BROADBAND DEPLOYMENT: CASE OF
LITHUANIA
Feliksas Dobrovolskis
Director General, Chairman of the Board
Communications Regulatory Authority of the Republic of Lithuania (RRT)
20 May, 2014
Chisinau
LT today: Highest penetration of FTTH/FTTB
2 psl
LT today: Highest speeds
Vilnius and Kaunas – among cities with the fastest data upload and
download rates (May 2014)
3 psl
LT today: lowest prices in EU
4 psl
EU goals
Digital agenda ambitions –
Europe needs achieve:
2013
100%
Internet
coverage
2020
• 100% coverage of ≥30Mbps
• 50% households take-up of ≥100Mbps
5 psl
LT today: high speed internet usage
6 psl
Background of fiber divelopment in LT
4 main reasons:
• 1. Shared use of infrastructure.
• 2. Cable TV operators – the first to benefit from
open infrastructure.
• 3. Late entrance of incumbent operator into
optic fibre market.
• 4. Backbone development (RAIN project)
7 psl
Development: 1. Shared use of infrastructure
1998
2002
2004
2005
2009/2010
Law on Electronic
Communications
Law on
Telecommunications
Symmetric Obligation to share
passive infrastructure suitable
for construction of electronic
communications networks
2010...
Methodology to
calculate free space
available in the tube / duct
Discussions on possible
introduction of
Regulations
on common use
of telecommunications
infrastructure
Detailed Regulation on
1. Construction of network
infrastructure
2. Infrastructure sharing
co-building
procedure
within Telecom sector (was
not introduced)
8 psl
Development: 2. Cable TV operators benefit
from open infrastructure
TV broadcasting
Internet provision
Joint decision: invest into upgrade and deployment of
their own infrastructure - optic fibre/ FTTx
Symmetric obligation: decrease
in roll-out costs
Low-cost access to the ducts vs.
relatively expensive LLU products
9 psl
Development: 3. Late entrance of incumbent
operator into optic fibre market
• Investments of incumbent into optic fibre only since
2007.
• Incumbent started to restrict access to its infrastructure.
Dispute resolutions: between cable TV operators and
incumbent operator (in 2002 first dispute on fees for the use of
telecommunications equipment).
• RRT role:
Market analysis: strengthened symmetric regulation and
imposed obligations on SMP operator for duct access (access,
non-discrimination, transparency, price control and cost
accounting, and accounting separation).
10 psl
Result: infrastructure competition
500
100%
90%
99,4%
99,9%
98,1%
85,2%
75,4%
66,1%
61,0%
59,8%
58,9%
450
437,7
402,6
400
80%
359,9
70%
350
305,7
60%
300
254,5
50%
250
200
40%
159,5
30%
20%
10%
0%
150
100
94,7
52,6
0,6%12,9 0,1%
1,9%
2005
2006
50
14,8%
24,6%
33,9%
39,0%
40,2%
41,1%
2008
2009
2010
2011
2012
2013
2007
Incumbent operator
Alternative operators
0
Subscribers
11 psl
Development: 4. Backbone
• RAIN projects: eliminate “digital divide”
between rural and urban areas
Develop broadband Internet via connected
“backbone” networks in rural areas
where infrastructure is absent or insufficient
• RAIN (2005-2008): 3.357 km
• RAIN-2 (2009-2013): 4.915 km
• PRIP (2012 - )
12 psl
RAIN-1 network
13 psl
RAIN-2 network
14 psl
Result: infrastructure competition
Subscribers by BB technology
RRT
15
LT: Regulator‘s role in the nearest future
• RRT: Maintain duct sharing system open
– regulations
– dispute resolution amongst undertakings
– imposing specific obligations on SMP operators
• RRT: Find best solutions for alternative operators to
roll out optic fibre:
– online infrastructure map – RRT as a mediator between
municipalities and operators
16 psl
Infrastructure map
Project purpose: provide information for operators
•Information about existing electronic communication networks infrastructure in
municipality
•Information about prospects of building electronic communication networks
Why Google maps is not enough?
Stages:
1. Vilnius
2. Klaipėda
3. Kaunas
4. Other
municipalities
RKK map
17 psl
FTTH is not a goal in itself but a MEANS to
ENSURE infrastructure-based COMPETITION.
18 psl
Thank You! Questions?
Feliksas Dobrovolskis
feliksas.dobrovolskis@rrt.lt
Communications Regulatory Authority of the Republic of Lithuania
www.rrt.lt
RRT
19