North Louisiana has more premises unserved with high-speed Internet access than any other region of the state. In an effort to bring reliable Internet access to its members who have gone without service, directors of the Northeast Louisiana Power Cooperative (NELPCO) recently agreed to pursue a $54 million fiber buildout. 

During a special meeting called on June 29th, NELPCO’s Board of Directors voted 5-2 to begin providing high-speed Internet access across the seven rural parishes the cooperative serves through its wholly-owned subsidiary, Volt Broadband LLC.

The exact details of the project and how it will be funded are still being worked out. But, the cooperative is preparing to bond for $50 million to deploy fiber infrastructure across its 2,180-square-mile service territory, which runs from “south of Turkey Creek Lake in Franklin Parish north to the Arkansas line, and extends into Morehouse Parish,” according to the cooperative’s website.

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Construction of the fiber network will be completed in segments, beginning in the most populated regions and extending to the most rural, to eventually serve all 11,000 co-op members.

If you have been following our series on the Accessible, Affordable Internet for All (AAIA) Act, you already know the proposed legislation calls for a $100 billion investment in expanding broadband access and affordability in unserved and underserved parts of the country. In this fourth installment of the series, we explore the part of the bill that contains the bulk of the funding. Of the $100 billion proposed in the bill, $85 billion of it can be found in the Title III - Broadband Access section.

Amending the Communications Act of 1934, Section 3101 of the bill appropriates $80 billion for “competitive bidding systems” to subsidize broadband infrastructure. That is to say, it requires the Federal Communications Commission (FCC), and states, to use “competitive bidding systems” for Internet Service Providers (ISPs) to bid on broadband deployment projects in “areas with service below 25/25 Megabits per second (Mbps), and areas with low-tier service, defined as areas with service between 25/25 and 100/100 Mbps.” The term “competitive bidding” seems to suggest a reverse auction process, though it hardly makes sense for each state to set up such a system given the logistical challenges. A legislative staffer responded to our email earlier this year saying he believed that language would allow for state programs that solicited applications from ISPs and scored them for evaluation, much like Minnesota’s Border-to-Border Broadband program operates. However, he noted that the FCC would interpret that language ultimately. More on this below. 

Prioritizing Higher Upload Speeds

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This afternoon we hosted a YouTube Live event to talk about a model for financing Fiber-to-the-Home (FTTH) networks with the potential to dramatically expand ultrafast Internet access at affordable rates with no large upfront costs to homeowners. Christopher was joined by Deborah Simpier, CEO of Althea Networks, to talk with NetEquity Networks Founder and CEO Isfandiyar Shaheen (Asfi) about how it works, and dig into practical questions about its potential to fiberize rural America. This “fiber condominium” approach pairs collectively owned network infrastructure with the equity boost that comes with bringing symmetrical gigabit access to residential housing. 

Watch the recording below, and read more about the approach.

Join us for a special livestream next week on Thursday, November 19th, from 3-4pm (CST). We’ll be talking about a model for financing Fiber-to-the-Home (FTTH) networks with the potential to dramatically expand ultrafast Internet access at affordable rates with no large upfront costs to homeowners. This “fiber condominium” approach pairs collectively owned network infrastructure with the equity boost that comes with bringing symmetrical gigabit access to residential housing. 

In this Community Broadband Networks special livestream from ILSR, Christopher will be joined by Deborah Simpier, CEO of Althea Networks, to talk with NetEquity Networks Founder and CEO Isfandiyar Shaheen about how it works, and dig into practical questions about its potential to fiberize rural America. 

Less than a third of the nation currently enjoys fiber connectivity, with the remainder stuck with cable or DSL. At least 14 million Americans lack wireline connectivity whatsoever. 

We look forward to having you join us for the conversation, and welcome your questions during the stream!  

What: Discussing A New Financing Model for Fiber Expansion on YouTube Live

When: Thursday, November 19th, 3pm CST

Where: YouTube Live: https://www.youtube.com/watch?v=J37pWLLHEnM 

Who: Christopher Mitchell (ILSR), Deborah Simpier (Althea Networks), and Isfandiyar Shaheen (NetEquity Networks)

Don't miss interviews and other video content from ILSR; subscribe on YouTube!

All across the country, municipal networks, cooperatives, and cities have been putting in extra effort to make sure that Americans have the fast, affordable, reliable Internet access they need to conduct their lives in the midst of the COVID-19 pandemic. 

AT&T has decided to take another route. A USA Today report last week revealed that the company has stopped making connections to users subscribing to its ADSL Internet as of October 1st. Anyone calling the company to set up new service is being told that no new accounts are being accepted. 

The decision comes right as the National Digital Inclusion Alliance has released a report detailing that only 28% of AT&T’s territory can get fiber from the company. AT&T has deliberately focused investment in more urban areas of higher income. From the report:

The analysis of AT&T’s network reveals that the company is prioritizing network upgrades to wealthier areas, and leaving lower income communities with outdated technologies. Across the country, the median income for households with fiber available is 34 percent higher than in areas with DSL only — $60,969 compared to $45,500. 

The Deep South Hit Hardest

As of today, it looks like the most conservative number of those affected by the decision will be about 80,000 households that have no other option. Our analysis using the Federal Communication Commission’s (FCC) Form 477 data shows that the Deep South will be hit the hardest (see table at the bottom of the page). 

Collectively it means more than 207,000 Americans who, if disconnected, will have no option for Internet aside from their mobile devices or satellite service. The number of Americans affected by the decision but which have additional wireline options is higher: roughly 2.2 million American households nationwide subscribe to the service (see map, below).  

As schools and businesses ask people to stay home to reduce the spread of Covid-19 coronavirus, I wanted to share some thoughts about how I expect broadband Internet access networks will handle the change and increase in broadband traffic in residential areas.

Our first reaction is that, as with so many areas with network effects, the rich will get richer. This is to say that historic inequities will be exacerbated — people that have been able to afford the high-quality networks will probably see very little disruption and those who have older networks may be effectively disconnected.

Better Network Scenarios

Those on fiber optic networks probably won't notice major changes in demand. This is the easy one — it is why we have long believed that fiber optics should be the goal for the vast majority of Americans.

Most modern cable networks should be also able to handle the demand — especially on the download end. This is good because 2 out of 3 Americans with broadband gets it from a cable network. Upgrades in recent years from the aggressive cable companies (Comcast Xfinity, Cox, and some of the many smaller cable networks — Charter Spectrum less so) should allow more than sufficient download capacity even if home video streaming increases significantly. But in smaller towns, where the local cable companies haven't been able to afford those upgrades and the bigger cable providers have just ignored them, I would expect to see intermittent and in some cases, persistent congestion problems from bottlenecks.

In the upstream direction, the cable networks will have some challenges. I wouldn't expect most Comcast or Cox markets to have too many problems, though neighborhoods with lots of professionals using video conferencing tools could congest. I would expect Charter Spectrum, Mediacom, and many of the others to have frequent congestion for upstream connections, lowering throughput extremely at times.

As we greet each holiday season, we try to re-live the classic creations from years gone by and treasure hoilday memories the creative writers at MuniNetworks.org have developed to enjoy the season. Four years ago, Tom Ernste and Hannah Trostle wrote “Twas the Night Before Muni Fiber” which has always been one of our favorites.

Both authors have journeyed on to other careers but we get to keep their contributions to ILSR’s work, including this poem in the style of “A Visit from St. Nicholas” by Clement Clarke Moore. We've made it a tradition each year to publish the piece for new readers.

Enjoy, share, and thank you for your support! 

Despite raking in hundreds of millions in government broadband subsidies, Frontier Communications has failed time and time again to bring reliable, high-speed connectivity to the rural communities it serves. Instead of investing in network upgrades, Frontier has neglected its rural infrastructure to the detriment of its subscribers and the company’s own financials, with its worsening service quality paralleling its plummeting stock value.

Our new fact sheet, Frontier Has Failed Rural America, presents evidence of Frontier’s negligence and suggests that rather than continuing to trust Frontier, government officials should look to publicly owned and community-minded providers to connect rural residents, businesses, and institutions.

Download the Frontier Has Failed Rural America fact sheet [pdf].

Subsidies Can’t Fix Frontier

Federal and state government agencies have given Frontier nearly $2 billion to expand and upgrade its rural broadband networks. The company has received approximately $1.7 billion from the Connect America Fund Phase II federal subsidy program and millions more in grants from states like Minnesota and New York.

Even with the subsidies, Frontier ultimately failed to connect rural communities with high-quality broadband. The company has repeatedly chosen not to upgrade rural networks, leaving subscribers with poor, unreliable service that doesn’t fulfill their basic communications needs.

Frontier’s “Systemic Problems”

Our fact sheet, Frontier Has Failed Rural America, features events from the past five years that demonstrate Frontier’s inability to solve the rural broadband problem, including:

Since 2017, AT&T has been called out for digital redlining in Cleveland and Detroit. Now, Dr. Brian Whitacre from Oklahoma State University has compared 477 data from the company to poverty levels in Dallas County, Texas, and discovered similar findings. He entered into the project under the request of Attorney Darryl Parks, who filed the complaint against the Federal Communications Commission (FCC) against AT&T relating to digital redlining in Cleveland.

Dr. Whitacre provided a statement of his findings to the National Digital Inclusion Alliance (NDIA) to be published in full. Read his findings here.

In his POTs and PANs blog, Doug Dawson of CCG Consulting analyzed Whitacre’s findings. AT&T offers Fiber-to-the Home (FTTH), VDSL, and ADSL2 or ADSL2+, which all provide dramatically different speeds. As Dawson summed up:

It’s worth noting before going further that the… speed differences, while dramatic, [don’t] tell the whole story. The older ADSL technology has a dramatic drop in customer speeds with distances and speeds are also influenced by the quality of the copper wires. Dr. Whitaker noted that he had anecdotal evidence that some of the homes that were listed as having 3 Megabits per second (Mbps) of 6 Mbps might have speeds under 1 Mbps.

Dr. Whitaker then overlaid the broadband availability against poverty levels in the county. His analysis started by looking at Census blocks have at least 35% of households below the poverty level. In Dallas County, 6,777 census blocks have poverty rates of 35% or higher.

The findings were as follows: