International Symposium on Telecommunication (IST)

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The cost of renting a fiber network from one operator to another in Iran

Authors :

Reza Mehri¹ Davoud Ranjbarrafie² Elham Ziaeipour³

1- پژوهشگاه ارتباطات و فناوری اطلاعات 2- پژوهشگاه ارتباطات و فناوری اطلاعات 3- پژوهشگاه ارتبارات و فناوری اطلاعات

Keywords :

fiber network،renting،operator،cost

Abstract :

With the expansion of optical fiber under the 13th government, the coverage has increased from approximately 1.5 million households in 1400 to more than 8 million households by 1403. It has also been decided that by 1404 the amount of coverage will reach about 20 million households. In Iran, the expansion of the fiber optic network in each sector is the responsibility of a single operator. Therefore, as the fiber optic network expands, the demand for network service providers to rent fiber from network owners to provide service to households increases. Because of this issue, the discussion of fiber optic network rental pricing is very important. In this research, the rent of each part of the fiber optic network has been determined. First, to determine the rental price, the cost of fiber optic network development was investigated in three segments: the Feeder Segment, the Street Cabinet, and the Distribution Segment, across metropolitan areas, provincial centers, and other cities. The results show that the fiber optic developer operator spent 1, 2.7, and 4.8 million Tomans per user in metropolitan cities, provincial centers, and other cities, respectively. Then, by using two cost-benefit methods and the amortization cost method with a fixed rate, the minimum tariff for sharing optical fiber between two operators was estimated. The results show that the minimum monthly sharing tariff in metropolitan cities, provincial centers and other cities for each subscriber should not be less than 3, 5.1 and 14.4 thousand tomans in the fixed rate depreciation method, respectively, and this monthly sharing tariff in the cost-benefit method as well In metropolitan cities, provincial centers and other cities, per subscriber should not be less than 30, 53 and 145 thousand tomans, respectively. The reason for the high difference between these two methods is that in the depreciation method with a fixed rate, the sharing tariff must be adjusted and increased every year based on the inflation rate, but in the cost-benefit method, the inflation rate during 20 years is an average of 25% and The profit of the network owner is also considered to be around 11%, and there is no need to increase the minimum sharing tariff during the 20-year effective life of the network.