Martin Carroll, DMTS - Verizon martin.carroll@verizon.com Joint ITU/IEEE Workshop on Ethernet - Emerging Applications and Technologies FTTx Access in North America, Europe, and Other Regions – Status and Perspectives Martin Carroll, DMTS - Verizon martin.carroll@verizon.com Geneva, Switzerland, 22 September 2012

FTTx in Middle East, other regions Outline FTTx in North America Verizon Other deployments FTTx in Europe FT Vodafone FTTx in Middle East, other regions Etisalat Geneva, 22 September 2012

FTTx in North America Geneva, 22 September 2012

FTTH Accelerating in North America Geneva, 22 September 2012

Percent FTTH Connections by Country 930 North American, 880 U.S. providers 97% U.S. providers have < 10K FTTH connections Geneva, 22 September 2012

Verizon: Global Leader Headquartered in NYC Largest U.S. wireless company, with 107.8M total connections Largest 3G & 4G LTE networks in the U.S. Global IP network reaches customers in > 150 countries Over 485,000 route miles First to deploy commercial 100Gb/s ultra-long-haul optical system Average 1 billion calls daily Leading FTTP deployment in North America Advanced foundational platforms Geneva, 22 September 2012

(Sales/Premises marketed) FiOS Deployment FiOS Service is available in 12 States & Washington, DC FiOS Internet Launched 2004 Up to 300Mb/s down & 65Mbps up 1Gb/s trials successful FiOS Video/TV Launched 2005 130 HD & 530 SD channels Initial deployment BPON GPON introduced 2007 XG-PON trials successful Over 17M premises passed 2004 2012 FiOS Growth Stats as of 1H2012 Customers Net adds in 2Q2012 Penetration (Sales/Premises marketed) FiOS Internet 5.1M 134,000 36.6% FiOS TV 4.5M 120,000 32.9% Geneva, 22 September 2012

FiOS Architecture Data path used for VoD and IPTV Up to 1x32 splitter WDM replaced with 2x2 splitter for 1:64 split MoCA for in-home distribution Video overlay Geneva, 22 September 2012

Successful XG-PON1 Trials Broad-cast Video Home Network Central Office Router EDFA Class 5 Switch STB GPON ONT PSTN Cat 5 GPON OLT Coax Gateway Router 1x2 Splitter Test Cart XG-PON1 ONT Internet / VOD STB Converter XGPON1 OLT STB Router WDM1r IP Test Set Splitter Test PC Test PC FDF FDH IP Test Set Huawei XG-PON1 overlaid on Motorola GPON WDM1r integrates GPON & XG-PON wavelengths Successfully demonstrated: 10G down x 2.5G up capable; 1 Gig home network Coexistence of XG-PON & GPON Geneva, 22 September 2012

XG-PON2 Proven XG-PON2 Symmetric 10Gb/s Downstream and Upstream Used existing ODN in Taunton, Massachusetts Alcatel-Lucent equipment Viability demonstrated 10Gb/s upstream channel viable, could be basis for NG-PON2 Support greater upstream bandwidth for adoption on a mass scale of new and emerging business and residential applications Geneva, 22 September 2012

Residential Drivers Need for SPEED Competitive advantage Bandwidth Growth Need for SPEED Consumer speeds increasing at 6-10x every 6 years Throughputs in excess of 1Gbps are expected by 2015 Competitive advantage New services/technologies Gain operational savings via copper replacement Central office consolidation Source: Cisco Downloading HD & 3D video content UGC Sharing Multi-location 3D HD video conferencing Larger screens require higher resolution Geneva, 22 September 2012

Central Office Consolidation Opportunity PON Reach at 20km allows Number of COs to reduce to 58 273 COs 30-40km PON distance appears ideal balance between cost and technology PON Reach is 30km allows Number of COs to reduce to 29 Geneva, 22 September 2012

Business Drivers Ethernet Services Wireless Backhaul Optical Services SES (Switched Ethernet Service) Point to Point or Multipoint Ethernet service 10M, 100M, and GigE UNI options EPL (Ethernet Private Line) Wireless Backhaul Microcell site support Distributed eNodeB CPRI backhaul Macrocell Ethernet backhaul Optical Services OWS (Optical Wavelength Services) Dedicated wavelength – 10G or 40G Point to point service Various client side handoffs, e.g., Ethernet, SONET, FC etc. OTN (OTU1 – OTU3) SONET (OC3-OC192) EDSR (Enhanced Dedicated SONET Ring) Dedicated fiber in the access loop Services currently supported over GPON will be expanded and enhanced with Verizon’s 3rd Generation PON driving economies of scale Geneva, 22 September 2012

Access PON Evolution Vz’s 3rd Generation PON G-PON GPON B-PON Common platform to support residential and business services Deployable within existing infrastructure Splitter based FTTP architecture Connectorized system RF overlay Coexist with GPON Protection and resiliency options Demonstrated multi-vendor plug-an-play interoperability between OLT and ONU’s Fully deployable by 2015 G-PON GPON G-PON Current Deployment Rates up to 400 Mbps Limited Business Circuits OTT Video Improved Economies of Scale: 1:64 Splits B-PON B-PON Initial Deployment Rates to 30 Mpbs Consumer/Small Business Market 1:32 Splits Geneva, 22 September 2012

3rd Gen Candidates NG-PON2 is “best-fit” for Verizon XG-PON1 NG-PON2 System Rate 10/2.5 Gb/s 40/10 Gb/s Subscriber Rates (up to) 2.5 Gb/s Symmetrical 10 Gb/s Symmetrical Standards ITU-T G.987 series Developing ITU-T G.989 series Coexistence with G-PON Demonstrated on Verizon infrastructure To Be Standardized Interoperability Current activity in FSAN & BBF VIF, ITU, FSAN, & BBF Migration Required Availability 2011 Target 2015 ONTs Being Deployed G-PON XG-PON1 NG-PON2 B-PON 2004 2007 2011 2015 2020 NG-PON2 is “best-fit” for Verizon Focus Standards and Interoperability development to meet the timeline Geneva, 22 September 2012

Other FTTx Deployments AT&T, CenturyLink have significant FTTC/FTTP deployments Chattanooga public utility (EPB) offered gigabit FTTH for 3 years Google Fiber to launch 1Gb/s in Kansas City “fiberhoods” in October GigU to deliver 1Gb/s drops in areas around universities Google “Fiberhood” Geneva, 22 September 2012

FTTx in Europe Geneva, 22 September 2012

FTTx in 2012 for France Geneva, 22 September 2012

Conquest 2015 Geneva, 22 September 2012

Geneva, 22 September 2012

Portugal As of September 2012, Vodafone has over 35,000 customers on FTTH access. Alface project has been running commercially since September 2010, Libra project has been running commercially since March 2011 Since September 2012, we have 476,000 homes passed. FTTH GPON is the technology used, with analogue/digital video overlay. Geneva, 22 September 2012

Capacity FTTH deployments offer much higher bit rates to customer. Vodafone Portugal base offer is 50/5 Mb/s, with Internet Profiles up to 400/40 Mb/s to Residential subscribers. About 80% of our installed base subscribe to IPTV services. On-demand TV service (RestartTV) has increased the overall backhaul traffic and traffic per user. Some copper deployment is not suitable to deploy these bit-rate demanding services as VDSL2 is not viable Geneva, 22 September 2012

Interoperability OLT vendors already offer integrated gateways, but with few functionalities - today these gateways can’t replace the already deployed CPE + L2 ONT, they are expensive and they can’t work in a multi-vendor environment. Vodafone’s goal is to have an integrated Home Gateway (similar to DSL) that can interoperate in a multi-vendor environment. This will reduce acquisition and retention costs, the amount of equipment installed in customer premises and simplify logistics. Geneva, 22 September 2012

Other European Projects Vodafone Germany has two FTTC trials under way in the cities of Wuerzburg and Heilbronn. Vodafone Italy is starting a project to deliver FTTH services with GPON technologies in Milan by using the Metroweb fiber network Geneva, 22 September 2012

FTTx in the Middle East, Other Regions Geneva, 22 September 2012

Geneva, 22 September 2012

Geneva, 22 September 2012

Geneva, 22 September 2012

Geneva, 22 September 2012

Geneva, 22 September 2012

Geneva, 22 September 2012

Geneva, 22 September 2012

Geneva, 22 September 2012

Geneva, 22 September 2012

African Projects Vodafone Ghana is deploying FTTC for increasing data rate to customers by using GPON as technology for backhauling street cabinet DSLAMs Vodacom South Africa is staring a project for delivering FTTH services to business and high spending residential customers using GPON technology Geneva, 22 September 2012

Australia and New Zealand In Australia, NBN Co will deploy 181,000 km of GPON network, and 57,000 km of transit backhaul. Aerial drop fibre to be used for 25% of households Provides a bitstream service with equal service terms to all ISPs, including Telstra, which will lose control of the copper. High interest in an open PON solution to overlap to their initial GPON in order to give ISP freedom to install their own OLT at the Central Office In New Zealand, the government is deploying a NZ$1.5 billion UFB (Ultra Fast Broadband Initiative) access fibre network through Crown Fibre Holdings (CFH). FTTH to be available to 75% (800,000 homes and businesses ) of the New Zealand market by 2019 Vodafone New Zealand will buy Layer 2 products from the LFCs to deliver FTTH in the retail market. GPON for residential and point to point for large businesses. 100Mbps down and 50Mbps up. Geneva, 22 September 2012

THANKS! Geneva, 22 September 2012