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Broadband Delivery Models

Broadband Delivery Models. Three Models. Private Sector Municipal Public/Private Partnership. Private Sector. Return on investment driven Infrastructure investments Types of services Price Competition for services in urban and suburban - lower cost

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Broadband Delivery Models

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  1. Broadband Delivery Models

  2. Three Models • Private Sector • Municipal • Public/Private Partnership

  3. Private Sector • Return on investment driven • Infrastructure investments • Types of services • Price • Competition for services in urban and suburban - lower cost • Limited service at higher cost in rural and central cities

  4. Private Sector – Closed Network • Service provider focused - Network owner/operator determines what services are delivered • Owner/operator delivers broadband connection and determines what services will be offered (ISP, VOIP, Video) • Connection cost based on amount of bandwidth; higher bandwidth = higher cost

  5. Municipal Model • Government utility – • Single Municipality - Normally only found in municipalities that have existing electric or phone utilities • Regional Authority (Utopia, Iron Range) • Wireless hot zones

  6. Municipal Model Pros • Provider of last resort in underserved areas • Leverage existing resources Cons • Private sector resistance to competition • Incumbent pressure to legislate against municipal delivery of broadband • Capital risk associated with starting a new government enterprise • Service area geographically limited

  7. Public Private Partnership • Government represents public partner • Right of way in exchange for expanded service and upgraded services • Private sector owns and operates the network infrastructure Private sector owns the customer • Pros: Better service • Cons: Service limited by municipal boundaries; Closed network

  8. Open AccessPublic Private Partnership • Private non-profit represents public • Public entities participate as members • Private sector owns and operates the network and delivers services • Non-profit owns the customer • Pros: • Community drives availability of network services • Operator Independent Network – lower cost of entry of service providers

  9. Operator Independent Networks • Consumer focused – Consumer chooses services and providers • Network ownership and operation separate from services (may be private or public) • Private sector delivers services (IP, VOIP, video, accounting, remote monitoring, video teleconferencing, remote back-up etc.) • Consumer

  10. Southern Rural Development Center Connecting Rural Communitieswww.ConnectingCommunities.info Connecting Rural Communities

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