“A proposed strategy to make Canada the most networked country in the world and the

first to have low cost Gigabit Internet infrastructure available to virtually all

schools, hospitals, libraries and businesses by 2005”

GigaPOP

CA*net 3 National Optical Internet

Vancouver

Calgary ReginaWinnipeg

Ottawa

Montreal

Toronto

Halifax

St. John’s

FrederictonCharlottetown

ORAN

BCnet

Netera SRnet MRnet

ONet RISQ

ACORN

ChicagoSTAR TAP

CA*net 3 Primary Route

Seattle

New York

CA*net 3 Diverse Route

Deploying a 4 channel CWDM Gigabit Ethernet

network – 400 km

Deploying a 4 channel Gigabit

Ethernet transparent optical DWDM–

1500 km

Multiple Customer Owned Dark Fiber

Networks connecting

universities and schools

16 channel DWDM-8 wavelengths @OC-192 reserved for CANARIE-8 wavelengths for carrier and other customers

Consortium Partners:Bell Nexxia

NortelCisco

JDS UniphaseNewbridge

Condo Dark Fiber Networks

connecting universities and

schools

Condo Fiber Network linking all

universities and hospital

Customer Empowered Networks School boards and municipalities throughout North America are deploying

their own dark fiber networks in partnership with next generation carrier Individual institutions – the customers – own and control their own strands

of fiber Fiber are configured in point to point private networks; or Connect to local ISP or carrier hotel

Low cost LAN architectures and optics are used to light the fiber Control and management of the optics and wavelengths is under the domain of the

LAN customer at the edge, as opposed to the traditional carrier in the center These new concepts in customer empowered networking are starting in the same

place as the Internet started – the university and research community.

Customers will start with dark fiber but will eventually extend further outwards with customer control and ownership of wavelengths

Extending the Internet model of autonomous peering networks to the telecom world

What is happening elsewhere? California DCP project plans to connect up all schools to research and

education backbone – CALren-2 Cost $US 32 million per year next 3 years

Holland plans to connect up 12,000 schools with dark fiber Schools will be connected to national research and education backbone –

SURFnet 5 Alberta has a major RFP to connect up 3800 public institutions in the

province Sweden plans $US 2-3 billion for connecting municipalities and rural areas Iceland is building fiber network to all their schools which private sector will

take to the home Finland and Norway have similar plans

Market Drivers First - low cost

Up to 1000% reduction over current telecom prices. 6-12 month payback Second - LAN invades the WAN – no complex SONET or ATM required in

network Network Restoral & Protection can be done by customer using a variety of

techniques such as wireless backup, or relocating servers to a multi-homed site, etc

Third - Enables new applications and services not possible with traditional telecom service providers Relocation of servers and extending LAN to central site Out sourcing LAN and web servers to a 3rd party because no performance impact IP telephony in the wide area (Spokane) HDTV video

Fourth – Allows access to new competitive low cost telecom and IT companies at carrier neutral meet me points Much easier to out source servers, e-commerce etc to a 3rd party at a carrier

neutral collocation facility

Schoolboard Condominium Builds

School Board

Stud

y

Eng

inee

ring

Con

stru

ctio

n

PROJECT

Capitale x 140 km of fibre optics 80 schoolsRégion-de-Sherbrooke x 180 km of fibre optics 66 schoolsRivière-du-Nord x 175 km of fibre optics 52 schoolsSeigneurie-des-Mille-Iles x x x 200 km of fibre optics 80 schools 4 partnersAmiante x x x 12 km of fibre optics 9 schoolsLaval x x x 170 km of fibre optics 111 schools 3 partnersSaint-Hyacinthe x 250 km of fibre optics 51 schoolsAffluents x x x 170 km of fibre optics 70 schools 4 partnersBois-Francs x x x 60 km of fibre optics 12 schools 4 partnersDraveurs x x 90 km of fibre optics 40 schoolsGrandes-Seigneuries x 210 km of fibre optics 58 schoolsHautes-Rivières x 250 km of fibre optics 54 schoolsLaurentides x 200 km of fibre optics 35 schoolsPatriotes x 2 km of fibre optics 3 schoolsPremières-Seigneurie x 190 km of fibre optics 73 schoolsSamares x 460 km of fibre optics 72 schoolsTrois-Lacs x x 45 km of fibre optics 15 schoolsChemin-du-Roy x 29 km of fibre optics 11 sitesMarie-Victorin x 6 km of fibre optics 5 schoolsSir-Wilfrid-Laurier x x x 92 km of fibre optics 20 schools

List of Schoolboard Fiber Builds

Examples of Dark Fiber costs University network Urban Fiber Builds

Varennes: 50 km - $406K (maintenance $26K/year) Montreal East: 14 km - $120K (maintenance $9K/year) Laval: 33km - $213K (maintenance $15K/year)

University network Rural Fiber Builds Sorel: 54km - $266K (maintenance $19K/year) Megantic: 40km -$273K (maintenance $14K/year)

Schoolboards Victoriaville school board -Average price for fiber(s) $2 - $7 per meter Spokane School District - $US 800/mo for first 5 years then $US 400/mo Over 50 schools Stockholm - $1200/mo – over 100 schools

Las Vegas School district – 240 schools – Telcordia (Bellcore) prime contractor Many, many others in the works Companies like Telcordia (Bellcore), IBM, etc are now leading development of

dark fiber networks for schools

Condo Fiber Build Examples Des affluents: Total cost $1,500,00 ($750,00 for schools)

70 schools 12 municipal buildings 204 km fiber $1,500,000 total cost average cost per building - $18,000 per building

Mille-Isles: Total cost $2,100,000 ($1,500,000 for schools) 80 schools 18 municipal buildings 223km $21,428 per building

Laval: Total cost $1,800,000 ($1,000,000 for schools) 111 schools 45 municipal buildings 165 km $11,500 per building

Peel county: Total cost $5m – 100 buildings Cost per building $50,000

Peel County Municipal Fiber Network

Mississauga, Brampton, Pell 200 km of Fibre 96 strand backbone

“Enough for small country”

12-60 strands elsewhere 12,000 strand-kilometers

Laid end-to-end = Victoria to St. John’s …...and back again

Typical Payback for school(Real example – des affluents – north of Montreal)

Over 3 years total expenditure of $1,440,000 for DSL service Total cost of dark fiber network for 100 schools $1,350,000 Additional condominium participants were brought in to

lower cost to school board to $750,000 School board can now centralize routers and network servers

at each school Estimated savings in travel and software upgrades

$800,000 Payback typically 8 –16 months Independent Study by Group Secor available upon request

Before

After fiber

fiberAntennas 780Novell Servers 82 1SQL Servers 13 3Lotus Notes Servers 21Tape Backup Servers 12 4Ethernet switches/hubs 10 98Routers 1083Cache/proxy (Linux) 120Fire walls (Linux) 11

Reduction in the number of servers

A possible framework for the last mile

The R&E community leadership in customer empowered networks is pointing to a possible solution for the last mile to the home

An architecture concept also based on open access customer owned dark fiber using well known LAN architectures

Many competitive service providers share in the cost of condominium fiber

Ensures facilities based competition

Telcos are unlikely to build FTTH in existing neighborhoods because of the huge capital investment and ROI needed on that investment

Solutions for high speed Internet to the home may not come from the carriers but from the R&E community

The basic assumptions The good, the bad and the ugly..

Monopolies are bad Duopolies are ugly Facilities based competition is good

The private sector, in an open competitive market, is far more effective at responding to consumer’s needs and introducing new services at lower prices than any kind of government regulation

But government has a responsibility to foster competition and ensure a level playing field

Where a natural monopoly exists government has a responsibility to regulate that monopoly, but only as a last resort

First it should make every attempt to develop mechanisms for introducing private sector competition rather than depending on legislative fiat

Regulation should be seen as a last resort

Networked NationCA*net 4

Provincial research and education network

Usually one GigaPOP per province

Usually one access facility in every major town and city

School board office City Hall University

School HospitalLibrarySchool School

Colo Colo

Option B: Home owners are aggregated at node by service provider of their

choice

Option A: Home owners and businesses have fused

connections all the way to service provider at supernode

SuperNodes

Nodes

Colo

Colo

Splice Box

Homes

Splice Box

CommercialInternet

CommercialInternet

Possible architecture for large town

School

School board office

School

Telco Central Office

Central OfficeFor Wireless

Company

VDSL, HFC or FiberProvisioned by service provider

Condominium Fiber with separate strands owned by school and by service providers

Carrier Owned Fiber

Cable head end

Average Fiber Penetration to 250-500

homes

ColoFacility

Possible architecture for small town

School

Town Hall

School

Condominium Fiber with separate strands owned by school/town hall and by service providers

Receiver for Skycache

Average Fiber Penetration to 250-500

homes

ColoFacility

Receiver for Satellite

StreamingCache boxes and serversOperated by satellite company

Benefits to Industry For cablecos and telcos it help them accelerate the deployment of high speed

internet services into the community Currently deployment of DSL and cable modem deployment is hampered

by high cost of deploying fiber into the neighbourhoods Cable companies need fiber to every 250 homes for cable modem service,

but currently only have fiber on average to every 5000 homes Telephone companies need to get fiber to every 250 homes to support

VDSL or FSAN technologies Wireless companies need to get fiber to every 250 homes for new high

bandwidth wireless services and mobile Internet It will provide opportunities for small innovative service providers to offer

service to public institutions as well as homes For e-commerce and web hosting companies it will generate new business in out

sourcing and web hosting For Canadian optical manufacturing companies it will provide new opportunities

for sales of optical technology and components

Carriers are not the only decision maker in the last mile

Governments and consumers are becoming more active voice in determining the future of broadband to home

Do not assume that carrier best technical solution is the only approach Open access is becoming a critical political issue

Consumers want more than duopoly of cable and telco Facilities based competition the best

Municipalities object to their streets being torn up Dig once – bury lots of fiber

Residents object to street furniture and antennae

Governments promote the framework for GITH networks by funding schools, universities, libraries, hospitals and municipal buildings as first customers and early adopters of dark fiber and optical networks

Private sector leverages that investment by government to promote high speed Internet access to schools and universities to extend the fiber to the home

Electric utility companies, municipal governments, CLECs, SMEs, entrepreneurs, as well as traditional telcos and cablecos can participate as providers, provided they subscribe to the architecture of open access, facilities based competition through dark fiber (or wavelengths)

Emphasize the development and use of technology that specifically addresses the new architecture and the last mile, which must therefore be open, cheap and Internet-only

An important Role for Government

CANARIE's 6th Advanced Networks Workshop"The Networked Nation"

November 28 and 29, 2000Palais des Congrès

Montreal, Quebec - Canada

"The Networked Nation", will focus on application architectures ("grids") made up of customer owned dark fiber and next generation Internet networks like CA*net 3 that will ultimately lead to the development of the networked nation where eventually every school, home and business will have high bandwidth connection to the Internet.

Three tracks: Customer owned dark fiber for schools, hospitals, businesses and homes. Next generation optical Internet architectures that will be a natural and seamless

extension of the customer owned dark fiber networks being built for schools, homes and businesses.

"application grids", which are a seamless integration of dark fiber and optical networks to support specific collaborative research and education applications.