Broker-Driven Transfer Process
While all address transfers are unique, dependent upon a variety of factors such as regional internet registry (RIR) region (for example RIPE), company needs, etc., the overall process has a general framework, especially when IP address brokers are involved. In the beginning, brokers match buyers with prospective sellers based upon need and pricing via the brokers’ own proprietary databases.
Once a potential match is found, both parties are introduced and negotiations commence. Negotiations can often be the longest or shortest part of the entire process; usually terms regarding price and other contractual points tend to take the most time for mutual agreement. When transactions occur between large corporations, often multiple layers of approval are required between departments before deal points are agreed upon in the final contract. Brokers assist both parties’ navigation through these negotiation and administrative procedures.
By acting as middle men, IP brokers help create trust within a process that can be inherently tense, given that millions of dollars are being exchanged for essentially invisible numbers rather than liquid assets. Brokers often also act as escrow agents between parties; once a price is agreed upon the broker-as-agent will hold the funds while the paperwork is processed and transfer is completed by the RIR. This role helps create a sense of trust and provides insurance for both buyer and seller.
In terms of documentation, the IP transfer process normally involves three primary documents. First, there is the RIR’s Transfer Agreement itself. This document must be endorsed by both buyer and seller, stating for the registry which companies are involved in the transfer and which addresses are being transferred. Both parties can still draft their own contracts stipulating the financial and commercial terms of their agreement, though the official Transfer Agreement itself does not concern itself with those matters. It is a purely clerical document required for properly updating the RIR’s database.
The second document is the Asset Purchase Agreement (APA); this contract is normally provided by the broker, however the buyer may have their own standard documentation as well. This contract is usually what takes the most time to agree upon terms-wise. If an outside escrow agent is used, besides the broker such as a bank, they will provide one more document clarifying their role, which would be the third major document. Once these contracts are negotiated and finalized, it is standard operating procedure to then have both parties also sign a Non-Disclosure Agreement (NDA) as many companies normally do not wish to make the details of such transfers public knowledge.
Sometimes buyers may also require a Letter of Intent from either the broker or seller as well. Once all this documentation is received, agreed upon, and signed then the funds are usually transferred immediately and the actual transfer with the RIR begins. Every RIR region has different protocols; however, the seller will normally inform the registry of its intention to transfer right of usage of specific address blocks to the buyer. The registry will then review all necessary documentation and determine if the buyer has a legitimate need for said addresses. Most RIRs have this policy in place in order to curb speculators. Once the review process is complete, the registry will update its database and transfer over the addresses’ right of usage if said request is approved.
Most of us have already heard a lot about the fibre to the home (FTTH) network. This initiative has been taken in many countries including Japan, Italy, and United States etc. Fibre connections are terminated at the premises of the house. The household can then use this ultimate connection to stream HD videos effortlessly, use high speed internet for smooth video calling, file sharing, downloading, online gaming, and much more. With the internet, the user can also enjoy HDTV connection, Video on Demand (VoD), telephone connection, and other extra services offered within the same fibre connection. About 10 million households worldwide have been integrated with FTTH infrastructure and many more are under process.
The rest of the perhaps less fortunate users enjoy the mix of a high speed fibre connection and then the copper wire communication system which ultimately connects to their home or business. These people may still be able to avail the above mentioned extra services (HDTV, VoD etc.) but perhaps at a lower quality level. The position at which the connection channel switches from fibre optics to copper determines the infrastructure and thus the name of the specific architecture of the communication network. Few of the common infrastructures are explained in the following passages.
FTTN (fibre to the node/neighbourhood) is when the migration takes over at the street cabinet. The cabinet supplies the connection to the neighbourhood and thus the name of the architecture. However, the end user may still be a large distance away (up to a few miles) and thus would have to rely on the copper network characteristics. In contrast to this FTTK / FTTC (fibre to the kerb / curb) switches to copper relatively nearer to the end user (about 1000 ft. approx. 300 m). The migration still takes place at the cabinet or the closet but the end user enjoys a better high bandwidth copper network and thus can avail luxurious Ethernet and other services.
FTTP (fibre to the premises) is the category that encompasses FTTH and FTTB (fibre to the building). The connection ends at the premises of the building usually in the basement. From there the communication medium is the network of the building itself and therefore the users can enjoy very good quality, high speed communication associated with fibre optics.
In the final category, the migration takes place at the end user itself. This is the fibre to the desktop (FTTD) architecture and the glass fibres are terminated at the fibre media converter at the user desk. This user may be the most privileged of all infrastructures.
Fibre to the Home refers to the fibre connection provided to the residence of the user. It is a subset of fibre to the premises connection type and is quickly growing all over Australia with more and more people requiring fast internet connection.
In this type of a connection the user is able to access the network directly through fibre connections without the copper connection in the middle. Fibre optics does not only offer high speed but also high reliability and security to its users. This facility is already being enjoyed by over 10 million users worldwide including 1 million in the United States.
FTTh provides you fast internet connection because you are directly connectied to the fibre optic glass threads. Due to this factor high speed internet and its true potential is now at your fingertips. With a fast internet connection you will find it easy to download HD videos, stream live HD, share large files, transfer photos without any issues. Copper wires are now a thing of the past, they did not only offer low speed but also limited number of connections and waiting in line created a lot of problems for many users.
Earlier it was believed that only commercial users required a fast internet connection. However, now even household users are requiring a speedy connection as the use of the internet is on a constant rise. Plus, multiple users are connected to one network which is why more speed is demanded.
Cloud computing is also smoothly possible with the high speed that FTTH offers. Users can sync home PCs to work PCs or different PCs altogether allowing them a unique easy with which they never lose on work. It must be noted that availing all these (and more) services does not in any way reach the maximum potential of the fibre optic connection!
Fibre to the home does not only carry the web traffic load of today but also has the potential to do so in the future. Many researchers believe this to be the ultimate connections for which there is no foreseeable web traffic jam. Even with the current steep increase in the data transfer over the internet, fibre optic connections will be able to cope for any predictable traffic load. Therefore, a FTTH connection supports not only the current technologies and services but also will be compatible with new products as they come out.
Despite the high capital cost of fibre optics communication, virtually every medium and large communication project now employs this technology. Quite simply, the exceptional features offered by this technology outweigh any initial cost and expertise. On the top of the list is the mega data transfer rate that can be achieved and the high security and immunity to external factors and manipulations.
Perhaps the most prominent application of fibre optics is Gigabit Ethernet. Internet migration from obsolete copper cables to fibre optic cables means extremely high bandwidth, reliability, and speed. This ensures HD video streaming, interrupt-free video communication, lag-free multiplayer online gaming, high speed downloads and much more. Data rate in single mode cables can go up to 10 Gbps. Higher bandwidth and multiple modes also allow the single fibre optic channel or cable to carry signals for internet, landline telephone, HD TV, and more extra features.
It is not only used for communication networks on large scale but many big firms and companies also employ this method of communication within their industrial plants and also for the networks in their large offices. This is because communication through these cables is not only faster but also very secure. This feature expedites the transmission of highly confidential and sensitive information over channels. Moreover, large offices employ hundreds of personnel and there is large amount of data transmission and receiving throughout the working time. Fibre optics present high bandwidth and extremely high speeds to ensure effective communication at all times. Also for industrial plants, the immunity of the cables to electromagnetic interference and adverse environmental conditions make it a better decision.
Similarly other harsh environments with extreme temperatures, high EMI, exposure to radiations etc. also use fibre optics to exploit the immunity characteristics. The cables are naturally equipped with modified protection to offer extra prevention of any possible damage and interference from these conditions.
These types of cables are increasingly used in multiple new military air, ground, sea, or space projects due to its favourable features. Due to the light weight and somewhat easier handling (after installation), These cables are also the popular choice in many aerospace and avionic projects. The use in space exploits features such as wide bandwidth, immunity to EMI and RFI, light-weight and small cables, and low attenuation for large distances. In the medical industry it is also used for transmission of digital medical images. Regardless of what the field may be, fibre optics has steadily made its way as the ultimate channel for fast, reliable, and heavy communication.
The hunger for speed and bandwidth keeps growing as we gain access to more and more channels to exchange information, ideas, photos, videos, and much more. This has lead to fierce competition among cable companies and telecommunication providers who constantly look to gain edge over their competitors. In such a race, fibre to the home (FTTH) has become a major issue for service providers worldwide. While many providers and much of the system worldwide is still based on copper systems, the trend towards fibre optics is quite positive.
A study from a few years ago showed that the number of FTTH connections worldwide increased from 10 million a few years ago to 32 million connections worldwide with almost 27 million connections lying in the Asian region. Japan is the leader with over 12 million FTTP (fibre to the premises) connections while China follows with 7.5 million connections. However, the United States of America exhibits the largest growth of FTTH connections per year. The analysis of the household penetration of FTTH per country revealed South Korea to be the leader with the figure well above 35%, followed Japan with about 25%. Among European countries Sweden and Norway hold the highest ground while Germany and France have entered the race only recently. However, these statistics have yet to be updated with the latest figures around the world.
By March of 2013, an astounding 654.6 million broadband connections were recorded globally. These include DSL connections and other copper based technologies, cable services and fibre connections. While worldwide the copper based systems were the leader, their trend was going down. Since 2012, significant number of subscribers vanished and the fibre users increased. Within the first quarter of 2013, FTTX connections recorded a growth of about 9% while FTTH connections increased by at least 4%. By 2014, fibre had the market share of over 25% making it the second most popular connection after copper based technologies.
The future of fibre looks bright as it advances as the sole promising technology able to bear the traffic load in the foreseeable future. The virtually unlimited bandwidth and the extremely high data rate combined with other attractive features of fibre optic communication makes it a natural choice for many governments and service providers. Australia and New Zealand have both made it mandatory for new development projects to incorporate FTTH facility in their plans. Australia has also emerged as one of the most promising lands for FTTH and FTTN connections with the government promising almost the entire population at least the FTTN connection.