Orcon, Compass, Slingshot sharing unbundled exchanges

Forums › New Zealand Broadband › Orcon, Compass, Slingshot sharing unbundled exchanges

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WorldxChange

#334366 25-May-2010 10:26

Telecoms Stratergy is / was to do exactly that (imho) , moving to an full IP NGN Telco would enable it to greatly reduce exchanges and the overheads in fixed costs that go with that, this was one of the arguments around LLU as well , would telecom be held to maintaining Exchanges whne it didn't need to for LLU providers to get the ROI if it was collapsing services to IP Core which could be served at a lot less exchange areas... the savings would be huge for them.

They do need the platforms to deliver the services on though and this includes Fixed line replacement (this si the big one) which we do not see a replacemnet for yet, this is starting to be discussed by a few people as well as Telecom had commitments to moving a number of customers to an IP service.

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sbiddle

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#334376 25-May-2010 10:46

Zeon: Why don't they just sell the Exchanges? The land is worth a lot and the last 20% could just be run from cabinets too?

If we moved forward 10 years and lived in the exact same regulatory environment we did now this would make perfect sence. Telecom would have their NGN core network and voice replacement in place so once the NEAX's went many exchanges would be nothing but a big cabinet. My understanding originally was that they did have plans to scrap a large number of exchanges in the future.

In the meantime however the exchange buildings are still required for voice until people are moved off the NEAX's

old3eyes

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#334459 25-May-2010 12:45

Zeon: Why don't they just sell the Exchanges? The land is worth a lot and the last 20% could just be run from cabinets too?

What are you going to replace them with? The NGN is still a long way off ..

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#334551 25-May-2010 14:57

old3eyes:
Zeon: Why don't they just sell the Exchanges? The land is worth a lot and the last 20% could just be run from cabinets too?

What are you going to replace them with? The NGN is still a long way off ..

NGN is already here, and has been for quite some time - just not with Telecom

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old3eyes

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#334552 25-May-2010 15:01

coffeebaron:
old3eyes:
Zeon: Why don't they just sell the Exchanges? The land is worth a lot and the last 20% could just be run from cabinets too?

What are you going to replace them with? The NGN is still a long way off ..

NGN is already here, and has been for quite some time - just not with Telecom

So once again. What are you going to replace these Telecom exchanges with??

Regards,

Old3eyes

Zeon

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#334556 25-May-2010 15:04

Move customers accross to voice circuits being delivered from the cabinets. I'm sure there must be line cards which can provide both DSL and POTS or only POTS. Haven't Telecom already have the systems for this in place with the VOIP requirements they have of 17k lines? Orcon already do it?

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cyril7

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#334558 25-May-2010 15:06

So once again. What are you going to replace these Telecom exchanges with??

Are you referring to the physical buildings, or NEAX's, if its the latter then I understand the IPCore has been in existance for quite sometime and the street front is direct IP-PBX interconnect or ISAM-V linecards or RGW.

If the buildings, I think Telecom said a couple of years back that the buildings would stay as copper centres for quite sometime yet, doubt they will ever go away, maybe shrink a little.

I presume Coffeebaron is referring to other Telcos NGN's, ie Telstra, Orcon etal run softswitchs for their various networks.

Cyril

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#334573 25-May-2010 15:25

cyril7:I presume Coffeebaron is referring to other Telcos NGN's, ie Telstra, Orcon etal run softswitchs for their various networks.

Cyril

Yea, more a slightly sarcastic remark. Basically any provider, who supplies a combined naked DSL & VoIP solution, is effectively providing NGN.

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willnz

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#334606 25-May-2010 16:19

Zeon: Why don't they just sell the Exchanges? The land is worth a lot and the last 20% could just be run from cabinets too?

Cabinets cost money too. I have no idea what the ratio is of how many cabinets would be required to replace an entire exchange, but I'd say it's probably upwards of 15.

Building cabinets, obtaining and paying for consents, putting the equipment in, extra maintenance costs, extra security costs (might we see more acts of vandalism like the one that caused a significant loss of services in Auckland a couple of weeks ago?) - it all adds up.

Sure there'll almost certainly be a surplus if they moved to a fully cabinetised network, but cabinets are by no means free.

cyril7

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#334609 25-May-2010 16:21

Building cabinets, obtaining and paying for consents, putting the equipment in, extra maintenance costs, extra security costs (might we see more acts of vandalism like the one that caused a significant loss of services in Auckland a couple of weeks ago?) - it all adds up.

And it means you have to sit in your truck to read the paper and eat your sammys.

Cyril

willnz

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#334611 25-May-2010 16:24

cyril7: And it means you have to sit in your truck to read the paper and eat your sammys.

I'd rather do that than sit inside the Ponsonby exchange doing so :D

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#334649 25-May-2010 17:20

sbiddle: I just don't see the point of this announcement. The vast majority of customers in NZ are going to be fed via FTTN cabinets by the end of 2011. Installing gear in exchanges seems a pointless exercise.

1. It shows people the small fish are doing something. They are combining their ponds, in the hope of selling out faster
2. LLU is here, the SP's have propositions, and if you ring and call, you can get a connection today.
3. FTTN - so what? The node needs to be capable of using it - you're presuming an awful lot about how quickly the little guys are going to move and create new products. Remember... the industry rushed to spend a sh*tload of money on LLU, and has seen bugger all return on investment. First mover's need deep pockets and understanding management...
4. Cheap publicity...

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#334664 25-May-2010 17:51

antoniosk:
sbiddle: I just don't see the point of this announcement. The vast majority of customers in NZ are going to be fed via FTTN cabinets by the end of 2011. Installing gear in exchanges seems a pointless exercise.

1. It shows people the small fish are doing something. They are combining their ponds, in the hope of selling out faster
2. LLU is here, the SP's have propositions, and if you ring and call, you can get a connection today.
3. FTTN - so what? The node needs to be capable of using it - you're presuming an awful lot about how quickly the little guys are going to move and create new products. Remember... the industry rushed to spend a sh*tload of money on LLU, and has seen bugger all return on investment. First mover's need deep pockets and understanding management...
4. Cheap publicity...

I agree - it is fantastic seeing some of the medium tier ISP's joining together to pool resources in such a way so as to offer their customers across the company more choice! Well done to Orcon, Slingshot and Compas.

Ragnor

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#334703 25-May-2010 18:58

Here is a question, (more of a FTTH question) given the range of Fibre is 20KM (as I understand it, before needing repeaters) couldn't most households be served from a smaller number of exchanges (20KM exchange areas) with there being no actual need for cabinets in the future?

willnz

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#334705 25-May-2010 19:01

Then they'd need to replace 20km of cable if something went wrong with it

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