Fiber deployment in rural areas: Challenges and opportunities

General

In April 2023, Asteo Red Neutra participated in the FTTH Conference panel discussion titled “Fiber Deployment in Rural Areas: Challenges and Opportunities”. The panel, moderated by Christof Sommerberg, Board Member of the FTTH Council Europe, addressed fiber deployment in rural areas with representatives from various countries. Pedro Abad, CEO of Asteo Red Neutra, highlighted that despite Spain being a leading country in FTTH deployment, it still has 66% rural coverage. Mariam Sulaberidze, CEO of N(N)LE OPEN NET in Georgia, explained her project, backed by the government and international organizations, aimed at closing the digital divide in rural areas. Both cases evidenced common challenges, such as the lack of information regarding existing infrastructure. However, they emphasized the importance of public-private collaboration and investment in the digital training of the rural population to maximize the impact of fiber deployment.

These testimonials underscore the complexity and opportunities in FTTH deployment in rural environments, highlighting the need for solutions adapted to each context and the importance of addressing both infrastructure and the digital capacity of communities.

Wojciech Dziomdziora, General Counsel at Nexera, shared perspectives on the Polish market, noting its alignment with the EU average in network deployment and adoption. He highlighted the presence of more than 1,000 local ISPs in rural areas, providing services to small communities. Nexera, an exclusively wholesale operator, has invested significantly in FTTH infrastructure in rural regions. Among the challenges mentioned, he referred to the difficulty in obtaining permits from landowners, delays, and adapting to changing circumstances such as the impact of COVID-19 and geopolitical events.

Alexandra Reich, Executive Chairwoman of Speed Connect Austria, focused on the human aspect of rural connectivity. She emphasized the importance of connecting rural communities to the digital world for economic growth and talent development. Reich outlined three key areas for progress: focusing on connected homes, creating awareness through subsidies, and promoting competition at the service layers rather than the infrastructure level.

Peter Hendrick, CEO of National Broadband Ireland (NBI), presented Ireland’s approach to rural home connectivity, oriented toward automation, the use of existing infrastructure, and the subsidization of consumer connections, which led to a 35% network adoption rate within three months and up to 50% within 12-18 months.

During the Q session, panelists discussed barriers to fiber adoption, including market maturity, ISP readiness, and public awareness. Pedro Abad emphasized the importance of education in digital skills, Mariam Sulaberidze of Georgia highlighted the impact of infrastructure sharing laws on last-mile development, and Wojciech Dziomdziora emphasized the need for clear advantages to drive fiber adoption among consumers. Alexandra Reich underscored the role of subsidies, education, and competition in both infrastructure and service layers.

The discussion shed light on the complexity of rural connectivity, emphasizing the need for tailored strategies, community engagement, and addressing obstacles on the path toward widespread fiber adoption.

 

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