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Middle Mile vs Last Mile - Community Broadband Bits Podcast 214

As the next President considers how to improve rural Internet access, the administration will have to decide where to focus policy. Some at NTIA - the National Telecommunications Information Administration, a part of the federal Department of Commerce - have argued for more middle mile investment. NTIA oversaw major investments in middle mile networks after the stimulus package passed in 2009. To discuss the relevance of middle mile investment against last mile investment, we brought Fletcher Kittredge back, the CEO of GWI in Maine. Fletcher has extensive experience with both middle mile and last mile investments. We talk about whether more middle mile will actual incent last mile investment and, more importantly, how to build middle mile correctly to get the best bang for the buck. Along those lines, we talk about avoiding cherry-picking problems and one of my favorites, how to ensure that rural investment does not inadvertently promote sprawl.

This show is 30 minutes long and can be played on this page or via Apple Podcasts or the tool of your choice using this feed

Transcript below. 

We want your feedback and suggestions for the show-please e-mail us or leave a comment below.

Listen to other episodes here or view all episodes in our index. See other podcasts from the Institute for Local Self-Reliance here.

Thanks to Roller Genoa for the music, licensed using Creative Commons. The song is "Safe and Warm in Hunter's Arms."

Minnesota's Arrowhead Region Points to High-Speed Internet

Welcome to high-speed Internet on the Iron Range! This past fall, the Northeast Service Cooperative (NESC) completed a multi-year project, a fiber optic network spanning nearly 1,000 miles, on Minnesota’s north shore.

The project, the Northeast Fiber Network, connects public buildings, such as health care facilities, community libraries, colleges and universities, tribal facilities, and government offices. The fiber provides the opportunity for next-generation connectivity in many unserved and underserved areas of eight counties: St. Louis, Cook, Lake, Pine, Itasca, Koochiching, Carlton, and Aitkin. It’s exciting to see this rural project finally come to fruition.

Institutional Network: Now to Go the Last Mile

It’s an institutional network, which means it brings high-speed Internet to community anchor institutions throughout the region. So far, about 320 public entities, including 31 school districts, have connected to the network. The network is designed to provide middle mile connectivity for community anchor institutions, not to bring connectivity to residents and businesses of the region. As with most federally funded projects, the plan is to provide middle mile infrastructure with the hope that the private sector will be more able or willing to invest in last mile connectivity.

That last mile, to homes and businesses, presents a challenge. NESC is leasing fiber to public and private providers and working to ensure that the network can serve as a backbone to greater connectivity. Actively working with private providers, NESC offers a bright future for unserved and underserved communities on the Iron Range.

Collaboration & Funding

Fifteen Fun Facts about NoaNet - Fifteen Years of Accomplishments

Northwest Open Access Network (NoaNet) was just a dream back in 2000, but, fifteen years later, it’s one of the largest networks in the state of Washington. NoaNet is celebrating fifteen years of accomplishments, so we compiled fifteen fun facts everyone should know about this community network.

1. One of the first Open Access networks in the U.S.
Back in 2000, people in rural Washington watched as the dot-com and telecom boom passed them by. Frustrated that large ISPs refused to build infrastructure near them, the people created NoaNet and allowed anyone to use it through Open Access. This type of design encourages multiple service providers to share the infrastructure and local communities own the network.

2. Almost 2,000 miles of fiber
You know that amazing, next-generation technology that Google is rolling out in select cities across the U.S.? Yeah, people in Washington started using fiber optic cables fifteen years ago to bring high-speed Internet to their communities. Now, NoaNet extends almost 2,000 miles through both rural and metro areas.

3. It’s a giant Institutional Network
With all that fiber, NoaNet connects 170 communities and around 2,000 schools, libraries, hospitals, and government buildings. It serves as a middle mile network, connecting the public institutions of small towns to the greater Internet. 

4. 40% of Washington government traffic, by 2007
And that’s just within the first seven years!

5. 61 last mile providers
From NoaNet’s infrastructure, private providers bring connectivity the last mile to homes and businesses. Having publicly-owned middle mile reduces the capital costs of building last mile infrastructure - that means more providers can compete with one another and better prices for everyone. Currently, there are over 260,000 customers!

Video: Next Century Cities' Digital New England Conference

On September 28th, Christopher participated in the Digital New England regional broadband summit in Portland, Maine sponsored by Next Century Cities and the NTIA (National Telecommunications and Information Administration). In the morning, he moderated a panel focusing on regional approaches to improve Internet access, and in the afternoon he moderated a panel that included incumbent providers on their preferences for partnerships.

If you were unable to attend the event or did not see the live stream, Next Century Cities has released a video playlist of the two day long event. Christopher can be found moderating the morning panel in the main room during part three. The full agenda is available online.

Digital New England Community Broadband Summit Webcast Live

If you are not able to attend the Digital New England Community Broadband Summit in Portland, Maine, you are in luck. The conference is being webcast live from NTIA's Digital New England Community Broadband Summit website.

The conference will run until 4 p.m. Eastern today and is a collaboration between NTIA and Next Century Cities. NTIA describes the gathering:

The summit will present best practices and lessons learned from broadband network infrastructure buildouts and digital inclusion programs from Maine and surrounding states, including projects funded by NTIA’s Broadband Technology Opportunities Program (BTOP) and State Broadband Initiative (SBI) grant programs funded by the American Recovery and Reinvestment Act of 2009. The summit will also explore effective business and partnership models.

You can view the full agenda online [PDF], complete with a list of guest speakers and moderators.

Decorah, Iowa, Considers the Future of MetroNet

Decorah, named an "All-Star Community" in part due to benefits from their internal fiber network, is now exploring new ways to utilize MetroNet. According to a recent Decorah Newspapers article, the six community anchor institutions (CAIs) that collaborated to deploy the network recently met with the city council to discuss the future.

The 11-mile network began serving CAIs and an additional 18 facilities in 2013. After a 2008 flood that knocked out communications, the city, county, and school district began planning for the network. Eventually, the project grew to include Luther College, the Upper Explorerland Regional Planning Commission, and the Winneshiek Medical Center. BTOP funds paid for much of the approximate $1 million deployment but contributions from participants supplied an additional $450,000.

According to the article, MetroNet supplies each institution with its own fiber, leaving plenty to spare. Decorah City Manager and Chair of the MetroNet Board Craig Bird says that the network has a "vast amount" of dark fiber available that is not being used. Members of the community have approached the Board about using the fiber for better connectivity beyond current uses:

Bird said the MetroNet Board has to decide how to respond to a grassroots petition committee of citizens “demanding access to the MetroNet and faster broadband speeds and fiber capacities” for Internet access to private homes and businesses.

“The MetroNet Board is now starting to look at the future and what the MetroNet holds for the six anchor members, but also for the community,” he told the Councils.

At the city council meeting, Bird discussed the possibility of creating a municipal Internet utility, creating a cooperative, forming a nonprofit, or leaving MetroNet as a service for the existing members and facilities. They also considered the option of leasing dark fiber to private providers.

Bird also told the council that the MetroNet Board has agreed to participate in a regional feasibility study to include northeast Iowa. The Iowa Association of Municipal Utilities has commission the study that will include a number of towns:

UC2B and Partner Bringing Fiber to More Urbana-Champaign Communities in Illinois

The UC2B Network and its partner, iTV-3, will soon bring gigabit capabilities to more people in the Champaign-Urbana community in Illinois. According to the UC2B press release [PDF], iTV-3 will expand existing fiber to areas of the community to serve residents and businesses. iTV-3 will take subscriptions for commercial and residential access online at www.theperfectupgrade.com.

In a statement from the FCC, Chairman Tom Wheeler commented:

"Congratulations to Urbana-Champaign Big Broadband (UC2B) and iTV-3 on making gigabit services over fiber available throughout the community. This public-private partnership provides a valuable model for communities and companies throughout the country and a demonstration of the creativity that is stimulated when localities are free to work with the private sector to improve broadband offerings.”

UC2B and the University of Illinois at Urbana-Champaign received American Recovery and Reinvestment Act (ARRA) funds to deploy an urban FTTH network in Illinois. The not-for-profit corporation offered economical Internet service to residential subscribers in economically disadvantaged areas, some as low as $19.99 per month. The network also connected a number of community anchor institutions including schools, hospitals, and municipal facilities throughout the Urbana-Champaign metropolitan area.

According to a fact sheet on the project [PDF], the company is a subsidiary of a family-owned business that started in Springfield, Illinois. iTV-3 has been an ISP since the mid 1990s but also owns and operates over 775 Family Video stores in 19 states and Canada. UC2B chose iTV-3 because the company operates in a manner consistent with the Community Broadband Principles, core values guiding UC2B since inception. iTV-3 will also contribute to UC2B's Community Benefit Fund, established to improve digital literacy and digital inclusion. 

GAO Report: Government Telecom Investments Help Local Businesses

The Government Accountability Office released a report today examining economic development and government-spurred broadband deployment. The report, titled Telecommunications: Federal Broadband Deployment Programs and Small Business looks at the effects of stimulus projects on opportunities for small business. 

According to the press release:

“GAO’s investigation confirms the success of the Recovery Act’s broadband programs," said Rep. Waxman.  “In rural and urban areas across the country, small businesses are benefitting from higher speeds and lower prices thanks to federal investment in this essential infrastructure.  Expanding broadband access and quality is critical for American competiveness in the 21st century global economy. These were public dollars well spent.”

The report reviews communities around the country where either federal dollars have been invested in networks or local governments have made such investments. The results were consistent with our findings over the years - municipal networks create a business-friendly environment and contribute to economic development. 

According to the report summary:

According to small businesses GAO met with, the speed and reliability of their broadband service improved after they began using federally funded or municipal networks.

Regarding competition, the GAO find that municipal networks spur competitor investments:

For example, following the construction of a fiber-to-the-home municipal network in Monticello, Minnesota, the two other broadband providers in the area made investments in their infrastructure to improve their broadband speeds. One of these providers stated that all of its networks undergo periodic upgrades to improve service, but upgrade schedules can change in order to stay competitive when there is a new service provider in a particular market.

OpenCape: Local Ideas to Maximize Fiber Infrastructure

The OpenCape Network launched about eight months ago to bring better middle mile connectivity to Cape Cod. Reporter Sean Gonsalves explored other possibilities for the 350-mile infrastructure in a recent Cape Cod Online article.

Gonsalves spoke with OpenCape CEO Dan Vorthems. The network was funded with $32 million in American Recovery and Reinvestment Act (ARRA) grants and approximately $8 million in funds from the state, county, and private-sector partner CapeNet. It brings connectivity to 91 community anchor institutions from Provincetown as far west as Providence and Brockton. The idea for the network began with Cape Cod Community College and Woods Hole Oceanographic Institute. Today, OpenCape is a non-profit with Board members from healthcare, higher education, public education, government, and the private sector.

Gonsalves and Vorthems touched on the high hopes for economic development that accompanied the network deployment. When the project began, the dream was to turn Cape Cod into a "Silicon Sandbar." The network is still in its infancy, but new jobs in the area are retail, service, and tourist related rather than high-tech. Residents of Cape Cod were hoping the network would bring better paying positions to meet the high cost of living in the area.

Gonsalves takes it one step further and proposes using the network for last mile connections:

Getting the Cape's big data users online opens up all sorts of possibilities. But [what] I wanted to know is when the Cape would get to the point where residential users could access this Internet autobahn capable of reaching speeds of a gigabit per second.

Vidalia's Broadband Initiative Moves Forward as Free Wi-Fi Comes to Town

Vidalia's plans to offer free Wi-Fi are becoming reality. The Natchez Democrat recently reported that the City launched its free Wi-Fi in its new municipal complex.

Vidalia received a $30,000 grant from the Telecommunications Development Fund (TDF) Foundation to invest in a wireless network to cover the complex. Apparently, visitors to the complex were often surprised to learn that there was no Wi-Fi available. From the article:

[Mayor Hyram] Copeland said the project came about after multiple teams coming to participate in tournaments at the recreation complex asked about Wi-Fi access.

“I was embarrassed to say, ‘No,’ but now I can say we do,” Copeland said. “But the end result of all this is that we will have moved this community forward.”

The next step will be free Wi-Fi along the City's riverfront.

Even though federal American Recovery and Reinvestment Act (ARRA) funds to Louisiana were pulled back, Vidalia decided to press on with its broadband plans. The City has since cultivated several grant sources and is piecing together the funds needed to proceed with its estimated $9 million fiber network. Vidalia wants to develop a smart-grid and potentially provide fiber to every premise.

The community, with some of the highest unemployment rates in the country, sees the presence of better broadband as critical to economic survival. From the article:

“Broadband is such a routine infrastructure for companies nowadays that they almost assume you have it, and us not having it could have hurt us in the long run,” [Concordia Parish Economic Development Director Heather] Malone said. “Now, we’ll be able to use this as a tool to recruit new businesses and offer it to our existing businesses.”