Penetration of FTTH

The greatest rate of FTTH/FTTB adoption is occuring in Asia. About 21% of homes in Hong Kong have FTTH and South Korea has 19.6% of homes connected to FTTH. The main reason for the huge penetration in Asia, as opposed to the US, is that the governments of countries such as Japan and South Korea are specifically promoting this technology as a part of their national strategy.

The United states had about a 1.3% penetration in 2007, but does have a large amount of fiber optic cables in the ground left unused from the dot com bust. Many of the telecom companies were laying cable at a faster rate than they were getting customers, but now these companies can start utilizing this installed base thanks to the renewed growth of demand from consumers. In 2007, the number of US households with FTTH doubled from 2006. The major proponent of FTTH is Verizon. Verizon is responsible for about 70% of the households passed by fiber optic networks and added about 203,000 customers to their FiOS service in 2nd quarter of 2007 alone.

October 19, 2011

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