State and local officials gather to welcome Comcast’s state-funded service expansion in western Massachusetts. (From left to right: MBI chairman Peter Larkin; Carolyn Kirk, deputy secretary of the Executive Office of Housing and Economic Development; Michael Parker, senior vice president for Comcast’s Western New England region; Lt. Gov. Karyn Polito; Kevin Hart, former chair of the Montague Broadband Committee; and Rep. Stephen Kulik, D-Worthington.) (Image: MBI )

Two years after Republican Massachusetts Gov. Charlie Baker imposed a state-mandated “pause” on WiredWest, a collaborative, multi-community, publicly owned fiber to the home broadband network for western Massachusetts, Comcast is celebrating the introduction of expanded service in the towns of Buckland, Chester, Conway, Hardwick, Huntington, Montague, Northfield, Pelham and Shelburne, made possible with a $4 million taxpayer-funded grant to the nation’s largest cable operator.

While state officials continually questioned the economics of WiredWest, which by that time enrolled more than 7,000 eager would-be customers with $49 deposits, Comcast repeatedly declared it was “uneconomic” to provide broadband service to most rural western Massachusetts communities, at least until state officials paid the cable giant millions of dollars to reach 1,089 previously unserved homes and businesses in the nine towns, effectively giving Comcast a broadband monopoly.

“We were pleased to work with Comcast, who met the two-year timeline we set to deliver critical 21st-century broadband connections to more homes and businesses,” said Lt. Gov. Karyn Polito in a press release this week. She called the project “a great example of a public-private partnership” that would help resolve rural Massachusetts broadband problems.

WiredWest could not have met Polito’s two-year timeline, primarily because the collaborative has been blocked and ambushed repeatedly after Democratic Gov. Deval Patrick left office. State officials in Boston and the Massachusetts Broadband Institute (MBI), responsible for funding broadband initiatives, began a campaign of fear, uncertainty, and doubt about the project shortly after Gov. Baker took office, culminating in recommendations from then-MBI director Eric Nakajima imploring towns not to sign agreements with WiredWest, and eventually withholding critical funding from the broadband cooperative, questioning its governance and operating model.

It soon became clear Gov. Baker preferred an industry solution to the rural broadband problem, which caused broadband advocate Susan Crawford to slam the decision in early 2017.

“This is the story of a dramatic failure of imagination and vision at the state level: Governor Charlie Baker’s apparent insistence that Massachusetts relegate small towns to second-rate, high-priced, monopoly-controlled (and unregulated) communications capacity,” Crawford wrote. “It’s a slow-rolling tragedy that will blight western Massachusetts for generations.”

A divide and conquer campaign to peel off communities from the WiredWest project has been underway for years. Earlier this year, MBI dangled $3.1 million in grants available exclusively to Charter Communications to build out its network in several towns in the region. When asked if those taxpayer dollars would be available to publicly owned broadband projects like WiredWest, Peter Larkin, MBI’s current board chairman, responded “no.”

Despite the roadblocks, many of the communities staying loyal to the WiredWest concept have hired Westfield Gas & Electric’s ‘Whip City Fiber’ division to help design and construct their own fiber to the home networks, which will be superior to what Charter or Comcast plans for the region.

For exasperated residents and businesses who have waited more than four years for broadband, the politics and constant delays have become secondary issues to getting broadband… from somewhere. That may explain why Kevin Hart, who frequently objected to Comcast’s proposal to build an inferior copper-fiber network while chairing the Montague Broadband Committee, suddenly switched sides and praised the Comcast project this week for its timely introduction of broadband service.

In contrast, Montague Broadband Committee member Robert Steinberg in 2016 called Comcast’s cash infusion from taxpayers “corporate welfare.”

WWLP in Springfield reports several towns are getting expanded cable and broadband service from Comcast. (1:21)

Residents in Dixon, Calif. are being inconvenienced by AT&T’s fiber buildout. (Image: KOVR-TV)

AT&T’s contractors turned a Dixon, Calif. neighborhood into “a disaster zone” while attempting to install fiber optic cables for a forthcoming upgrade.

For almost half a year, AT&T’s outsourced construction crews have dug up yards around the growing community of 19,000, located 23 miles from Sacramento. The Valley Glenn neighborhood has seen the worst of it, according to homeowners who complain crews left concrete debris buried in their front yards, killed their lawns, and have been inconvenienced by heavy equipment partially blocking streets for months. Two weeks ago, an AT&T contractor crew hit a gas line, forcing the evacuation of the entire neighborhood.

Homeowner Natalie Avina sought help from Sacramento’s CBS station KOVR-TV, with the hope that drawing media attention to the debacle would force AT&T to ‘do the right thing.’

“They’ve ruined our front yard,” Avina told the station. “Everything’s been dug up. You know we take pride in our homes. You don’t want to come home and see this.”

Heather Craig, another homeowner, reports her lawn is struggling to recover.

“They put concrete instead of dirt back underneath our grass, so it’s dying,” Craig said.

Neighbors agree AT&T has been remiss on keeping the neighborhood informed about the duration of the construction and have not given them information about who to contact to discuss damages and concerns.

AT&T responded to the concerns earlier this week.

“As we work to expand and enhance our fiber network to deliver ultra-high speeds to the Dixon area, our goal is to minimize the effect on residents as much as possible,” AT&T said in a statement. “Unfortunately part of this project was not completed to our standards and we are working to fix it.”

Dixon homeowners are demanding AT&T pay for repairs after a contractor damaged lawns and sidewalks during fiber optic infrastructure installation. KOVR in Sacramento reports. (2:14)

A Rochester, N.Y.-based broadband company founded by an ex-president of Time Warner Cable and a former top executive at Rochester Telephone is bringing broadband competition to thousands of residents in Connecticut and Pennsylvania through its fiber-to-the-home network.

GoNetspeed has been aggressively expanding its service in Comcast, Verizon, and Frontier Communications service areas in suburban Pittsburgh and several cities in Connecticut. According to chief operating officer Tom Perrone, GoNetspeed has managed to buildout 100 network miles of fiber across 13 towns in two different states in just the first six months of 2018, providing a new choice for broadband service to over 30,000 homes and businesses.

Most recently, the company completed expansion in the New Haven, Conn. neighborhoods of Beaver Hills, Edgewood, and West River, adding an additional 3,000-5,000 homes to its network service area.

GoNetspeed prioritizes expansion in areas where there is little competition and where neighborhood density makes it financially feasible to bring fiber optic cables into an area. The company markets its service with simplified, lifetime pricing:

• $50 for 100/100 Mbps
• $70 for 500/500 Mbps
• $90 for 1,000/1,000 Mbps

In areas when service is first offered, the $100 installation fee is traditionally waived. There are no data caps. Static IPs and inside wiring are available at an additional cost.

GoNetspeed has received positive reviews from customers in parts of Bridgeport and West Hartford, where service is already available in Connecticut. In suburban Pittsburgh, GoNetspeed is available in parts of Ambridge, Beaver Falls, Baden, Conway, Beaver, Monaca, and Rochester. Over the summer, it announced it would soon also service New Brighton and Aliquippa. In general, the company wires neighborhoods where at least 10% of residents are committed to signing up for service. In Pennsylvania, it faces competition primarily from Comcast and Verizon. In Connecticut, competition will come from incumbents Comcast, Altice USA, and Frontier.

GoNetspeed’s headquarters are in suburban Rochester, N.Y. Ironically, it does not offer residential service in New York.

A GoNetspeed truck

The company originally behind GoNetspeed was Fibertech Networks (since sold to Crown Castle, a cell tower owner/operator). The founding partners were John K. Purcell, a former vice president at Rochester Telephone Corporation (now Frontier Communications) and Frank Chiano, the former head of Time Warner Cable in Rochester.

Fibertech was founded in 2000 as a fiber optic network operator. Purcell passed away in 2017, but Fibertech continued, eventually amassing a valuable 14,000 mile metro fiber network serving cities around the northeast. Fibertech served commercial customers like corporations, institutions, and wireless network operators seeking fiber connections to buildings or cell tower sites.

In the last several years, fiber network operators have started to enter the retail broadband marketplace as fiber overbuilders — providing fiber to the home service to areas where demand warrants investment. Most overbuilders target areas where no existing fiber competitor exists, which makes the northeast a viable target.

Verizon dropped its FiOS fiber to the home network expansion project eight years ago and incumbent telephone companies including Verizon, Frontier, Consolidated (formerly FairPoint), Windstream, and CenturyLink have shown little interest in investing in significant fiber upgrades in medium-sized cities in New England, the Northeast, and Mid-Atlantic region. That has given Comcast and Charter Communications — the two largest cable operators, a substantial and growing market share. But customers often loathe both cable operators, and there is built-in demand for new competition.

New Haven. Conn.

Local officials are also happy to see another competitive option. New Haven officials, like many others in Connecticut, have embarked on an effort during the last few years to attract new players to the state, especially after Frontier Communications acquired the assets of AT&T Connecticut. Many communities in Connecticut report a significant digital divide, particularly over the cost of internet access. New Haven, which has a significant low-income population, is happy to see GoNetspeed be part of the solution, but has wondered if GoNetspeed will expand service into lower-income areas of the city.

Connecticut Consumer Counsel Elin Swanson Katz, whose office manages broadband expansion in Connecticut, told the New Haven Register GoNetspeed’s expansion in New Haven “is just another strong indicator that Connecticut consumers are interested in having different options for broadband Internet service.”

“The more competition there is for consumers, for them to have choices, the better off we are,” Katz said. “It’s really important for our state to have ubiquitous access to affordable high-speed broadband that is reliable and that touches every corner of out state.”

Goei

While Wall Street and the tech media seems excited about the prospect of 5G and other fixed wireless home broadband services, Altice, which owns Cablevision and Suddenlink, dismissed wireless broadband as inadequate to meet rapidly growing broadband usage.

“In terms of usage patterns, our customers are taking an average download speed of 162 Mbps as of the second quarter of 2018, which is up 74% year-over-year,” Dexter Goei, CEO of Altice USA told investors on a recent conference call. “[Our customers now use] over 220 GB of data per month, which is up 20% year-over-year, with 10 in-home connected devices, on average. If you take the top 10% of our highest data consuming customers as a leading indicator, they are using, on average, almost 1 terabyte of data per month with 26 in-home connected devices. To support these usage patterns, which are mainly driven by video streaming and the proliferation of new over-the-top [streaming] services, it requires a high quality fixed network like ours. There is no substitute.”

Goei argued America’s wireless carriers are not positioned to offer a credible, serious home broadband alternative.

“For example, so-called unlimited data plans from the U.S. mobile operators start capping or significantly throttling customers at 20 GB of usage per month,” Goei said. “Over 60% of our customers are now using over 100 GB of data per month right now, which the mobile operators do not and will not have the capacity to match on a scaled basis unless they overbuild with a new dense fiber network.”

Altice just so happens to be building a dense fiber network, scrapping Cablevision’s remaining coaxial cable in New York, New Jersey, and Connecticut in favor of a fiber-to-the-home network that will eventually reach all of its customers.