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Open Access

SiFi Networks Announces $2 Billion Plan to Put 30 Cities On Their Network

SiFi Networks uses private capital, at no cost to taxpayers, to fund its open access model.

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SiFi Networks CEO Ben Bawtree-Jobson at the Tuesday press conference

HOUSTON, September 30, 2021 – SiFi Networks has announced a plan to commit $2 billion, sourced from private investors, to build open-access fiber networks in cities across America, the company said at an in person and virtual press conference at the Broadband Community Summit here on Tuesday.

SiFi has plans to begin developing fiber networks in 30 cities by the end of 2022 and to pass over 40,000 homes per month by early 2023.

Ben Bawtree-Jobson, CEO of SiFi Networks, said that the company is working with more than 100 cities and has plans to expand FiberCity Aid, their program which decreases the network costs for ISPs providing service to low-income residents, in an effort to close the digital divide.

The company said that its open-access model gives “communities a much-needed choice against existing cable monopolies and duopolies whose networks have fallen far behind new technologies and skyrocketing consumer demand.” Open access networks allow multiple telecoms to use the same infrastructure to provide services.

Bawtree-Jobson, alluding to existing copper and cable networks being at or near capacity, warned that, “communities need to make policy decisions pertaining to broadband in the next 24 months. Prioritizing long-term competition should be first and foremost in the minds of lawmakers so their cities and towns are no longer hamstrung by large monopolies.”

Additionally, on Wednesday SiFi Networks and East Hartford Mayor Marcia Leclerc announced that East Hartford, Connecticut, is receiving a $40 million all-fiber internet network. This will be both the first open access and first all-fiber network in the state of Connecticut, the company said.

“We’re able to partner with communities to build FiberCities on an Open Access network, using private capital, at no cost to taxpayers. It’s a win for consumers, it’s a win for business, and it’s a win for government,” said Bawtree-Jobson.

Founded in 2012, SiFi Networks’ business plan is to privately fund, build and operate citywide, open access, 100 percent fiber networks. Their networks are made available to internet service providers, providing them with the ability to lease space on SiFi’s network and enter a market quickly and efficiently. Service providers would then be expected to concentrate on customer service and support.

SiFi is currently developing or operating in more than 40 cities across the United States, covering over 1.5 million homes and businesses. SiFi has stated that ISPs of all sizes are welcome to partner with their network to provide thousands of Americans with fiber internet. The APG Group recently acquired 16.7 percent of SiFi Networks while also investing 500 million dollars for joint ventures into SiFi’s open access model.

Reporter Riley Steward is a writer from Denton, Texas, who graduated from The University of Texas' Business Honors Program. He has written for various publications including The Recording Academy Grammy.com. He currently lives and writes in New York City.

Open Access

Financing Mechanisms for Community Broadband, Panel 3 at Digital Infrastructure Investment

Panel 3 video. Join the Broadband Breakfast Club to watch the full-length videos from Digital Infrastructure Investment.

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Video from Panel 3 at Digital Infrastructure Investment: Kim McKinley, Chief Marketing Officer, UTOPIA Fiber, Jeff Christensen, President & CEO, EntryPoint Networks, Jane Coffin, Chief Community Officer, Connect Humanity, Robert Wack, former Westminster Common Council President and leader of the Open Access Citywide Fiber Network Initiative, and moderated by Christopher Mitchell, Director, Community Broadband Networks, Institute for Local Self-Reliance

For a free article summarizing the event, see Communities Need Governance Seat on Broadband Builds, Conference Hears: Communities need to be involved in decision-making when it comes to broadband builds, Broadband Breakfast, November 17, 2022

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Open Access

In Video Session, Christopher Mitchell Digs Into Community Ownership and Open Access Networks

The conversation dealt with open access networks, and whether cities are well-suited to play a role in developing them.

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Screenshot of Christopher Mitchell, director of the Community Broadband Networks Initiative at the Institute for Local Self-Reliance.

September 29, 2022 – Community-owned, open access networks protect communities against irresponsible network operators and stimulate innovation, said Christopher Mitchell, director of the Community Broadband Networks Initiative at the Institute for Local Self-Reliance, at a Broadband.Money Ask Me Anything! event Friday.

“AT&T, Frontier, these companies have a history of failing to meet community needs,” said Mitchell. “If I had a choice between open broadband fixed wireless and fiber from AT&T, I’d be really, you know, checking it out.”

“[AT&T] is a company that will sell your data at the first opportunity, it’s a company that will raise your bill every chance it gets,” Mitchell added.

ILSR’s director said that in communities in which local ownership isn’t possible, such as in a town with a deeply corrupt government, there still exist contractual provisions that can maximize local control.

A right of first refusal, for instance, gives communities the option to purchase their local network if the original provider chooses to sell. Mitchell also suggested communities write performance-based contracts that institute penalties for network partners who fail to meet clearly outlined performance benchmarks.

Conversation entered realm of open access discussion

The wide-ranging conversation also dealt with the issues of open access networks, and whether cities are well-suited to play a role in developing them.

 “The cities are the custodians of their rights of way – they need to be, they must be,” said Drew Clark, editor and publisher of Broadband Breakfast. Because of the cities inherent role as custodians of their rights of way, Clark said that open-access networks provide cities with the opportunity to own the infrastructure portion of their broadband networks, while still offering private companies the ability to serve as network operators or application service providers.

Mitchell agreed that open access networks can be critical to broadband innovation. “We need to have millions – ideally tens of million – of Americans in thriving areas that have open access to kind of see what we can do with networks,” he said.

“Maybe a lot of those ideas won’t work out, but I think we don’t want to foreclose that path.”

In addition to overseeing digital infrastructure projects, communities can promote digital equity by utilizing established, trusted community-based institutions – such as food pantries or faith groups – to boost digital literacy and distribute devices, Mitchell said.

Mitchell added that these efforts must be ongoing: “This is more about building connections now.”

Broadband.Money is a sponsor of Broadband Breakfast.

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Funding

Anticipating Launch, Yellowstone Fiber to Seek Federal Funds for Rural Broadband

With service beginning in late September, non-profit fiber ISP aims to serve rural Gallatin County

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Photo of Greg Metzger in July 2022 from Yellowstone Fiber

BOZEMAN, Montana, July 27, 2022 – Officials at the non-profit internet entity Yellowstone Fiber announced Thursday that they would pursue federal broadband funding to expand network construction in rural areas of its footprint in Montana.

Because every state is poised to receive a minimum of $100 million to expand broadband infrastructure under the bipartisan Infrastructure Investment and Jobs Act, officials at Yellowstone Fiber believe they are well-suited to obtain funding to connect homes, businesses, farms, and ranches to high-speed fiber internet in the sections of the Montana’s Gallatin County north of Bozeman.

Although Yellowstone Fiber is just going live with its first customers in September – and began offering pre-sales in late July – the new fiber entity believes that the availability of funding through the Broadband Equity, Access and Deployment program of IIJA offers a unique opportunity.

As with all states, Montana will receive a minimum of $100 million to expand high-speed broadband infrastructure to the nearly one-third of state residents who currently lack access.

Speaking about the impending launch of services on Yellowstone Fiber, CEO Greg Metzger said, “This is an important milestone for Yellowstone Fiber and we’re enormously excited to announce we’ll have the network live in a matter of weeks.”

“For decades, people in rural Montana have been limited by slow and expensive internet service and empty promises by cable providers. Today’s announcement signals we’re serious about connecting rural Gallatin County to high-speed fiber and the limitless possibilities that it brings,” he said.

Yellowstone Fiber is building an open access network, which means that Yellowstone builds, owns, and operates the fiber infrastructure, then leases space on its high-speed fiber to service providers, including Blackfoot Communications, Skynet Communications, Global Net, TCT and XMission.

In an interview, Metzger touted the role that open access networks play in enabling free market competition, including better prices, service, and reliability.

Metzger, an entrepreneur who previously manufactured plastic deposit bags for banks, sold that business and bought a furniture company in Montana.

Although he said he would rather be playing golf, when he stumbled across a new funding mechanism, he decided to create a non-profit entity designed to serve his community with fiber optic network services.

Yellowstone Fiber was formerly Bozeman Fiber, and was created in 2015 as an economic development initiative to address the lack of true high-speed broadband in Gallatin County, Montana.

A group was formed including the City of Bozeman, Gallatin County, the Bozeman School District and business leaders and funded by eight banks with a Community Reinvestment Act-designated loan.

This $4,000,000 was used to create a fiber ring connecting anchor tenants including the city, county and the school district, and also servicing the Cannery district and downtown Bozeman.

Anchor operations began in the fall of 2016, and commercial operations in February 2017. In 2020, the network formed an operational partnership with Utah-based UTOPIA Fiber to bring fiber-to-the-home services to every address in Gallatin County.

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