  tschmidt Premium,MVM join:2000-11-12 Milford, NH
·Verizon Online DSL
| reply to jsm1234 Re: FAST can be a big win for Fairpoint, please read...
I applaud your innovative approach to thinking about accelerating First-Mile fiber deployment.
Not sure how receptive folks will be to upfront funding of the rollout. It will require extensive market research. My understanding costs Verizon between $1500-2000 per home to wire up a neighborhood and install customer ONT.
A two-year payback means customer would need to pay $60-90 per month. There would have to be strong contract language as to what customer was paying for and what happens over time. This money would need to be financed. It is unlikely most folks would be willing to pay the entire amount up front. Since these would be secured loans, even in today's climate, obtaining funding should not be a serious problem.
My guess is the initial take rate will be low. So FairPoint will still need substantial investment capital to roll out fiber network. Capital markets have been rather harsh about Verizon's investment in fiber. My guess in a few years, once the wisdom of that investment becomes obvious, it will make it much easier for other Telco's to follow suit.
Given the short-term emphasis on extending coverage of DSL I think it unlikely FairPoint will have technical/marketing resources or access to capital necessary for aggressive deployment of fiber.
/tom |