FTTH in Portugal- Past, Present and the Future Joint ITU/IEEE Workshop on Ethernet - Emerging Applications and Technologies (Geneva, Switzerland, 22 September2012) FTTH in Portugal- Past, Present and the Future Paulo Mão-Cheia, Portugal Telecom maocheia@telecom.pt Geneva, Switzerland, 22 September 2012

Agenda Portugal Telecom – Global Operator Why FTTH is needed - Portugal Telecom use case FTTH in Portugal The Future of FTTH Conclusions Geneva, Switzerland, 22 September 2012

Portugal Telecom Global Operator PT has placed Portugal in the forefront of innovative telecom solutions Geneva, Switzerland, 22 September 2012

Portugal Telecom Global Operator Focused strategy based on 3 key markets: Portugal, Brazil and Africa Portugal Residential HSI, TV, VoIP Personal Mobile broadband SMEs Convergence Corporate IT/IS solutions International Brazil Africa Reinforce competitive position Efficiency and cash-low Growth scale Geneva, Switzerland, 22 September 2012 Innovation as a critical success factor

Agenda Portugal Telecom – Global Operator Why FTTH is needed - Portugal Telecom use case FTTH in Portugal The Future of FTTH Conclusions Geneva, Switzerland, 22 September 2012

Why FTTH is needed Portugal Telecom use case Exponential demand for bandwidth and integrated 3P services requires a future-proof network evolution path New services require increased bandwidth … that only FTTH will provide in long term Speed 10 Kbps 100 1 20 50 400 B-PON E-PON G-PON NGPON DOCSIS 2.0 PSTN MDSL ADSL VDSL DOCSIS 3.0 ADSL2+ Mbps 4 Gbps Copper Fibre Cable 40 Geneva, Switzerland, 22 September 2012

Why FTTH is needed Portugal Telecom use case + speed + efficiency GPON (optical fibre) EP2P (optical fibre) xDSL (legacy) CPE ONT ONT DSLAM PD CPE OLT Splitter ONT OLT ONT CPE ONT ONT Lower CAPEX with reductions of 30% to 60% Less OPEX with reduced energy consumption (~2,5 time less) Less space required, with equipment ~7 times more concentrated Potential to increase bandwidth with lower split ration (and in the medium term, with NGPON) Lower OPEX with reduced energy consumption (4 to 5 times less) Less space required, with equipment 4 to 6 times more concentrated Better quality of service with loss down time Geneva, Switzerland, 22 September 2012

Why FTTH is needed Portugal Telecom use case FTTH network supports the aggregation of different traffic types: Residential (IPTV, HSI, VoIP) Corporate/Soho (Different Services Classes) Mobile Backhaul (UMTS, LTE) Geneva, 22 September 2012

Why FTTH is needed Portugal Telecom use case 3 Constant High Speed Internet via wireless 2 Premium Channels provided only over STB Home Gateway STB IP ETHERNET STB ONT Web Access Network Domestic network 1 Simplified installation by reuse Coax home network Coax … RF Maximum quality of service: stable and strong Geneva, Switzerland, 22 September 2012 4

Agenda Portugal Telecom – Global Operator Why FTTH is needed - Portugal Telecom use case FTTH in Portugal The Future of FTTH Conclusions Geneva, Switzerland, 22 September 2012

FTTH in Portugal In the PT case, each PON, in a B+ class GPON, supports 64 ONTs that are acquired by the use of two or three levels of splitting . Typical distance <20km. RF Overlay carries up 70 PAL B/G TV channels 2.5 Gbps downstream 1.25 Gbps upstream B+ class GPON (28dB) Geneva, Switzerland, 22 September 2012

FTTH in Portugal RF Overlay network designed to maximize use of remote Head End ODN Network uses two or three(2x2@CO) stage splitting Typical<20 km ONT HUB HE Remote Head End LOCAL HE ONT ONT OLT ONT WDM central office & ONU characteristics: G.984.5 Geneva, Switzerland, 22 September 2012

Agenda Portugal Telecom – Global Operator Why FTTH is needed - Portugal Telecom use case FTTH in Portugal The Future of FTTH Conclusions Geneva, Switzerland, 22 September 2012

The Future of FTTH ONU CO ONU NG-PON2 OLT NGONU GPON OLT WDM Filter [nm] NGONU [nm] 1490 GPON OLT WDM Filter NGONU 1310 ONU 1555 RF VIDEO 1270 XG-ONU 1650 Monitoring NG-PON2 Requirement for coexistence with RF Overlay in GPON scenario: Support of RF Overlay is needed; Minimize impact on the RF performance; Upgrade to NG-PON with minimal service disruption of GPON clients; Increase the bandwidth to ≥10 Gb/s DS & US, ie NG-PON2 Geneva, Switzerland, 22 September 2012

Conclusions and Recommendations FTTH provided PT an opportunity to grow in terms of revenues and regaining clients NG-PON2 standards are critical to allow network growth over existing ODN, to target new business services Geneva, Switzerland, 22 September 2012