Showing posts with label government intervention. Show all posts
Showing posts with label government intervention. Show all posts

Tuesday, January 1, 2008

Slow broadband is becoming political in St Nom La Bretèche /L’Internet a haute vitesse devient plus important a St Nom La Bretèche

Happy new year.

I went out to my mailbox today and found a newsletter we receive in the village. It's called "La Parole est aux listes - Journal d'expression des groupes au Conseil Municipal de Saint-Nom-La-Bretèche". I always try to read through it and today I was happy to see some attention to the ADSL situations here in St Nom. In this issue the group "Saint Nom Tout Simplement" writes:

Suite à une demande pressante auprès du conseil municipal, Orange a obtenu l’accord d’implanter une antenne relais sur le terrain de football. Nous avions insiste pour qu’en échange et au préalable, la commune obtienne des engagements sur le déploiement de l’ADSL rapide dans la commune (3/4 des foyer sont aujourd’hui limites a 512 kbit/s). Malheureusement, cette facilite a été donnée sans obtenir de contrepartie pour l’accès a internet. Aussi, 4 mois plus tard, Orange revient très dominateur avec une proposition de couverture à 92% de la commune en ADSL rapide, moyennant une participation de la commune estimée a EUR 50k. Et c’est “maintenant ou jamais”. Le pouvoir de négociation a évidemment changé de coté. Quant on réalise que la seule alternative a l’internet 512k dans notre commune, c’est Noos/Numericable…, on comprend mieux l’attitude aujourd’hui intransigeante d’Orange. Dommage!

I'll try to give a quick and dirty translation into English.

Following a request in front of the Municipal Council, Orange received permission to install a relay antenna near the football field in the village. We had insisted that in exchange for permission the commune should have obtained promises that fast ADSL would be deployed in the community (3/4 of homes in St Nom are currently limited to 512 kbit/s). Sadly, the permission was granted without any accompanying promise for Internet access Also, 4 months later, Orange has come back in a very dominant position with a proposition to cover 92% of the village with fast ADSL as long as the village covers half of the cost of the upgrade estimated to be EUR 50,000. They say it is either "now or never". The negotiation power has clearly shifted to Orange. When we realize that the only other alternative to Internet access at 512 kbit/s in our village (it's Noos/Numericable), we can more easily understand Orange's intransigence.

I was happy to see that the broadband issue has been raised to all residences in St Nom through this handout. People do want better broadband. Noos/Numericable may say they are offering 100 Mbit/s but my connection has been off and on for the past 3 days and it will cost me EUR 15 to call them to report it. I'm using my backup ADSL connection for now.

I don't know what the mayor has decided about the EUR 50,000 but I hope he hasn't paid it. They will upgrade the exchange without the money, particularly if Numericable is sweetening their offer.

More importantly, there is another option. Our fiber-to-the-home plan is only for the 50 homes in our small area of the village but we could expand to other areas fairly quickly once we get a fiber line down to the local exchange. Just the fact that we're moving ahead with a fiber plan should hopefully spur Orange into upgrading their own offering here in St Nom.

I find it interesting that for not much more than EUR 50,000, the Mayor and the Municipal Council could run an open access fiber from the telecommunication exchange at the edge of the village all the way to the Mairie. From here different "residences" could tap in and access services from competitive operators over fiber. Orange should not have the bargaining power to demand village money to upgrade their own exchange. They just need some competition.

Friday, September 21, 2007

Moment to set up the business / Le moment pour la création de l'entreprise

This evening I spent time talking to a French friend of mine who has a tech-related startup (Mulot Déclic) here in France. We talked about the FTTH project as a whole and about what I would need to do to register the company here in France. He grilled me about how and if this project could be expanded later on. It was a very good exercise to try and convince him that it could work. If I ever do want to expand I'll have to make similar explanations to investors.

One of the key things we discussed was the need to set up a proper business here in France. He assured me that setting one up wasn't as difficult as it is often made out to be. He said that now it was possible to do a lot of it online and that the cost of registering the business should be around EUR 300.

He and his wife are also the brains behind the name for the company. I grabbed the domain name a few months ago and will publish it all as soon as the official business registration goes though. They're both native French speakers and were able to come up with something really catchy.

The Mayor told me I needed a proper business if I wanted to do any street work outside of the residence. It will also make things much more straight-forward when it comes to getting an agreement with our residence association. The only outstanding question is whether I'll need to take on a French partner to register the company - given that I don't have a standard French work permit. I'll look into that.

Tuesday, June 5, 2007

Possible backhaul problem

I was gathering up information to take with me to my meeting with the mayor this week when I ran across some pricing information for connecting to the fiber backhaul(Yvelines Numeriques). I read through their literature and realize that I may have a problem using their network.

Our Department had the right idea about creating a fiber optic backhaul network that runs throughout our area. We've seen similar rollouts work well all over the world. The government comes in, helps fund the backhaul, and then lets the private sector take over - typically with open access rules.

The only problem here is that they've seemed to have decided ahead of time who they want on the network - and new operators are not part of that group. Their own website states:

FRENCH: Le Conseil Général des Yvelines ne cherche pas à favoriser l’éclosion d’un nouvel opérateur de télécommunications. Il cherche en revanche à attirer les opérateurs existants.

[ENGLISH: The General Council of the Yvelines is not looking to promote the development of a new telecommunication operator. Instead, it is looking to attract existing operators.

Essentially the goal is to bring in existing operators to use France Telecom's existing copper lines to homes - not create new ones.

I believe that this reveals a lack of a longer-term vision when they developed the project. From what I understand they've had trouble attracting the big operators to come and rent capacity to reach the local exchanges. To make matters worse, a French colleague of mine explained that they're locked into the terms of the contract for the 20 years of the "concession".

This seems to be their plan. They built the network mainly to help with local loop unbundling. Operators can lease fiber backhaul to local telecommunication exchanges and then rent copper lines directly to homes from there. The costs are probably too expensive for smaller operators.

They gave some of the pricing on the web. The entry-level price for a fiber strand is EUR 0.70 per meter per year. I initially wanted to run a connection back into Paris but that would be over 20 KM - if they even go that far. I did a few calculations and figured that I'd really need a much larger subscriber base even make the backhaul pay for itself. The minimum cost of taking a fiber from our village towards Paris would be EUR 14,000 per year. We'd have to spread that among a large number of households to make it even start to pay for itself - and that doesn't include the other costs of our own network or transit at the Internet exchange.

I may need to start looking into whether it would be possible to either buy capacity from a larger player or have them come to us.