OneWeb Broadband Satellites Gain Platinum Score for Space Sustainability

Eutelsat’s global network of OneWeb broadband satellites in Low Earth Orbit (LEO), which was partly supported by the UK Government, has just secured a platinum score in the Space Sustainability Ratings (SSR) that is designed to encourage such companies to create and implement sustainable space missions and operations.

OneWeb (aka – Eutelsat OneWeb) currently has 634 small (c.150kg) first generation (GEN1) Low Earth Orbit (LEO) platforms in space – orbiting at an altitude of 1,200km above the Earth (588 of them for coverage and the rest for redundancy). The network was technically completed in March 2023 (here) and promises both ultrafast broadband speeds and fast latency times.

NOTE: Eutelsat has its HQ in Paris, while OneWeb is a subsidiary operating commercially as Eutelsat OneWeb with its centre of operations remaining in London. BT is currently working with OneWeb on a UK rural broadband trial (here and here).

The good news this week is that OneWeb’s network has secured the top Platinum rating badge from the SSR, which is an organisation that encourages space companies to demonstrate their commitment to sustainability and then ranks those efforts via a scorecard. Just to be clear, the sustainability of space relates to efforts that are aimed at tackling the risk of space debris, on-orbit collisions, and unsustainable space operations.

The SSR is formulated as a combined score based on the evaluation of six individual modules, where different aspects of space sustainability are covered. A rated entity will receive a “Tier Score” that will determine the rating level between Bronze, Silver, Gold or Platinum. Each of the SSR tiers are achieved after earning a certain combined score between 0 (low) and 1 (high), based on the combined evaluation of individual modules.

The six modules include the Mission Index, which calculates the impact of spacecraft on operational risk, Collision Avoidance Capabilities; Data Sharing; Detectability, Identification and Trackability; Application of Design and Operation Standards; as well as the use of future External Services. Clearly, OneWeb’s network is going in the right direction on this front.

An international consortium developed the methodology behind the rating, including experts from the European Space Agency (ESA), the Massachusetts Institute of Technology, BryceTech and the University of Texas at Austin.

Eva Berneke, CEO of Eutelsat Group, said:

“With our increased presence in both LEO and geostationary orbit (GEO), we remain committed to the sustainable and responsible use of space. We are honoured to receive SSR’s recognition and congratulations to the entire team for their hard work and dedication to sustainable and safe operations.”

Just to be clear, the new rating only applies to their first-generation satellites. The operator does also plan to launch hundreds more satellites in the future (funds allowing), which are expected to reflect a GEN2 model that could sit in a higher Medium Earth Orbit (MEO) of 8,500km. The GEN2s are widely expected to have more data capacity, support for 5G mobile and may, possibly, introduce enhanced navigation and positioning features.

However, Eutelsat recently signalled that it will aim to make the GEN1s last longer than originally anticipated, while also phasing-in the GEN2s more slowly over time and with fewer satellites. The change in strategy is partly due to the low failure rate of the GEN1s and Eutelsat’s desire to spread the capital expenditure (cost) burden over a wider period of time, which helps to de-risk the investment.

Telecom Italia looks ahead to new M&A  

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Just days after the sale of the company’s fixed network infrastructure to KKR was given the green light by the EU, the company is already considering new M&A opportunities 

Telecom Italia (TIM) is open to new business deals once the sale of its fixed-line network NetCo is completed, CEO Pietro Labriola told reporters on a podcast interview for Bloomberg. 

The sale of NetCo for €22 billion, which got the go ahead from the European Commission last week, will allow TIM to cut its debt pile by €7.5 billion by the end of the year. This, said Labriola, will free TIM to “play an active role in Italy’s market consolidation process which will certainly take place in the coming years.” 

Last week, the European Commission announced that it had “investigated the impact of the transaction on the market for wholesale broadband access services in Italy and concluded that it would not significantly reduce the level of competition.” 

According to the Bloomberg article, the sale will allow the company to focus on areas such data centres and cloud computing, as well as its main money maker, its Brazilian unit. 

The Italian telecoms market, meanwhile, remains highly competitive, in part due to the entry of low-cost disrupter Iliad to the market in 2018, initiating brutal price wars and shrinking the operators’ margins.  As a result, the market has been mulling consolidation for some time, with various tie-ups considered over the past few years. This finally came to a head earlier this year when Vodafone announced it would sell its Italian unit to Swisscom, owner of rival Fastweb, for €8 billion. 

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter

Also in the news:
Microsoft pours $3.2 bn in Swedish cloud infrastructure
Zegona Communications completes Vodafone Spain acquisition
Verizon secures $2.7bn US navy contract

ITS Technology Refreshes Business-grade UK FTTP Products

The ITS Technology Group, which operates 36 wholesale full fibre broadband and Ethernet networks (“Faster Britain“) across urban parts of the UK for businesses and ISPs, has today announced that they’ve “refreshed” their suite of wholesale Fibre-to-the-Premises (FTTP) based products aimed at businesses that need to get digital-ready.

Just to recap. ITS’ XGS-PON-enabled (10Gbps capable) network is currently said to “pass” approximately 465,000 businesses (inc. commercial premises), and they can “reach the rest” through their trusted operator partners’ infrastructure, which includes BT Wholesale, Sky, PXC (TalkTalk Wholesale), and Virgin Media Business.

NOTE: ITS Technology has previously secured an investment of £145m from Aviva Investors (here and here), as well as £100m of debt financing from global investment firm Avenue Capital Group (here).

As part of the portfolio refresh, ITS has reintroduced an overhauled FibreOne service. Developed as the full fibre wholesaler’s most cost-effective entry-level business-grade asymmetrical solution, it is available with download speeds of up to 1Gbps. Launched in two phases, FibreOne will initially be available in 22 towns and cities across the country. A further 24 locations are expected to go live later this year.

ITS has also refreshed its FibreLight FTTP product set, which now offers a fully symmetrical (XGS-PON) Ethernet over FTTP (EoFTTP) service designed with “guaranteed ‘always on’ access to 20% of the ordered speed” (the remaining bandwidth is burstable, providing the performance demanded by businesses when they need it). FibreLight can be upgraded through enhanced service level agreements (SLA).

Coverage and Availability of FibreOne (First Phase):

Acocks Green, Arnold, Birmingham, Bury, Burton upon Trent, Chorley, Derby , Edinburgh, Ilkeston, Ipswich, Lincoln, Newark-on-Trent, Nottingham, Oldham, Plymouth, Scunthorpe, Sheffield, Twickenham, Walsall, Watford, West Bromwich, Wolverhampton

Pete England, ITS’ Head of Product Development, said:

“Working with our partners, in FibreOne we have developed a product set that helps them to provide the right connectivity services for their customers’ needs. The redevelopment of this entry-level service has filled a void for our partners who were asking for a business-grade solution that will help them to migrate customers from copper-based services including ADSL and Fibre To The Cabinet (FTTC).

Our product portfolio has been designed to grow with end-user demands, which includes upfront customisable options and future scalability. While FibreOne increases ITS’ geographic reach to allow more businesses to get on to the full fibre ladder, it complements the existing reach of our FibreLight product – which with many of the attributes of a leased line is really helping our partners to differentiate in a noisy marketplace. For those looking for a truly managed service, it is seamless for our partners to upgrade their customers from FibreLight to a dedicated FibreBright leased line in life.”

All of ITS’ FTTP portfolio are offered with a fixed IPv4 address with upgrade options of enhanced business care level, additional fixed IPv4 addresses, and dedicated project management services for complex or multi-site projects. ITS’ connectivity and value-added services are accessed through its self-service Partner Portal. As part of this launch, ITS has updated its service and availability checker, splitting out the business broadband (FTTP) and leased line options to allow more focused searches.

NOTE: ITS’ wholesale model for business connectivity is a blended solution that allows their approved partners to access full fibre services through their partner portal for businesses across the UK.

AST SpaceMobile shares rocket after Verizon investment 

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The direct-to-device satellite telecoms operator now has deals in place with two of the US’s three major wireless carriers 

 

Last month, AST SpaceMobile agreed a new partnership with Verizon, promising to use its upcoming satellite network to deliver ubiquitous connectivity across the US. Now, weeks later, the company’s value continues to surge, with its share price rising 70% to its highest level since November 2022. 

Verizon is planning to invest $100 million in AST SpaceMobile so that it can provide satellite-based cellular service directly to Verizon customers using 850 MHz spectrum. This, the company says, will help provide service to customers in some of the most rural parts of the country, many of which currently have poor or even nonexistent mobile services. 

As per the agreement, $65 million of the investment will be commercial prepayments, and the remaining $35 million convertible notes. 

AST SpaceMobile CEO Abel Avellan said the deal will “essentially eliminating dead zones and empowering remote areas of the country with space-based connectivity.” 

“By entering into this agreement with AST, we will now be able to use our spectrum in conjunction with AST’s satellite network to provide essential connectivity in remote corners of the U.S. where cellular signals are unreachable through traditional land-based infrastructure,” said Srini Kalapala, SVP of Technology and Product Development at Verizon in a press release. 

Headquartered in Texas, AST SpaceMobile currently has agreements with more than 45 mobile network operators globally who collectively serve over 2.8 billion subscribers. 

One such operator is Verizon’s rival AT&T, whom AST SpaceMobile similarly. There were no financial details disclosed about the deal, which extends until 2030. The companies were previously working together under a Memorandum of Understanding. 

AST SpaceMobile was founded in 2017, and in the first quarter of this year, made a net loss of $39.8 million due to expenses such engineering and development costs, which were much higher than their revenue of $500,000. The company is currently still in the investment phase, seeking investment in order to launch the 243 satellites planned for the full constellation.  

The company’s first commercial satellite is expected to launch later this year, with roughly 100 needed to provide global coverage.  

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter 

Also in the news:
Microsoft pours $3.2 bn in Swedish cloud infrastructure
Zegona Communications completes Vodafone Spain acquisition
Verizon secures $2.7bn US navy contract 

Openreach Extend 2.5Gbps ONT Trial for Slower FTTP Broadband Tiers

Network access provider Openreach (BT) has extended their already nearly year-long trial of 2.5Gbps Optical Network Terminals (ONT) for installations of specified bandwidths on Fibre-to-the-Premises (FTTP) based broadband ISP lines. The trial, which was due to end next month, will now run for another year.

Just to recap. ONTs (aka – Optical Network Unit) are usually installed inside your home (wall hung), near to where the fibre optic cable physically enters the property. The primary job of such kit is simply to take that optical signal and convert it into an electrical one, so you can connect it to a broadband router via a standard Local Area Network (Ethernet) port.

NOTE: Openreach’s average FTTP build rate is 78,000 premises per week and they’re investing £15bn to cover 25 million UK premises by Dec 2026 (14m have already been covered). Some 6.2m of those will be in rural or semi-rural areas. The ambition then exists to reach up to 30 million premises by 2030.

Openreach first began offering a 2.5Gbps (Gigabits per second) capable ONT in 2022 (here) – the Nokia G-010G-T and an ADTRAN SDX 611Q – alongside their 1Gbps+ FTTP broadband tiers (1.2Gbps and 1.8Gbps), which only recently became commercially available to the market after a very lengthy pilot phase.

However, the network operator has also been running a separate 12-month trial of the same hardware (here), which began on 1st July 2023 and specifically allowed ISPs to optionally specify that 2.5Gbps ONTs should be installed – by default – instead of the standard 1Gbps ONT for specified FTTP downstream bandwidths lower than 1Gbps (i.e. down to tiers as slow as 55Mbps).

The trial could be seen as a useful way of future proofing (within reason) new installations, thus avoiding situations where somebody might opt for a 1Gbps or slower tier and then later decide to upgrade (this would currently necessitate another engineer visit to install the 2.5Gbps ONT). In an ideal world, Openreach would already be doing this by default (they probably will at some point), but for now the trial gave the option to ISPs and for a small additional cost.

The terms shall apply to [Communication Providers] that opt-in to the trial, and CPs will be charged an additional £10 per connection for the speed tiers they have selected. [Openreach] will rebate CPs participating in the trial £10 for each bandwidth upgrade from the selected speed tiers to bandwidths above 1Gb made within 24 months from the end of the trial, or from when a CP exits the trial if sooner. Rebates will not be made for box swaps,” said the original trial document.

The latest development is that this trial has just been extended, although the public briefing included no useful information. But we’ve since been informed that it will now run for another 12 months in order to allow time for new systems to be implemented.

An Openreach spokesperson told ISPreview:

“Getting it right first time, every time – with minimal effort needed from end customers – is what we’re always striving to achieve. After an initial trial period, we’ve learned that in order to offer a 2.5G ONT upgrade option, we’ll need to implement new systems which offer an even better service for industry, and therefore the end customer. We hope to complete that testing over the next 12 months.”

Rural UK Broadband ISP Gigaclear Discounts 900Mbps to £29

Rural broadband ISP Gigaclear, which has already extended their gigabit speed Fibre-to-the-Premises (FTTP) network to cover 500,000 premises (RFS) in England (inc. 100,000 customers), has launched their new “Summer Savings” and discounted the price of their top 500Mbps and 900Mbps tiers to just £25 and £29 a month, respectively.

The promotion is due to run until the 2nd July 2024 for the 500Mbps package and 31st July for their top 900Mbps tier. New customers who take up this offer will get the discounted rate for their first 18-months of service, as well as free installation and an included router. But after this period the 500Mbps package will return to its standard post-contract price of £54, while their 900Mbps plan becomes a whopping £82 per month.

NOTE: Gigaclear, which employs over 700 people, holds an ambition to cover “over” 1 million premises with their full fibre network by 2027.

The provider is principally owned by major investor Infracapital, together with Equitix and Railpen. The company previously had investment commitments estimated to be worth up to around £1.1bn (here), although at the end of last year they also secured a new £1.5bn debt facility (here) and recently won the £16.6m Project Gigabit rollout contract for East Gloucestershire (here), as well as the contracts for North and South Oxfordshire (here).

Infracapital also owns or has stakes in WightFibre, Neos Networks, Fibrus and Ogi.

NTT DOCOMO and Space Compass commit $100m to HAPS specialist AALTO

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The investment will support the planned commercial launch of AALTO’s High Altitude Platform Station, Zephyr, in 2026

This week, a consortium including two Japanese banks, mobile operator NTT DOCOMO, and non-terrestrial network (NTN) specialist Space Compass Corporation, have announced an investment of $100 million into HAPS developer AALTO.

The investment, the companies say, will help support the industrial ad commercial roadmap for delivering AALTO’s services to customers, including a commercial launch in 2026.

AALTO, a division of aviation giant Airbus until being spun off at the start of last year, has been working on its HAPS technology, dubbed Zephyr, since 2001. The solution is essentially a large solar-powered stratospheric glider that can be equipped with mobile network technology, allowing connectivity, including 5G, to be rapidly delivered to remote locations.

In addition to telecommunications equipment, Zephyr can also carry other payloads, including imaging technology, such as Airbus’s Strat-Observer solution, allowing “a range of monitoring, tracking, sensing, and detection” capabilities.

Zephyr’s current record for continuous flight is 64 days, but the company hopes that this can be extended to over 200 days in future.

Combining all these features makes Zephyr ideal for rapid response scenarios, such as natural disasters.

“This is a landmark investment for AALTO. It is the natural next step in the roadmap of the Company’s targeted entry-into-service in 2026, as we industrialise and commercialise our technology. With world leaders in aviation and connectivity as shareholders, AALTO now has the combination of technological expertise and global reach to capitalise on the growth opportunities in substantial total addressable markets across connectivity and earth observation,” said AALTO CEO Samer Halawi.

“This investment comes as AALTO moves into its next phase of development. This includes launching several customer missions over the coming year, establishing launch and landing sites for Zephyr, and advancing our certification process. We are excited to forge a new frontier in sustainable connectivity and earth observation from the stratosphere, while generating significant value for all our stakeholders.”

The investment by the Japanese consortium will be made by their purpose-built investment vehicle, HAPS JAPAN Corporation.

The deal builds on a longstanding relationship between AALTO, NTT DOCOMO, and Space Compass, which first agreed to explore collaboration possibilities back in 2022.

Space Compass itself is a joint venture between NTT and SKY Perfect JSAT, focussing on developing a Space Integrated Computing Network. Part of this process includes the development of direct-to-device mobile services using HAPS, for which it is once again partnered with NTT DOCOMO, NTT, and SKY Perfect JSAT.

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter  

Also in the news:
Microsoft pours $3.2 bn in Swedish cloud infrastructure
Zegona Communications completes Vodafone Spain acquisition
Verizon secures $2.7bn US navy contractv

ISP MTH Networks Joins Freedom Fibre’s UK FTTP Broadband Network

Broadband provider MTH Networks has today become the latest retail ISP to confirm that they’ve jumped onto Freedom Fibre‘s growing gigabit-capable broadband (FTTP) network, which has so far covered over 300,000 premises (27th Mar 2024) across the United Kingdom – mostly in the North West of England.

The internet provider, which also sells packages via a several other alternative networks (e.g. MS3 and OFNL), are offering a range of Freedom Fibre based packages that start at £29.40 per month for 150Mbps (symmetric) on a 24-month term (currently discounted to £22.05 per month) and go up to just £34.20 for 1000Mbps (discounted to £25.65!). The discount reflects the average monthly price when their 6 months free service offer is applied.

NOTE: Freedom Fibre, which recently merged with VX FIBER (here), was originally backed by £111m from Equitix and has been working to cover parts of Cheshire, Greater Manchester and Shropshire in England and North Wales. The operator previously aspired to cover 2 million UK premises, but it’s unclear what the goal is today.

In addition, we’ve noticed that a previously unfamiliar ISP name – Beebu – has also joined the operator’s growing Fibre-to-the-Premises (FTTP) network. But the details at the bottom of Beebu’s website appear to incorrectly state that: “Beebu Telecom Limited is registered in England & Wales at: 1 Barnes Wallis Road, Fareham, Hampshire, UK PO15 5UA. Company no. 08043921.”

However, company number 08043921 actually goes to AERIAL DIRECT LIMITED at the same address, while the correct company number for Beebu Telecom Limited appears to be 08635537. The Beebu website was previously used for a mobile service called Beebu Mobile, which has now vanished and been replaced by their full fibre focused broadband brand.

Microsoft pours $3.2 bn in Swedish cloud infrastructure 

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The investment is Microsoft’s largest-ever commitment to Sweden 

Microsoft has announced today that it will invest 33.7 billion Swedish crowns ($3.21 billion) to expand its cloud and AI operations in Sweden over the next two years. This will include the deployment of 20,000 advanced graphics processing units (GPUs) at its data centers in Sandviken, Gavle, and Staffanstorp to help meet the rapidly growing compute demand created by AI. 

Alongside this infrastructure deployment, the company plans to train 250,000 people – approximately 2.4% of Sweden’s population– in AI skills to help improve the country’s competitiveness in this domain. 

“This announcement goes beyond technology, it’s a commitment to ensuring broad access to the tools and skills needed for Sweden’s people and economy to thrive in the AI era,” Microsoft Vice Chair and President Brad Smith said in a statement. The company explained to Reuters that it is committed to increasing the adoption of AI in the Nordic region. 

Microsoft has been rapidly expanding its AI infrastructure deployments across the world, having announced billion-dollar investments in the UK, Germany, Spain, Japan, and more in recent months. These investments are driven by a boom in demand for new services related to generative AI, with further growth expected that would make existing data centre infrastructure inadequate.  

“You will see some other announcements, probably more in the fall,” said Microsoft CEO Brad Smith. 

According to Goldman Sachs, the AI boom will be a “near-$1 trillion opportunity” for the tech sector. 

“AI is a tech transformation that should be seen as a multiplier or catalyst … It is part of the strategy going forward when, after successfully fighting inflation, we enter a new phase, an investment phase,” said Ulf Kristersson, Prime Minister of Sweden in a statement. 

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter  

Also in the news:
Digi set to buy OTE’s Telekom Romania
Billionaire Xavier Neil ponders Millicom acquisition
EU-funded Global Gateways projects on show at Submarine Networks EMEA 2024  

Zegona Communications completes Vodafone Spain acquisition 

News 

Discussions have been ongoing since September last year 

Vodafone Group has completed the sale of its Spanish business Vodafone Spain to Zegona Communications for €5 billion. 

As per the agreement, Vodafone will receive €4.1 billion in cash and €0.9 billion in redeemable preference shares.  

The newly acquired company will still use the Vodafone branding for up to ten years, according to a statement released by Vodafone in October. 

Proceedings began in September last year, and were confirmed by the two companies the following month.  

“The sale of Vodafone Spain is a key step in right-sizing our portfolio for growth and will enable us to focus our resources in markets with sustainable structures and sufficient local scale,” said Vodafone CEO Margherita Della Valle in a statement. 

“I would like to thank our entire team in Spain for their dedication to our customers and relentless determination to improve our organic performance. However, the market has been challenging with structurally low returns,” she continued. 

“We have now completed the acquisition of Vodafone Spain and look forward to transforming the business and returning it to growth,” said Eamonn O’Hare, Zegona’s Chairman and CEO in a statement released today 

“I am pleased to welcome José Miguel García to lead Vodafone Spain as CEO, reuniting a team that has a proven track record of highly successful operational transformations in Spanish telecoms,” he continued. 

Vodafone will continue to have a small presence in the Spanish market through its innovation hub in Malaga. The R&D centre opened in 2022 and develops new solutions in areas such as the Internet of Things (IoT), edge computing, and Open RAN. 

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter  

Also in the news:
Digi set to buy OTE’s Telekom Romania
Billionaire Xavier Neil ponders Millicom acquisition
EU-funded Global Gateways projects on show at Submarine Networks EMEA 2024