We presented a concept of converged coexistence (CC) access network and generate, and test model is demonstrated for optimization of channel launch power PT_ODN in the distribution network which subsequently confirm power budget class of NG-PON2 in this paper. Multiplexing of wavelength and time (TWDM) technology is incorporated for multichannel NG-PON2 configurations for 5G, internet-of-things (IoT) applications, and fiber-to-the-x (FTTX) services. CC NG-PON2 symmetric configuration supporting 2.5 and 10 Gbps channels are analyzed and compared in the sight of channel nonlinear impairments includes Kerr-effect (γ) spanning from self phase modulation (SPM) and cross-phase modulation (CPM), chromatic dispersion (CD), and four wave mixing (FWM) in worst-case scenario. Intensity modulation (IM) technique incorporated before multiplexing the D/S channels by coexisting element (CEx) and coupled to wavelength routed (WR) optical distribution network (ODN). U/S channels are routed using wavelength select (WS) ODN. ODN is implemented using G.652 non zero dispersion shift (NZ-DSF) single-mode (SM) fiber. Multi-channel spectrum envelope propagating in either direction is optimized to PT_ODN = 3/5/7/9 dBm and 4 dBm, respectively. The theoretical modeling and simulative results confirms the proposed network configuration supports incremental receiver sensitivity (Rxs) as −42.19/−42/−39.75/−37.97 dBm and −35.45/−35.38/−33.45/0.38/−42 dBm for λ1 2.5 Gbps and λ8 10 Gbps TWDM and PtP WDM channels, respectively, for all-class networks supporting splitter configuration ratio of 640 at 50 km mitigating effect of channel nonlinearities like CD, SPM, cross-phase modulation (XPM), and FWM for λ8 10 Gbps channel.