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Unlocking Broadband Opportunities for Tier 3 Telcos: Strategies and Insights

In an era where broadband connectivity is critical, Tier 3 telecom providers have unique opportunities to leverage existing infrastructures and technical skills. This presentation by Doug Wilson Engineering Associates delves into generating new revenue streams by becoming trusted Ethernet providers for local businesses and government entities. Over two years of discussions reveal pivotal insights into market dynamics and customer needs. We explore effective tools, marketing strategies, and technological considerations to enhance service offerings, address growing bandwidth demands, and cultivate robust community connections.

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Unlocking Broadband Opportunities for Tier 3 Telcos: Strategies and Insights

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  1. Metro Networks Doug Wilson Engineering Associates, Inc. dwilson@engineeringassociates.com

  2. Overview • “Business” Broadband is the Opprotunity • Emphasis-Opportunities Tier 3 Telcos • Results of Discussions over two years A. Observations of “Others” Activities B. Respect Confidentiality • Generate New Revenue exiting skill sets & infrastructure w/o betting the Farm

  3. PresentationOverview, Cont. Primary Focus • Tools to win race to be Broadband Provider for your customers & community • Ethernet Provider for: • Local Businesses • Local and County Governments • Company Ramifications • Liberally Plagiarized • Service Provider Web Sites • Vendors • Calix/BIT- Frank Weiner • Others- CISCO, etc.

  4. The Story of Ethernet

  5. You know, I’m not sure if this Ethernet will ever be used in an IOC market…..

  6. Ethernet IOC market opportunities one year later…..

  7. Take Advantage of: • Existing Physical Infrastructure • Organizational Infrastructure • Technical Skills • TDM/ Ethernet Skills • Marketing Skills • Business/Government Needs • Broadband Connectivity Needs Exploding • CISCO says 46%/Yr. • Internet Concerns of Businesses Security-Bandwidth • Data Connectivity Becoming Mission Critical • Wireless Backhaul Opportunities Exploding

  8. ExistingTelcoInfrastructure • Need Trusted Provider/Partner • Local Presence • Financial Integrity • Single Source • US Wholesale Ethernet Service revenues of $595 million in 2009 with estimates of $1.5 billion in 2014 - Frost & Sullivan

  9. HistoricalConsiderationsof Independent Telco’s • Existing TDM/ Sonet Networks • Some Core Ethernet? • xDSL/FTTP? • Technology Cycle Accelerating • Historically 3/5 years • Recently 1 ½ years • Price Decreases- Ethernet Carrier Grade Data Products • “Business Services” less price sensitive than residential services & less competition

  10. DS1 DS3 ‘limited” IP OCx • Existing TDM platform • Very Reliable & Secure • Best option for ‘Specials” • Limited for IP bandwidth • High cost optics • Expansion expensive • Not Efficient • Supports Ethernet TRANSPORT SONET NETWORK TRANSPORT TRANSPORT BLC POTS xDSL FTTH DS1 TRANSPORT DS1 DS3 ‘limited” IP OCx

  11. IP - 10/100 Mb IP - 1Gb ‘limited’ DS1 • Ethernt/IP platform • Can Be Very reliable • Poor option for ‘Specials” • Provides very high IP bandwidth • Very low cost optics • Expansion inexpensive • Very Efficient • It’s here TRANSPORT ETHERNET NETWORK TRANSPORT TRANSPORT BLC POTS xDSL FTTH ‘limited’ DS1 TRANSPORT IP - 10/100 Mb IP - 1Gb ‘limited’ DS1

  12. Business/Government Concerns • New Inter Net Based Applications Developing • Internet Not Secure or Reliable • Initial Bandwidth requirements • How to handle Growth? • Point-Point & Point- Multipoint requirements • In Area & Out of Area- Networking • Goal/Support – Connection to “Enterprise Systems”

  13. Managed/MetroEthernet-Solution • Virtual Configuration • VLAN/VPN Control creates “circuit” • Flexible & Reconfigurable • Easy Update/Modify • Relatively Economical • Not Disruptive Technology for Infrastructure or staff

  14. TakesAdvantageOf Your • Existing Infrastructure • SONET? • FTTP/xDSL? • Fiber • Existing Organization • Local Presence • Establishes Broadband Relationships

  15. Getting Started • Define Opportunity- Customers • Identify Potential Customers • Define Their Requirements • Learn “Dataese” • Identify Network & Operating Systems Upgrades- Don’t Over Analyze- • Negotiate Inter Connection Arrangements – If Necessary • Develop Marketing & Pricing Plan • MARKET • Implement & Perform- Monitor • Publicize & Repeat

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