Santa Cruz city council considers FTTH business plan and market data today

8 December 2015 by Steve Blum
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Click for more market research data.

A business model and an outline of a deal to build a fiber to the home (and business) system in Santa Cruz will be on the table at this afternoon’s city council meeting. In June, the Santa Cruz council authorised city staff to negotiate a public/private partnership agreement with Cruzio, a local Internet service provider. The basic terms are now ready for review. The concept is for the City to pay for and own the fiber, and lease it to Cruzio.… More

Santa Cruz muni fiber threat forces Comcast upgrade

28 September 2015 by Steve Blum
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After years of blowing off customers, sandbagging local governments and stonewalling regulators, Comcast has finally upgraded its Santa Cruz County service area to what appears to be the same broadband speeds enjoyed to the north in Silicon Valley and to the south in Monterey County. All it took was a single word: competition.

Comcast hasn’t said so, but it’s no coincidence that the upgrade came barely six weeks after the Santa Cruz City Council voted to move ahead with building a city-wide fiber-to-the-home (and business) system in a public/private partnership with Cruzio, a local Internet service provider.… More

AT&T won't even explore most of California and the West

17 September 2015 by Steve Blum
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Hooray, hooray, hooray!

AT&T’s GigaWeasel is slithering to more cities in the eastern half of the U.S., but it’s ignoring nearly all of the states in the Pacific and Mountain time zones (h/t to Fred Pilot at the Eldo Telecom blog for the pointer). A company blog post hypes the addition of “parts of…Jacksonville, St. Louis and San Antonio” to the list of markets where its so-called GigaPower service is available, but also adds the standard disclaimer that it’s up to 1 gigabit per second.… More

AT&T goes to the mattresses in North Carolina

21 July 2015 by Steve Blum
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AT&T is putting a move on Google Fiber and Frontier, inside of Frontier’s territory in Durham, North Carolina, according to a story by Lauren Ohnesorge in the Triangle Business Journal (h/t to Fierce Telecom for the pointer). The story quotes a local AT&T executive as saying that the company will soon be offering its Gigapower service, apparently via fiber to the premise technology and on what appears to be a limited basis…

AT&T has the resources to spread its technology more broadly.

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Santa Cruz will be Silicon Valley's first fully fiber city

30 June 2015 by Steve Blum
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Homes and businesses in Santa Cruz are one step closer to full fiber-to-the-premise broadband service. The Santa Cruz city council voted unanimously last week to move ahead with negotiating an FTTP/FTTH partnership with a local independent Internet service provider, Cruzio. As envisioned, the city would own – and finance – the network, Cruzio would operate it and the two would work together to build it.

Cruzio’s proposal to the city also leaves the door open for other ISPs to join the project – that’ll be one of many details that the forthcoming negotiations will address.… More

Municipal broadband is an economic choice, not a holy crusade

15 July 2013 by Steve Blum
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The debate continues.

I’ve been taken to task for an article I wrote on the prospects for fiber-to-the-premise service in Palo Alto. It was just published in Broadband Communities, and was based on a study I did last year for the City of Palo Alto evaluating a particular business model.

Christopher Mitchell, the proprietor of MuniNetworks.org and an advocate of public ownership of telecoms networks, called it odd and misleading in a blog post.… More

More competition means lower FTTH prices according to Swedish study


Sweden breeds competitors.

Competition drives prices down on open access municipal fiber-to-the-home (FTTH) systems. That’s the conclusion of a study completed by a graduate researcher in Sweden. Ziyi Xiong, a masters candidate at the KTH Institute of Technology in Stockholm, examined data from 290 Swedish municipalities – with and without FTTH service – and found that the cost of a 10 Mbps subscription dropped by about a dollar a month for every service provider on a given fiber network.… More

Modest FTTH growth benefit found in rigorous Swedish study


Blow fiber, not tumbleweeds.

Fiber-to-the-home (FTTH) systems drive growth in cities by a measurable amount, according to a recent study in Sweden. The analysis was done by Ziyi Xiong, a graduate student at the KTH Royal Institute of Technology in Stockholm.

She crunched demographic and network data from 290 Swedish municipalities, factored out other possible influences, such as the degree of urbanization, and found that increasing fiber availability at workplaces by 10% results in population growth of nearly two-tenths of a percent (.17%).… More

Metro broadband: without the political cards, you're not playing with a full deck


Political value: the need for speed at the San Leandro public library.

There’s an argument to the effect that the prices charged for broadband service by telcos and cable companies in urban areas are higher than necessary to provide that service and make a reasonable profit.

It’s not crazy talk. You can make a case that more densely populated areas have lower per household costs – opex and capex – and that more affluent areas have higher profit margins.… More

The problem with FTTH is there's no problem

It’s not about finding a mass market solution. It’s about finding a sufficiently acute mass market problem.

The struggle to develop a general fiber-to-the-home (FTTH) or premises (FTTP) business model for city-wide deployments doesn’t result from a market failure. Quite the contrary. It’s evidence that the laws of supply and demand are in full effect.


Demand, meet supply.

People generally get the broadband service someone else – a business or government agency mostly – is willing to give them for the price they’re willing to pay.… More