[lacnog] Fwd: Analysis: The end of European IRUs?

[Nicolas Antoniello]

Interesante lectura sobre la situación actual y futura de la capacidad de
transporte sobre FIbra Óptica en Europa y los mecanísmos y modalidades de
contratación y utilización de la misma...


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From: Capacity Magazine
Date: Mon, Nov 19, 2012 at 2:55 PM
Subject: Analysis: The end of European IRUs?


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       Analysis: The end of European IRUs? <#13b1999e2df65565_>

*As a number of IRUs come to an end in the coming months, could the
dynamics of the European fibre market be about to radically change? *

The telecoms world has moved on considerably since the heady days of the
late 1990s. Back then networks were springing up all over Europe as the
internet started to boom, and as deregulation carved open monopolistic
markets, paving the way for the launch of competing services of all kinds.

This was the era when, for the first time, operating a network didn’t
necessarily mean you had to build it yourself. In fact you didn’t have to
build anything at all. A pan-European network could be created, or
certainly supplemented, through one or more Indefeasible Right of Use (IRU)
agreements with the owner of a physical fibre asset, granting temporary
ownership of a portion of that fibre’s capacity. The new service provider
could use that IRU to assure their customers of international service on a
long-term basis.

The IRU was a quick way to get the job done, when there was a lot of
pressure to get a network finished quickly and into lucrative service: “In
the 90s, when there was lots of money going around, networks were being
built all over Europe,” said Lucy Woods, CEO of VTLWaveNet, part of the
Viatel Group, which operates a fibre route spanning the UK, the
Netherlands, France, Germany, Belgium, Switzerland and Italy. “People were
signing long-term IRUs of maybe 15 or 20 years. It was trendy to be
virtual, like a Vanco.”

But Woods believes that with a slew of these agreements imminently up for
renewal, a potential iceberg lies ahead that few have figured out how to
navigate... [read more]
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