IPTV has arrived and will continue to spread across the globe. For fixed-line providers this technology brings the promise of new revenue streams at a time when traditional revenues are declining, barriers for entry to the market are crumbling, new players are emerging, and existing players are becoming more aggressive on price and delivery of new services.

The combination of regulatory changes and the introduction of disruptive technologies has caused tremendous uncertainty for traditional fixed-line providers. Cable operators have been quick to launch free or flat-rate voice over Internet protocol (VoIP). Aggressive and agile players such as Skype, alongside traditional Internet service providers (ISPs), have also entered the market, and even mobile operators are making life difficult by providing cheaper calls and launching an array of attractive third generation (3G) and Global System for Mobile Communications (GSM) services.

IPTV is touted as the golden child for the fixed-line operator, providing a treasure chest of new consumer services such as broadcast TV, video on demand (VoD), time-shifted TV, personal video recorders (PVRs), audio broadcast, and all flavors of Internet access, which have the potential to significantly increase average revenue per user (ARPU) for operators.

For telecom operators the new opportunities don't come without the requirement for network and operational changes. For providers to be successful with IPTV services, they will have to overhaul their existing network architectures to enable a much greater amount of bandwidth, flexibility, and quality of service (QoS) differentiation.

It is estimated that to deliver IPTV the minimum downstream bandwidth per user will be 20 Mbps. To deliver this bandwidth over copper, physics dictates that the digital subscriber line access multiplexer (DSLAM) must be within closer proximity to the end user, the magic distance seen as 1.5 km or less. Many industry experts believe that this is a conservative bandwidth figure and are envisioning that 50 Mbps downstream may be needed.

So the question begs to be asked: Does a long-term copper solution exist? The answer is yes, it does. The successful copper solution requires operators to deploy a distributed access model that allows for the widespread application of IP-based DSLAM. This move toward distributed access has decreased the size of the point of presence (POP), which in turn has increased the demand for small to mid-sized DSLAM products that can be installed in fiber-fed street cabinets and underground locations, bringing the access closer to the end user.

DSL, namely asymmetrical DSL 2+ (ADSL2+) and very-high-data-rate DSL 2 (VDSL2), is becoming the dominant delivery technology. According to analyst firm Datamonitor, DSL household penetration across western Europe and North America reached an average of 16 percent in 2004 and is expected to almost double to reach an average of 31 percent by 2008. For the delivery of high-quality IPTV and other triple-play services, operators will need IP DSLAM nodes that are able to support more than 20 Mbps bandwidth per user concurrently.

Another critical element for operators is to select access equipment that is operational expenses (OPEX)-optimized with capabilities to support a full set of IPTV features as well as converged support of business critical legacy services. By selecting equipment that allows for OSS integration and extensive remote management functionality, including pre-loop qualification, fault management, and double-ended line testing (DELT), operators can significantly reduce their OPEX.

However, IP DSLAM alone is not enough — analysts predict that 20–50 percent of users will stay with plain old telephone service (POTS) and integrated services digital network (ISDN). Therefore it is essential that operators are deploying multiservice access platforms that have the capabilities to support classic telephony services, leased lines, and profitable legacy services beside innovative IPTV and other triple-play services. IPTV is the service that bears the most potential for an increase in ARPU for operators. A report by TDG Research estimates that global IPTV revenue will top $17 billion by 2010. In the rush to deliver services, network access is an area that is often overlooked by operators, but it remains the critical foundation for service capability and performance as well as optimal OPEX.