This paper discusses the economics of local loop architecture focusing on existing technologies, ADSL, HFC, and new one, PLC, and suggests a new modeling approach of access network system and the numerical equations. To modelize access network system and drive the numerical equations, we consider the double star and the tree & branch architecture and made block diagram of each access system. In addition, we introduce the density of subscriber as a variable and the equation of seeking the optimal number of cell in a service area. The economics of local loop architecture is analyzed in two ways, i.e. with and without consideration of the cost of cable and infrastructure. From the numerical analysis, we find that in case of not including the cost of cable and infrastructure, there is no much difference in the cost per one subscriber, while, in case of including it, there is remarkable difference among technologies. Therefore we conclude that the economics of local loop architecture is depend on the density of subscriber and existing network infrastructures.
