Wade4Wireless Podcast

Wade4Wireless Podcast


Smart City Broadband Initiatives Part 1 - Wade4Wireless Podcast

November 06, 2017

This is part one of a three-part series. This has been taken from my upcoming book, Smart City Use Cases, with Smart City Development Notes.
Smart City Broadband Initiatives
Are you curious about some broadband initiatives that are out there? Some broadband case studies that are have rolled out? What broadband initiatives have been successes and failures? What works better, the city owning it or a public-private partnership or private only?
I am always saying that broadband is the foundation of any smart city. Someone shared the Next Generation Network Connectivity Handbook. It’s publication by Gig.U, and it can be downloaded from http://www.gig-u.org/. Gig.U is a group that encourages the partnerships between cities and universities. They did a great job of putting together this document, published in December of 2016, showing past case studies of gigabit deployments in both wireless and wired. They cover success and failures.
Here is an outline of some of what is in this document, I highly recommend downloading it, after all, it is free!
First off, the make the point that CapEx and OpEx must be lower than the revenues coming in and it should be serving a purpose for the users. Pay attention, Value and Profit make the system sustainable! Value and profit make the system growable! It has to make money! That is something that most cities overlook because they think that the benefit will outweigh the revenue, but it will not. Revenue matters in the long run and the benefits matter up front. Up front we want buy-in and residents to love it. In the long run, we

need sustainability, so it does not bleed money in expenses.
Does it solve a problem for the
residents? So, they see the value in it? Will they pay for it? When you start a business, you need to answer these questions. Figure out the price point. Some cities can put a tax out there to pay for the system, but that is not popular in most cities.
One example that I love in this document is the cable companies. They saw broadband up to 1 Gbps as silly, but they really didn’t want to upgrade their system unless they had too. Guess what? They had to! BUT, after they got competition in first form the likes of Verizon, AT&T, and Google running fiber all over the place for a very reasonable cost to the consumer. It paid off. Now all the cable companies are touting higher speeds. They see value because they were losing market share. That’s amazing when you realize they had a monopoly for years in their neighborhoods. They had no competition, but the need for broadband and cheaper video hurt them. They thought they could control the market, but in the USE the market started swinging back with DirecTV and fiber competitors. They suddenly have to be strategic.
OK, let’s get back to the business of broadband. Once you build it, expect competition! If your business model works then more and more people will do it, just look the cable companies. While they had a monopoly for years, they got lazy. Now they have competition, and it’s hurting them. Not just from fiber, most of the younger generation realized that they have a smartphone that can do anything the cable company can do, so why pay for both? Get the picture? The landscape has changed, and if you just look at other companies that do what you do, then you only see part of the competitive landscape.
This is happening with everything because broadband is the pipe to end all pipes. It could be through fiber or wireless, but the internet has opened doors to everything unless you live ...