In the City of Sherwood, a mostly residential bedroom community 16 miles south of Portland, officials have been quietly cultivating a digital vineyard across Oregon’s “Gateway to Wine Country.”

As part of its on-going work to build out a citywide fiber network, Sherwood Broadband recently secured a $9 million grant from the Oregon Broadband Office Broadband Deployment Program (BDP) to continue expanding Sherwood’s municipally-owned network into neighboring rural communities just outside city limits.

The grant award is part of $132 million in federal Rescue Plan funds the state is doling out to an array of community-owned broadband initiatives for 16 projects across 17 counties.

Award winners include Beacon Broadband, a subsidiary of the Coos-Curry Electric Cooperative ($19.4 million); Jefferson County ($19.2 million); Douglas Fast Net, a wholly-owned subsidiary of the Douglas Electric Cooperative ($8.5 million); the Idaho-based member-owned cooperative Farmers Mutual Telephone Company, which offers broadband service in Malheur County, OR ($18.9 million); and a handful of independent providers like Blue Mountain Networks ($6.5 million) and Ziply Fiber ($10.2 million), recently acquired by Bell Canada.

The Oklahoma Broadband Office (OBO) says local providers have broken ground on several new grant-fueled fiber projects designed to provide high-speed Internet access to long unserved or underserved communities across wide swaths of the Sooner state.

According to two different announcements by the state’s broadband office, the OBO recently greenlit $65.9 million in new fiber expansion initiatives in the Southern part of the state, as well as another $24.6 million in deployments for the northern-central part of the state.

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The fiber upgrade projects were made possible via $158 million in Capital Projects Fund grants made possible by the 2021 American Rescue Plan Act (ARPA). The grants are expected to help fund more than 50 projects in 28 counties.

In the Southern part of the state, $43.2 million in federal grants – plus $22.8 million in matching funds – will connect over 2,000 unserved homes and businesses in partnership with Medicine Park Telephone, Oklahoma Fiber Network, Oklahoma Western Telephone, Phoenix Long Distance, Southern Plains Cable, Southwest Oklahoma Telephone, and Texhoma Fiber.

New York State officials have unveiled the first round of broadband deployment grants made possible by the state’s $100 million Affordable Housing Connectivity Program (AHCP), which aims to drive affordable fiber and Wi-Fi to low-income state residents trapped on the wrong side of the digital divide.

As part of the program, the state recently announced it will be spending $13.1 million to connect 14,167 lower income residents across Buffalo, Rochester, upper Manhattan and the Bronx with both affordable gigabit-capable fiber – and low cost Wi-Fi.

Flume, the partner ISP chosen by the state, will offer residents the choice of three broadband tiers: 100/20 megabit per second (Mbps) fiber for $10 per month, symmetrical 200 Mbps fiber for $15 per month, and symmetrical 1 gigabit per second (Gbps) fiber for $30 per month. All three subsidized fiber options will be locked at that price point until 2034, according to the state.

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“In today's digital age, access to reliable, affordable high-speed Internet isn't just about convenience – it's about ensuring every New Yorker can participate fully in our modern economy and society,” New York Governor Kathy Hochul said of the new grants. “Through these strategic investments, we're not only installing fiber and infrastructure, we're opening doors to education, healthcare and economic opportunity.”

Faster, Better, Cheaper

North Carolina’s Roanoke Cooperative continues to make steady progress with expansion of its Fybe last mile fiber network within The Tar Heel State.

Cooperative officials tell ILSR that the cooperative and a coalition of organizations across North Carolina have major expansion plans in the works, starting with a fiber build in Halifax County, population 47,298.

Currently, Fybe provides fiber broadband service to around 6,000 subscribers in North Carolina, but thanks to an historic infusion of federal and state grants, the hope is to expand fiber access to the bulk of unserved addresses county-wide.

Fybe COO Bo Coughlin tells ILSR that the lion’s share of the cooperative's upcoming efforts to bring affordable connectivity to unserved and under-served portions of North Carolina will be under the banner of a coalition dubbed Encore, a nonprofit collaboration between MCNC, North Carolina Electric Membership Cooperatives (EMC), and Fybe.

“MCNC has been around for 40 years,” Coughlin notes. “It started as an economic Development institution funded by the state. Their goal was originally to help birth the microchip industry in RTP down in Raleigh, but today they provide transport to around a hundred universities, charter schools, and community anchor institutions across nearly 100 counties.”

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Back in April, Fybe won a $9 million Growing Rural Economies with Access to Technology (GREAT) grant to help bring fiber to the largely underserved, heavily-rural residents of Martin, Bertie, Halifax, and Hertford counties.

“So currently, we pass about 5,000 total homes across Northampton and Halifax,” Coughlin said of Fybe’s current footprint.

States wary about the restrictions and delays with looming federal broadband grants are poised to put significant taxpayer resources into Starlink and other low Earth orbit (LEO) satellite constellations. The problem: such services often aren’t affordable, raise environmental questions, and may struggle to keep pace with consumer capacity demand.

Back in March, Maine unveiled a $5.4 million initiative to offer Starlink Low Earth Orbit (LEO) terminals to 9,000 state residents outside the reach of broadband from existing terrestrial providers.

An estimated 9,000 locations in the state (1.5 percent of residents) have no access to broadband, mostly peppered across rural Oxford, Penobscot, and Aroostook counties.

While well intentioned, the state’s initiative immediately sparked a debate about whether Starlink is the best use of taxpayer resources.

Starlink May Be Part of Solution

LEO satellite broadband has understandable allure for state broadband offices tasked with showing the federal government they have a solution for every premise – household and business – in the state. Depending on geography and state, some of these locations may require $100,000 for a terrestrial wireline connection.

Many of these unserved locations may be inhabited for a few weeks a year by the family of billionaires or 52 weeks a year by a family barely able to afford the fuel to live there. Spending $100,000 on that household may mean tens of other households see no improvement or have to settle for worse technology. And depending on who you ask, NTIA either demands that the state actually connect that household or simply have a feasible plan to achieve that connection.

New York’s Municipal Infrastructure Program (MIP) continues to provide grant funds to build municipal broadband networks across the state, as state broadband officials recently announced the program’s largest round of funding to date.

As we reported in June, the MIP program – specifically designed to fund municipally-owned networks as part of the Empire State’s $1 billion ConnectALL initiative – awarded $70 million to a half dozen projects earlier this summer.

Then, earlier this month, another $140 million in grant awards were announced for an additional six projects, promising to deliver “more than 1,200 miles of publicly-owned fiber optic infrastructure and wireless hubs, connecting (passing) over 60,000 homes and businesses with affordable, symmetric service – offering equal download and upload speeds at rates below regional averages.”

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The funding will be used to expand broadband infrastructure (and seed competition) in the Central New York, Finger Lakes, Mohawk Valley, North Country, Mid-Hudson and Western New York regions.

In a prepared press statement, New York Gov. Kathy Hochul characterized the grants as “a transformative step forward in our mission to connect every New Yorker to affordable, high-speed Internet.”

Erie County, New York’s ErieNet broadband initiative is poised to begin construction in Buffalo, NY, after the Buffalo Common Council recently passed a resolution approving the Telecommunications License Agreement with ErieNet LDC. The approval is a major step toward bringing affordable next-gen broadband access to long-neglected parts of Western New York.

ErieNet is a nonprofit, local development corporation (LDC), launched in September 2022, designed to construct and manage a municipal-based open-access fiber optic backbone. ECC Technologies has been chosen to handle sales, marketing, and tech support operations for the network.

“Construction has already begun for ErieNet with underground conduit installations, and utility work necessary to make utility poles ready for ErieNet fiber optic cable attachments,” ECC Technologies’ VP Matthew Crider tells ISLR. “We expect segments of our network to come online beginning in March of 2025; and have the ErieNet 400+ mile open access network substantially built by the end of 2025.”

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“Bringing high-quality broadband to Erie County begins in the City of Buffalo, and the Common Council’s approval opens up the way to make that happen,” Erie County Executive Mark Poloncarz said in a prepared statement.

Crider told ILSR that the current construction budget for the network is approximately $34 million, funded through American Rescue Plan Act (ARPA) broadband grants.

Canada’s biggest telecom giant has acquired Ziply Fiber – and a sizable swath of municipal operation agreements for open access fiber scattered across the Pacific Northwest. Bell Canada and Ziply’s joint announcement indicates that the full deal will be around $5 billion Canadian, plus an additional $2 billion in acquired debt.

The acquisition could help accelerate Ziply’s planned expansion across the Pacific Northwest, where the company’s fiber network currently passes 1.3 million locations across Montana, Idaho, Oregon, and Washington State.

At the same time, Bell Canada’s history of anti-competitive behavior could herald a culture shift at the ascending provider. Ziply and Bell Canada’s rapid-fire acquisition of smaller providers across the Pacific Northwest could also risk undermining the pro-competitive benefits of the kind of open access policies Ziply previously embraced.

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Ziply was formed when WaveDivision Capital purchased Frontier Communications’ Pacific Northwest operations in 2020. It has quickly become a major player across the four states thanks in part to numerous public private partnerships with municipalities, and a 2022 announcement of $450 million in new private sector funding.

Though Northampton, Massachusetts residents still broadly support the construction of a city-owned municipal fiber broadband network, city officials are celebrating the arrival of Gateway Fiber, which will soon be delivering a more affordable fiber option, and more broadband competition, to the traditionally underserved city.

Gateway Fiber recently unveiled plans to deliver multi-gigabit speeds to large swaths of the city. The company, which will finance the entirety of the build, says it’s already invested $3 million in the project so far.

It’s a welcome arrival for a city that’s been frustrated by substandard service provided by regional telecom monopolies, and flirting with the idea of its own municipal broadband network for the better part of the last decade. Some of the city’s efforts on this front have made it easier for providers like Gateway to serve the city of 29,000.

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“While we don’t have a final cost estimate for the project, it will be a multi-million-dollar investment that will benefit both residents and small businesses in the Northampton area,” Gateway Fiber representative David Workman tells ILSR. “The project is 100 percent funded by Gateway Fiber, and we are also exploring grant opportunities that can be used to address digital equity.”