Monday, March 03, 2008

Qwest bullish on residential broadband, plans $1.8B FTTN deployment

Dow Jones reports today that Denver-based telco Qwest Communications International plans to spend $1.8 billion to build fiber to the node (FTTN) infrastructure serving 1.5 million homes in its top 23 markets.

Qwest joins AT&T in adopting the lower cost FTTN fiber/copper hybrid architecture, which AT&T is deploying as Project Lightspeed in selected areas to support its triple play IPTV video/Internet/voice bundle marketed under the brand name U-Verse.

By contrast, the nation's second largest telco, Verizon, has opted for a costlier Fiber To the Home (FTTN) architecture that offers residential customers higher throughput speeds, greater potential for expanded service offerings, and reduced risk of technological obsolescence.

Qwest estimates the FTTN deployment will run about $175 per home -- far less than FTTH. Qwest says about 60 percent of its upgraded homes will have speeds up to 7 Mbs.

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