Tag: "FTTH"

Posted June 16, 2009 by christopher

In a quick followup, the Minnesota Supreme Court has affirmed the obvious by refusing to review the Appeals Court decision in the TDS (acting as "Bridgewater") v. Monticello case. This means the Appeals Court decision stands; Minnesota cities have the authority to bond for broadband networks. Read our previous coverage of this case here.

When TDS originally sued Monticello, the City had to place the investor money (raised via non-recourse revenue bonds) into escrow for the duration of the case. If the case were not resolved by June 19, 2009, Monticello would have had to return the funds to the investors, leaving it unable to finance the project. Bonding again would have almost definitely resulted in less favorable terms than those achieved before the economic meltdown.

Following the Appeals Court decision, on June 2, 2009, TDS could have had up to 30 days to request review from the Supreme Court. John Baker, an attorney from Greene Espel who represented the City throughout the process, asked the Supreme Court to expedite the review in order to prevent TDS from merely using its thirty days to run out the clock (thus winning the war while having lost every single battle).

Today, the Supreme Court sided with the Appeals Court and an obvious reading of Minnesota law: Minnesota cities are well within their authority to bond for and build broadband networks.

Monticello will immediately start work on the city's publicly owned fiber-to-the-home network. TDS has argued that such a network would now be redundant as they built a fiber network while abusing the courts to stall for time. However, it remains to be seen if TDS is truly connecting all homes with fiber, or is still using copper for that final connection (much like AT&T does in its U-Verse). The top TDS advertised speeds are 25 down and 10 up, which can be achieved with VDSL.

If TDS has truly built a fiber-to-the-home network, Monticello will be the first place in the U.S. with competing full fiber networks. However, I'm not sure that TDS will be able to compete with FiberNet Monticello on some fronts as TDS offers it television via a partnership with a satellite company. Monticello will undoubtedly have more local content and probably better customer service.

Lest you think the court battle is over, Monticello is entitled to recover some of its costs due...

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Posted June 11, 2009 by christopher

Tim Nulty offers a great vision and hope for the future of rural broadband networks. He discusses the long history of large telcos viciously attacking publicly owned networks and notes that FTTH is possible in nearly all rural areas in the U.S.

Among the advantages of public ownership, he notes the high quality of service, universal coverage, and the potential for common carriage or open access networks.

Our economy and society have evolved over the last 20 years to the point where universal availability of the most modern broadband communications is essential to fully participate in every aspect of our nation’s life. Without it, the promise of an equal chance to succeed is hollow. Our nation came to that conclusion two centuries ago when it created the national postal system, and in subsequent years with respect to roads, water, power and voice telephone. Now, it is coming to the same conclusion about the next level of communications: broadband connectivity. ...

[T]he main entrenched incumbents (both telephone and cable) are strongly reluctant to bring the latest technology to rural areas....focusing, instead, on cheaper but inferior “retrofits” to their legacy copper plant. The claimed reason is that it is not economically feasible to extend the latest technology to less “juicy” areas. In fact, this is not true. Based on the experience of a number of “non-incumbent” FTTH projects, it is clear that it is economic to bring universal FTTH to virtually any rural area that has a density of 12/13 homes per linear mile and all or most of whose plant is aerial. These characteristics cover the overwhelming majority of rural Americans.

Note: Nulty's piece appears on page 23 of the article linked to below. Preceding his piece is a poorly written piece riddled with the very sort of inaccuracies we started this site to correct. The article cites few examples and relies on worst-case, very low probability scenarios to scare the reader. Their discussion of the Utah networks suggests they are unaware of the most basic history of the project, and finally, their comparison of Burlington Telecom to Verizon is laughably simplistic and worthless.

Posted June 11, 2009 by christopher

Chattanooga, Tennessee is predicting it will offer FTTH in its entire service area by next year. The public power company has used fiber-optics in the past to manage its electrical operations and has been planning to offer a full FTTH network for awhile.

"There are two primary components to building this system. One component is taking longer than we thought and the other is happening much faster than we anticipated", said Harold DePriest, President and CEO. "The end result is that services will be available to the entire cities of Chattanooga, East Ridge and Red Bank by summer of 2010."

DePriest says once in place, EPB's fiber optic network will be the largest of its kind in the country.

However, Chattanooga has suffered the same problem that has plagued other publicly owned broadband projects around the country: incumbent telco and cableco lawyers. Comcast has sued Chattanooga in multiple courts in an attempt to limit competition (see here, here, here, and here for a few examples). As with these cases across the country (from Monticello, MN to Bristol, VA, to Lafayette, LA), the incumbents have lost the cases but successfully slowed the build-out, which hurts the community while padding company profits for an extra couple of years.

The network will offer symmetrical speeds of 10-50Mbps while keeping costs lower than the standard prices in the market.

Posted June 9, 2009 by christopher

The Broadband Properties Muni Snapshot of Jackson Energy Authority, serving Jackson Tennessee, offers a fiber-to-the-home network. As is common to the snapshots, it is heavy on technical data.

After 4 years, they had an overall take rate of 39% as well as some businesses locating in the area due to the network. Residents have saved some $8 million in aggregate since the network began offering services.

Posted June 9, 2009 by christopher

The May 2008 issue of Broadband Properties offers an overview of municipally-owned fiber-to-the-home networks across the United States. The article discusses why public power utilities are heavily represented, open vs. closed, the geographical distribution, and most importantly, the many differences between the models used by all these different communities.

In fact, what we have found is that there is no “municipal model.” Municipalities and other public entities build FTTP systems for many reasons and in many situations. They face a variety of legal and competitive landscapes, employ different financing methods, operate their systems in diverse ways, deliver different sets of services to different types of customers, and bring a diversity of resources and competencies to the task. While there are certain recurrent themes, there is no single distinguishing feature. Local differences appear to far outweigh the simple fact of public ownership.

Posted June 8, 2009 by christopher

This is a transcription of the speech Nulty gave at the 2008 Broadband Properties Summit. Nulty describes the history of the Burlington efforts before and after he joined to build their fiber-to-the-home system. He talks about incumbent obstructionist efforts, the role of consultants, and the economical questions they considered before building.

He goes on to discuss why FTTH is practical in rural areas - and less expensive than most claim. Finally, he frankly discusses some of the tensions involved with running community networks when they are a city department (as opposed to a utility that may be at arm's length or a nonprofit).

Posted June 8, 2009 by christopher

Another snapshot, mostly containing technical data on the Morristown FTTH network - FiberNET. Like many networks in Tennessee, this network is run by the municipal utility. They started signing up customers in May 2006 and by late 2008 already had a take rate of 33%.

Perhaps the most significant sign of success is that neighboring communities want service as well. By offering comparably services at lower prices, the community saves some $1.1 million/year.

Posted June 8, 2009 by christopher

Salisbury, a city of nearly 30,000 in North Carolina, has started building its full fiber-to-the-home network. Salisbury had some difficulty in funding the network at first due to the collapsing economy last year. However, they securing financing in November 2008 and have now started building the network. A recent Salisbury Post article notes that Atlantic Engineering Group is installing conduit. However, residents will have to wait more than a year to take any services. They still have to build the multi-million dollar head end. They already have agreements covering access to the telephone polls -- which are owned by Duke Energy and AT&T.

Posted June 8, 2009 by christopher

Powell, a small town 5,500 in Wyoming, has pursued a rather innovative strategy to ensure the community has world-class access to the Internet. In this article, Ernie Bray describes the model and how they put it together. In short, Powell was able to leverage its city-owned fiber optic ring to attract a partner that will help in rolling out a fiber-to-the-home network.

Posted June 4, 2009 by christopher

A newly recurring feature in Broadband Properties is the Municipal FTTH Deployment Snapshot. In the first snapshot, they featured Sallisaw, Oklahoma. Unfortunately, this snapshot features little aside from technical details.

sallisaw.png

Their biggest success:

"We are broadcasting local sports on our cable system and have connected many new customers because of it. With our fiber system we can bring customers live audio and video of not only sports but also community events. This has been a very popular service for our community, thanks to the help from the Sequoyah County Times."

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