USA - Broadband Market - Fibre to the Home (FttH) - Overview, Statistics and Forecasts

Synopsis

Years of unrealised fibre projects have left the USA trailing far behind Asia in the deployment of FttH networks. However, in recent years the USA has been witnessing a more concerted fibre deployment effort. Verizon adopted FttH, whilst AT&T elected to pursue primarily FttN with FttH for new developments and multiple dwelling units. In addition, the smaller competitor carriers continue to deploy fibre deeper into their networks. Significantly, an increasing number of municipalities are sponsoring FttH networks, and the recent FCC National Broadband Plan envisages an increasingly important role for public FttH networks in the pursuit of the National Broadband Plan goals.

By April 2011, the estimated number of homes passed by FttH was approximately 20.9 million, representing around 18% of all households. Of homes passed, around 7 million were receiving television, high-speed Internet and/or telephony services over these networks. Whilst this places the USA fourth globally in terms of total FttH subscriber numbers, it is still only a third of the level reached by global fibre leader Japan, which boasts over 17 million FttH subscribers. In addition, by early 2011 the country’s fastest and largest fibre network, Verizon’s FiOS, effectively ceased its FttH deployment.

Nevertheless, with strong government backing, the aspirations of the National Broadband Plan could be met, namely, to connect 100 million households to affordable 100Mb/s service. If so, this would ensure over the next 10 years that the USA catches up with Asia in FttH deployments and its attendant community and commercial benefits.

This report provides an overview of FttH and other fibre network developments, including details of the major fibre deployments and key market statistics and forecasts.

Companies included in this report:

Verizon; Google; AT&T; Qwest; Centurytel; CenturyLink

Table of Contents

• 1. Synopsis
• 2. Fibre-to-the-Home (FttH)
  • 2.1 Analysis
  • 2.2 Overview
  • 2.3 FttH network rollout
• 3. Policy and regulation framework
  • 3.1 National broadband plan
  • 3.2 Network Neutrality regulation
  • 3.3 Video franchise rules
• 4. Public (ILEC, CLEC and Municipal) FttH networks
• 5. RBOC FttH roll-out
  • 5.1 Verizon
  • 5.2 AT&T
  • 5.3 Qwest
  • 5.4 Forecasts
• 6. Related reports

• Table 1 – FttH homes passed and connected – 2001 - 2011
• Table 2 – FttH market share by type of provider – 2006 - 2010
• Table 3 – Forecast FttH homes passed, connected and penetration – low growth scenario – 2011 - 2016
• Table 4 – Forecast FttH homes passed, connected and penetration – high growth scenario – 2011 - 2016

• Chart 1 – FttH Video homes connected – 2001 – 2011
• Chart 2 – Non-RBOC and overall FttH take-up rates – 2002 – 2011

• Exhibit 1 – Status of RBOC fibre network build out