Bridging the Digital Divide

This article was updated in January 2023.

In its 2020 Broadband Development Report, the FCC pointed out the fact that an astonishing 18 million Americans still have no access to broadband internet. That means millions of Americans are unable to quickly and easily access information, make online purchases, connect with distant friends and family, work from home, engage in distance learning, take advantage of telehealth, and enjoy a host of benefits that many of us simply take for granted.

We all know how the COVID-19 pandemic put a spotlight on our country’s critical need for fast, affordable, and available broadband service. By some estimations, broadband traffic experienced a year’s worth of growth in just a few weeks during the pandemic. Affordable, reliable access, specifically in rural areas, has always been a problem in certain areas of the United States; the pandemic reminded us of just how big a problem it is for many Americans.

The Brookings Institute’s “5 steps to get the internet to all Americans,” sums up America’s rural broadband challenge with this: “Rural Americans do not have high-speed broadband because of the high cost of stringing or trenching fiber-optic cable across empty miles. Paying high capital costs to deliver to only a few subscribers is hard to justify from a business standpoint.”

You may then ask why other solutions that seem more cost effective are not in play here.

“There are multiple ways to provide connectivity to unserved areas,” says the Brookings Institute, “but the principal effort should be for the high-speed, low-latency, future-proofed capabilities of fiber- optic cable.” In short, other solutions cannot provide the level of service desired and needed by these communities.

According to the June 2020 General Accounting Office Report, “Broadband Observations on Past and Ongoing Efforts to Expand Access and Improve Mapping Data,” from 2009 through 2017, “federal investments totaled about $47.3 billion to target broadband infrastructure for rural areas.” Yet, despite billions in government funding over the years, roughly 10% of Americans still don’t have access to a quality broadband network.

Federal funding as a driver for expansion has provided us with a lackluster performance at best. One reason, for example, is the way the FCC defines what they consider “acceptable” service. In order for a company to receive federal funding, the FCC requires that they build a network that delivers only the most basic service. As a result, the FCC has paid billions of dollars over the years for the construction of rural networks that fail to meet the unserved and underserved population.

One solution could be fiber. The beauty of fiber- delivered broadband is that once the network is built, there is no need to run more fiber. Any increases in throughput can be made using the existing fiber. But who pays to run it? For Internet Service Providers (ISP), the revenue opportunities often do not justify the expense of connecting rural communities with fiber infrastructure. However, this problem is simply too costly to ignore for millions of Americans who are being left behind due to this social economic divide.

How can your organization initiate partnerships to address rural broadband gaps?

With the recent success of these pilot programs and increasing government focus, rural broadband initiatives are likely to gain additional support in the coming years. State governments are considering grid transformation projects to be in the public interest and we’re seeing electric utilities already building communication capabilities into the grid. As this momentum continues to build, determining your company’s role in these initiatives is critical for addressing rural broadband gaps. As a starting point, electric utilities may focus on a few key areas.

After this assessment, organizations will likely have a better understanding of how to position themselves to support rural broadband expansion. One key consideration will be prioritization of grid investment and mapping these to underserved rural areas. As companies narrow in on desired locations, initiating partnerships with local third parties will be crucial in establishing success.

Electric utilities should consider how software and tools can support execution when laying the middle mile. Having a work management system in place can help manage projects, track necessary easements, and support landowner communications. Ensuring teams can access one system of record increases collaboration and improves efficiency as program needs continue to grow.