FiOS Fuels FTTH - But Where's Everyone Else?
TelecomWeb

The United States now ranks second in the world in fiber-to-the-home 
(FTTH) deployments - trailing only Japan - thanks almost entirely to 
Verizon and its FiOS project, according to new numbers compiled by 
research house Ovum-RHK.

Outside of Verizon's customers, only a paltry 8,000 new FTTH 
subscribers were signed up in all of the United States in the second 
quarter of this year.

There were 463,000 FTTH subscribers in the U.S. by the end of the 
second quarter, Ovum says in its report, up 34 percent compared with 
the first quarter and up 66 percent compared with the fourth quarter 
of 2005. Still, the United States remains in a very distant second 
place compared with Japan that, at the end of the first quarter, 
reported more than 5.4 million FTTH subscribers.

That 34-percent U.S. increase represents 118,000 subscribers, of whom 
110,000 were FiOS subscriber additions. According to Ovum, Verizon 
now accounts for 81 percent of all the FTTH subscribers in this 
country. The remaining 19 percent are represented by a melange of 
companies including AT&T, Qwest, some CLECs, independent operating 
companies and municipalities, the report says. Ovum singled out Qwest 
as having the lowest level of FTTH activity among the ILECs.

The U.K. researcher defines FTTH as fiber that connects directly to a 
home "without a DSL or LAN connection in between." That eliminates 
fiber-to-the-node, which includes the majority of what AT&T and 
BellSouth are doing, where the last-mile delivery is typically a 
variant of DSL. It also eliminates Metropolitan Area Networks (MANs) 
where the fiber typically doesn't go already to the user. Ovum 
doesn't estimate how much better U.S. broadband deployment might or 
might not look if all of these types of fiber deployments are counted.

Ovum also notes that the number of U.S. cities or communities with 
FTTH now tops 900, with 730 of those being FiOS communities. "Solid 
demand for advanced broadband services like the triple play continues 
to drive the need for more bandwidth and an infrastructure that can 
adequately accommodate those services," says Ken Twist, vice 
president of the Technology Consulting and Broadband Network 
Strategies groups at Ovum-RHK. "In the near term, Verizon will 
continue to drive the FTTH market."


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