Broadband Communities

NOV-DEC 2013

BROADBAND COMMUNITIES is the leading source of information on digital and broadband technologies for buildings and communities. Our editorial aims to accelerate the deployment of Fiber-To-The-Home and Fiber-To-The-Premises.

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Over-the-Top (Internet) Video Drives Wireline Trafc AGE UNDER 35: Traditional TV only OTT medium (33%–65.9%) OTT light (1%–32.9%) OTT only (video cord cutter) OTT heavy (66%–99.9%) 33.2% 26.6% 20.1% 12.2% 7.8% ALL AGES: Traditional TV only OTT light (1%–32.9%) OTT medium (33%–65.9%) OTT only (video cord cutter) OTT heavy (66%–99.9%) 59.7% 19.0% 13.5% 4.9% 2.9% Source: RVA LLC Only a third of the under-35 crowd gets all its video from "traditional" TV, but all ages are experimenting with OTT. FTTH Take Rates by Deployment Type Take Rates Are Often Higher for Individual Projects Municipal wholesale 25% Municipal retail, urban/suburban 30% Competitive provider, urban/suburban 31% Tier 1 ILEC 38% Municipal retail, rural 48% Tiers 2 and 3 ILEC 51% Competitive provider, rural 52% Cable TV/ MSO, greenfeld 62% Real estate developer, greenfeld 81% Source: RVA LLC The overall FTTH take rate is above 45 percent, but many deployers, especially in greenfeld developments, can expect to do much beter. FTTH Lowers Operational Costs Estimated Opex Savings for Operators With Active FTTH Customers 30+% 20-29% 10-19% 21% 16% 27% 0-9% 37% Source: RVA LLC Telcos continue to report signifcantly lower operating costs for FTTH hookups than for other broadband technologies – and the savings is generally in the 20 to 30 percent range, with a ffth of the companies reporting savings greater than 30 percent. Those reporting lower savings tend to be deployers just getting started, with few FTTH customers connected. NOVEMBER/DECEMBER 2013 | www.broadbandcommunities.com | BROADBAND COMMUNITIES | 39

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