Tag: "fiber-to-the-business"

Posted March 19, 2014 by christopher

Local governments in Minnesota have been at the forefront of expanding fast, affordable, and reliable Internet access - often in some of the most challenging areas of the state. ILSR has just released a policy brief to explore some of these approaches: Minnesota Local Governments Advance Super Fast Internet Networks.

The full report is available here.

The brief examines five communities that have taken different approaches to expanding access, from working with a trusted local partner to creating a new cooperative to building community-wide FTTH networks.

Lac qui Parle County has worked with Farmers Mutual Telephone cooperative to bring fiber networks to those who had been stuck on dial-up. Finding itself in a similar situation with no reliable partner, Sibley County is creating a new coop to work with.

Scott County built a fiber ring to connect community anchor institutsion to dramatically expand access to high capacity networks and lower telecommunications budgets. That network has helped to lure several major employers to the area by leasing fiber to them.

Windom and Monticello have built FTTH networks in extremely challenging conditions. Though Windom is far smaller than most have believed is feasible to build such a network, it has thrived and is now connecting many of the small towns surrounding it. It was essential in retaining jobs in the community that would have been lost without it and has attracted new jobs to the region. Monticello is a younger network and has remarkably benefited the community even as it has struggled financially due to dirty tricks from the telephone and cable companies.

The policy brief makes some policy recommendations while focusing on some local solutions to difficult problems in ensuring all Minnesotans have fast, affordable, and reliable Internet access.

Posted March 18, 2014 by christopher

Just a few weeks after releasing our case study of Santa Monica's City Net, we have an opportunity to interview Jory Wolf, CIO of Santa Monica, and the chief driver of City Net. This is episode #90 of the Community Broadband Bits podcast.

We talk about how City Net got its start with a smart approach to the cable franchise negotiation. Adelphia built a number of fiber paths that Santa Monica would mange to connect anchor institutions. The savings from no longer leasing services provided the basis for expanding a network that would meet Santa Monica's needs long into the future.

They took that network and added on, eventually serving businesses with dark fiber and even some lit service. The model is applicable to any local government - financed by saving money and reinvesting that back into the network.

Read the transcript from this episode here.

We want your feedback and suggestions for the show - please e-mail us or leave a comment below. Also, feel free to suggest other guests, topics, or questions you want us to address.

This show is 20 minutes long and can be played below on this page or via iTunes or via the tool of your choice using this feed.

Listen to previous episodes here. You can can download this Mp3 file directly from here.

Find more episodes in our podcast index.

Thanks to Valley Lodge for the music, licensed using Creative Commons. The song is "Sweet Elizabeth."

Posted March 5, 2014 by christopher

Santa Monica has built a fiber network called City Net that has lowered its own costs for telecommunications, helped to retain businesses, and attracted new businesses to the community. Built incrementally without debt, it offers a roadmap any community can draw lessons from.

Unlike the majority of municipal fiber networks, Santa Monica does not have a municipal power provider – City Net is run out of the Information Systems Department. The vision for the network and its expansion was created in the Telecommunications Master Plan in 1998, standardizing the procedure that we now call “dig once.” Careful mapping and clever foresight laid the foundation for growth.

The first goal of the network was to save public dollars by eliminating leased lines from private providers. The first $530,000 investment in fiber infrastructure ultimately resulted in an ongoing savings of $700,000 per year. As part of their long term strategy, the City reinvested those savings in expanding the network. Over the past ten years, the network has expanded to offer dark fiber and services of 100 Mbps to 10 Gbps to area businesses as well as free Wi-Fi to the public in many areas.

Money that could have been spent on leasing slower, less reliable connections from existing providers has instead been used to expand public infrastructure and other public amenities. Free Wi-Fi, public safety video cameras, and realtime parking info are just a few niceties that enhance the quality of life in Santa Monica.

Download Santa Monica City Net Case Study [pdf]

If you want to stay up to date with these kinds of stories, be sure to sign up for our Community Broadband Networks once-per-week email newsletter.

Posted March 3, 2014 by christopher

In 1998, Santa Monica created a Telecommunications Master Plan that has guided it for the past fifteen years in building an impressive fiber network connecting all community anchor institutions and many business districts. We have just released a case study detailing this effort, entitled: Santa Monica City Net: An Incremental Approach to Building a Fiber Optic Network.

Below, you will find the original Master Plan and Exhibits. Santa Monica got it right - this document can still be a model today for communities across the United States. This document is particularly important for local governments that do not have a municipal electric department because it offers an alternative model run out of the IT department.

Posted February 13, 2014 by lgonzalez

EPB in Chattanooga offers a service to business clients that offers a good reminder that local service providers have to be able to offer a variety of business services because different businesses have vastly different wants and needs. In 2012, the publicly owned utility began offering telephone service with cloud characteristics.

The service saves money by limiting the need of small businesses to commit to capital investment and personnel costs while offering the capabilities that larger firms with larger IT staffs have. A TimesFreePress article on the service from 2012 reported:

"We looked at an average business that had nine sets and eight lines, and it comes to about $320 per month, instead of thousands of dollars in up-front costs," [Katie] Espeseth [EPB's head of product development] said.

When businesses install them on their own, the systems and devices require employees to maintain, at a time when many companies are looking to streamline their IT departments.

"It really takes the burden of installing and maintaining your telephone equipment off your own employees and puts it with our company," said Espeseth. "In Chattanooga, if a small business can take the capital they were going to spend on a new phone system and invest it in their business, it makes sense to spread that cost out over time."

EPB did their homework and now provides a service that small businesses need at affordable rates. Understanding the needs of local businesses and offering a range of options is key to the success of local providers.

Posted February 3, 2014 by lgonzalez

Nine years ago, Aurora officials decided it was time to reduce telecommunications costs and upgrade to a faster, more reliable network. The local government built a fiber network to service municipal government, but developed long-term ideas for the network to benefit the entire community.

Nonprofit OnLight Aurora now uses the City's fiber optic network to provide high-speed connectivity to educational institutions, businesses, healthcare facilities, social service entities, and major non-profits. The organization leases fibers from the City's fiber optic network and provides Internet access at affordable rates.

Aurora is the second most populous city in Illinois. The municipal government spans 52 buildings over 46 square miles. Before the city's fiber network, connections were a patchwork of varying speeds and capabilities. Employees in a building with a slow connection would need to travel to City Hall to access a high-speed connections to use the city's bandwidth intensive applications. The network was old, unreliable, and expensive. The Director of Onlight Aurora recently spoke with Drew Clark from Broadband Breakfast :

"In 2005-2006, we came to the conclusion that we were paying $500,000 a year [to telecommunications providers] for leased line expenses,” said Peter Lynch, Director and President of Onlight Aurora.

The 60-mile network, constructed from 2008 - 2011, cost approximately $7 million to deploy. At the beginning of the process, payback was estimated at 10 years. While the short-term goal was to cut municipal connectivity costs, community leaders intended to expand its use in other ways. The City now saves approximately $485,000 each year from having eliminated leased lines. From a Cisco case study on Aurora [PDF]:

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Posted January 29, 2014 by lgonzalez

Its extensive free Wi-Fi has brought Ponca City into the limelight but the mesh network did not appear overnight. The community effort began with miles of fiber network that provide connectivity and enable the mesh network financially and technically.

Ponca City, home to 25,000, is located on Oklahoma's north central border; Tulsa, Oklahoma City, and Wichita are all more than 90 miles away. The petroleum industry flourished in Ponca City until the oil bust in the 1990s and the population began to decline as workers moved away. Community leaders sought ways to salvage the local economy through economic development. They began to focus on the technology, manufacturing, and service industries.

The municipal electric department, Ponca City Energy, installed the first five miles of fiber in 1997 and five more in 1999 to connect outlying municipal buildings to City Hall. Line crews from the utility and the City Technology Services Department handled all installation to keep expenses down. The City continued to add to the network incrementally, exapanding it to over 350 miles. The network also serves the City's SCADA system.

In 2003, Ponca City Energy connected the local schools, and the Ponca City Medical Center to the network. The network also began providing Internet to the University Learning Center of Northern Oklahoma, now named the University Center at Ponca City. The Center collaborates with thirteen higher education institutions to provide distance learning in 48 online degree programs.

Ponca City eventually began offering Internet access via the fiber to commercial customers. According to Craige Baird, Technology Services Director, most businesses in the community purchase Internet access from the City. Revenue from commercial Internet customers, approximately $36,000 per month, pays for the wireless mesh network.

In 2008, Ponca City installed the wireless...

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Posted January 28, 2014 by lgonzalez

In partnership with the Center for Popular Democracy, we have created a new policy brief: Building Community Broadband Access. We offer examples of communities that have acted to improve access by using smart strategies that facilitate community owned networks.

This fact sheet provides information to legislators, advocates, or concerned citizens who want to educate others about the benefits of publicly owned networks. This is the latest in our growing collection of convenient, compact, and instructive fact sheets. 

The Center for Popular Democracy works with a long list of local, state, and national groups to exercise grass-roots democracy. 

Download the Policy Brief [PDF].

Posted January 9, 2014 by christopher

We are adding a new fact sheet to our growing collection with the new, Financing Municipal Networks Fact Sheet. Many have assumed that municipal networks are funded with taxpayer dollars, but this is not true in the overwhelming number of cases.

When a community decides it needs to establish its own publicly owned network infrastructure, one of the biggest challenges is financing the investment. Each community is unique but three main methods of financing are most popular. This fact sheet offers a quick look at these common approaches and provides real-world examples.

Download the Fact Sheet [pdf]

Posted January 9, 2014 by christopher

This the second in a series of posts exploring lessons learned from the Seattle Gigabit Squared project, which now appears unlikely to be built. The first post is available here and focuses on the benefits massive cable companies already have as well as the limits of conduit and fiber in spurring new competition.

This post focuses on business challenges an entity like Gigabit Squared would face in building the network it envisioned. I am not representing that this is what Gigabit Squared faced but these issues arise with any new provider in that circumstance. I aim to explain why the private sector has not and generally will not provide competition to companies Comcast and Time Warner Cable.

Gigabit Squared planned to deliver voice, television, and Internet access to subscribers. Voice can be a bit of hassle due to the many regulatory requirements and Internet access is comparatively simple. But television, that is a headache. I've been told by some munis that 90% of the problems and difficulties they experience is with television services.

Before you can deliver ESPN, the Family Channel, or Comedy Central, you have to come to agreement with big channel owners like Disney, Viacom, and others. Even massive companies like Comcast have to pay the channel owners more each year despite its over 10 million subscribers, so you can imagine how difficult it can be for a small firm to negotiate these contracts. Some channel owners may only negotiate with a provider after it has a few thousand subscribers - but getting a few thousand subscribers without good content is a challenge.

Many small firms (including most munis) join a buyer cooperative called the National Cable Television Cooperative (NCTC) that has many of the contracts available. But even with that substantial help, building a channel lineup is incredibly difficult and the new competitor will almost certainly be paying more for the same channels as a competitor like Comcast or Time Warner Cable. And some munis, like Lafayette, faced steep barriers in just joining the coop.

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