Infrastructure

This is the third in a three-part series about the State Digital Equity Capacity Grant Program announcement from the National Telecommunications and Information Administration (NTIA).

Generations before us built infrastructure such as electricity, water, and sewer systems to serve everyone in America.

The digital divide is a global problem. NCTA – the Internet & Television Association released last week a documentary called “Every Last Mile,” which aims to illustrate the challenges ISPs face in building broadband in rural America, but we went a step further. We looked at which broadband and telecommunications startups are tackling connectivity on a global scale.

I’m here today to urge you—city officials, business leaders, educators, digital equity advocates and city residents—to consider moving forward on building a city-wide, city-owned broadband network.  I was asked by a Texas Public Radio reporter a few days ago whether now was the right time, and I said—it’s past time. If the COVID-19 pandemic taught us anything, it was that affordable, high speed broadband Internet access is essential for full participation in our society, our economy, our education and health care systems, and our democracy.

LiveOak Fiber, which operates fiber broadband networks in Georgia and Florida, has secured $250 million from J.P. Morgan to fund its fiber network expansion in the southeastern United States. The quarter billion investment will be used to expand LiveOak’s 100% fiber broadband network in Florida, Georgia, and beyond. Founded in 2022 and headquartered in Brunswick, Georgia, LiveOak Fiber has grown quickly.

In the second installment of the Information Technology and Information Foundation’s Access America series, Jess Dine discusses the challenges and opportunities of the Broadband Equity, Access, and Deployment (BEAD) program for the state of Michigan with Jessica Randall of Michigan’s broadband office. They talk about the way that Michigan intertwined BEAD's deployment mandate with broader inclusion and equity concerns in the Michigan State Digital Equity Plan.

It’s now clear that State Broadband Offices are going to put a lot of pressure on Broadband Equity, Access, and Deployment (BEAD) winners to spend grant awards and build networks as quickly as possible. Internet service providers (ISP) generally have the same goal, because getting customers quickly is the best way to make sure an ISP can pay for the network. However, there are numerous reasons why BEAD fiber construction might be delayed:

You didn’t need testing equipment to measure the state of Purdue University’s Wi-Fi network. You just needed to look on Reddit, where complaints were flying. That was the situation Ian Hyatt walked in to when he took a job as CIO of Purdue University three years ago.

There are a lot of regulations other than the ones created by or enforced by the Federal Communications Council. Anybody who builds fiber networks can describe the litany of state and local regulations involved in constructing fiber. Following are some of the primary kinds of such regulations—and there are others in some places:

Uncertainty breeds caution, especially when money itself costs more and is hard to get. But, with the $42 billion Broadband Equity Access and Deployment (BEAD) spigot set to turn on in about six months, deployments have actually slowed. Financing is indeed difficult, but not just because interest rates are high. The end of the Affordable Connectivity Program (ACP) in May ended a guaranteed cashflow that investors and lenders liked.