Light Reading

Carrier Ethernet Coming to FiOS

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
11/9/2012
50%
50%

NEW YORK -- Ethernet Expo 2012 -- Reach remains a key challenge for Ethernet wholesalers: one way Verizon Global Wholesale intends to overcome it is by tapping into the FiOS network, an executive stated here during a Thursday panel.

Verizon Communications Inc. (NYSE: VZ)'s FiOS network, which passes about 19 million homes along with millions of businesses, will give the wholesale unit a way to "dramatically extend the reach," said Brendan Gunn of Verizon Global Wholesale, a unit that sells services to a wide range of wireless, fixed line (CLEC and ILEC) and cable providers. "Leveraging the retail FiOS plant will take that [plan] to the next step," he added.

"For us, the challenge is reach," Gunn said, noting that FiOS-related activity is still in the test/project phase. When the idea gets rolling, he sees FiOS being built into the wholesale portal and perhaps "drive a different cost point" compared to its other offerings.

That strategy is coming into view as cable operators get more aggressive with their Ethernet strategies. Several MSOs are delivering Ethernet over fiber, but many already deliver those services on their hybrid fiber/coax (HFC) plant. Most of the coax-based deployments have been marketed as T1 replacements with symmetrical speeds of about 2Mbit/s, but cable is looking to improve the speeds and performance by delivering Ethernet services over their higher-capacity Docsis 3.0 infrastructures. (See TW Cable to Blend Ethernet With Docsis 3.0.)

Unlike the cable guys, the wholesale Ethernet providers represented on Thursday's panel -- Verizon, Zayo Group Inc. (NYSE: ZAYO) and Sidera Networks Inc. (formerly RCN Metro) -- aren't currently looking at copper as a way to expand their reach.

It's not because they are fiber snobs, per se, but because they view fiber as the platform that can keep up with the kind of bandwidth demands that their customers require.

Delivering Ethernet over copper presents "an attractive access method," but Verizon's preference is to work with partner companies that use fiber, Gunn said.

"The driver is where the [bandwidth] demands are going," said Sidera CTO Philip Olivero. "We feel that fiber is uniquely positioned to handle those kinds of bandwidths."

Zayo, meanwhile, doesn't have a copper infrastructure, so it's going to leverage what it has, which happens to be 68,500 route miles with 10,000 buildings on-net, noted Pam Moore, Zayo's VP of Ethernet services.

The small cell challenge
The explosion of smartphones and tablets has caused bandwidth demand to come from mobile devices rather than fixed positions, and is giving rise to small cell wireless networks that make capacity needs more difficult to predict. "Demand is going to move around, basically," said Olivero. "We'll have to plan for a dynamic environment."

Another challenge ahead for wholesale Ethernet providers is how to support small cells with an economic model that works.

Gunn said Verizon's seeing requests for proposals (RFPs) from carriers that want a low-latency product for about one-tenth the price they typically get charged for macro sites. Providing affordable connectivity to small cell sites "will be a big challenge with us going forward in the next three to six months," he said.

— Jeff Baumgartner, Site Editor, Light Reading Cable

(3)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
joanengebretson
50%
50%
joanengebretson,
User Rank: Light Beer
12/5/2012 | 5:17:53 PM
re: Carrier Ethernet Coming to FiOS


It's interesting to learn about Verizon tapping in to FiOS fiber ro support wholesale carrier Ethernet just a few days after AT&T's investment announcement. As part of that announcement, AT&T said it planned to tap into U-verse fiber to support small cells.


Wonder if Verizon will do the same with FiOS -- and if AT&T would consider a U-verse-supported carrier Ethernet wholesale offering like Verizon's.

steve q
50%
50%
steve q,
User Rank: Light Sabre
12/5/2012 | 5:17:50 PM
re: Carrier Ethernet Coming to FiOS


The only problem Verizon has is that there is still alot more of the cust on the copper network . If  Verizon trying to push them onto the fios network  they have to come out with a better plan.   Verizon Fios and Verizon Wireless should find a way work together so they can come up with a way to grp the amount of data speed and video as a large package in large neighorhood to off set the cost .

tmc8080
50%
50%
tmc8080,
User Rank: Light Bulb
12/5/2012 | 5:17:50 PM
re: Carrier Ethernet Coming to FiOS


This is Verizon wanting back into the business/wholesale markets, after lackluster performance with residential customers. They seem to have plateaued at around 25% int he most competitive market of NY Metro-- due in part to their own actions/fault over the last 9+ years. In Manhattan, TWC is deploying fiber optics directly to BUINESSES and it's no surprise that Verizon would want a piece of that action. This is a market they are used to serving and geting these customers to pay large service bills at the end of the month-- similarly to the size and ROI of cellular services. We all know these short sighted approaches will come back to bite the company's profits in the futre by ignoring the will of the residential FIOS base at their own peril.

Flash Poll
From The Founder
Anshul Sadana answers questions from Steve Saunders, Light Reading's founder and CEO, about Arista's CloudVision, a global cloud network controller for workload orchestration and workflow automation delivering a turnkey solution for cloud networking.
Live Streaming Video
CLOUD / MANAGED SERVICES: Prepping Ethernet for the Cloud
Moderator: Ray LeMaistre Panelists: Jeremy Bye, Leonard Sheahan
LRTV Custom TV
End-User or Enterprise Benefits to the New IP

7|30|15   |   04:27   |   (0) comments


Andrew Coward discusses what the New IP means to end users or enterprise customers. He explains compelling reasons, including how every customer can get their own network, from the transformation to the New IP.
LRTV Custom TV
Network Visibility & the New IP

7|30|15   |   02:23   |   (0) comments


Mukund Srigopal provides an explanation of what network visibility is and how it is essential as service providers transition to the New IP. In addition, the importance of the network packet broker is discussed.
Between the CEOs
Video Exclusive With Basil Alwan, Alcatel-Lucent

7|24|15   |   26:44   |   (5) comments


Basil Alwan, President of IP Routing & Transport at Alcatel-Lucent, discusses virtualization, cultural challenges, the capex crunch and more with Light Reading founder and CEO Steve Saunders.
LRTV Custom TV
VDF: Enable the Financial With Mobile Money

7|20|15   |   06:53   |   (0) comments


Ian Ravenscroft discusses how operators can expand to occupy the entire digital services value chain through service innovation.
LRTV Custom TV
Telefónica on OSS Transformation

7|20|15   |   06:01   |   (0) comments


Jose Gonzales discusses the details of Telefónica's operation transformation program.
LRTV Custom TV
Judi Achmadi on Huawei's Cloud Storage Solution

7|20|15   |   03:33   |   (0) comments


Judi discusses the key business goals of TelekomSigma's public cloud service and how Huawei's solution helps them address challenges.
LRTV Custom TV
KPN Enlightening Digital Business & IT Transformation

7|20|15   |   06:19   |   (0) comments


Rob de Beer discusses the changes that operators need to make with service innovation now coming from the Internet world.
LRTV Custom TV
Stratus Telco-Grade Cloud Solutions & NFV

7|20|15   |   07:34   |   (0) comments


Ali Kafel from Stratus Technologies addresses high-availability concerns within the telco industry with a solution that enables telcos to provide high-availability and stateful fault-tolerance using a software-based approach.
LRTV Documentaries
The Six Million Dollar Business Man

7|20|15   |   01:52   |   (0) comments


Steve Saunders, publisher. A man barely alive after an acquisition malfunction imploded the company he founded. Gentlemen, we can rebuild Light Reading. Better, faster, stronger.
Between the CEOs
CEO Chat With Anukool Lakhina, Guavus

7|20|15   |   38:51   |   (1) comment


Guavus CEO Anukool Lakhina talks to Light Reading founder and CEO Steve Saunders about the role of operational analytics in the communications services and networking sectors, particularly in relation to IoT.
LRTV Custom TV
IBM's Flash Storage With Intel QuickAssist

7|20|15   |   03:18   |   (0) comments


Intel's Bev Crair and IBM's Eric Herzog discuss how IBM's V9000 Flash Storage System has helped customers around the world. Featuring real-time compression powered by Intel QuickAssist Technology, the V9000 is a next-gen flash storage solution.
LRTV Huawei Video Resource Center
Thailand's AIS: Transforming to an FMC Operator

7|17|15   |   4:53   |   (0) comments


Saran Phaloprakarn, Senior VP of Fixed Broadband Business Management of Thailand's AIS, was a keynote speaker at the first Asia-Pacific Ultra Broadband Summit in Bangkok. In this video, he talks to Heavy Reading about transforming into an FMC (FBB+MBB+Content) operator.
Upcoming Live Events
September 16-17, 2015, The Westin Galleria Dallas, Dallas, TX
September 16, 2015, The Westin Galleria Dallas, Dallas, TX
September 16, 2015, The Westin Galleria Dallas, Dallas, TX
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
October 14-15, 2015, New Orleans Ernest N. Morial Convention Center, New Orleans, LA
November 5, 2015, Hilton Santa Clara, Santa Clara, CA
November 17, 2015, Santa Clara, California
December 1, 2015, The Westin Times Square, New York City
All Upcoming Live Events
Infographics
Network operators start seeing savings from NFV in the first year, according to a study by Affirmed Networks and ACG.
Hot Topics
Robbins Succeeds Chambers as Cisco Changes CEOs
Mitch Wagner, West Coast Bureau Chief, Light Reading, 7/27/2015
Cable Feuds With Senate Dems Over STBs
Alan Breznick, Cable/Video Practice Leader, 7/31/2015
RJio to Launch Its Own 4G Devices Brand
Gagandeep Kaur, Contributing Editor, 7/27/2015
Qualcomm Wants FCC to Stay Out of LTE-U Fray
Sarah Thomas, Editorial Operations Director, 7/27/2015
Like Us on Facebook
Twitter Feed
September 22, 2015
Media Begins With “Me”
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
Basil Alwan, President of IP Routing & Transport at Alcatel-Lucent, discusses virtualization, cultural challenges, the capex crunch and more with Light Reading founder and CEO Steve Saunders.
Guavus CEO Anukool Lakhina talks to Light Reading founder and CEO Steve Saunders about the role of operational analytics in the communications services and networking sectors, particularly in relation to IoT.
Cats with Phones
Comes With Free Phone Stand Click Here
Who says cats don't have any skills?