Wednesday, 1 July 2009

France Telecom threatens to stop fibre rollout?

So France Telecom may stop rolling out fibre after all the progress in NGA that has happened over the last couple of years. If this really did happen, it would be a shame.

The French business daily Les Echos reported yesterday that FT had threatened to stop rolling out fibre due to last week's decision by regulator ARCEP that multiple fibres must be deployed to buildings in certain cities, rather than the single fibre alternative FT prefers. For obvious reasons, the monofibre solution suits FT, being cheaper than multiple fibres, and also giving it more control. Needless to say, alternative operators were delighted with this decision.

It's unlikely that much cost will be added by the multiple fibre approach, and should it help prevent a lot of arguments between operators in the future.

It's also unlikely at the end of the day that FT really will stop rolling out fibre.

Regulators and Governments are paranoid that operators will fail to roll out NGA, because it would be damaging to their respective countries. Operators naturally play to this paranoia to try to ensure they get their own way.

FT will resume rollout sooner or later, after the mindgames are complete. It would be commercial suicide not to.

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