Item em 3.4 T-Mobile obile Fund unding ing and nd Rei eimbu mbursement sement Agr greem eemen ent Dolan an Beck ckel, el, Direct ector or, , Office ce of Civic c Inno novati tion on and Digital l Strat ategy egy Kip Harkn rkness ess, Deputy uty City y Manager ger 1
Broa Broadb dban and d Str Strat ateg egy Average residential wireline Average mobile download speeds (mbps) download speeds (mbps) Miami Singapore Chicago Central District, Hong Kong Atlanta Kowloon, Hong Kong Kansas City, US Los Angeles Bucharest, Romania New York Paris, France San Francisco Seattle, US Dallas Austin, US Boston New York, US Philadelphia Los Angeles, US San Jose San Jose, US Houston Denver, US Washington DC Boston, US 0 5 10 15 20 0 20 40 60 80 100 120 140 San Jose’s broadband significantly lags our peers 2 Sourc urce: Akamai and speedtest.net
Digita Di ital l Inc nclusion lusion 50,000 ,000 Unc Unconnect onnected ed Ho Hous usehol eholds ds 45% 40% 23% 23% 19% 15% 12% 4% Source: 2015 American Communities Survey Percentages are compared to category – overlap occurs 3
Broad Broadba band nd Stra Strategy egy Hybri Hy brid d Appr proach oach – 80% % re resu sult lts s for r 20% % ef effor ort Government-led Hybrid model Market-led (Recommended) Chatta ttanooga oga New York k City ty Los s Angel geles es Seattl ttle Charl rlotte otte San Diego iego San Franci ncisco Kansas s City ty San Jos ose e (his istorica toricall lly) (just t shelved ed plans ns) Cities building full fiber networks is Cities with laissez faire broadband Cities that welcome private investment with expensive, complex, and risky stagnate as cable-telecom duopolies appropriate guidance are most successful Summa mary Too Risky ky Just t Right ht Too Ineffect ectiv ive Key • • Broadband speed and price cluster to • Seattle, Palo Alto and others have Enter into value exchange agreements the bottom of the peer set determined that city-led full fiber build- leveraging City Assets to incent Takeaways outs are not practical, after detailed investment, fund speed and predictability, • No substantial competition in any assessments and close the digital divide market-led city • Chattanooga’s unique buildout included • Centralize broadband governance control by the utility and federal funds • Adopt balanced broadband friendly policies. 4
T- Mob obile ile Agree reement ent • Deploy T-Mobile next generation 5G macro cell based network • 109 improvements to existing macro sites on public and private property • 36 new macro sites (1 tower, 35 rooftops/similar, 5-9 on City property) • Achieve Speed and Predictability • City makes good faith effort to meet / exceed targets for increased speed and volume • City investigates regulatory improvements along with other process improvements • T-Mobile funds $800,000 drawdown account for additional City resourcing • T-Mobile funds $500,000 City process improvements • Enable $21 Million private sector infrastructure investment • Accelerate Metro brand targeting under served communities • Generate approximately $900,000 in macro usage fee revenue • Investigate large facility competitive access 5
Equitable Deployment 14 14 22 22 24 24 19 19 6 12 12 19 19 7 15 15 Legend nd 7 Counci ncil District trict # Mods s & New Sites es District trict 3 Exam ample: le: 24 24 Tot otal Sites 6
Ena nable bles s Ne Next t Gener nerati ation on 5G 5G+ D + Deplo ployme yments nts • Increased speed and capacity • Reduced latency • Massive input/output processing • Enables new technologies 7
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