Tag: "dark fiber"

Posted May 18, 2011 by christopher

An article in the San Francisco Bay Guardian about public opposition to AT&T's further cluttering the right-of-way with 726 metal boxes to start delivering their super DSL U-Verse alerted me to people getting organized for community fiber.

AT&T's U-verse upgrade would enable it to offer connection speeds three times faster than current service — but not nearly as fast as what fiber proponents envision. Several members of the tech industry interviewed by the Guardian cautioned that another AT&T upgrade might be necessary after less than a decade to keep pace with technological advancement.

Ha! Considering that AT&T U-Verse tops out at 24Mbps downstream (if you are lucky and live close to the key electronics) and a piddling 1.5 Mbps upstream, it is already obsolete. Cable networks offered considerably better performance last year -- suggesting that AT&T should stop wasting everyone's time in SF with this approach.

We have previously written about efforts to use the City's fiber to bridge the digital divide and the SFBG article introduces us to new ideas using that asset.

Meanwhile, Board of Supervisors President David Chiu recently asked DTIS to examine the possibility of leasing excess capacity on city-owned dark-fiber infrastructure, which is currently in place but not being used. This could boost bandwidth for entities such as nonprofits, health care facilities, biotech companies, digital media companies, or universities, Chiu said, while bolstering city coffers. "There are many places in town that need a lot more bandwidth, and this is an easy way to provide it," he said.

Sniezko noted that other cities have created open-access networks to deploy fiber. "This is really effective because it's a lot like a public utility," she explained. "The city or someone fills a pipe, and then anyone who wants to run information or service on that pipe can do so. They pay a leasing fee. This has worked in many places in Europe, and they actually do it in Utah. In many cases, it's really cool — because it's publicly owned and it's neutral. There's no prioritizing traffic for one thing over another, or limitation on who's allowed to offer service on the network. It ... creates some good public infrastructure, and...

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Posted January 3, 2011 by christopher

Ontario County was working on a publicly owned solution to Middle Mile long before the broadband stimulus approach made it popular. And now, before most of the stimulus money has been disbursed, they have completed an expanded version of their initial plan.

To date, Axcess Ontario has signed master agreements with eight telecom and broadband companies, including Verizon Wireless and national broadband provider tw telecom. Axcess Ontario is in continual discussions with other service providers, and is working aggressively on its next goal of luring a fiber-to-the-home (FTTH) service provider to Ontario County. With the fiber ring complete, businesses and municipalities now have access to faster and less expensive broadband, as well as bandwidth equal to global broadband leaders. Businesses can gain access to the ring simply by contacting any of the eight service providers that work with Axcess Ontario. Residents do not yet have access to faster and less expensive broadband, but they will once a FTTH service provider is secured. Axcess Ontario has been working to lure a FTTH provider for more than a year, including submitting an application on behalf of Ontario County, NY, to Google's "Fiber for Communities" ultrafast broadband project earlier this year. More than 1,100 communities nationwide responded to that project, and Google just announced last week that it was postponing its selection of winning communities to early 2011.

We will be interested to see if they can lure a FTTH provider -- though middle mile can lower the operating costs of providing such a service, the capital costs are not significantly changed. And with the robust middle mile already connecting community anchor institutions, a new FTTH provider cannot count on those high-revenue customers. We have seen this previously in Alberta, Canada. Axcess Ontario is an example of a good public-private partnership - as noted in Telecompetitor:

Axcess Ontario credits much of its $2 million cost savings to a lease agreement with Ontario Telephone Co., an incumbent local carrier.

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Posted July 28, 2010 by christopher

We've previously noted the successes of the Santa Monica approach to leasing dark fiber, but a new article reveals that Los Angeles, Burbank, and Anaheim also lease city-owned fiber assets.

In fact, Burbank generates substantial net income for its general fund through leases, including to major Hollywood studios.

Burbank first laid its fiber in the late 1980s and began leasing in the mid 1990s, said Robert DeLeon, a senior electrical services planner in Burbank. It currently leases to 15 studios, such as Warner Brothers and Disney, or studio-related businesses, like post-production companies. Like Santa Monica, Burbank's main goal in leasing its dark fiber was to attract business. But at $200 per strand per mile, Burbank is currently making approximately $1 million that is being put back into the general fund.

Santa Monica's revenues from leases have been more modest, but the benefits of leasing go far beyond regular payments. The network increases economic development and improves the quality of life with free Wi-Fi in a variety of public areas. Further, the city no longer has to overpay for the data connections it needs for municipal functions.

Santa Monica is also leasing to 15 businesses that include hospitals, entertainment companies and new media outlets, among others, but is only making $270,000. It was never Santa Monica's intention for the leasing of dark fiber to be a major source of revenue, Wolf said.

Santa Monica - UCLA Medical Center uses city-owned fiber because the city has better customer service:

Though there are other options for obtaining a fiber optic connection, such as AT&T, Kacperski said the hospital decided to lease from City Hall because hospitals are community based and because City Hall has better customer service than private carriers.

As we have often maintained, locally owned networks win on customer service (and often reliability). Community networks may not always win on prices because massive incumbents can engage in predatory pricing by cross-subsidizing from non-competitive markets, but they can win on providing a better experience for subscribers.

Moving forward, Santa Monica is starting to go beyond simply leasing dark fiber to actually...

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