FiberTower Corporation | Setting New Standards in Backhaul Services

Program Overview

Middle Mile Solution

State Application Details
AL-MS
GA-TN-AL-SC
IN-KY-MI
MA-CT-NY-VT
MS-TN-AR
TX-LA-NM
VA-MD-TN-WV

Technical Architecture

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Compelling Problem
The provision of end user broadband services is greatly dependent on having cost-effective and scalable middle mile solutions. Wireless carriers and other last mile service providers find that backhaul costs and capacity are choke points in their ability to deploy advanced broadband services. In most of the unserved and underserved areas, as well as some served areas, current middle mile solutions come in the form of expensive special access services and point to point T1s. Often these solutions don’t scale cost-effectively. Since the underlying network from incumbents supports a large number of other customers, the quality of service that wireless carriers and last mile providers require is often not met. Wireless carriers’ and last mile service providers’ current inability to solve the aforementioned problems continues to be a huge impediment in providing access or improved access to consumers. This same dynamic is relevant to community anchors institutions that have limited access to cost-effective and scalable middle mile solutions.

An Effective Solution
FiberTower’s proposed projects intend to deliver cost-effective and scalable middle mile solutions to wireless carriers and community anchor institutions in a rapid manner. MuniFrames® will have the ability to deliver up to 300 Mbps of capacity at each site. The underlying infrastructure will allow any beneficiary on the FiberTower network to upgrade bandwidth at minimal incremental cost.

By using hybrid fiber-microwave infrastructure, FiberTower is able to execute on the proposed project much faster than would be possible by using traditional land-based infrastructure (such as fiber), while delivering similar benefits within a larger area. This will accelerate the provision of broadband service to consumers in unserved and underserved areas and ultimately lead to economic growth.

Broad Significance
The proposed middle mile projects, by their very nature, will lay the foundation for bringing broadband to various communities. For example, once the proposed network is built, various last mile service providers will be able to economically create business plans to serve end users. This will not only bring more investment to those areas but also facilitate the broader economic development of the community.

Statutory Purposes
The projects are structured to “provide access” and “provide improved access” to consumers and community anchor institutions. Consumers will benefit from the project as wireless carriers and last mile service providers deploy advanced broadband services enabled by cost-effective and scalable middle mile solutions. Service providers could also include wireless Internet Service Providers (ISPs), WiMax service providers, CLECs, CAPS, IXCx, MSOs, and LECs. Within the service area of each MuniFrame®, schools, libraries, medical and healthcare providers, and public safety agencies that have line-of-sight to it will be able to get broadband access with little investment and at prices that will be competitive relative to other options generally available in the marketplace.

In addition to the above, around 45% of the grant funds are expected to flow directly into the economy within 12 months of project initiation, and the majority of the rest in the following 12 months. Direct jobs will thus be created specifically by this new spending (e.g., workers hired to construct the network). Indirect jobs will also be created which will include both jobs created through manufacturing materials and other inputs for production. Next, Induced jobs will be created when newly employed workers spend their paychecks at other establishments (e.g., local restaurants). Finally, Broadband Network jobs will be created when broadband availability opens a wide range of new opportunities to an area (e.g., broadband enables high tech firms to locate in a community).

In summary the proposed projects support all the statutory objectives of the BTOP program and have a great potential to achieve several of the goals outlined in the Recovery Act.

FiberTower (FTWR) provides mission and business critical transport solutions, including backhaul and premise access services, to major wireless carriers, enterprises and government agencies. FiberTower networks, which are designed using nationwide spectrum and an optimal mix of wireless and fiber technologies, offer carrier-grade performance, point-to-point and point-to-multipoint capabilities, and TDM to Ethernet service platforms. FiberTower delivers backhaul services to the leading wireless carriers in 14 major U.S. markets, as well as premise access services through enterprise and government partners. Partnering with the some of the largest wireless infrastructure operators in the US, FiberTower has become the first transport provider building high capacity solutions available anywhere within the country and backing them with new, advanced operational and service standards. FiberTower trades on the NASDAQ National Market under the ticker symbol "FTWR". For more information, please visit:

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