20/10-09   -   Press releases

Expansion of Broadband Funding Means More Fibre to the Home in Europe

Guidelines issued by the EU Commission on Broadband Funding.

R&M announces that the guidelines on state aid rules for public funding of broadband networks – recently enacted by the European Commission – will mean expanding fibre to the home (FTTH) networks in many regions.

“The financing of new access networks by government and local authorities has now become much easier. This paves the way for full-coverage FTTH services," said Martin Reichle, CEO of R&M AG.

R&M already works with network operators in many countries to expand fibre infrastructures, through the use of R&M technology. R&M aims to maintain its focus on FTTH in 2010 and expects to gain further market in solutions for public networks throughout Europe.

Next generation access (NGA) will provide homes and businesses with ultra-broadband Internet in the future. However, in many locations, new infrastructure will only be installed if government or local authorities are involved. R&M predicts that the new EU guidelines on public financing of broadband networks and NGA infrastructures will create a level playing field for subsidies and private investment projects.

R&M’s recommends that next generation network access should be based on fibre optics. Only fibre optics (FTTH) offers guaranteed future performance which will support growth in data traffic and new business models with the reliability needed.

FTTH network solutions are impressively quick and efficient to implement. Recently, network providers wilhelm.tel and willy.tel in Hamburg, Germany, needed only a few months to implement and provide access for 130,000 households. This was achieved through the use of quick-installation solutions from R&M for this purpose.

Single Circuit Management
To enable network companies to further increase efficiency during implementation, R&M has announced a new product solution for distribution of fibres. The Single Circuit Management (SCM) system is a modular cartridge system for the management of individual fibres which can be used on all levels of the last mile to the end customer.

Individual end customers may be connected with minimal effort in the SCM system. The unique 40-millimeter bending radius is one of the special technical characteristics of the SCM system, ensuring that fibres are laid free of tension in a minimal space. The handling of the fibres is straightforward, this technology also means that a change in network providers is simple to implement. This helps to ensure competition in the access network (open access).

Facts & Figures
Reichle & De-Massari AG (R&M) develops and produces cabling solutions for communication net-works. R&M has earned a reputation as a quality leader with its excellent copper and fiber optical products. The company has its own marketing organizations in 30 countries. It generates 78 percent of its sales abroad. Sales in 2008 totaled CHF 247 million; EBIT was 7 percent. The company invests more than CHF 10 million in research and development every year. R&M is one of the 500 largest companies in Switzerland and currently has more than 670 employees. The company is wholly owned by the Reichle family and is now being run by the second generation as an independent family-owned company.