 joebarnhartPaxio evangelist
join:2005-12-15
Santa Clara, CA | Great read -- but could it work in the US? The US just doesn't have a pool of capital to support a major infrastructure build like FTTH for an entire area. Our finances are so overtaxed (literally) and the government distorts the capital market by its own efforts to deficit spend and prop up the dollar.
The UTOPIA project (Utah fiber network) is the closest thing I see in the US. But it has been plagued with controversy and delays getting the service out. Cost overruns have caused the budget to balloon and threatened the future of the project.
Using a completely different approach, Paxio is a private company that seeks to provide fiber to the greater S.F. Bay Area. Their connections are highly prized by the few who are able to obtain them, but their reach is still too small because of the lack of capital. Even giants like Verizon are struggling with their FTTH rollouts due to large capital needs and a lack of enthusiasm from investors.
Taking the Amsterdam approach, I suppose Paxio could seek investment from Bay Area cities -- but with the all-too-real prospect of state and local government insolvency that is unlikely.
One model not widely tried in the US is that of the homeowners paying for their own connections. Roughly $2k per home would wire each home for fiber. Being open-access, the fiber could be used in lieu of twisted pair for phone and internet, and in lieu of coax for delivery of video.
But homeowners in the US are not accustomed to paying for their own connections, and that is a very hard sell for a young FTTH company to make. The tradition in this country is that the connection is "free" and that is not conducive to any business model that works in today's envorinment. |
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| Our community was offered FTTH. however, the community thought it wasent necessary... it was going to be provided by the local educational district... |
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| reply to joebarnhart
The UTOPIA project (Utah fiber network) is the closest thing I see in the US. But it has been plagued with controversy and delays getting the service out. Cost overruns have caused the budget to balloon and threatened the future of the project. Well, the Utopia project also faced an 18 month delay after Qwest sued to block them from accessing local utility poles, so while these projects sometimes fail due to poor planning -- they quite often have help. |
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joebarnhartPaxio evangelist
join:2005-12-15
Santa Clara, CA | reply to MalibuMaxx
said by MalibuMaxx:Our community was offered FTTH. however, the community thought it wasent necessary... it was going to be provided by the local educational district... How'd that work out for you? Did you all get free FTTH connections? Did everyone live happily ever after? |
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| reply to joebarnhart
There's also the model being used in Washington State by the PUDs (Public Utility Districts) which provide fiber to the home.
These PUDs build out their fiber networks for their electricity system but along the way they also provide homes with fiber.
"Grant PUD provides the infrastructure necessary for retail service providers to bring fiber optic connectivity to your home, business or farm. The backbone of the fiber optic network was built for the utility to utilize secure, high-speed connectivity for coordination of the complex communication between Grant PUD’s dams and facilities throughout the county. This high-tech network offers connectivity to services today and has capacity to bring services yet to be developed.
Grant PUD commissioners provide special consideration for critical infrastructure connections throughout the county. All schools, medical facilities and most public service agencies are already connected to the network, This access offers essential and affordable connectivity to those public agencies, who, in turn, offer enhanced services to the people of Grant County."
Douglas County PUD:
"The Douglas County Community Network (DCCN) is a high-speed, broadband network originally designed for Douglas County PUD’s electric needs. The fiber optic system has been developed over the last several years. It includes hundreds of miles of fiber-optic lines that connect towns throughout Douglas County. This network enables Douglas PUD to monitor and control its electric system. An added benefit to our customer owners is the availability of high speed broadband services, such as Internet access, telephone, and television services that are made available to residents, government agencies and businesses in Douglas County."
Grant County PUD was also the one that was installing gigabit ethernet to homes back in 2001. |
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 tshirtPremium,MVM
join:2004-07-11
Snohomish, WA
kudos:3
 ·Comcast
| reply to joebarnhart
said by joebarnhart: Our finances are so overtaxed ...... Actually we are undertaxed/grossly overspent by comparision.
Netherlands income taxes look like this
33.60% on the first EUR 17,579
41.85% on the next EUR 14,010
42% on the next EUR 22,271
52% on the remainder
with 25%-30% on investment income
And ZERO deductions.
Balanced against free health care, universal pensions, and generous social services for the un/under employed.
different political/tax systems make it impossible to compare to the US. |
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tshirtPremium,MVM
join:2004-07-11
Snohomish, WA
kudos:3 Reviews:
·Comcast
| reply to WA_Resident
said by WA_Resident:Grant County PUD was also the one that was installing gigabit ethernet to homes back in 2001. I admire what Grant county has done, however it is a slow process (still only serves 60% of the population, after almost 10 years) and was/is still a financial risk to the PUD/customers.
Snohomish county considered several broadband plans around the same time (BPL (seemed like a good idea at the time), FIBER, Copper) thinking the cost savings with smart meters might pay some of the cost, but eventually decided not to risk their primary mission of reliable, affordable power. |
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| reply to joebarnhart
I could see SureWest buying them soon if they can't figure out a way to expand their network. You'd think that they'd have a market for the HOAs and Co-Ops over ATT, TWC, Comcast and Verizon.
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| reply to tshirt
said by tshirt:said by WA_Resident:Grant County PUD was also the one that was installing gigabit ethernet to homes back in 2001. I admire what Grant county has done, however it is a slow process (still only serves 60% of the population, after almost 10 years) and was/is still a financial risk to the PUD/customers. Snohomish county considered several broadband plans around the same time (BPL (seemed like a good idea at the time), FIBER, Copper) thinking the cost savings with smart meters might pay some of the cost, but eventually decided not to risk their primary mission of reliable, affordable power. It has been a slow process but you need to be aware that in those 10 years the PUDs have faced several challenges, some of which were in form of lawsuits by major communication companies such as Verizon. There were also some politicians that were trying to prohibit the PUDs from offering any type of communication services directly to their customers. Till this day the PUD can't offer any internet, phone or TV directly to the customer, they can only offer the fiber connection along with your electricity.
Even if it were only 60% of the the homes in the whole county that have access to fiber, wouldn't you say that's quite good for such a rural county? |
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| reply to joebarnhart
said by joebarnhart:said by MalibuMaxx:Our community was offered FTTH. however, the community thought it wasent necessary... it was going to be provided by the local educational district... How'd that work out for you? Did you all get free FTTH connections? Did everyone live happily ever after? Wow. Your biting sarcasm and hate of all things government-related are amusing. Over and over again you are faced with the limitations of private corporations building out expensive infrastructure, and yet you know scorn the idea of government-funded broadband line construction. It's hilarious how confused you are.
Considering the government could set up a plan where local and state governments handled the construction of FTTH lines, and payback of the lines occurred over a 20 or 30 year period, I really don't see it as the result of a "lack of capital". At least, that never stopped us from going to war. |
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| reply to tshirt
said by tshirt:said by WA_Resident:Grant County PUD was also the one that was installing gigabit ethernet to homes back in 2001. I admire what Grant county has done, however it is a slow process (still only serves 60% of the population, after almost 10 years) and was/is still a financial risk to the PUD/customers. Snohomish county considered several broadband plans around the same time (BPL (seemed like a good idea at the time), FIBER, Copper) thinking the cost savings with smart meters might pay some of the cost, but eventually decided not to risk their primary mission of reliable, affordable power. Oh man. 60% after 10 years is sooo slow. Just look at the rest of the US. Oh... wait. |
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joebarnhartPaxio evangelist
join:2005-12-15
Santa Clara, CA | reply to sonicmerlin
Sonicmerlin -- I'm sorry that you cannot discuss an issue without getting personal.
There are those who believe in government as the answer to all (or most) things and those who don't. I am solidly in the latter camp. We will just have to agree to disagree on this philosophy.
FYI -- I actually WAS curious how the free FTTH connections worked out for MalibuMax. The more fiber, the better. But MM had said "it WAS going to be provided...", so I suspect the answer is not a happy one.
Regardless, I hold no animus towards you and wish you well. |
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