Re: Is Google Fiber a model for Municipal Networks?

[Leo Bicknell <bicknell () ufp org>]

In a message written on Sun, Feb 03, 2013 at 05:03:52PM -0500, Jay Ashworth wrote:
> > From: "Leo Bicknell" <bicknell () ufp org>
> > Looks like $500-$700 in capex per residence is the current gold
> > standard. Note that the major factor is the take rate; if there are
> > two providers doing FTTH they are both going to max at about a 50% take
> > rate. By having one provider, a 70-80% take rate can be driven.
>
> I was seeing 700 to drop, and another 650 to hook up; is that 5-700 supposed
> to include an ONT?

I believe the $500-$700 would include an ONT, if required, but
nothing beyond that.  "Hook up" would include installing a home
gateway, testing, setting up WiFi, installing TV boxes, etc.

So in the model I advocate, the muni-network would have $500-$700/home
to get fiber into the prem, and the L3-L7 service provider would
truck roll a guy and supply the equipment that comprise another
$500-$700 to turn up the customer.

In Google Fiber's model they are both, so it's probably $1000-$1400
a home inclusive.  $1400 @4% for 10 years is $14.17 a month per
house passed.

-- 
       Leo Bicknell - bicknell () ufp org - CCIE 3440
        PGP keys at http://www.ufp.org/~bicknell/

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