Electricity is not in any sense a necessity, and under no conditions is it universally used by the people of a community. It is but a luxury enjoyed by a small proportion of the members of any municipality, and yet if the plant be owned and operated by the city, the burden of such ownership and operation must be borne by all the people through taxation. Now, electric light is not a necessity for every member of the the community. It is not the business of any one to see that I use electricity, or gas, or oil in my house, or even that I use any form of artificial light at all.
Community Broadband Bits 26 - Josh Wallace, Palo Alto
This week, Josh Wallace from the City of Palo Alto Utilities joins us to talk about the City's dark fiber network for episode 26 of the Community Broadband Bits Podcast. Josh describes how the dark fiber network connects businesses, offering incredibly high capacity connections at affordable flat rate pricing.
The utility charges an upfront fee to make a dark fiber connection, which means that nearly all the ongoing revenues are net income. It is a very good business to be in, both for the utility and local businesses that would have to pay much more for their connections if the City did not offer the dark fiber option.
Despite its success in dark fiber, Palo Alto is not poised to offer any lit services -- which would dramatically increase the potential number of customers. The main reason appears to be the difficulty of competing with the nation's largest cable company, Comcast. Its massive footprint allows Comcast to engage in predatory pricing and other anti-competitive tactics to ensure competitors have a miserable life. Though some cities, Chattanooga especially, have done very well competing against Comcast (one of the nation's most hated corporations year after year), other communities are simply unwilling to engage in what can be a brutal fight.
We want your feedback and suggestions for the show - please e-mail us or leave a comment below. Also, feel free to suggest other guests, topics, or questions you want us to address.
Listen to previous episodes here.
Thanks to mojo monkeys for the music, licensed using Creative Commons.