Date post: | 27-May-2015 |
Category: |
Business |
Upload: | ceobroadband |
View: | 457 times |
Download: | 5 times |
Copyright Ventura Team LLP 2008 - 2011 – Page 2 [email protected]
We are breaking new ground in terms of thought leadership in:
Machine to machine communication with the worldwide GSM Association
Fibre to the home with various parties including the FTTH Council Europe
Project management through a pragmatic practitioners' guide published by a major business book publisher
Our work ranges from business case development and strategy consulting to interim management, due diligence and creation of new service propositions
As a next-generation firm we complement our consulting work with investing our own money in selected ventures so we `walk the talk’.
The Ventura Team includes highly experienced telecom finance consultants, engineers and executives. Each one has achieved success in senior roles and many have financial transaction experience up to multi-billion value.
At the centre of our values is integrity. We do not pull our punches and we provide best advice always. Our opinions and name carry weight in the industry as a result.
We are an analysis and consulting firm that uses only seasoned experts and industry veterans
Installation site visit.
We like to get out of the office!
We only use experienced people with established records of success in their area
Our average age is 46
Integrity is central to our work
real broadband
Copyright Ventura Team LLP 2008 - 2011 – Page 3 [email protected]
We’re going to discuss learning from our analysis, consulting and operations including…
Several million homes passed planned/implemented
The business case and strategy for the World’s fastest ubiquitous network -
Our own startup operator (rated top 5 in the World for service value by Point Topic)
“1 GIGABIT EVERYWHERE”
Planning a 20,000 cabinet FTTX deployment with up to $3
billion investment
Copyright Ventura Team LLP 2008 - 2011 – Page 4 [email protected]
100 MB
The company is profitable despite the very low prices and minimal investment
This reflects
the hard work of the team
a focus on operational excellence
…that means the company also operates with good customer satisfaction while having 2,500 subscribers per employee!
Ranked number 4 in the world for broadband service value by Point Topic
…including learning from our own startup operator
Copyright Ventura Team LLP 2008 - 2011 – Page 5 [email protected]
Technologies can rarely be considered in isolation
How do companies commit to a network to compete with their challengers…
3G
WiMAX
LTE
FTTH
FTTC
ADSL
Source: Alcatel-Lucent
Copyright Ventura Team LLP 2008 - 2011 – Page 6 [email protected]
..and even the simplest deployments can be very complex – particularly for incumbents
Source: BT
Copyright Ventura Team LLP 2008 - 2011 – Page 7 [email protected]
You can’t normally build everywhere…
-
500
1,000
1,500
2,000
2,500
Passive Infrastructure CAPEX (GBP) per Home Passed by Geotype and Technology for Sweden
FTTC/VDSL
FTTH (GPON)
FTTH (PTP)
Source: Ventura Team LLP
Copyright Ventura Team LLP 2008 - 2011 – Page 8 [email protected]
There is no ‘one right approach’ for every country/situation…
FTTC (VDSL2) GPON PTP
Typical Speeds
>40MbpsDouble with acceleration?
<100Mbps <=1Gbps
PROS Cheapest solution Cheaper than PTP initially (we’ve seen 5% savings where ducts are widely available to 21%)Saving in central office space
Future proofSymmetric servicesSecurity for businesses
CONS Limited speedProblems of quality of finalcopper dropLimited opex savings
Shared fibre – not seen as secure as PTPWill probably need upgrade in the future
Lots of fibre to installLarger central offices required
These choices are considered in isolation and the cost of migration later forgotten
Copyright Ventura Team LLP 2008 - 2011 – Page 9 [email protected]
…and the product offerings vary enormously from country to country (e.g. fibre)
These bundles from different operators are very different propositions from one another
0%
20%
40%
60%
80%
100%
120%
Virgin Media 30
BT Infinity 40 (low upstream)
BT Infinity 40 (high upstream)
Zon Fibra 30
Portugal Telecom 30
Virgin Media 100
Zon Fibra 1000
Verizon
1 Gbps for $26 (Hong Kong) or 30 Mbps for $60 (Portugal)
Copyright Ventura Team LLP 2008 - 2011 – Page 10 [email protected]
However take up is not always as high as expected – people don’t just buy technology
Source: Ofcom
How much more will people pay to double their broadband speed?
Copyright Ventura Team LLP 2008 - 2011 – Page 11 [email protected]
So you can go from this reasonably simple business case..
Copyright Ventura Team LLP 2008 - 2011 – Page 12 [email protected]
…to the challenge of trying to deliver FTTH
Copyright Ventura Team LLP 2008 - 2011 – Page 13 [email protected]
But getting the overall scenario right for any deployment is very complex –small changes create huge impacts on results
Copyright Ventura Team LLP 2008 - 2011 – Page 14 [email protected]
Each option has implications across the business
Example output: Ishikawa Diagram - NPV of 2014-2019 Cashflows for FTTH of an Incumbent Ventura Client (numbers broadly representative but disguised)
Copyright Ventura Team LLP 2008 - 2011 – Page 15 [email protected]
Then all you have to do is implement!
If you are thinking of turning copper off then there are a lot of issues to face
What will any operators taking wholesale bitstream do when you turn off their ability to generate revenue?
How do you avoid unbundling?
However there are more significant complexities as you are ‘forcing’ a migration on current customers
If people don’t want you to install new kit then you may have to accept that they will be cut off with no service
Making appointments is much harder if people don’t see the need (and ask for) a change
The cutover is likely to take at least two visits (see following slides)
Re-visits need to be planned to smooth over unhappy customers complaining about chipped paint, holes in walls, messy installations
Copyright Ventura Team LLP 2008 - 2011 – Page 16 [email protected]
Operator Experience Includes:
Telecom Egypt
Vodafone (various operations)
Atheeb Consortium (Saudi)
Millicom International Cellular
Batelco
Colt Communications
BT
STC
Pipex
Riksnet
Nordisk Mobiltelefon Group
Eircom
Turk Telekom
Bulgarian Telecom
Invitel+Pantel
Neuf Telecom
Deutsche Telekom
MLL Telecom
Investor Experience
Apax
RBS
Regulator Experience
Ofcom
DCMNR
Egypt NTRA
Vendor Experience
Huawei
ZTE
Alcatel
Ericsson
Motorola
WiPRO
Industry Clients
FTTH Council Europe
GSM Association
Market Experience
Egypt
Qatar
Oman
Saudi Arabia
Dubai
Poland
Ireland
UK
German
Mali
Sweden
Hungary
Greece
France
Rwanda
Estonia
Thank you…
Leave me your card if you’d like to receive
our white papers
Richard Jones - Partner
mobile: +44 7811 166033