October 20, 2020 – There are many viable options for deploying fiber that should be explored, stressed John Burchett, head of public policy and community affairs at Google Fiber, as part of Fiber Broadband Association’s “Connecting Consumers” event series on Wednesday.
After four years of pausing on new markets and building a more sustainable business model, Google Fiber is ready to come out of the shadows, said Burchett.
Google Fiber is currently ramping up construction in their current markets, as well as exploring ways to leverage third parties for faster, more affordable fiber deployment. In the past Google Fiber has focused on organic builds—where the company would do everything from dropping the fiber to homes to marketing their services.
West Des Moines, Iowa, a suburban sister city to the state’s capital to the east, is the company’s most recent focus. The city’s preparedness and initiative made them an ideal candidate for Google Fiber, said Burchett.
West Des Moines wanted to build a network composed of fiber conduits that extended to every home. They brought in Google Fiber as their anchor tenant, just as malls often secure stores like Macy’s to bring in other vendors.
However, in West Des Moines, Google is constructing the conduit drop all the way to the house. That requires permission from the homeowner.
While households will not be required to sign up for Google Fiber just because they have the infrastructure installed, it does mean that any provider they choose can build out quickly to the customer. Burchett estimated it will take two years to build out the whole of West Des Moines.
Other viable models include leasing cities’ dark fiber networks
Burchett mentioned another viable model in Alabama. There, Huntsville Utilities installed a dark fiber network and Google Fiber leased it out, helping the city finance the project.
While models like West Des Moines and Huntsville minimize the capital needed up front, operating margins are less because rent is paid all the way through, said Burchett. He urged organizations to consider this tradeoff, acknowledging that every place might have a different preference.
He said the company hopes to catalyze a movement of third network providers. They believe that to get good broadband the country will need more competition, which will require buildouts of a third network in addition to incumbent cable and telecommunications companies.
“We’re trying to show that it’s financially viable to come in as a competitor,” said Burchett.
That said, Burchett clarified that Google Fiber’s business model would not likely work in small communities because setting infrastructure, sales, maintenance, and service levels were difficult to do in isolation. However, Burchett allowed that if there were smaller communities nearby, for instance 10-15 miles outside Google Fiber’s build in Kansas City, it might make sense to build out to them.
Google Fiber also has various incentives for providers to cover as many people as possible. For instance, in West Des Moines, providers will get a reduced fee if they agree to pull fiber everywhere and not cherry pick the most profitable parts of the city. Google Fiber also incentivizes building out multiple dwelling units by paying per household passed.
Google Fiber Says it Welcomes Overbuilding, Competition for Lower Prices and Better Services
Comments were made at the Fiber Connect conference last week.
NASHVILLE, June 21, 2022 – A representative from Google Fiber said Wednesday at the Fiber Connect conference that the company is encouraged by competition in the fiber space because it leads to partnerships, lower costs for consumers and greater coverage.
Jessica George said that more partners and more people working in the broadband space will encourage more competition, which will drop prices and increase speeds.
She added that Google has been a long-time proponent for overbuilding, where providers build their infrastructure in areas already covered. More competition in the fiber space promotes overbuilding, which ensures greater coverage and connectivity for consumers in that area, she said.
Jay Winn, chief customer officer at fiber provider Lumos Networks, added that Lumos’s strategy is to be “first with fiber” by connecting all homes and businesses in its territory to fiber – at the cost of occasional overbuilding.
Ultimately, the conflict lies between companies that oppose greater competition in favor of protecting their territory and those that encourage competition in favor of creating more opportunities for their consumers, said George.
“What do [ISPs] really believe makes this industry, makes our world, makes our communities better?” asked George.
Leaders of Broadband Industry Trade Groups Are Bullish on Fiber, With Some Caveats
Fiber networks have a unique capacity to keep broadband prices low for low-income communities, proponents say.
NASHVILLE, June 16, 2022 – Leaders of the broadband industry concurred that because fiber delivers fast, affordable broadband connectivity for generations, almost all new broadband deployments will be delivered with the technology.
Speaking on a panel on the closing day of Fiber Connect on Wednesday, however, this group of trade association leaders differed with each other on how quickly cable and wireless providers would pivot away from those technologies and to all-fiber deployments.
Bringing rival groups together, including the National Rural Electric Cooperative Association, the rural broadband telecom association NTCA and the cable industry group ACA Connects, Fiber Broadband Association CEO Gary Bolton said the purpose was to “unite everyone in the industry to do things for generations to come.”
Fiber networks are uniquely positioned for investing in the future as they have capacity to support higher speeds without replacement or upgrades to the infrastructure, Bolton said. That can keep costs low for customers in future generations. He was not contradicted on the essence of those points by this cohort of trade group leaders.
He also said that fiber will help solve the affordability barrier that exists for low-income families, and the future investments were essential as demands for speed will increase.
Shirley Bloomfield, CEO of NTCA, agreed that the Biden administration’s decision to favor fiber in broadband investment was appropriate.
“There is still some competitiveness among technologies,” she said. “Even after the [Notice of Funding Opportunity] on the [Broadband Equity, Access and Deployment program], I still got some kind of snarky comments from other folks in the industry” who believe that it is not right to push fiber everywhere.
ACA Connect leader differed slightly with the everything-must-be-fiber approach
America’s Communications Association Connects CEO Matt Polka differed a bit with Bolton’s everything-must-be-fiber approach.
Cable industry providers have demonstrated during the pandemic “the ability to keep this country connected with broadband with capacity to spare because of the prior investment that occurred in the four to five years before that.”
Cognizant that he was speaking at Fiber Connect, Polka said, “there is a bias toward fiber.”
But he instead urged that “whatever the technology is needed in that community, we will find a way to” provide it, he said.
“Oftentimes [Internet Service Providers] will increase speeds to customers without raising prices,” added Paul Breakman, vice president of business and technology strategies at the National Rural Electric Cooperative Association. Giving customers more speed makes the cost of broadband come down everywhere.
“That’s the kind of thing that we can do with this [fiber] technology with greater capacity,” he said.
“We have proved that you cannot, in many ways, survive unless you have broadband in the home,” Breakman continued, adding that affordability is essential for low-income families who need the benefits of broadband connection but could not otherwise afford it.
Reporter Teralyn Whipple contributed to this article.
AT&T Says Gigabit Download Speed Demand Continues to Grow
‘We’re projecting a 5x increase in data consumption from 2021 to 2025.’
NASHVILLE, June 15, 2022 – The demand for gigabit-speed fiber connectivity continues to grow, said company representatives during a Fiber Connect conference session on Tuesday, as some companies are testing download speeds beyond what’s currently available.
“We’re projecting a 5x increase in data consumption from 2021 to 2025,” said Chris Altomari, vice president of broadband network product management for AT&T. “There’s no evidence that suggests it’s going to slow down in the next couple of years.”
The comments come after AT&T announced Friday that it has reached 20 Gigabits per second symmetric speeds on its network in a test. The company said in a press release that the speeds were achieved with “minimal infrastructure upgrades” and runs on the same fiber optic cables that it currently uses.
“Fiber is the answer and multi-gigabit speeds are the answer,” Altomari added. “I’m seeing the need for multi-gig and maybe not just the need, but reliance.”
The comments also come after an official from the Commerce Department’s National Telecommunications and Information Administration said the agency, which is handling $42.5 billion in broadband infrastructure funds to give to the states, has a preference for fiber infrastructure versus other technologies, such as wireless or fixed-wireless.
Ashley Church, a general manager at Google Fiber, added that fiber demand is increasing as customers find innovative ways to use the internet that require the faster speeds that fiber can provide. “The internet has become what it has become because of these increasing speeds.”
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