ftth as municipal iaas

Lance G. Douglas | Chairman & CEO – Lightcore Group, Inc.

“Open & Shifting: The Future of Networking and Municipal Connections”

FTTH as Municipal IaaS

@Cybera #CyberSummit14CROWDSOURCING INNOVATION | Banff, Alberta

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Meet Lance

CHIEF CUSTOMER CHAMPION / FOUNDER:Lightcore Group, Inc.DRIVING PASSION:making the world awesome for everyone.SINGULARITY OF CAREER FOCUS:creating mutual “Repeatable Successes”.Born and raised in Calgary;

aged in Quebec for short spell; father of two; husband of the most patient wife in the world; half Dutch by marriage.

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Meet Lightcore Group

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Our Journey Together, Today…

FTTH Municipal IaaS01 | Perspective on Technology’s Role in Business

02 | User Experience is the Driving Force of Business

03 | Municipal Anti-Business Model

04 | What Exactly is the Municipality’s Product?

05 | The Last-Mile = First-Mile of Opportunity

06 | Municipal IaaS Traction

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00 | What is FTTH?

The Layer-1 infrastructure that connects a dwelling to a core aggregation / gateway point with fiber optic cabling.

Or simply put: the currency plane for participation in the digital economy.

“Business is a for-profit expression of experience.”

01 | Perspective on Technology’s Role in Business

.

“Technology is a set of tools, sometimes used by business to improve, or even

define, an experience.”


“User Experience is the Driving Force of Business, Technology, and Lifestyles.”



Business

Technology

Better User

Experience

“The convergence of

the two==

better experience.”

.


Launching a Canadian FTTH Service Provider

Personal go-to-market approach was to micro-size concepts and deployment

strategies of giant telcos.

.


Launching a Canadian FTTH Service Provider

Personal go-to-market approach was to micro-size concepts and deployment

strategies of giant telcos.FAIL


Saving Grace #1“A complex system that works is

invariably found to have evolved from a simple system that worked.”

- John Gall


Marketing a Canadian FTTH Service Provider

Initial market evaluation and segmentation joy was based on

community love.


Marketing a Canadian FTTH Service Provider

Initial market evaluation and segmentation joy was based on

community love.EPIC FAIL


What happened?

We were expecting a 30% take-rate, based primarily on Community Love. The reality was that only 25% was of that mindset, but correctly only 30% of those would make the purchase.

Community Love Reality

Apathy (75%)Community: Yes, but No Thanks (17.5%)Community: Yes, And Yes (7.5%)


The Perception Paradox:

Most people don’t volunteer to pay the gov’t for anything, and

locals seeO-NET as a gov’t

program.

Municipal Government

Network Owner

(non-profit)

Network Operator

(non-profit + RSP)

Retail Service Provider

(for-profit competitor)

Customer

Citizen


Learned Axioms1. “Municipalities are NOT

businesses.”2. “Citizens are not customers.”


Saving Grace #2“Focus on the user and all else will follow.”

- Google

.


How, and why, does a municipality approach FTTH?

.


How, and why, does a municipality approach FTTH?

Citizens expect, or demand, opportunity.

.

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What is Municipal IaaS

Infrastructure-as-a-Service

IaaS

“IaaS is the virtual delivery of computing resources in the form of hardware, networking, and storage services.” – Dummies.com

“Municipal IaaS is the unified delivery of basic community resources in the form of roads, right or ways, and governance.” – Lightcore Group


.

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Community = Opportunity

Community-as-a-Service

muni services

CaaSPlatform-as-a-Service

muni systems

PaaSInfrastructure-as-a-

Service

muni facilities

IaaS


Typical Citizen Expectation of Municipal Involvement

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Cloud Analogy

CaaS

Permitting

Buses & Trains

Management

Taxi’s

Retail Shops

Data

Gas Service

Power Services

Global Travel

Municip

ality

Deliv

ere

d

Pri

vate

Sect

or

PaaS

Municip

ality

Managed

Pri

vate

Sect

or

Policies & Bylaws

Water Lines

Council

Traffic Signals

Sensors

e.g. Power Lines

e.g. Gas Lines

Airport

Malls

e.g. Power

Pri

vate

Sect

or

e.g. Gas

OpCo

IaaS

Municip

ality

Ow

nedSocial Tools

Landfills

Governance

Sewers

Roads

Water

RoW’s

NetCoRSP

Infrastructure & Governance

Core

Interpretations of

Governance and

Infrastructure in Action.

Management, services, and delivery as stability.


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05 | Last Mile == First Mile of Opportunity

Remove the Barriers

• for all citizens and businesses, existing and potential

• for market competition to drive up quality and reliability

Better by design

• build for the future while addressing today’s needs

• success is repeatable and transferrable among muni’s.

No lock-in• abstraction entices innovation on all fronts:• portability is important for growth and scale

of value

Lifestyle improvements

• unified open access paves the way for community wide services, and new ideas.

Better spend• muni’s need to upgrade their middle-mile

infra-structure already.• the IaaS approach is risk mitigation

.

What can that new telecom look like when infrastructure is a service?

The New Telecom “can”:

Answer the Domain 2.0 challenge

The New Telecom “can”: Deploy over M:M NetCo’s

The New Telecom “can”:

Finally, Be Agile, Nimble, and Disruptive

“Open Access” requires market competition.

“Equal Opportunity” requires equal access.

The “Digital Economy”only favours

“Connected Communities.”

Being connected is beyond a critical service.

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06 | Municipal FTTH Traction

CANADA OPERATIONSFeasibility & Design Projects: >600K homes passed

Major Market Launches:2 to 3 in 2015

Major FTTH Announcement1 still to come in 2014

US OPERATIONSI&R Jobs Growth:100-200 Techs in 2015

KEY TAKEAWAY

Municipal Product == “Opportunity” Municipal Citizen == “Life”

Successful Municipal FTTH ===“Empowering Opportunity for Better

Lives”

Thank you for the opportunity to share!

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100% wireless technologies share a limited physical medium.

PLUS

Municipalities are density and economies of scale.

EQUALS

The inverse of both Metcalfe’s and Reed’s laws.

Appendix A: Municipal Wireless Barrier: B.I.R.D.S.

Barriers | Interference | Reflections | Distance | Security