SEMO Electric Cooperative is in their second year of a three-year buildout to expand fiber connections in southeast Missouri. It’s part of a move by the Federal Communications Commission (FCC) to expand broadband access in the region.
The SEMO Electric Cooperative has been one of the benefactors of this project. They’re working to extend services to rural Missourians with a $2 million grant from the FCC they won in a recent auction by the Connect America Fund. In the auction, companies bid on certain amounts of money, which they would use correspondingly to a particular census area.
The cooperative’s broadband subsidiary, GoSEMOFiber, deals directly with fiber broadband. They have connected 1,600 subscribers so far.
In a time when schools are stepping up with one-to-one programs, fiber broadband could keep rural students at home if they need internet services, rather than taking a trip to the nearest restaurant offering free Wi-Fi. Fiber Services Manager Loyd Rice says the developments in broadband will cause a shift in rural communities, potentially keeping more young people in the region.
“It’s gonna be a game-changer for the rural marketplace,” says Rice.
As a cooperative, one option they have is to run their fiber cables directly to the homes of their users, which, Rice says, would not be a good business model under normal circumstances. The current model for their internet service allows them to avoid throttling or limiting data access.
“We’re turning on the pipeline to whoever hooks up and wants it,” Rice says.
Due to the reliability of fiber broadband, customers could have service constantly, unlike satellite which may suffer from lags or weather interference.
Rice said the universal services fees that sustained funds for these projects in the past were taken in by larger providers mainly in metropolitan areas.
“For so long, those have been just going to the really big incumbent telecom providers,” he said. “And those companies have chosen not to invest that in rural America.”
Because they already “have the road built” with their electrical footprint in southeast Missouri, the Cooperative is able to map out the network whenever money may be available from the Connect America Fund.
Rice says the internet access now available with broadband expansion is a lot like the change from the Model T to a semi-truck, in how advanced it is. It also rivals the internet connection available in cities.
He also compared the growth of rural broadband to how different rural communities "grew up together" while trying to keep in step with new electrical developments.
“We feel like we’re just on the tip of the spear in Missouri, and that others are going to come along,” says Rice.
On April 12, FCC chairman Ajit Pai announced they would be investing $20 billion to strengthen rural broadband across America.