Where's the Broadband? Presentation by the Broadband & E-Commerce Education Center to the Inter-county Coordinating Committee, April 21,2014 Green Lake, WI Green Lake Training Center

1. A P R I L 2 1 , 2 0 1 4
G R E E N L A K E , W I
G R E E N L A K E T R A I N I N G C E N T E R
I N T E R C O U N T Y C O O R D I N A T I N G C O M M I T T E E
Broadband: Where is the
Coverage?

2. Contact Information
Jill Hietpas
Regional Broadband Specialist
Broadband Education and E-Commerce Center
University Wisconsin-Extension
(715) 839-4712 jill.hietpas@ces.uwex.edu
Prof. Andy Lewis
Community Economic Development Specialist
Broadband Education and E-Commerce Center
University Wisconsin-Extension
(608) 890-4254 or andy.lewis@uwex.edu

3. It’s not about getting “The Broadband”
It’s about getting more of the
broadband…
and that job will never be over.

4. Speed Matters…
Dial-up+ (56 Kbps):
 1 day, 10 hrs, 44 min
T1/DSL (1.54 Mbps):
 1 Hour, 15 min
Cable (10 Mbps ):
 11 min, 44 sec
Fiber (1 Gbps):
 7 sec
HighSpeedBroadbandBootCampNovember13-142013

5. Source: Broadband Communities magazine, December, 2013

6. Why Does Any of this matter?
Former FCC Chairman Genachowski
"Winning The Global Bandwidth Race"
“We are in a global
bandwidth race. A nation’s
future economic security is
tied to frictionless and
speedy access to
information”
http://www.fcc.gov/document/chairman-genachowski-winning-
global-bandwidth-race

7. Average Connection Speed: Akamai
http://www.akamai.com/stateoftheinternet/
WI =
8.2
Mbps

8. Broadband Connectivity (>4 Mbps)
WI =
67%

9. High Broadband (>10 Mbps)
WI =
17%

10. Competition Impacts Price
http://www.fas.org/sgp/crs/misc/R43016.pdf

11. So, Where Do We Stand?

12. Next Generation Networks (1 Gbps)
See:
http://broa
dband.uwe
x.edu/blog/
2014/01/mu
ch-gig-
cost/

13. Minimum Broadband Speeds IEDC
Members Felt Were Necessary to Produce Business
Outcomes.
Fewer than
10% believe 4
Mbps is
sufficient for
advancing
their local
economies
http://cjspeaks.com/wp/wp-content/uploads/2014/04/IEDC-2014-report.pdf

14. • Minnesota business establishments that use
broadband report median annual revenues that
are approximately $200,000 higher than
businesses that do not use broadband.
• Nearly 60% of small businesses report that
broadband availability is an essential factor in
making a decision on their location.
Sources:
www.sngroup.com
www.connectmn.org/sites/default/files/learn-sidebar-docs/mn_biz_2012.pdf
Impact On Business…

15. Estimated Annual Cost of Digital Exclusion
(-) $55 Billion U.S.
(-) $1 Billion Wisconsin
www.econsult.com/articles/030810_costofexclusion.pdf

16. A little fuzzy math
 $55.2 billion/316,128,839 = $175 per citizen
 $175 x 5,742,713 (WI Pop)= > $1 billion
 $175 x 62,597 (Sauk Pop) = ~$11 million a
year in cost savings

17. O.K. I Get It….How Are We Doing?

18. Where Do We Have Robust Broadband > 25
Mbps Download?
Source: http://www.broadbandmap.gov/speed

21. Max Adv. Download Speed, Wireline
http://wi.linkamericadata.org/

22. ICC Region: Maximum Wireline Download Speeds

23. Minnesota Fiber Cooperative
For more information see Blandin Community Broadband Program:
http://broadband.blandinfoundation.org/resources/reports-
detail.php?intResourceID=26552

24. Norvado Telephone Cooperative

25. Cooperatives
Cooperatives have been changing the face of doing business for
over 150 years. That's because when you join a cooperative, you're
choosing a business that is organized, owned and controlled by the
very people who use it. And those people can actually help shape
and grow their cooperative to meet the changing needs of members.
Over 100 million people are members of more than 48,000
cooperatives in the United States today. They've organized themselves
to provide goods and services in nearly every sector of our economy.
But that isn't all. Cooperatives are partners in our community, investing
in economic development and human involvement that will keep our
hometowns and rural areas alive and well in years ahead. Working
together, cooperative members are reaching goals they never could
have attained on their own.
Source: Norvado, http://www.norvado.com/norvado-about-what-is-a-
cooperative.php

26. The Vernon County Telephone Cooperative

27. Mosaic (Cooperative): Chippewa Valley

28. Other Examples of Next Generation Broadband
in Rural Wisconsin (Baldwin Broadband LLC)

29. The Internet Economy
“If it were a national
economy, the
Internet economy
would rank in the
world’s top five,
behind only the U.S.
China, Japan, and
India and ahead of
Germany”

30. What is it worth to consumers?
Source:
http://www.bcg.com/documents/file100409.pdf

31. • Retail sales increased by 6.8% between 2006 & 2011
• E-commerce sales grew by 72% during this same time
period (2006-2011)
• E-commerce sales now account for 4.7% of total retail
sales, up from 2.9% in 2006
• 49% of the $5.4 trillion in U.S. manufacturing shipments in
2011 were attributable to e-commerce
Source:
http://www.census.gov/econ/estats/2011/table4.xls
E-Commerce

32. Minnesota Intelligent Rural Community Program
2012:
 <50% of businesses in rural Minnesota had a
website
 Fewer than 20% were using social media
 Less than 10% had claimed their Google
Place/maps page

33. Wisconsin Broadband Dashboard
http://wisconsindashboard.org/console

34. Unmet Broadband Demand By County
Source: http://wisconsindashboard.org/sites/wisconsindashboard.org/files/
DRAFT_WI_IMPACT_MODEL_Jan14_2013_0.pdf

35. Average Persons Per Square Mile by Unmet
Demand Group

36. Comparison of Per Capita Income by Unmet
Demand Group

37. Who Are We Missing?
 ~ 560,000 people in Wisconsin live in areas
where there is no wireline broadband service
from a provider advertising the option of
purchasing a broadband service that delivers at
least 4 Mbps download and 1 Mbps upload
speed
 Just over 50% live in counties that are classified
as high or very high unmet demand based on
the Wisconsin broadband demand survey.

38. Total Construction and Five Year Operations
Cost of Filling Wireline Gaps

39. Wireline Upgrade Cost Per Capita

40. Wireline Upgrade Cost Per Beneficiary

41. Should We Really Be Looking at the Cost of
Upgrading Copper Infrastructure?
“The Company’s copper plant needs to be
replaced. There is broadband provided in the
Company’s rural Service area today, but the
plant in the rural areas is starting to deteriorate. It
was built many years ago with the help of the RUS
loan program and USF support. With fewer people
taking landlines and no federal support there is no
economic justification to rebuild these locations.
The funding that the Company is seeking will
ensure these customers are not left behind in the
IP transition”

42. TotalConstruction and Five Year Operations
Cost of Filling Wireless LTE Gaps

43. What is the Return for the $1 Billion+
Investment?

44. Understanding Supply and Demand
Consumer Survey and Public Service Commission Links
 Wisconsin Broadband Planning Site: http://wisconsindashboard.org/
 Map: Statewide map showing broadband availability and options
to view locations and data of survey respondents (pins on the
map)
 InfoGraph: data, graphs and tables that show results from
broadband residential and business demand surveys.
 Dual Map Feature: Enables a view of two maps with different
data and/or time vintages

45. ICC Wired Broadband
Columbia County Dodge County

46. Columbia County
Wired
Fixed Wireless
Mobile Wireless

47. Columbia County Demand
Residential Business

48. Dodge County
Wired Fixed Wireless Mobile Wireless

49. Dodge County Demand
Residential Business

50. Green Lake
Mobile WirelessFixed WirelessWired

51. Green Lake Demand
Residential Business

52. Jefferson
Mobile WirelessFixed WirelessWired

53. Jefferson County Demand
Residential Business

54. Marquette Broadband
Mobile WirelessFixed WirelessWired

55. Marquette County Demand
Residential Business

56. Sauk County Broadband
Mobile WirelessFixed WirelessWired

57. Sauk County Demand
Residential Business

58. County InfoGraphs
 Data and Charts from Demand and Business
Survey Responses
1. Go to http://Wisconsindashboard.org
2. Click on Broadband Council
3. Click on Infograph

59. Select CountyTechnology/DemandSubmit

60. CAI Broadband (Columbia County)

61. BAT: https://apps.costquest.com/bat/home

62. For purposes of this discussion there are two defining applications:
• Out of state/region businesses considering site options
• Communities collecting data and telling their story…which is
today’s focus.
“The emerging broadband market is
at times poorly informed…from both
the supply and the demand side of
the conversation. Businesses struggle
to understand and articulate their
requirements and providers are
challenged to identify specific
demand as it changes so quickly.”
62
Understanding Demand with the BAT

63. Bandwidth Assessment Tool Overview

64. Areas of Assessment
• Current service – location, current speed, type of service, etc.
• User profile – concurrent users, PCs/tablets, avg hours use per user, VOIP,
etc.
• Video – streaming time, minutes down/up loading, avg video use per user,
etc.
• Social Media – concurrent users, time on media per user per day, etc.
• Audio – streaming time, minutes down/up loading, avg audio use per
user, etc.
• Online apps and gaming – concurrent users, avg online app hours per user,
etc.
• Basic web – concurrent users, number sites per user per day, email/attm
qty, etc.
• Data files, smart phones/tablets – software installs/updates per month,
64
The Survey

65.  Assessed Bandwidth Needs
 Download/Upload Usage
 Application Usage
The Assessment Report

66. Mobile Pulse: A Crowd Sourcing App
Colter.Sikora@wisconsin.gov

67. Testing Mobile
Broadband
March-November 20th,
2013 tests: ~7,000
Tests, November
1 – 19
Colors represent
individual
phones.

68. Testing Mobile
Broadband
March-November 31th,
2013 tests: 22,519
Tests, November
1 – 19
Colors represent
individual
phones.

69. Testing Mobile
Broadband
March-December 31st,
2013 tests: 42,939
Tests, November
1 – 19
Colors represent
individual
phones.

70. Testing Mobile
Broadband
March 2013-January 31st,
2014 tests: 66,791
Tests, November
1 – 19
Colors represent
individual
phones.

71. Testing Mobile
Broadband
March 2013-January 31st,
2014 tests: 66,791
Tests, November
1 – 19
Colors represent
individual
phones.

72. Words of Wisdom…
In 1999, Wisconsin’s Comprehensive Planning Law
(§66.1001 Wisconsin Statutes) required that every
municipality in the state that wished to have a
say in land use decisions approve and adopt a
comprehensive plan prior to January 1, 2010. That
law also requires an update to the plan every ten
years at a minimum.
Utilities & Community Facilities Section
Economic Development Section

73. Coming Up…
APRIL 24: UWEX High Speed Bits
“Broadband and K12” with guest Kurt Kiefer,
WI DPI 2—2.30PM CST
Toll Free 1-866-244-1129
Passcode 7668 732#
JULY 8: PSC 2014 Broadband Planning
Symposium Monona Terrace
Pscbroadbandplanningsymposium@wisconsi
n.gov
Recorded Webinars:

74. Questions?