Ziggo and UPC, the leading HFC operators in the Netherlands, are taking the lead over KPN's ADSL2+ based network by deploying Docsis 3.0, as traffic is growing from many sources. Their networks, which already exist of fibre for 97 percent of each line, have a wealth of options for further upgrades to combat KPN's answer to Docsis 3.0: FTTH. This represents an evolutionary roadmap, grounded on cable's legacy networks, versus fibre's revolutionary approach by building future-proof networks from the ground up. HFC upgrades go a long way in matching FTTH, but costs for cable operators could be high. Ziggo and UPC are not including FTTH in their roadmaps, but in the long term they may have to do so. In the end, it all comes down to demand for advanced services, such as non-linear HD video. Cable's strategy is to not overestimate the short-term impact; it remains to be seen whether they are underestimating the long-term impact. In this brief we focus on the options for HFC network upgrades. We have discussed these with executives from both Ziggo and UPC.
