Techno-Economics on Implementation of FTTH Network for Broadband Services

Abstract

Globally, the increasing need for the Information and Communication Technology (ICT) Industry is experiencing very rapid progress, especially in broadband telecommunication technology. With this technology, it is easy to exchange information between one another even though it is at a great distance. So far, high quality data speeds at affordable costs and without limitations. To improve the quality of service so that it is better to modernize access transmission, Modernization of the access network is performed by changing the copper cable network to a Fiber optic cable. Fiber optic cable is able to carry a larger user capacity, therefore this research will discuss Techno-Economics on the Implementation of Fiber To The Home (FTTH) Network for Broadband Services. Where this is performed to see the feasibility of investing in the construction of fiber optic network infrastructure in Fiber To The Home (FTTH) profitable or not for the company. This study uses techno-economics methods. The results showed that the Net Present Value (NPV) obtained was Rp. 189,393,209 with an Internal Rate Return (IRR) of 20%, the Net Benefit value obtained was 1,389 and the duration of the payback period was 2 years and 9 months. Based on these parameters, it can be seen that the investment is feasible to continue.