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FAST can be a big win for Fairpoint, please read...
FAST (Fiber Access Speed Technology), basically Fairpoint's equivalent of Verizon's FIOS for the areas of Vermont, New Hampshire & Maine can grow and work well.
One big issue is very weak expected profitability from distant customers to many of them being seasonal. This weighed against the cost of running in fiber that would be able to withstand winter snow, ice and cold. 1 possibility is twining steal cable around the fiber cable(s) with slack & reinforcing it to the poles.
Anyway.. the following is a brief example and should serve as an example for other smaller companies (such as Quest and Embarq), even AT&T & Verizon in areas difficult to turn a profit.
Here is the how it would could work in detail.. »Re: Fairpoint can do fiber in Vermont and here is how...
1. Request a franchise in at least 1 (or more) town(s) in Vermont, NH & Maine. --already done, see article, here..
»FairPoint Rebrands Service as Cutover Date Nears
2. Build a VHO (Video Head End) to distribute the video in the area.
3. Apply for franchises in other areas but to where Fairpoint wouldn't have to pay anything until they offer the video service in that given area.
4. Advertise that Fairpoint FAST technology is now available in different areas within New England and a new program can bring it to their neighborhood sooner, maybe called, the fiber enrichment program. A program where they would buy the fiber up front through Fairpoint, then exchange it to Fairpoint for free alternate months of service. The more services bought, the cheaper it would be. Customers would further be advised that they can sign up for an area to where Fairpoint dosen't have a video franchise but until they do, the customer would only get FAST phone and internet.
5. They would be directed to a website where they can sign up, as Fairpoint agrees to service an area. Signup can be done between the customer, the bank & Fairpoint either via mail or electronically, upon successful processing and Fairpoint getting the funds, they would install FAST service to that customer.
Fiber is the solution, with 2160p likely less than 10 years away and a growing hunger for speed & a series of new features not even thought of that will require a speedy network to implement, you have to start building tomarrow's network now. Please, please make this happen, thanks.
I applaud your innovative approach to thinking about accelerating First-Mile fiber deployment.
Not sure how receptive folks will be to upfront funding of the rollout. It will require extensive market research. My understanding costs Verizon between $1500-2000 per home to wire up a neighborhood and install customer ONT.
A two-year payback means customer would need to pay $60-90 per month. There would have to be strong contract language as to what customer was paying for and what happens over time. This money would need to be financed. It is unlikely most folks would be willing to pay the entire amount up front. Since these would be secured loans, even in today's climate, obtaining funding should not be a serious problem.
My guess is the initial take rate will be low. So FairPoint will still need substantial investment capital to roll out fiber network. Capital markets have been rather harsh about Verizon's investment in fiber. My guess in a few years, once the wisdom of that investment becomes obvious, it will make it much easier for other Telco's to follow suit.
Given the short-term emphasis on extending coverage of DSL I think it unlikely FairPoint will have technical/marketing resources or access to capital necessary for aggressive deployment of fiber.
mouseferatuToo many cats, Too many micePremium,MVM
Im not sure
|reply to jsm1234 |
I just spent several days, again, with my current fiber HSI and, ultimately, phones malfunctioning.
This is becoming a pattern here, in an area that ran without a hitch for a long while.
Respectfully, I think that your ideas are innovative and far-reaching, but find it hard to see FairPoint able to follow through with much at this point.
I would feel differently if FairPoint could get their act together for any reasonable period of time with the fiber network that they already have established...
"Do not meddle in the affairs of dragons, for thou art crispy and good with catsup."
Your current fiber HSI and, ultimately, phones, are still running on Verizon systems and operated by exactly the same people as it was in 2007.
FairPoint doesn't move off the Verizon OSS systems until at least January 2009.