Last updated: April 2026 | By Isak Finér, CRO, COS Systems
Demand aggregation is a pre-construction technique that fiber operators use to validate market demand before committing capital to a build. Operators define a service area, gather resident commitments, and proceed with construction only when a target take rate is reached. COS Systems has supported more than 100 demand aggregation campaigns across the United States since 2013.
What is demand aggregation for fiber networks?
Demand aggregation is the practice of measuring and organizing resident interest in fiber broadband before a network is built. Rather than constructing first and recruiting subscribers afterward, operators define geographic areas, run structured signup campaigns, and use the resulting commitment data to make build decisions.
The approach reduces construction risk and improves long-term take rates by ensuring capital flows to areas where demonstrated demand already exists.
Why do fiber operators use demand aggregation instead of building speculatively?
Speculative fiber builds — where construction precedes organized subscriber recruitment — can take a decade or more to reach sustainable take rates. In rural and underserved communities, that timeline often makes the business case untenable.
Demand aggregation collapses that timeline by organizing existing demand before construction begins. Early cash flow from committed subscribers in the first buildout areas can fund expansion into harder-to-reach neighborhoods. For community-owned and open access networks, where the long-term goal is universal coverage, this staged approach is particularly important.
How does a demand aggregation campaign work?
A demand aggregation campaign typically runs in four phases.
The first is a survey phase, in which residents provide non-binding input on their current internet service and interest in fiber. Once interest reaches a defined threshold, the campaign advances.
In the signup phase, residents commit to connection terms. Operators may collect deposits at this stage to reduce financial risk and filter for genuine intent.
During construction, proactive communication is critical. Residents want clarity on timelines, installation procedures, and property impact. Targeted communication throughout this phase reduces churn between commitment and activation.
Once the network is live, connected customers are directed to the customer portal to select services. Residents who did not sign up during the campaign receive late-adopter outreach.
What role do local champions play in a demand aggregation campaign?
Community champions are residents who advocate for the fiber project within their neighborhoods. They apply digitally, are approved by the operator, and receive referral tools to recruit neighbors.
The champion model converts the community into a distributed sales force. Champions reach residents that traditional outreach misses — people who respond to a familiar face, not a corporate mailer. Campaigns with active champion networks consistently achieve higher take rates than those relying solely on operator outreach.
What have 100+ demand aggregation campaigns revealed?
After more than a decade supporting demand aggregation campaigns across the US, several patterns are consistent.
Small areas outperform large ones. Campaign areas of 50–100 homes are easier to manage, communicate around, and deliver stronger early take rates than broad geographic sweeps.
Early buildouts serve as proof points. Completing a small initial area quickly — and visibly — converts skeptics in adjacent areas and accelerates signups in subsequent phases.
Clear, professional communication throughout the campaign matters as much as the initial outreach. Residents who feel informed stay committed through construction delays. Those who do not, cancel.
How does demand aggregation evolve into demand generation?
Demand aggregation captures existing interest. Demand generation creates new interest where it did not exist.
Operators who run well-structured campaigns with strong champion networks, clear communication, and visible early results find that awareness spreads beyond the original campaign area. Residents in adjacent neighborhoods inquire before being canvassed. The community becomes an active participant in the network’s growth rather than a passive market to serve.
At that point, the operator is no longer aggregating demand — they are generating it.
For field sales workflows that extend demand aggregation into structured door-to-door canvassing, order creation, and take-rate tracking, see COS Prospector. For the BSS/OSS platform that converts demand data into build decisions, see COS Business Engine.
Frequently Asked Questions
What is demand aggregation in fiber broadband?
Demand aggregation is a pre-construction technique where fiber operators define service areas, gather resident commitments, and proceed with construction only when a target take rate is reached. It reduces financial risk by ensuring demand is validated before capital is deployed.
How long does a demand aggregation campaign take?
Campaign duration varies by area size, population density, and outreach intensity. Survey phases typically run four to eight weeks. Operators generally plan for two to four months from campaign launch to a build decision, with construction following once the threshold is met.
What take rate do fiber operators typically target before building?
Take rate targets depend on operator type and financing model. Open access and community-owned networks often target 35–50% pre-signup commitment to satisfy lender or governance requirements. Commercial operators may proceed at lower thresholds in denser markets. The right target is set by the operator’s unit economics, not a universal standard.
What is the difference between demand aggregation and demand generation?
Demand aggregation organizes existing interest. Demand generation creates new interest through outreach, education, and community engagement. Successful campaigns often evolve from aggregation into generation as early buildouts create visible proof points and word-of-mouth spreads beyond the original campaign area.
How does COS Systems support demand aggregation?
COS Systems supports demand aggregation through COS Business Engine, which manages service areas, resident signups, commitment tracking, and communication workflows. COS Prospector extends this into structured field sales: territory mapping, door-to-door canvassing, and in-field order creation. Business Engine validates and tracks demand; Prospector works it.
Can demand aggregation work in rural or underserved areas?
Yes. The technique originated for rural and community-driven fiber builds where speculative construction was financially unsustainable. The champion model is particularly effective in tight-knit communities where neighbor-to-neighbor outreach outperforms mass marketing.
Umeå Energi Umenet förnyar avtal med COS Systems
Umeå Energi har med en hög utbyggnadstakt kraftigt expanderat sitt stadsnät i Umeåregionen. Med ett allt större fibernät, fler aktiva kunder och ny teknik som introduceras så har Umeå Energi valt att förnya avtalet med COS Systems för deras fortsatta användande av COS Business Engine som operatörsplattform för driften av nätet.
Det kommunalägda energibolaget Umeå Energi var väldigt tidigt ute med fiber och utbyggnaden av stadsnätet Umenet påbörjades redan under 90-talet. På senare år har utbyggnadstakten varit fortsatt hög och även antalet kunder i sedan tidigare utbyggda områden som nu valt att ansluta sig har vuxit kraftigt i takt med att behovet av bredbandsuppkoppling av hög kvalitet blir en allt mer central del av svenskarnas vardag. Äldre tekniker för att leverera Internet blir allt mer utdaterade.
Umenet har sedan 2012 använt mjukvaran COS Business Engine. Systemet omfattar allt från kundportalen där kunderna kan välja tjänster från 15 olika leverantörer, till de administrativa och tekniska funktionerna som automatiserar allt från aktivering av bredbandstjänster och fakturering av leverantörerna.
Bland mycket annat så arbetar Umeå Energi med ett mycket intressant projekt där Sveriges första 5G-nät utvecklas i samarbete med Ericsson, Telia, Umeå Universitet, Umeå Kommun, Umeå Science Park samt andra lokala aktörer. Ett ytterligare innovativt initiativ är Smart Start, vilken är en pilot på Smarta-hem- och IoT-tjänster (Internet of Things), som kan levereras över deras öppna stadsnät.
Om Umeå Energi
Umeå Energi är ett energibolag och en samhällsaktör som i nära samarbete med omvärlden utvecklar och levererar hållbara energi- och kommunikationslösningar. Vår vision är en enklare vardag för våra kunder och en hållbar framtid för regionen. Vi omsätter ca 1,4 miljarder kronor, har drygt 400 medarbetare och är både miljö- och arbetsmiljöcertifierade.
Om COS Systems
COS Systems är en globalt verksam leverantör av mjukvara för att planera, bygga ut och sköta driften av moderna bredbandsnät. COS Systems utgår från kundbehov och utvecklar innovativa mjukvarulösningar som effektiviserar den dagliga driften, bidrar till ökad försäljning och nöjdare kunder. COS Systems expanderar ständigt och har hittills sina kunder i Europa, Nord- och Sydamerika, Afrika och Asien. Läs mer om COS Systems på www.cossystems.com
För ytterligare information, kontakta:
Mats Berggren
VD, Umea Energi Umenet AB
070 – 518 71 28
Mats.berggren@umeaenergi.se
www.umeaenergi.se
Peter Lidström
VD, COS Systems AB
070 – 656 58 72
Peter.lidstrom@cossystems.com
www.cossystems.com
Umea Energi Renews Agreement with COS Systems for Open Access BSS/OSS
The Electric Utility Umea Energi has expanded their fiber network significantly during the last years. With a larger footprint and new technologies emerging they have chosen to renew their contract with COS Systems for their continuous use of COS Business Engine for efficient operations and automated service activations of their Open Access fiber network.
[Umea, Sweden] Umea Energi is a municipally owned electric utility in the University town of Umea, Sweden. It first started building out the fiber optic network in the 90’s, but has increased the pace in their build-out in the last five years, while the take-rates have also improved greatly as consumers need for reliable high-speed data increases. Older technologies to connect to the internet are becoming obsolete.The Utility has been using COS Business Engine as their BSS/OSS (Business and Operations Support System) since 2012. The system consists of everything from the online Marketplace where subscribers can choose services from 15 different service providers to the administrative backend system that automates everything from service activation to wholesale billing.
Umeå Energi is currently working on Sweden’s first 5G deployment in cooperation with Ericsson, Telia, Umea University and other municipal entities. They are also doing a pilot project called Smart Start, which is a platform for delivery of smart home services to residents.
About Umeå Energi
Umeå Energi is an energy company that in close cooperation with the world around us develops and provides sustainable solutions for energy and communication services. We strive to challenge through new thinking and to drive the sustainable development in the Umeå region. Our vision is to make everyday life simpler for our customers and to secure a sustainable future for the region. Our turnover is approximately SEK 1.4 billion, we have just over 400 employees and hold environmental as well as work environment certifications. umeaenergi.se
About COS Systems
COS SYSTEMS is a leading provider of software to plan, deploy and manage Open Access networks, using a powerful yet simple self-service interface. COS Systems takes customer needs and delivers innovative software solutions that streamline operations, accelerate revenue and deliver more satisfied subscribers. Learn more about COS Systems on www.cossystems.com.
For additional information contact:
Mats Berggren
CEO
Umea Energi Umenet AB
Mats.berggren@umeaenergi.se
www.umeaenergi.se
Isak Finer
CMO & VP North America
COS Systems
isak.finer@cossystems.com
www.cossystems.com
New Team Members in Product Development and Quality Assurance
COS Systems is ramping up after summer and we are happy to have strengthened the team with two more rock stars.
Boris Ruiz started in our Product Development team in August. He is a Swedish-American born in Florida, moving in between Miami and Puerto Rico. From an early age he developed an interest in software, working on hobby projects in his free time such as apps, games, & websites. Being an adventurous person by nature and not afraid to try and learn new things, he recently decided to move to Sweden to see how life is like here. At COS we were lucky to snatch this amazing developer before any of the other IT companies in our city did. Boris is currently mainly working on improvements to our COS Service Zones product. With our focus on the US market it’s an obvious plus his native tongue is English, but we are worried he will soon forget it based on the speed at which he is picking up Swedish!
Simon Fransson has just done his first week on our QA team. Simon is from outside of Umeå but now has walking distance to our office – we’re all jealous. The last three years Simon spent at A3, which is one of Sweden’s largest service providers, active on more than 150 Open Access networks nationwide. Since most of these networks are operated using our COS Business Engine platform he already knows the ins and outs of it. It’s a great resource to have him on the team with the service provider perspective he brings when testing our products making sure they meet our ambitious quality standards. When Simon is not working or at the gym there’s a great chance he is gaming, something he’s been doing almost before he could walk. You do not want to meet this guy online in Counter Strike!
We’re excited to have them on our team and know they will both contribute greatly to our customers’ success.
Demand Aggregation for Fiber Networks: Lessons from 100+ US Projects
Last updated: April 2026 | By Isak Finér, CRO, COS Systems
Demand aggregation is a pre-construction technique that fiber operators use to validate market demand before committing capital to a build. Operators define a service area, gather resident commitments, and proceed with construction only when a target take rate is reached. COS Systems has supported more than 100 demand aggregation campaigns across the United States since 2013.
What is demand aggregation for fiber networks?
Demand aggregation is the practice of measuring and organizing resident interest in fiber broadband before a network is built. Rather than constructing first and recruiting subscribers afterward, operators define geographic areas, run structured signup campaigns, and use the resulting commitment data to make build decisions.
The approach reduces construction risk and improves long-term take rates by ensuring capital flows to areas where demonstrated demand already exists.
Why do fiber operators use demand aggregation instead of building speculatively?
Speculative fiber builds — where construction precedes organized subscriber recruitment — can take a decade or more to reach sustainable take rates. In rural and underserved communities, that timeline often makes the business case untenable.
Demand aggregation collapses that timeline by organizing existing demand before construction begins. Early cash flow from committed subscribers in the first buildout areas can fund expansion into harder-to-reach neighborhoods. For community-owned and open access networks, where the long-term goal is universal coverage, this staged approach is particularly important.
How does a demand aggregation campaign work?
A demand aggregation campaign typically runs in four phases.
The first is a survey phase, in which residents provide non-binding input on their current internet service and interest in fiber. Once interest reaches a defined threshold, the campaign advances.
In the signup phase, residents commit to connection terms. Operators may collect deposits at this stage to reduce financial risk and filter for genuine intent.
During construction, proactive communication is critical. Residents want clarity on timelines, installation procedures, and property impact. Targeted communication throughout this phase reduces churn between commitment and activation.
Once the network is live, connected customers are directed to the customer portal to select services. Residents who did not sign up during the campaign receive late-adopter outreach.
What role do local champions play in a demand aggregation campaign?
Community champions are residents who advocate for the fiber project within their neighborhoods. They apply digitally, are approved by the operator, and receive referral tools to recruit neighbors.
The champion model converts the community into a distributed sales force. Champions reach residents that traditional outreach misses — people who respond to a familiar face, not a corporate mailer. Campaigns with active champion networks consistently achieve higher take rates than those relying solely on operator outreach.
What have 100+ demand aggregation campaigns revealed?
After more than a decade supporting demand aggregation campaigns across the US, several patterns are consistent.
Small areas outperform large ones. Campaign areas of 50–100 homes are easier to manage, communicate around, and deliver stronger early take rates than broad geographic sweeps.
Early buildouts serve as proof points. Completing a small initial area quickly — and visibly — converts skeptics in adjacent areas and accelerates signups in subsequent phases.
Clear, professional communication throughout the campaign matters as much as the initial outreach. Residents who feel informed stay committed through construction delays. Those who do not, cancel.
How does demand aggregation evolve into demand generation?
Demand aggregation captures existing interest. Demand generation creates new interest where it did not exist.
Operators who run well-structured campaigns with strong champion networks, clear communication, and visible early results find that awareness spreads beyond the original campaign area. Residents in adjacent neighborhoods inquire before being canvassed. The community becomes an active participant in the network’s growth rather than a passive market to serve.
At that point, the operator is no longer aggregating demand — they are generating it.
For field sales workflows that extend demand aggregation into structured door-to-door canvassing, order creation, and take-rate tracking, see COS Prospector. For the BSS/OSS platform that converts demand data into build decisions, see COS Business Engine.
Frequently Asked Questions
What is demand aggregation in fiber broadband?
Demand aggregation is a pre-construction technique where fiber operators define service areas, gather resident commitments, and proceed with construction only when a target take rate is reached. It reduces financial risk by ensuring demand is validated before capital is deployed.
How long does a demand aggregation campaign take?
Campaign duration varies by area size, population density, and outreach intensity. Survey phases typically run four to eight weeks. Operators generally plan for two to four months from campaign launch to a build decision, with construction following once the threshold is met.
What take rate do fiber operators typically target before building?
Take rate targets depend on operator type and financing model. Open access and community-owned networks often target 35–50% pre-signup commitment to satisfy lender or governance requirements. Commercial operators may proceed at lower thresholds in denser markets. The right target is set by the operator’s unit economics, not a universal standard.
What is the difference between demand aggregation and demand generation?
Demand aggregation organizes existing interest. Demand generation creates new interest through outreach, education, and community engagement. Successful campaigns often evolve from aggregation into generation as early buildouts create visible proof points and word-of-mouth spreads beyond the original campaign area.
How does COS Systems support demand aggregation?
COS Systems supports demand aggregation through COS Business Engine, which manages service areas, resident signups, commitment tracking, and communication workflows. COS Prospector extends this into structured field sales: territory mapping, door-to-door canvassing, and in-field order creation. Business Engine validates and tracks demand; Prospector works it.
Can demand aggregation work in rural or underserved areas?
Yes. The technique originated for rural and community-driven fiber builds where speculative construction was financially unsustainable. The champion model is particularly effective in tight-knit communities where neighbor-to-neighbor outreach outperforms mass marketing.
COS Systems Strengthens US Presence
After many successful years of growth in the US market COS Systems strengthens their presence further by appointing Isak Finer as Vice President for their North American business.
[Blacksburg, VA] COS Systems began its expansion into the US Market six years ago. Since then, more than one hundred North American clients have signed up to the two software platforms COS Service Zones and COS Business Engine. With increasing demand for their products and the growing interest among US communities to build True Open Access networks COS has decided to appoint Isak Finer, the company’s CMO, as Vice President of North America. Finer is now permanently based in Blacksburg, Virginia.With large projects on the horizon the timing is now right to invest in a stronger local presence and an organization dedicated to the United States.
About COS Systems
COS SYSTEMS is a leading provider of software to plan, deploy and manage Open Access networks, using a powerful yet simple self-service interface. COS Systems takes customer needs and delivers innovative software solutions that streamline operations, accelerate revenue and deliver more satisfied subscribers. Learn more about COS Systems at www.cossystems.com.
For additional information contact:
Isak Finér
CMO & VP North America
COS Systems
+1 (540) 988-3224
isak.finer@cossystems.com
www.cossystems.com
ISE Expo 2019
ISE EXPO 2019 COS SYSTEMS
Are you a telecom/ICT professional and looking to keep up to date with the latest network technologies and solutions? Then make sure to join us in Fort Worth, Texas next week, September 24-26, 2019 at the Fort Worth Convention Center.
ISE EXPO is the ICT industry’s premier educational event for wireline and wireless network transformation. From construction and engineering products to SDN and NFV technologies, we deliver what you need. Discover why network professionals from around the globe attend for engaging seminars, live demo zone, commanding keynotes, hands-on workshops and face-to-face networking.
Get hands on with leading-edge technologies, meet with vendors, and connect with network professionals and telecom thought leaders who are tackling challenges, exploring opportunities and developing innovative solutions for the industry’s massive transformation.
Contact our team before the event to set up a meeting or stop by booth #929.
About COS Systems
COS SYSTEMS is a leading provider of software to plan, deploy and manage modern broadband networks that support services from one or more providers, using a powerful yet simple self-service interface. COS Systems takes customer needs and delivers innovative software solutions that streamline operations, accelerate revenue and deliver more satisfied subscribers. Learn more about COS Systems on www.cossystems.com.
For additional information contact:
Isak Finér
CMO & VP North America
COS Systems
+1 (540) 988-3224
isak.finer@cossystems.com
www.cossystems.com
COS Systems Achieves AAA Rating
COS Systems has this year achieved the highest credit rating AAA given by Bisnode. This rating places COS Systems among the top 2.3% of Joint-Stock Companies in Sweden that currently have the AAA rating. Receiving the AAA rating testifies to COS Systems position globally and indicates that the company is high-performing, trustworthy and reliable to its customers and partners.
The AAA rating from Bisnode has been used since 1989 and is today the most well know credit rating system in Sweden. Bisnode derives its information from a number of official and confirmed sources. This information is then analyzed according to 2,400 rules resulting in a value in the rating model. They gather data daily from reliable sources. Read more. About COS Systems COS Systems is a leading provider of software to plan, deploy and manage Open Access fiber networks, using a powerful yet simple self-service interface. COS Systems takes customer needs and delivers innovative software solutions that streamline operations, accelerate revenue and deliver more satisfied subscribers. Learn more about COS Systems on www.cossystems.com. For additional information contact: Isak Finér Chief Marketing Officer COS Systems +46737 51 99 38 isak.finer@cossystems.com www.cossystems.com
NoaNet and COS Systems Ready to Drive Fiber Build-Outs in Rural Washington State
NoaNet and COS Systems expand partnership by launching an operator version of COS Service Zones. NoaNet has previously provided cities and public utilities with COS Systems’ demand aggregation platform and support in the project execution. Now NoaNet is set to further help rural communities in Washington get connected to fiber by launching their own COS Service Zones system ready to aggregate demand for fiber in any part of the State.
Gig Harbor, WA – NoaNet (Northwest Open Access Network) is a non-profit municipal corporation which operates an extensive open-access fiber back-bone network reaching every corner of Washington State. NoaNet has partnered with COS Systems in the past to provide the demand aggregation platform COS Service Zones to Public Utility and municipal customers. Since then, many communities have reached out to NoaNet asking if they could provide them with a managed demand aggregation solution delivered as a service. NoaNet is now in the process of launching a statewide COSService Zones application that can be leveraged as part of their Community Broadband Solutions program to assist communities in evaluating their need and readiness for municipal broadband deployment.
COS Service Zones is a web-based software platform that allows a community or provider to run a “fiberhood”campaign to learn if there is enough interest in the community to invest in a fiber infrastructure and in which neighborhoods the demand is greatest. Every neighborhood has a “take-rate” target to reach in order to qualify for build-out. The purpose is to involve the community in the process and build a common will to build the new fiber infrastructure. In successful COS ServiceZones campaigns demand grows rapidly as the community engages on the platform, sharing information about the project on social media, and spreading information to their neighbors and friends.
“When NoaNet explained that there were many communities interested in better connectivity but lacking the resources or expertise to run a COS Service Zones campaign themselves, we began thinking how we could best assist NoaNet in helping those communities. We developed the concept of an operator version of COS Service Zones, which allows NoaNet to add smaller communities as separate projects on their singleplatform. Practically, this means each of these communities will have their own section of the NoaNet managed website.” says Bjorn Wannman, Manager Partnerships and Strategic Accounts at COS Systems.
Chris Walker, Telecommunications Director at NoaNet is looking forward to offering this tool to Washington communities on a larger scale then NoaNet was previously able to support. “There are dozens of rural communities in Washington with limited or no access to modern telecom infrastructure. High speed broadband can make a huge impact for job creation, economic growth, high quality healthcare and smart services to increase the quality of life for our rural residents. In many cases, even if community leaders understand the need and want to close the digital inclusion gap, they might lack the resources to do something about it themselves. We’re now prepared to help them understand the options to pursue a telecommunications buildout plan.”
Chris has been with NoaNet through several service expansions and is excited about this new opportunity to help Washington communities help themselves increase their broadband access. He said, “Not only will we help them determine if there is enough demand to move forward and invest in the infrastructure, with our extensive fiber footprint and open access experience we will also be able to offer services in build-out and operations. This package of services will make a huge difference for rural Washington communities”
Claire Ward, Marketing and Communications Manager at NoaNet shares Chris’s excitement for this new opportunity. “NoaNet has been serving Washington state for nearly 20 years by working to bring telecommunications infrastructure to underserved communities. With the experience and knowledge we have within the company paired with the tools offered in the COS Service Zones platform, I’m convinced we can serve many parallel projects across the state and help communities move the dial on their broadband access without spending exorbitant resources many just don’t have, “adds ClaireWard, Marketing and Communications Manager at NoaNet, who has been involved in several previous COS Service Zones projects.
“COS Systems originates from the rural northern parts of Sweden, not much different from rural Washington State.We’ve seen first-hand how crucial it is for remote areas to get access to high speed broadband. In the digital economy traditional boundaries like country and city borders are getting less important. Instead communities lacking the critical broadband infrastructure will inevitably be left behind. All of us at COS are proud to support NoaNet in their mission to connect every corner of Washington state to their state-of-the-art fiber network. Fiber is an essential infrastructure for today’s communities, alongside water, electricity and roads for our modern digital world.” Says Isak Finer, CMO at COS Systems
About NoaNet
Northwest Open Access Network (NoaNet) is a non-profit wholesale only telecommunications network owner and provider which operates a fiber network spanning thousands of miles throughout the State of Washington. NoaNet engages their mission to serve Washington State by consistently looking for new opportunities to expand in meaningful ways that bridge the digital divide. For additional information, see www.noanet.net.
About COS Systems
COS SYSTEMS is a leading provider of software to plan, deploy and manage Open Access fiber networks, using a powerful yet simple self-service interface. COS Systems takes customer needs and delivers innovative software solutions that streamline operations, accelerate revenue and deliver more satisfied subscribers. Learn more about COS Systems on www.cossystems.com.
For additional information contact:
Claire Ward
Marketing and Communications Manager
NoaNet
+1 (816) 519-2370
claire.ward@noanet.net
www.noanet.net
Isak Finér
Chief Marketing Officer
COS Systems
+46737 51 99 38
isak.finer@cossystems.com
www.cossystems.com
COS Systems Celebrates Ten Years of Open Access Support
Peter Lidström, CEO of COS Systems, Jörgen Olofsson, previously CEO of COS now CIO, Håkan Holmström, previously Head of IT at Bostaden, Harry Jonsson, the Man behind Kommunicera, and Johan Nyström, current Head of IT at Bostaden. Photo by Elin Olsson.
In the early days of Swedish municipal fiber networks, they adopted the only model known at that time, copying the incumbent telecom providers in building, operating and providing services on their own networks. Many of them struggled as this was something a municipality was not very well suited to do and the open access model started to gain ground. One of these municipal networks that opened their network up to multiple providers was Bostaden. But as they couldn’t find the operations platform they were looking for they decided to have it built. This was the birth of what today, ten years later, is COS Systems.
[Umea, Sweden] Municipal housing company Bostaden have been providing their tenants with Internet service over their fiber network since 1995. They are the largest property owner in the city of Umea, with half of the city’s 35 000 students living in their properties. Managing a network with mainly students is challenging, since a large portion of the subscribers will move out and new move in every semester, pretty much at the same time. In 2007 they had been struggling long enough themselves delivering the services on the network, without having reached the customer satisfaction and internal efficiency they wished for.
At this time in Sweden the Open Access model was winning ground. Many of the cities who had built their own fiber optic broadband infrastructure were in the same position as Bostaden. They didn’t have the right organization for selling Internet services and dealing with end customers and decided the best way to treat the broadband infrastructure was by layering the business model and have specialized companies being responsible for each layer. Instead of competing with the private providers by selling services themselves they decided to cooperate with them.
The first layer is the physical infrastructure, the actual fiber-optic cables in the ground. This is the layer where most Swedish municipalities focus their efforts, since infrastructure deployment and maintenance are something they are often very experienced in. Many of them also build and maintain electricity, sewer, water and gas networks. If a fiber is cut, the municipality would fix it. The second layer is the operations of the network, bringing in the electronics and lighting up the network. If a network router goes down, the Operator of the network will replace it. The operations company will also manage the relationship with the service providers. The third layer is the services layer. This is where private service providers are invited to deliver their services over the infrastructure managed by the operations company, competing to deliver the highest quality service and customer support at the best terms. If a customer has a problem with their Internet service they would turn to their service provider for help.
With this separation of the very different tasks of managing a fiber network, the entities in each layer can build a highly specialized organization to do their part of the work as efficiently as possible. With an Open Access ecosystem in place, operations companies can operate multiple networks and service providers sell services over multiple networks and thereby become even more efficient by economy of scale. This is why Sweden today has among the lowest prices for broadband in the world.
In the case with Bostaden they decided they would do the first two layers and continue to operate their own network, but they couldn’t find the system they wanted to help them embrace this new business model. With a list of requirements, they turned to local IT consultancy company UDK asking for them to build the system they envisioned. The team that would later spin-off COS Systems as a separate product company began translating the requirements into code.
The system that was developed, now called COS Business Engine, was launched an early morning in June 2008. In the middle of the night every one of the more than 10,000 customers on the network had seen their service go dark as the entire network was shut down and now they all came to the Bostaden branded Marketplace to pick their new service provider having their new service delivered the minute after. It worked flawlessly and the small operations staff at Bostaden could sit back and see orders coming in and being provisioned, hundreds every hour, on their system dashboard. Today Bostaden’s network operates under the name Bostnet, has close to 15,000 active subscribers and is managed by two people, one of them working part time.
“Taking a look in the rear-view mirror it’s pretty amazing to see what has happened since we built the first version of the system. Who could have imagined that the system would be used to operate more than a hundred networks and half a million service locations in every corner of the world. It’s also fascinating how a very high-level vision can still be relevant after such a long time. It proves it must have been pretty spot on,” comments the first two developers of the platform, Peter Sjoblom and Roger Olofsson. They both still work with the system today, Peter as the Solution Architect and Roger doing the most advanced customer support and product testing.
“There’s not much to say really, “ says Bostaden IT Director Johan Nystrom with a laugh. “For ten years now COS Business Engine has been taking care of pretty much everything involved in operating our Open Access Network. It just works.”
COS Business Engine 2.0
COS Business Engine 2.0
We are happy to announce COS Business Engine 2.0. Since COS Business Engine was released it has seen many improvements, but with 2.0 we bring major changes to key areas that give our customers and their customers’ greater flexibility and improvements in the overall usability.
COS Business Engine is a proven BSS/OSS (Business and Operations Support System) hosted in the cloud, supporting Open Access networks. Subscribers buy their Internet services from an online marketplace, which increases take rates, ARPU, and customer satisfaction, as the network owner can offer 24/7 availability, while reaching maximum operations efficiency, thanks to the extensive use of self-service solutions. The COS Business Engine Cloud solution, that has a selected set of features available in the full Enterprise Edition, is the excellent platform for small or startup networks or operators. When more advanced needs arises it’s a simple task to upgrade to the Enterprise version.
The new update includes an all new network inventory, service provider specific portals, provider ranking, and improvements in Agreements, Ads, File Management, overall usability and much more. Most of the visible improvements have been made to the Marketplace (the customer portal), which now allows the Service Provider to market and sell their services even more efficiently.
For more information on COS Business Engine 2.0 contact:
Isak Finér
Chief Marketing Officer
COS Systems AB
+46-737 51 99 38
isak.finer@cossystems.com
www.cossystems.com