Broadband Coordination Claes Engerstam

Fiber to all apartments!

Claes EngerstamBroadband Coordinator

AB Svenska BostäderStockholm

Broadband Coordination Claes Engerstam

Svenska Bostäder at a glance• Founded in 1944• 45 000 dwellings• Almost 100 000 residents• About 720 employees• 849,000 m2 of premises = 5 200 units• Turnover MSEK 3,300• Owned by the City of Stockholm• Largest housing company in Sweden

Broadband Coordination Claes Engerstam

Why do we want to implement a new infrastructure ?

• Our tenants will want to have broadband access

• Our tenants will want to choose what to buy and from whom

• Competition among ISP’s will lead to good services and low prices

• Competition stimulates development of new services

• No open solutions if SB act passive

• SB is dependant on positive developments in Stockholm

• SB’s task is to work towards a positive development in Stockholm

Broadband Coordination Claes Engerstam

Svenska Bostäders broadband business model

• We will own our real estates’ passive infrastructure

• We will control area networks (own or rent)

• A Communication Operator (CO) owns the active equipment

• The CO manages network surveillance, operation, and maintenance

• The CO contracts the service providers

• The CO pays for usage of the passive infrastructure

• The CO is financed by charging the service providers

• The CO shall be exposed to competition

Broadband Coordination Claes Engerstam

Business-model

Price for the service

Serviceproviders

Real estate owner

Invests inReal estate networkArea networkNodes

Communication-operator (CO)

Invests inActive equipment

Tenant/Customer

Price for using the net to reach customers

Price for using the passive network

Broadband Coordination Claes Engerstam

Why fiber all the way?

• Growing need for capacity

– We are building for the future

• Environmental reasons

– Fiber solutions will need less energy

• The tenants’ health

– We don´t want to take any risks

• Cost effective in the long run

– Longer life cycle

– Less space for active equipment

Broadband Coordination Claes Engerstam

Why is FTTH better than ADSL or CATV ?

• Tenants are offered more capacity for less money

• Same speed in both directions

• Local peering/routing makes local services possible

Broadband Coordination Claes Engerstam

Vällingby Nät - 5000 access nodes, May 2003

Broadband Coordination Claes Engerstam

10 27 0,6 38 0,5 38

1024 1 44 2 53

10 34 10 44

1034

0,5 33

10 26

Mb/s Euro/month Mb/s Euro/mMb/s Euro/mVällingby Nät CATVTelecom network

Broadband Coordination Claes Engerstam

Which network do the households use to surf on Internet?

0%

10%

20%

30%

40%

50%

60%

70%

2001 2002 2003 2004

TelecomNetworkCATV

Fibernetwork

Broadband Coordination Claes Engerstam

Strategy for optical fiber installation

Drive broadband development in Stockholm

Vällingby is the first step

Minimize the economic risk

Create a roll-out plan

Broadband Coordination Claes Engerstam

SB:s CO-areas in Stockholm

North

Zitius

South

TeliaSonera

City

Open Net

Broadband Coordination Claes Engerstam

Serviceproviders in Svenska Bostäders open broadband infrastructure

Status ISP IP-TV IP-Telephony

Deliver Bahnhof

WebTechNord

BoStream

Tiscali

Telia

Rix Telecom

Blixtvik

Tele 2

Canal Digital Rix Telecom

Blixtvik

Perfect Communication

Discussions FastTVNet

UPC

Telia

AllTele

DigiSIP

Telia

Refuse Bredbandsbolaget