On Episode 4 of Connect This! Christopher is joined by Jeff Christensen (President, EntryPoint Networks), Dane Jasper (CEO and Co-Founder, Sonic), and Travis Carter (CEO, US Internet) to talk about open access models, and the challenges and opportunities they present. During the discussion they discuss barriers to entry, differentiation, dark fiber, and why we don't see more cities pursuing projects like this. They also have a little fun sharing what they think the FCC has gotten right and wrong over the last 4 years, and what Comcast's recent announcement about bandwidth caps will mean for users and competing Internet Service Providers (ISPs).

Mentioned during the episode was Chris' conversation with NetEquity Networks' Isfandiyar Shaheen and Althea Networks' Deborah Simpier about innovating financing models for expanding fiber networks.

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Read the transcript for this episode.

Ammon, Idaho’s open access software defined network has earned accolades from industry experts and been hailed as a model approach for other communities. It has been praised for serving the community, providing reliability, and offering affordable options. Amid news of expansion, the positive effects of competition via the publicly owned network have recently flashed across news and social media. People who don’t live in the Idaho city are shocked to learn how affordable high-quality Internet access can be. 

Growing a Good Thing

In March, City of Ammon Fiber Optics began to deploy in the city’s Bridgewater neighborhood, where they expected to connect around 300 of the potential 500 subscriber households with this particular expansion. Three more neighborhoods are lined up for expansion this summer and into the fall.

The city provides several options for residents in Ammon, including the Local Improvement District (LID) approach, to finance expansions of the infrastructure. Their method allows the community to continue to build the network without borrowing or bonding. Community members within the boundaries of the project area can sign up at the beginning of the process to pay for connecting over a 20-year period. If they decide to pass initially and connect later, they must pay the connection fee out of pocket. In 2018, the city of Ammon developed this explainer video:

If people want to pay the full connection fee all at once, they have the option to do so, but many people choose to pay through the LID. Connecting to the networks usually costs between $3,000 - $3,500. Groups of neighbors come together to create the LIDs because deploying in an area where there are multiple homes interested in connecting to the network is less expensive than a single home connection. The more property owners who opt in to connect to City of Ammon Fiber Optics, the lower the cost is to every one who wants to connect.

Keeping it Clear

To most people, connecting to the Internet means a bill from an Internet access company such as Comcast or AT&T. Subscribers who obtain Internet access from large...

Idaho Innovation Awards recently recognized industry leader Ammon Fiber Optics as the state’s Consumer Product of the Year. The publicly owned open access fiber network beat out companies that make expandable shoes for kids and solar power generators to win the award.

This year’s Idaho Innovation Awards event was organized by law firm Stoel Rives in cooperation with the Idaho Technology Council and Trailhead. According to the event website, it “recognizes innovations, innovative professionals and companies throughout the state” that contribute to Idaho’s economy. The other finalists for the prize were Expandals from GroFive and Kodiak from Inergy.

Belle of the Broadband Ball

Ammon, Idaho, is no stranger to accolades. In 2016, the city’s fiber network received the Community Broadband Project of the Year award from the National Association of Telecommunications Officers and Advisors (NATOA). Many others, including a former FCC Chairman, have applauded Ammon’s innovative open access model and funding approach.

Praise for what has become known as the “Ammon model” springs from the many benefits the network delivers to the community. The Fiber-to-the-Home (FTTH) network brings gigabit connectivity to the city of 15,000, while the open access design promotes competition among Internet access providers. Through software defined networking, the city has made it easy for subscribers to switch providers using an online portal. Ammon also offers affordable “lifeline” Internet access to households struggling financially to keep them connected to school and jobs. Find out how else...

As Ammon, Idaho, celebrated the official launch of its publicly owned open access network on October 5th, 2017, the folks from Harvard University’s Digital Access to Scholarship at Harvard (DASH), shared Ammon’s story in their new report. Enabling Competition and Innovation on a City Fiber Network, by Paddy Leerssen and David Talbot provides the details of the community’s pioneering network that uses technology to increase competition for the benefit of citizens.

The report explains Ammon’s “Network Virtualization” strategy and how they accomplish it with software-defined networking (SDN) and networking function virtualization (NFV). The results reduce costs and allow users to take advantage of more specialized services, including allowing them to easily switch between Internet service providers. The environment encourages ISPs to take extra steps to please their subscribers.

Leerssen and Talbot also take the time to explain the network’s evolution from classic I-Net to groundbreaking Fiber-to-the-Home (FTTH). Information in the report includes detail about pricing, and how the city determines the cost for connectivity to property owners. Readers can also learn about the ways users are taking virtualization to the next level by creating their own private networks.

Readers can learn how the Ammon Model has changed prior conceptions of municipal networks because the community needed and wanted a new approach. While Idaho is not one of the states where legal barriers discourage municipal Internet networks, the authors address how some state laws have effectively crippled local attempts to improve connectivity.

Key Findings from the report:

Ammon’s network initially served government and business users. Construction of a residential network—paid for by a property assessment equal to $17 monthly for 20 years—began in September of 2016. As of August 2017 it had 145 residential customers, with more than 270 homes expected to be connected by November 2017 in the first connected neighborhood. 

The city charges users a $16.50 monthly utility fee for a fast data connection to the city network. Users then choose from Internet service providers (ISPs) via an online dashboard for access to the wider Internet or specialized services. To make this possible, the city uses network virtualization...