UTOPIA Fiber, operator of a Utah-based, community-owned Open Access fiber network this week said it made fiber available to 26,000 new homes during 2021, and that 65% of new subscribers on its network are using services of 1 Gbps or higher, up from 48% a year ago.
Regarding the jump in 1-gig subscribers, UTOPIA Deputy Director and CMO Kimberly McKinley told Fierce via email, “As consumers become more educated, they want the speed and capacity that gigabit-speed fiber can bring. Sure, most of our customers really only need 250 Mbps, but consumers are opting for the higher packages."
She continued: "As more 10-gig enabled devices are introduced to market, we anticipate our 10 Gbps product to really take off. Much of this is being driven by the adoption of Smart Home devices (in-home cameras, smart mirrors, appliances, and more). When consumers have the choice for higher speed, they opt for it, which is a very different narrative than what is being told to lawmakers.”
That last comment was clearly a dig at the traditional service providers and other critics of municipal broadband projects like UTOPIA, which stands for Utah Telecommunication Open Infrastructure Agency. The company continues aggressive build-out in the face of those naysayers, having laid 455 miles of fiber optic cable last year, completing construction in the Utah towns of Payson and Midvale, and adding Syracuse and Pleasant Grove to its network, adding 7,500 new residential subscribers in the process, along with 505 businesses and 139 schools and anchor institutions.
The company said its progress wasn’t slowed by the supply chain constraints that have affected other companies. “UTOPIA Fiber has been a major player in the fiber-broadband industry for two decades. We place large orders, and importantly, have deep, long-standing relationships [with suppliers],” McKinley said. “We anticipated the supply constraints and acted appropriately by stockpiling, leveraging relationships and front loading as much work as possible. Additionally, we pride ourselves in being equipment and vendor agnostic. This helps UTOPIA stay ahead of supply chain issues by being agile so we can continue to build in today’s environment."
UTOPIA also added 13 new employees last year at a time when companies in many industries are suffering through a shortage of skilled labor. “UTOPIA has been able to attract talent because we’ve been one of the fastest and most stable projects in the country,” McKinley said. “This means we have a pipeline of projects and don’t experience the starts and stops that other projects see around the country. This instills confidence in our people, in our partners, and our vendors. Further, Utah has one of the hottest economies in the country, and that has driven more high-quality employees to our region. It all adds up.”
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On the carrier front, Montana’s Yellowstone Fiber (formerly Bozeman Fiber) joined the network to extend Utopia’s Open Access fiber model to rural Gallatin County and all 22,000 homes, businesses, and institutions in the City of Bozeman. Regarding ISP partnerships, UTOPIA partnered with ConnectFast, The Telecom Company, and Miles Broadband—the 14th, 15th, and 16th ISPs to join its network.
UTOPIA also took out close to $90 million worth of bonds in 2021. All told, it has financed nearly $400 million worth of fiber projects over more than a decade.