TeraSpan Networks

CA

Fibre optic cable deployment comparison

The following pages were gathered for the purpose of explaining the differences in deploying fiber optic cable. We pulled together information from various local and international papers, magazines, and consultants.

A fiber optic network is a technology that uses light beamed down glass fibers to transmit data. Fiber cable is less susceptible to interference, smaller, lighter and has a greater bandwidth capacity. The demand for fiber optic connectivity is being driven by the ever increasing bandwidth requirements of todays businesses and customers. In most metropolitan areas less than 5% of businesses have fiber optic connectivity, although 75% are within one mile of the fiber backbone.

The purpose of this white paper is to compare where each deployment method is best suited, taking into account yearly charges, time, restoration costs, and municipal access agreements. We have pulled together data from numerous local and international papers, magazines, and consultants to prepare this document and value your questions and comments.

Pole/Aerial Structure

Aerial installation on existing poles is one of the cheapest installation methods of fiber optic cable in a long haul and metro environment. Most regulatory bodies have well established rules and procedures for licensed carriers and fiber installers to access existing utility and telephone poles. The cost of aerial installation is largely dependent on how accessible the poles are from the street. If the poles are in the backyards and only accessible by foot then the installation costs are higher. If the poles run right along the roadside then installation can be done directly from the truck on the roadside. Suspension of overhead cables is unsightly, trouble prone (weather, accidents) and prohibited in many communities.

Support structures are regulated by the CRTC in Canada and the FCC in the US and are used to carry regulated telecommunication services. In general existing telephone poles, utility poles and telephone company conduit are covered under these regulations. Private utility poles, often spanning railways, on bridges can deny access or charge any price the market will bear.

Advantages:

Fast deployment Common cable, parts, readily available Reasonable installation

Disadvantages:

Ongoing maintenance, weather, accidents Cost to structure owner Upgrade costs for structure Typically doesnt go into the building There are two components to the annual charges:

Right of way charges; and Annual maintenance charges.

Fully loaded cost per meter range from $15.00 to $100.00 per meter*1

Conduit/Trenching *

Many municipalities and regulators require carriers to install extra conduit accessible by any other licensed carrier or fiber installer. As with poles regulators have set prices for the cost of access to this conduit.

Utility poles that do not carry any existing telecommunication facilities, railroad bridges and road bridges are generally not covered by these regulations. The owners of these facilities do not have to provide access to other carriers to their facilities, and if they do, they can charge any price the market will bear.

Right of way costs work out to be typically $.50 per meter per year on poles and $1 per meter per year in an existing conduit. Many cities are also assessing right of way charges in the downtown core to reflect increased costs to the city for traffic disruption etc. These costs typically average $30 per meter per year.

Fully loaded cost per meter: existing conduit: range from $15.00 to $100.00 per meter *1

Trenching

If there is no existing conduit or support structures, then a fiber trench must be dug and new conduit installed. This is by and far the most expensive approach. In the downtown core trenching costs can be prohibitive because of the obvious disruption of traffic and the complex existing ductwork that already lies beneath most of our downtown streets.

Fiber trenching involves securing permits (not always granted), substantial construction costs and indirect costs including disruption or reduction of traffic. Restoration charges widely vary from city to city. You should expect to pay $50.00-$250.00 per meter not including cost of deployment.

Advantages:

Long life, durable Workers are familiar with manholes and splice enclosures

Disadvantages:

Cost to structure/conduit owner Expensive Cant justify low last mile count Access agreements, restoration Citizens complain road closures

Fully loaded cost per meter: new build: range from $100.00 to $350.00 per meter *1

Directional Boring

A tunnel is drilled under the ground by a drilling unit whos drilling head is controlled by a wireless controller. Once the hole is drilled, the drilling unit is pulled back through the tunnel dragging either the fiber optic cable or more typically a conduit. Costs for directional boring can vary widely depending on the soil type, the number of rocks and the number of other utilities that are in the ground. The maximum distance that can be drilled is around 370 m.

Advantages:

A conduit can be deployed without too much damage to existing infrastructure. In areas without a lot of rocks or other utilities it can be inexpensive.

Disadvantages:

The drilling head cannot be seen so there is significant danger of running into other utilities if they are not carefully mapped (or if they are in a different position than expected). If there are magnetic fields in the ground, caused by power cables for example, it is possible to lose contact with the drilling head, which makes it impossible to control its direction. As a result of the above issues most cities make contractors hand dig around any other utilities, which adds significantly to the cost of deployment.

Fully loaded cost per meter: range from $60.00 to $150.00 per meter

Vertical Inlaid Fiber

Teraspan Network Inc has changed the way fiber optic cable is deployed, using our patent pending Vertical Inlaid fiber process. No trenching, no conduit, with minimal impact to the city and its operations. TeraSpan makes a narrow cut into sidewalks and parking lots, installs loose tube micro fiber cable, then reseals the sidewalk. This provides a fast, low cost installation and high reliability, because the cable is installed into the infrastructure within a thin-profiled, crush-resistant conduit.

Disadvantages:

Need for preventative maintenance Single point of product support

Advantages:

15 times faster to deploy, at a fraction of the cost of traditional fiber builds Attractive to municipal planners License options, product support Promotes economic development Minimal impact on city operations Nominal disruption to city infrastructure Maintains city/buildings heritage status Rejuvenates under facilitated infrastructure

The future of fiber

Backbones will become more powerful, with access capable of delivering high-speed services all the way to the customer premises. And of course, it can be expected that these impressive improvements will eventually offer more affordable broadband services.

Future developments based on fiber optic technology are expected in response to the global proliferation of broadband applications, such as multimedia residential services, telemedicine and distance learning. Continued growth in worldwide telecommunications can be expected to encourage a further explosion in the need for bandwidth and switching speeds. Following Fiber-to-the-Curb (FTTC), Fiber-to-the-Home (FTTH) is the next step in the universal accessibility of fiber optics.

*As a rule of thumb the following are the typical right of way costs:

$1 per pole per month $.52 per strand of support wire between poles per month $1 per meter of existing conduit **Patent Pending products.

Bibliography

Telecommagizine. com Lightwaveonline. com Canarie/Industry Canada Americas Network

335920

6015-Fiber Optic Cables, 6070-Fiber Optic Accessories and Supplies, 6080-Fiber Optic Kits and Sets, 6099-Miscellaneous Fibre Optic Components