Google Fiber has finally announced its plans for the future after weeks of dramatic speculation that it will lay off half its workforce and give up on fiber-optics entirely. Google has now confirmed our expectations: they are pausing new Google Fiber cities, continuing to expand within those where they have a presence, and focusing on approaches that will offer a better return on investment in the short term.

Nothing Worth Doing Is Easy

In short, Google has found it more difficult than they anticipated to deploy rapidly and at low cost. And in discussions with various people, we think it can be summed up in this way: building fiber-optic networks is challenging and incumbents have an arsenal of dirty tricks to make it even more so, especially by slowing down access to poles.

That said, Google is not abandoning its efforts to drive better Internet access across the country. In the short term, people living in modern apartment buildings and condos will be the greatest beneficiary as Google takes the Webpass model and expands it to more cities. But those that hoped (or feared) Google would rapidly build Fiber-to-the-Home (FTTH) across the country are likely disappointed (or slightly relieved, if they happen to be big incumbent providers). 

This is a good moment to talk about the lessons learned from Google Fiber and what we think communities should be thinking about. 

Let's start by noting something we have often said: Google Fiber and its larger "access" approach have been incredibly beneficial for everyone except the big monopolists. Its investments led to far more media coverage of Internet access issues and made local leaders better understand what would be possible after we dismantle the cable broadband monopoly. 

Benoit Felton, a sharp international telecommunications analyst wrote a very good summary of Google Fiber titled Salvaging Google Fiber's Achievements. Some of my thoughts below overlap his - but his piece touches on matters I won’t address, so please check out his analysis.

I want to focus on a few key points.

Fresno, California, is looking for one or more partners to bring Gigabit connectivity to the entire community. City leaders recently released a Request for Qualifications (RFQ) to send out the call for interested entities. Letters of interest are due on November 14th and statements of qualifications are due by November 30th.

Leaving No One Behind

According to the RFQ, the community is experiencing growth in the tech sector and want to support the tide by improving Internet infrastructure throughout the community. In addition to serving new businesses for economic development, the network will connect community anchor institutions such as schools, hospitals, and libraries. 

As part of their goals, Fresno states explicitly that they want to ensure low-income families and individuals will be able to afford high-quality Internet access. In an article in the Fresno Bee, city leaders sate that they envision rates for some residents at around $10 per month for either a wired or fixed wireless connection.

Using Existing Assets

This spring, Lakeland city officials began contemplating the future of the city’s dark fiber network with an eye toward making a firm decision on whether or not to expand how they use it. Rather than pursue a municipal Internet network, Commissioners recently decided to seek out private sector partners to improve local connectivity.

Too Much For Lakeland?

Kudos to Christopher Guinn of the Ledger for very thorough reporting on the issue. According to his article, the city will release a Request for Proposals (RFP) for a solution that provides Gigabit (1,000 Megabits per second) connectivity to replace the current speeds in Lakeland. Cable serves the community now with maximum speeds of 150 Megabits per second (Mbps) download and about 10 Mbps upload.

In addition to the difficulty of establishing an Internet access utility, City Commissioners appeared intimidated by incumbents:

“I look at us trying to develop and design a fiber-to-the-home (network), the marketing, the technical support and all that, and going up against current providers, and I don’t see it,” Commissioner Don Selvage said.

Pilot Won't Fly

One of the options the Commission considered was a pilot project in a limited area, but that idea didn’t catch on either. Commissioner Justin Troller advocated for the pilot project:

“I think we should have a test area. If that’s something that costs we can say we tried it, we invested in it, it didn’t work and we’re moving on and finding a private partner,” Troller said.

He added: “I’m not against going out and seeing what the private sector will offer us. I’m saying how do we know we can’t do it if we don’t do it?”

While a number of Commissioners agreed that high-quality Internet access is critical for both economic development and the residents’ quality of life, fear of facing off against incumbent Charter overcame any vision of how a municipal network could benefit Lakeland:

The Rio Blanco County's fiber optic and wireless network project continues to make steady progress with services likely available in some areas by January. 

County IT director Blake Mobley offered the update at a recent meeting of the Meeker board of trustees. Asked by the trustees when broadband access would be available to residents, Mobley said, “I think it’s very likely local will be lit in 2016,” according to a report in the Times Herald.

Work In Progress

Currently, Rio Blanco County is building out an open access network in the towns of Meeker (pop. 2,500) and Rangely (pop. 2,400) and fixed wireless system across a county-wide tower network. The county plans to build infrastructure to the curb and allow private providers to finish the connections to residential and business customers from curb to premise. Cost of the first stage is estimated at about $13 million. Rio Blanco County has a total population of 6,200 people over 3,000 square miles or an average of 2 people per square mile.

In a recent report to the Northwest Colorado Council of Governments, Mobley said the fiber project will offer several tiers of Internet service, including 1 Gigabit (1,000 Megabits per second or Mbps) symmetrical to residential and business customers in Meeker and Rangely. Gigabit service from Cimarron Telecommunications, one of the first providers to offer services over the county network, will cost $70 per month.

Meanwhile, most rural subscribers who are outside of Meeker and Rangely, will have access to Internet speeds of 25 Mbps download and 5 Mbps upload with no data cap over the fixed wireless system, Mobley told us.

The Rio Blanco County fiber network will provide residents and businesses in Meeker and Rangely an alternative to DSL service from Centurylink and Strata.

The U.S. Department of Housing and Urban Development (HUD) recently asked for comments about a proposed rule to expand low-income access to high-speed Internet. The regulations would require building owners to install high-speed Internet infrastructure in HUD-funded multi-family rental housing during new construction or substantial rehabilitation, improving Internet access by promoting competition. Because the Internet infrastructure is not owned by one company, many Internet Service Providers (ISPs) can compete to provide residents with better options.

A variety of individuals and groups provided feedback for HUD, including local governments, nonprofit advocacy groups, ISPs, and professional associations. The majority of comments support HUD’s proposed rule, with many encouraging HUD to go further in their efforts to close the digital divide.

We submitted comments with Next Century Cities to articulate the importance of having reliable Internet access in the home:

Although Internet access may be available at schools, libraries, and other locations away from home, families with children - in particular single-parent households - face barriers to accessing those facilities. There is no substitute for having high quality home Internet access, where all members of a household can use it with privacy, security, and convenience. This high quality Internet access is what our organizations work with mayors and local leaders to achieve for residents and businesses everyday, which is why we feel so strongly about the proposed steps to close the digital divide and allow more residents to connect online.  

HUD correctly notes that installing telecommunications equipment during major rehabilitations or as units are being built creates an opportunity to ensure high quality access without significantly adding cost to the project. The ongoing benefits from high quality Internet access certainly dwarf the one-time low cost of installing appropriate technology. --Next Century Cities and the Institute for Local Self-Reliance

Promote Competition

As part of a growing interest in expanding fast, affordable, reliable Internet access for low-income families at home, the United States Department of Housing and Urban Development (HUD) has proposed a new regulation requiring high-speed Internet infrastructure to be installed in HUD-funded multi-family rental housing during new construction or substantial rehabilitation. While the proposed rule doesn’t require developers to pay for Internet service subscriptions, it is a step in eliminating barriers that low-income families face in obtaining quality, consistent Internet access. Public comments are due July 18, 2016.

The proposed rule covers HUD’s rental assistance and grant programs, including its Section 8 housing assistance program, Supportive Housing for the Elderly and Disabled program, Community Development Block Grant program, and Choice Neighborhoods Implementation Grant program. Families living in multi-family housing can then choose to purchase full-priced Internet access from local providers or utilize other resources in their community, which include federal subsidy programs in addition to other state, local, and charitable programs.

Getting Wired Up

As for the actual infrastructure, several types of Internet access technologies satisfy the requirement. Developers can install either wireless (Wi-Fi, fixed and mobile wireless, satellite) or wired (digital subscriber lines also known as DSL, power lines or BPL, cable lines, or fiber) infrastructure. HUD expects most builders will elect to install wired access because of the rapidly changing nature of wireless technologies.

Additionally, wired access is more likely to provide meaningful competition between several Internet Service Providers (ISPs), lowering costs and improving service quality for multi-family housing residents. In an open access network, ISPs typically lease space on infrastructure owned by another entity rather than owning the physical infrastructure themselves. If HUD's new rule called for an open access model, multiple ISPs could utilize a building’s wired infrastructure to offer services to residents. According to HUD’s estimates, which are detailed in the proposed rule, the average construction costs for wired broadband access in its multi-family housing is approximately $200 per unit.

Saratoga Springs, New York (pop. 5,600 28,000), has launched a Smart City Commission, whose mission is to enhance telecommunications and help the city become a leader in high-speed Internet service.

The startup of the Smart City Commission, which held its first meeting in March, comes as Saratoga Springs pursues becoming a model Intelligent Community. City leaders have determined that the best way to acheive Intelligent Community status, is to join Next Century Cities (NCC), and to adopt the organization's six guiding principles:

1. High-speed Internet is necessary infrastructure.
2. The Internet is nonpartisan.
3. Communities must enjoy self-determination.
4. Broadband is a community-wide endeavor.
5. Meaningful competition drives progress.
6. Collaboration benefits all.

The Commission’s members include chief information officers from the city, library, hospital, school district, as well members of the city’s convention and tourism bureau, the Chamber of Commerce and local business community.  

Learning From Other Communities

“It’s something I had been thinking about for about two years,” City Finance Commissioner Michele Madigan told us, speaking about the Smart City Commission. A key task of the Commission will be to “fill out the questionnaire to ICF [Intelligent Community Forum] and develop a road map to becoming a Smart City,” she told us. “It seemed the best way to move forward on this project was to get a core group of stakeholders involved from the city.”

Membership in NCC will allow Saratoga Springs access to a network of knowledge from other cities that have the same desire to bring ubiquitous high-quality Internet access to their communities. The Intelligent Community Forum is a worldwide association of cities and regions dedicated to helping communities use information and communications technology to, among other things, address social problems and enhance the economic quality of local life. 

Goal: Gig Speed, Wi-Fi For Now

Last month, the Haywood Advancement Foundation (HAF) sowed the seeds for a long-term broadband strategy in Haywood County, North Carolina. The nonprofit foundation posted a Request for Proposals (RFP) for a feasibility study as part of their strategy to develop a master plan and improve local connectivity. A $10,000 grant from the Southwest Commission and a matching $10,000 grant from HAF will fund the early stages of Haywood’s broadband initiative. The due date for proposals is July 15th.

Living In The Present, Planning For The Future

Located about 30 minutes west of Asheville, Haywood County is home to approximately 60,000 residents. Asheville’s status as a cultural hub might be driving up Haywood County property values, but it has failed to bring high quality Internet access to its rural neighbors. 

State law complicates local municipalities' ability to provide fast, affordable, reliable connectivity via municipal networks. North Carolina’s HB 129, passed in 2011, and is currently under review in the Sixth Circuit Court of Appeals. The Federal Communications Commission (FCC) overruled the state law in early 2015, citing the bill’s burden on the national goal of advancing ubiquitous Internet access. North Carolina and Tennessee challenged the FCC’s decision, oral arguments were heard in March, and all participants are now waiting for a ruling. A master plan can help the community establish different courses of action, depending on the ultimate outcome of the court case.

Highlands is a small community of less than 1,000 residents located in the Nantahala National Forest in the Appalachian Mountains. Along the western tip of the state, Highlands faces the same problem as many other rural communities - poor connectivity. In order to bring high-quality Internet access to residents and businesses, Highlands has implemented a plan to deploy city-owned Internet network infrastructure.

A Connected Escape Up In The Mountains

Highland entertains a large number of summer tourists who flock to its high altitude to escape summer heat and humidity. Summer visitors can fill the city’s six square miles and surrounding area with up to 20,000 people. The city operates a municipal electric utility along with water, sewer, and garbage pick up. 

To round off the list of offered services and bring better connectivity to the community, Highlands created the Altitude Community Broadband. In January, the Town Board authorized to borrow $40,000 from its General Fund and $210,000 from its Electric Enterprise Fund to deploy and launch the new service. The loan will be repaid with revenue from the new service.

The town has long-term plans to offer both Fiber-to-the-Home (FTTH) and fixed wireless service to residents and businesses in the downtown area. Fiber is already available in limited areas within Highlands proper; pricing is available on a case-by-case basis. The landscape is rugged, so residents outside of the city may not be able to transition to FTTH, reported a December HighlandsInfo Newspaper, but the fixed wireless access is still an affordable and workable option in a place considered a poor investment by large providers.

Residential options for Altitude Wireless Internet Access are:

Residents and businesses in the rural Massachusetts Town of Greenfield are in the process of gaining faster and more affordable Internet service thanks a new municipally-owned hybrid fiber-wireless network. In November, more than 80% of voters passed a ballot referendum to authorize the city to create a nonprofit entity to construct and operate the network.

While scheduled completion is not until spring 2017, some customers will be able to start service during the network’s construction period starting in July. Thanks to the Greenlight pilot program, customers and network operators are already experiencing the new service. Upon completion of an engineering study to iron out the precise plans for the network, the city will start construction of the 80- to 100- mile fiber network. There will be as many as 1,000 wireless access points.

How Does it All Work?

Residents and businesses seeking the fastest available connection to the network will install an antenna on their property. Although prices for the antenna-based service have not yet been determined, the likely base charge for a symmetrical 25 Megabits per second (Mbps) connection will be $29.99 per month. The city expects to offer speeds as fast as 1 Gigabit per second (Gbps). The network will provide Internet, telephone service, and possibly video.

Customers seeking basic Internet access will be able to connect directly to the access points from their personal wireless devices for as little as $9.95 per month. A consultant for the project said that low income residents in the city may be able to get almost free access to this lowest tier plan after reimbursement through Lifeline, an FCC program that provides a subsidy to all low income Internet users.

The town is providing an upfront loan from the general fund of $5 million to pay for the network. Prices for access to the network may decrease as new customers sign up and revenues grow. Eventual profits from the network could also go back into the town’s general fund to spend down the initial loan.