Press Conference Warsaw

FTTH market and hot issues on FTTH in Europe

Hartwig Tauber, Director General, FTTH Council Europe

FTTH Council Europe

A sustainable future
for Europe
enabled by
Fibre to the Home
FTTH Market
 FTTH/B Global Panorama 2014 total subscribers

9.5 M 10.6 M
100 M

12.4 M

1.7 M
1.5 M

Source: FTTH Global Councils, February 2014

FTTH/B Global Ranking

Household Penetration
of countries* with more than
1% household penetration

*Economies with at least 200,000 households

Source: IDATE for FTTH Council Europe,

February 2014
FTTH/B European Ranking end 2013

Household Penetration
of countries* with more than
1% household penetration

*Economies with at least 200,000 households

Source: IDATE for FTTH Council Europe,

February 2014
FTTH in Poland 2014
Total number of
December 2014
FTTH/B sub-
FTTH/B data
scribers is Nb of Subscribers Nb of Homes passed
97.000
This is 0,73% Total FTTH/B in Poland 97 000 526 000
of households Netia 71 000 425 000
Orange Poland 6 000 15 000
Netia has nearly Multimedia Polska na 18 000
doubled their Inea Architecture
20 000 68 000
number of subscribers on their FTTH 45%
FTTB 55%
FTTH/B network since end 2013
Inea had a good start with their FTTB Access line
network and they already have Copper 0%
30% take-rate Ethernet/CATx 100%
Coax 0%
Poland has a good mixture of
FTTH and FTTB networks Technology
PON 95%
Ethernet 5%
European Region FTTH/B Forecast

Source: Heavy
Reading for FTTH
Council Europe,
February 2014
Note: Fibre to the
Home (FTTH) and
Fibre to the
Building (FTTB)
Subcribers
 FTTH Hot Topics from
an European point of view
 Henry Ford:

If I had asked
people what they
wanted, they
would have said
faster horses.

Photo-Source: Sddeutsche.de
Technology Neutrality

What is neutral? Does the concept of

Time to reconsider Technology
Neutrality
If you define targets in a way to ensure
that as many access technologies fit
into it?
If you define targets that ensure that
Europe stays competitive and makes
future-proof choices and then just see
what access technologies fulfil those
targets?
Technology Neutrality mean
that you are not allowed to say
what you want?
If you want FTTH, then say it!
If you want 5G, then say it!

Important: If public money is involved, only

future-proof solutions should be supported!
Connectivity & Inclusion

Digital Agenda
broadband targets Who decides if a
Are rural areas less
already define a important than cities?
household is only eligible
for 30 Mbit/s?
digital divide (30/100
Mbit/s)

Young people and

SMEs move from villages
Already today: to cities
families move to places
with high speed internet

Defining the borders

The market will not There is a need for between market areas
ensure equal broadband cooperative models with and cooperative areas is
Challenges: coverage in cities and public involvement to challenging and will be
rural areas ensure full FTTH coverage different in member
states

We need to decide if we want to have a Europe of Mega-Cities of

an Europe of prosperous regions
 New Finance and Industry Models
They need to service their owners /
share holders
Profit, dividends and positive short
term outlook are important
Regional development or
implementation of broadband
plans are not of interest
Every roll out needs to deliver
maximal profit at minimum invest
How do private
operators work?
Looking at FTTH as long-term
infrastructure
Considering to separate high risk
services, medium risk network
operation and low risk passive
infrastructure
Passive FTTH infrastructure does not
always need subsidiaries if the right
model is chosen, only financing
instruments are necessary
What do we
need in rural and
semi-rural areas?
 Transparency

Need to be more clear and honest

on broadband products

Consumers should know:

What speed they really get (maximum /
average / minimum)
Difference of down- and upload-speeds
Quality of service parameters (e.g. latency)

Misleading use of fibre should be

stopped
 Exclusive Results: FTTH/B users study

FTTH/B users are significantly more Very Interested in

satisfied with their broadband Future Service Concepts

FTTH/B users spend 30% more time 15%

Medical Monitoring at Home
online than DSL users 23%

20%
VoD Archive 21%
FTTH/B users are more frequent users
13%
of new or niche online services Connected Home Alarm 20%

11%
FTTH/B users are significantly more HD Video-Conversations on TV 19%

interested in future service concepts Remote home Monitoring

13%
17%

The fibre platform offers a cross-sell Live Tuition in the Home

9%
15%
opportunity to customers who are
0% 5% 10% 15% 20% 25%
satisfied with their broadband
solution DSL FTTH/B

Source: FTTH Council Europe / Diffraction Analysis / Paradox Opinion / OpinionWay

Conclusion

FTTH is not just faster internet

it is THE infrastructure of the 21st century!