- 1 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
“See The Light” is FTTH market in Asia-Pacific
< What you learn from AP and what you expect from it. >< What you learn from AP and what you expect from it. >
Shoichi HanataniPresident
FTTH Council Asia-Pacific( Sr. Director, Hitachi Communication Technologies )
- 2 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Outline
What is FTTH Council Asia-Pacific
Kizuna : What FTTH brings
“See The Light “ : Asia-Pacific
Market Study & global FTTH definitions
- 3 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Our Role and Overview
International Industry Association :Non-Profit Organization Registered to Singapore, March 2005Voluntary Board of Directors
Mission :To educate, promote and accelerate FTTH and the resulting quality-of-life enhancements.
Objectives :Supply a consistent and accurate view of FTTHPromote FTTH market developmentBe recognized by the industry as the FTTH resource
http://www.ftthcouncilap.org
- 4 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
60+ Members135+ Members
40+ Members
Our Intercontinental SYSTER Organizations
- 5 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Differences among THREE bodies
FTTH Council North-America : 135 members2/3rd : equipment vendors1/3rd : service providersRegion coverage : U.S.A. Canada & Mexico
FTTH Council Europe : ~ 60 membersNo member from service providesRegion coverage : 25 EU-Members, Swizerland & Norway
FTTH Council Asia-Pacific : > 40 members2 members from service providesRegion coverage : equal to “World Cup” AP region
Need to respect Need to respect ““CultureCulture”” & & ““HistoryHistory””
- 6 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Outline
What is FTTH Council Asia-Pacific
Kizuna : What FTTH brings
“See The Light “ : Asia-Pacific
Market Study & global FTTH definitions
- 7 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
絆 : KIZUNA a “newly connected” Cyber World
絆 : More than partnership, more than friendship and more than family-ship
IP-based Broadband Access brings a Cyber WorldFTTH : Virtual (cyber ) transportation
and complementary with physical transportation
- 8 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Sales/MarketingSales/Marketing VendorsConsumers
Target
Product
PricePromotionPlace (Logistics)
4P Check
Adjustment
Products/Services
Money
RelationshipRetrenchmentRelevancyRewards
BroadbandTarget
ConceptBrandPackage
Business Model Change from 4P to 4R
4P
4R
- 9 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
FTTH C-AP support another “KIZUNA”
• Network Operators need a set of “solution” to migrate to fully IP-based broadband access networks.
• FTTH C-AP is a physical space ( Kizuna ) where everyone gets together to share, learn and discuss.
www.ftthcouncilap.org
- 10 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Outline
What is FTTH Council Asia-Pacific
Kizuna : What FTTH brings
“See The Light “ : Asia-Pacific
Market Study & global FTTH definitions
- 11 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
“See The Light”
“See The Light” : Asia-Pacific is unique and dynamic
• Market Leaders : “lighthouses on the coast”– Japan
• More than 6M FTTH subscribers– Korea
• Extremely high broadband penetration and FTTB– Hong Kong
• Potential and Rising Market : “bright future”– China– India– South-East Asian Countries
- 12 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
AP is a BB & FTTH market leader
42.8%33.3%
17.2%
2.7%
4.0%North AmericaLatin AmericaEuropeMid-East AfricaAsia Pacific
Market Status
Subs
crib
ers (
000)
Source: Ovum-RHK
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
Y2005
North AmericaLatin AmericaEuropeMid-East & AfricaAsia Pacific
Broadband subscriber by region
Asia-Pacific82%
North America4% EMEA
14%
Source : Ovum-RHK
FTTH Subscriber @1Q05
- 13 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Outline
What is FTTH Council Asia-Pacific
Kizuna : What FTTH brings
“See The Light “ : Asia-Pacific
Market Study & global FTTH definitions
- 14 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Broadband Household Penetration Rate (APAC)
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
Austral
iaChin
aHon
g Kon
gInd
iaInd
onesi
aJap
anKore
aMala
ysia
Singap
oreTaiw
anTha
iland
Vietna
m
0.010.020.030.040.050.060.070.080.090.0100.0
Subs
crib
ers (
000)
Hou
seho
ld P
enet
ratio
n (%
)
Broadband subscriber and household penetration rate in APAC (Y2005)
Source: Ovum-RHK / FTTH Council Asia-Pacific (Joint work)
- 15 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
FTTH Subscribers (APAC)
0500
1,0001,5002,0002,5003,0003,5004,0004,5005,000
Austral
iaChin
aHon
g Kon
gInd
iaInd
onesi
aJap
anKore
aMala
ysia
Singap
oreTaiw
anTha
iland
Vietna
m
0.010.020.030.040.050.060.070.080.090.0100.0
Subs
crib
ers (
000)
Perc
enta
ge (%
)
FTTHsubscriber and FTTH percentage in APAC (Y2005)
* FTTH includes, FTTB, FTTC and FTTH etc.Source: Ovum-RHK / FTTH Council Asia-Pacific (Joint work)
- 16 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Broadband Subscribers – Forecast (12 Regions)
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
2006 2007 2008 2009
Broadband Subscribers Forecast (APAC, 12 Regions)
FTTH
Cable Modem / etc
DSL
Subs
crib
ers (
000)
Year
18M20M
23M
26M
12M
57M
13M
67M
15M
78M
16M
88M
Source: Ovum-RHK / FTTH Council Asia-Pacific (Joint work)
- 17 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
• Government Policies and InfluenceChina : 5-year planKorea : IT839 and EmblemTaiwan : High-Tech Service IslandJapan : Unbundling
• CompetitionMultiple FTTH service providers in Japan
• New ServicesVideo/Image-based BW eatersPersonalization
• Housing and Population DensityApartment houses and CondominiumSmaller HousesMDU in China : > 85 % Back to Tokyo downtown phenomena
• Access Loop NetworkAsia loop length average is 2-2.5 km, vs. 3.5 to 4 km in U.S.
• Cultural IssuesSpeed is a key in KoreaStatus Symbol in Japan
FTTH Driving Factors
Year1 2 3 4 50
-Depreciation Costs
:
Accumulated sales amount
Accumulated costs
Opex & IncrementalCapexC
apex
Cash-flow economy impact on long-term investment
- 18 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Analysis on FTTH Market in Japan
Government Policies and Initiativee-Japan & u-JapanUnbundling but one-bill payment
Highly competitive marketplace“leapfrog” competing technology for high-speed internet accessNTT market share in metropolitan areas is about 50 %
Ethernet-only services over B&GE-PON up to 100 Mb/sHigh-speed internet access focus at the beginningNow VoIP service is available
Non-hardened units deployed inside the homeFor residential house and condominiumSimple systems based on engineering prices
High speed access is a “status symbol”
- 19 -ITU Workshop : The Future of Voice, 15-16 Jan. 2007 FTTH Council Asia-Pacific Proprietary
Summary
FTTH Council Asia-Pacific is FTTH industry associationbased on NPO
FTTH is virtual transportation to bring Kizuna (cyber-world)respect to culture & history needed
Asia-Pacific is “See The Light”
Not only industry promotion but also governmental one isnecessary