What is CALDIVO LOGIC?

CALDIVO LOGIC identifies those costs of a star-topology network which are associated with route length and route capacity. CALDIVO LOGIC is relevant to various network industries, such as communications, water and energy supply.

Potential applications of CALDIVO LOGIC

Estimating investment in access networks, including incremental investment associated with different technologies or network roll-outs.

Checking cost evidence submitted by regulated firms for plausibility.

Design of CALDIVO LOGIC

CALDIVO LOGIC determines the cost-minimizing investment in routes for every possible geographical distribution of network termination points (NTP) within the central node’s catchment area. From that data CALDIVO LOGIC calculates average costs. The size of the catchment area, the amount of NTP within the catchment area and the minimum distance between adjacent NTP are user-defined inputs to the model.

 

CALDIVO LOGIC interprets the central node's catchment area as a playing field which is subdivided in hexagon-shaped cells. This makes the route alignment determined by CALDIVO LOGIC pretty similar to real life network maps.

Advantages of CALDIVO LOGIC at a glance

Solid basis for regulationCALDIVO LOGIC provides a weighted average of costs associated with all potential geographical distributions of NTP in a central node's catchment area. Regulatory decisions based on average costs will be deemed to be fair and reasonable.

AccuracyTo get a realistic picture of nationwide average costs, CALDIVO LOGIC can be run for different clusters such as  “urban central business district” or “suburban area” .

TransparencyGeographical illustrations and access to interim results and make the mathematical operations performed CALDIVO LOGIC comprehensible. English, German and French are pre-installed languages.