2002-05-28 ©KistaOpen.Org 1

KistaOpen.OrgPrincipal:

Claes Engerstam.Coach:

Kurt Lundgren.Co-Coaches:

Jonas Willén, Joakim Wiling.

Project Team: Anna Bergqvist, Aravind Balasubramaniam, Maliha Mushabbar, Martin Lindkvist, Syed Mushabbar Sadiq.

2002-05-28 ©KistaOpen.Org 2

Project Team

Principal: Claes Engerstam.

Coach: Kurt Lundgren.

Co-Coachs: Jonas Willén, Joakim Wiling.

Project Team: Anna Bergqvist, Aravind Balasubramaniam, Maliha Mushabbar, Martin Lindkvist, Syed Mushabbar Sadiq.

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Overview

• Project Team Organization• Project & its Goals• Methodology• Project Progress• Business Model• Risk Analysis• Video• Q&A

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Project Manager

Project Advisor Project Assistant

Webmaster Technical ManagerEconomical ManagerRisk Analysist Multimedia Manager

MalihaMushabbar

MalihaMushabbar

MalihaMushabbar

MalihaMushabbar

MalihaMushabbar

SyedMushabbarSadiq

SyedMushabbarSadiq

SyedMushabbarSadiq

SyedMushabbarSadiq

SyedMushabbarSadiq

AravindBalasubramaniam

MartinLindkvist

MartinLindkvist

MartinLindkvist

SyedMushabbarSadiq

AravindBalasubramaniam

AravindBalasubramaniam

AravindBalasubramaniam

AravindBalasubramaniam

AnnaBergqvist

AnnaBergqvist

AnnaBergqvist

Project Team Organization

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Project Team OrganizationProject Manager

ProjectAssistant

ProjectAdvisor

Webmaster TechnicalManager

MarketingManager

RiskAnalysist

MultimediaManager

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Project & its Goals

• Expansion of Operator Neutral Network in

Kista.

• With the perspective of Real Estate Owners.

• Development of Business Model.

• Finding ownership solutions.

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Operator Neutral Network

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Methodology

• Literature and Internet Study

• Market Study (Interviews)

• standardized questionnaire

• Qualitative Analysis

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Project Progress

• Two phases:

Phase 1. Information seeking

• Individual areas of responsibility

– one group meeting/week minimum

• Organization

– overall manager

– different area managers

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Project Progress

• Goal alterations

• Catch 22

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Project Progress

Phase 2. Evaluation of gathered material

• Common evaluation

– close scheduled meetings

• “Real Estate Owner Day”

– SVEBO restrictions -> problem

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Business Model

• Real Estate Owners Association Own passive part of network (fibers).

• Communication Operator Own active part of network.

• Application Service Provider Responsible for providing services in local area network.

• Internet Service Providers Responsible for providing internet and related services.

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Business Model

ISPsISPsISPs

Real Estate Owners Association

Communication Operator

Tenants

Local Companies

ISPs

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Contract terms

• Between Real Estate owners Association and Communicator Operator- The REOA will lease the passive part to the CO.

- The REOA will set standards for the CO.

• Between Communicator Operator and Internet Service Providers - CO can charge a fixed fee to all the connected ISPs for

providing the network + additional fee according to the capacity of the network they use.

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Contract terms

• Between ISP and Tenants- The tenants will pay for the services they use.

• Between Communicator Operator and Application Service Providers - The CO will charge the application service provider for providing it the stable network to provide its services (other than internet). The charge system could be based on the capacity usage.

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Alternative Business Model

• Communicator operator work as a customer services also

• To lower its risk and increase its revenue

• Alternative business model

• Take a little fee from tenants to provide them stable network (customer services)

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Alternative Business Model

ISPsISPsISPs

Real Estate Owners Association

Communication Operator

Tenants

Local Companies

ISPs

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Common Forum

• The market is new

• More to develop

• More to change

• Much uncertainity among the actors

• The solution is common forum

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Suggested Network

• The network in Kista can be built in two rings

• According to a rough cost estimation to develop the passive structure, in case the fibers are leased by STOKAB

• Total cost is 77 593 SEK/3 month (excl. VAT)

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Risks for Network Investors

• Slow development of servicesToo little cash flow from the end users

• Low penetrationToo little cash flow from the end users

• Communication operator without financial strength Operators not able to provide active equipment

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What if the Real Estate Owners are not Interested?

This is a likely scenario...• REO generally conservative and risk-avoiding companies • not their core business• forming consortium demands a lot of cooperation with

competitors

Operator neutral alternative to handle this scenario:

• fiber leased from STOKAB by every actor individually

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Real Estate

Real Estate

Real Estate Real

Estate

ISPs ISPsISPsISPsISPs

Communication Operator

Tenants

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Alternative: Operator Consortium

A possibility in this model is a consortium of

several operators.

Advantages:• no need for REO to take initiative

• no need for REO to invest heavily

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Video

• Narrating the traditional services in beginning.

- how the users are frustated because of ISP monopoly, before establishing the ONN.

• Narrating how ONN could be established to provide broadband.

- Real estate owners and KTH conference

• After establishing ONN the users are happy of services and broadband solution is established.

• A new Kista is created..!

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Thanks for your attention.

Questions?