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Communications TrendsAccess Bandwidth Consumption
Infonetics, Alcatel-Lucent
3G
4G
2/2.5G
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5 10 15 20 250 100510152025100Mbps
File Sharing, Home Video Sharing/Streaming
Multi-Player Gaming, Interactive Distance Learning
Large File Sharing; P2PHDTV VOD
Next Gen HDTV
Video Conferencing, Premises Surveillance
Telemedicine
SDTV VOD, Telecommuting
Premises Web Hosting
Next Gen 3DTV
Applications and Media Bandwidth
Web Surfing
Real Time SDTV, Network PVR
FTTPHFCVDSL2
ADSL2+ADSL
Dial-Up
1000
Upstream Downstream
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Fiber to the Premises
OLT(Optical
LineTerminal)
ONT(Optical Network
Terminal)
Central Office
Customer Premises
Video RF QAM
Data
Voice
1x32
Optical Splitter
Optical Couplers (WDM)
DownstreamUpstream
Voice, Data & VOD@ 622 Mbps (BPON)@ 2.5 Gbps (GPON)
Broadcast Video(860 MHz equiv.)
Voice and Data@ 155 Mbps (BPON)@ 1.2 Gbps (GPON)
Services & Bandwidth
1310 nm 1490 nm 1550 nm
VOD
EDFA Optical Amplifier
Future-Proof Outside Plant• Passive• Glass• Terabits of Capacity
Fiber Distribution Hub (FDH)
IP
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CircuitSwitch
FTTP Deployment
SplitterHub
Overlay Build ONTONT
ONTONT
ONT
Green Field Build
ONT
ONT
ONT
ONT
ONT
ONT
OLT
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FTTP Architectures for Multi Dwelling Units
Broadcast Video over CoaxInteractive Video and Data over VDSL or Ethernet
“Common” ONT
BasementOr Floor
FDH
Fiber to the Living Unit
SFUONT
SFUONT
SFUONT
SFUONT
FDH
Fiber CableVDSL/Cat3Coax Cable
LEGEND
Optical Splitter
Fiber to the Building
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The Verizon Digital Home
CMSCustomer Premises Management
System
BroadbandHome Router(BHR)
Three Key VZ Investments:BHR (Broadband Home Router): Robust network
MoCA (Multimedia over Coax Alliance): Inexpensive installation; operates in 50 MHz channels between 875-1525 MHz.
CMS: Remote management and configuration through standard protocol.
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Enabling Technologies
• Digital Signal Processors (DSP)• Semiconductor Lasers• Erbium Doped Fiber Amplifiers (EDFA)• Passive Optical Components (WDM combiners, splitters, connectors)• Bend Insensitive Optical Fiber• Battery Technology
1995
2005
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Business Rationale
Construction Cost to Pass
Construction Cost to Connect
ONT Cost
Allocated OLT Cost
Capital Cost Structure of FTTH
Some copper distribution areas require labor intensive rehabOutside plant active electronics have very high maintenance costsAerial outside plant is less expensive to build than buried facilitiesContinuous Internet traffic growth of ~50% per year
Total Costto Pass
Total Cost toConnect
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Total Cost of Ownership Savings
ONT
Optical Splitter
POTS,Data & Video
SplitterCabinet
FiberTerminal
CentralOffice
FTTH EndFTTH End--toto--End Savings totals End Savings totals 67%67%
F1 Fiber Cable F2 Fiber Cable
POTS
CentralOffice
F1 Fiber Cable
Splitter
POTS, Data & Video
Modem
Copper Cross Box
DSLAM
SAI Node
A
Power
Data & Video
F1 Copper CableF2 Copper Cable
Fiber-to-the-Node
Fiber-to-the-Home
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FTTP Maintenance Costs Savings
Fewer Reported Troubles in the Outside Plant (F1 & F2)– The POTS & DSL Outside Plant NRR is more than 5 times higher than FiOS
Voice & Data
When Troubles are Reported, dispatches occur less often– DSL & POTS Average daily dispatched load rate is almost 2 times higher
than FiOS
– FTTP network detects troubles and self heals
NRR Outside Plant 2005 YTDCombined DSL + POTS 1.05
FiOS NRR - All 0.20
Dispatch Out Rate 2005 YTDDSL & POTS 0.17%
FiOS Voice & Data 0.09%
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Deployment Status of FiOS (3Q09)
02468
1012141618
EOY2010Target Homes
Passed
3Q09 HomesPassed
TV Subscribers InternetSubscribers
(Millions)
25% 28.5%
Penetration of homes open for sale
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FiOS Architecture Today
IP Network/Internet
MediumHaul
Network
LongHaul
Network
BroadcastLAN
EdgeRouter
VoIP Softswitch
IP QAM& EDFA
Video Cache
VHO(VideoHub
Office)
SHE(SuperHeadEnd)
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FiOS Architecture Future
IP Network/Internet
MediumHaul
Network
LongHaul
Network
BroadcastLAN
VHO(VideoHub
Office)
SHE(SuperHeadEnd)
EdgeRouter
Video Cache
Video Cache
IMS
NG-PON10Gbps Up & Down
IP Multimedia Subsystem
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IP + Linear Broadcast
Set-Top Box merges IP channel with TV channel to create hybrid interactive experience.
FiOS TV Widgets are small, Internet-enabled applications that run on a FiOS TV Set-Top Box. Widgets are written using the LUA scripting language.
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Emerging Advertising Opportunities
Dynamic VOD Ads – Dynamically served pre and post-roll ads accompanying Free VOD content
Interactive TV Ads – EBIF-enabled nationally broadcasted TV ads with interactive capabilities
Hyper-Local Geo-targeted Ads –zip code + 4 with better than the 60% accuracy of IP advertising
Sponsored Widgets – Verizon Developer Network to ‘skin’ widgets
Example: Philadelphia
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IMS‐CentricServices Execution
A Platform for Innovation
Services Management
Content Management
ServiceCreation
Developers(Ring 1, 2, 3)
Enablers
App’sAPI’s
Content Providers
Example Enablers
FiOS Broadband + Open Platform + Enablers = Delivering Innovation to Customers
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VZ Home Network
HDD recorder
WebCamera
PC
GameConsoles
PersonalStorage
TV / STB
VZ VASPortal
InternetVZ Home Gateway (BHR)
Health careHealth care
Home SecurityHome Security
Media SharingMedia SharingEnergy MgmtEnergy Mgmt
File BackupFile Backup
NASNAS
VZ ConnectVZ Connect
PIMPIM
DECT/VoIPDECT/VoIP
Collaborative Intelligence
IMS-EnabledVerizonNetwork
Operating System
IMS Stack
Java VM (OSGi)
Mobile Linux (LiMo)
r
Java VM (J2ME)
Mobile Handset
FiOS
EvDO, 4G
Mobile Linux (LiMo)
r
Java VM (J2ME)
Network
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Service Genres Communications
Media Access (Including Internet TV/Radio)
Media Sharing
Home / Business Security
Home Automation
Your Companies will Shape the Services
Utility Services
Distribution/Delivery Logistics
Advertising
Gaming
N-Screen
Telemedicine
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Summary
• Fiber to the Home is the only technology to meet near term and long term fixed bandwidth demands without additional outside plant investment.
• We are evolving FiOS to continually enhance the user experience (bandwidth, video content choice and quality, services)
• We are opening our networks to accelerate service innovation