Two views of fiber-in-the-loop deployment

The economics of new-build and rehabilitation deployment of fiber and copper loops from both microscopic and macroscopic perspectives are studied. Both models incorporate installed first costs (IFCs) and operations, administration, maintenance, and provisioning (OAM&P) expenses and use learning curves and inflation to trend costs. The microscopic model evaluates the economics of rehabilitation in a relatively small area, assuming fixed overall loop deployment schedules that drive cumulative production volumes and learning-curve-based costs. The macroscopic perspective, in contrast, models widespread deployment, taking into account the fact that near-term deployment decisions in many places will impact the costs of alternatives in the future.