Recently, Huawei commissioned Forrester Consulting to conduct a study, The 
Total Economic Impact™ Of Huawei Passive Optical LAN. In this study, Forrester 
uses a proprietary methodology to analyze the economic impact of Huawei's 
passive optical LAN (POL) solution on enterprises from three aspects  based on 
information from interviewed customers.

To realize digital transformation, enterprises use more and more 
next-generation information technologies such as cloud computing, big data, and 
Internet of Things (IoT). As the underlying infrastructure of such 
technologies, network connectivity has become the cornerstone of digital 
transformation in various industries. Based on an in-depth survey of 
application cases in the higher education, healthcare, hospitality, and 
manufacturing industries, the Forrester study found that the Huawei POL 
solution reconstructs local area networks with full-fiber connections, 
multi-service bearing, and passive long-distance transmission. This solution 
reduces extra low voltage (ELV) room space, improves O&M efficiency, and avoids 
repeated construction investments. According to the financial analysis, an 
enterprise campus with 6000 information points can obtain a net present value 
(NPV) of $9596K in five years.

Forrester used a proprietary methodology to quantify the benefits of technology 
investment based on the case study. The study describes the business benefits 
of the Huawei POL solution for enterprises, including quantified benefits, 
unquantified benefits, and flexibility. In addition, a financial model of the 
TEI (Total Economic Impact™) composite organization is established based on the 
enterprise campus to quantify the net present value (NPV).

Quantified benefits:

-Network O&M cost savings: unified POL device management and network-wide O&M; 
point-to-multipoint transmission through passive optical splitters, reducing 
maintenance nodes and improving the network maintenance efficiency by 60%, 
yielding a total PV of over $535K in five years. 

-Network expansion cost savings: 75% construction investment saved based on the 
simplified POL architecture and lightweight and flexible fibers, yielding a 
total PV of over $276K in five years. 

-ELV room savings: traditional active aggregation switches replaced with 
passive optical splitters, yielding a total PV of $96K in five years.

Unquantified benefits: Based on ultra-broadband transmission over fibers, POL 
improves network experience in the education, healthcare, hospitality, and 
manufacturing industries, facilitating digital transformation and business 
growth.

Flexibility: The green and sustainable POL fiber infrastructure can meet 
requirements for 30 years, avoiding repeated investment. In addition, the POL 
solution provides future-oriented service convergence, promoting digital 
transformation and improving competitiveness of enterprises.

In the study, the technical director and board member for a group of tourist 
resorts said, "One of the key moments that really accelerated the decision to 
switch to the Huawei POL network was [when the traditional network was] down on 
a peak checkout day, which [created a] really bad experience for our customers."

The IT manager of a manufacturing firm said, "Huawei's ONU can operate under 70 
degrees Celsius, which supports our industrial environment. We also prefer to 
use a PON network."

Huawei POL solution extends fiber to each room, desktop, and machine in campus 
scenarios of various industries, reducing cabling costs, providing high 
bandwidth and low latency, and enabling sustainable development for enterprises.

Note: Total Economic Impact (TEI) is a methodology developed by Forrester 
Research that helps companies to communicate the value proposition of their 
products and services to customers, as well as demonstrates, justifies, and 
realizes the financial benefits of ICT initiatives to both senior management 
and other key business stakeholders.

MWC Barcelona 2022 will run from February 28 to March 3 in Barcelona, Spain. 
Huawei will showcase its products and solutions at stand 1H50 in Fira Gran Via 
Hall 1. For more information, please visit: Huawei Enterprise at MWC 2022 | New 
Value Together (https://e.huawei.com/en/events/huawei-enterprise-mwc-2022)

Source: Huawei