Rural Communities in the Broadband Economy:Lessons from Planet Earth

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A presentation by Robert Bell of ICN to the 2008 Blandin Broadband conference

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  • Rural Communities in the Broadband Economy:Lessons from Planet Earth

    1. 1. Rural Communities in the Broadband Economy Robert Bell Executive Director, Co-Founder www.intelligentcommunity.com Lessons from Planet Earth
    2. 2. [Your Community Name Here] All Roads Lead to
    3. 3. Welcome to the Broadband Economy
    4. 4. Creating the Broadband Economy <ul><li>Global broadband </li></ul><ul><ul><li>Deployed beginning in 1970s </li></ul></ul><ul><ul><li>Connecting economic centers worldwide </li></ul></ul><ul><ul><ul><li>Enabling collaboration and trade across time zones and borders with low or no transaction cost </li></ul></ul></ul><ul><ul><ul><li>Melding financial markets and making investment portable </li></ul></ul></ul><ul><ul><ul><li>Making intellectual property and knowledge work dominant economic factors </li></ul></ul></ul>> $1/day < $1/day
    5. 5. Challenges of the Broadband Economy <ul><li>For economic purposes, the people of Mumbai, Shenzen and Jakarta live next door to the people of New York, Athens and Toronto, leading to - </li></ul><ul><ul><li>Flight of jobs and investment to locations offering best mix of cost, appropriately-skilled labor and access to markets </li></ul></ul><ul><ul><li>Supercharged competition that shortens product lifecycles and puts a premium on innovation </li></ul></ul><ul><ul><li>Rise in minimum skill level needed to earn a living wage </li></ul></ul><ul><ul><li>Local economic success increasingly dependent on the global economy </li></ul></ul><ul><ul><li>Social stresses from eroding economic opportunities, pressure on social welfare, increased economic inequality </li></ul></ul>
    6. 6. It’s about the children <ul><li>Every community’s first priority is to be a place where families can raise children and those children can build a future if they choose </li></ul><ul><li>Economic opportunity makes possible everything else we value </li></ul><ul><li>The Broadband Economy has changed the rules – for worse and for better </li></ul>
    7. 7. Creating the Broadband Economy <ul><li>Local broadband </li></ul><ul><ul><li>Deployed beginning in 1990s </li></ul></ul><ul><ul><li>Providing individuals, local institutions and government with enterprise-level access to local community and global information resources </li></ul></ul>28,289% 264% 688% 21,250% 2,783%
    8. 8. Broadband Economy Community Opportunities <ul><li>Every community has opportunities to use broadband for economic, political and social development </li></ul><ul><ul><li>Small and midsize companies (primary producers of job growth) have global trade opportunities once reserved for multinational firms </li></ul></ul><ul><ul><li>Innovation becomes as important as location, resources or capital in creating opportunity for success </li></ul></ul><ul><ul><li>Individuals and businesses connect to a global community of vendors competing for their business , saving money and improving quality </li></ul></ul><ul><ul><li>Children and adults can go global in search for education and culture , knowledge and collaboration </li></ul></ul><ul><ul><li>Web-based tools can increase community involvement </li></ul></ul>
    9. 9. Intelligent Community Example LaGrange, Georgia <ul><li>Rural city of 26,000 spurred by 1990s plant closing to build communications infrastructure </li></ul><ul><li>Unable to persuade telcos or cablecos to invest, created CLEC and built fiber networks </li></ul><ul><ul><li>Backbone for government use, replacing telco systems </li></ul></ul><ul><ul><li>Muni bond issue funded state-of-the-art business and residential network leased to cable company, with bandwidth reserved for city </li></ul></ul><ul><ul><li>Introduced free Internet access service via TVs in 2000, which gained nationwide attention and was a hit “starter service” for the young and elderly </li></ul></ul><ul><ul><li>Attracted call centers, became IT service provider to entire county </li></ul></ul><ul><ul><li>Contributed $1m+ to city treasury annually </li></ul></ul>2000
    10. 10. Intelligent Community Examples Fredericton, New Brunswick <ul><li>Municipal coop built fiber network for government and institutions in rural city of 50,000 </li></ul><ul><ul><li>Reduce costs compared to carrier contract </li></ul></ul><ul><ul><li>Vastly increased speed and capacity </li></ul></ul><ul><ul><li>Created competition that spurred private investment: 70% of households now connected to broadband </li></ul></ul><ul><li>Added 8 km 2 wireless overlay blanketing downtown “Fred-E-Zone,” receiving major publicity </li></ul><ul><ul><li>“We don’t charge you to walk on our sidewalks; why would we charge you for broadband?” </li></ul></ul><ul><li>Innovation-driven knowledge economy </li></ul><ul><ul><li>Knowledge Park public-private venture </li></ul></ul><ul><ul><li>IT for environmental sustainability </li></ul></ul>2008
    11. 11. Intelligent Community Examples Bristol, Virginia <ul><li>Rural Virginia community of 17,000 developed fiber network for municipal electric substations in 1999 </li></ul><ul><ul><li>Connected government offices and schools in 2000; announced plan in 2001 to offer commercial FTTP </li></ul></ul><ul><ul><li>Three-year, $2.5 million legal and legislative battle with telco and cable incumbents ended in victory for Bristol </li></ul></ul><ul><li>Economic impacts </li></ul><ul><ul><li>Operates networks for local govt. in surrounding counties; $16 million annual revenue has made network self-sufficient </li></ul></ul><ul><ul><li>Saved customers estimated $10m since 2003 </li></ul></ul><ul><ul><li>Attracted tech facilities for knowledge-based companies CGI and Northrup Grumman; two new industrial parks </li></ul></ul><ul><ul><li>Attracted an estimated $50m in new private investment and additional $37m in annual payrolls </li></ul></ul>2009
    12. 12. The End of The Middle of Nowhere <ul><li>Small and rural communities have meaningful opportunities to </li></ul><ul><ul><li>Leverage quality of life as a competitive advantage </li></ul></ul><ul><ul><li>Turn traditional skills and expertise into new economic activity </li></ul></ul><ul><ul><li>Use broadband to reaffirm the social covenant for young and old </li></ul></ul>
    13. 13. What is an Intelligent Community? A town, city or metro region that understands the challenges of the global Broadband Economy, and is creating a local economy capable of seizing its opportunities .
    14. 14. Intelligent Communities BROADBAND KNOWLEDGE WORKFORCE INNOVATION MARKETING DIGITAL INCLUSION
    15. 15. Seven Habits of Intelligent Communities <ul><li>Have leaders who convince people there is more to be won than lost from the Broadband Economy </li></ul><ul><li>Have big ambitions and an appetite for action </li></ul><ul><li>Do what it takes to get broadband – but don’t fall in love with technology </li></ul><ul><li>Create sustainable models for broadband, digital education, digital inclusion and ICT innovation </li></ul><ul><li>Create and celebrate community champions </li></ul><ul><li>Work to build a culture of use for ICT among employers and citizens </li></ul><ul><li>Plan for economic growth while reducing their emissions </li></ul>
    16. 16. Intelligent Community Forum <ul><li>Think tank focusing on ICT and economic development at community level </li></ul><ul><li>Annual Awards program gathering data on hundreds of communities per year </li></ul>www.intelligentcommunity.org <ul><li>Building the Broadband Economy summit May 13-15, 2009, NYC ( www.icfsummit.com ) </li></ul><ul><li>Immersion Lab Europe 2009: Dundee, Tallinn, Eindhoven </li></ul><ul><li>Broadband Economies , available Jan. 14 on Amazon.com </li></ul>
    17. 17. Smart21 Communities of 2009 <ul><ul><li>Albany , New York, USA </li></ul></ul><ul><ul><li>Ashland , Oregon, USA </li></ul></ul><ul><ul><li>Bristol , Virginia, USA </li></ul></ul><ul><ul><li>Dublin , Ohio, USA </li></ul></ul><ul><ul><li>Edmonton , AB, Canada </li></ul></ul><ul><ul><li>Eindhoven , Netherlands </li></ul></ul><ul><ul><li>Fredericton , NB, Canada </li></ul></ul><ul><ul><li>Gold Coast City , Q, Australia </li></ul></ul><ul><ul><li>Issy-les-Moulineaux , France </li></ul></ul><ul><ul><li>Kenora , ON, Canada </li></ul></ul><ul><ul><li>Malta </li></ul></ul><ul><ul><li>Manchester , England, UK </li></ul></ul><ul><ul><li>Moncton , NB, Canada </li></ul></ul><ul><ul><li>Nelson Mandela Bay , South Africa </li></ul></ul><ul><ul><li>Porto Alegre , Brazil </li></ul></ul><ul><ul><li>Riverside , CA, USA </li></ul></ul><ul><ul><li>Stockholm , Sweden </li></ul></ul><ul><ul><li>Tallinn , Estonia </li></ul></ul><ul><ul><li>Trikala , Greece </li></ul></ul><ul><ul><li>Westchester County , NY, USA </li></ul></ul><ul><ul><li>Taoyuan County , Taiwan </li></ul></ul>
    18. 18. Rural Communities in the Broadband Economy Robert Bell Executive Director, Co-Founder www.intelligentcommunity.com Lessons from Planet Earth

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