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Introduction

CityFibre's deal with Vodafone UK promises, at last, to roll out significant amounts of fiber-to-the-premises (FTTP) in the UK.

Highlights

  • The deal's structure addresses several of the typical barriers to FTTP deployment and presents a major challenge to both BT and Virgin Media.
  • Cost modelling based on international benchmark projects suggests that the rollout goals are feasible within the forecast capex envelope, and that pricing could be very competitive.

Features and Benefits

  • Analyzes the financial terms of the Vodafone-CityFibre deal.
  • Evaluates the cost and pricing model of the planned FTTP product.
  • Assesses the impact on the UK broadband market.

Key questions answered

  • How does the Vodafone-CityFibre deal work?
  • Is the FTTP rollout achievable?
  • What is a plausible price point for the service?
  • What consequences will the deal have on their competitors?

Table of contents

Ovum view

  • Summary
  • An elegant financial model for FTTP deployment
  • Cost modelling
  • Next steps and the wider impact

Appendix

  • Author

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