The Buildout: Tennessee doles out millions for broadband; IQ Fiber live in Gainesville

The state of Tennessee this week awarded $162.7 million in broadband and digital opportunity grants, including $97.2 million for middle- and last-mile broadband infrastructure that will provide access to more than 23,000 locations in 37 counties. Last-mile funding went to Spectrum Southeast ($11 million) and Brightspeed ($6.8 million), as well as ETC Communications ($2 million) and Tennessee Valley Electric Cooperative ($3.6 million). Middle-mile funding went to Newport Utilities ($15.2 million), Ben Lomand Communications ($14.6 million), United Communications ($7.9 million) and Spectrum Southeast ($988,249), among several others. While it wasn't noted in the governor's office press release celebrating the distribution of funds, the state's broadband grant funding comes from the federal government's American Rescue Plan. As further noted in an article about the funding by local publication Heartland Signal, "Tennessee Gov. Bill Lee (R) announced a $163 million investment to expand broadband high-speed internet access, using federal money from the American Rescue Plan that he opposed in 2021 ... When Tennessee received billions in federal funding from Democratic-written bills in 2021, Lee said at the time his state 'didn't need it.'" Tennessee will also receive $813.3 million from the Broadband Equity Access and Deployment (BEAD) program.

Blue Suede Networks, owned and funded by investment firm Meridiam, has started construction on a citywide fiber network in Memphis, Tennessee. Blue Suede will develop, build and manage the network, and Ting will serve as the network's ISP partner, with services expected to launch in Q3 2024. According to a press release, the network will "pass at least 85% of Memphis premises including 85% of the City's low-income premises." According to census data, there are more than 254,000 households in Memphis.

GoNetspeed has completed its network installation in Pinson, Alabama, where it started construction in fall 2023. The company invested $1 million to build out fiber in the region, reaching 1,000 residents and businesses, according to a press release. GoNetspeed is funded by Oak Hill Capital.

Spectrum launched services for 1,300 homes and businesses in parts of rural Lincoln County, Missouri; specifically, near Famous, Moscow Mills, New Hope and Troy, Missouri. The company received funding for that network build through the FCC's Rural Digital Opportunity Fund (RDOF).

IQ Fiber has activated its network in Gainesville, Florida, offering symmetrical gigabit speeds. The company started construction in the Florida regions of Gainesville and Alachua County in fall 2023. According to the latest press release, the company has increased its investment in the region to $50 million, up from $40 million initially. IQ Fiber is backed by SDC Capital, which invested $150 million last year in follow-on equity funding. In a May 2023 press release about that funding, IQ Fiber said it is "on track to deliver its Phase 1 target of 60,000 serviceable homes across metro Jacksonville and four counties in Northeast Florida" and that the new funding will support further network growth.