, handshaking is necessary for truly robust security. But if more bandwidth is taken up by these handshake messages, less will be available for actually transmitting files. So G.hn uses the DRM of existing transmission schemes and does not add a new layer for DRM – only for AES general security.

GAteWAYS AND DeMArCS Because it is arriving at a time when gateways are becoming more flexible and complicated, G.hn technology must be able to coexist with network environ-ments in all regions. The typical network gateway in the United States – that is, the interface between the outside wiring and the home network – is quite dif-

ferent from its counterparts in Europe or Asia. In this country, the gateway is the dividing line, or demarcation point (demarc), between the service provider’s network and the property owner’s. In Europe, the demarc is normally on an inside wall. In Asia, the gateway is sepa-rated from the demarc.

A goal of G.hn standards setters is to make sure set-top boxes can function in their usual way even with added DRM. Content providers see a need to protect high-value video content that will be transported over G.hn networks. Tra-ditionally, a scrambled signal that trav-els through the public network and the home network is unscrambled in the set-top box. But with G.hn, the set-top box must be aware that this content might be stored on a network server or sent on to another device. G.hn envisions the network server’s copy to be viewable on other devices, such as computers, that previously have not required set-top boxes. This can be done by giving the set-top box two-way communications capability. G.hn will allow for that.

G.hn is intended to look the same to the rest of the home network, whether it is supplementing existing structured wiring or interfacing with a Wi-Fi net-work. This is not easy when some of the content is using a proprietary security protocol. G.hn-connected devices will need the “smarts” to sort out various se-curity schemes in real time.

CoNCLUSioN“What we’re interested in is having more coverage, robustness, reliability, security, quality of service and manageability. All of those other dimensions beyond just bit rate are where we see the big gains and differentiation for G.hn technol-ogy,” Starr explained. For AT&T, G.hn has the potential to achieve what Starr calls the “five degrees of improved home networking”: easy fix, easy add, no new wires, outside only, and complete do-it-yourself. “When you bring this all to-gether, G.hn is going to be a real game-changer,” Starr said. bbP

WhY G.hN iS NeeDeD iN MDUS • RetrofittingbuildingswithstructuredwiringusingEthernetcablesisex-

pensive, messy and time-consuming. In buildings with concrete walls, it’s not even feasible.

• Wi-Fi–allasidefromspeedandsecurity issues–doesn’tprovidethequality of service needed for video or voice communication. Momen-tary interruptions may not be noticeable when you’re downloading e-mail, but video and voice require continuity.

• Powerlinesandtwistedpairdon’tusuallyworkwell inMDUs,atleastin the United States, because of interference and cross talk. That leaves coaxial cable as the physical medium of choice for home networks.

• HomePNA,thestandardmosttelcosusetodeliversignalsovercoax,islimited to throughput of about 200 Mbps – not enough to support new applications coming down the pike – and it uses frequencies that con-flict with the RF return signal used by DOCSIS. That’s why it isn’t used by cable companies or by telcos, such as Verizon, that use RF video.

• MoCA, the standard used by cable companies (and Verizon) todeliver signals over coax, has a maximum throughput of about 175 Mbps. A more important concern for MDUs is that MoCA’s DOCSIS-compatible frequencies limit the distances signals can travel.

• G.hnreplacesallofthis“alphabetsoup”withasinglenext-generationstandard. G.hn will deliver signals over coax at speeds and distances that will allow providers to deliver next-generation services in MDUs.

Source: Michael Weissman, vice president of North American marketing for CopperGate Commu-nications and a member of the board of the HomeGrid Forum. CopperGate produces HomePNA chipsets, including a chipset for MDUs, and expects to be one of the first companies to deliver G.hn chipsets.

Additional information about G.hn is available in our free digital edition at www.bbpmag.com/bbponline.php

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the use of radio frequencies for wireless Internet access and data transmission in multiple-

dwelling-unit (MDU) structures has become critically important. MDU resi-dents insist on reliable, fast and portable (that is, wireless) connectivity for their laptops, netbooks, gaming devices and smartphones – and even, in a trend that will surely grow, to supplement their cell-phone signals. These devices have become essential to tenants of all gener-ations. A prospective tenant who cannot connect wirelessly within an apartment or get a strong cell-phone signal may well decide not to rent or buy the unit.

Devices that connect using the IEEE 802.11 (Wi-Fi) frequency band are be-coming more and more common. Ac-cording to the trade group Wi-Fi Alli-ance and the consulting firm In-Stat, 387 million Wi-Fi–enabled devices were shipped in 2008, up nearly 360 percent from 2006, and nearly 1 bil-lion Wi-Fi–enabled devices are forecast to be shipped in 2012. In-Stat also re-ports that more than 1,000 new Wi-Fi–enabled products were launched in 2008 and even more are expected for 2009.

This proliferation of wireless devices, coupled with the difficulties cellular car-riers have in delivering reliable cell signal into large MDU buildings, has prompted some carriers to provide their MDU-dwelling subscribers with individual routers or mini-cells that very likely will interfere with their neighbors’ service. Such unmanaged wireless services will usually create interference and conges-

tion resulting in slow speeds, intermit-tent connectivity and overall dissatisfac-tion with in-building wireless networks. Service providers often blame “the build-ing” for creating these difficulties.

Wi-Fi iS the StANDArD Wi-Fi, which is designed to deliver ser-vices at high speeds over short ranges, has become the de facto standard for deliver-ing data inside buildings in which radio signals from outside cell sites have diffi-culty penetrating construction materials.

Wi-Fi technology is easy to use, reliable and cost-efficient to imple-

ment. This combination of low instal-lation cost, maintenance efficiency and user-friendliness has contributed to the proliferation of consumer Wi-Fi de-vices. Wi-Fi is now universally used and accepted as an important delivery system for telecommunications within buildings. It has become the standard, recognized as the short-distance, high- capacity bandwidth mechanism for in-building communications.

A recent study by market research firm Parks Associates, as reported in the May/June issue of this magazine,

Managing Radio Frequency Interference in MDUs

By Richard Sherwin ■ Spot On Networks

Wireless Internet access is increasingly important to tenants – but if devices interfere with each other, Wi-Fi becomes a nuisance rather than an amenity. Building owners must manage the Wi-Fi network to avoid a “crazy quilt.”

About the AuthorRichard Sherwin is CEO of Spot On Networks, a wireless Internet service pro-vider offering managed Wi-Fi in multifamily properties and commercial common areas. He can be reached at [email protected]. For more information, see www.spotonnetworks.com or the Wireless/Wi-Fi Forum on www.bbpmag.com.

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400

500

600

700

800

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1000

2004 2005 2006 2007 2008 2012

Mill

ions

of D

evic

es

Wi-Fi Devices Shipped (Source: Wi-Fi Alliance, In-Stat)

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66 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

MDU reporTconfirms the importance of Wi-Fi to MDUs with a finding that more than 35 percent of multifamily executives call in-unit Wi-Fi the amenity most likely to positively influence the sale or rental of an apartment.

trAPS For the UNWArY Some traps still remain for unwary building owners or managers. Because Wi-Fi frequencies overlap, and because, unlike cellular frequencies, they are un-licensed (meaning that anyone can use them), potential for interference and degradation exists unless owners and managers arrange for the efficient, coor-dinated management of radio frequen-cies within their buildings.

Although there are rules that gov-ern the use of unlicensed spectrum, in the United States the management of interference issues is left largely in pri-vate hands. The advisory firm Farpoint

Group offers the following comments about the Federal Communications Commission rules on wireless LANs:

These rules primarily specify the applicable frequency bands, power output limitations and a wide variety of technical and other parameters including limi-tations on coordination of devices and requiring the use of spread-spectrum radio techniques. The FCC’s policy on sharing unli-censed spectrum effectively leaves

it to industry to work out the de-tails regarding interference.

As was noted in an FCC Technical Advisory Committee report in December 2000, “We are about to have an unplanned real-time experiment on the con-sequences of uncoordinated spec-trum sharing by different services using incompatible etiquette rules.” The experiment has clearly been wildly successful, with on the order of 100 million WLAN

hoW GooD iS WireLeSS? Recent articles in this magazine have argued against using wireless as a primary Internet access method on the grounds that Wi-Fi linkages between buildings are problematic and unworkable in student housing; that Wi-Fi access points become choke points; that increasing user speeds and streaming applications will hasten the obsolescence of Wi-Fi equipment; that interference is bound to create problems; and that wireless speeds will never keep up with wired speeds.

Although we agree that Wi-Fi linkages between buildings may become oversaturated, especially in student housing, Spot On has designed linkages between buildings using high-speed WiMAX. This eliminates the use of Wi-Fi linkages for this purpose – and eliminates the saturation problem as well.

Access points using the newly ratified IEEE 802.11n wireless standard can provide throughput of 300 Mbps or higher. Because these commercial-grade access points serve only four or five users at a time in Spot On’s networks, not only do they not become “choke points”; they enhance the ability to stream data.

With the right amount of bandwidth delivered to a community, Wi-Fi networks exceed the performance of DSL and cable CMTS – even with DOCSIS 3.0 – and thus are capable of completely substituting for wired services with greater functionality and communitywide service provision.

In-Stat forecasts that 938 million Wi-Fi-enabled devices will be shipped in 2012, more than all devices shipped in the last five years. Therefore, we respectfully disagree that WiFi will become obsolete in the near future.

Spot On Networks has been designing networks with frequency reuse such that interference among its network access points is minimized. With the cooperation of building owners, managers and residents, little interference is experienced. Spot On’s Network Operations Center ensures the maintenance of the environment by recognizing and remediating interference events.

As an example of the performance of wireless networks in a difficult student housing environment, Spot On Networks provides its services to a 13-building urban campus stretched over a 1-mile radius in an extremely dense environment in New York City. Each user receives a minimum of a 2 Mbps by 2 Mbps secure path to either the school’s servers or the Internet, and all buildings are connected wirelessly from a central demarcation point. All users are connected to the network via Wi-Fi, whether they are in residences, classrooms or amenity areas.

While Wi-Fi networks must be upgraded to avoid equipment obsolescence, the same is true of all technology-driven networks, wired or wireless – as witnessed by ATT’s recently announced $18 billion upgrade. As the Wi-Fi service provider, Spot On Networks assumes responsibility for upgrading all our wireless networks.

The FCC has declined to become involved in coordinating spectrum sharing in the unlicensed Wi-Fi band. The agency has left coordination up

to the private sector – and in the MDU world, that means property owners and managers.

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OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 67

MDU reporTdevices sold in 2006 alone. (Far-point Group, “The Invisible Threat: Interference and Wireless LANs,” January 2008.)

A recent FCC publication, “Tech Topic 10: License-Exempt Wireless Applications for Public Safety,” is even more explicit, saying, “the FCC won’t help resolve any interference issues ei-ther!” The FCC expects that sharing and coordination arrangements will be made locally to ensure that residents ob-tain the services they need.

This means that determining who should manage and control Wi-Fi fre-quencies within a building becomes critical. Uncoordinated use can create an environment that reduces Internet access speed and causes disconnections and other interference issues.

When tenants use over-the-counter Wi-Fi modems and access points inside their own units and supplement their cell-phone services with carriers’ cell-to-Wi-Fi services such as T-Mobile Phone UMA or ATT’s Wi-Fi service, potential interference and degradation issues arise. The only proven way to ensure a high-quality wireless experience in a multifam-ily environment is a strategy that governs placement of wireless equipment as well as frequency coordination. This will al-low multifamily owners to build a uni-fied network rather than a crazy quilt of unmanaged wireless access points.

the bUiLDiNG oWNer ADVANtAGeManaging Wi-Fi radio frequencies cre-ates a major advantage for a building owner because an efficient Wi-Fi envi-ronment allows managed access to reli-able, high-quality service. Conversely, interference on Wi-Fi frequencies leaves a negative impression on residents of MDU buildings and can even be an im-pediment to a successful lease or sale.

Reducing interference increases speed, bandwidth and capability within a building. Once a building owner ar-ranges for the management of the radio frequency in the Wi-Fi band, interference for Internet access will be reduced, and residents will recognize improvement in the quality of service through faster, more dependable connections. bbP

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122.

For other inquiries, call 877-588-1649, or visit www.bbpmag.com.

April 26 – 28, 2010InterContinental Hotel – Dallas

Addison, TexasThe Leading Conference on

Broadband Technologies and Services

ExpAnDED MulTI-HousIng progrAMAn Agenda Developed by Industry leaders• Future of Multifamily Design: What Building Styles, Systems and

Applications will Dominate Tomorrow’s Multifamily Community?

• Case Study: Switched Digital Video

• Case Study: The Real Value of an Owner’s Marketing Efforts for Providers

• What is the Cost of Having Two Triple Play Providers Serving One Community?

• Regulatory Update

• 4th Annual Legal Leaders Panel

• Points of Demarcation: Have the Lines Become too Blurry to See?

• What is the Value in Bulk Services?

• Owner Discussion: Marketing Agreements and Industry Trends

• Due Diligence: How do you Evaluate an Existing Multifamily Community?

• The Value Proposition for the Consumer

• Providers Panel: What do Providers want from Multifamily Owners, Managers and Builders?

Page 76: Connect With These Top Companies

68 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

MDU reporT

in the last few years, fiber deploy-ments in multiple-dwelling units (MDUs) have drawn a great deal of

attention. Many potential customers live in dense urban environments, and connecting them requires a lot of cre-ativity. The industry has been saturated with new technologies that focus on this application, none of which has garnered more attention than the new ultra-bend-insensitive fibers enabling copper-like installation methods inside buildings.

Because of the scale of the deploy-ments and the players involved, ultra-bend-insensitive fibers were immedi-ately associated with big-city skylines and high-rise developments. However, focusing on high-rise deployments to the exclusion of other FTTH applica-tions ignores some other creative uses of this technology. In fact, some of the first deployments of ultra-bend-insensitive fibers have occurred in rural and small-town settings where the skyline consists of the local water tower and surround-ing mountains.

beNDiNG it GArDeN StYLeA municipal utility overbuilder in the Southeast was one of the early deploy-ers of ultra-bend-insensitive fiber. The municipality had largely completed overbuilding a midsize city with FTTH, using a GPON solution with video sup-ported by a 1550nm RF overlay. Al-though single-family residential cus-tomers were subscribing to the service at a respectable rate, a sizable population of potential subscribers in garden-style MDU developments remained unserved. These garden-style complexes consisted primarily of two-story and three-story buildings with between eight and 16 apartments per building.

The municipality decided to install new cable in each building and dedicate an optical network terminal (ONT), in-stalled indoors, to each subscriber. Be-cause this approach involved construc-tion in older buildings with multiple layouts, it required a very robust and versatile solution.

The municipality’s installation crews were equipped, trained and well-prac-ticed in fusion splicing. Rather than trying to determine the lengths required for factory-terminated assemblies in each situation, the municipality decided to simply carry EZ-Bend spools on the

installation crews’ trucks and splice where needed.

In most cases, the result looks like the photograph to the left. A loose-tube cable with conventional single-mode fiber terminates into a wall-mount closure on the side of an eight-unit, garden-style MDU. From there, eight EZ-Bend 4.8mm indoor/outdoor cables are bundled together, spliced to the in-coming loose-tube cable and routed along the outside wall into the attic. Inside the attic, the cables are stapled to the rafters and then routed down behind the drywall into each cus-tomer’s premises, where they are again spliced into a wall outlet serving the ONT. Recabling and splicing an eight-unit building takes about an hour and a half.

Although the fiber cable is behind the drywall and inaccessible from the customer’s apartment, the cable suffers substantial abuse in the attic. First, be-cause there are no existing pathways, the cable is subject to severe bends and installation stress, and must usually be secured with a staple gun. Second, attic temperatures in this part of the country are varied and impressive. Therefore, the cable must be able to sustain the bends accompanying the expansion and con-traction of materials over many years of temperature extremes.

MoUNtAiN beNDSAnother very early deployment of EZ-Bend cables was about as far removed

Another Case of the Bends

By Guy Swindell ■ OFS

Ultra-bend-insensitive fiber gives FTTH deployers more options for cost-effective installation, both in MDUs and single-family housing.

About the AuthorGuy Swindell is applications engineering manager for OFS, a manufacturer of opti-cal fiber and connectivity products. You can reach him at [email protected].

Splice with bundle of eight EZ-Bend cables.

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MDU reporTfrom a big-city skyline as can be imag-ined. Sunset Digital is a competitive overbuilder in rural southwestern Vir-ginia. It deploys aerial and underground infrastructure to rural and small-town customers, most of whom live in single-family homes. Those customers receive IP-based FTTH services delivered cour-tesy of an Ethernet switched optical net-work platform (point-to-point FTTH).

After Sunset Digital had been in the FTTH business for a few years, its cost model began to show that substantial savings would accrue from locating the ONTs and all other customer-premises equipment indoors. Technicians ei-ther had to bring power out of a house from the inside or take fiber into the house from the outside; either way, they couldn’t avoid going into the customer’s

home. As long as the technician had to enter the home, the indoor ONT offered attractive cost savings by eliminating the need for a device hardened for outdoor use. Thus, Sunset Digital found an in-centive to go “back to the future” and install ONTs using methods that had been perfected years earlier with DSL and cable modems.

The only problem with installing ONTs indoors was the risk of exposing fiber optic cable to the hazards inside the customer premises. To make the concept work, Sunset needed a cable that the cat could chew, that the vacuum cleaner could run over, and that could be bent sharply without concern about bending loss shutting off the Super Bowl game. The company also needed to minimize the amount of hardware inside the cus-

tomer premises (even the most strident FTTH advocates like to keep splice closures out of the living room). The solution was an EZ-Bend 4.8mm cable terminated with splice-on connector technology.

For this type of application, cable op-tions were few, but cable termination op-tions were many. The cable needed to be extremely robust, discreetly small, flame retardant and compatible with Sunset’s installed base of fiber. Only a couple of cable solutions on the market fit that de-scription. In addition, EZ-Bend’s solid-glass structure permitted use of all the standard termination techniques and off-the-shelf connector options available for conventional fiber, including me-chanical splicing and factory-installed assemblies.

NeW teChNoLoGY – With A hiStorY

The newness of bend-insensitive fibers has been somewhat exaggerated. Well over two decades ago, AT&T offered single-mode optical fiber, based on a depressed-clad design, that had only a fraction of the bend-sensitivity of conven-tional single-mode fiber. That product is still manufactured and still widely used in some high-data-rate applications where its properties make it more desirable than conventional alternatives. Of course, AT&T exited the manufacturing business some time ago, but the product continued under the brand names of Lucent Technologies and now OFS.

What’s new about bend-insensitive fiber is the broad selection of bend-insensitive (BI) fibers now available in the market. The original BI fiber developed by AT&T Bell Labs was improved in 2006 to a full-spectrum BI ITU G.657A fiber now known as AllWave FLEX fiber. Many other ITU G.657A fibers have been introduced to the market, all with bend-ing characteristics superior to conventional single-mode fiber; some exhibit excellent splice compatibility with other widely deployed products. These G.657A fibers have moved beyond jumper assemblies in FTTH and have found their way into fiber distribution hubs, outside-plant drop cables and almost every other segment of the last-mile network. Hancock Telephone of Indiana, for example, deployed OFS’ AllWave FLEX fiber in distribution cables running through the neighborhood as a way of reducing trouble calls.

An even more bend-insensitive fiber type, known as G.657B, was developed to address new needs for cabling in-side homes and MDUs. However, testing and customer evaluations showed that G.657B fiber was still not sufficiently bend-insensitive for customers who wanted inside drop-fiber installations to be as fast and easy as copper.

Because of this recent need for fiber inside homes and MDUs, the fiber types getting attention lately go far be-yond the current ITU G.657A or B standards for bend insensitivity. Installers can treat these fibers in ways that few copper cables could handle, including stapling them to walls and routing them around 90-degree bends. In fact, the International Telecommunication Union is now considering creating an ITU G.657C standard to properly address this application.

One of these new fiber types, resonance-assisted fiber (RAF), developed by OFS Laboratories and branded as EZ-Bend fiber, offers ultra-bend-insensitivity while retaining the solid-glass structure of conventional fiber. RAF provides superior or compliant bending loss relative to carriers’ requirements. (Additional details about RAF performance are available in a recent technical paper, “Performance of Single-Fiber and Multi-Fiber Ultra Bend Insensitive Indoor Opti-cal Drop Cables,” by Peter A. Weimann and William S. Allen of OFS FITEL LLC, to be published in the proceedings of IWCS November 2009.)

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MDU reporT

The Sunset Digital technicians re-sponsible for installing drops to the home are fully equipped and trained for fusion splicing. Thus, splicing EZ-Bend fiber to the drop cable at the side of the home and using the same fusion splicer to install a FITEL Splice-On Connec-tor at the ONT was an easy and elegant solution. This approach eliminated ad-ditional splice apparatus in the customer premises, provided a factory-installed quality connector at the ONT, elimi-nated any need for cable slack storage and reduced material expenses. Perhaps just as important for an in-residence fiber deployment, the solution was low-profile and aesthetically pleasing.

iNStALLiNG ULtrA-beND- iNSeNSitiVe Fiber Suppliers of ultra-bend-insensitive fibers have marketed them on the basis of their copper-like installation qualities, espe-cially their ability to support low-skilled labor. Most of the marketing has cen-tered on factory-terminated assemblies that crews can install without splicing. However, both of our examples involve well-trained, experienced installation crews using fusion splicing. This is not to say that factory-terminated assem-blies and the use of low-skilled labor are

not big parts of the ultra-bend-insen-sitive value proposition – indeed, they are. However, the technology may still be the best fit for an application without these variables.

In the two deployments we discuss, crews arrive at a location with a box of unterminated cable that could be easily mistaken for Cat 5 if not for the label on the side. They route the cable into posi-

tion and splice it with a handheld, fixed V-groove fusion splicer. The first splice is made to the cable routing to the build-ing, which holds a conventional single-mode fiber from one of many possible vendors, and the second splice is made at the ONT to either a splice-on connector or a pigtail with yet another fiber type.

The technical observer will note that we have a lot of mismatched fibers and a lot of splicing equipment. Yet the setup works extremely well. Installation tech-nicians splice the ultra-bend-insensitive EZ-Bend cable to standard single-mode fibers using standard equipment and standard splice menus. For the tech with the staple gun, the cable is just like coax. For the tech with the splicer, the cable is just like conventional single-mode.

WhAt’S AroUND the beND?Staple guns, tabletop obstacle courses and mandrel wraps all make great trade-show fodder for BI fibers. How-ever, the versatility of the technology is what will enable new FTTH applica-tions. Cost reductions in both multi-family and single-family installations can result from combining ultra-bend-insensitivity with the options of easy splicing and conventional fiber termina-tion. Resonance-assisted fibers open up all those possibilities, plus others that may be just around the bend. bbP

Prepping EZ-Bend for splice-on connector.

Sunset Digital routing fiber through the crawl space.

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NMHC CoNFereNCe & expo

ADC

ADC provides the connections for wireline, wireless, cable, broadcast and enterprise networks around the world. ADC’s innovative network infrastruc-ture equipment and professional services enable high-speed Internet, data, video and voice services to residential, business and mobile subscrib-ers. ADC has sales into more than 130 countries. Learn more about ADC at www.adc.com.

AT&T Booth #317

Delivering the Latest in Tele- communications and Enter-tainment Solutions

As a leading global provider of advanced communications services, AT&T, through its dedicated AT&T Connected Communities organization, works closely with apartment management and ownership groups, single-family builders and developers to serve customer needs with the latest services available. To learn more, visit www.att.com/communities.

Calix

Calix is the world’s larg-est equipment supplier fo-cused solely on access, and is North America’s most widely deployed fiber-to-the-premises solutions provider. The Calix Unified Access Infrastructure al-lows providers to deploy any service over any media type and protocol via a form factor that fits their deployment needs. The company has equipped many rural systems and pioneered long-range OLTs.

The Calix C7 multiservice access platform enables the de-ployment of legacy and advanced broadband services, including GPON. Its E-Series includes Ethernet platforms for delivering copper- and fiber-based services, including a new residential active Ethernet platform, and its P-Series offers a broad port-folio of optical network terminals for residential, business and MDU deployments. All Calix products are managed by the Calix Management System, which provides a single network view and advanced management capabilities across an entire unified access infrastructure.

Founded in 1999, Calix is headquartered in Petaluma, Ca-lif., with offices in Boston and Minneapolis. For more informa-tion, see ww.calix.com.

Corning Cable Systems

Corning Incorporated developed the first optical fiber for communications in 1970 and remains a world leader in spe-cialty glass and ceramics, creating and manufacturing key-stone components that enable high-technology systems. Corn-ing Cable Systems develops and manufactures a broad range of optical cable, hardware and equipment designed to make fiber-to-the-x (FTTx) deployments faster, easier, more reliable and more efficient. In 2007, Corning introduced its innova-tive ClearCurve product suite, based on bend-insensitive op-tical fiber. ClearCurve solved historical technical challenges for telecommunications carriers installing fiber-to-the-home (FTTH) networks in multidwelling units (MDUs) and other complicated deployments, and Corning continues to expand the product suite with technological innovations.

Corning Cable Systems Evolant Solutions for Carrier Net-works deliver tip-to-tip product and service offerings for FTTx, CATV and wireless applications, with preconnectorized solu-tions revolutionizing the way FTTx networks are deployed.

Featured Exhibitors and Companies to Meet at the

2009 National Multi Housing Council Apartment Technology

Conference and ExpositionNovember 8–10 • Phoenix, Arizona

To contact companies that do not have booth numbers, see Broadband Properties at booth #114.

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OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 73

NMHC CoNFereNCe & expoWhatever your network needs, Corning has the solution. For more information, see www.corningcablesystems.com.

ComcastBooth #416

Comcast Corporation (www.comcast.com) is the nation’s leading fiber optic network for TV, phone and Inter-net. We value our partnerships with multifamily communities as we help them deliver the best in entertainment to their resi-dents. All three Comcast services bring valuable benefits to each customer’s home: Comcast Digital Cable with On Demand, Comcast Digital Voice with unlimited nationwide calling and Comcast High-Speed Internet with Powerboost. Serving resi-dents in 36 states and the District of Columbia, Comcast will partner with you to meet all of your residents’ communications needs. Come visit our booth at the National Multi Housing Council’s Apartment Technology conference in Phoenix!

Connexion TechnologiesBooth #419

Connexion Technologies customizes and manages state-of-the-art communications networks in single-family, multifam-ily, high-rise, resort and hospitality properties nationwide. Its award-winning networks optimize the communication expe-rience and the value of properties for residents and property owners, creating A Better Connection. Connexion Technologies is not a service provider; rather, it selects and manages a port-folio of providers that offer entertainment and communication applications, including the best in enhanced television, tele-phone, Internet and other services over Connexion’s provider-neutral networks. The company is based in Cary, N.C. It was established in 2002 and serves properties in 20 states. For more information, visit www.connexiontechnologies.net.

DIRECTVBooth #308

DIRECTV Inc., the nation’s num-ber one satellite television service, presents the finest television ex-perience available to 18.3 million customers in the United States and leads the HD revolution with more than 130 HD channels – more quality HD channels than any other television provider. DIRECTV subscribers en-joy access to more than 265 channels of 100-percent digital picture and sound, exclusive programming, industry-leading customer satisfaction (surpassing all national cable companies for nine years running) and superior technologies that include advanced DVR and HD-DVR services and the most state-of-the-art interactive sports packages available anywhere. To learn more, visit www.directv.com.

GLDS

WinCable sets a new standard for cable billing and subscriber manage-ment software. Digital and analog set-top boxes, conditional access, satellite, cable modems, VoD and VoIP are all managed directly from the WinCable system. GLDS also offers Web-enabled customer self-care (including bill view, subscriber self-upgrades, PPV, and credit card payments).

• Designed for the requirements of private and municipal cable operators

• Support for interdiction, FTTH, Digital, VoIP and more• Landlord/tenant billing options.

Serving small and midsized operators, GLDS has imple-mented its solutions for more than 300 cable systems in 49 U.S. states and 40 countries worldwide. Contact GLDS Sales at 800-882-7950.

Multicom Inc.

QAM, 8VSB, ITU J.83 An-nex A and B – have you looked at a spec sheet for a new mod-ulator lately? Our industry is experiencing an upheaval of new terminology, applications and technology! How do you keep pace? Here’s the good news: You don’t have to!

Multicom’s experienced sales engineers have proven track re-cords for providing the product and service solutions you need, when you need them. With 13,000 products from more than 270 of the world’s major manufacturers in stock, we provide not only the answers to today’s most challenging questions but also the products to implement the most sophisticated projects. Look to Multicom when you need reliable information – and the products and experience to back it all up.

Multicom will also design your distribution system, pro-vide a complete priced bill of materials and then rack, balance and crate your headend for a complete plug-and-play solution.

In business since 1982, Multicom is a full-line stocking distributor and manufacturer of products used for the end-to-end integration of television, data, voice and security over fiber, coax and copper. For competitively priced products and services, call us at 1-800-423-2594, e-mail us at [email protected] or visit our premier Internet resource Web site at www.multicominc.com.

OFS

OFS (www.ofsoptics.com), a world-leading designer, manu-facturer and supplier of optical fiber products and solutions, can help Fiber-connect your Community with a high-performance FTTH portfolio that in-

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NMHC CoNFereNCe & expocludes well-known brands such as the comprehensive, end-to-end FOX Solution (Fiber Optics to the X), ultra-bend-insen-sitive EZ-Bend Optical Cables, V-Linx Spool & Play Solution for MDU deployments and all-dry optical cables.

OFS’ innovative FTTH solutions help deliver fiber directly to homes, businesses and MDUs and support high-quality rev-enue-generating services, such as HDTV, online gaming and video on demand, that can increase return on investment and property values.

OFS’ ultra-bend-insensitive EZ-Bend Cables are the ideal solution for MDU and in-home wiring applications and can be routed around sharp corners and stapled using the same simple practices and installation tools used for copper service cables. Available in riser, plenum, LS0H and indoor/outdoor versions, EZ-Bend Cables are RoHS-compliant and free of heavy met-als.

Other OFS solutions include state-of-the-art FITEL fusion splicers and tools; bend-optimized AllWave FLEX ZWP fiber; AllWave FLEX Jumpers and Fanouts; and all-dry Fortex and AccuRibbon cables. OFS can also help optimize your network design with its OptiCost FTTH Modeling services.

Satellite Management Services

Satellite Management Services is the oldest and most respected supplier of goods and services to the private cable industry. We are your single source for design, headend and dis-tribution equipment and a national distributor of virtually all the pro-gramming options available. We are also an authorized VAR of the Dish Network PCO Program and have distribution rights to package IP-based video programming as well. The core of the SMS management team has been together for more than 20 years. Our team members expertly guide cus-tomers through an ever-changing technology landscape with custom solutions for every broadband scenario. Simplify your life and make the call to SMS. Call 800-788-8388 or visit us on the Web at www.smstv.com.

Spot On NetworksBooth #117

Spot On Networks (w w w.spotonnet-works.com) provides extremely cost-effective, secure, high-speed wireless Internet services to MDUs in apartments and community common areas. Spot On partners with the coun-try’s leading property owners, developers and managers to provide a must-have amenity that helps increase and maintain occupancy, raise renewal and sales rates, create an additional revenue stream and ultimately differentiate the property.

Proven, secure Wi-Fi technologies and robust, state-of-the-art equipment increase the community’s value to its residents.

Spot On accommodates the devices your residents use today, whether those are laptops, desktops, DVRs, smartphones, T-Mobile Wi-Fi cell phones or even the Wii.

Spot On’s state-of-the-art customer service allows manage-ment a worry-free environment.

Reap the benefits of a must-have amenity while providing savvy tenants with the services they demand and expect. Take the opportunity now to stay ahead of your competition.

SuttleBooth #404

Founded in 1910, Suttle is widely accepted by the world’s larg-est service providers as providing leading residential connectiv-ity solutions. The company’s high-quality products are backed by best-in-class customer service, a 25-year warranty on certi-fied systems and a free online training program for CEDIA and BICSI credit. Suttle is an ISO 9001- and TL9000-regis-tered communications company based in Hector, Minn. For more information about Suttle or its family of products, visit www.suttleonline.com or call 800-852-8662.

Time Warner Cable

TWC Community Solutions, Time Warner Cable’s business unit dedicated to multifamily and student housing, is more than just another service provider. We partner with our cus-tomers to provide the high-quality video, voice and data ser-vices they have come to expect. In addition, we create unique and compelling solutions that benefit our partners’ bottom lines because of our flexibility, creative billing programs and competitive pricing.

Our advanced fiber network delivers exciting new services that are not available from the phone companies. For example, digital cable customers will soon enjoy DVR-like features with-out the DVR. “Look Back” allows customers to watch favorite shows they missed, while “Start Over” lets them start a show at the beginning when it’s already running. Those are just two of the many innovative services we’re introducing to make life better for your residents. Contact us today to learn how you can provide your residents with the latest innovations in video, voice and data services. For more information, see www.time-warnercable.com.

Toner Cable Equipment

Toner Cable Equipment Inc. is a manufacturer and full-line stocking distributor of cable television equip-ment in business since 1971. Services include custom building of headends and FTTx, technical sales staff, same-day ship-ping and television system design assistance. Products include

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OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 75

NMHC CoNFereNCe & expomodulators, processors, satellite receivers, HD encoders, Edge QAM modulators, multiplexers, character generators, fiber op-tic equipment, equipment cabinets, RF amplifiers, coax cable, taps, splitters and connectors. Our extensive in-stock inventory includes products of more than 100 manufacturers, including Blonder Tongue, Adtec, Contemporary Research, Drake, Ol-son Technology, Pico Macom, Force, Ortel, CommScope, Pa-cific Broadband Networks, Times Fiber, Gilbert, Sadelco and Middle Atlantic Products. Call 800-523-5947 for a free cata-log, or visit www.tonercable.com.

Verizon Enhanced CommunitiesBooth #402

Verizon Enhanced Communities is Veri-zon’s business unit dedicated to serving single- and multifam-ily residential, mixed-use and commercial multitenant prop-erties with broadband, video and advanced communications. Verizon’s fiber-to-the-premises infrastructure delivers Verizon

FiOS Internet, TV and phone services over the most advanced all-fiber-optic network obtainable. FiOS can help increase your property’s profitability and add to its long-term viability. Veri-zon makes it easy, providing custom installation with dedica-ted management and engineering teams and ongoing customer service. Learn how to enhance the value of your community at www.verizon.com/communities. bbP

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122. For other inquiries, call 877-588-1649, or visit www.bbpmag.com.

Broadband Properties welcomes the Rural Telecommunications Congress to Summit 2010. RTC has been invited to hold its own event adjacent to the Summit.

To become an RTC member or learn more about RTC, visit: www.rtcconference.org/rtcTo register for the Summit or the RTC special event, visit: www.bbpmag.com

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76 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

INDepeNDeNT TeLCoS

the sorry state of rural broadband has occasioned floods of news arti-cles over the last six months – and

will inspire floods of federal grant and loan funds over the coming year. Accord-ing to today’s received wisdom, broad-band is nowhere to be found outside large cities and their wealthy suburbs.

This view is not entirely unwar-ranted. Large telecom providers invest in those parts of their networks where they are most likely to recoup their in-vestments; this imperative leads them to disinvest in their rural territories – or, if possible, to spin them off entirely.

Smaller providers, however, follow a different playbook. Lacking access to more lucrative markets, they seek oppor-tunities in places where they have name recognition. In addition, many exist only because they – or their predecessors – rose to the challenge of serving areas neglected by the former Bell system. Cooperatives, family-owned firms and even publicly traded companies that have evolved from small rural providers identify closely with their communities. Because they are an-

chor institutions in the areas they serve, they see their mission as keeping rural communities viable.

Many of these small providers see fiber to the home as key to the survival of their rural communities. At least 418 independent telephone companies have deployed or are actively planning fiber-to-the-home networks in the United States, an increase of 31 since BBP last published this list in March.

Drivers for FTTH investment by this group of companies include

• Technology breakthroughs that have reduced the cost of deploying fiber in rural areas

• A long-standing commitment to lo-cal economic development

• A desire to provide triple-play ser-vices to residential customers.

Many of the telcos listed here are in the middle of long-term fiber upgrades. After starting with one or two trial de-ployments, they commit to build out fiber to new developments, to exchanges whose copper plant is depreciated or to places where they would like to de-liver video services but DSL isn’t up to the job. Many are moving outside their traditional service areas to cherry-pick nearby locations that are underserved.

A number of telcos that were early adopters of FTTH have upgraded their fiber electronics from BPON to GPON or, less often, have shifted to point-to-point Ethernet technologies. By deploy-ing these newer technologies, these tel-cos demonstrate that they have achieved their original goals of “future-proofing” their networks: They can use the same fiber to offer more-advanced services.

Fiber Deployments By Independent Telcos

By Masha Zager ■ Broadband Properties

As the business case for FTTH continues to improve, independent telcos are building next-generation networks and offering advanced services.

AboUt the LiSt

Since 2005, Broadband Properties has maintained a list of independent telephone companies that de-ploy fiber to the premises. We’ve published the list several times each year. We also maintain the list online at www.bbpmag.com/search.php to enable you to search, sort and even download this information. The online list also includes most municipal fiber deployers, as well as some cable companies and other FTTP deployers.

Although we gather information from as many sources as we can, we know the list is not complete. To add to the list, fill in missing information or correct any errors, please contact [email protected].

About the AuthorMasha Zager is the editor of Broadband Properties. You can reach her at [email protected].

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INDepeNDeNT TeLCoSJUStiFiCAtioNS For Fiber to the PreMiSeS Reasons independents have told us they are building fiber networks include the following:

• Old copper plant was failing and they didn’t want to replace it with more copper that would soon be ob-solete.

• In new housing developments, they found that FTTH was only margin-ally more expensive to install than copper but would be less costly to maintain and have a longer useful life. (Recently, many providers have told us that FTTH is the less expen-sive choice.)

• They wanted to offer video and other advanced services, and decided that DSL had too many limitations. Many rural telcos already owned ca-ble TV plant (they are exempt from cable-telephone cross-ownership re-strictions) and wanted to upgrade their video services without pouring money into obsolete cable networks.

• Their service areas were losing jobs and population, and they believed fi-ber would encourage more economic opportunities.

• Their service areas were growing rapidly, and new residents moving in from metropolitan areas were at-tracted to fiber as an amenity.

• They saw opportunities to compete in underserved areas outside their traditional service areas where resi-dents were unhappy with the avail-able choices for video and/or Inter-net service.

Because independent telcos rarely compete with one another, they tend to regard one another as colleagues. They share experiences and pool information. As information spreads, one success gives rise to another. Over the last sev-eral years, with fiber deployment costs falling and the cost of copper rising, more and more independents have been encouraged to try this new technology.

This year, the $7.2 billion authorized by the American Recovery and Rein-vestment Act (ARRA) for broadband networks has encouraged many inde-pendent telcos, both those already on

the list and others, to propose building FTTH networks.

WhAt the NUMberS ShoW1. The great majority of independent

telcos building fiber networks are incumbent providers or CLEC sub-sidiaries of incumbents.

Five of six companies on our list are ILECs (incumbent carriers dating from before 1996) that are either replacing old copper plant with fiber, building fiber to

new developments in their service areas, overbuilding towns near their service areas where they have name recogni-tion – or some combination of the three. In most states they must form CLEC subsidiaries to move outside their tradi-tional service areas, but they still appear in the list as ILECs even if their fiber-to-the-home networks are only in their CLEC areas.

The remaining companies are pure CLECs (competitive carriers) with no

WhAt iS AN iNDePeNDeNt teLCo?The independent telcos on our list are licensed providers of wireline

voice services other than Verizon, AT&T and Qwest. They are regulated in the United States as ILECs (incumbent providers) or CLECs (competitive pro-viders) or both. The majority are rural providers, many of them cooperatives or small family-owned businesses, set up 50 years ago or more to offer tele-phone service in regions not covered by the Bell system. A smaller number came into existence after the Telecommunications Act of 1996, some spe-cifically to build fiber-to-the-home networks in new housing developments, others to serve businesses or to offer telecommunications alternatives for underserved areas.

Today, many companies other than traditional telcos deliver reliable, interconnected voice service, using either cellular or wireline networks. Excluding these companies from our list is somewhat arbitrary, especially because many traditional telephone companies also offer both wireless ser-vice and wireline VoIP service. Some of these nontraditional providers are functionally no different from CLECs. However, telcos still exist as a historical and legal category, and our definition is consistent with industry usage.

To the extent possible, we have excluded from the list telcos whose only involvement with FTTH is to deliver services over fiber access networks that they do not own and were not involved in building – for example, networks owned by municipalities or housing developers.

Independents usually build in their area of incumbency but often expand into neighboring towns as CLECs.

FTTH Network Builders by Type

Pure CLECs15%

ILECs and their CLEC subsidiaries 85%

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INDepeNDeNT TeLCoStraditional geographic base. These com-panies seek out promising territories to overbuild with fiber. A few build hybrid fiber-coax networks in some areas and FTTH networks in others.

The proportion of ILECs to CLECs has remained surprisingly constant over the four years we have tracked telcos’ fiber builds, even though the number of companies on the list has increased nearly tenfold.

Most of the pure CLECs originally focused on collaborating with housing developers to build networks in green-field developments and master-planned communities, but given the shortage of new housing, some have turned to over-

The triple play of voice, video and data is the standard offering for independent telcos

deploying fiber to the home. Some providers offer additional services, such as home security.

Services Planned or Delivered

Unknown20%

Other5%

61% Voice, Data10%

Triple Play Plus Additional

Services 4%

Voice, Data, Video

Video is usually necessary to recoup the cost of an FTTH network. The triple play continues to be the standard offering.

Technology UsedNote: Some telcos use multiple technologies.

1

25

31

35

46

53

276

RFOG

PON Unspecified

Unknown/Undecided

EPON/GEPON

BPON

Active Ethernet

GPON

Passive optical networks are far more common than active networks, but active networks continue to gain in popularity. Gigabit PON has largely replaced older, slower standards.

building. A few, such as ComSpan USA and Hiawatha Broadband, adopted an overbuilding model from the start. Oth-ers focus on serving small and midsized businesses.

Although the typical independent telco serves a few thousand customers in one or two rural counties, the compa-nies on this list range from corporate gi-ants such as CenturyLink, which serves 7.5 million customers in 33 states, to tiny cooperatives such as Allband Com-munications, with fewer than 200 cus-

tomers in a remote corner of Michigan. Likewise, fiber deployments range from 150,000 homes passed by SureWest, an FTTH pioneer, to pilot projects with fewer than a hundred homes passed.

2. Most providers plan to deliver the triple play of voice, data and video services.

Delivering advanced video services is usually a motivating factor for a fi-ber buildout. Many independent telcos formerly managed cable TV networks

alongside their telephone networks. De-ploying fiber to the home allows them to merge the two, reducing network management costs while adding high-definition TV, DVR, video on demand and a wider selection of channels.

Beyond the triple play, the most common additional service is security monitoring. Gaming, caller ID on TV and PC (convergent applications) and business applications are also being of-fered by some telcos.

Announcements of FTTH deploy-ments often mention telcos’ desire to migrate to all-IP networks. VoIP is now often used in place of traditional switched telephony, just as IPTV is dis-placing RF video.

3. Companies are choosing more-ad-vanced FTTP technology options.

BBP’s first published list included mainly BPON systems, a few EPON systems and one active Ethernet system. Today, although passive networking re-mains by far the most frequent choice, at least 53 independent telcos use active Ethernet for one or more fiber projects.

Gigabit passive networks, both GPON and GEPON, have become much more common during the last sev-eral years. GPON is the PON of choice for this group – three-quarters of com-panies with passive optical networks, in-cluding almost all new additions to the list, have adopted the GPON standard. The migration from BPON to GPON

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INDepeNDeNT TeLCoS

and active Ethernet has been speeded by the availability of Calix’s auto-sensing optical network terminal, which allows telcos to upgrade central-office equip-ment without having to replace the cus-tomer-premises equipment.

The number of telcos using mul-tiple types of technologies, although still small, continues to grow. Our list shows at least 12 percent with multiple technologies, most often BPON and GPON. Many companies find staying with the technology (and vendor) they have already used successfully to be sim-pler; others find that their needs change over time, that newer technologies allow them to upgrade their services or that requirements vary from one part of their service area to another.

Technical factors also encourage the use of multiple access technologies. Re-cently released access platforms, such as Enablence’s Trident, have been built to accommodate different technologies from the same chassis.

4. Many vendors are competing suc-cessfully in the independent telco market.

When independent telcos first began deploying fiber, nearly all of them used FTTH electronics from Optical Solu-tions. After Calix bought OSI, it main-tained OSI’s substantial lead in this market. About two-thirds of the telcos on our list use at least some Calix equip-ment – a proportion that has remained relatively stable recently.

However, as the independent telco market grows and as equipment becomes more standardized and interoperable, other vendors have also become success-ful at competing in this market. At least 36 percent of these telcos, and probably more, have bought equipment from elec-tronics vendors other than Calix.

About 12 percent of the telcos on the list have purchased FTTH electron-

ics from more than one vendor. For the most part, telcos that deal with multiple vendors are using different systems in different geographic areas or for different types of customers, or replace one ven-dor’s equipment with another; we haven’t seen significant instances of electronics vendors’ partnering to build networks.

Like most maturing industries, the FTTH equipment industry has expe-

rienced a series of mergers and acquisi-tions over the last several years. Calix acquired OSI; Ericsson acquired Entri-sphere; Enablence directly or indirectly acquired Wave7 Optics, Pannaway and TelStrat; and Occam acquired Tera-wave’s FTTH business. As a result, inde-pendent telcos may have fewer choices, but they probably have better choices; these consolidations have created com-panies that can provide a wider range of access technologies and service wider geographic markets.

It’s not clear that telcos’ choices are fewer; vendors that traditionally catered to Tier 1 carriers are now turning their attention to smaller providers. One of those vendors, Tellabs, a major supplier

FTTH Network Builders By Vendor

1

1

1

3

3

4

6

8

9

10

13

14

33

36

45

276

0 50 100 150 200 250 300

Ciena

Telco Systems

PacketFront

Tellabs

Hitachi

Ericsson

Zhone

ADTRAN

Allied Telesis

Alcatel-Lucent

Alloptic

Motorola

Unknown/Undecided

Occam Networks

Enablence

Calix

Calix remains the leading electronics vendor in this market, though several other vendors have substantial numbers of customers. Enablence’s recent acquisition of Pannaway makes it a larger force in this market.

Auto-sensing ONTs make upgrading to GPON and active Ethernet easier. Telcos can

change the CO equipment without replacing equipment at the customer premises.

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80 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

INDepeNDeNT TeLCoS

of BPON equipment to Verizon, decided not to sell GPON equipment to Verizon; instead, Tellabs formed a partnership with integrator AFL to market its GPON product line to independent telcos.

According to Ken Berniklau, Tel-labs’ product manager for broadband products, Tellabs was encouraged to enter this market because so many in-dependent telcos were planning to apply for broadband stimulus funds to build FTTH networks. But Berniklau says

stimulus funds weren’t the only reason for Tellabs to court the independents; he believes their business cases for fiber are stronger than they were in the past. The arrival of indoor ONTs – often touted as a breakthrough for multifam-ily housing – will provide a major cost savings for small rural telcos, according to Berniklau, and new connectorized cables that eliminate splicing will also significantly lower installation costs – and make finding qualified installers

easier. “It’s a case of technology driving economic change,” Berniklau says.

With falling equipment costs, rap-idly developing technology, new re-spect from vendors and the availability of broadband stimulus funds, the time seems right for FTTH to become the technology of choice for the majority of smaller telcos. The next time we publish this list, you can expect it to be a great deal longer. bbP

StAte teLCoS

IA 38MN 28TX 26WI 20KS 20GA 19OH 16OR 16NY 14ND 12NC 12MI 12MT 12IN 12ID 11SC 11SD 11NE 11AL 10IL 10CA 10AZ 9FL 9VA 9OK 9

StAte teLCoS

MO 9UT 7PA 7AR 7KY 7WA 6CO 6TN 6LA 4NM 4WV 4WY 4MS 4AK 3ME 3NV 3VT 3HI 2MD 2NH 2DC 1PR 1NJ 1CT 1

teLCoS bUiLDiNG FttP NetWorkS, bY StAte

BBP’s count of independent telco FTTP networks by state again shows Iowa in the lead – not surprising, as Iowa has close to 250 rural telcos, far more than any other state. But Minnesota and Texas are close behind, and we’ve documented current or pending builds by independent telcos in 47 states, the District of Columbia and Puerto Rico. Only Massachusetts, Delaware and Rhode Island are missing from the list – and they are at the epicenter of Verizon’s FiOS build.

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122.

For other inquiries, call 877-588-1649, or visit www.bbpmag.com.

For becoming a Research Sponsor at the 2010 Broadband Properties Summit.

For more information on RVA, visit www.rvallc.com.

You are cordially invited to come see RVA at the upcoming

April 26 – 28, 2010InterContinental Hotel – Dallas

Addison, TexasThe Leading Conference on

Broadband Technologies and Services

Broadband Properties Magazine Congratulates

After deciding not to supply its GPON products to Verizon, Tellabs began marketing

them to independent telcos.

CAllout goes here. CAllout goes here. CAllout goes here. CAllout goes here. CAllout goes here.

CAllout goes here. CAllout goes here. CAllout goes here. CAllout goes here.

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OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 81

INDepeNDeNT TeLCoS

3 Rivers Communications MT Calix, Enablence, 2006 R PON, Active Triple Play ILEC Occam Networks Ethernet

Adak Telephone AK Calix 2006 R GPON Triple Play ILEC

Adams Telephone Cooperative IL Calix 2006 R GPON Triple Play ILEC

Albany Mutual Telephone Association MN Enablence 2006 R Active Ethernet Triple Play ILEC

Alenco Communications TX Calix 2002 O, G PON Triple Play ILEC (Pathway Com-Tel)

All West Communications UT Calix 2004 O GPON Triple Play ILEC

Allband Communications Cooperative MI Calix 2005 G GPON Triple Play, Security 3 ILEC

Allendale Communications MI Enablence 2005 G Active Ethernet Triple Play ILEC

Alliance Communications SD Calix 2006 R GPON Voice, Data ILEC

Allo Communications NE 2005 O Active Ethernet Voice, Data, 3 CLEC Business Services

Alma Communications MO Enablence, Calix 2006 R GPON Triple Play ILEC

Alpine Communications IA Occam Networks 2007 R Active Ethernet Voice, Data ILEC

Arvig Communications (East Otter Tail) MN Calix 1995 R, G GPON Triple Play ILEC

Astound Broadband CA Alloptic 2004 R EPON Voice, Data CLEC

ATC Communications ID Calix 2008 GPON Triple Play ILEC

ATMC NC Motorola 2005 G BPON Triple Play ILEC

Aztech Cable AZ Calix O GPON Triple Play CLEC

Baldwin Telecom WI Calix 2002 G GPON Triple Play 3 ILEC

Ballard Telephone KY Occam Networks 2008 R GPON Triple Play ILEC

Baraga Telephone MI Calix GPON Triple Play ILEC

Barry County Telephone MI Calix GPON ILEC

Bascom Mutual Telephone Company OH Calix 2003 O BPON Triple Play ILEC

BEK Communications ND Calix 2004 R GPON Voice, Data ILEC

Ben Lomand Telephone Co-op TN Occam Networks 2006 R Active Ethernet Triple Play ILEC

Benkelman Telephone Company NE Calix 2009 GPON ILEC (Wauneta Telephone, BW Telcom)

Benton Cooperative Telephone MN Calix, Alloptic 2005 G GPON, GEPON Triple Play ILEC Company (Milaca Local Link)

Big Bend Telephone TX Calix, Enablence 2005 R GPON Triple Play ILEC

Blair Telephone (HunTel) NE Calix GPON ILEC

Bloomer Telephone WI Calix 2007 R GPON Triple Play 3 ILEC

Bloomingdale Communications MI Calix 2006 O GPON Video, Voice, Data ILEC

Blue Valley Tele-Communications KS Tellabs 2006 R GPON Triple Play ILEC

Border to Border Communications TX Calix, Alloptic 2004 R BPON, GEPON Triple Play 3 ILEC

Brantley Telephone GA Calix 2007 R GPON Triple Play ILEC

Broadband Associates CA O CLEC

BroadStar NC 2005 G Triple Play, Security CLEC

BTC (Western Iowa Networks) IA 2008 Triple Play 3 ILEC

BTC Broadband OK Calix 2005 G, R GPON Triple Play ILEC (Bixby Telephone Company)

The following table shows independent telcos that have constructed FTTH networks or are actively planning them. Many of the companies identified as ILECs are installing FTTH through their CLEC subsidiaries. We’ve made every effort to update the names of vendors and deployers to reflect mergers and rebrandings. If your company is missing, or if the information is incomplete, send corrections to [email protected]. We update this list daily on www.broadbandproperties.com/search.php

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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INDepeNDeNT TeLCoS

Buckeye Telesystem OH Calix 2006 O GPON Voice, Data CLEC

Buckland Telephone Company OH Calix 2005 R GPON Triple Play ILEC

Buggs Island Telephone Cooperative VA Calix 2009 GPON ILEC

Bulloch Telephone Cooperative GA Motorola 2005 R PON Triple Play ILEC

Calaveras Telephone CA Calix 2006 G GPON Triple Play 3 ILEC

Cal-Ore Communications OR Calix 2005 G GPON Triple Play ILEC

Cambridge Telephone ID Calix 2005 R GPON Triple Play ILEC

Cameron Communications LA Calix 2004 R GPON Triple Play ILEC

Canby Telcom OR Calix 2006 G, R GPON Triple Play ILEC

Cap Rock Telephone Cooperative TX Calix 2005 G GPON Triple Play ILEC

Cascade Telephone IA Calix GPON ILEC

Centennial de Puerto Rico PR Occam Networks 2007 R Active Ethernet Voice, Data CLEC

Central Texas Technologies TX Alloptic 2002 G EPON Triple Play CLEC

CenturyLink AL, CO, MI, Calix G GPON Triple Play ILEC MO, WI, Others

Champaign Telephone OH Calix GPON ILEC

Chariton Valley Telecom Corporation MO Enablence 2003 R, O PON Triple Play ILEC

Chesnee Telephone SC Calix G GPON Triple Play ILEC

Cheyenne River Sioux Tribe Telephone SD Calix GPON ILEC

Chickamauga Telephone GA Calix 2008 GPON ILEC

ChoiceTEL Communications WI 2008 O Triple Play CLEC

Christensen Communications MN Calix 2008 R BPON, GPON Triple Play ILEC

Cimarron Telephone OK Calix 2008 GPON ILEC

Cincinnati Bell OH, KY Alcatel-Lucent, GPON Triple Play ILEC Motorola

Cinergy MetroNet IN Alcatel-Lucent 2005 O BPON Triple Play 3 CLEC

Citizens Mutual IA Calix 2006 R GPON Triple Play ILEC

Citizens Telephone Company GA Alloptic, Cisco 2008 R GEPON, GPON Triple Play ILEC

Citizens Telephone Company PA Calix 2005 R PON Triple Play ILEC of Kecksburg

Citizens Telephone Coop WI Calix GPON ILEC

Citizens Telephone Cooperative VA Calix 2004 R GPON Triple Play ILEC

Clarence Telephone IA Calix BPON, GPON ILEC

Clarks Telecommunications (Northeast NE Occam Networks 2009 R Active Ethernet Triple Play ILEC Nebraska Telephone Company)

Clear Creek Telephone & TeleVision OR Calix 2009 GPON Triple Play ILEC

Clear Lake Telephone IA Calix 2008 R GPON Triple Play ILEC

Clearwave Communications IL Calix GPON CLEC

Colo Telephone Company IA Calix 2005 R GPON Triple Play 3 ILEC

Columbus Telephone Company KS Enablence 2004 R EPON Triple Play ILEC

Communications 1 Network IA Calix 2008 GPON ILEC

Comporium Communications SC Enablence 2004 G EPON, GPON Triple Play, Converged Services ILEC

ComSouth Telecommunications GA Calix, Motorola 2005 R, G PON Triple Play ILEC

ComSpan USA OR Hitachi 2005 O GPON Triple Play CLEC

Connections Etc. (Sherburne County MN Calix 2008 GPON ILEC Rural Telephone Co./Iowa Telecom)

Consolidated Communications Inc. IL, TX Zhone Technologies 2007 GPON Triple Play ILEC

Consolidated Telcom ND Calix 2006 R GPON Triple Play ILEC

Consolidated Telecommunications MN Calix 2005 O GPON Triple Play 3 ILEC Company

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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INDepeNDeNT TeLCoS

Conxxus (Illicom Telecommunications) IL Enablence 2001 O EPON Triple Play CLEC

Cooperative Telephone Exchange IA Occam Networks 2006 R Active Ethernet Triple Play 3 ILEC

Corn Belt Telephone IA 2008 R Triple Play ILEC

CP-Tel LA Calix 2004 G BPON Triple Play ILEC

Craigville Telephone Company IN Calix 2006 O GPON Triple Play ILEC

Cross Communications OK Calix GPON Triple Play ILEC

CSS Communications WA Alloptic 2003 R EPON Triple Play CLEC

CT Communications NC Enablence 2005 G EPON Voice, Data ILEC

Custer Telephone Cooperative ID Calix 2006 R GPON Triple Play ILEC

D&E Communications PA Calix 2008 GPON ILEC

D&P Communications MI Motorola 2008 GPON Triple Play ILEC

Dakota Central Telecom ND Calix 2002 R, O GPON Triple Play 3 ILEC

Darien Telephone GA Calix GPON ILEC

Daystarr Communications MI Calix 2008 O GPON CLEC

Delhi Communications NY Enablence 2009 R Active Ethernet Triple Play ILEC

DFT Communications NY Calix GPON ILEC

Dickey Rural Networks ND Calix 2004 R GPON Triple Play ILEC

Diller Telephone Company NE ADTRAN 2009 R GPON Data, Voice ILEC

Direct Communications OR, WA, Calix G BPON, GPON Voice, Data ILEC ID, UT

Dobson Telephone OK Calix GPON ILEC

Dumont Telephone Company IA Hitachi 2006 R GPON Triple Play ILEC

EasyTel Communications OK Calix 2005 O PON Triple Play CLEC

EATEL LA Alcatel-Lucent, 2004 R, G BPON, GPON Triple Play, ILEC Calix Converged Services

Elkhart Telephone (Epic Touch) KS Enablence, Calix 2005 R EPON, GPON Triple Play ILEC

Emily Cooperative Telephone Company MN 2007 Triple Play ILEC

Endeavor Communications IN Calix 2006 R GPON Triple Play ILEC

Enhanced Telecommunications IN Calix 2004 R GPON Triple Play ILEC Corporation

ENMR-Plateau Telecommunications NM Calix, Occam 2003 R PON Voice, Data ILEC Networks

En-Touch Systems TX Enablence 2006 G EPON Triple Play, Security CLEC

Etex Telephone Cooperative TX Calix, Enablence 2002 O Active Ethernet, GPON Voice, Data ILEC

F&B Communications IA Calix BPON, GPON Triple Play ILEC

FairPoint Communications WA, Others Occam Networks, G GPON ILEC Calix

Farmers and Merchants Mutual IA Calix 2007 BPON, GPON Triple Play ILEC Telephone Company

Farmers Mutual ID Calix R BPON, GPON Triple Play ILEC

Farmers Mutual MN Calix GPON Triple Play ILEC

Farmers Telecommunications AL Occam Networks 2007 R, G Active Ethernet Voice, Data ILEC Cooperative

Farmers Telephone Cooperative SC Occam Networks 2006 G, R Active Ethernet, Triple Play ILEC GPON

FEC Communications TX Calix 2006 G PON Triple Play CLEC (Connextions Telecom)

Federated Telephone MN Calix 1996 O, R GPON Triple Play ILEC

Fenton Cooperative Telephone IA Calix 2009 GPON Voice, Data ILEC Company

FiberNet WV, OH Calix 2007 O BPON, GPON Voice, Data, CLEC Videoconferencing

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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INDepeNDeNT TeLCoS

Fibertech Networks NY Calix, Ericsson 2006 BPON, GPON Data, Business CLEC Services

Fidelity Telephone MO Calix BPON ILEC

Filer Mutual ID Calix GPON ILEC

Foothills Rural Telephone Coop KY Alcatel-Lucent 2004 R, G BPON Triple Play 3 ILEC

Fort Jennings Telephone Company OH Calix 2004 O, R GPON Triple Play ILEC

Fort Mojave Telecommunications AZ Calix 2008 R, G GPON Data, Voice 3 ILEC

Frontier Communications Many Calix G BPON, GPON Data, Voice ILEC

FTTH Communications MN Calix 2002 G GPON Triple Play CLEC

Ganado Telephone TX Occam Networks 2008 R Active Ethernet Voice, Data ILEC

Garden Valley Telephone MN Calix 2005 BPON, GPON Triple Play ILEC

Gardonville Cooperative Telephone MN 2006 R ILEC Association

General Communications AK Calix R GPON Voice, Data CLEC

Gervais Telephone OR Calix 2001 O GPON Triple Play ILEC

Gila River Telecommunications AZ Calix BPON, GPON ILEC

Glenwood Telephone NE Calix 2007 R BPON, GPON Triple Play ILEC

Global Valley Networks CA 2005 G PON Voice, Data ILEC

Golden Belt Telephone Association KS Occam Networks 2008 R Active Ethernet Triple Play ILEC

Golden West Telephone Company SD Calix 2004 R GPON Voice, Data ILEC

Goldfield Telephone Company IA 2007 O, R Triple Play 3 ILEC

Gorham Telephone KS Calix 2007 R GPON Triple Play ILEC

Grand Mound Cooperative IA Calix 2005 O, R PON Triple Play 3 ILEC Telephone Association

Grand River Mutual Telephone Corp. MO, IA 2009 R ILEC

Grande Communications TX Ericsson 2005 O PON Triple Play CLEC

Granite State Telephone (GSInet) NH 2007 G, R Data, Voice ILEC

Great Plains Communications NE Enablence 2007 G, R GPON Voice, Data ILEC

Greenfield Communications AZ, CA Calix, Alloptic 2005 G GPON, GEPON Triple Play CLEC

Gridley Telephone IL Calix 2006 BPON Triple Play ILEC

GTel Teleconnections NY Calix 2008 R GPON Triple Play, ILEC (Germantown Telephone) Videoconferencing

Gulfpines Communications MS Calix GPON ILEC

GVTC Communications TX Calix 2004 G, R, O GPON Triple Play, Security ILEC

H&B Communications KS Calix GPON ILEC

Hancock Telecom IN Enablence 2002 G EPON Triple Play ILEC

Hargray Communications SC Alloptic 2004 G EPON Triple Play ILEC

Harrisonville Telephone IL Calix 2007 G BPON, GPON Triple Play ILEC

Hawaiian Telecom HI Alcatel-Lucent 2006 G, R GPON Triple Play ILEC

Hayneville Telephone AL Enablence 2008 O GPON Triple Play 3 ILEC

Heart of Iowa Communications IA Calix 2005 R BPON, GPON Triple Play ILEC Cooperative

Hiawatha Broadband MN Calix 2005 O GPON Triple Play CLEC

Hickory Tech (Enventis) MN, WI Calix, Motorola 2002 BPON, GPON Triple Play ILEC

Hickory Telephone PA Zhone Technologies 2009 R GPON Triple Play ILEC

Highland Telephone Cooperative TN Calix 2008 GPON Triple Play ILEC

Highland Telephone Cooperative VA Enablence 2007 GPON Triple Play ILEC

Hill Country Telephone Cooperative TX Occam Networks 2007 R Active Ethernet Triple Play, Security ILEC

Hinton Telephone OK Calix 2002 BPON ILEC

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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Home Telephone SC Calix 2001 G GPON Triple Play ILEC

Home Town Telephone FL Calix 2004 G GPON Triple Play, Security CLEC (Home Town Cable Plus)

Hood Canal Telephone Company WA Motorola 2004 R PON Triple Play 3 ILEC

Horizon Chillicothe Telephone OH ADTRAN, Calix 2007 GPON Triple Play 3 ILEC

Horry Telephone Coop SC Motorola, Calix 2004 G PON, GPON Triple Play ILEC

Hotwire Communications FL, VA, NJ, Calix, Motorola G, O GPON Triple Play, Home CLEC NY, PA, GA, Automation SC, NC, MD

Huxley Telephone IA Calix 2001 O, R PON Triple Play ILEC

iCornerstone GA Alloptic 2004 G EPON Triple Play CLEC

IdeaOne Telecom Group ND Calix 2002 O GPON Triple Play, CLEC Business Services

Indiantown Telephone System FL Calix 2006 G PON Triple Play 3 ILEC (ITS Telecom)

InterBel Telephone Cooperative MT Triple Play ILEC

Interstate Telecommunications SD Calix 2006 O, R BPON, GPON, Triple Play 3 ILEC Cooperative (SS Telecom) Active Ethernet

Jaguar Communications MN Calix 2006 O GPON Triple Play 3 CLEC

Johnson Telephone Company MN Calix 2008 GPON Triple Play ILEC

Kalida Telephone OH Calix GPON ILEC

Kanokla Telephone KS Calix GPON ILEC

Kaplan Telephone LA Calix 2005 R GPON Triple Play ILEC

Kerman Telephone Company CA ILEC

KMTelecom MN 2008 R ILEC

Knology AL, GA, TN, Ericsson, 2005 G, R, O EPON, GPON Triple Play, CLEC FL, SC Enablence, Calix Business Services

LaHarpe Telephone KS Calix 2006 R GPON Triple Play ILEC

Laurel Highland Telephone Company PA Calix 2003 R GPON Triple Play ILEC

Lavalle Telephone Cooperative WI Occam Networks 2006 G Active Ethernet Triple Play 3 ILEC

Lehigh Valley Cooperative IA Calix GPON ILEC Telephone Association

Lemonweir Valley Telephone WI Calix 2008 R GPON Triple Play ILEC

Lexcom NC Alloptic, Enablence 2007 R RFOG, GEPON Triple Play ILEC

Liberty Communications IA Calix, 2008 R GPON Triple Play ILEC

Lightnex Communications MT Calix 2002 G BPON Triple Play CLEC (formerly Vivid)

Ligonier Telephone IN Calix 2008 R GPON Triple Play ILEC

Lincoln County Telephone System NV Alcatel-Lucent 2008 G, R GPON Security, Triple Play ILEC

Lincoln Telephone MT Calix GPON ILEC

LISCO IA Occam Networks 2005 O Active Ethernet Triple Play 3 CLEC

Litestream Technologies FL Calix 2002 G PON Triple Play, Security CLEC

Long Island Fiber Exchange NY 2007 O Active Ethernet Business Services, CLEC Voice, Data

Long Lines NE Enablence 2007 O GEPON Triple Play ILEC

Lonsdale Telephone MN Calix GPON ILEC

Loretel Systems MN Calix 2009 GPON Triple Play ILEC

Lost Nation-Elwood Telephone IA Calix GPON ILEC

Mabel Telephone Cooperative MN Enablence 2006 R PON Triple Play ILEC

Madison Telephone KS Calix 2009 GPON ILEC

Mahaska Communications Group IA Calix 2004 O GPON Triple Play CLEC

Manti Tele Communication Company UT Enablence 2008 R Active Ethernet Triple Play ILEC

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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Marquette-Adams Telephone WI Occam Networks 2008 R GPON Triple Play ILEC Cooperative

Matanuska Telephone Association AK Calix 2007 G, R BPON, GPON Triple Play ILEC

McClure Telephone Company OH Enablence 2006 R GPON Triple Play 3 ILEC

McCook Cooperative SD Calix GPON ILEC

McDonough Telephone Cooperative IL Calix 2007 R GPON Triple Play ILEC

Medicine Park Telephone Company OK 2008 G ILEC

Melrose Telephone Company MN 2009 R Triple Play ILEC (diversiCOM)

Metrostat Communications NC Alloptic 2006 O GEPON Voice, Data CLEC

Middleburgh Telephone Company NY Calix, Motorola 2008 R GPON Triple Play ILEC

Mid-Plains Rural Telephone TX Calix 2008 R GPON Data, Voice ILEC Cooperative

Mid-Rivers Communications MT R Triple Play ILEC

Midstate Communications SD Occam Networks 2008 R Active Ethernet Triple Play 3 ILEC

Midstate Telephone ND Calix GPON ILEC

Midvale Telephone AZ Calix 2006 G, O BPON, GPON Data, Voice ILEC

Minburn Telephone IA Calix R BPON, GPON Triple Play ILEC

Minford Telephone Company OH Calix 2009 GPON ILEC

Minnesota Valley Telephone MN Calix GPON ILEC

Missouri Telephone MO Allied Telesis 2006 G Active Ethernet Triple Play ILEC

MoKan Dial KS, MO Calix BPON ILEC

Molalla Communications Company OR Calix 2004 G GPON Voice, Data ILEC

Momentum AL Alcatel-Lucent 2007 G GPON Triple Play, Security CLEC

Monitor Cooperative Telephone OR 2009 R Data, Voice ILEC Company

Monon Telephone Company IN Calix 2009 GPON ILEC

Montana Opticom MT Calix 2005 G GPON Triple Play CLEC

Mosaic Telecom WI Calix 2007 R GPON Triple Play ILEC

Mosinee Telephone WI Calix GPON ILEC

Moundville Telephone Company AL 2008 G Voice, Data ILEC

Mountain View Telephone AR Calix GPON Triple Play ILEC (Yelcot Telephone)

MTCO Communications IL Calix 2008 GPON Data, Voice ILEC

Mutual Telephone Company KS Calix 2008 R GPON ILEC

Nehalem Telecommunications OR Calix BPON, GPON ILEC

Nemont Telephone Cooperative MT Calix 2006 R GPON ILEC

Nevada Comstock Communications NV 2008 G Voice, Data CLEC

New Hope Telephone Cooperative AL Calix, 2006 R PON Triple Play 3 ILEC Occam Networks

New Knoxville Telephone Company OH Enablence 2004 R EPON Triple Play ILEC

Niagara Telephone Company WI Calix 2008 GPON ILEC

Nortex Communications TX Calix 2007 R GPON Triple Play 3 ILEC

North Central Telephone Cooperative TN Occam Networks 2007 R Active Ethernet Triple Play ILEC

North Dakota Telephone Company ND Allied Telesis 2005 R Active Ethernet Triple Play ILEC

North Penn Telephone Company PA Calix 2008 GPON Triple Play ILEC

North State Communications NC Calix 2005 G BPON, GPON Voice, Data ILEC

Northeast Florida Telephone Company FL Calix 2005 G GPON Voice, Data ILEC

Northeast Missouri Rural Telephone MO Occam Networks 2009 R Active Ethernet Triple Play ILEC

Northern Arkansas Telephone AR Occam Networks 2009 R Active Ethernet Triple Play ILEC Company (NATCO)

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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Northern Telephone Cooperative MT Calix 2008 R GPON ILEC

North-State Telephone Company OR Calix R GPON Data, Voice ILEC

Northwest Communications ND Calix 2008 R GPON Triple Play ILEC Cooperative

Nsight WI Enablence 2003 G Active Ethernet Triple Play ILEC

NTELOS VA Alcatel-Lucent, 2006 R GPON Triple Play, ILEC Tellabs, Ciena, Converged Services ADTRAN

Omnilec IL Calix BPON CLEC

Openband VA, MD, DC Calix 2005 O GPON Triple Play, Security CLEC

Optimum Lightpath CT, NY Cisco Active Ethernet Business Services, CLEC Triple Play

Oregon Telephone OR Calix 2006 R GPON ILEC

Orlando Telephone Company FL Enablence 2007 O GEPON Triple Play CLEC

Oxford Networks ME Calix 2001 O, R GPON Triple Play ILEC

Panora Cooperative Telephone IA Calix 2002 O, R GPON Triple Play ILEC Association (Guthrie Telecommunications)

Parker FiberNet GA Occam Networks, 2006 R GPON Voice, Data CLEC Calix

Paul Bunyan Rural Telephone MN Calix, Allied Telesis 2004 O, R GPON, EPON, Triple Play 3 ILEC Cooperative Active Ethernet

PAXIO CA PacketFront 2004 G, O Active Ethernet Voice, Data CLEC

PBT Telecom SC Motorola 2005 G GPON, BPON Triple Play ILEC

Pembroke Telephone Company GA Calix, ADTRAN 2004 G, R GPON Triple Play 3 ILEC

Pembroke Telephone Cooperative VA Calix 2008 GPON ILEC

Penasco Valley Telecommunications NM Calix 2008 GPON Triple Play ILEC

Peoples Rural Telephone Cooperative KY Occam Networks 2008 R GPON Triple Play ILEC

Peoples Telephone Cooperative TX ADTRAN 2009 R GPON Voice ILEC

Perry-Spencer Rural Telephone IN Enablence 2009 R GPON Triple Play ILEC Cooperative (PSC)

Pine Drive Telephone Company CO Calix 2008 GPON Triple Play ILEC

Pine Tree Networks ME Calix BPON ILEC

Pineland Telephone Cooperative GA Occam Networks 2006 R Active Ethernet Triple Play ILEC

Pinnacle Communications AR Calix 2005 R GPON Triple Play ILEC

Pioneer Communications KS Calix 2009 GPON Triple Play ILEC

Pioneer Telephone Cooperative OR Calix GPON ILEC

Pioneer Telephone Cooperative OK Calix 2008 GPON ILEC

Plainview Telephone Company NE Calix 2009 R GPON Data, Voice ILEC (Nyecom)

Plant Telephone GA Calix BPON ILEC

Planters Telephone Company GA Calix 2006 G GPON Triple Play ILEC

Poka Lambro Telephone Company TX Calix 2005 O GPON Voice, Data ILEC

Pottawatomie Telephone Company OK Calix 2009 GPON Triple Play ILEC

Prairie Grove Telephone Company AR Occam Networks 2007 G Active Ethernet Voice, Data ILEC

Premier Communications IA Calix GPON ILEC

Prime Time Communications CO Calix, Alcatel-Lucent, 2005 G GPON, EPON Triple Play CLEC (Falcon Broadband) Enablence, Hitachi

PrimeLink (Champlain Telephone NY Calix, Alloptic 2002 O GEPON, GPON Triple Play ILEC Company)

Project Mutual Telephone Co-op ID Calix 2005 O, G GPON Triple Play ILEC

Public Service Telephone Company GA Calix 2005 G GPON Triple Play ILEC

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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Rainbow Telephone Cooperative KS Calix 2008 GPON Triple Play ILEC Association

Randolph Telephone NC Calix 2005 G GPON Triple Play ILEC

Range Telephone Cooperative MT WY Calix 2008 O GPON Triple Play ILEC (Advanced Communications Technology, Dubois Telephone Exchange)

Readlyn Telephone Company IA Calix 2008 R GPON Triple Play ILEC

Red River Telephone ND Calix 2005 R GPON Voice, Data ILEC

Reliance Connects (Rio Virgin NV Calix 2008 GPON Triple Play ILEC Telephone, Cascade Utilities)

Reservation Telephone Cooperative ND Calix 2007 R GPON Triple Play ILEC

Rice Belt Telephone AR ADTRAN 2009 GPON Triple Play ILEC

Richland-Grant Telephone Cooperative WI Occam Networks 2006 G Active Ethernet Triple Play 3 ILEC

Ridgeville Telephone Company OH Enablence 2006 O GePON Triple Play ILEC

Ringgold Telephone GA Enablence, Calix 2004 G EPON, GPON Triple Play ILEC

Ritter Communications AR Enablence 2006 G, O Active Ethernet Voice, Data ILEC

River Valley Telephone Cooperative IA Calix 2008 GPON Triple Play ILEC

Roberts County Telephone Cooperative SD 2004 Triple Play 3 ILEC Association (RC Communications)

Rochester Telephone Company IN Enablence 2002 R PON Triple Play ILEC

Rockwell Cooperative Telephone IA Enablence 2007 R GPON Triple Play ILEC Association

Ronan Telephone MT Calix BPON ILEC

Royal Telephone Company IA Calix 2005 R GPON Triple Play ILEC

RT Communications WY Enablence, Calix 2006 R GPON Voice, Data ILEC

RTC Communications IN Calix 2005 R GPON Triple Play ILEC

Runestone Telephone Association MN Calix 2007 R GPON Triple Play ILEC

Rural Telephone (Nex-Tech) KS Calix, Occam 2001 O, R Active Ethernet, Triple Play 3 ILEC Networks GPON

Rye Telephone Company CO Calix 2002 R GPON Triple Play ILEC

S&T Telephone Cooperative KS Calix 2008 R GPON Triple Play ILEC

Saddleback Communications AZ Calix 2008 GPON ILEC

San Carlos Apache Telecom AZ Calix GPON ILEC

San Isabel Telecom CO Calix 2002 G PON Triple Play CLEC

Sandwich Isles Telecom HI Calix GPON ILEC

Santa Rosa Telephone Cooperative TX Calix 2005 O GPON Triple Play ILEC

Santel Communications SD Enablence 2005 O EPON Triple Play 3 ILEC

Scio Mutual Telephone Association OR Calix 2004 R GPON Triple Play ILEC

Scott County Telephone Coop VA Enablence 2004 R EPON Triple Play 3 ILEC

SCTelcom (South Central Telephone) KS Calix 2002 R GPON, Active Voice, Data ILEC Ethernet

Sebastian CA Occam Networks 2009 G Triple Play ILEC

Shenandoah Telecommunications VA, WV Enablence, Motorola 2006 G EPON Triple Play, Security ILEC

Sherwood Mutual Telephone OH Calix R GPON Triple Play ILEC Association

Silver Star Communications WY Calix 2005 G GPON Triple Play ILEC

Siren Telephone WI Allied Telesis, 2008 R Active Ethernet Triple Play ILEC

Siskiyou Telephone CA R ILEC

Skyline Membership Corporation NC Allied Telesis, Calix 2004 R PON Triple Play ILEC

Sledge Telephone Company MS Occam Networks 2009 R Active Ethernet Data, Voice ILEC

Smart City FL Calix G BPON, GPON Triple Play ILEC

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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Smithville IN Calix 2008 R GPON Triple Play 3 ILEC

Solarus WI Calix GPON Triple Play ILEC

South Central Communications UT Calix 2002 G GPON Voice, Data ILEC

South Central Rural Telephone KY ADTRAN 2009 R GPON Triple Play ILEC Cooperative

South Plains Telephone Cooperative TX Calix G GPON ILEC

South Slope Cooperative IA Calix R GPON Triple Play ILEC Communications

Southern Montana Telephone Company MT 2009 R Data, Voice 3 ILEC

Southwest Michigan Communications MI Calix O BPON Triple Play CLEC

Spring Grove Communications MN Calix 2007 R GPON Triple Play ILEC

Spring Valley Telephone WI 2009 R Triple Play ILEC

Spruce Knob Seneca Rocks Telephone WV Calix 2008 R GPON Triple Play 3 ILEC

SRT Communications ND Zhone Technologies, 2008 G, R Active Ethernet, ILEC Calix GPON

St. Paul Cooperative Telephone OR Calix 2008 GPON ILEC Association

State Telephone Company NY Calix 2009 GPON ILEC

Stayton Cooperative Telephone OR Occam Networks 2009 R Active Ethernet Triple Play ILEC

Stratford Mutual Telephone Company IA Zhone Technologies 2005 R GPON Triple Play 3 ILEC

Sunflower Broadband KS Calix, Motorola 2003 GPON CLEC

SureWest Communications CA, KS, MO Calix, Allied Telesis 2001 O, R, G PON, Triple Play ILEC Active Ethernet

Surry Telephone Membership NC Allied Telesis 2008 R GEPON, Triple Play ILEC Corporation Active Ethernet

Swisher Telephone Company IA Calix 2009 R GPON Triple Play ILEC

T2 Communications MI Calix 2005 G, O GPON Triple Play CLEC

Tamarack Video & Telecom ID Calix 2008 G GPON Triple Play CLEC

Taylor Telephone Cooperative TX Zhone Technologies 2007 R GPON Voice, Data ILEC

TDS Telecom WI, MN Calix, Ericsson 2005 G GPON Triple Play ILEC

Tech Valley Communications NY Calix 2006 O GPON Voice, Data CLEC

TelAtlantic WV Tellabs 2006 G BPON Triple Play ILEC

Telepak Networks MS Calix 2005 O GPON Triple Play ILEC

Telephone Electronics Corporation (TEC) MS, AL, TN ADTRAN 2008 R GPON Triple Play ILEC

Teton Telecom ID Calix 2004 G GPON Triple Play ILEC

Thacker-Grigsby Telephone KY Calix GPON ILEC

Three River Telco NE 2008 R 3 ILEC

Toledo Telephone WA Calix 2006 O GPON Triple Play ILEC

Topsham Telephone VT 2006 Triple Play 3 ILEC

Tri County Telephone (TCT West) WY Calix 2004 R GPON Triple Play 3 ILEC

Triangle Telephone Cooperative MT 2007 R Triple Play ILEC

Truvista Communications SC Calix GPON Triple Play ILEC

TSC OH Calix 2003 O GPON Triple Play ILEC

Tularosa Basin Telephone Company NM Occam Networks 2006 R Active Ethernet Triple Play 3 ILEC

Twin Valley Telephone KS Allied Telesis 2006 R, O Active Ethernet, Triple Play ILEC GEPON

UBTA-UBET Communications UT Calix, Occam 2007 G BPON, Active Voice, Data ILEC Networks Ethernet

Union River Telephone Company ME Calix 2008 R GPON Voice, Data 3 ILEC

Union Springs Telephone AL Calix 2001 R GPON Triple Play ILEC

Union Telephone NH Enablence 2007 R Active Ethernet Triple Play ILEC

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

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United Telephone Company TN Calix 2004 G GPON Triple Play ILEC

United Telephone Mutual Aid ND Allied Telesis 2008 R Active Ethernet Triple Play ILEC Corporation

United Telesystems GA Alcatel-Lucent 2003 O BPON Triple Play CLEC

Upper Sioux Community MN Calix 2009 GPON ILEC

US SONET IL Enablence 2003 O PON Triple Play 3 CLEC

Valley Telecom Group AZ Enablence 2005 R EPON Triple Play 3 ILEC

Valley Telecommunications Cooperative SD Calix 2008 R GPON Triple Play ILEC

Valley Telephone Cooperative TX Enablence 2005 G GPON Triple Play ILEC

Venture Communications Cooperative SD Calix 2006 R GPON ILEC

Veracity Networks UT Telco Systems 2005 G Active Ethernet Triple Play, Gaming CLEC

Vermont Telephone VT Calix 2007 R BPON, GPON ILEC

Wabash Mutual Telephone OH Enablence 2005 O EPON Triple Play ILEC

Wahkiakum West Telephone WA R ILEC

Waitsfield and Champlain Valley VT Enablence 2007 G Active Ethernet Voice, Data ILEC Telecom

Walnut Communications IA 2009 O ILEC

Wamego Telecommunications KS Calix 2002 R GPON Triple Play ILEC

Warwick Valley Telephone NY Enablence, 2006 O Active Ethernet Triple Play ILEC Communications Occam Networks

Webster-Calhoun Cooperative IA Calix 2005 R GPON Triple Play ILEC Telephone Association

West Central Telephone MN Calix 2005 R PON Triple Play ILEC

West Plains Telecommunications TX Alloptic 2006 R GEPON Triple Play 3 ILEC (Five Area Telephone Cooperative)

West River Cooperative Telephone SD Calix 2007 R GPON ILEC Company

West Texas Rural Telephone TX Calix 2007 O GPON Triple Play ILEC Cooperative (WT Services)

West Wisconsin Telcom Cooperative WI Calix 2007 R GPON ILEC

Westel Fiber ID G Triple Play CLEC

WesTel Systems IA Calix 2009 GPON ILEC

Westphalia Telephone MI Occam Networks 2006 O Active Ethernet ILEC

Wide Open West (Sigecom) IN Motorola, Occam 2001 O GPON Triple Play CLEC Networks, Calix

Wiggins Telephone CO Calix 2008 R GPON Data, Voice 3 ILEC

Wilkes Telephone & Electric GA Calix 2006 R GPON Triple Play ILEC

Windstream Communications AL, AR, FL, Calix 2006 G GPON Voice, Data ILEC GA, KY, NE, NC, SC, TX

Windwave Communications OR Calix 2004 O PON Triple Play CLEC

Winn Telephone MI Calix O BPON ILEC

Winnebago Cooperative Telecom IA Calix GPON ILEC Association

Wittenberg Telephone WI Calix BPON ILEC

Xfone (NTS) TX Calix, 2003 G, O GPON Triple Play 3 CLEC

XIT Rural Telephone Cooperative TX Calix 2008 R GPON Triple Play ILEC

Yadkin Valley Telecom NC Zhone Technologies 2007 GPON Triple Play ILEC

Yucca Telecom (Roosevelt County NM Calix 2005 R GPON Voice, Data 3 ILEC Rural Telephone Cooperative)

Zial Networks ID, UT AFL Tele- 2003 G, O Active Ethernet Triple Play CLEC communications

Zito Media PA 2008 O Voice, Data CLEC

Zona Communications AZ Calix 2005 G GPON Voice, Data 3 ILEC

Provider States Vendor - Ftth Date Greenfield/ technology Services rUS iLeC/ electronics overbuild/ Loan CLeC replace

Page 99: Connect With These Top Companies

ARE YOU

FEELING THE HEAT TO DELIVER DIGITAL HDTV?

As a National Distributor of Dish Network’s PCO Program, Satellite Management Services would welcome the opportunity to discuss your company’s needs and to present the many benefits of the program.

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Page 100: Connect With These Top Companies

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S o c i a l V i d e o

Human beings aren’t meant to be passive consumers of culture. Give us recorded mu-sic, we’ll give you mix

tapes and mash-ups. Give us TV and, after a few decades watching sitcoms and wrestling matches, we’ll start mak-ing our own shows and uploading them to YouTube.

Many service providers still describe their video offerings in terms of numbers – so many standard-definition channels, so many in high definition (and soon 3-D), so many movies on VoD. But though numbers are important, even critical, today’s subscribers are looking for more.

Video is revealing itself as a social medium, though its social uses are only beginning to emerge. In the words of University of Minnesota professor An-drew Odlyzko, content isn’t king – com-munication is. Soon, the value of TV won’t be in what’s on Channel 2 at 9:00 or even in what’s on VoD when we have a spare hour. Rather, the value will lie in our use of the medium as a way to social-ize with friends and family, as a spring-board for our creativity and playfulness, and as a means to educate ourselves and take charge of our lives.

This summer, Verizon opened a de-veloper interface to its FiOS TV service and invited application providers to participate in a Widget Bazaar. Already, FiOS subscribers can use Facebook and Twitter on the television screen to chat about the shows they are viewing, or play fantasy football while they watch the real thing. A year from now, we ex-

pect to see creative new widgets that will make watching TV still more interactive and social.

What video offerings will look like in five or 10 years, and how they will gen-erate revenues, is still a mystery. But here is a quartet of applications that point the way to a different future.

NeptuNy CoNteNtWise: What Would you ReCommeNd?Can you have too much of a good thing? As service providers add more chan-nels and more VoD offerings, subscrib-ers have a harder time finding content. Choosing a movie on VoD can now take almost as long as watching it. This spring, Neptuny (www.neptuny.com), a technical services company founded 10 years ago by researchers at the Ital-ian university Politecnico di Milano, in-troduced a solution to help TV viewers make better (or at least faster) decisions. Neptuny’s new ContentWise product is a recommendation engine for IPTV video services.

ContentWise’s personalized recom-mendations may be based either on subscribers’ viewing history (especially shows they watched through to the end) or on how their friends rate shows. Op-erators can customize the system – for example, by deciding whether to recom-mend adult content, whether to prioritize more profitable titles, or whether to add editorial recommendations of their own.

Neptuny’s software is pre-integrated with IPTV middleware, such as Mi-crosoft’s Mediaroom, which is used by AT&T, SureWest and other large IPTV providers. Depending on the middle-ware package, the user accesses Con-tentWise via a set-top box, PC or mobile phone, using a remote control, keyboard or handset. The Web-based PC portal offers more features than the others, including a five-star rating system, the ability to identify favorite actors and other types of explicit preferences.

Revenue opportunities for providersContentWise isn’t a boon only for sub-

What’s on TV? New Applications for Video

By Masha Zager ■ Broadband Properties

Neptuny’s recommendation engine suggests video choices to viewers based on what they’ve

watched in the past or on their friends’ ratings of shows. Viewers purchase about 20 percent of the

premium content recommended to them.

If the true value of video will be social, service providers must find new ways to insert themselves into the value chain.

About the AuthorMasha Zager is the editor of Broadband Properties. You can reach her at [email protected].

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S o c i a l V i d e o

scribers, says Stefano Moscetti, head of digital media business development for Neptuny; it also generates more revenue for service providers. FastWeb, an Ital-ian service provider with a large fiber-to-the-home network, found that users purchased more than 20 percent of the content recommended to them within a week. At the time, FastWeb was using a simple remote-control interface and making recommendations based only on metadata. Moscetti says, “I believe there is a huge potential for this number to grow and be even higher with advanced scenarios like community recommenda-tions or friends’ suggestions.”

Neptuny is working on integrating its software with Facebook and other external social networks so viewers can benefit from the input of a wider range of friends and interest groups. The ser-vice provider can decide whether to import information from these external networks or to use ratings only from its own subscribers.

Neptuny’s biggest challenge has been to make the software easy for the provider to integrate and easy for the viewer to use. ContentWise must pro-vide recommendations in real time even under huge load conditions – after all, the idea is to make the selection process faster for viewers.

GetWellNetWoRk: Video foR the hospital patieNtWhen Michael O’Neil was diagnosed with non-Hodgkins lymphoma, his world turned upside down. Confined to a hospital bed, too weak to read, he had plenty of time to consider what was wrong with his experience as a patient. Though he was fortunate enough to make an exceptional recovery, he felt passive and disengaged from the care he was receiving. Recognizing that he wasn’t the only patient who felt this way – and that actively engaged patients generally have better outcomes and are more satisfied with their treatments – he determined, once he was better, to help other patients participate more fully in their own care.

Ten years ago, O’Neil founded GetWellNetwork.com (www.getwell-network.com), which uses technology

tools to educate and involve hospital patients. GetWellNetwork’s offerings, which more than 60 hospitals have ad-opted, include educational video on de-mand and interactive assessment tools, all delivered through the ubiquitous bedside TV. Patients interact using pil-low speakers and wireless keyboards or touch screens.

The system is tied into the hospital database so nurses can recommend vid-eos and assessment tools based on a pa-tient’s age, treatment plan, language and other characteristics. The content isn’t purely clinical – patients also use the system to interact with support services such as nutrition and housekeeping.

Researchers have intensively studied and documented GetWellNetwork’s re-sults. Academic hospitals, community hospitals and even pediatric hospitals have all seen remarkable changes in the participation of patients and families.

Hospitals, rather than patients, pay for the system on a per-bed basis. From the hospitals’ point of view, GetWell-Network has three major benefits: First, outcomes are better. Because educated patients are more compliant with doc-tors’ orders, they are more likely to re-cover and to avoid complications.

Second, avoiding complications may allow hospitals to collect reimburse-ments for more of their expenses. (Treat-ment for some hospital complications, such as falls, are are not reimbursable because hospitals are supposed to pre-vent them.)

Finally, the system helps hospitals control costs by removing some of the burden from the nursing staff. Patients can request support services directly, and the efficiency of the nursing staff improves when patients and their fami-lies take more active roles in treatment.

GetWellNetwork is taking advan-tage of new technology to develop ad-ditional interfaces. An iPhone version is in beta testing, and videoconferencing through the TV is also being tested with a client.

the service provider ConnectionRecently, GetWellNetwork entered into a resale agreement – its first ever – with the service provider Optimum Light-

path. A division of Cablevision, Opti-mum Lightpath is a competitive local exchange carrier (CLEC) that provides fiber-to-the-business services in the New York tristate area. Optimum Lightpath has made a specialty of serving health care providers – it serves as many as 70 percent of the hospitals in its footprint and close to 100 percent of the hospitals on Long Island.

Stephen Hiscott, vice president of business development for GetWellNet-work, says that the benefit of working with Optimum Lightpath is the com-pany’s “long-standing relationship with hospitals and health systems throughout the New York metropolitan area, its ex-pertise in delivering content and con-nectivity to those hospitals and commu-nities … and its exceptional customer service.” Optimum Lightpath’s robust and reliable fiber-based network is also a plus, Hiscott adds.

For Optimum Lightpath, the rela-tionship is also a good fit. Julia McGrath, the provider’s senior vice president of business development and marketing, says Optimum Lightpath aims to build smart communities of businesses us-ing targeted applications to improve customer service and outcomes. She comments, “This type of application, offered exclusively through Optimum Lightpath in our footprint, would be a good message to say this is a smart busi-ness communications solution for the hospitals we are partnered with.” She calls GetWellNetwork’s offering “very transformational to the patient experi-ence, and a huge benefit for the hospital community.”

As a fiber-to-the-business provider, McGrath says, Optimum Lightpath can tailor bandwidth precisely to the hospi-tal’s requirements. Electronic medical records are bandwidth-intensive to begin with, and applications such as GetWell-Network that build on the information in those records help leverage the use of the bandwidth.

“It’s a great fit for us to take what we know about how hospitals operate, what’s important to them, and layer on top of it,” she adds. “We’re trying to give them the types of applications

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S o c i a l V i d e o

that are meaningful to their business, to improve and simplify their business processes and control costs.

“I don’t want to say this application can displace the need for urgent care or face-to-face interaction,” McGrath con-tinues, “but it lets hospital staff make bet-ter use of their time, and it creates a bet-ter patient experience. If those two things are accomplished, that’s good news.”

WatChitoo: the ViRtual liViNG-Room CouChWe began hearing about viral videos when YouTube let users e-mail links to their favorite amateur video clips. Sud-denly tens of millions of viewers were watching in fascination as teenagers wielded light sabers or lip-synced pop songs. But playing an e-mailed video isn’t the same as sitting with a friend on a couch, munching potato chips and chatting while you watch.

Several application providers, includ-ing Skype and Google, have introduced real-time video sharing so distant friends can watch videos together, but these ap-plications require high (and reliable) upstream bandwidth to work properly. Serial tech entrepreneur Rony Zarom, looking for a way to share videos with his son, devised a different approach. Watchitoo (www.watchitoo.com), the start-up he founded in 2007, recently launched the public beta of an applica-tion that lets users multicast videos from a central server. Viewers watching a show together can instant message or video chat in real time about what they’re see-

ing. Only the potato chips are missing.Watchitoo’s approach has other

advantages besides requiring little up-stream bandwidth. Because the appli-cation is completely Web-based, users don’t need to download a software cli-ent or even to register. The session host invites guests via e-mail and the guests simply click on a link to start watching.

The unlimited number of guests is another advantage. A host can make a session public and invite the world to watch along.

Communication and CollaborationAccording to Zarom, Watchitoo has inspired many uses, ranging from the obvious – youngsters listening to music with friends, family members sharing photos and videos – to the ingenious, such as artists giving guided tours of their work.

Watchitoo’s blog cites examples as diverse as study groups, political activ-ism and direct sales. One young actress writes on the blog, “Even more vital to the artistic process than a passive audi-ence is the feedback that fosters conver-sation and better understanding. I can not only share a reading of my new play with my uncle across the country, but he can share his thoughts [in] real time with me. With one click, he becomes as much a part of the process 3,000 miles away as I am in a small blackbox theatre in lower Manhattan.”

Businesses can embed a white-label version of Watchitoo on their Web sites to give Web-based presentations with

opportunities for live video discussion. This version supports reservations, reg-istration, statistics, polls and other fea-tures found in webinar software.

Consumer use of Watchitoo is free, though the company will get a cut of payments for content shared through the site. The premium version will be available on a subscription basis, with a usage fee if the audience is large.

Watchitoo is also working with me-dia companies to add its environment to their Web-based media players. “You want people to interact over your con-tent,” Zarom says. “They can chat, pause, and move on to another movie. It’s almost like a session you control – you don’t have to log out to change the content.”

Service providers, too, can custom-ize Watchitoo and embed it into their portals for subscribers to use. “For the service provider, it’s a good opportunity to get into this trend,” Zarom says. “It’s an amazing communication and col-laboration tool.”

opeNet CoNteNt aNyWheRe: Video With leGsSince the broadband video explosion be-gan, service providers have struggled to keep subscribers from cutting the cord. If viewers can watch Internet video any-where, why buy video services usable only at home? Some providers have tried capping Internet bandwidth to limit the use (or abuse) of broadband video, but this makes subscribers angry and resent-ful – not the feelings any business wants to inspire in its customers.

Another strategy is to allow sub-scribers to take their video on the road. Recently, some service providers have expressed interest in TV Everywhere, in which customers can watch the same content on any platform – TV, PC or mobile device. In June, Dublin-based Openet (www.openet.com) launched its Content Anywhere solution, which lets service providers authorize and bill customers for multiplatform offerings. Using Content Anywhere, a subscriber might rent a movie on VoD, start watch-ing it on TV at home, leave for a trip and continue watching the next day from a laptop. The service would know the 24-hour viewing window was still open and

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S o c i a l V i d e o

might even start the movie at the point the viewer stopped watching.

According to Mike Manzo, Openet’s chief marketing officer, “To adapt to today’s mobile lifestyle and ensure that premium content doesn’t become com-moditized so that people expect it for free, providers need to offer access wher-ever subscribers go, on any device they choose to use.”

Openet provides billing and trans-actional intelligence solutions to Tier 1 operators worldwide; Content Anywhere uses the same technical platform coupled with different business rules. Manzo ex-plains, “It’s very much like prepay – in fact, it’s the exact same thing except with much more complex decisions. Content Anywhere is a set of rules that looks at the user, their billing plan, their physical location, whether the content is free or charged, the basis of the charge, whether it’s time-limited or single-view, and so forth. The software has to be very scalable and flexible, because there’s no

canned set of business rules that apply to every operator. They’re all different.”

Operators could use Content Any-where simply as a way to retain custom-ers, or they could charge for mobile ac-cess – for example, a VoD movie rental might cost an extra dollar if viewed on the laptop. They can also use mobile video to increase advertising revenues, because the three-screen model raises the value of cross-medium ad cam-paigns. When subscribers watch TV via their laptops or iPhones, advertisers can still reach them.

What’s more, personal logins enable advertisers to target advertising to the in-dividual viewer. “We can enforce paren-tal controls or legal restrictions,” Manzo says, “and the age and basic demograph-ics give you a lot to work with; you can create a unique advertising proposition that Hulu can’t match, because they use cookies.”

Openet expects to see Content Any-where deployed by year-end. It’s only one

piece of the puzzle, Manzo emphasizes. On the technical side, operators still need to serve the content to all three screens. (Multiplatform content-publishing solu-tions are available from companies such as Ioko and ExtendMedia.)

Marketing the offering so as to avoid a subscriber backlash also presents a chal-lenge. Manzo says, “It behooves market-ing departments to think creatively and do their homework on market segments with different scenarios … vacationers, business travelers and so forth. You’ve got to get it right from the start.”

Marketing the strategy to content owners, which Manzo didn’t men-tion, may take even more work. Not all content owners are on board with TV Everywhere. But for many service pro-viders, delivering content on multiple platforms is clearly a priority. “Most op-erators have two or three initiatives that are really important to them,” Manzo says. “This is one of the top three.”

To Exhibit or Sponsor, contact: Irene Prescott at [email protected], or call 316-733-9122. For other inquiries, call 877-588-1649, or visit www.bbpmag.com.

SPECIAL SUBSCRIBER OFFER$350 USE VIP CODE: BBPSUB

(for current subscribers ONLY)Good until 11/20/09

www.bbpmag.com, CLICK REGISTER

April 26 – 28, 2010InterContinental Hotel – Dallas

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Broadband Technologies and Services

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96 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

UNITeD STaTeS poSTaL ServICe

Statement Of Ownership, Management, and Circulation1. Publication title: Broadband Properties Magazine

2. Publication Number: 0745-8711

3. Filing Date: 10-01-09

4. issue of Frequency: 9 times a year

5. Number of issues Published Annually: 9

6. Annual Subscription Price: Free to Qualified; $24.00/Year for Non-Qualified

7. Complete Mailing Address of known office of Publication (not printer): Broadband Properties, LLC, 1909 Avenue G, Rosenberg, TX 77471 (Fort Bend County)

8. Complete Mailing Address of headquarters of General busi-ness office of Publisher (not printer): Broadband Properties, LLC, 1909 Avenue G, Rosenberg, TX 77471 (Fort Bend County)

9. Full Names and Complete Mailing Address of Publisher, editor, and Managing editor:editorial Director & Ceo: K. Scott DeGarmo, Broadband Proper-

ties, LLC, 2727 Palisade Avenue, 16-H, Riverdale, NY 10463Publisher: Nancy McCain, Broadband Properties, LLC, 1909

Avenue G, Rosenberg, TX 77471editor: Masha Zager, Broadband Properties, LLC, 1909 Avenue G,

Rosenberg, TX 77471Corporate editor: Steven Ross, Broadband Properties, LLC, 1909

Avenue G, Rosenberg, TX 77471

10. owner(s):K. Scott DeGarmo, 2727 Palisade Avenue, 16-H,

Riverdale, NY 10463Robert L. Vogelsang, 1208 Second Street, Rosenberg, TX 77471W. James MacNaughton, 150 JFK Parkway, Suite 100, Short Hills,

NJ 07078Maxco, Inc., 1660 S. Hwy. 100, Suite 590, Minneapolis, MN 55416Convergent Communications, 1419 W. 12th Place,

Suite 105, Tempe, AZ 85281

11. known bondholders, Mortgagees, and other Security holders owning of holding 1 Percent or More of total Amount of bonds, Mortgages, or other Securities: Robert L. Vogelsang, 1208 Second Street, Rosenberg, TX 77471W. James MacNaughton, 150 JFK Parkway, Suite 100, Short Hills,

NJ 07078Maxco, Inc., 1660 S. Hwy. 100, Suite 590, Minneapolis, MN 55416Convergent Communications, 1419 W. 12th Place, Suite 105, Tempe,

AZ 85281

12. tax Status: Has not changed during preceding 12 months.

13. Publication title: Broadband Properties Magazine

14. issue Date for Circulation Data below: September 2009

15. extent and Nature of Circulation: Average No. No. Copies of Copies each issue Single issue During Preceding Published Nearest 12 Months to Filing Date

a. Total Number of Copies (Net Press Run): 8,717 9,349

b. Legitimate Paid and/or Request Distribution (By mail & Outside the Mail)

(1) Paid/Requested Outside-County Mail Subscriptions Stated on Form 3541. (Include advertiser’s proof and exchange copies). 6,824 6,795

(2) Paid In-County Subscriptions Stated on Form 3541 (Includes advertiser’s proof and exchange copies). 0 0

(3) Sales Through Dealers and Carriers, Street Vendors, Counter Sales, and Other Paid or Requested Distribution Outside USPS®. 0 0

(4) Requested Copies Distributed by Other Mail Classes Through the USPS (e.g. First-Class Mail®). 312 24

c. Total Paid and/or Requested Circulation (Sum of 15b (1), (2), (3), and (4)). 7,136 6,819

d. Nonrequested Distribution - (Comp copies sent by mail and outside the mail).

(1) Outside County Nonrequested Copies Stated on PS Form 3541. 0 0

(2) In-County as Stated on Form 3541. 0 0

(3) Other Classes Mailed through the USPS®. 0 5

(4) Nonrequested Copies Distributed Outside the Mail (Trade shows, etc) 477 2,100

e. Total Nonrequested Distribution (Sum of 15d (1), (2), (3), and (4)). 477 2,105

f. Total Distribution (Sum of 15c and e) 7,613 8,924

g. Copies not Distributed (See Instructions to Publishers #4, (page #3) 658 425

h Total (Sum of 15f and g) 8,271 9,349

i. Percent Paid and/or Requested Circulation (15c divided by f times 100) 93.73 76.41

16. Publication of Statement of ownership for a requester Publication is required and will be printed in the october 2009 issue of this publication.

17. Signature and title of editor, Publisher, business Manager, or owner: Nancy McCain, Publisher Date: September 23, 2009

I certify that all information furnished on this form is true and complete. I understand that anyone who furnishes false or mislead-ing information on this form or who omits material or information requested on the form may be subject to criminal sanctions (includ-ing fines and imprisonment) and/or civil sanctions (including civil penalties).

(Requester Publications Only) PS Form 3526-R

Around the world, readers of Broadband Properties Magazine are discovering the benefits of

the new digital edition, even though the publication’s print offerings continue to be strengthened and expanded. An increasing number of Broadband Prop-erties readers are opting to subscribe to both the print and digital issues.

The digital edition’s popularity has grown to the point where its circulation will be audited by BPA Worldwide, of-ficial auditing agency for business pub-lications. Auditing procedures have been in place for months, though the official report will be included for the first time in the December circulation statement. The magazine has been issued in digital format since June 2008; special maga-zines have also appeared in digital for-mat, including Fiber-to-the-Home prim-ers for international markets produced in cooperation with the FTTH Councils in Europe and Latin America.

Readers have shown great enthusi-asm for the digital editions. Unlike Web material, the digital issues have the same page format and publishing frequency as the printed publications. Subscribers receive alerts via e-mail when each new digital edition is published, and they can click on the e-mailed links to access the publication.

The benefits of taking the digital is-sue include receiving extensive bonus editorial, such as expanded articles and additional graphics, charts, maps and statistics. Readers can search the digital issues either one publication at a time or across all issues. They can also e-mail links to the issues as well as to indi-vidual articles. For sharing, navigating, or searching, the digital issue has vastly more functionality than a PDF.

The guiding principle in developing the electronic edition has been to add material to the digital publication with-out detracting from the print product.

BBP Readers Discover Benefits of Digital Pub While Also Continuing to Take Print Magazine

One department that has been taken out of the print publication is the News & Views section. That section, however, was not incorporated into the digital edition but rather was moved to the bbpmag.com home page so that break-ing news could be delivered to readers in a more timely fashion.

New and existing print subscribers

can sign up for the digital edition on the magazine’s home page, or by clicking www.bbpmag.com/subscribe

For a limited time, the magazine will offer free subscriptions to both print and digital publications. After the period ex-pires, new subscribers will be limited to one choice of format and be required to pay for an additional subscription. bbP

Page 105: Connect With These Top Companies

OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 97

PROPERTIESBROADBAND MarketplaceTo reserve space in this section and LEVERAGE the power of your advertising via print, digital, and multimedia exposure in the global market, contact Irene Prescott at 316-733-9122 or email [email protected].

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Prod. Manager /Traffic /

Digital Artist /Art Director /Copywriter /

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Cheryl SparksSherri WaltonEvan WillnowLeslie SchadSpencer CampbellJacqueline Bodet08/20/2009

© 2009 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other AT&T marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies. Subsidiaries and affiliates of AT&T Inc. provide products and services under the AT&T brand.

They play. You win. OFFER AT&T CONNECTED COMMUNITIES, and your tenants get a full range of entertainment options, superior voice and internet connectivity, while you earn a little extra for yourself. Visit att.com/communities to find out how to give, receive, and S t r e t c h .

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Page 106: Connect With These Top Companies

98 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

PROPERTIESBROADBAND MarketplaceTo reserve space in this section and LEVERAGE the power of your advertising via print, digital, and multimedia exposure in the global market, contact Irene Prescott at 316-733-9122 or email [email protected].

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Verizon FiOS services not available in all areas. ©2009 Verizon.

Page 107: Connect With These Top Companies

OctOber 2009 | www.broadbandproperties.com | BROADBAND PROPERTIES | 99

PROPERTIESBROADBAND MarketplaceTo reserve space in this section and LEVERAGE the power of your advertising via print, digital, and multimedia exposure in the global market, contact Irene Prescott at 316-733-9122 or email [email protected].

800-882-7950760-602-1900

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Let Greenfield Communications using the technology

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communication services to your property including

Telephone, High-speed Data and HD cable TV.

949-248-8898www.egreenfield.com

.THINKFORWARD.

Page 108: Connect With These Top Companies

Ad Index Calendar

100 | BROADBAND PROPERTIES | www.broadbandproperties.com | OctOber 2009

ADC 9, 98 www.graybar.com/adcAdvanced Media Technologies 97 www.amt.comAFL Telecommunications 97 www.afltele.comAtlantic Engineering 97 www.atlanticengineering.comAT&T Inside Back Cover , 97 www.att.com/communitiesBlonder Tongue 99 www.blondertongue.comBroadband Properties Magazine 96 www.bbpmag.comBroadband Properties 13, 33, 35, 38A-38D, 62E-62H, www.broadbandproperties.com

Summit 2010 63, 67, 75, 80, 95, 100Calix 1, 97 www.calix.comComcast Cable 7 www.Comcast_BusDev@

cable.comcast.comConnexion Technologies 19, 99 www.connexiontechnologies.netCorning Cable Systems Back Cover, 98 www.corning.com/cablesystems/

ftthprogramsDesign Nine 99 www.designnine.comDirecTV 3, 98 www.directv.comGreat Lakes Data 75, 99 www.cablebilling.comGreenfield Communications 99 www.egreenfield.comHiawatha Broadband 98 www.hbci.comMontclair Fiber Optics 99 www.montclairfiber.comMulticom, Inc. 25, 98 www.multicominc.comOFS 5 www.ofsoptics.comRVA, LLC 97 www.RVALLC.comSatellite Management Services 91 www.smstv.comSpot On Networks 29 www.spotonnetworks.comSuttle 15 www.suttlesoho.comTime Warner Cable 11 www.timewarnercable.comToner Cable Equipment, Inc. 71 www.tonercable.comVerizon Enhanced Communities Inside Front Cover, 98 www.verizon.com/communities

Advertiser Page Website NoVeMber8 – 10NMHCJW Marriott Desert Ridge Resort & SpaPhoenix, AZ202-974-2300www.nmhc.org10 – 12TelcoTV 09Orange County Convention CenterOrlando, FL800-441-8826www.lightreading.com

DeCeMber9FTTH Council Telecom Service Providers WorkshopHilton Atlanta DowntownAtlanta, GAwww.ftthcouncil.org866-320-6444

JANUArY 201019 – 22International Builders ShowLas Vegas Convention CenterLas Vegas, NV202-266-8409www.buildersshow.com

FebrUArY22 – 23NAA Student Housing Conference & ExpoMandalay Bay Resort & CasinoLas Vegas, NV703-518-6141www.naahq.org

MArCh23 – 25OFCNFOECSan Diego Convention CenterSan Diego, CA202-416-1975www.ofcnfoec.org

APriL26 – 29broadband Properties SummitInterContinental Hotel – DallasAddison, Texas877-588-1649 • www.bbpmag.com

JUNe24 – 26NAA Education Conference & ExpoErnest N. Morial Convention CenterNew Orleans, LA703-518-6141www.naahq.org

to exhibit or Sponsor, contact: irene Prescott at

[email protected], or call 316-733-9122For other inquiries, call 877-588-1649, or visit www.bbpmag.com

MARK YOUR CALENDARthe Leading Conference on broadband technologies and Services

April 26 – 28, 2010interContinental hotel – Dallas

Addison, texas“… our experience at the show this year was tremendous! You and your team did a great job recruiting

top notch attendees during a tumultuous market. My sales team set meetings with key retrofit targets and managed to engage potential future developer partners of which we were previously unaware.”

– Carter Steg, Executive Vice President, Corporate Sales and Marketing, Connexion Technologies

Page 109: Connect With These Top Companies

Pubs / Big BuilderMulti Family ExecutiveApartment Finance TodayUnitsBroadband PropertiesFlorida Community Association

Journal

Client /Ad# /Title /

Media /Size /

AT&T6252-D1-R1Apartment4-Color Ad8.375" x 10.875" largest trim 7.875" x 10.5" smallest trim8.625" x 11.125" bleed 7" x 10" live

Prod. Manager /Traffic /

Digital Artist /Art Director /Copywriter /

Acct Manager /Date Prepared /

Cheryl SparksSherri WaltonRobb BlackwellValerie TirellaKay CochranJacqueline Bodet09/04/2009

How they use it is up to them. How you profit is up to you.

OFFER AT&T CONNECTED COMMUNITIES,2 and your tenants get to customize their ideal

mix of voice and Internet connectivity, with superior options that include U-verse TV

solutions and complimentary access at thousands of Wi-Fi locations. And you’ll profit from

our competitive commissions program. Visit att.com/communities to find out how offering

greater flexibility can also flex your income. S t r e t c h .

att.com/communities

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Page 110: Connect With These Top Companies

CORNING for Clunkers

Send in your central office shelf or housing andCorning CableSystemswill ship you an equivalent Eclipse® unit at 35%off*

Got a clunker?

*Program valid until 12/31/2009. Housing must be a competing 4U unit (empty, stubbed or pigtailed) and 35% discount is based on Corning Cable System’slist price. Old unit(s) must be shipped back to Corning Cable Systems at customer expense or can be destroyed with a Corning Cable Systems witness(we'll bring the sledgehammer!). Only standard terms and conditions apply. United States-based customers only. Please contact Graybar, KGPL or anyother authorized Corning Cable Systems distributor to take advantage of this time-sensitive offer.

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© 2009 Corning Cable Systems LLC

EV-02808_BBPOCT09:Layout 1 9/15/09 12:04 PM Page 1