Fiber optics in Brazil
Fiber optic coverage in Brazil to reach 5.5K municipalities by 2024; telcos want fiber over underground sewage ducts and systems
By 2024, optical fiber should reach 5,500 Brazilian municipalities that do not now have fiber coverage. This is one of the new objectives of Brazil’s General Plan for Universalization Goals. On Thursday, Brazil’s Communications Ministry approved the issuance of debentures for investments in the telecommunications infrastructure, taking the total initiatives to stimulate the development of the sector to seven. The document was published in the Federal Official Gazette and gathers the obligations that fixed-line operators must fulfill in the next five years.
According to the plan, fiber optic connections should have a minimum capacity of 10 GB per second from the beginning to the end of the stretch that serves the municipality, and cover at least 10% of its territory by December 31, 2021. If the new target is met, the estimate is that internet coverage by fiber optics will reach around 5.500 cities by 2024. This would be equivalent to 99% of Brazilian municipalities.
Anatel (the National Telecommunications Agency in Brazil) has a period of 3 months to draw up the list of cities that will be covered. In Brazil, fiber connections already account for almost a third of total fixed broadband connections, according to data from regulator Anatel. All major carriers are expanding their FTTH network.
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Brazilian telecom operators want to be allowed to pass critical telecom transport networks, namely fiber optics, over underground sewage ducts and systems. The topic was discussed during a 5G event held by the Lide group on Thursday, where sector executives called for the issue to be included in the new rules for the sanitation sector. With the aim of making the sector more attractive to private investors, last year saw a new sanitation framework approved by congress and signed into law by President Jair Bolsonaro.
“It’s hard to pass fiber on the surface and sewer systems can be a lever for telecom infrastructure,” said Leonardo Capdeville, chief technology officer at TIM Brasil. “The systems can even be used to pass fiber up to homes and buildings. We could take advantage of the sanitation framework,” he said.
It is a “win-win” relationship, according to the CTO. On the one hand, it generates additional revenue for the sanitation company, while at the same time allowing it to benefit from connectivity that can help improve operating control and management, by preventing leaks in a timely manner for example.
Operators have sought to find alternatives to the obstacles they claim to face in the form of bureaucracy, excessive costs and licenses for rolling out fiber along highways, and also high fees charged by power utilities for the use of lampposts.
Echoing Capdeville, TIM’s regulatory affairs director, Mario Girasole, defended advances in fiber backhaul (transport networks) by joint construction and deployment with power distributors, road concessionaires and sanitation companies. The idea of using sewage systems and other forms of infrastructure sharing was also defended by the CEO of local telco Oi, Rodrigo Abreu, and Ericsson’s Eduardo Ricotta.
“Optical fiber needs a very large investment and we see this [sharing] trend as a way of no return,” said Ricotta, who is head of the Southern Cone at the Swedish telecom infra provider. In São Paulo, state utility Sabesp is currently discussing ways to deploy 5G transport infra via sewage systems, according to Adriano Stringhini, the company’s corporate management officer.
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