Regional Holding Companies' Fiber Deployment Strategies: A Comparison

Strategic Insights -

Among the regional holding companies (RHCs) that operate in the United States, a notable trend is emerging as they contemplate the future of fiber deployment in the local loop. While some RHCs have made significant investments in fiber-to-the-home (FTTH) architecture, others are opting for fiber-coax hybrid networks. This article provides an overview of the strategies employed by the major RHCs, highlighting their distinct approaches and timeline for full-scale fiber deployment.

Key Takeaways:

  • BellSouth has not committed to fiber-coax architecture, instead exploring fiber-fiber and fiber-copper networks, and is approximately two years away from full-scale fiber deployment in the local loop.
  • Nynex has not ruled out any architecture but currently considers fiber-coax networks, and is investing $500 million to install 330,000 fiber optic-based broadband lines over the next several years.
  • Pacific Bell has publicly committed to a fiber-coax plan, aiming to build a hybrid network as part of a $16 billion upgrade, and has begun construction in select regions.
  • Southwestern Bell's plans for deploying fiber to the pedestal and using local powering have been hindered by inclement weather, and the company is evaluating fiber coax networks.
  • U S West is leading a large fiber-coax project in Omaha, Neb., serving 10,000 homes in a technical trial and 60,000 homes in a market trial, examining various technical applications.

Statistics:

  • BellSouth is approximately two years away from full-scale fiber deployment in the local loop.
  • Nynex is investing $500 million to install 330,000 fiber optic-based broadband lines over the next several years.
  • Pacific Bell is undertaking a $16 billion upgrade, including the deployment of a hybrid fiber-coax network.
  • Southwestern Bell has conducted three FITL trials, two of which extended fiber lacing to the curb and the home.
  • U S West's FITL project in Omaha, Neb., serves 10,000 homes in a technical trial and 60,000 homes in a market trial.

Sources:

  • FIBER OPTICS NEWS (FON), May 23, pp. 3, 6-7
  • Karen Roughton, BellSouth, 404/330-0188
  • Tom Jurus, Nynex, 212/395-2368
  • Linda Ruggieri, Nynex, 914/644-5137
  • Keith Cambron, Pacific Bell, 510/806-5770
  • Gaspare Lovasco, Pacific Bell, n/a
  • George Kubes, Southwestern Bell, 314/235-2859
  • Cathy Fowler, U S West Inc., 303/793-6509
  • George Oehlerking, U S West, 303/896-7242