Addressing the CommsDay Melbourne Congress earlier this week, CEO of Axia NetMedia - Art Price - said "FTTN is an unnecessary compromise that safeguards incumbents’ revenues from copper infrastructure", further adding that it "is not future-proof" and "risks delaying the eventual move to FTTP".

According to the report by CommsDay journalist Petroc Wilton, Price argued that "FTTN is a compromise that is simply not necessary...It does not create competitive alternatives to the incumbent because the underlying economics of electronics at the node, for the size of the market at the node, are simply not viable... nobody is competing at the node anywhere in the world with the incumbent.”

The statements by Price echo the the points I have made many times since my first presentation and white paper on this subject in 2006. The NBN should be a complete overbuild using FTTP technology (to 85% of the homes and business in Australia) as this would provide the best outcome for Australia and the public.

Price went on to say “The copper just doesn’t cut it...It lacks performance, and it’s not future-proofed... you have to look awful hard at steps that are leading to FTTP, and not waste your money on an in-between step that delays FTTP for ten years.”


At 06 October, 2008 19:42 Anonymous said...

you have to change the title from FTTH to FTTN. i did a doubletake when i first read that title! :)

At 07 October, 2008 10:28 Stephen Davies said...

Opps, sorry. Thanks for pointing it out.

As if I would publish an article about FTTH being unnecessary.

That would be blasphemy!

At 17 November, 2008 14:26 Anonymous said...

FTTN = $10/month @ 50% - 80% penetration.

FTTH = $40/month @ exactly 100% penetration.

FTTH + Credit Crunch = Unacceptable risk!

At 30 November, 2008 11:37 Stephen Davies said...

None of you numbers make sense. $10 for FTTN? Who has suggested this?. $30/month for FTTH based on what information. Penetrations of different amounts?

You are just making guesses here.

Why do you suggest FTTH is $30/month more expensive when NTT and Verizon have found they save approximately US$110 pa per line when they migrated from copper to FTTH.

If there is a saving in the operating cost of FTTH over FTTN - a proven fact I can share wish you - then the cost of delivering services is significantly reduced.


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