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| Decision making process for FiOS deployment I recall being told by a Verizon engineer that the primary factors involved in FiOS deployment are:
1) Age of old copper plant/ IOW, how soon will the copper plant require complete replacement. If an area had its most recent copper plant upgrade 10 years ago and another area had it copper plant upgrade 30 years ago. The 30 year old upgrade takes precedent as Verizon does not want to deploy new copper cable and then end up placing Fiber Optic cable within a couple of years. Basically copper depreciation plays a role.
2) Feasibility of buildout/cost to build. Areas with higher ratio of aerial plant vs buried/mdu plant are easier to deploy and cost per homes passed is much lower. Population density also is a factor as the more homes passed per mile, the cheaper it is to deploy
3) Franchise negotiations/HOA/Permits/Taxes (basically town/city nuisances)
4) Expected ROI. Typically areas where there are a higher number of DSL subscribers will be more likely to migrate to FiOS versus areas that have lower DSL adoption rates. Obviously ratio of nonpaying/credit risk customers affects return on investment. You could have 1000 customers who want FiOS but only 10 of them will pay their bill on time...maybe not so smart of an investment.
A lot of factors go into Verizon determining where to deploy and I believe they weigh all of these factors together and then determine where it would make the most sense to deploy. FiOS is a big gamble for Verizon that can make or break them. As said by other posters if Baltimore wants FiOS that badly, they need to give Verizon incentive to deploy. Perhaps if the city could guarantee Verizon would get instant 40% market share and timely paying customers I'm sure Verizon's engineers will have Baltimore on the drawing board tomorrow, and Verizon's trucks will be stringing up fiber next month.  | |
patcat88
join:2002-04-05
Jamaica, NY
kudos:1 | said by waiting4fios:I recall being told by a Verizon engineer that the primary factors involved in FiOS deployment are: 1) Age of old copper plant/ IOW, how soon will the copper plant require complete replacement. If an area had its most recent copper plant upgrade 10 years ago and another area had it copper plant upgrade 30 years ago. The 30 year old upgrade takes precedent as Verizon does not want to deploy new copper cable and then end up placing Fiber Optic cable within a couple of years. Basically copper depreciation plays a role. The cable has to be upgraded anyways. How low can you go % wise with working pairs in the cable? CLECs, grandmas, security alarms, T1s, all want and will have copper. | |
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