It's fast and it's symmetrical. Chattanooga, the nation's largest muni FTTH network will be offering the fastest residential package in the country by the end of the month: 150 Mbps. Chattanooga's Electric Power Board (EPB) is ahead of schedule in the fiber rollout, planning to offer triple-play services to all 145,000 residential customers in its electrical territory by the end of the year. Dave Flessner at the Chattanooga Times Free Press covered this story and the paper posted a short audio clip of EPB President Harold DePriest at the press conference. EPBFi is up to almost 10,000 customers, a number expected to double by the end of the year. Comcast is responding to this aggressive muni network:

Comcast Corp. remains Chattanooga's biggest video provider and has also increased the speed of its Internet offerings and the number of high-definition television channels and movies it provides for its subscribers.

Tennessee, home to the famous Tennessee Valley Authority that brought the electrical grid the mountains long neglected by the private sector, continues to value public ownership of infrastructure:

Hamilton County Mayor Claude Ramsey likened EPB's broadband expansions to what the Tennessee Valley Authority brought to the region during the Great Depression. "What is happening today is equivalent to electricity coming to the valley in the 1930s," he said.

I'm guessing this 150Mbps plan is the first of more impressive announcements to come out of Chattanooga as they take advantage of this key community asset. The 150 Mbps press release is available here. The article also noted a major economic development win in Bristol Tennessee - a $20 million newspaper printing plant that would not have been possible without their muni network. This testimonial is located toward the bottom of the page.

Hyatt [company VP] acknowledged that the high-speed data transfer and reliable fiber optics were the main reasons for locating the facility in the park.

According to the local paper, Johnson City, Tennessee, continues to discuss whether its public power utility should build a FTTH network. As with so many other communities that have only "high speed" cable and DSL options, people are recognizing the importance of broadband on economic development. Local Business leader, Joe Grandy, is the focus of this article:

“Economic development is part of what we’re charged at the Power Board with accomplishing. If the current (broadband) infrastructure is not sufficient to allow economic development to grow this market, something needs to change.” If the private sector either isn’t willing or isn’t able to create adequate infrastructure, Grandy said, “then an entity such as the Power Board may need to.”

Tennessee cities without publicly owned networks may find themselves in an even tougher bind than similar communities elsewhere. With Jackson, Bristol (TN and VA), Chattanooga, Pulaski, and others, businesses do not have to move far for great networks run by the local public power company.

Grandy, though, “doesn’t think there’s any question” that the Johnson City area will reap the whirlwind, economically speaking, if it fails to scale up local broadband capability. He has been involved in the recent search for a CEO to run the metro area’s new Economic Development Council, and a half-dozen candidates who visited early this month made it abundantly clear that broadband capability is as important an issue today as dependable electricity was 80 years ago.

Public power transformed Tennessee. Publicly owned broadband may be necessary to keep it transformed.

The Chelan Public Utility District in Washington began its county-wide fiber-optic network build. They have since passed some 80% of the county but are temporarily pausing expansion efforts. Chelan is a rural county and the network is not expected to break even for quite some time. In Washington, state law limits the powers of public utility districts to offer broadband. As with communities in Utah, these public sector entities are forced to operate an open access network and are unable to offer services directly. While the open access model is a great one for some communities (and one we encourage when the numbers work), it can be difficult to implement depending on local circumstances. The Wenatchee World recently covered the decision to hire a consultant to identify means of lowering costs. The network has cost $80 million to get to this point and will require an additional $40 million to connect the remaining 15-20%. The network can provide access to over 30,000 residents, businesses, and community anchors (schools, hospitals, muni facilities). Subscribers choose from a variety of service providers for services and take rates vary from 30%-60% depending on the area. The network is operating at a loss (probably due to a combination of the high costs of FTTH in rural areas, the low take rates, and lower revenues from operating on a purely wholesale basis). Residents were conflicted about the network's inability to pay for itself but a majority have continued to support it because they often have no other broadband options. However, the current economic climate has resulted in more concern about the costs. Chelan PUD has apparently covered the losses from broadband (as well as some sewer and water services) with the sales of surplus electricity on the wholesale market.

UTOPIA, the open access FTTH network in several cities of Utah, has been seeking some $20 million to continue adding new subscribers to the network. The cities involved seem to be on board, committing to the funding following recent successes. Mayor Mike Winder, of West Valley City - one of the UTOPIA cities, makes the case for digging deeper to lend money to the network:

UTOPIA's good news is that since June 2008, it's added over 3,500 new customers and reached about 10,000 subscribers, the number of service providers on the network has grown from three to 12, and national voices — from Google to the New York Times — are trumpeting the virtues of an open-fiber network.

The plain and simple fact is that these towns have already committed to the project; they are vested in its success. Now under better management, perhaps his whole town will have access to fastest speeds available in the country:

Only 23 percent of my city has UTOPIA fiber, and there are homes and businesses that want access to the speed of light. After weighing the issue for months, I've concluded that we need to bring UTOPIA fiber to the rest of West Valley City, and just as importantly, to grow UTOPIA to profitability. I will be encouraging my council and my colleagues in UTOPIA cities around the state to join me in charging forward.

A press release from UTOPIA announces ambitious plans:

The new plan anticipates adding about 20,000 more customers over the next several years. “We’ve known for a long time that UTOPIA needs a much larger customer base, and a good mix of business and residential customers, to make the books balance,” says Murray Mayor Dan Snarr. “Our cities are already obligated to the network for years to come, so we need to grow to critical mass rapidly, based on a plan to ensure long-term financial health.”

And Orem's mayor reiterated UTOPIA's philosophy (noting that the NY Times have called for open access networks):

Governments build roads, and allow FedEx and UPS to compete on them.

Australia is planning to build a nationwide open access network that will be owned by the public. Ars Technica recently covered their progress - Australia has released a consultant report on the proposed network. If the major incumbent, Telstra, works with the government on the network, the costs will be lower. But Australia will not let Telstra dictate the terms of their relationship:

But it's clear that the new network won't be held hostage to Telstra's demands. The consultants conclude that, in the absence of an agreement, [the fiber network] should proceed to build both its access network and its backhaul unilaterally." [src: Ars Technica]

Between the original plan and a revised plan suggested by the referenced study (bullet points here), over 90% of Australians will have a real choice in providers over a FTTH connection whereas the rest will have a combination of wireless and satellite options. The prices are expected to be affordable, and will probably be well below what we pay here in America. The Implementation Study has some words about ownership of the National Broadband Network (NBN):

Government should retain full ownership of the NBN until the roll out is complete to ensure that its policy objectives are met – including its competition objectives

On technology, they reiterate what we have been saying for years:

Fibre to the premise is widely accepted as the optimal future proof technology with wireless broadband a complementary rather than a substitute technology;

Have no fear though, we will undoubtedly hear from many apologists for the private telecom companies that Australiai's NBN has "failed" because it is losing money. Estimates on the break even are many years out:

BN Co can build a strong and financially viable business case with the Study estimating it will be earnings positive by year six and able to pay significant distributions on its equity following completion of the rollout;

Brace yourself for a slew of reports noting the operating losses in the early years as "proof" the government should never have built this broadband infrastructure.

Back in early March, Highland Illinois, broke ground on its publicly owned FTTH network project. Plans call for connecting some businesses by the end of this year and connecting everyone by the end of 2011. KMOV in St. Louis covered the network:

The entire concept is expected to cost $13 million. About $9 million of the start-up costs will be funded by bonds - a move voters signed off on last year.

Video:

One of the focuses of the recent FiberFete conference is what do communities do once they have built a next-generation network. Lafayette had lots of ideas. Let's start with counting new jobs. Lafayette Pro Fiber recently discussed one of the employers adding jobs. The post acknowledges that the fiber network is not the sole reason for these particular jobs, but it does play an important role:

You have to know if you've been down to "the egg" at the LITE building that they're not going to put 100 cubicle workers in that facility. No way they'd fit. However they do have to do the tedious work in Louisiana to get those credits. So some large percentage of those 100 workers will have to be off-site. But they'll have to be able to do their work as if they were in the same building with, at a minimum, the 100 megs of connectivity that standard ethernet LANs provide. That, of course, is exactly what LUS provides on its justly acclaimed 100 meg intranet. A person setting behind a nice workstation setup on Moss Avenue with a nice VLAN setup could work within the Pixel Magic network as if they were just down the hall from the boss's glossy corner office (something both would probably prefer). The ultimate in working from home. I'll not be surprised if Pixel Magic opts for an offsite work center like NuConn did—but there too LUS' fiber-to-every-nook-and-cranny make it possible to shop for the cheapest appropriate location rather than the cheapest location that has something close to real connectivity. In that sort of situation it would be easy and damned inexpensive to leverage LUS Fiber to provide a gig or several of commercial grade connection between the two points.

This is only one of several employers who have added many jobs in Lafayette because of the publicly owned fiber network. Another avenue Lafayette is exploring is high-bandwidth classrooms.

Lake Minnetonka Communication Commission -- a group representing a number of suburban communities located west of Minneapolis -- is seeking to build a community-owned FTTH network. LMCC has decided not to seek funds from the broadband stimulus programs and instead seek private funding (likely from a revenue bond offering). Much like Lafayette in Louisiana, these communities mostly have access to broadband already, but it is slow and overpriced. They are motivated to build a faster network that responds to community needs. As is common with community networks, they have a significant hurdle in finding the start-up funding needed to pursue full funding for the project. Before they can approach the bond markets, they need to establish a business plan and demonstrate they are capable of building and operating the network. These costs can be substantial, but will be repaid after a successful bond offering. We've added Tonka Connect to the links in the right sidebar and wish them the best of luck.