Dallas Roundup (Thoughts from the 2011 Broadband Properties Summit)

by Michael Curri

We delayed April’s newsletter (unless you want to call this the 34th of April) to make sure we could include a recap of the Broadband Properties Summit in Dallas last week.           

Representatives from the majority of States gathered for Thursday’s program dedicated to: “Broadband and Economic Development: A Hard Look at Job Creation from all Angles.”

The nature of broadband stimulus dollars was that they went mostly to “un” and “under” served geographies.  A very small portion of the stimulus funds had anything to do with actual broadband use – and in those cases, the programs were designed around basic training.

So the product of the broadband stimulus program focused on spreading the wealth to achieve availability, with the result that most States are using coverage as their end game.  Coverage does not necessarily beget adoption… and adoption does not beget utilization.

So we all believe that broadband drives job creation, opportunities, etc.  But we cannot necessarily assume that “build it and they will come” is a sound strategy. In fact, I think most of us would agree that for many communities and regions it isn’t.  So why is it that we leave that as the cornerstone to our economic development through broadband strategy?

Building broadband networks is a necessary, but not sufficient condition for economic impacts.  It is the act of utilization – of leveraging broadband that is at the heart of modern economic development. Whether the objective is retaining existing businesses and jobs, business growth, or improving the quality of jobs – e-solutions and online processes are the critical enablers that allow a community or region to successfully participate in the digital economy. Availability is important, but utilization is critical.

In Dallas I heard numerous times that as broadband coverage is now increasing with ARRA projects, the question that often now gets asked is: “What is the broadband problem?”

This question should be re-framed. In fact, legislators, economic development officers and those working with broadband agencies should respond with the following questions:

  • Do you want local businesses to be more productive and be able to compete in the global economy? Do you want to keep local jobs?
  • Do you want youth to have the opportunity to have high paying local employment?
  • Do you want your region to be more resilient to shocks and enhance quality of life?

The answer is inevitably yes, but without broadband utilization such desired outcomes are unlikely.

While some regions and communities have the organic capacity to take advantage of broadband, most require planning, strategies, and the promotion and utilization of e-solutions to leverage broadband infrastructure. This is a transition and a restructuring process. It is needed – in fact critical – to ensure that modern regions can compete in the global economy.

Economic development and broadband agencies, as well as policy makers need the data, strategy, actionable economic development plan, constituent and stakeholder buy-in, and ongoing monitoring and analysis needed to put communities and regions in a position to compete in the global economy. By uncovering existing barriers to current utilization of e-solutions by households, businesses and civic organizations, it is possible to develop a roadmap to accelerate and optimize measurable and sustainable socio-economic gains at a regional level.


That’s One Small Step for AT&T, One Giant Blow to Utilization

by Doug Adams

I guess it was only a matter of time before one or more telcos reacted to the horrible trend facing America and countries all across the globe: actual broadband utilization. AT&T this week announced that it will punish these horrible broadband thieves by capping data and charging for DSL users who exceed 150 GB per month.

As I remove my tongue from being implanted in my cheek, I will acknowledge that this (of course) is free enterprise at work – why shouldn’t “heavy users” of bandwidth have to pay more? Why should we continue with a broadband business model that results in under-investment by the private sector?

Today, this is not a huge issue as only a small percentage of broadband users could even come up with a way to use 150 GB a month… but is it a harbinger for things to come?  Are we establishing ‘ground rules’ that say – of course we want you to be more efficient, innovate, and drive our economy forward… but for a price.

A big challenge for the telecom industry is finding a way to provide incentives to carry capacity-hogging services. Carriers have to augment capacity to cope with the rapid growth in data, but get no extra revenue for that.

Is the AT&T cap on data a cautionary tale – an indication of what to expect from other telcos?  As more and more applications and e-solutions drive broadband utilization (a good thing as it is utilization that drives economic and social impacts) do we counter with extra charges?  And let’s clarify who “we” is – this case it is telcos, who have every right to raise prices and charge for extra use.  It is that charge that, hopefully, will continue to grow network build out.

But let’s face it – we are not raising prices in a vacuum.  With a desire to transform from a manufacturing to knowledge economy – which requires greater, not less utilization… is now the right time to do this?   Even if it impacts no one, my marketing training tells me that the PR this generates will dampen utilization.  It will scare some people from using some applications considered bandwidth hogs. And in 2011, I’m inclined to push back on anything that will limit Internet use.

Count me in the camp that sees the move as a potential hindrance to the growth of the Internet and online innovation. Alongside me is U.S. Representative Ed Markey who criticized AT&T for undermining national broadband goals and making it more difficult for new adopters to access high-speed Internet.


March 2011 Bandwidth – Avoid Being a “No Place,” Measuring Value, and ATUG

         

Don’t Let Your Region be a “No Place”

by Doug Adams
Without compelling reasons, applications, and e-solutions for your constituents to utilize your broadband network – the hopes you have for its transformational power are sure to come up short.

Just recently in the United Kingdom, the community of Cornwall showed that utilization of broadband services is not achieved simply by the rollout of a broadband infrastructure. It has to be accompanied with awareness initiatives and e-solutions that drive utilization. By providing companies with concrete solutions and advice, companies were made aware of the benefits of broadband and quickly utilized the network.

Indianapolis Mayor William Hudnut (1976-1992)

Debunking the Fable of “Build it and They Will Come.”
This is the story of one political leader whose vision exceeded even the wildest expectations of his constituents.  It’s the story that illustrates the difference between idealism and realism, the difference between a “pipe dream” and reachable goals.  What separates the ineffective dreamer and the transformational leader?  A strategy that goes beyond initial investment.

No matter left, right, or center… political initiatives often start and end with the initial investment.  Regulations can often drive adoption of the investment – and often market forces drive utilization.  But what happens when utilization needs a push? Even the staunchest laissez faire politician would have to admit that… sometimes… initial investment is just not enough.

Back to our story and mayor of a mid-sized city famous for being the largest “land locked” city in its country and an unflattering nickname of “no place” that reflected a lack of almost anything distinguishable.

This mayor had a vision – a vision that his city would become a destination for businesses, tourists, and events. But without an infrastructure… how could he pull this off? Getting approval for an investment in a 60,000 seat domed stadium – to the outsider – may have seemed like his greatest hurdle.

Indianapolis' RCA Dome

None of this happened in a vacuum. Beyond the initial stadium investment, the mayor and his staff needed to aggressively bring events, teams, hotel chains, etc. to the City. They had to be creative in leading the development of downtown to transform a “no place” to a prosperous “some place.”  And the mayor of this town retired after 16 years in office, the most beloved leader the City has ever – or dare I say it – will ever have.

Now since the transformation of this City, many have followed suit… but only partially.  Stadiums have gone up across North America to attract professional sports teams – some successfully attracting teams.  But that is where it has stopped.  You see, investment without an all-encompassing strategy can work… but only to a point.

So – as community leaders investing in broadband initiatives today – can we really learn anything from a stadium build and accompanying transformation?  We better.

Without reasons, applications, and e-solutions for our new broadband network – all we have is an empty stadium.  It may attract some patrons – but it will never realize its transformational power. Turn to SNG – we can help you develop your own legacy of making your region a “some place.”

SNG has been helping communities and its leaders for more than 15 years ensure that broadband investments receive their maximum economic impact.  By uncovering gaps, mapping demand, and helping communities develop innovative e-solutions and driving awareness and utilization, SNG helps make sure your network investment has transformational (and measurable) impacts.

Read more about Indianapolis’ Mayor William Hudnut.

Uncovering the Value of Rural Broadband    

by Derek Murphy, VP, Product Delivery
One of the ongoing challenges for any region is to understand the actual benefits and impacts of public investments in broadband policy and implementation. Understanding and demonstrating impacts is critical as you face mixed and conflicting expectations and scepticism among both the general public and decision makers. One of the most important areas for assessing impacts is in rural areas where the vast majority of “unserved” and “underserved” are located.

I recently came across a research paper published early last year by the Public Policy Institute of California (PPIC), titled “Does Broadband Boost Local Economic Development?” It underscores some of the major problems in understanding the rationale and evidence for investing in rural broadband.

While there is a lack of substantive research on the impacts of rural broadband, PPIC takes an important effort at understand the issue, and is a welcome (hopefully) first step in a concerted effort to understand and enhance the impacts of public investments in rural broadband. Nonetheless, the PPIC paper contains flawed analysis and conclusions. The PPIC’s conclusions understate the impacts of rural broadband investment, undervaluing the potential for leveraging rural broadband for local economic development.

Rural broadband impacts need to be assessed initially at the conceptual and policy level, requiring a framework to understand the range of possible and desired impacts broadband can deliver. The PPIC illustrates just what happens without a strong policy framework. The paper states its objective, “to assess whether policies to raise broadband availability will contribute, as hoped, to local economic development.” The misstep here is that “local economic development” is only defined as “economic growth” in jobs and income. This confusion of economic development with economic growth is a fundamental and frequent mistake in which a historical bias towards never-ending “growth” replaces a more thoughtful understanding of economic development as a sustainable economy that provides income security, a diversity of opportunities to local residents, and a source of external income for the region.

The problem of mixing the two distinct concepts and objectives of growth and development is exacerbated by the lack of analysis of economic challenges faced by most rural areas in North America. There is ample evidence of the long term decline (relative or absolute) of rural areas as these areas lose population due to deaths and outward migration. The policy issue is whether these rural areas can replace all or most of the population that they are losing as they struggle to attract “replacement population.”

The objectives of local economic development vary greatly by the specific circumstances of each rural area. Economic development will often mean something other than “growth.” Economic development can mean a healthy and stable economy that reflects the changing nature of the national and international economy. A core economic development strategy for rural areas is development of strong amenities and services. Consequently, the role of broadband and related services is recognized by the USDA as a key strategy for rural economic development.

SNG’s research shows that broadband strongly influences locational decisions by both businesses and households about whether to stay or where to move. Our research also shows that consumers consider the speed and reliability of their broadband in making these decisions.

The USDA tells us that rural communities need to develop their own distinct strategies based on the costs and benefits that they specifically can expect. High-level analysis of aggregate data is useful in suggesting issues that need to be explored, but it is inappropriate for assessing the possible or likely impacts of improved broadband.

A more constructive approach is to look at communities in similar circumstances and determine the comparative results of their decisions to invest or not invest in enhanced Internet connectivity and competence. This approach is more likely to identify the consequences of not investing in broadband.

Aggregate analysis also doesn’t identify impacts at the level of specific companies, households, or communities. Understanding impacts at the granular level is important in understanding what opportunities realistically exist and what are the barriers to becoming competitive and productive. As demonstrated by SNG’s ground breaking work in North Carolina, obtaining granular data allows data to be turned into actionable intelligence for specific communities and companies. Instead of research drawing questionable conclusions that disempowers people, companies and communities, data gathered at the local level allows for a self-assessment that leads to decisions and actions that are appropriate and realistic.

Another factor for rural broadband not measured recently (in the past 5 years) by the PPIC study was the potential increase in telecommuting or telework as a result of increased broadband availability. SNG’s research shows a strong and positive relationship between broadband availability and teleworking and home-based businesses. Our findings are based on direct surveys in 2010 to over 9,000 rural establishments and 2,350 rural households.

Policy analysts, decision-makers and economic development practitioners need to engage in a meaningful dialogue on the expectations and impacts of broadband investments in rural areas. While investing in broadband in the 1990’s and early 2000s may have been a bold investment in growth, increasingly broadband is becoming a necessary defensive investment, not necessarily an investment in growth. Reliable and competitive broadband allows citizens, businesses and communities the opportunity to remain “competitive” and viable. If leaders and planners can’t get beyond seeing broadband as a “growth strategy,” then broadband in rural areas will more often than not be seen as a failure.

Related readings:

Nonmetropolitan Outmigration Counties: Some Are Poor, Many Are Prosperous – David McGranahan, John Cromartie, and Timothy Wojan, USDA Economic Research Service, 2010.  http://www.ers.usda.gov/Publications/ERR107/ERR107.pdf

USDA Briefing Room – http://www.ers.usda.gov/Briefing/RuralDevelopment/RuralDevelopment.htm

 Does Broadband Boost Local Economic Development?, Jed Kolko, PPIC January 2010, http://www.ppic.org/content/pubs/report/R_110JKR.pdf

Getting Down to Business Down Under

by Michael Curri
After a 22 hour flight, I landed in Australia a few days ago to attend the Australian Telecommunications Users Group in Sydney. It has been an eventful few days as I appeared on the Australian Broadcasting Corporation regarding broadband’s importance to Australia and what it could mean to national productivity and competitiveness and met with Minister of Broadband, Communications and the Digital Economy, Stephen Conroy and spoke with the opposition party Member of Parliament Paul Fletcher who is focused on the National Broadband Network (NBN). Both believe in the NBN and want to better understand what the benefits will mean to Australian businesses, organizations, and households.  Let me digress here for a second… how great is it that Australia has a “Minister of Broadband, Communications and the Digital Economy?”

We’re at the very beginning of great potential through broadband for Australia.  I was asked to run a workshop for community leaders involved with the NBN. Some highlights from this half day session included important questions and insights:

  • It is important to have local examples of e-solutions and what they mean for local businesses and organizations.
  • Even though the NBN is being built, it will still take 8 + years to have 93% connected. What can we do to bridge the gap between today and then?
  • Jane Patterson talked about e-NC and its impact on North Carolina, as well as what broadband has done for rural businesses as they “compete globally, but live locally.”
  • There is a culture of use that needs to develop (e.g acceptance of tele-working).

A final observation before I get back to the conference… In general, broadband is seen as significant and valuable, but questions remain regarding how much should be spent in building the NBN and what is the optimal model. While this is an important question, it is important to focus on quantifying the benefits from the investment. If we can keep politics out of this and focus on what everyone believes – that broadband does create economic advancement – then this unprecedented initiative should have long and far-reaching impact in Australia.

Look for next month’s Bandwidth for a more thorough recap of the event.

 
 

Getting Down to Business Down Under

by Michael Curri
After a 22 hour flight, I landed in Australia a few days ago to attend the Australian Telecommunications Users Group in Sydney. It has been an eventful few days as I appeared on the Australian Broadcasting Corporation regarding broadband’s importance to Australia and what it could mean to national productivity and competitiveness and met with Minister of Broadband, Communications and the Digital Economy, Stephen Conroy and spoke with the opposition party Member of Parliament Paul Fletcher who is focused on the National Broadband Network (NBN). Both believe in the NBN and want to better understand what the benefits will mean to Australian businesses, organizations, and households.  Let me digress here for a second… how great is it that Australia has a “Minister of Broadband, Communications and the Digital Economy?”

We’re at the very beginning of great potential through broadband for Australia.  I was asked to run a workshop for community leaders involved with the NBN. Some highlights from this half day session included important questions and insights:

  • It is important to have local examples of e-solutions and what they mean for local businesses and organizations.
  • Even though the NBN is being built, it will still take 8 + years to have 93% connected. What can we do to bridge the gap between today and then?
  • Jane Patterson talked about e-NC and its impact on North Carolina, as well as what broadband has done for rural businesses as they “compete globally, but live locally.”
  • There is a culture of use that needs to develop (e.g acceptance of tele-working).

A final observation before I get back to the conference… In general, broadband is seen as significant and valuable, but questions remain regarding how much should be spent in building the NBN and what is the optimal model. While this is an important question, it is important to focus on quantifying the benefits from the investment. If we can keep politics out of this and focus on what everyone believes – that broadband does create economic advancement – then this unprecedented initiative should have long and far-reaching impact in Australia.

Look for next month’s Bandwidth for a more thorough recap of the event.


Uncovering the Value of Rural Broadband

by Derek Murphy, VP, Product Delivery
One of the ongoing challenges for any region is to understand the actual benefits and impacts of public investments in broadband policy and implementation. Understanding and demonstrating impacts is critical as you face mixed and conflicting expectations and scepticism among both the general public and decision makers. One of the most important areas for assessing impacts is in rural areas where the vast majority of “unserved” and “underserved” are located.

I recently came across a research paper published early last year by the Public Policy Institute of California (PPIC), titled “Does Broadband Boost Local Economic Development?” It underscores some of the major problems in understanding the rationale and evidence for investing in rural broadband.

While there is a lack of substantive research on the impacts of rural broadband, PPIC takes an important effort at understand the issue, and is a welcome (hopefully) first step in a concerted effort to understand and enhance the impacts of public investments in rural broadband. Nonetheless, the PPIC paper contains flawed analysis and conclusions. The PPIC’s conclusions understate the impacts of rural broadband investment, undervaluing the potential for leveraging rural broadband for local economic development.

Rural broadband impacts need to be assessed initially at the conceptual and policy level, requiring a framework to understand the range of possible and desired impacts broadband can deliver. The PPIC illustrates just what happens without a strong policy framework. The paper states its objective, “to assess whether policies to raise broadband availability will contribute, as hoped, to local economic development.” The misstep here is that “local economic development” is only defined as “economic growth” in jobs and income. This confusion of economic development with economic growth is a fundamental and frequent mistake in which a historical bias towards never-ending “growth” replaces a more thoughtful understanding of economic development as a sustainable economy that provides income security, a diversity of opportunities to local residents, and a source of external income for the region.

The problem of mixing the two distinct concepts and objectives of growth and development is exacerbated by the lack of analysis of economic challenges faced by most rural areas in North America. There is ample evidence of the long term decline (relative or absolute) of rural areas as these areas lose population due to deaths and outward migration. The policy issue is whether these rural areas can replace all or most of the population that they are losing as they struggle to attract “replacement population.”

The objectives of local economic development vary greatly by the specific circumstances of each rural area. Economic development will often mean something other than “growth.” Economic development can mean a healthy and stable economy that reflects the changing nature of the national and international economy. A core economic development strategy for rural areas is development of strong amenities and services. Consequently, the role of broadband and related services is recognized by the USDA as a key strategy for rural economic development.

SNG’s research shows that broadband strongly influences locational decisions by both businesses and households about whether to stay or where to move. Our research also shows that consumers consider the speed and reliability of their broadband in making these decisions.

The USDA tells us that rural communities need to develop their own distinct strategies based on the costs and benefits that they specifically can expect. High-level analysis of aggregate data is useful in suggesting issues that need to be explored, but it is inappropriate for assessing the possible or likely impacts of improved broadband.

A more constructive approach is to look at communities in similar circumstances and determine the comparative results of their decisions to invest or not invest in enhanced Internet connectivity and competence. This approach is more likely to identify the consequences of not investing in broadband.

Aggregate analysis also doesn’t identify impacts at the level of specific companies, households, or communities. Understanding impacts at the granular level is important in understanding what opportunities realistically exist and what are the barriers to becoming competitive and productive. As demonstrated by SNG’s ground breaking work in North Carolina, obtaining granular data allows data to be turned into actionable intelligence for specific communities and companies. Instead of research drawing questionable conclusions that disempowers people, companies and communities, data gathered at the local level allows for a self-assessment that leads to decisions and actions that are appropriate and realistic.

Another factor for rural broadband not measured recently (in the past 5 years) by the PPIC study was the potential increase in telecommuting or telework as a result of increased broadband availability. SNG’s research shows a strong and positive relationship between broadband availability and teleworking and home-based businesses. Our findings are based on direct surveys in 2010 to over 9,000 rural establishments and 2,350 rural households.

Policy analysts, decision-makers and economic development practitioners need to engage in a meaningful dialogue on the expectations and impacts of broadband investments in rural areas. While investing in broadband in the 1990’s and early 2000s may have been a bold investment in growth, increasingly broadband is becoming a necessary defensive investment, not necessarily an investment in growth. Reliable and competitive broadband allows citizens, businesses and communities the opportunity to remain “competitive” and viable. If leaders and planners can’t get beyond seeing broadband as a “growth strategy,” then broadband in rural areas will more often than not be seen as a failure.



Related readings:

Nonmetropolitan Outmigration Counties: Some Are Poor, Many Are Prosperous – David McGranahan, John Cromartie, and Timothy Wojan, USDA Economic Research Service, 2010.    http://www.ers.usda.gov/Publications/ERR107/ERR107.pdf

USDA Briefing Room – http://www.ers.usda.gov/Briefing/RuralDevelopment/RuralDevelopment.htm

 Does Broadband Boost Local Economic Development?, Jed Kolko, PPIC January 2010, http://www.ppic.org/content/pubs/report/R_110JKR.pdf




Don’t Let Your Region be a “No Place”

by Doug Adams
Without compelling reasons, applications, and e-solutions for your constituents to utilize your broadband network – the hopes you have for its transformational power are sure to come up short.

Just recently in the United Kingdom, the community of Cornwall showed that utilization of broadband services is not achieved simply by the rollout of a broadband infrastructure. It has to be accompanied with awareness initiatives and e-solutions that drive utilization. By providing companies with concrete solutions and advice, companies were made aware of the benefits of broadband and quickly utilized the network.

Indianapolis Mayor William Hudnut (1976-1992)

Debunking the Fable of “Build it and They Will Come.”
This is the story of one political leader whose vision exceeded even the wildest expectations of his constituents.  It’s the story that illustrates the difference between idealism and realism, the difference between a “pipe dream” and reachable goals.  What separates the ineffective dreamer and the transformational leader?  A strategy that goes beyond initial investment.

No matter left, right, or center… political initiatives often start and end with the initial investment.  Regulations can often drive adoption of the investment – and often market forces drive utilization.  But what happens when utilization needs a push? Even the staunchest laissez faire politician would have to admit that… sometimes… initial investment is just not enough.

Back to our story and mayor of a mid-sized city famous for being the largest “land locked” city in its country and an unflattering nickname of “no place” that reflected a lack of almost anything distinguishable.

This mayor had a vision – a vision that his city would become a destination for businesses, tourists, and events. But without an infrastructure… how could he pull this off? Getting approval for an investment in a 60,000 seat domed stadium – to the outsider – may have seemed like his greatest hurdle.

Indianapolis' RCA Dome

And had this mayor not been a visionary, he may have stopped at building the stadium and then letting market forces dictate what happened next.  Instead, his infrastructure – his stadium – was the first step in his plan that would enable this City to become the a) recognized “Amateur Sports Capital of the World,” b) home to a NFL team, and c) most importantly, one of the top convention cities in the United States.

None of this happened in a vacuum. Beyond the initial stadium investment, the mayor and his staff needed to aggressively bring events, teams, hotel chains, etc. to the City. They had to be creative in leading the development of downtown to transform a “no place” to a prosperous “some place.”  And the mayor of this town retired after 16 years in office, the most beloved leader the City has ever – or dare I say it – will ever have.

Now since the transformation of this City, many have followed suit… but only partially.  Stadiums have gone up across North America to attract professional sports teams – some successfully attracting teams.  But that is where it has stopped.  You see, investment without an all-encompassing strategy can work… but only to a point.

So – as community leaders investing in broadband initiatives today – can we really learn anything from a stadium build and accompanying transformation?  We better.

Without reasons, applications, and e-solutions for our new broadband network – all we have is an empty stadium.  It may attract some patrons – but it will never realize its transformational power. Turn to SNG – we can help you develop your own legacy of making your region a “some place.”

SNG has been helping communities and its leaders for more than 15 years ensure that broadband investments receive their maximum economic impact.  By uncovering gaps, mapping demand, and helping communities develop innovative e-solutions and driving awareness and utilization, SNG helps make sure your network investment has transformational (and measurable) impacts.

Read more about Indianapolis’ Mayor William Hudnut.


Build it and they will come – right?

by Paul Budde
www.budde.com

Wrong. The field of dreams only happens in films. In the real world it takes a lot of effort. A telling example with lessons for Australia is Cornwall.

Late last year, British Telecom announced plans to install 150,000 kilometres of fibre cable in Cornwall. BT is providing £78.5m and there will be up to £53.5m from the European Regional Development Fund. The European Commissioner for regional policy, Johannes Hahn, said it was the largest investment of its kind supported by EU funds.Sally Davis, the chief executive of BT’s Wholesale division, called the venture an “absolute landmark” for the company and said “This is the most ambitious rural fibre project in the world.”

Why Cornwall?

It is because Cornwall has proved itknows how to promote broadband.Back in April 2002, Cornwall invested € 20 million (from various sources including € 4.5 million from British Telecom and € 7.5 from the EU) in project actnow to bring ADSL to the region. It had stretching objectives. Within the first three years, actnow was supposed to achieve a coverage rate of 50% and a broadband penetration of 3300 businesses (equivalent to about 18% of all businesses). BT was sceptical because an earlier development of the DSL infrastructure in a rural region in Wales had only reached 3% broadband penetration among businesses 1.5 years after its launch.However, actnowachieved a coverage rate of 99% within the first four years and the challenging target of 3300 businesses using broadband connections was reached a year ahead of time.

Actnow has changed the image of Cornwall, from a rural laggard to a region where it is worth living and working. It became more attractive for investors, for innovative businesses and for young people who are returning to the region. According to actnow, about 4300 broadband-related jobs have been created between 2002 and 2007 (including through start-ups) and the contribution to the annual GDP of Cornwall has been about € 140 m. This is a seven-fold return on the initial investment.

What can we learn from actnow?

In 2002, businesses and especially small business lacked an awareness of the potential of broadband. One of the themes emerging from the many submissions to the House of Reps Inquiry into the Role and Potential of the NBN is that prospective end-users do not know much about the NBN beyond the hype.

To overcome such obstacles to the adoption and utilisation of the NBN, we need to focus on measurements such as: 

  • Broadband’s impacts on specific industries – who is using broadband most effectively and who is missing out on opportunities?
  • Identifying specific e-solutions utilization among industries, regions, etc. and their economic impact.
  • Exploring the differences between rural and urban areas within a region, or between regions – and how e-Solutions help each overcome challenges.
  • Going to the next level of mapping – a map of not only availability – but also demand.
  • The factors (other than availability) that drive utilization – and how to “bottle that” and bring it to areas where utilization is below average.
  • The revenue driven and the cost savings resulting from broadband.
  • How broadband impacts job creation.
  • Barriers to using broadband and the needs to overcome them.
  • How different sizes of organizations best utilize e-solutions.

This is exactly the kind of work that the Strategic Networks Group (SNG) has been engaged in for many years. SNG goes to the heart of a region’s broadband challenges and success by going straight to a region’s businesses, organizations, and households to collect information on how they use and benefit from broadband.

For its 30th anniversary this year, ATUG has invited the founder of SNG, Michael Curri, to run a workshop on regional planning for broadband on 30th March in Sydney.


SNG Announces Industry’s First and Only Hands-On, Comparative Database on Digital Economy Metrics

Digital Economy Analytics Platform from SNG enables SNG clients to compare how businesses, organizations, and households are connected, using, and benefiting from the internet. This unique dashboard and benchmarking tool enables localities and economic development agencies to uncover actionable information and insights. With this new solution from SNG, elected officials can identify broadband gaps and prioritize how to bridge those gaps across their territory.

Digital Economy Analytics Platform puts all the data from SNG’s in-depth analysis reports at your fingertips in a secure Web-based tool, allowing you to run your own queries and reports. Identify where, how, and by who broadband is being used to uncover gaps and opportunities to be addressed. Broadband utilization and its measurable impacts can quickly be assessed along multiple dimensions of geography, user characteristics, and Internet technologies to identify where broadband is being used to greater or lesser effect.

The easier it is for our clients and their stakeholder groups to gain intelligence from their data, the more value that data has for them. This is why SNG has invested in the Digital Economy Analytics Platform and will continue to develop its capabilities. Our goal is to maximize the social benefits and economic growth that can be derived from broadband technologies and our mission is to arm our clients and stakeholders with the information and intelligence to take effective action towards this goal. The Digital Economy Analytics Platform is one more powerful step toward fulfilling this mission.

By using the Digital Economy Analytics Platform, users are now just a click of the mouse away from unlocking the keys to maximizing the business and social benefits of broadband:

  • Broadband’s Impacts on specific industries – who is using broadband most effectively and who is missing out on opportunities
  • Specific e-solutions utilization among industries, regions, etc. and their economic impact.
  • The differences between rural and urban areas within a region, or between regions – and how e-Solutions help each overcome challenges.
  • The next level of mapping – a map of not only availability – but demand.
  • The factors (other than availability) that drive utilization – and how to “bottle that” and bring it to areas where utilization is below average.
  • The revenue driven and the cost savings resulting from broadband.
  • How broadband impacts job creation.
  • Barriers to using broadband and the needs to overcome them.
  • How different sizes of organizations best utilize e-solutions.

“SNG’s latest business intelligence solution, its ‘Digital Economy Analytics Platform’ provides North Carolina the ability to see our broadband data and its economic impact in ways that were previously not easily available to us,” explains Jane Smith Patterson, Executive Director of e-NC “North Carolina now has access to Strategic Network Group’s world-class solution set to analyze broadband utilization and its impacts. The ability for our staff to customize how we see the data and compare it among regions and industries will prove critical for program planning and provide e-NC a strategic advantage to support NC communities regional economic development efforts both locally and globally.”

“What’s really exciting about Digital Economy Analytics Platform is the ability to compare regions not just within your own territory but across the globe,” explains SNG president and CEO Michael Curri. “With results from studies across the globe, those who wish to share their study results can compare their region to other states, provinces, countries, etc. to better understand steps they can take can do to fully leverage the benefits of high speed Internet. Researchers recognize what we have built as a ‘normative database’ – for the laymen, it is simply the only way for one region to compare itself to another in the world of broadband utilization.”

SNG goes to the heart of a region’s broadband challenges and success by going straight to a region’s businesses, organizations, and households to collect information on how they use and benefit from the Internet. How are people and organizations using broadband? What are they not doing? What are their needs and barriers? How do they benefit and how do these benefits translate into tangible social and economic impacts? How does broadband utilization and its impacts change over time?

All of this collected information, analyzed by SNG’s Broadband Economists and made available through the Digital Economy Analytics Platform enables stakeholders to develop programs and initiatives to drive innovation and economic development.

With our proven track record of showing regions how the use of Internet technologies will be most effective and deliver the most benefits, SNG’s Digital Economy Analytics Platform brings the ability to uncover the drivers of success and the needs of specific geographies more than ever before.Digital Economy Intelligence Database from SNG enables SNG clients to compare regions and industries to uncover actionable information and insights. With this new solution from SNG, regional leaders can leverage the best practices from each region and industry across their territory.

Digital Economy Intelligence Database puts all the data from SNG’s in-depth analysis reports at your fingertips in a secure Web-based tool, allowing you to run your own queries and reports. Identify where, how, and by who broadband is being used to uncover gaps and opportunities to be addressed. Broadband utilization and its measurable impacts can quickly be assessed along multiple dimensions of geography, user characteristics, and Internet technologies to identify where broadband is being used to greater or lesser effect.

The easier it is for our clients and their stakeholder groups to gain intelligence from their data, the more value that data has for them. This is why SNG has invested in the Digital Economy Intelligence Database and will continue to develop its capabilities. Our goal is to maximize the social benefits and economic growth that can be derived from broadband technologies and our mission is to arm our clients and stakeholders with the information and intelligence to take effective action towards this goal. The Digital Economy Intelligence Database is one more powerful step toward fulfilling this mission.

By using the Digital Economy Intelligence Database, users are now just a click of the mouse away from unlocking the keys to maximizing the business and social benefits of broadband:

  • Broadband’s Impacts on specific industries – who is using broadband most effectively and who is missing out on opportunities
  • Specific e-solutions utilization among industries, regions, etc. and their economic impact.
  • The differences between rural and urban areas within a region, or between regions – and how e-Solutions help each overcome challenges.
  • The next level of mapping – a map of not only availability – but demand.
  • The factors (other than availability) that drive utilization – and how to “bottle that” and bring it to areas where utilization is below average.
  • The revenue driven and the cost savings resulting from broadband.
  • How broadband impacts job creation.
  • Barriers to using broadband and the needs to overcome them.
  • How different sizes of organizations best utilize e-solutions.

“SNG’s latest business intelligence solution, its ‘Digital Economy Intelligence Database’ provides North Carolina the ability to see our broadband data and its economic impact in ways that were previously not easily available to us,” explains Jane Smith Patterson, Executive Director of e-NC “North Carolina now has access to Strategic Network Group’s world-class solution set to analyze broadband utilization and its impacts. The ability for our staff to customize how we see the data and compare it among regions and industries will prove critical for program planning and provide e-NC a strategic advantage to support NC communities regional economic development efforts both locally and globally.”

“What’s really exciting about Digital Economy Intelligence Database is the ability to compare regions not just within your own territory but across the globe,” explains SNG president and CEO Michael Curri. “With results from studies across the globe, those who wish to share their study results can compare their region to other states, provinces, countries, etc. to better understand steps they can take can do to fully leverage the benefits of high speed Internet. Researchers recognize what we have built as a ‘normative database’ – for the laymen, it is simply the only way for one region to compare itself to another in the world of broadband utilization.”

SNG goes to the heart of a region’s broadband challenges and success by going straight to a region’s businesses, organizations, and households to collect information on how they use and benefit from the Internet. How are people and organizations using broadband? What are they not doing? What are their needs and barriers? How do they benefit and how do these benefits translate into tangible social and economic impacts? How does broadband utilization and its impacts change over time?

All of this collected information, analyzed by SNG’s Broadband Economists and made available through the Digital Economy Intelligence Database enables stakeholders to develop programs and initiatives to drive innovation and economic development.

With our proven track record of showing regions how the use of Internet technologies will be most effective and deliver the most benefits, SNG’s Digital Economy Intelligence Database brings the ability to uncover the drivers of success and the needs of specific geographies more than ever before.


Local case study on broadband utilization shows US business behind Norway: “The Trondheim Paper”

By Thibaud Châtel

Last year the SNG team partnered with the Norwegian University of Science and Technology of Trondheim, a well-known European “Think Tank” for students. SNG provided support to a Master’s Degree student in Telematics, Steffen André Stople, in the form of an e-Solutions Benchmarking project. We studied the hospitality sector (hotels, bed & breakfast, camping facilities, etc.) of the Hardanger Fjord area, which include the second and third most populated cities of Norway – both extremely tourism dependent.

With an excellent response rate among the accommodation business of the area, comparisons were able to be drawn between Norway and the American tourism & hospitality sector by using SNG’s previously collected data.

As with much of Europe, Norway is ahead of the US in terms of broadband availability. And given connectivity, utilization should follow the same pattern (even though e-solutions drive utilization as much as availability, see below, next story).

  • 3 in 4 (75%) of Norwegian businesses are currently using web-enabled mobile phones to provide worker mobility, in contrast to 2 in 5 Americans.
  • 100% of Norwegians businesses are using laptop computers versus 80% of Americans – making mobile e-solutions more adaptable for Norwegians.
  • Wireless connection is used by twice the users in Norway than the US (29% versus 14%).
  • Nearly 3 in 5 (58%) of Norwegian businesses are using Internet multimedia content or interactive tools while only 3 in 10 (31%) in the US.  What’s worse is 35% of US businesses say video virtual tour, dynamic slide shows, live webcams and others are not applicable to their business.
  • More than a third (35%) of Americans’ think that tele-working isn’t applicable in this sector as opposed to 0% of Norwegian businesses agreeing with this point of view.

While these results were well received in Norway, illustrating Scandinavians’ advance in the web-enabled 21st century – it is discouraging for those who believe in broadband’s powers and call the United States “home.” A significant portion of American organizations are not even considering the benefits of broadband and web-enabled solutions!

The “Trondheim paper” illustrates the way to follow, and most satisfied with this work, SNG will continue to support similar projects. Click here to download the full report.


February 2011: Digital Economy Analytics Platform, Norway, and Utilization

         

SNG Announces Industry’s First and Only Hands-On, Comparative Database

  

Digital Economy Analytics Platform from SNG enables SNG clients to compare regions and industries to uncover actionable information and insights. With this new solution from SNG, regional leaders can leverage the best practices from each region and industry across their territory.   

Digital Economy Analytics Platform puts all the data from SNG’s in-depth analysis reports at your fingertips in a secure Web-based tool, allowing you to run your own queries and reports. Identify where, how, and by who broadband is being used to uncover gaps and opportunities to be addressed. Broadband utilization and its measurable impacts can quickly be assessed along multiple dimensions of geography, user characteristics, and Internet technologies to identify where broadband is being used to greater or lesser effect.   

The easier it is for our clients and their stakeholder groups to gain intelligence from their data, the more value that data has for them. This is why SNG has invested in the Digital Economy Analytics Platform and will continue to develop its capabilities. Our goal is to maximize the social benefits and economic growth that can be derived from broadband technologies and our mission is to arm our clients and stakeholders with the information and intelligence to take effective action towards this goal. The Digital Economy Analytics Platform is one more powerful step toward fulfilling this mission.   

By using the Digital Economy Analytics Platform, users are now just a click of the mouse away from unlocking the keys to maximizing the business and social benefits of broadband:   

  • Broadband’s Impacts on specific industries – who is using broadband most effectively and who is missing out on opportunities
  • Specific e-solutions utilization among industries, regions, etc. and their economic impact.
  • The differences between rural and urban areas within a region, or between regions – and how e-Solutions help each overcome challenges.
  • The next level of mapping – a map of not only availability – but demand.
  • The factors (other than availability) that drive utilization – and how to “bottle that” and bring it to areas where utilization is below average.
  • The revenue driven and the cost savings resulting from broadband.
  • How broadband impacts job creation.
  • Barriers to using broadband and the needs to overcome them.
  • How different sizes of organizations best utilize e-solutions.

  

“SNG’s latest business intelligence solution, its ‘Digital Economy Analytics Platform’ provides North Carolina the ability to see our broadband data and its economic impact in ways that were previously not easily available to us,” explains Jane Smith Patterson, Executive Director of e-NC “North Carolina now has access to Strategic Network Group’s world-class solution set to analyze broadband utilization and its impacts. The ability for our staff to customize how we see the data and compare it among regions and industries will prove critical for program planning and provide e-NC a strategic advantage to support NC communities regional economic development efforts both locally and globally.”   

“What’s really exciting about Digital Economy Analytics Platform is the ability to compare regions not just within your own territory but across the globe,” explains SNG president and CEO Michael Curri. “With results from studies across the globe, those who wish to share their study results can compare their region to other states, provinces, countries, etc. to better understand steps they can take can do to fully leverage the benefits of high speed Internet. Researchers recognize what we have built as a ‘normative database’ – for the laymen, it is simply the only way for one region to compare itself to another in the world of broadband utilization.”   

SNG goes to the heart of a region’s broadband challenges and success by going straight to a region’s businesses, organizations, and households to collect information on how they use and benefit from the Internet. How are people and organizations using broadband? What are they not doing? What are their needs and barriers? How do they benefit and how do these benefits translate into tangible social and economic impacts? How does broadband utilization and its impacts change over time?   

All of this collected information, analyzed by SNG’s Broadband Economists and made available through the Digital Economy Analytics Platform enables stakeholders to develop programs and initiatives to drive innovation and economic development.   

With our proven track record of showing regions how the use of Internet technologies will be most effective and deliver the most benefits, SNG’s Digital Economy Analytics Platform brings the ability to uncover the drivers of success and the needs of specific geographies more than ever before.   

Local case study on broadband utilization shows US business behind Norway:  “The Trondheim Paper”    

  

By Thibaud Châtel   

Last year the SNG team partnered with the Norwegian University of Science and Technology of Trondheim, a well-known European “Think Tank” for students. SNG provided support to a Master’s Degree student in Telematics, Steffen André Stople, in the form of an e-Solutions Benchmarking project. We studied the hospitality sector (hotels, bed & breakfast, camping facilities, etc.) of the Hardanger Fjord area, which include the second and third most populated cities of Norway – both extremely tourism dependent.   

With an excellent response rate among the accommodation business of the area, comparisons were able to be drawn between Norway and the American tourism & hospitality sector by using SNG’s previously collected data.   

As with much of Europe, Norway is ahead of the US in terms of broadband availability. And given connectivity, utilization should follow the same pattern (even though e-solutions drive utilization as much as availability, see below, next story).   

  • 3 in 4 (75%) of Norwegian businesses are currently using web-enabled mobile phones to provide worker mobility, in contrast to 2 in 5 Americans. 
  • 100% of Norwegians businesses are using laptop computers versus 80% of Americans – making mobile e-solutions more adaptable for Norwegians. 
  • Wireless connection is used by twice the users in Norway than the US (29% versus 14%).
  • Nearly 3 in 5 (58%) of Norwegian businesses are using Internet multimedia content or interactive tools while only 3 in 10 (31%) in the US.  What’s worse is 35% of US businesses say video virtual tour, dynamic slide shows, live webcams and others are not applicable to their business. 
  • More than a third (35%) of Americans’ think that tele-working isn’t applicable in this sector as opposed to 0% of Norwegian businesses agreeing with this point of view.

  

While these results were well received in Norway, illustrating Scandinavians’ advance in the web-enabled 21st century – it is discouraging for those who believe in broadband’s powers and call the United States “home.” A significant portion of American organizations are not even considering the benefits of broadband and web-enabled solutions!   

The “Trondheim paper” illustrates the way to follow, and most satisfied with this work, SNG will continue to support similar projects. Click here to download the full report.   

Quick Bytes

 News items from the broadband economists…   

SNG’s own John DeRidder showed up on the news in Australia, commenting on the NBN  initiative. John talks about how the speed may be a great feature, but price point and lack of e-solutions from the NBN are barriers they are going to have to overcome. Click here to watch the clip on You Tube>>> 
  

 

 
 
 
 
 
 
 

 

   

 


Click through to see the latest results from SNG, showing the direct results of how e-solutions increases utilization.
Click here to see the chart>>>
   


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