economic development

Content tagged with "economic development"

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Alabama Republican Speaks Out in Favor of Local Authority

As we have learned, communities with municipal networks have tended to be politically conservative. Nevertheless, conservative state level politicians have often supported measures to revoke local authority to encourage local Internet choice. Recently, Alabama State Senator Tom Whatley, a Republican from Auburn, expressed his support for local authority in AL.com.

Whatley introduced SB 438, which would remove service area restrictions on municipal providers and remove the currently restriction preventing other municipalities from providing voice, video, or Internet access services. As he notes in his opinion piece, the bill did not move beyond the Transportation and Energy Committee, but he also asserts that he will be back next year to press for the measure. 

Auburn is near Opelika where the community has deployed a FTTH network to serve residents and spur economic development. If the restrictions are eliminated, Opelika could expand to Auburn and even other rural areas nearby.

Whatley makes comparisons to the strides America made with the national interstate system. He also acknowledges the way Chattanooga's network has transformed what was once described as the "dirtiest city in America." Whatley takes the same approach we encounter from many communities where, after failed attempts to entice private providers to serve their citizenry, eventually decided to take on the task themselves.

He writes:

As a Republican, I believe the private sector is usually the best and most efficient method for providing a service. But when private companies, for whatever reason, make a decision not to serve an area, we should not handcuff the people of that region if they decide to use a public entity to receive that service (in this case, broadband Internet) in order to compete today for the jobs of tomorrow.

Boston Globe Profiles Lafayette; OpenCape Inspired

In a recent Boston Globe Opinion, Dante Ramos notes that Boston has a reputation as a technology hub. When seeking options and affordability, however, Ramos recounts the successful approach of Lafayette, Louisiana:

Today, the top broadband speeds advertised to residential customers in Boston are about one-ninth of what’s available in Lafayette. A municipal network in Boston isn’t inconceivable; the fiber-optic network now connecting scores of government facilities could theoretically become the spine of a citywide system.

Ramos acknowledges the challenges Boston would face if it were to take up such a project, but he also notes that it was no small feat for Lafayette. The economic development gains have more than justified the investment:

Half a decade later, though, the benefits have come into view. A company serving an active Louisiana film industry can use the Lafayette network to transmit massive quantities of digital footage. Employees of a major jewelry manufacturer in town can get medical advice remotely without having to go in and out of a highly secure plant. And the presence of the network is shaping investment decisions in subtle ways.

Ramos shares the story of his encounter with the owner of a local Internet consulting firm who chose the company data center location because it was within the LUS Fiber service area. He also valued the network's speed, reliability, and quality customer service.

Lafayette's network has also continually drawn in new employers, including three high tech companies in the fall of 2014. Along with those approximately 1,300 well paying positions come the multiplier effect on the local economy.

Ramos' piece inspired a letter to the Globe from Art Gaylord and Dan Gallagher, Chairman of the Board of Directors and Senior Consultant respectively, from OpenCape. The two find inspiration in the story of Lafayette but lament what they see as a lack of enthusiasm in the Cape Cod region.

WiredScore Rates Commercial Real Estate Connectivity in NYC

As a major metropolitan community, New York City has found a way to establish a link between connectivity and real estate for potential commercial tenants. 

WiredNYC, a certification program launched in 2013, provides broadband ratings for office buildings in the city. WiredNYC has been renamed WiredScore and now operates across the United States, in partnership with local governments. The program provides a simple survey online at WiredScore.com that analyzes a variety of factors and provides a rating based on:

Building Connectivity: The number of internet service providers, the quality and speed of connections, and the access to provider cabling in the building...

Infrastructure: Factors specific to the building's physical internet infrastructure (i.e., number of entry points, designated utility spaces, and risers)...

Readiness: How ready a building is to improve its connectivity... 

The survey provides feedback based on the survey results and offers a preliminary rating of "Certified," "Silver," "Gold," or "Platinum." In order to complete the certification, the City will send an engineer to the building to verify the survey results. WiredNYC also provides advice for building owners and landlords who have taken the survey but whose structures do not meet the minimum standards for certification or who want to take steps to achieve a higher standard of certification.

Landlords can use Wired Certification to market their building to potential tenants. Their buildings appear on WiredScore.com website and they receive similar benefits.

A March report from the Vertical Systems Group concluded that fiber is now present in approximately 42.5 percent of U.S. commercial buildings. Ten years ago that figure was only 10.9 percent. Fast, affordable, reliable connectivity is quickly becoming an integral component of the real estate market. Programs like WiredNYC will allow entrepeneurs and established businesses find the types of connections that suit their needs.

Update: We have updated the story because WiredNYC expanded to be WiredScore and works with all manner of commercial buildings.

Sonic.net Lights Up In Brentwood CA

Last summer the community of Brentwood began working with Sonic.net in a plan to use publicly owned conduit for a privately owned fiber network. Earlier this month, the partners celebrated completion of part of that network and officially lit-up the first residential neighborhood served by Sonic.net's fiber gigabit service.

The Mercury News reports that residents are much happier with the new Internet service provider than they were with incumbents Comcast and AT&T:

"I had no lag, no buffering, no waiting -- it almost feels like the Internet's waiting on you, rather than you waiting for the Internet," said Brentwood resident Matt Gamblin, who was one of the first residents to sign up for the service. "The hardest part about the process was canceling my old Internet."

Brentwood began installing conduit as a regular practice in 1999; the community adopted the policy as a local ordinance, requiring new developers to install it in all new construction. The city has experienced significant growth and the conduit has grown to over 150 miles, reaching over 8,000 homes and a large segment of Brentwood's commercial property. As a result, they have incrementally developed an extensive network of fiber ready conduit. 

As part of their agreement with Sonic.net, Brentwood will save an estimated $15,000 per year in connectivity fees because the ISP will provide gigabit service at no charge for City Hall. Sonic.net will fill in gaps in the conduit where they interfere with network routes. In school jurisdictions where 30 percent or more of households subscribe, public schools will also get free Internet access. (We have grave concerns about the impact of only extending high quality Internet access to schools where households are better able to subscribe to Internet access at any price point.)

City officials hope to draw more of San Francisco's high tech workforce to town. Over the past two decades of population growth, the city has prospered but community leaders want to diversify:

Fort Collins Local Media Endorses Muni Option

Communities all over Colorado have voted to reclaim local authority during the past year. Even though elected officials in Fort Collins are exploring the municipal network option, the City Council has yet to present the question to voters. Editors at the local news outlet, the Coloradan, recently expressed their support for a municipal broadband network, urging community leaders to let voters decide.

The Editorial Board focuses on the benefits Fort collins can expect from increased economic development, telemedicine capabilities, and relieved congestion from telecommuting. They see Internet access as one of the essential services cities provide such as water and electricity. The Editorial Board notes that city leaders have already budgeted $300,000 to create a strategic plan that includes community broadband.

The Board acknowledges that there are many unanswered questions - funding, cost, motivation for a deployment. Yes, questions need to be answered along the way, but it is time to move forward:

One hurdle is a 2005 state law that bans municipalities from starting their own telecommunications service, however, either a local vote or a federal waiver could override the law.

The time is now to sidestep the ban and approve municipal broadband.

Dublin Plans Upgrade Dublink to 100 Gbps

Dublin, Ohio's Dublink has been saving public dollars and spurring economic development since 2002. The gigabit fiber network is on the verge of a 100 gigabit upgrade. The Dublin Villager reports that in early May the City Council voted to implement the 100-Gigabit Dublink Ignite program.

According to the Villager:

The city has budgeted $865,000 over the next six years to complete the project, [City Manager Dana] McDaniel said, and will also use $300,000 in state funds and $360,000 from the Ohio Academic Resource Network for use of additional fiber optics for the project.

Increasing the city's fiber capability will allow the Dublin to provide fiber optics to older office buildings and make then more attractive, McDaniel said.

In addition to bringing fiber to a greater number of office buildings, the project may even lead to "fiber to the cubicle." 

As we reported in 2014, Dublin collaborated with the Ohio Academic Resources Network (OARnet) to create CORN, also known as the Central Ohio Research Network. This new 100 gigabit initiative plans to encompass those partnerships so companies can potentially access OARnet and CORN.

Dublin operates a "meet me" room at a local data center and anticipates using that facility as a place were a number of ISPs can compete for commercial customers. 

According to a detailed memo from Dana McDaniel [PDF], the city has calculated significant benefits for local businesses. Here are just a few (emphasis ours):

Morristown FiberNET in the Spotlight

In a recent report, WBIR Knoxville shined the spotlight on Morristown. The article and video discuss how FiberNET has improved its telecommunications landscape by inspiring competition, offered better connectivity to the region, and how state law prevents other towns from reaping similar benefits. We encourage you to watch both of the videos below.

Morristown's utility head describes how it considers high-speed Internet access to be a necessary utility:

"You had railroads, you had interstates, and this is the new infrastructure cities need to have," said Jody Wigington, CEO of Morristown Utility Systems (MUS). "To us, this really is as essential to economic development as having electricity or water."

Morristown began offering gigabit service via its FTTH network in 2012. It began serving residents and businesses in 2006 because the community was fed up with poor service from incumbents. Since then, FiberNET has stimulated economic development, saved public dollars, and boosted competition from private providers. 

Prices for Internet access are considerably lower in Morristown than similar communities. From the article:

Morristown's Internet service is more expensive than Chattanooga, but much faster than the rest of the region at a comparable price. A 100 Mbps synchronous connection is $75 per month. Advertised rates for Comcast in Knoxville show a price of almost $80 per month for a 50 Mbps connection with much slower upload speeds. A 50 Mbps connection in Morristown costs $40 per month. The cable Internet option in Morristown is Charter, with an advertised price of 35 Mbps for $40 a month.

As we have seen time and again, the presence of a municipal network (nay, just the rumor of one!) inspires private providers to improve their services. AT&T offers gigabit service in Morristown and Comcast has announced it plans on offering 2 gigabit service in Chattanooga.

North Carolina Files Petition Opposing FCC Ruling to End Anti-Muni Laws

It took a while, but the State of North Carolina finally decided to take its turn at the throat of the FCC. Attorneys filed a Petition for Review in the 4th Circuit Court of Appeals similar to the one filed by the State of Tennessee in March. The Petition is available for download below.

Our official comment:

"Attorney General Cooper must not realize the irony of using state taxpayer dollars to ensure less money is invested in rural broadband, but we certainly do," says Christopher Mitchell with the Institute for Local Self-Reliance. "State leaders should stand up for their citizens' interests and demand good broadband for them, rather than fighting alongside paid lobbyists to take away those opportunities."

Like Tennessee, North Carolina makes an attempt to stop the FCC's well-considered Opinion and Order by arguing that the FCC overstepped its authority in violation of the Consitution. The FCC addressed this argument in its Opinion and Order along with a myriad of other potential arguments. For detailed coverage of the FCC's well-considered decision, we provided information on highlights of the decision back in March.

According to WRAL, Wilson is taking the new development in stride:

The City of Wilson was not surprised that North Carolina sued.

"We are aware of the suit," said Will Aycock, who manages the Greenlight network. "We knew that this would be an ongoing process."

The Attorney general's has not contacted Wilson about the suit, he added.

Longmont's NextLight Offers Businesses, Residents Third Fastest Internet In the U.S.

Ookla finds the third fastest Internet access in the U.S. is located in Longmont, Colorado, reports the Times Call. NextLight, Longmont's gigabit municipal fiber network, is the source of the increase in speeds, driving Longmont's Internet access speeds far beyond any other service in the state.

Ookla clocks average download speed in Longmont as 105 Mbps, which includes all providers in the community. Incumbents Comcast and CenturyLink are dragging down NextLight's average download speed of 221 Mbps. Statewide, Colorado's average is 40 Mbps.

According to the article:

Ookla shows Internet speeds in Longmont shooting up in January and February, when LPC crews began hooking up customers to NextLight in earnest. 

NextLight continues to attract residential and business customers. In February, NextLight announced it would be hiring more install crews to meet the high demand for connections. Places without the speed, affordability, and reliability NextLight can offer will find themselves at a disadvantage as economic development increasingly relies on next-generation networks.

The Times Call spoke with Bret McInnis, vice president for information technology for Circle Graphics. The local business switched from CenturyLink to NextLight because it needed better connectivity. Before taking service from NextLight, their maximum capacity connection was 50 Mbps download or upload and it wasn't enough:

Because the images for the canvases use high-resolution photos, they are sent in large files that can range from 100 to 300 megabits in size. The company prints anywhere from 5,000 to 20,000 canvases a day during the busy holiday season.

"We've got more bandwith," McInnis said, standing in front of the five tall black towers of computing equipment that make up the business's data center. "So the NextLight fiber feeds right into this and we used to see peaks with CenturyLink ... you would see periods when we were bursting at our capacity."

Switching to NextLight, McInnis said, means employees can download and upload the high-resolution images much more quickly.

Huntington Determined to Bring Fiber to Town

Community leaders from Huntington, West Virginia, are the latest to announce they are determined to bring publicly owned infrastructure to town. The Charleston Daily Mail reported in April that Mayor Steve Williams described fiber as a "game-changer" for the city and is determined to find a way to bring it to Huntington.

From the article:

“This is something we need to have to compete at the level we expect to compete at in the city,” Williams said. “This is necessary for us to have Huntington transformed and frankly, to show that this can transform the region for the next 25 years. We intend to do this. What we have to determine is how do we use this study to define how we can get there. That’s what we’re in the midst of assessing right now.”

Huntington received a grant from the West Virginia Broadband Deployment Council in 2014 that it used to conduct a feasibility study. The study estimated that the cost of a network would be approximately $25 million. The city considers the study a working document and is currently seeking out grant funding to move forward. They aim to bring gigabit Internet access to Huntington for $70 per month for residents and $100 per month for businesses.

Like many other moderately sized communities, Huntington wants to capitalize on the higher quality of life attributed to small town life coupled with a high capacity next-generation network. Huntington's population is around 50,000 but it is also part of the larger Huntington-Charleston metro area of about 365,000.

Williams said the city is looking into the feasibility of forming a public-private partnership to develop the fiber network. Williams said it would be cost-prohibitive for the city to build and manage the network itself, but a public-private partnership would allow the city to retain ownership over the fiber while letting an outside company sell the service itself.

No matter how the city decides to approach building the network, Williams said it will happen.