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Indianola, Iowa Getting Community-Owned Fiber Service: 25/25Mbps as Low as $5/Month

Indianola, Iowa has relied on community-owned and non-profit Indianola Municipal Utilities (IMU) to deliver gas and electric service to the community of 15,000 for more than 100 years. Now customers in south-central Iowa will soon be able to purchase broadband service from the utility as it prepares to open its fiber-to-the-home network to residential customers.

Partnering with Mahaska Communication Group (MCG), IMU will be in the triple-play business of phone, broadband, and cable television by October.

Iowa’s public broadband network has served institutional and large commercial users since being installed in the late 1990s. But residential services were not available until recently.

Wholesale service comes primarily from Iowa Network Services via a SONET protected fiber optic ring, with redundant access going from and to Indianola. Multiple direct connections to Tier 1 backbone providers also ensure reliability and speed.

MCG intends to compete against cable providers like Mediacom and phone companies that include CenturyLink and Frontier Communications. MCG will market three broadband services in Indianola:

  • 25/25Mbps – Available for as little as $5/month when bundled with a triple-play package including phone and television service;
  • 50/50Mbps – Targeting homes with multiple users.  Download a 2 GB movie file in 1 minute;
  • 100/100Mbps – For multiple users with high bandwidth demands and business customers. Download a 2 GB file in 30 seconds.

The triple play package, including 25/25Mbps broadband, TV and phone service will sell for $99.95 a month. That is the ongoing rate, not an introductory teaser that expires after 6-12 months. Standalone broadband customers can purchase 25/25Mbps for $39.95 a month. Upgrading broadband speed will be fast and affordable: $5 a month extra for 50/50Mbps service, $10 a month more for 100/100Mbps service.

Mediacom charges considerably more for its broadband service, which has vastly slower upstream speeds and usage caps. CenturyLink locally provides 1-3Mbps DSL service for many customers in the area.

MCG promotes its forthcoming service as a vast improvement over what phone and cable companies sell locally:

  • The network is locally owned and operated and their employees live and work in the region. MCG does not use offshore call centers for customer support;
  • MCG has no contracts, term commitments, or early cancellation penalty fees;
  • No usage limits or speed throttles — and the speeds are fast in both directions;
  • No introductory prices that leave customers with a higher bill after 6-12 months.

The municipal utility says it welcomed other Internet Service Providers, including CenturyLink and Mediacom, to sell services over their public fiber network. Neither provider has shown any interest.

[flv width=”640″ height=”450″]http://www.phillipdampier.com/video/Indianola Iowa Fiber 3-29-10.flv[/flv]

Introducing Indianola, Iowa and its new community-owned fiber to the home network, an important upgrade for a community 15 miles from Des Moines. (4 minutes)

Currently there are 2 comments on this Article:

  1. txpatriot says:

    I wish them luck and I wish more communities would do this.

  2. fred says:

    What is the website address? Want to know more about the product.

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  • Butch Kara: We still have Centurylink DSL (or should I say, we have it when it works) supposedly 1.5Mbps, but usually 0.6 or slower (right now around 0.2). and ha...
  • Lee: Seems I need to amend my post about the closed fiber optic loop system. Frontier Communications is not installing it. It is an expansion of the Elkhar...
  • James: In the beginning I was hopeful of Frontier a good review but I just zcan't do it.. we switched from comcrooks recently oct. '17, the phone reps screwe...
  • Lee: Change the name from Spectrum to Speculum....
  • Lee: I am in Indiana. I used my Street Atlas program to figure they are installing 6.5 miles of underground fiber optic along the roads between the two sch...
  • Bob: I have Mohu Leaf antennas on both TV's and I get the locals that way also. All I know is that as a former regular DirecTV customer, they are trying v...
  • Phillip Dampier: Institutional broadband. Frontier owns the network that taxpayers subsidize and Frontier gets to charge whatever it wants for service on that network....
  • Lee: This company is a steaming pile of dung. I noticed the work along the road by a local restaurant. Today I stopped and talked to the crew working by th...
  • Andrew: Bob is right.. but directvnow has HBO and youtube doesn't... I use OTA antenna for locals so it works out....
  • Bob: All well and good, but DirecTV Now still lacks the local Rochester channels that are included in the YouTube TV lineup....
  • FredH: Spectrum should have just paid the $1M fine.....it's chump change since they make about $300M in profit from operations every QUARTER!...
  • L. Nova: This is why we need municipal networks Since ejecting these greedy executives into the vacuum of space is not an option YET....

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