James “Jim” Capuano has logged over 30 years in the telecommunications industry. And he's the CEO of Horizon, a service provider with more than 125 years of telecommunications experience.
I recently asked Jim to share some of his knowledge on TeleGeography Explains the Internet. In this episode, we view middle mile problems and solutions from a provider perspective and discuss how the middle mile is developing in the current WAN environment.
Then we turn our focus to the digital divide. Why do we need to bridge it and how?
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Key Takeaways
Bridging the Digital Divide Requires Infrastructure
Bridging the digital divide involves addressing both middle mile (connecting communities) and last mile/local access (connecting individual homes and businesses).
Companies like Horizon, which have a history as a local phone company and now build extensive fiber networks, play a crucial role in this effort. Fiber-to-the-premises is considered the "gold standard" for future-proof connectivity due to its high bandwidth capabilities and low latency, which provides a significantly higher quality of service compared to technologies like twisted pair or coaxial cable with shared networks.
Obstacles Exist in Fiber Deployment—Particularly Cost and Time
A major challenge in expanding fiber access is the high cost to build and the time it takes.
The make-ready process, which involves preparing utility poles for new cables, is highlighted as particularly difficult, taking longer and being more expensive than anticipated, even after regulatory changes intended to streamline it. This high cost per mile makes the business case difficult in areas with lower customer density. Laying cable underground is another expensive and time-consuming alternative. These economic and logistical barriers make it hard to bridge the divide in certain areas.
The Digital Divide is Not Just a Rural Problem!
The digital divide is described as a "national problem," not limited to rural areas; accessibility issues are present in plenty of downtown urban locations due to complex infrastructure and economic factors.
While there is significant investment from both private money and government initiatives, this effort is planned over a long cycle. Even with substantial funding, it's acknowledged that areas will likely remain where fiber is not economically feasible, suggesting that alternative technologies like low orbit satellite may continue to be important in the most remote locations. Progress will be made, but it will take a "really long time."
Greg Bryan
Greg is Senior Manager, Enterprise Research at TeleGeography. He's spent the last decade and a half at TeleGeography developing many of our pricing products and reports about enterprise networks. He is a frequent speaker at conferences about corporate wide area networks and enterprise telecom services. He also hosts our podcast, TeleGeography Explains the Internet.
