HUNTSVILLE, Ala. -- Networking company Adtran said that more than 200 communities have used its networking gear to deploy 1-Gig broadband services to consumers and enterprises. According to company executives, Adtran achieved that 200-community figure earlier than anticipated. Originally its goal was to outfit 200 communities by year-end 2015.
Interestingly a Fiber-to-the-Home (FTTH) Council study has found that communities with widely available gigabit broadband access experience a 1.1 percent higher per capita GDP than areas without 1-Gig services. In addition, the study found that communities with access to fiber also saw home values increase up to 3.1 percent.
According to Jay Wilson, SVP of technology and strategy at Adtran, the company has found that municipalities are struggling to keep up with neighboring cities, which is key to keeping their residents satisfied. "We talk to municipalities that are trying to keep their population base satisfied," Wilson said. "They need this for economic development and social change."
Wilson also said the company has surveyed customers about the biggest drivers for offering gigabit services and found that 63 percent said it was important for future customer demand and applications, 45 percent said it was necessary to remain competitive, 42 percent said they had to offer gigabit services for customer retention and 37 percent said they needed it to differentiate from their competitors.
Wilson noted that service provider want to put fiber everywhere but the challenge is to make it cost effective. "FTTP deployments are meeting cost points. The business case is proving out," Wilson said. "But the challenge is it takes too long."
In the second quarter, Adtran reported that it saw an increase in broadband infrastructure activity in the U.S. from operators that were seeking to position themselves competitively and were using Connect America Funds to accelerate their fiber deployments.
- see this press release
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