In the case of muni systems, which are not-for-profit enterprises, one measure of “success” is defined as the level of their “take rate” – that is, the percentage of potential subscribers who are offered the service that actually do subscribe. Nationwide, the take rates for retail municipal systems after one to four years of operation averages 54 percent. This is much higher than larger incumbent service provider take rates, and is also well above the typical FTTH business plan usually requiring a 30-40 percent take rate to “break even” with payback periods.
Unraveling the Public-Private-Partnership in San Leandro - Community Broadband Bits Episode #47
The city of San Leandro has formed a partnership with a local company now named Lit San Leandro to expand business access to the Internet. We talk with San Leandro's Chief Innovation Officer Deborah Acosta and Judi Clark, a consultant with Lit San Leandro, to learn more about their approach.
San Leandro already had conduit assets and Lit San Leandro is pulling fiber through it for the deployment. In return, the City is getting both attention for its 10Gbps service availability and many strands for its own use.
Rather than simply making dark fiber available, which is most helpful to technically savvy firms, Lit San Leandro is working with ISPs that can take advantage of the dark fiber to deliver services to other customers that don't have the capacity to take advantage of dark fiber directly.
We also discuss policies around conduit placement and how to build a healthy tech and innovation system.
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.
Thanks to Eat at Joe's for the music, licensed using Creative Commons.