"The objective will be met: to bring very high speed broadband to 100% of French people by the end of 2022, 80% of which will be fibre - probably more," said Cédric O, the Secretary of State for Digital Affairs.

After a decade of work and more than 20 billion euros invested, the figures prove him right. Indeed, two thirds of French households were eligible for fibre optics last spring. With a current rate of 15,000 new homes and businesses seeing fibre arrive on their doorstep every day, the 80% mark will be passed by the first half of 2022.

For French people not covered, there is an alternative solution offering speeds of over 100 Mb/s: VDSL, cable or, soon, satellite - thanks to the commissioning of Eutelsat's very powerful Konnect VHTS.

The gamble has therefore been successful nine years after the launch of the "France Very High Speed Plan". Especially since the objectives have been raised: the estimated total number of households in France has risen from 36 million in 2013 to 41 million in 2022, without lowering the 80% mark. And that there was no shortage of difficulties: shortage of raw materials, shortage of manpower, stoppage of construction sites at the start of the pandemic, etc.

The work still needs to be finished, because even in large cities, around 10% of homes are still without fibre optics. In medium-sized towns, the situation is not satisfactory either. They were supposed to be fully covered by fibre by the end of 2020. Six months after the deadline, only four out of five homes were eligible. The government and Arcep are passing the quid on a possible sanction, but a certain annoyance is perceptible on the part of the authorities. As for the countryside, fibre is being rolled out at breakneck speed. But they are not fully covered by the projects already launched. About 2 million homes are still in limbo. These lines, the most complicated to build and the least profitable, will require new subsidies.

Through the stimulus package, the government has already put €150 million on the table. The industry estimates that at least two to three times more will be needed. An evaluation mission should be made public at the end of the year. We will then know how much the next executive will have to invest if it wants to bring fibre to 100% of French people.

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Source : Les Echos

For about seven hours on the evening of 2 June, the numbers for the Samu (15), the police (17), the fire brigade (18) and the single European emergency number (112) were virtually inaccessible. Orange, through its CEO Stéphane Richard, had then presented "its deepest apologies". Then, early this morning, on 4 June, the historical operator announced that it had launched an "in-depth" internal investigation.

This announcement preceded the meeting of the interministerial crisis unit. "Things are back in order" and "the situation is back under control as I speak", declared Jean Castex at around 9am, at the end of this meeting which he chaired.

"We deplore the victims who may have been caused by this serious incident", confirmed the Prime Minister.

The head of government insisted that "it will be necessary to establish very clearly the cause of the events that occurred and above all the means to ensure that they do not happen again."

For the time being, Orange has already launched an in-depth internal investigation. The telephone operator's general inspectorate "will have to carry out the necessary investigations to identify the precise causes of this incident and issue recommendations to draw all the necessary lessons", Orange said.

Conclusions are expected within seven days. "In connection with the interministerial crisis unit, we set up yesterday evening a dedicated unit to resolve any local malfunctions that might appear," added the telephone operator, while "disturbances" still remained on 3 June "in a random manner".

When asked about the origin of this breakdown, Stéphane Richard already ruled out the hypothesis of a cyber attack. This incident is "more likely" due to "a software failure in (the) critical network equipment", i.e. the platforms responsible for routing calls.

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Source : Les Echos

After ten months of proceedings, the Arcep ruled in favor of Bouygues Telecom regarding the wholesale prices charged by SFR FTTH to other national or regional operators. The latter are grafting themselves onto SFR's optical fiber network in the countryside in order to be able to offer this technology in areas where their own networks are less developed.

The Arcep was seized last January by Martin Bouygues' operator, after a price increase on the SFR side. Indeed, to access a "package" of SFR lines, operators had to pay 5.80 euros per line and per month, compared to 5.48 euros for Orange. Line rental prices had increased to 16.40 euros per month and per line.

SFR FTTH was able to increase its prices because, when it comes to optical fiber, only Orange's rates are regulated. For its part, Bouygues Telecom demanded two things: a return to the rates in effect before the February 1, 2020 increase and a reduction in line rental prices, with a range of 12.20 euros to 13.20 euros.

The regulator ruled in its favor on these two issues. SFR will therefore have to offer Bouygues Telecom an amendment to the contract to restore the old rates within one month. As regards line rental, SFR is required to propose a new tariff to Bouygues not to exceed 13.20 euros per month and per line.

This is a real setback for SFR, which by the end of 2018 had sold half of its fiber optic network in the three-fund campaigns. The latter had paid a very high price for this asset, no doubt enticed by the promise of high and long-term rental revenues.

But two years later, the operator had to lower its prices. In addition to this, Free has also filed a complaint with the Arcep on the same subject.

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Source : Les Échos

This week, the Arcep unveiled its assessment of fiber optic deployments in the second quarter. And even though the milestone was reached under difficult containment conditions, half of French homes are now eligible for fiber optic cable. In fact, 1.2 million new lines were deployed between April and June. Fiber optic coverage of the territory is progressing at a "high rate", even if "the health situation related to Covid-19 has not allowed operators to continue the significant acceleration observed at the end of last year".

Despite severe restrictions due to the health crisis, work continued at a rate equivalent to that at the beginning of the year: around 400,000 lines per month. The equivalent of a town like Nemours or Granville... every day.

This dynamic allows us to calmly envisage the "five million new lines" in 2020 predicted by Minister Cédric O. If this pace is maintained for another two years, the executive will have kept its promise to bring fiber to 80% of French homes by the end of 2022.

However, the Arcep is showing its vigilance in one particular area: medium-sized cities. Indeed, in 2018 Orange and SFR made a commitment to the government and the regulator to cover them entirely with optical fiber by the end of 2020. And with 10.5 million connectable lines, they are still a long way off. Orange covers only 67% of households in the municipalities to which it has committed and SFR 75%.

In theory, they have nine months left to complete 5.5 million lines - an almost impossible task. Arcep's only concession: the deadline can be postponed by three months following the health crisis, as provided for in the government order on the extension of deadlines linked to the coronavirus. Even with this additional quarter, "the pace of deployments will be critical over the next few quarters and the Arcep will continue to be attentive to the efforts of operators", writes the Telecoms gendarme, who clearly has no intention of slackening on the subject.

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Source : Les Echos

Despite the deployment delays caused by the health crisis, the government assures that the coverage targets of the New Deal Mobile will be met. This is in any case what the Minister for Territorial Cohesion, Julien de Normandie, assured in an interview with Les Echos.

All French people must have access to 4G before the end of 2020, this is the government's promise and the objective of the New Mobile Deal signed in January 2018 with the operators and the Arcep.

In particular, the scheme provided for the shared deployment of new towers between operators in order to eliminate white zones. Julien Denormandie declared on this subject: "Of the 485 sites of the targeted coverage system expected at the end of June, 340 are already operational. Dozens of others have been erected and are just waiting for an electrical connection. By the end of September, we will be back to normal". A further 600 new pylons are to be erected before 31 December.

The agreement also provided for the switch from 2G and 3G sites to 4G. According to the Minister for Territorial Cohesion, 10,000 new municipalities will be affected in the last quarter.

However, the capacity of these mobile networks will still need to be increased to achieve true quality of service. This is why the targeted coverage scheme will continue until 2025 with 700 to 800 new sites each year.

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Source : 01Net

The prospect of going out of business is slipping away for Kosc. "A business continuity plan will be proposed by Kosc's management and massively supported by Altitude Infrastructure," explains David El Fassy, the president of this group specialising in the deployment of fibre optics in rural areas.

The offer will be placed on Monday on the desk of the receiver, who will have to choose between it and possible disposal plans presented by other candidates, such as Bouygues Telecom, which has long been presented as a potential buyer.

"We propose to maintain the business and the services provided to customers. We are backed by Altitude, an extremely experienced family group used to providing wholesale only services. And we pay the company's liabilities. This is by far the best solution," argues Yann de Prince, Kosc's founding president.

As part of the continuation plan, the debts of 40 million euros would be renegotiated. And an agreement would be sought with SFR to settle any dispute.

The fact remains that the company is burning cash. The former shareholders - the OVH group and Caisse des Dépôts - had agreed to provide 4 million euros at the beginning of December to ensure operations during the recovery phase. The administrator knows that this cash box will soon be empty.

Faced with this cash flow problem, Altitude Infrastructure promises to invest 100 million euros in Kosc over the next five years. A large part of this contribution will be made out of own funds.  "Acquiring new customers is expensive, explains David El Fassy. Kosc's technical infrastructure is now efficient and supplies a lot of companies. Kosc's market is ahead of him. Our business plan foresees a return to operational equilibrium in 2022."

The existence of this continuation plan should reassure Kosc's employees, the dozens of customer operators, the companies that they themselves supply, and also the elected representatives of the Senate and the Assembly, who have taken up the challenge in recent months to criticise the Competition Authority's action on the corporate telecoms market. Indeed, faced with the very unsatisfactory access of SMEs to optical fibre and high prices, in a context of Orange and to a lesser extent SFR domination, the parliamentarians called for the rescue of the Kosc model. The rescue is on its way.

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Source : Les Echos

A little over a year ago, Axione and the Mirova Fund created CityFast. The company had bought the 140,000 fibre optic lines deployed by Bouygues Telecom in major cities. CityFast then made a commitment to connect 3.4 million urban households by the end of 2021 and to lease this infrastructure to Martin Bouygues' operator and others.

One year later, CityFast assures to have crossed the 800,000 fiber optic lines deployed. The wholesaler will therefore move on to the next phase: the marketing of these pipes to interested operators. The multitude of regional or specialized operators supplying VSE-SMEs will then be able to offer fibre optic subscriptions in city centres at very competitive rates.

The president of CityFast, Eric Jammaron, explains "Today, it is a very closed market. A downtown law firm, for example, has a very limited choice. Either it takes an FTTH subscription from one of the major operators present in the building, without guarantees, or it goes through a corporate operator to have a dedicated fibre with a very superior quality of service, but a very expensive subscription".

The wholesaler is convinced that small and medium operators will be in a hurry to offer fibre, with or without a guaranteed recovery time, to VSE-SMEs.

"We are betting on the mass, with extremely aggressive prices," says Eric Jammaron. Today, an ADSL pro offer, with much lower speeds, sells for 60 to 80 euros. Pro fibre doesn't go below 300 euros. "CityFast will sell its FTTH lines with service guarantees three times cheaper to operators.

An argument that is not entirely convincing. Nicolas Aubé, head of Celeste, is convinced that companies will remain fond of lines just for themselves.

CityFast will quickly know what to expect. As of this week, it opens to rent its fiber lines in the 7th district of Paris, then in the other districts of the capital, as well as in Lyon and Marseille.

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Source : Les Echos

According to several telecom specialists, operators' uncertainty about whether or not to use Huawei's 5G antennas for their new mobile networks is growing.

Yet the law on securing mobile networks (nicknamed "anti-Huawei") has made things clearer. Indeed, operators must get the green light from Anssi - the National Agency for Information Systems Security - before using 5G equipment. The Agency then has two months to study their files.

At the end of December, Orange, SFR and Bouygues Telecom all submitted authorization applications for the deployment of Chinese 5G antennas in France.

However, according to several sources, cyber-experts in the French-speaking part of the country are making more and more requests for further information. It's not serious, "says a concerned operator. If they're trying to save time this way, it's a mistake. A court would never agree with them, the case law is very clear".

What operators are actually afraid of is that the Anssi is deliberately dragging its feet to avoid having to post a denial of clearance ahead of the 5G frequency allocations, scheduled for April. If equipment manufacturers were to be denied to operators before that date, the latter would then be weakened and could therefore lower their bids for the 5G auctions .

According to the new legal framework, the absence of a positive response from the Anssi within two months is tantamount to a refusal. But this time limit runs from receipt of a complete file... a complete file. Hence the irritation of the operators in front of what one actor describes as "delaying tactics" to postpone the deadline.

A specialist in the sector even indicates that "Some operators are impatiently waiting for an implicit refusal to be able to take legal action".

But the strategic interest of the four players differs. Indeed, Free, using only antennae of the Finnish Nokia, is not concerned.

Orange does not use Huawei antennas in France to date. However, it wants to have the possibility to solicit the Chinese supplier for its future 5G network.

As for SFR and Bouygues Telecom, which use Huawei on half of their respective networks, they are keen to be able to continue doing business with the Shenzhen giant. Doing without its 5G antennas would indeed require dismantling the 3G and 4G antennas for compatibility reasons. The cost would be enormous. You would have to buy and install this equipment. Above all, a large part of the network would be disrupted for many months, pushing customers into the arms of the competition. "Free would become, without doing anything, the second best network in the country... while it remains far behind" as a telecom specialist analyses.

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Source : Les Echos

From the second half of the year, the railway group will sell fibre to regional telecom operators for business customers.

On this market dominated by Orange and SFR, the arrival of SNCF should therefore make waves. The company has historically had a 20,000-kilometre fibre network that connects its 3,000 stations in particular. For years, SNCF has already been leasing access to its network to regional telecom operators too modest to build such infrastructures themselves. However, this is very long-distance "dark" fibre. The operators have to install their own equipment to bring it into service. This time, SNCF's ambition is to sell "activated" fibre, i.e. ready to use.

The group assures that it does not want to "disrupt" the market, but simply to contribute to the digital development of the region. The Very High Speed Broadband plan should generalise fibre throughout France by 2022, but today only 23% of VSE-SMEs are connected to it, according to a Covage study.

The SNCF wants to propose a premium offer with the aim of achieving profitability. "The SNCF is going to enter this market with State aid. So this project is not going to be very well received by the major operators. It's a very political issue," says one observer.

There is nothing trivial about the timing of this project. Kosc, a wholesale operator created in 2016 to shake up the Orange-SFR duopoly in corporate telecoms and which leased its fibre network to 65,000 customers, has only six months to find a buyer. In this context, small operators worried about being cut off from the Kosc network could turn... to the SNCF.

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Source : Les Echos

Launched on September 16, Wi-Fi 6 will become widespread in the Telecom sector. Indeed, according to the Wi-Fi Alliance, more than 1.6 billion devices will offer it by the end of 2020. "This is the first time in the history of Wi-Fi that we're going to see so much progress. The impact of Wi-Fi often goes unnoticed. Yet even international trade depends on it! Wi-Fi 6 is there, it's a reality, companies deliver their products," enthuses Kevin Robinson, Wifi-Alliance's Vice President of Marketing.

The next mobile phone standard, 5G, is planned for 2020 in France. Telecoms operators will first have to buy the valuable licenses this fall. However, using free frequencies, Wi-Fi 6 was able to arrive this summer in France.

This version 6 has many advantages. It allows dozens of devices to be connected simultaneously. "Today, in an average family of four people, there are at least four phones on the same Wi-Fi, not to mention business smartphones, tablets, one or more PCs, a connected TV... We see that the number of devices per household is increasing faster than the speed consumed," explains Christian Gacon, director of fixed networks at Orange Labs.

But 5G should not relieve the problem. 5G uses high frequency bands, compared to 4G, which allow broadcasting further away but penetrate less well inside buildings. For this reason, 5G will be used mainly outdoors and Wi-Fi 6 indoors. "These are two complementary technologies. For example, Wi-Fi 6 will not allow the development of autonomous cars!" says Kevin Robinson. In the industrial world, 5G will therefore be essential for uses requiring very low latency and long range. Wi-Fi 6 is more suitable for short-range uses.

But others are more measured. "Wi-Fi 5 is already very powerful and will support the next ten years. Wi-Fi 6 is for the next twenty years. It brings an improvement... From my point of view, the real breakthrough came with Wi-Fi 5," says Marc Taieb, president and founder of Wifirst.

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Source : Les Echos

The incumbent operator has submitted a Priority Question of Constitutionality to the Council of State, which can thus deprive the telecom police of its sanctioning powers and render the operators' commitments ineffective.

Unveiled on Tuesday by Le Monde, this request challenges the legal validity of a formal notice sent to it by Arcep last January. Indeed, the regulator criticized Orange for not respecting its obligations towards other telecom operators when it makes its fixed networks available to them. For the time being, this request is only at the preliminary stage. It will only be examined by the "Wise Men" of the Constitutional Council if the Council of State decides to transfer the file to it.

But in reality, it is a much broader problem. The incumbent operator argues that Arcep is both judge and party at the same time and that there is too much permeability between its three missions: to enact rules for the market, to control telecom operators and also to sanction them in the event of non-compliance with their obligations.
The regulator would de facto be deprived of its power to impose sanctions if the Conseil d'État were to rule in favour of the operator. In short, if the Arcep can no longer sanction abuses, the shipyards will fall behind and the objectives to boost French access to very high speed will not be met.

Orange assures that the procedure is a legal issue and will not affect the commitments made. The operator points out that in 2013 the Arcep has already been deprived of its power to impose sanctions in a similar procedure.
 

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Source : Les Echos