Fibre Leased Line vs FTTP On Demand - Difference?

This question is probably showing my fundamental misunderstanding of the differences here. But can someone explain to me what the difference is between a Fibre Leased Line and FTTP On Demand?

Are they same thing and will you in effect be getting a private FTTP On demand by taking out a leased line so in the end of the Leased Line contract you are free to go and get regular FTTP.

I ask as Cerebrus quoted me £20,600 ex vat build costs and also the (I think) either £100 or likely £160 ontop per month for FTTP on demand.

So we are talking around £30,000 for a years FTTP with Cerebrus. Which is crazy prices.

But looking at this website for their Fibre Leased Lines

https://www.cix.uk/leased-lines/fibre-leased-line

It says I can get to my exact home address a 12 months 100mb guaranteed up and down Fibre leased line installed from BT Wholesale. Which means they would have to install FTTP for this wouldn't they, or at the least load bond a whole load of FTTCs?.

£916.55 Installation costs and
£4098.6 for one years 100mb up and down Fibre. Both including VAT

So totalling £5000 all in for a year

Would this effectively be a much cheaper way to get FTTP so at the end of the 12 months Leased Line contract you could go to Zen and get regular FTTP for £60 per month I just cannot see how they would offer this without installing FTTPod to my premisis?

Edited by Anth (Sat 24-Mar-18 11:27:37)

Doubtless someone will correct me shortly ...

The leased line will have a much higher SLA service level agreement, repair times etc.

The fibre itself will be point to point, so will be a different topography... so you couldn’t just migrate to FTTP after.

Fibre based lined (as opposed to a bundle of copper circuits) is very different in architecture to FTTP.

FoD FTTP delivers a GPON based FTTP connection, which means the light is split between 32 other premises, and bandwidth is shared, now that light can handle 2.5 Gbps down, so if you get a 300 Mbps connection and you are the only person then local contention not an issue, but once 8 or more connect it might be seen if you all hit a speed test at the same instant. Then as you get to the headend exchange you join with many more people to be fed into a handover fibre which may be 1 Gbps or 10 Gbps in size before heading to ISP own backhaul which may or may not get the FoD customers priority, or leave you fighting with the ADSL/FTTC customers.

Leased line you pay for 100 Mbps and if its 100 Mbps committed that is what you get between you and the providers core network, leaving the ISP you to the wider internet you will be on shared links but as you can see you get a better bandwidth deal.

On FoD yes massively expensive in the first year, but then after 12 months you can migrate to things like BT Infinity 1 with offer prices of £28.99 per month.

On the leased line the £4,000 per year will go on for ever.

So FoD over three years, if you drop to a cheaper say £80 service after 1st year
£24k + £1.8k+ £1.9k = £27,700
Leased line over three years
£13,000

Over six years
FoD £30,840
Leased Line £25,504

So if you look at long term costs you can assuming you live where you are for a long time the FoD will eventually work out cheaper, and you get a hint of the cost equation i.e. FoD Openreach front load the costs of building the service. Leased Line they know firms tend to keep leased lines for long periods of time so spread the build costs over a longer time frame.

Post deleted by candlerb

Correct, with the leased line you are stuck to leased line pricing until you cancel

But often if you re-contract, the pricing can drop massively.

TTB and Virgin both do this at the end of the term if asked.

Matt

Can drop - but not certain i.e. its the usual works for some when phoning for a bargain and not for others.

In reply to a post by MrSaffron:

Correct, with the leased line you are stuck to leased line pricing until you cancel

Yes but what my question is.

I take out a 12 months Fibre leased line contract with either BT Wholesale or Virgin

They come they install the Fibre line to my premiss (from where I am not sure, the aggregation node, a cabinet or what exactly).

But anyway they install this to my premises. I pay them for 12 months. My contract ends. I then do not renew the contract for the leased line.

What then do I have? As I thought I had a regular fibre line now that I could go to BT infinity or Zen and pay for FTTP? How is this not the case.

Where do BT or Virgin run the Fibre cable from to my house that means it cannot be connected to the agregation node to get regular FTTP?

Edited by Anth (Sat 24-Mar-18 17:50:58)

No.
What you then have is fibre to your property that can be used for leased lines again in the future. It's totally different to the way OpenReach FTTP works.

It will NEVER allow you to access any OpenReach GPON FTTP service.

The fibre would not come from an aggregation node.

MrSaffron answered your question in detail. I suggest you read his response again.

Fibre based lined (as opposed to a bundle of copper circuits) is very different in architecture to FTTP.

FoD FTTP delivers a GPON based FTTP connection, which means the light is split between 32 other premises, and bandwidth is shared, now that light can handle 2.5 Gbps down, so if you get a 300 Mbps connection and you are the only person then local contention not an issue, but once 8 or more connect it might be seen if you all hit a speed test at the same instant. Then as you get to the headend exchange you join with many more people to be fed into a handover fibre which may be 1 Gbps or 10 Gbps in size before heading to ISP own backhaul which may or may not get the FoD customers priority, or leave you fighting with the ADSL/FTTC customers.

Leased line you pay for 100 Mbps and if its 100 Mbps committed that is what you get between you and the providers core network, leaving the ISP you to the wider internet you will be on shared links but as you can see you get a better bandwidth deal.

On FoD yes massively expensive in the first year, but then after 12 months you can migrate to things like BT Infinity 1 with offer prices of £28.99 per month.

On the leased line the £4,000 per year will go on for ever.

So FoD over three years, if you drop to a cheaper say £80 service after 1st year
£24k + £1.8k+ £1.9k = £27,700
Leased line over three years
£13,000

Over six years
FoD £30,840
Leased Line £25,504

So if you look at long term costs you can assuming you live where you are for a long time the FoD will eventually work out cheaper, and you get a hint of the cost equation i.e. FoD Openreach front load the costs of building the service. Leased Line they know firms tend to keep leased lines for long periods of time so spread the build costs over a longer time frame.

Have actually had a survey for a leased line to know if there are any excess construction costs of top of installation costs? I'd be surprised if there were not.