Category Archives: UTOPIA

The Non-Story of UTOPIA and Lawsuits

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Today’s Deseret News ran an article about UTOPIA’s preparation for some pending litigation, but it’s not really much in the way of news. We all know that UTOPIA and RUS aren’t on each other’s Christmas card lists and that UTOPIA incurred some significant expenses as a result of the incompetence of that federal agency. Negotiations with RUS broke down months ago and UTOPIA was still left holding the bag. At this point, they really don’t have much of a choice but to go after RUS in court since a settlement could not be reached and the damages are in the tens of millions.

UTOPIA obviously can’t confirm nor deny anything at this point, but it’s not hard to read between the lines. The question, though, is why this is being cast in some kind of sneaky and sinister light. Only an idiot would openly discuss pending litigation in a public meeting, much less with members of the press. It’s also not uncommon to have internal agency meetings that don’t require public notice. I would bet that every city, county, state agency, and interlocal agency has done the same.

That said, I can understand why someone would be heavily suspicious. UTOPIA has always struggled with putting information out for public scrutiny. It isn’t helped when the incumbent guns-for-hire Utah “Taxpayers” Association regularly takes what information is public and distorts or outright fabricates negative information about the project.

Basically, there’s nothing to see here that you haven’t already heard through the grapevine. When there’s real news, they’ll probably put out a press release.

Connected Lyfe, Hangman, and the UTOPIA Headend

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There’s been a whirlwind of speculation since last night when a press release came out announcing that Connected Lyfe, one of UTOPIA’s newer providers, was being acquired by a then-unknown company called Hangman Productions. This wasn’t helped when an 8-K filing with the SEC came to light that showed Connected Lyfe as the purchaser of UTOPIA’s new video headend. It was pretty easy to assume the worst that the white-label video product would end and it might be a small step towards selling the network. After doing some digging and talking to both Todd Marriott and Chris Hogan at UTOPIA, it looks like that’s not the case at all. In fact, this is probably a really good thing all around.

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What exactly does UTOPIA's press release mean?

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After the first read-through of UTOPIA’s press release, I wasn’t entirely sure what they were trying to say. In fact, most of the press release seems to allude to some sort of ethereal plan to bring the network out to 20,000 more subscribers as quickly as possible. Given the financial situation that UTOPIA is currently in, I was left scratching my head. That is, until I read the last paragraph of the press release.

As we all know, UTOPIA doesn’t have any capital to use for expansion. Barring repayment from RUS or getting awarded stimulus money, I doubt there will be spare change rattling around for several years. All of the eggs are currently in the SAA basket since it’s the only way to finance building things out. Part of the problem with the SAA is the execution time required. You have to pick a specific area to be a part of the SAA. If it’s too small, it won’t be financially self-sustaining or require an unreasonably high participation rate. If it’s too large, you could easily spend a couple of years canvassing to find enough participants. Then, after months of finding the people who want service, you have to spend a few more months getting the city council to approve the bond for the SAA, then wait for the money to come in, then, after many moons, finally start digging trenches and laying fiber. It’s a time-consuming process that could be derailed at any time by the saber-rattling of the Utah Taxpayers Association, Qwest, or any number of anti-UTOPIA factions.

Now this is the statement that sticks out:

Under this next phase of growth, the eleven pledging cities would create a new bond and release funds incrementally as demand is demonstrated.

In other words, UTOPIA cities will go ahead and approve the bonds now to get the financial side rolling, then go find and form the SAAs. This not only accelerates the deployment schedule by months, it also allows for much smaller participant areas, maybe even as few as several dozen. That’s great news for residents of member cities who want service but can’t get a couple hundred neighbors to sign up as well. Once you have enough people to jump in, construction could start the next week. It’s the SAA improved and evolved.

If you live in a pledging city, now is the time to go to UTOPIA’s website to register your interest for service. Get your neighbors to do it. And your friends, family, and even that guy down the road with the busted washing machine on his porch. (You never know; he might tune into the DIY Network and get inspired to do something about it.)

Press Release: UTOPIA cities gearing up for growth

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WEST VALLEY CITY— The eleven pledging cities of the Utah Telecommunication Open Infrastructure Agency (UTOPIA; http://www.utopianet.org) are currently discussing options for the next stage of the network’s growth. After a string of successes since June of 2008, the open-access, fiber-to-the-premise network is strategizing on how to reach more homes and businesses sooner.

“In less than two years – since we retained the new management team – the network has added about 50% as many new subscribers as the network had gained since 2002, grown from three service providers to 12, and we’ve deployed fiber throughout Tremonton and Brigham City, and in portions of Layton and West Valley City,” says the UTOPIA board chair, Kane Loader of Midvale City. “The UTOPIA model is working, but we need to maintain this growth in customers.”

The new plan anticipates adding about 20,000 more customers over the next several years. “We’ve known for a long time that UTOPIA needs a much larger customer base, and a good mix of business and residential customers, to make the books balance,” says Murray Mayor Dan Snarr. “Our cities are already obligated to the network for years to come, so we need to grow to critical mass rapidly, based on a plan to ensure long-term financial health.”

“YouTube alone uses as much bandwidth as the entire World Wide Web did in 2000,” points out Layton Mayor Steve Curtis. “Bandwidth needs in the near future will be enormous, as Google recently acknowledged. We want to make sure our residents and businesses are thriving, and in a world with an increasingly digital economy, a clear factor will be access to the near-unlimited bandwidth of fiber to the premise. UTOPIA is needed by our communities more than ever.”

“A recent New York Times article stated that, without a commitment to open access, affordability for higher bandwidth is only going to get worse. We need to keep growing this fiber network to support local businesses and the private sector,” insists Orem Mayor Jerry Washburn. “Governments build roads, and allow FedEx and UPS to compete on them. Governments build airports, and allow Delta and Southwest to compete at them. It makes sense for us to build a fiber network, and allow any interested service provider to compete on it, which currently includes XMission, Telesphere, Voonami, Connected Lyfe, Brigham.net, and more.”

Under this next phase of growth, the eleven pledging cities would create a new bond and release funds incrementally as demand is demonstrated. Officials from Brigham City, Centerville, Layton, Lindon, Midvale, Murray, Orem, Perry, Payson, Tremonton and West Valley are working together with UTOPIA staff to finalize the funding plan.

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Contacts:

UTOPIA – Elizabeth Vincent, 801.613.3837, [email protected]

    • Kane Loader, UTOPIA Board Chair, 801.567.7206

ALERT: Qwest Lobbyist Eric Isom Running for Utah House District 15

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I’ve just found out that Qwest government affairs lobbyist Eric Isom is a candidate for Utah State Respresentative in District 15. You may remember him from numerous city council and legislative hearings where he spoke in opposition to UTOPIA and would frequently pull legislators and city council members aside for one-on-one conversations. There are three other Republicans vying for the nomination in that district and several Democratic opponents. I can’t state clearly enough how disastrous it would be for municipal broadband projects in the state to have an unofficial mouthpiece of Qwest elected to a state office. Isom has said that he will either resign from Qwest or transfer to a non-lobbying position, but I doubt that it would diminish the influence that it would have on his votes or proposed legislation.

House District 15 encompasses the western half of Kaysville along with significant portions of Layton and Syracuse. If you live in this district, it is critical that you talk to state delegates and attend the state convention to oppose his run for office. Let’s make this fight a top priority for anyone supporting UTOPIA!

ConnectedLyfe Officially Launches as a New Triple-Play Provider on UTOPIA

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Last month, I reported that ConnectedLyfe would be a new service provider on UTOPIA. Today, the press release is out to make that launch official. ConnectedLyfe has also updated their website with some details as to what they will be offering. It looks pretty run-of-the-mill as far as services and pricing, but this little tidbit stood out.

Now you’ll be able to access your TV from any device inside your home, or on the go through your PDA or iPhone.

So, if I’m reading this correctly, it sounds like ConnectedLyfe is bringing their own version of TV Everywhere to the game a la Comcast. Given that the channel line-up appears to be a little different from the white-boxed UTOPIA offerings, I’m also going to guess that they’re using their own video headend, especially since they seem to be pushing VOD as a key part of their package. It should be interesting to see if this start-up can throw down both with incumbents and the existing providers on the network.

BREAKING: Gov. Herbert Supports a Google Partnership with UTOPIA

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In what is another positive piece of news for UTOPIA, Utah Governor Gary Herbert issued a letter today urging Google to partner with UTOPIA. In his remarks, he referred to UTOPIA as “a good candidate to partner with Google” and praised both “successfully pursued models of deployment” and their “sustainable and reliable model” which has made Utah “well-prepped ground”. This kind of unabashed support and endorsement will carry weight in state political circles and hopefully give Utah another point in the plus column as Google evaluates applications.

Haven’t given Google your pitch yet? Go do it now before the March 26 deadline.