Simplify your mixed OLT Network: How to eliminate complexity and cost in a consolidating market

The UK fibre broadband market is at a pivotal moment, with significant consolidation on the horizon. For those in the industry, the question isn’t just about staying afloat but about emerging as a leader. Whether you’re planning to grow your business through acquisition, merge with another company, or prepare for a successful exit, the key to success is to simplify and standardize your network. So, how do you position your network investments to ensure you come out on top?

At the recent FTTH Conference in Berlin, in a conversation over coffee someone captured the situation perfectly. “We have some city areas with eight parallel fibres,” a British man mentioned. “I wish we had more regulation; there will be some good money lost in the upcoming consolidations.” This highlights the challenges we face as the UK fibre market grows and evolves.

The UK Fibre Market: Opportunities and Challenges

The UK fibre landscape is developing fast. With 60% of homes passed and only 5.1 million out of 17.1 million homes connected, there’s still a lot of ground to cover. Recent data from the FTTH Council Europe’s Panorama report and the Intelligence Consulting Report 2024 show that the build rate is increasing. Investments from the top ten Altnets for 2026/27 have risen by over 20% in the past two years. However, the key challenge remains: how do we accelerate the take-up rate and ensure that our investments pay off?

Beyond Passion: The Role of Money in Network Investments

While passion drives our work in the fibre industry, it’s financial strategy that determines success. Beyond enthusiasm, smart investments fuel growth—paying for equipment, wages, marketing, and operational costs. A key factor in optimizing network investments is choosing future-proof technologies—and that’s where TrueTalk stands out. As the technology that enables agnostic Optical Network Terminals (ONTs), TrueTalk is a smart investment that pays dividends.

Winner of the FTTH Council Innovation Award 2024, TrueTalk’s PON auto-sensing software allows seamless connectivity across multiple Optical Line Terminals (OLTs), automatically adjusting ONTs to network settings. This innovation reduces costs associated with storage, labor, transportation, and training. By ensuring network interoperability, TrueTalk also lowers operational expenses tied to mergers and acquisitions. Whether expanding through acquisition or preparing for an exit, investing in TrueTalk helps you make sound financial decisions and future-proof your network infrastructure.

Key Considerations for Growth, Mergers, and Exits

Let’s dive into three scenarios that highlight the importance of making smart equipment choices.

Scenario 1: Growing Through Acquisition

Imagine you’re a larger ISP looking to acquire a smaller player with attractive geographies. But there’s a catch: will their ONTs work with your OLTs? Interoperability issues between different vendors’ products can create logistical headaches, increase operational expenses, and even lead to vendor lock-in. The solution? Look for ISPs that use an agnostic ONT—one that is fully interoperable with your existing network equipment. This will streamline integration and reduce costs in the long run.

Scenario 2: Merging with Another ISP

If you’re planning a merger, you’ll likely need investment money. When pitching to investors, it’s crucial to address potential complexities in integrating the new network. How many different types of equipment will you need to manage? How complex will the network be? By standardizing on one fast-to-install FTU and an agnostic ONT, you can simplify your network, making it more attractive to investors and easier to merge and upgrade in the future.

Scenario 3: Preparing for a Successful Exit

As a smaller ISP planning to be acquired, your goal is to make your business as attractive as possible to potential buyers. Even if your fibre is in the ground and only 10% of households are connected, using an agnostic ONT that works with any OLT simplifies operations, making your company a more appealing acquisition target.

Simplify, Standardize, and Succeed

Whether you’re planning to grow your business through acquisition, merge with another company, or prepare for a successful exit, the key to success is to simplify and standardize your network. By adopting an agnostic ONT, you can substantially reduce complexity, costs, and increase your business value.

If you’re interested in learning how Genexis can help you achieve these goals, and explore our award-winning FiberTwist solution, come visit us at Connected Britain, booth 61. While there we challenge you to break the current record of installing our ONT in under 10 (7,8!) seconds!

Bringing the World to Everyone’s Home

At Genexis, our mission is to make fibre broadband accessible to all. Let’s work together to build a future-proof, sustainable network that connects everyone, everywhere.

Author: Gerry McAuley