TMCnet News
Deloitte: US Investment of $130B to $150B in Deep Fiber Infrastructure Required to Lead Global Digital Economy OpportunityNEW YORK, June 27, 2017 /PRNewswire/ -- The U.S. requires an investment of $130 billion to $150 billion in fiber infrastructure over the next five to seven years. Investment in deep fiber (i.e., fiber in the access network closer to the end customer) can unlock the full potential of the opportunities associated with fifth generation mobile network (5G) while also enhancing broadband competition and rural broadband coverage, as per a Deloitte study released today. The report titled "Communications Infrastructure Upgrade – The Need for Deep Fiber" notes that a 5G ready communications infrastructure could unlock unprecedented potential to build seamless digital ecosystems, potentially reshaping the way citizens live, work and interact, dramatically stimulating economic productivity in the U.S. The report underscores the need for new investment and monetization models to adequately support rapid and massive fiber investment. "Network infrastructure is among the key factors in a nation's economic growth potential and status as an innovator, and ultimately in propelling our economy's gross domestic product and job growth," said Craig Wigginton, vice chairman and telecommunications sector leader, Deloitte & Touche LLP. "We see a 5G ready U.S. infrastructure as critical to enabling a range of other adjacent industries to compete globally and safeguard our digital economy." Deep fiber: the next front in the battle to lead the world in internet speed and capacity The report further notes that deep fiber deployment will not only increase broadband service choice for residential customers, it will also be key for the national infrastructure imperative to provide consumers high-speed broadband connections no matter where they live at prices they can afford, closing the "digital divide." "It is essential that fiber gets deployed closer to the customer to enable next generation wireless and to ensure affordable high speed connectivity across urban, suburban and rural geographies," said Dan Littmann, principal, Deloitte Consulting LLP. "Motivating this investment requires the removal of legacy regulations, faster migration to IP networks; and new monetization mechanisms that allow carriers and investors to justify upfront investment in fber." Expanding access There are shared responsibilities for carriers and policymakers to motivate deep fiber investment In addition to establishing deep fiber as a top priority investment for the long term, carriers could enhance their ability to realize cost savings by adhering to a transformation program that creates industry standards for IP product mapping to substitute legacy products, and investing in digital processes aimed at faster product development and provisioning. U.S. policymakers should consider:
New monetization mechanisms needed to encourage deep fiber investment:
Connect with us on Twitter: @DeloitteTMT, @CraigWigginton and #5GReady. About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee ("DTTL"), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as "Deloitte Global") does not provide services to clients. In the United States, Deloitte refers to one or more of the US member firms of DTTL, their related entities that operate using the "Deloitte" name in the United States and their respective affiliates. Certain services may not be available to attest clients under the rules and regulations of public accounting. Please see www.deloitte.com/about to learn more about our global network of member firms
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/deloitte-us-investment-of-130b-to-150b-in-deep-fiber-infrastructure-required-to-lead-global-digital-economy-opportunity-300480135.html SOURCE Deloitte |