Cost-benefit Analysis of Fiber-optic Co-deployment with Asian Highway

Cost-benefit Analysis of Fiber-optic Co-deployment with Asian Highway

Korea Telecom Established in 1981

Bangladesh-Korea Telecom-IOM Cooperation on Digital Island Project in Bangladesh BB Network ICT Solutions Feb. 23, 2015 Oct.2016 ~ Apr. 2017 Oct. 2017 MOU Network deployment (6 months) Pilot service (5 months) Service launching

Moheshkhali Island Broad Band Network 1G Fiber-optic connectivity from central office to the island 1 3 1 Microwave (11 km) on Moheshkhali ~ Cox s Bazar 2 2 GiGA Wire* using copper cable for schools, hospitals, centers 3 * GiGA Wire: KT brand for giga speed internet on copper wire

Moheshkhali Island ICT Solutions Distance-learning Tele-medicine & m-health IT Space (IT Village Center)

GiGA Wire KT brand for giga-bit speed internet on copper wire

GiGA Wire global references Trial Service Commercialization PoC & Demonstration Turkey Telco Spain ISP Philippines Telco Botswana Telco Boston USA Gov t & ISP Hong Kong IPTV operator Guam Service Provider Malaysia Gov t & ISP Australia ISP

KT s Planned Contribution to APIS To conduct detailed research in improving broadband connectivity for target countries. Cost-benefit analysis of Asian Highway with utility corridor Cross-sectoral synergies promotion in co-deployment of infrastructure To be completed by February, 2018

Scope of Analysis To analyze co-deployment of utility corridor with highway(s). 1 2 3 Cost-benefit analysis Pros/cons research Case study Separate deployment Co-deployment Comparative study Generalization Pros/cons by each stakeholder Issue handling model Cost compensation model A construction standard for utility corridor Global examples

1 Cost-benefit Analysis Case 1. Separate deployment Utility Corridor for Transportation Utility Corridor for Telecommunications Utility corridor for Transportation Utility corridor for Telecommunications Case 2. Co-deployment Comparative study Country A Generalization PPP* Country B Country C Country D * PPP: Purchasing power parity

2 Pros/Cons Research To analyze the pros and cons of the co-deployment from the perspective of each stakeholder. Stakeholders Pros Cons Perspectives Governments Highway Telco Others Process Cost Management To enhance benefits for each stakeholder Issue handling model Cost compensation model

3 Case Study To provide a construction methodology standard for codeployment of utility corridor.

Information Requested for Target Countries Will provide detailed questionnaire template for answers. Classification Information requested Responsibility Regulation Utility corridor for transportation (highway) Utility corridor for Telecommunications Regulations related to infrastructure construction Regulations related to co-deployment Highway structure & construction processes/methods Unit cost per each process in detail Cost structure for civil works Utility corridor hardware specifications for transportation (Highway) Utility corridor structure & construction processes/methods Unit cost per each process in detail Cost structure for civil work Utility corridor specification for telecommunication - UN ESCAP - Governments of countries A~D - UN ESCAP - Highway Authorities in countries A~D - UN ESCAP - Telcos in countries A~D

Co-deployment Regulations and Mechanism (Korea) Co-deployment Regulations 1. Framework ACT on National Information 2. Telecommunication Business ACT 3. ICT Construction Business ACT Highway authorities Co-deploy utility corridor (duct) Operate and maintain utility corridor (duct) Request duct Provide duct Telcos

Case Analysis: Co-deployment Cases in Korea Duct-lease by Telcos from Highway Corp. Duct co-deployment with highway case is rare in Korea For backbone networks, Telcos already have their own backbones for their services. For access networks in fixed network, highway routes do not match. Duct-lease case by Telcos 1 When mobile services required on new highway routes 2 When an alternative traffic route is required in fixed network* *On the condition that traffic route is identical to that of highway

1 st draft of our analysis will be presented in ASEAN TELSOM meeting in Cambodia in late November.