Socio-economic return of FTTH investment in Sweden, a prestudy

Marco Forzati, Crister Mattsson
Type of publication: 
Book & book chapters

There is a wide range of FTTH initiatives throughout Sweden, with
investments made by both telecom operators and public actors. The benefits
of the investments are often discussed, especially when the investment is
made by municipalities or other public bodies.
This preliminary study analyses the socio-economic impacts of the
investment in FTTH. The goal of the study was: Is it possible to calculate how
much a krona (SEK) invested in fibre will give back to society? The conclusion is that
a more comprehensive statistical data and more calculations are needed to
give an exact estimate. The study, however, provides an indication that 1
SEK invested over four years brings back a minimum of 1.5 SEK in five
years time. The study estimates the need for investment to achieve 100%
fibre penetration, identifies and quantifies a number of significant effects of
fibre deployment, and then calculates the return on investment.
We recommend a more extensive study, in which the proposed model is
refined and expanded with more detailed and updated data.
This pre-study was sponsored by the Swedish Government’s Broadband
Council (Bredbandsforum).

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