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Topic # 237492 5-Jun-2018 10:54
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Just received:

 

 

Vocus Group and Vodafone have today announced a joint venture to unbundle New Zealand’s government-backed Ultra-Fast Broadband (UFB) fibre network.

 

Unbundling will allow Vocus, Vodafone and other RSPs to start providing telecommunications services over the UFB network, reducing their dependence on Chorus and other local fibre companies (LFCs).

 

Vocus and Vodafone say unbundling will accelerate broadband innovation and wholesale price competition by allowing greater investment in the technology that powers the tens of thousands of kilometres of fibre optic cables spread throughout New Zealand.

 

Allowing third parties access to the UFB network is the next step in the evolution of UFB, and will see New Zealand broadband speeds and quality skyrocket.

 

The recent select committee recommendation to confirm unbundling by 2020 means Vodafone and Vocus can finally proceed with their plans to launch new innovative fibre services for consumers and businesses from January 2020.     

 

The joint venture will involve scoping, designing and investing in unbundling the fibre local loops of the four local fibre companies (LFCs), with a view to providing wholesale fibre products to the retail market in competition with LFCs.

 

The companies have today issued an RFP to local fibre companies for ‘Layer One’ wholesale services and pricing.

 

Vodafone Chief Executive Russell Stanners said, “We are excited to work with Vocus on this project as it will result in faster innovation, more choice and competitive wholesale pricing for Kiwis. We don’t see any reason to delay now that the Government has given the green light for unbundling to get underway from 2020.

 

“After six years the four LFCs have delivered a small number of retail fibre products to consumers, compare that to unbundled markets like Singapore where retailers are able to fully customise their products to meet the needs of different consumers. This level of innovation and competition is what we want to see in New Zealand.”

 

Examples of these future fibre products could include retail plans with speeds up to 10Gbps (which is already happening in Singapore and Switzerland), low latency options for gamers, more ‘business class’ products for customers wanting premium service options, and more reliable throughput speeds generally.  

 

Vocus New Zealand Chief Executive Mark Callander said, “We have already seen the huge benefits of copper unbundling in New Zealand and it’s time now to turn our focus to fibre as markets overseas are already doing.

 

“Our brands Slingshot and Orcon invested heavily in copper unbundling, as did Vodafone, and it dramatically changed the broadband market in New Zealand. It bought real competition, innovation and price savings to Kiwi consumers. Unbundling fibre is exciting, and will bring about tangible change.

 

“Partnering with Vodafone is a natural fit for Vocus, bringing to the table their global fibre experience and capabilities to complement our leadership in unbundling fixed networks here and in Australia. The combined scale and market share we both bring will be a key enabler of the initiative.

 





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UHD

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  Reply # 2029784 5-Jun-2018 13:09
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Is this installing gear in Chorus, Enable, etc... roadside cabinets or in the exchange buildings?


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  Reply # 2029789 5-Jun-2018 13:17
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Because of the longer distances fibre can carry, the equipment will likely be in exchanges. Chorus has nearly all of their fibre access nodes in exchanges rather than roadside cabinets.


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  Reply # 2029799 5-Jun-2018 13:22
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UHD:

 

Is this installing gear in Chorus, Enable, etc... roadside cabinets or in the exchange buildings?

 

 

It may require new splitters in the roadside cabinets or not, depending on how they do the unbundling.


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  Reply # 2029808 5-Jun-2018 13:35
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Kinda feels a little early to be drumming up this tree.





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  Reply # 2029827 5-Jun-2018 13:45
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hio77:

Kinda feels a little early to be drumming up this tree.

 

 

I guess they have got to keep pressure on Chorus and their wholesale offerings.

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  Reply # 2029887 5-Jun-2018 16:01
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Wonder how they make it economical.

 

"However, with almost 16,000 fibre cabinets around New Zealand and each of those only able to handle 48 connections, the cost per cabinet deployment is harder to claw back than was the case with copper unbundling where 143 exchanges each housed up to 7,000 connections each"

 

Unbundling less likely

 

It looks like from article Spark against it saying it would disadvantage smaller ISP's

 

 

 

 


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  Reply # 2029900 5-Jun-2018 16:27
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If there is a need for innovation such as "gamer" or "business" offerings why aren't these already offered over their own HFC network?

 

If it's about reducing the price for customers (rather than merely profiting themselves) why aren't they offering lower prices where they have their own HFC network and are saving roughly between $40 and $50 per month that they don't need to pay Chorus or Enable?

 

 


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  Reply # 2029901 5-Jun-2018 16:27
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If Vodafone can manage the upgrade of the HFC network to FibreX architecture in Wellington and Christchurch I'm sure they can pull this off, in fact I am wondering whether there might be any shared infrastructure between unbundling UFB and FibreX in the field (splitters, cabinets)?

 

 

sbiddle:

If it's about reducing the price for customers (rather than merely profiting themselves) why aren't they offering lower prices where they have their own HFC network and are saving roughly between $40 and $50 per month that they don't need to pay Chorus or Enable?

 

 

You mean like Enable upping their entry level fibre in Christchurch to 200/20 to match FibreX?

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  Reply # 2029932 5-Jun-2018 17:42
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yitz:
hio77:

 

Kinda feels a little early to be drumming up this tree.

 

I guess they have got to keep pressure on Chorus and their wholesale offerings.

 

i forsee unbundling of fibre to be great at the start... and 10 years down the track be a hindrance for a new product or upgrade path.

 

 

 

like copper is now ;)





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  Reply # 2029938 5-Jun-2018 17:53
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yitz: If Vodafone can manage the upgrade of the HFC network to FibreX architecture in Wellington and Christchurch I'm sure they can pull this off, in fact I am wondering whether there might be any shared infrastructure between unbundling UFB and FibreX in the field (splitters, cabinets)?
sbiddle:

 

If it's about reducing the price for customers (rather than merely profiting themselves) why aren't they offering lower prices where they have their own HFC network and are saving roughly between $40 and $50 per month that they don't need to pay Chorus or Enable?

 

You mean like Enable upping their entry level fibre in Christchurch to 200/20 to match FibreX?

 

I think you mean CopperX


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  Reply # 2029949 5-Jun-2018 18:18
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I personally think Vodafone have far more important things they should be focussing on, than this.


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  Reply # 2030013 5-Jun-2018 18:55
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So long as they dont do the mess that was copper unbundling and let them cherrypick locations to put their own gear. Make it an all or nothing deal and they have to fit it to the non profitable areas too, rather than rely on chorus wholesaled product for those and only sticking their own kit in places that make them the most.

 

Shouldnt be up to chorus to subsidize the low density areas out of a pool of money that is shrinking because of unbundling in the high density profitable locations. Copper was a complete cockup with unbundling with them being allowed to pick the exchanges to do but leaving the lower density cabinets to chorus gear, so should not make the mistake again.





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