A recent case study from the Community Broadband Networks initiative at the Institute for Local Self-Reliance (ILSR) finds that rural North Dakotans are more likely to have access to fiber connectivity and gigabit-speed Internet than those living in urban areas. This may surprise many of us city dwellers, who are often stuck with large monopoly providers and their expensive, unreliable Internet access.

The case study, How Local Providers Built the Nation’s Best Internet Access in Rural North Dakota, highlights the efforts of 15 local companies and telephone cooperatives who came together to invest in rural North Dakota and build gigabit fiber networks across the state. Their success is traced back to the companies' acquisition of 68 rural telephone exchanges from monpoloy provider US West (now CenturyLink) in the 1990s. The local providers then leveraged federal funds to connect rural residents and businesses with some of the most extensive and future-proof fiber networks in the country.

Download the case study, How Local Providers Built the Nation’s Best Internet Access in Rural North Dakota [pdf].

The case study features several maps and graphs that demonstrate North Dakota's widespread, high-quality connectivity, including this map of fiber coverage in the state.

Some key lessons from the case study:

• When US West, the regional telephone monopoly, didn't believe their rural North Dakota networks would be profitable, the local providers saw an opportunity to acquire US West’s rural territories in the state and to expand their services.
• More than three quarters of rural North Dakotans have access to fiber broadband today, compared to only 20 percent of rural residents nationally. Over 80 percent of North Dakota's expanse is covered by fiber networks.
• National telecom monopolies refuse to invest in rural areas even though they receive billions in subsidies, while local co-ops and companies continue to innovate and build better networks for their communities.

Since 2011, PCMag has collected speed data and written about the country’s Fastest ISPs based on download and upload results. This year’s results reflect, once again, that locations with publicly owned broadband infrastructure contribute to communities’ ability to offer faster connectivity.

How They Did It

PCMag asked readers to use a special speed test developed specifically for this reporting that measured download and upload speeds. PCMag's Speed Index assigned to each ISP represented 80 percent download speed and 20 percent upload speed. Filtering out non-U.S. tests, they ended up with 256,016 tests that applied to the comparisons. If, however, a location (for state and regional comparisons) or ISP had fewer than 100 tests, the folks at PCMag did not consider it a contender.

While editors further broke down results so as to stack major ISPs against each other in a head-to-head comparison, they also looked at all the results in a general comparison. PCMag broke down the results further by region and city. For more details on the results, check out the full article.

Munis New and Not-So-New

FairlawnGig in Ohio made the list this year, adding a third municipal Fiber-to-the-Home (FTTH) network to the list. The city’s retail service began serving residents with gigabit connectivity back in 2017, after firmly establishing their fiber services for local businesses.

When contemplating the investment, city leaders adopted the approach that their fiber optic network would be an essential piece of infrastructure on par with sewers or roads. Fairlawn used municipal bonds with no intention of turning a profit; they considered the network an investment that would keep the Akron suburb competitive. Residents, businesses, and institutions in Fairlawn, however, have enthusastically signed up for fast, reliable, connectivity where residents can get gigabit Internet access for $75 per month.

Fairlawn’s municipal FTTH network will keep company with a veteran to the list — Longmont, Colorado’s...

With only about 757,000 residents and more than 710,000 square miles North Dakota is ranked 53rd in population density among U.S. states, territories, and Washington DC. There may not be many people there, but North Dakota has some of the best connectivity in the United States. Why? Rural cooperatives and independent companies have made continued investments.

In episode 288, Christopher interviews Robin Anderson, Sales Manager for National Information Solutions Cooperative. Robin’s been working in the industry for years and has been involved in bringing better Internet access to rural areas in North Dakota. She has firsthand experience with the issues that arise during deployments and describes the camaraderie that grew naturally out of necessity when small, independent providers worked to achieve their goals to improve connectivity for cooperative members and rural subscribers.

Robin also touches on how federal loan funding helped so many of the cooperatives get started with fiber and how they took the next steps to self-fund as the demand grew. Christopher and Robin talk about the economics of fiber optic networks for cooperatives and the reasoning behind fiber investment in rural areas. They discuss some specific examples of the way collaboration in North Dakota has resulted in better networks.

Read the transcript for this show here.

This show is 28 minutes long and can be played on this page or via iTunes or the tool of your choice using this feed.

You can download this mp3 file directly from here. Listen to other episodes here or view all episodes in our index.

Thanks to Arne Huseby for the music. The song is Warm Duck Shuffle and is licensed under a Creative Commons Attribution (3.0) license.

In an April 2015 press release, the telecommunications cooperative Nemont Communications announced their plans to make the small, rural town of Scobey, Montana the first gigabit community in the state. The network will serve commercial, governmental, and residential customers in this Northeastern Montana town of just over 1,000 people. This speed increase to gig-level is a result of upgrades to the existing fiber network.

Scobey is inside of Nemont’s 14,000 square mile service territory where they began upgrades to fiber in 2007. The cooperative dates back to 1950 when farmers in the area organized to form their own telephone systems. The current service territory spans parts of Northeastern Montana, Northwestern North Dakota, South Central Montana, and Northern Wyoming. 

Bridging the Rural Digital Divide 

Nemont CEO Mike Kilgore sees the plan for Scobey as a first step for the largely rural state of Montana to push toward ultra high-speed Internet in every corner of the US:

“On January 18, 2013, former FCC Chairman Julius Genachowski issued the Gigabit City Challenge to bring at least one ultra-fast Gigabit Internet community to every state in the U.S. by 2015. Today, thanks to the tireless efforts of our talented employees, Nemont is proud to report that Montana now has a Gigabit community.”