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This week in broadband builds: Connecticut awards $28 million to four providers (but mostly Comcast); GoNetspeed expands in Kennebunk, Maine; Race Communications connects initial customers in Palmdale, California – and more.
The Buildout is a column from Light Reading tracking broadband network deployments. This week we're tracking new construction, awards and service launches reaching over 48,000 locations across the US. Send us your news at [email protected]. Keep up with every installment of The Buildout here.
Connecticut awarded $28 million in grants for broadband projects that will benefit 3,320 locations across 88 cities and towns "including 26 on the state's Distressed Municipalities list," according to a press release. Funding went to four providers, with Comcast winning most of it ($21.26 million) in a single grant, to cover 2,099 locations across 75 municipalities statewide. Other funding recipients included Frontier ($3.85 million across seven grants); Verizon ($1.8 million) and GoNetspeed ($1 million, two grants). Funding for these projects was awarded from Connecticut's share of capital projects funds via the American Rescue Plan.
GoNetspeed's network is now available for more than 3,000 homes and businesses in Kennebunk and Kennebunkport, Maine. The company started construction on a privately funded $2 million fiber deployment in the region last March and then launched for an initial 2,000 locations in November 2023. GoNetspeed is funded by Oak Hill Capital.
Race Communications – an ISP in California – is connecting initial customers in Palmdale. In a press release, the company said it is building out to 6,000 locations during this first phase of construction. Launched in 1994, Race Communications is funded by Oak Hill Capital through an arrangement formed in 2020. In September 2024, Race Communications announced that it secured $500 million in additional capital from Oak Hill Capital as well as AB Private Credit Investors, in order to "support Race's ambitious plan to extend its FTTH network to as many as 1 million locations throughout California over the next several years," according to a press release.
Metronet has announced plans to bring its fiber network to Grand Haven, Michigan. The company will invest nearly $5 million and will start construction "shortly," according to a press release, with the first connections to come online next summer. Metronet is in the process of being acquired through a joint venture formed by T-Mobile and existing Metronet investor KKR. Metronet's other investor, Oak Hill Capital, will retain a minority stake.
Consolidated's Fidium Fiber announced new construction and service launches in various regions. In Maine, the company launched its network for more than 1,600 homes and businesses in the Somerset County communities of Bingham and The Forks. Fidium Fiber also started construction in Westbrook and Gorham, where it's working to connect 8,700 homes and businesses. Moving over to New Hampshire, Fidium Fiber launched services for more than 3,800 homes and businesses in Sunapee, Newbury and New London.
Indiana last week awarded $1.5 million to eight local providers to deliver broadband to 326 locations across 34 counties. The biggest award went to Surf Internet ($998,400) to reach 208 locations. Additional grants went to Mulberry Telecommunications ($196,800) and PSC Fiber ($149,208), among others.
TDS said it finished initial construction on a fiber network expansion in parts of rural Maine. Work began on the project in 2022, and the network is now available for 22,000 homes and businesses across two dozen communities, according to a press release. TDS further said it will "continue its efforts to upgrade more locations in its Maine service area through the federal Enhanced Alternative Connect America Cost Model (E-ACAM) program, which supports the company's ability to make long-term investments to improve rural broadband." E-ACAM is supported by the Universal Service Fund (USF).
The USDA this week announced a fifth round of grants and loans for broadband through the ReConnect Program, making $173 million available to connect rural residents, businesses and farms in nine states, including Alaska, Arkansas, Arizona, Kansas, Montana, North Dakota, New Mexico, Oregon and Virginia. Funding went to local telcos and cooperatives, including Western New Mexico Telephone Company ($44 million), Roosevelt County Rural Telephone Cooperative ($29 million) and Mountain View Telephone Company ($25 million), among others. According to a press release: "Since the beginning of the Biden-Harris Administration, 2.4 million American homes and small businesses have been connected to high-speed internet for the first time, and the Department has invested more than $4 billion for 345 ReConnect projects that will bring high-speed internet access to more than 600,000 people in the most rural and remote areas of America." All ReConnect builds have a five-year timeframe.
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