12 May 2011

NGA Network Principles & Planning Graham Leach, General Manager, FibreSpeed

NGA – The Ambition

• NGA will deliver a “First Class Digital Infrastructure”

• Objective is to secure Universal Broadband Access

– Widespread geographical coverage

– High quality bandwidth

– Affordability

• Natural market deployment may reach 70% of population coverage

• Government intervention necessary for rural communities

• BDUK Pilot procurements underway

Principles: NGA Definition

1. Open Access Networks capable of delivering broadband access services

2. Enhanced characteristics - fully symmetrical, high capacity and low latency

3. Cannot be delivered over first generation copper networks

4. Intervention in NGA should only be required every 40 years

5. NGA will pave the way for a faster, efficient and innovative digital society

6. People now consider NGA as the “4th Utility”

We believe that the ‘Public Investor’ should intervene in true NGA long life fixed infrastructure rather than short life access technology investments

Principles: Open Access

• A true open access network

– Is open at Layer 1: fibre and co-location

– Enables technology choice for service providers at Layer 2

– Welcomes unbundling and structural separation

• As critical in the backhaul market as in the access layer

Principles: Open Access Model

End User Service Provision(Multiple

Providers)

Active Operator

Passive Operator

Infrastructure SPV

Barriers to Entry

LOW

MEDIUM

HIGH

Innovation/ Competition

HIGH

MEDIUM

LOW

Long term investment

• Essential long term infrastructure for all NGA projects– Fibre to the Premise– Fibre to the Cabinet– Fibre to the Mast– Fibre to the Village Pump (Community Fibre Projects)

• Must be truly open to all players– The best place for public sector investment is backhaul & middle mile– Not a short term technology upgrade– Enables access layer investment and competition with service providers

• Funding Sources– EU / ERDF– Central Govt / BDUK– Infrastructure provider private investment– Retail service provider investment

The NGA Model

BackboneEnabling

Middle MileLocal

Access

Area of Scope Definition

Mast

Cabinet

Premise

WholesaleRetail Service

Providers

Understanding the Market

• Identify the number of businesses and residents

• Identify strategic hub site locations

– Business Parks

– Major Public Sector sites

– Datacentres

– Wireless Masts

• Identify existing backhaul & wireless infrastructure

• Develop an NGA Coverage Strategy

– New fibre backhaul deployment

– New fibre access deployment

– New wireless mast construction

Open Access wholesale telecommunications network

Fibre and wireless infrastructure

Fully compliant to EC State Aid guidelines for broadband

Passive (Dark fibre and co-location) infrastructure available

Active (Ethernet and wavelength) service available

Full structural separation between wholesale and retail

Available to Retail Service Providers at competitive prices

FibreSpeed Case Study

A successful Welsh Assembly Government

NGA Intervention Project

Planning ProcessIllustrative Fibre and Mast Deployment

Planning ProcessEnhancing Coverage in Developing Market

Key Messages

• Secure Universal Broadband Access

• Deploy Open Access network infrastructure based on detailed analysis of businesses and population distribution

• Best place for public sector investment is backhaul & middle mile

• Enables access layer investment and competition between service providers