The second edition of The Fiber Broadband Association’s annual report on fiber deployments shows that 40% of respondents deployed fiber underground and 16% aerially. The survey, which was conducted in association with Cartesian in October and November of last year, included operators and contractors from 32 states.
There is a lot of activity, according to the report’s executive summary. “Since the publication of the 2023 report, many factors impacting the fiber landscape have changed,” the fiber deployment report says.
“The economic climate has improved, supply chain disruptions have abated, and the National Telecommunications and Information Administration (NTIA) has now approved all the Initial Proposals for the Broadband Equity, Access, and Deployment (BEAD) program. Several high profile M&A deals were announced, with ILEC’s leading the charge in the acquisition of smaller players.” Highlights of the fiber deployment report:
- Typical fiber costs ranged from $10 to $27 per foot for underground and $5 to $14 for aerial deployments.
- Labor costs range from 60% to 80%. The median labor cost for underground deployment is $13 per foot and $4 per foot for aerial. Costs for internal labor were half of what it is for outsourced labor.
- Underground builds had the lowest reported median cost of $14.50 per foot. Trenching has the highest at $26.50 per foot. In aerial deployments, participants reported similar costs for strand and lash versus all-dielectric self-supporting (ADSS) cabling. They were at $6.75 per foot and $6.55 per foot, respectively.
- Firms owning poles reported lower costs for aerial deployments than those seeking access. The median cost of aerial build among firms that have their own poles was $4.90 per foot, compared to $7.00 per foot for those firms renting.
- Permits and make-ready costs are important. Respondents noted longer delays obtaining permits for fiber builds. This impacts costs and timelines. Make-ready costs and attachment fees for poles have increased.
- Expected cost increases for fiber deployment in 2025 are predicted to be lower than 2024, the report said. 25% of respondents expect a cost increase of greater than 10% this year. In 2024, 41% of respondents experienced an increase.
Another recent report from the Fiber Broadband Association — this one done in conjunction with LLC Market Research & Consulting — found that 10.3 million homes in the U.S. were passed by fiber by the end of last year.
