Date post: | 04-Jun-2015 |
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Steve Senne, CTO Finley Engineering
Gigabit FTTH: Examining Ultra High Speed Network Momentum
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What IS GB FTTH?
We have built an expansive, powerful, 100% fiber network. But the power isn't in the platform. The real power is in how we use it. http://chattanoogagig.com/
Our infrastructure spurs research and development of new technologies right here in the United States, and preserves American jobs.
This is the ultimate tool for entrepreneurs. For established companies looking to become game-changers. For anyone needing a system that can help test and prove ideas.
Instead of trying to guess what products and services the market will demand, we are inviting talented people to use our network to work on complex challenges.
Not one size fits all, but one
platform for mass
innovation, accelerated R&D, broad testing and
deep creativity.
Chattanooga has learned the value of marketing. Tremendous Internet is terrific, but it won't bring huge economic benefits until the rest of the country knows about it and starts flocking to the area. Fast broadband can make such moves possible, though, even for individuals. As Chattanooga's website points out, "With Chattanooga broadband at your fingertips, you can work from anywhere. Why not choose to live in the most connected city in America?“ Ars Technica http://arstechnica.com/tech-policy/2010/09/chattanooga-tn-beats-google-to-1gbps/
From But there is an argument to be made that customers don’t really want, or can even use, a gigabit connection right now. Even Google Fiber had problems generating demand for the service just one month after launching the service in Kansas City, according to TechCrunch. Google’s plan was to prioritize Fiber installation in the neighborhoods where demand was highest, based on the number of homes in the area. But a low turnout forced Google to re-evaluate its demand quotas, which the company blamed on having bad data about the number of households in Kansas City neighborhoods.
Then there’s the issue of what to do with your gigabit connection once you’ve got it. ArsTechnica hiked over to Kansas City to try out Google Fiber last November. The site reported that, in practice, Internet use over a gigabit connection wasn’t much better than regular broadband. Ars concluded that the problem wasn’t the speed of Google’s network, but that the rest of the Internet’s infrastructure—including high bandwidth services like video streaming—weren’t supporting true gigabit speeds. PC World February 1013http://www.pcworld.com/article/2029568/users-dont-want-gigabit-internet-speeds-time-warner-cable-exec-says.html
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FCC National Broadband Plan Goals Current
– 4 Mbps down / 1 Mbps up actual data rates to all homes 2015
– 50 Mbps down / 20 Mbps up actual data rates to 100 million homes
2020– 100 Mbps down / 50 Mbps up actual data rates to 100
million homes
How Much Bandwidth is Enough?
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How Much Bandwidth is Enough?
• The average broadband package today is approximately 7.0 Mbps
• “Fast” broadband is typically advertised as being over 30 Mbps
• CATV & FTTP companies are rolling out 50 -100 Mbps services, promising 150 Mbps and 300 Mbps services
• FTTP can deliver over 1 Gbps services and is currently rolled out to over 40 cities.
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Future Bandwidth Requirements
• Many experts envision 100 Mbs to the customer within the next 5 years.• As HDTV becomes the normal TV medium• As 20-50 Mbs High Speed Internet becomes the
norm to support:• Multimedia Applications (i.e.. Online Gaming)• Streaming Video (i.e. YouTube, Netflix, Apple
TV)• The Cloud increases the need for higher upload
speeds, • Systematical bandwidth becomes more important
Gigabit Speeds for future applications
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• Quad HD Video-2160p-4K UHDTV• It has a resolution of 3840 x 2160. • Product introduction started in the 2012
• Additional Product Announcements were made at CES in January 2013 with availability expected this summer
• It requires 4 times the bandwidth of a HD signal• Large screen sizes work against higher
compression levels• 8K UHDTV
• has a resolution of 7680 × 4320 • It requires 16 times the bandwidth of a HD
signal
What’s Next for Video?
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Over the Top Video
– A disruptive force in video content distribution– The customer purchases content directly from the Content Provider not from a
CATV, Satellite or IPTV Service Provider– Content is downloaded over system to the customer’s set top box
Service Provider provides a pipe only
– Growing number of downloaded video apps:
• Netflix • Hulu• Amazon• YouTube• Walmart-Vudu
– Family TV time has been redefined. Instead of everyone getting together to watch 1 show as a family, Everyone gets together to watch their own device(s).
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The Impact of Large Files Sizes
300 Kbps 768 Kbps 3 Mbs 10 Mbs 100 Mbs 1 Gbs0
5000
10000
15000
20000
25000
30000
35000
40000
45000File Transfer Time vs. Bandwidth
1 Page Word Doc
2 Page Excel Doc
Power Point Presentation
Vision 4 Page Report
2D Autocad Drawing
Youtube Video
DVD Movie
LIDAR Drawing
Available Bandwidth
Seconds
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Today’s Network Performance
http://ispspeedindex.netflix.com/
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Video Content streaming is driving bandwidth demand– Increasing Number of devices in a household– 1/3 of all Adult Consumers currently have a
tablet device Fourfold increase in bandwidth for ultra
high-def requirements– Today Netflix wants you to have 6mg, so
with the UHDTV evolution you’re potentially looking at 24mg requirement per Video Stream
Future Demand
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Fiber to the Home– GPON or Active Ethernet
Next Generation GPON–WDM PON
DOCIS 3.X Wireless
Technologies That Enables Gigabit Homes
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On the Internet, Bandwidth is not unlimited and is shared between users:– Oversubsciption– High Transfer rates is not the only objective
• Low Latency• Low Jitter
Bits and Bytes, or performance based billing: Light user vs heavy user
“I want my traffic tagged as high priority and I’m willing to pay for it.”
Bandwidth Management
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Wireless 4G
Speed requirements for 4G service set the peak download speed at 100 Mbit/s for high mobility communication (such as from trains and cars) and 1 Gbit/s for low mobility or fixed communication
Pre-4G technologies such as mobile WiMAX and first-release 3G Long term evolution (LTE) have been on the market since 2006 and 2009] respectively, and are now branded as 4G even though they don’t meet the original ITU requirements for 4G networks
Available Cellular User Bandwidth 1G - 1.2 Kbps 2G - 9.6 Kbps 3G - 384 Kbps 4G 100 Mbps
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What’s Next for FTTP?
– XG-PON1– Use of 10 Gbps downstream Optics and
2.5 Gbps upstream bandwidth (4 x the Current GPON Standard)• Alcatel-Lucent recently announced XG PON
products are available. • Verizon is currently conducting trials.
– XG-PON2• Uses 10 Gbps optics in both the upstream
and downstream path to provide a symmetrical service.
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What’s Next for FTTP?
Active Ethernet– Dedicated 1 or 10 Gbps Optics to each premise
Electronics vendor quote - "50 Percent of Our Fiber Business is Point-to-Point Ethernet"
Interesting article in Communications Technology with arguments for EPON vs. GPON, with cable companies preferring EPON, and telcos GPON.
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The Evolution of GPON to WDM PON
Replaces a 1:32 Optical Splitter with a 1:32 WDM and DWDM Optics in the OLT/ONT
Use of 1:32 WDM lets each ONT have a full 1 or 10 Gbps bandwidth
Provides complete physical separation of end users traffic and security
In essence, provides an Active Ethernet connection on a PON network
Works with existing GPON OSP designs
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Cost for backbone bandwidth – 100 Mb from Statewide Network
$2,000.00/mo ($22.00/Mb for bursting above the 100Mb cap)
Gigabit uplink cost 10MG uplink Caching Servers Bandwidth management
Impact on Backbone
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Google Fiber: $125 Internet + TV; $70 Internet
Chatanooga: Gigabit symmetrical for $349.99 -> $299.99
Cedar Falls: $275 Google: pay construction cost($25/mo for
1 year), receive service free for 7 years; 5 megabits download, 1 megabit upload
Cedar Falls, Chatanooga pricing
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Typically see 70% - 75% penetration = market saturation
Depending upon level of competition, 20% - 25% take rate may be the most you can expect
Carefully evaluate your market share goals
Competitive service providers will react and compete
Business Factors
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Evaluate the competitive positioning and rates
Brand recognition and reputation Value: premium or price-sensitive Deliverables: reliability, customer
service
If You Build it Will They Come?
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In the year 2000, 4.4% of American households had a home connection to broadband; by 2010 that number had jumped to 68%.
Broadband networks at a baseline speed of >10 megabits per second now reach more than 94% of U.S. homes.
Overall, average delivered broadband speeds have doubled since 2009. In 2012, North America’s average mobile data connection speed was 2.6 Mbps, the fastest in the world, nearly twice that available in Western Europe, and over five times the global average.
Annual investment in U.S. wireless networks grew more than 40% between 2009 and 2012, from $21 billion to $30 billion, and exceeds investment by the major oil and gas or auto companies; investment in European wireless networks remained flat during this time period, while wireless investment in Asia (including China) rose only 4%.
There are over 500 million Internet-connected devices now in American homes and businesses.
From “Four Years of Broadband Growth” June 6, 2013 http://www.whitehouse.gov/sites/default/files/broadband_report_final.pdf
Office of Science and Technology Policy & The National Economic Council June 2013 e.gov/sites/default/files/broadband_report_final.pdf
Broadband Report
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Google is using brand power and strength
FCC initiative “one in every state” Develop your business model based
on your data and research What is the reality in your service
area
To GB or not to GB…