The present invention relates to passive optical network (PON), and in particular, to an optical network terminal (ONT) in the PON system. In one embodiment, the optical network terminal includes a first interface coupled to a communications network, a second interface coupled to a network client and a processor including a memory coupled to the first interface and to the second interface, wherein the processor is capable of converting optical signals to electric signals, such that the network client can access the communications network.