NGA Regulation

Table of Contents

1. Introductory remarks: NGN vs. NGA

The following section will make the distinction between and NGN and NGA and present an introduction to the underlying reasons for investing into the respective networks. The remainder of the document will then focus solely on NGA and the corresponding regulatory challenges, which are also distinct from those of NGN.

• 1.1. NGN core networks
  • Core network evolution
  • Drivers of core NGN investments
• 1.2. Next Generation Access Networks
  • The need for speed: bandwidth requirements and provision
  • Cost savings from NGA
  • Drivers of incumbents' NGA investment in selected countries

2. NGA architectures and cost drivers

Incumbents and ANOs planning to provide next generation access face significant initial investments to roll out such fibre based networks. Total Capex required varies substantially in function of the network architecture the operator opts for. Costs will tend to rise as the fibre is being deployed closer to the end customer. In the following, several network architectures and their specific investment requirements shall be analysed. Furthermore, cost structures are different for incumbents and alternative operators.

• 2.1. FTTC
• 2.2. FTTH
  • PON
  • Point-to-Point
• 2.3. FTTB
  • PON architecture
  • Cost breakdown NGA roll-out

3. Bottlenecks issues and remedies

Investment requirements for moving from today' s LLU to NGA are considerable for FTTC and even more so for FTTH. Therefore, a real risk of a re-monopolisation of the access infrastructure exists. In some countries this issue is alleviated by the existence of alternative infrastructures, notably the cable networks.

• 3.1. Issues arising in FTTC
  • FTTC in the Netherlands
  • FTTC in Germany
  • FTTC in the UK
• 3.2. Issues arising in FTTH
  • Competition in point-to-point networks
  • Competition in a passive optical network
    • NRAs' position towards FTTH in the Netherlands and the UK
    • Commission' s and other views

4. Outlook

This section will touch on the issue of a potentially deepening digital divide. Finally it will give a perspective on the development of NGA competition going forward, based on the elements presented so far.

• 4.1. Ingredients for NGA success
• Assessment of positioning for mid- to long term NGA success for Belgium, France, Germany, Italy, Netherlands Spain, United Kingdom
  • Regulation
  • Demographics
  • Foreseable NGA competition
  • Existing infrastructure competition
  • Incumbent market share
• 4.2. Digital divide - a USP debate on the horizon?
  • Incumbent fixed broadband retail market share including/excluding resale