Municipal Broadband in Cambridge: Feasibility and Business Model Options

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The City of Cambridge's (MA) comprehensive year-long municipal broadband feasibility study. The report examines the feasibility of the City of Cambridge implementing a municipal fiber-to-the-premises (FTTP) service, providing a detailed FTTP design and cost estimate, and a range of business and financial models for building, operating and providing service to all premises in Cambridge. The City of Cambridge partnered with nationally recognized firms, CTC Technology & Energy (CTC) and Rebel Group (Rebel), to conduct the study. The Municipal Broadband in Cambridge report explores several key findings, including:

  • Constructing an FTTP network to reach all 52,300 residences and businesses in Cambridge would cost an estimated $124 million to $161 million in 2022 dollars or $149 million to $194 million when considering inflation.
  • A citywide FTTP network would likely require a significant capital contribution to be financially feasible, including a $150 million upfront City contribution, based on relatively conservative assumptions, including that 40 percent of premises subscribe.
  • There are several business models that the City could explore, each impacting Cambridge’s contribution differently depending on the type of partnership and a variety of business factors.
  • Once the City reaches a decision to move forward on exploring a specific option, there are 18 to 24 months of key activities and decision points before the City would formally decide to execute a specific implementation project.

Municipal Broadband in Cambridge: Feasibility and Business Model Options