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Open Access Opportunity for Municipalities to Allay Competition Concerns

Open access provisions in municipal builds could alleviate fears of competition concerns with ISPs.

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June 23, 2021—Municipal broadband networks can include open access provisions that allow internet service providers to sell services and allay competition fears, according to a some on a panel of experts hosted by Broadband Breakfast.

Over the past few months — and increasingly since President Joe Biden’s American Jobs Plan in March thrust the importance of municipal builds into the spotlight – there has been concern, specifically from Republicans, that municipal networks could cripple competition. Critics of those networks have sought to outlaw them as a result.

But allowing ISPs to use municipal networks to sell last-mile service to homes and business, cities can effectively reduce competition fears of critics, increase competition between providers, and ultimately reduce prices for consumers, said Ben Lewis-Ramirez, co-founder and chief marketing officer at Lit Communities, who was a panelist on last week on Broadband Breakfast’s live online event to discuss the intricacies of open access in the digital age.

Open access can thin margins, affect services

Some on the panel weren’t altogether convinced about the idea. Monica Webb, head of market development and strategic partnerships at Ting Internet, said on the panel that, in her experience, while dissatisfaction with cable and telco monopolies is often the driving force behind open access efforts, open access solutions will not necessarily yield better service to consumers.

“When it comes to competition in open access, prices generally do go down [for consumers],” Webb said. “However, the margins for ISPs can also be narrower, and sometimes service can be impacted.”

Webb and Lewis-Ramirez both agreed that the quality of service offered by telcos is not necessarily improved by open access models, and that municipalities that decide to pursue an open access solution must be sure to vet the companies that they decide to lease their infrastructure to, and establish strict standards for companies to adhere to.

Despite calling an open access a potential silver bullet, Lewis-Ramirez also agreed with Webb’s assessment that there are unique risks associated with open access. In an open access model, those who are deploying and leasing infrastructure assume the lion’s share of risk; ISPs that contract with those leasing infrastructure stand to lose very little, and must expend minimal capital to take advantage of said infrastructure.

Though open access might come with risk, both experts stated that in certain circumstances, open access infrastructure can provide significant value for both consumers and municipal bodies looking to improve network coverage.

The model is receiving attention at the federal level. Amy Klobuchar’s Accessible, Affordable, Internet Act” would prioritize funding for projects that utilize an open access model.

The municipal network debate

The discussion comes at an interesting time: This month, Ohio’s Republican-controlled Senate passed a budget featuring an amendment that would essentially end municipal broadband in the State. The reason? Municipalities should not be allowed to compete against business for this essential service.

Ohio isn’t alone, either. If the budget passes Ohio’s House, it will be added to the list of more than a dozen states that outlaw municipal broadband services.

Our Broadband Breakfast Live Online events take place every Wednesday at 12 Noon ET. You can watch the June 16, 2021, event on this page. You can also PARTICIPATE in the current Broadband Breakfast Live Online event. REGISTER HERE.

Wednesday, June 16, 2021, 12 Noon ET — “Innovation in Broadband Business Models: Open Access Case Studies”

One of the areas of greatest innovations in digital infrastructure investment concerns open access networks, a growing space for innovation and investment. Join Broadband Breakfast for a session considering how multiple American open access networks — including players in the ownership, network operations, and services areas — have tackled the unique challenges in crafting a business that works for a network that serves multiple stakeholders.

More about Digital Infrastructure Investment 2021 at Broadband Communities Summit

Panelists:

  • Monica WebbHead of Market Development & Strategic Partnerships at Ting Internet
  • Ben Lewis-Ramirez, Co-Founder and Chief Marketing Officer of Lit Communities
  • Sean Buckley (moderator), Editor in Chief of Broadband Communities

Monica Webb is the head of market development & strategic partnerships at Ting Internet, working with local stakeholders in existing Ting towns and evaluates existing and prospective gigabit network locations and related business projects. Webb spent her early career working in marketing and management in the financial services industry, where she launched channel marketing platforms that continue to dominate channel strategy in the mutual fund industry today.

Ben Lewis-Ramirez is passionate about bridging the digital divide through building open application networks in under-served communities, and was one of the Lit Communities co-founders. He has over 10 years of executive management experience in the outside plant engineering and construction industries, with a focus in business development and strategic planning for the past 3 years. Ben is a vocal advocate for the open application business model, and has published numerous magazine articles and blog posts on the subject, in addition to speaking about it at conferences and other events around the country.

Sean Buckley is the Editor in Chief of Broadband Communities. Buckley comes to the magazine publishing and conference company after serving nine years as Senior Editor at FierceTelecom, a daily online newsletter. He also oversaw FierceInstaller, a weekly publication chronicling trends in network installation. Prior to coming to FierceTelecom, Sean spent eight years at Horizon House publications, serving as senior editor and later as Editor in Chief of Telecommunications Magazine and Telecom Engine.

WATCH HERE, or on YouTubeTwitter and Facebook

As with all Broadband Breakfast Live Online events, the FREE webcasts will take place at 12 Noon ET on Wednesday.

SUBSCRIBE to the Broadband Breakfast YouTube channel. That way, you will be notified when events go live. Watch on YouTubeTwitter and Facebook

See a complete list of upcoming and past Broadband Breakfast Live Online events.

Reporter Ben Kahn is a graduate of University of Baltimore and the National Journalism Center. His work has appeared in Washington Jewish Week and The Center Square, among other publications. He he covered almost every beat at Broadband Breakfast.

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Open Access

Gigapower Exec Pitches Value of Open Access Networks to Maximize BEAD Money Efficiency

The open access model allows multiple ISPs to use the same infrastructure. That could benefit Gigapower.

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Screenshot of Bill Hogg, CEO of Gigapower, during Broadband Breakfast Live Online

WASHINGTON, September 13, 2023 – Gigapower is in talks with state broadband offices about potentially building out open access infrastructure with grants from the Broadband Equity, Access and Deployment Program, the company’s CEO said Wednesday. 

“I think that when the time comes for BEAD, this platform will be a perfect fit,” Bill Hogg, the company’s CEO, said at a Broadband Breakfast Live Online event. 

That’s because consumers could still choose from multiple internet providers offering different services at different price points, all on BEAD-funded Gigapower infrastructure, Hogg pitched. The traditional ISP-owned infrastructure model would only bring service from the provider that won a state contract to expand their network, he claimed. 

“They like the idea that multiple ISPs will be able to bring choice to their constituents,” he said of state broadband officials. “They don’t have to pick a winner or a loser.”

Gigapower, a joint venture between AT&T and the investment firm BlackRock, is already slated to build a 1.5-million-location open access network. That means it will own and operate a fiber network while allowing multiple internet service providers to use that network to connect individual homes and businesses.

Spawned from the Infrastructure, Investment, and Jobs Act, the BEAD program allocates $42.5 billion to subsidize broadband infrastructure – primarily fiber – in areas that still lack adequate internet service because of geographical barriers or low population density. After submitting initial proposals by the end of the year, states will be able to start doling out this money to fund projects.

Gigapower is actively looking to add more service providers to its lineup, Hogg said. 

“We fully intend to have other ISPs on the network,” he said. “We’re having good discussions with potential future tenants.”

Benefits of open access

AT&T will be the first tenant on the open access network, part of its deal with Blackrock. The telecom is looking to reach more people as quickly as possible, said Erin Scarborough, its president of broadband and connectivity, but building out fiber is costly and expensive. Making use of a network outside the company’s existing infrastructure will make it easier to expand into new areas and was a key motivator for investing in the project.

“That’s one of the key tenets of this agreement and why we were looking to do it,” Scarborough said.

The open access model is a departure from the norm in American telecommunications. There are regional open access networks like Utah’s UTOPIA Fiber, but large ISPs have traditionally opted for the security of owning and operating their own networks. 

“When you start thinking about operating more efficiently with less capital, sharing networks has always made sense,” Hogg said. “We think that this model is going to break down the historical bias telecos have had about not controlling all the assets.”

Despite the company’s investment in the project and first-provider status, Scarborough and Hogg were emphatic that AT&T will not have a management role over the network.

“We are the network operator,” Hogg said of Gigapower. “We own the assets. We own the negotiation for the commercial terms.”

Our Broadband Breakfast Live Online events take place on Wednesday at 12 Noon ET. Watch the event on Broadband Breakfast, or REGISTER HERE to join the conversation.

Wednesday, September 13, 2023 – AT&T and BlackRock’s Gigapower Joint Venture

In December 2022, AT&T and BlackRock, through a fund managed by its Diversified Infrastructure business, jointly invested  in the Gigapower joint venture that is expected to build fiber connectivity to an initial 1.5 million customer locations beyond AT&T’s current footprint. Notably, AT&T will rely on a commercial wholesale open access platform, where multiple providers share space and compete for customers over the same fiber infrastructure. Could Gigapower alter the historical reluctance of U.S. telcos toward such networks? How will the deployment impact open access projects throughout the United States? Get the facts from this special Broadband Breakfast Live Online event.

Panelists:

  • Bill Hogg, CEO of Gigapower
  • Erin Scarborough, President, Broadband and Connectivity Initiatives at AT&T
  • Adam Waltz, Managing Director at BlackRock Infrastructure
  • Roger Entner, Founder and Lead Analyst of Recon Analytics
  • Drew Clark (moderator), Editor and Publisher, Broadband Breakfast

Adam Waltz is a Managing Director in BlackRock’s Global Infrastructure Fund focused on investments in digital infrastructure opportunities across fiber networks, data centers, and wireless infrastructure. He serves as a Board Director at Gigapower, BlackRock’s joint venture with AT&T to develop a commercial wholesale open access platform on a state-of-the-art fiber network.

Bill Hogg leads Gigapower, an open access, wholesale fiber broadband company that builds and operates fiber solutions lit for fast connectivity and designed for network resiliency and reliability. Bill retired as President, AT&T Technology Operations, and was responsible for all planning, investment, engineering, construction, delivery, and assurance of AT&T’s wireless and wireline networks. Previously, Bill served as President-Technology Development, responsible for the development of AT&T’s products and services, digital experiences for customers, and systems supporting the operations across AT&T’s networks and services.

Erin Scarborough leads the team responsible for AT&T’s efforts to connect more Americans to greater possibility through fiber and wireless 5G investment initiatives, participating in government funding programs and public private partnerships. She and her team are taking a strategic, state-by-state approach working closely with state and local governments as they assess their broadband access, affordability and adoption needs. She also leads the combined broadband and mobility product management teams and has cross-functional responsibility for product profitability, pricing, customer experience, product design, multi-year roadmaps, development, and value-add services across the product portfolios.

Roger Entner advises telecom, media and technology companies on strategic and tactical business as well as public policy issues to allow them to compete better in the marketplace. Some of the challenges he helped to address are mobile market trends and business drivers and how to position themselves for growth and profitability, TMT convergence, bundling, changes in media consumption, software-defined networking, transition from MVNO to MNO, as well as providing the evidence and arguments for light touch wireless regulation and spectrum allocation for 5G. Under Roger’s leadership, Recon Analytics has launched the fastest and most agile telecom insights service based on more than 400,000 respondents across consumer mobile, home internet and business telecom customers.

Breakfast Media LLC CEO Drew Clark has led the Broadband Breakfast community since 2008. An early proponent of better broadband, better lives, he initially founded the Broadband Census crowdsourcing campaign for broadband data. As Editor and Publisher, Clark presides over the leading media company advocating for higher-capacity internet everywhere through topical, timely and intelligent coverage. Clark also served as head of the Partnership for a Connected Illinois, a state broadband initiative.

WATCH HERE, or on YouTubeTwitter and Facebook.

As with all Broadband Breakfast Live Online events, the FREE webcasts will take place at 12 Noon ET on Wednesday.

SUBSCRIBE to the Broadband Breakfast YouTube channel. That way, you will be notified when events go live. Watch on YouTubeTwitter and Facebook.

See a complete list of upcoming and past Broadband Breakfast Live Online events.

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Broadband Breakfast on September 13, 2023 – AT&T and BlackRock’s Gigapower Joint Venture

Gigapower CEO Bill Hogg and AT&T President Erin Scarborough headline event.

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See Gigapower Exec Pitches Value of Open Access Networks to Maximize BEAD Money Efficiency, Broadband Breakfast, September 13, 2023

Our Broadband Breakfast Live Online events take place on Wednesday at 12 Noon ET. Watch the event on Broadband Breakfast, or REGISTER HERE to join the conversation in the webinar.

Wednesday, September 13, 2023 – AT&T and BlackRock’s Gigapower Joint Venture

In December 2022, AT&T and BlackRock, through a fund managed by its Diversified Infrastructure business, jointly invested  in the Gigapower joint venture that is expected to build fiber connectivity to an initial 1.5 million customer locations beyond AT&T’s current footprint. Notably, AT&T will rely on a commercial wholesale open access platform, where multiple providers share space and compete for customers over the same fiber infrastructure. Could Gigapower alter the historical reluctance of U.S. telcos toward such networks? How will the deployment impact open access projects throughout the United States? Get the facts from this special Broadband Breakfast Live Online event.

Panelists:

  • Bill Hogg, CEO of Gigapower
  • Erin Scarborough, President, Broadband and Connectivity Initiatives at AT&T
  • Adam Waltz, Managing Director at BlackRock Infrastructure
  • Roger Entner, Founder and Lead Analyst of Recon Analytics
  • Drew Clark (moderator), Editor and Publisher, Broadband Breakfast

Adam Waltz is a Managing Director in BlackRock’s Global Infrastructure Fund focused on investments in digital infrastructure opportunities across fiber networks, data centers, and wireless infrastructure. He serves as a Board Director at Gigapower, BlackRock’s joint venture with AT&T to develop a commercial wholesale open access platform on a state-of-the-art fiber network.

Bill Hogg leads Gigapower, an open access, wholesale fiber broadband company that builds and operates fiber solutions lit for fast connectivity and designed for network resiliency and reliability. Bill retired as President, AT&T Technology Operations, and was responsible for all planning, investment, engineering, construction, delivery, and assurance of AT&T’s wireless and wireline networks. Previously, Bill served as President-Technology Development, responsible for the development of AT&T’s products and services, digital experiences for customers, and systems supporting the operations across AT&T’s networks and services.

Erin Scarborough leads the team responsible for AT&T’s efforts to connect more Americans to greater possibility through fiber and wireless 5G investment initiatives, participating in government funding programs and public private partnerships. She and her team are taking a strategic, state-by-state approach working closely with state and local governments as they assess their broadband access, affordability and adoption needs. She also leads the combined broadband and mobility product management teams and has cross-functional responsibility for product profitability, pricing, customer experience, product design, multi-year roadmaps, development, and value-add services across the product portfolios.

Roger Entner advises telecom, media and technology companies on strategic and tactical business as well as public policy issues to allow them to compete better in the marketplace. Some of the challenges he helped to address are mobile market trends and business drivers and how to position themselves for growth and profitability, TMT convergence, bundling, changes in media consumption, software-defined networking, transition from MVNO to MNO, as well as providing the evidence and arguments for light touch wireless regulation and spectrum allocation for 5G. Under Roger’s leadership, Recon Analytics has launched the fastest and most agile telecom insights service based on more than 400,000 respondents across consumer mobile, home internet and business telecom customers.

Breakfast Media LLC CEO Drew Clark has led the Broadband Breakfast community since 2008. An early proponent of better broadband, better lives, he initially founded the Broadband Census crowdsourcing campaign for broadband data. As Editor and Publisher, Clark presides over the leading media company advocating for higher-capacity internet everywhere through topical, timely and intelligent coverage. Clark also served as head of the Partnership for a Connected Illinois, a state broadband initiative.

WATCH HERE, or on YouTubeTwitter and Facebook.

As with all Broadband Breakfast Live Online events, the FREE webcasts will take place at 12 Noon ET on Wednesday.

SUBSCRIBE to the Broadband Breakfast YouTube channel. That way, you will be notified when events go live. Watch on YouTubeTwitter and Facebook.

See a complete list of upcoming and past Broadband Breakfast Live Online events.

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Fiber

Automation Exchange Announces New Managed Services for Fiber Operators

The service provides a centralized communication hub and technical support for open access networks.

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Photo of John McLauchlin

ORLANDO, August 21, 2023 – South African fiber software company Automation Exchange announced Monday here at Fiber Connect the addition of a new managed services offering that provides new software for fiber operators needs to deploy and support open access broadband networks. 

“AEX offers network operators unparalleled scalability,” said Greg Mclaughlin, the company’s new CEO. “Throughout comprehensive managed services and tested and proven integrated [operations support system and business support system] software, AEX’s complete solution enables operators to efficiently plan, build, maximize, operator and support both greenfield and brownfield networks with remarkable speed.” 

Mclaughlin said in a press conference that the software will allow providers to automate their systems and hand off the hard work to AEX so they can focus on building out their networks with maximum efficiency. 

Jim Sanders, vice president of sales and marketing, said that the company seeks to make it as easy as possible for internet service providers to get internet out to unserved and underserved communities as fast as possible by providing solutions to minimize upfront heavy lifting. 

AEX helps open access fiber network operators, which lease fiber infrastructure to deliver services to the end user. The software services offered by AEX include a network operations center, equipment supply, installation and commissioning, technical support, virtual internet service provider and service desk. Additionally, AEX directly supports operator customers, acting as the single point for all network queries and technical issues. 

John McLauchlin, vice president of implementation at AEX, said at the press conference that the company’s “support structure provides efficient escalation, granting appropriate access enabling our trained professionals to deliver a superior customer experience.” 

Mclauchlin added that the company’s success in helping to build open access networks in South Africa has given AEX the expertise to do the same in the United States. AEX says that its software platform talks to all different entities on the network to centralize communication and simplify the process of operating a network.

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