NewsOver the past two years, the amount of broadband optical network leased to operators has doubled

Over the past two years, the amount of broadband optical network leased to operators has doubled

In the last two years, the amount of broadband optical network route leased to operators has doubled, reaching 4130 km. Electronic communication service providers in Vidzeme lease more than 1580 km of optical network.  Compared to 2020, the use of the optical network in Kurzeme has almost tripled and operators have leased 1020 km. Likewise the use of the network has tripled in Zemgale in comparison to 2020, where operators currently lease 845 km of LVRTC optical network to provide services to residents. In Latgale electronic communication operators have leased 679 km of optical network.

“The time of the pandemic was a positive incentive for operators to increase the capacity of their communication infrastructure, as the population’s demand for stable and powerful internet connections in the regions increased. However, the pandemic is not the only reason for the rapid increase. The construction of the network takes place in two phases, and the kilometers built during the second phase logically complement the previously constructed track, making the network more profitable and attractive for operators. The broadband network project is a non-profit project and network rental fees only cover the cost of its maintenance. Two years ago we reduced the rents. Overall, it has had a positive effect. We expect that the development of the network will continue to grow in the coming year, as mobile operators build their infrastructure, constantly expanding 5G coverage, so that citizens have a higher quality service,” said LVRTC chairman of the board Ģirts Ozols.

Currently, the network is most widely used by operators in Madona county, where 30 connections have been established for operators. Madona county is followed by Valmiera and Talsu counties, as well as Alūksne, Rēzekne and Dienvidkurzeme counties.

The network is currently used by 14 electronic communication service providers. Nine of them are regional merchants, for whom the availability of infrastructure is an essential prerequisite for providing services to end users, as most operators would not be able to build their own infrastructure due to the high costs. The broadband optical network is also used by three national electronic communication service providers and two mobile communication operators.

LVRTC has developed proposals for further reductions in optical network track lease fees. Currently, the proposals have been submitted for evaluation to the Optical Network Monitoring Committee. If the proposal will be supported, the rent reduction for electronic communication service operators will come into effect already this year.