Broadband Communities

Low-income multifamily communities or those with a high percentage of unserved residents are now eligible to receive broadband deployment funding from Congress, and the National Telecommunications and Information Administration (NTIA) reaffirmed this eligibility.  Each state is now building out its programs and establishing criteria that build upon federal priorities and requirements. This is a critical next step in ensuring the total and efficient disbursement of these funds.

In 2023, broadband spending could taper off because of high-interest rates and economic challenges, but buildout expansions remain high. A few factors are driving this. Demand for household internet keeps growing. Leichtman Research Group (LRG) found that 90 percent of US households now get internet service, up from 84 percent in 2017.

It was worth the wait. The third round of the US Department of Agriculture's ReConnect Loan and Grant Program closed in 2022, after awarding $759 million in rural broadband grants and loans to 49 deployers, mostly small local exchange carriers (LECs). The average cost of passing each home, farm, other business, or school was just over $4,500, compared to $4,100 in 2019 and almost $6,000 in 2020. All awardees in this round, and almost all in previous rounds, told USDA they were deploying fiber to the premises.

Antin Infrastructure Partners has completed its acquisitions of Empire Access and North Penn Telephone, giving birth to a new fiber-to-the-premise (FTTP) player serving Western New York and Northern Pennsylvania. Empire’s network consists of 1,280 fiber route miles servicing over 96,000 addresses and 29,000 customers in Western New York and Northern Pennsylvania. Antin plans to expand its high-speed fiber broadband footprint across the region.

Lumos will make a large investment in South Carolina’s Richland and Lexington Counties, bringing fiber-based internet service across the greater Columbia area.

Broadband companies are lworking with local and state leaders to bring their resources, expertise, and connections to finish the job of connecting everyone in the US to the power and opportunity of broadband. As they forge alliances to close their digital divide, several criteria are critical:

Public-private partnerships (P3s) between service providers and communities are well-established in Europe and growing in popularity across the US. The model in which a service provider desires the next-generation network but may not build, own or operate the network outright can be a great way to deliver a reliable, high-speed fiber broadband network with unlimited capacity to communities. The two standard flavors of P3s are "open:" a model in which the wholesale network is owned by a public-private entity and operates as an open-access wholesale network.

Fiber internet service providers and manufacturers across the US have been building their strategies toward sustainability since as early as 2015. The evolution from hardware-based to software-based networks began in the early 2000s. That was a step toward energy efficiency, lower carbon emissions, a smaller eco-footprint, and the use of more environmentally friendly materials. As the technology evolved, so did environmental, social, and governance (ESG) strategies. However, one type of network infrastructure has always been sustainable: fiber optics. And it’s not just about clean energy.

Construction of apartments in large, multiple-dwelling-unit (MDU) buildings by nongovernmental builders could set another record this year. Builders received more than 18,000 permits for MDUs with five dwelling units or more in 2021. The properties would contain 552,000 dwelling units, up from 532,000 in 2020.

Multifamily property owners want to make broadband an amenity available to residents as part of their rental agreements. They’re working hard to enter into bulk service agreements with service providers. Commonplace for cable television, these deals are between a homeowners association or condominium association and a company to deliver internet services to everyone who is a community member. Bulk internet services provide several benefits for multifamily owners/operators and residents: