Telecom proposes national fibre solutions

Telecom has released today their proposal to the Government for how best to utilise the $1.5b available for fibre to the premises.

Their first option is an acclerated fibre roll-out by Chorus. Milestones would be:

  1. All 93 hospitals connected within 30 months
  2. 2,000 schools connected within 30 months
  3. Remaining 600 schools (including those outside the 75% zone) within 36 months
  4. Possible extensions to medical centres, pharmacies, libraries, maraes and community centres
  5. Would build fibre to all new homes in the 75% coverage area (at present only builds to developments of at least 50 lots)
  6. Extend the fibre network to pass more homes, and subsidise connections into individual homes.
  7. Have shorter cooper loops to increase speeds to non fibre homes on VDSL2

It would see the Government investment and their existing investment co-ordinated (not competing) so there is no over-build. All infrastructure would be open access and dark fibre would be made available to all comers.

It is not promising full fibre into every home, but it is advancing a lot towards that goal.

Their second option is to have the Crown Fibre Network Company to contract Chorus to build a national fibre ducting network of up to 10,000 kms home. So they will not provide the fibre, but will provide the duct for it. Now ducting is estimated to be 80% to 85% of the cost of fibre deployment (off memory) and a lot of people say that it is only the ducting that needs to be open access.

Service providers would fund the actual fibre connection to the premises.

Telecom also offer some hints that they could be willing to sell off some or all of Chorus (which would make their proposal extremely attractive). They say they are open to “alternative partnership models”.

Really pleased to see Telecom put forward constructive and viable proposals. It will be fascinating to see who else steps up to the plate.

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