How Odessa delivers broadband to homes and businesses at no cost to the city

In Texas, the Odessa City Council voted to allow the installation of infrastructure for citywide broadband internet under its streets by SiFi Networks in a deal worth more than $100 million. Under the terms of the 30-year contract elected officials agreed to, SiFi has access to all public rights-of-way to install, maintain and operate the fiber optic infrastructure necessary for an open access network. SiFi will lay fiber along city streets passing every home and business. The process of building out the broadband infrastructure is expected to take between three and five years, after which SiFi would sell access to the network to retail internet providers, which will increase competition. It is the profit made by selling access to the network that allows SiFi to operate its network at no cost to consumers. However, SiFi will be required to pay the city a license fee of either $8,000 or $2.99 per connected premises each quarter, whichever is greater. The company has agreed to prioritize delivery to low-income and under-connected areas. The city will not be paying for any infrastructure that is installed, and SiFi will be required to maintain a bond through the construction process to ensure that all rights-of-way are restored properly.