Deutsche Telekom partners to provide FTTH in Chemnitz

Deutsche Telekom (DT) says it will partner with regional power provider eins energie in sachsen to provide fiber to the home (FTTH) services in Chemnitz. This is DT’s first such partnership, which will see eins energie construct the infrastructure and DT operate the network.

Up to 60,000 homes are scheduled to be connected to the FTTH network by the end of 2014. First customers in Chemnitz could be connected as early as this fall. The network will support download speeds of up to 200 Mbps, DT asserts.

"By constructing this optical fiber network we are laying the foundation for super high-speed Internet access in many parts of Chemnitz. Being able to communicate at the speed of light improves the quality life for the people of this city and makes it even more attractive as a place to do business," said Reiner Gebhardt, chairman of the Managing Board of eins energie in sachsen GmbH & Co. KG. "We invite property owners within the footprint of the roll-out to take part in the project. This is an investment in the value of the buildings and helps boost the standing of our region."

"This is the largest optical fiber project Deutsche Telekom has undertaken anywhere in Germany and this project here in Chemnitz is the first time we have entered into a cooperation with a regional utilities company," said Niek Jan van Damme, chairman of the Managing Board of Telekom Deutschland GmbH. "eins is the local power company, the people of Chemnitz know the company, and it is an expert in the construction and operation of supply networks. We are open to work together with other enterprises and we look at all forms of cooperation, including with regional companies such as municipal and regional utilities companies or other partners.”

Roll-out work will begin in April. DT expects to connect 20,000 homes by the end of this year. The roll-out is then to continue with approximately 20,000 additional homes connected in each of the next two years.

The partners say that “active cooperation” from property owners will be essential to successful construction. eins needs the consent of the owners (what is known as the "license agreement for fiber-based campus and building networks"- NVGG) for the network construction work up to the building and inside the front door. There will be no charge for the connection.

If 80 percent of property owners in the first roll-out area opt for an optical fiber connection and 10 percent of homes select a product marketed via the FTTH network, then the roll-out will continue in additional areas of Chemnitz in 2013 and 2014. Once the optical fiber network has been completed, Deutsche Telekom will lease the network from eins and will operate it in an open access fashion that will grant competitors use of the network.