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NG KIH / I Way

UK Analytics & Technologies Service Showcase 2015

August 6 , 2015

Presented byFinance and Administration Cabinet

Commonwealth of Kentucky

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The Washington Post – June 24, 2015

Source: http://www.washingtonpost.com/blogs/govbeat/wp/2015/06/24/the-state-of-broadband-in-the-states-in-2-maps/

Broadband capacity grew slightly across the country in the first quarter of this year.

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The Washington Post – June 24, 2015

Source: http://www.washingtonpost.com/blogs/govbeat/wp/2015/06/24/the-state-of-broadband-in-the-states-in-2-maps/

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Average Peak Broadband Speedfor 104 countries

and states

98.5 Mbps

36.7 Mbps

Broadband Speed Comparison to Other Countries

Singapore tops the list Delaware is top U. S. state at 85.6 Mbps

Chile is at the bottom,Kentucky is at 37.1 Mbps & dead last for states

Source: Akamai Technologies State of the Internet report, Q1 2015

Limited high capacity fiber

Kentucky is 47th in the nation for broadband availability

23% of Rural population has no access vs. 1.5% in Urban areas

Only 30% of Eastern Kentucky households adopt broadband vs. 60% urban adopters at the Federal Communication Commission’s previous standard speed of 3 Mbps

Gap widens with the FCC’s new standard speed at 25 Mbps

Accessibility + Adequate Speeds + Affordability + Awareness = ADOPTION

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Current State of Broadband

Middle Mile Network

Middle mile, a physical system of fiber optic cable that will allow broadband service to be brought closer to communities.

Think of KentuckyWired as an interstate highway system, connecting the worldwide Internet to “exit ramps” closer to a community.

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What & Why?

Why do we need KentuckyWired?• Ranked 47th in nation for speed & capacity• Disadvantage for attracting/growing new opportunities• Broadband now an essential service • Too expensive for private companies to build out across

entire state

 

What is KentuckyWired?• Physical fiber optic network• Commonwealth responsible for investing/building

middle-mile • Open access network different from other state

networks

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Conceptual Network Design

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KentuckyWired Is…

• A state-owned physical fiber optic network; conduit for transmitting data.

• Open access; providers can connect equipment to KYW & build fiber to homes and businesses in a community.

• Wholesale provider of network capacity to providers; frees providers to invest in extending local fiber networks & growing their customer base.

• Presence in all 120 counties.

• Combining public and private funding resources.

IS...

• An Internet service providerto individuals.

IS NOT…

• Building fiber to individual homes or private businesses.

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Vendor Commitment

100+ Crews statewide

60% Local labor

8-12 % Minority hire

~$175M Kentucky contracts

Jobs

Construction phase through 2018• ~690 FTEs (at Peak)

Engineering Construction Management Field Crews

Jobs through life of the contract

• ~20 FTEs Executive Engineering Management Administration Skilled Technicians

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Private Partners

• State government has taken the lead to invest in broadband infrastructure.

• By owning the KentuckyWired network, state government serves itself.

• Excess capacity available to regional and local providers allowing them to expand their customer base.

• Kentucky will have a world leading network for speed and capacity.

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Key Points

• Provide step by step guidebook to help local leaders :• Bring last mile service to their communities • Obtain federal funding

Appalachian Regional Commission Grants Community Connect thru Rural Utilities Service Grants Rural Utilities Service (USDA Rural Development) Loans

• Establish contracts to assist with planning and implementation of new community programs

• Create or expand Internet Access Centers (pilot project) Libraries Community Technology Centers

• Engage local private sector partners and local government

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Concurrent Efforts Underway

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December 23. 2014 Press ConferencePromote Economic

Development

Enhance Education, Research

Capabilities

Improve Government

Service Delivery

Enhance Public Safety

Improve Health Care

Enhance Connectivity for

Libraries, Communities

Create Scalable Network for

Future Growth

A Shared Vision & Goals

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WebsiteKentuckyWired.ky.gov

EmailKentuckyWired@ky.gov

Telephone(502) 782-9549

Project Contact Information