United States : Kodiak Kenai Cable Co. Targets Alaska with Broadband Stimulus Application.

Byline: datta03

Kodiak Kenai Cable Co., an Alaskan-based middle-mile fiber provider, is seeking some funds from the federal government to expand its undersea fiber optic cable.

The carrier was one of 2,200 applicants seeking broadband stimulus funds from the National Telecommunications and Information Administration. In all, applications submitted from various organizations, cities and states totaled $28 billion.

Kodiak Kenai Cable Co. wants to enhance communication service in Alaska by extending the company s existing fiber link system via submarine fiber optic cable from Narrow Cape on Kodiak Island to the Aleutian Islands and Western Alaska, according to a Communications Technology report.

The company submitted an application to the Rural Utilities Service for a $173 million loan and a $172 million grant to lay 3,500 miles of new fiber. The company is offering $84 million toward the project. In addition, Kodiak Kenai has submitted an application to the NTIA for a $215 million grant, with the company offering to match $215 million.

The extended subsea cable, called the Northern Fiber Optic Link, would "be a backbone for the entire region," Walt Ebell, CEO of Kodiak Kenai, told Communications Technology. It would have 10 landing points at existing communities where last-mile providers could build or extend connections, the report said.

One criterion for stimulus funds is that the broadband project must be "shovel-ready," officials said. And since Kodiak Kenai had prepared its plans before the national broadband stimulus plan was developed, company officials said they are ready to begin their project, according to Communications Technology.

Though some companies question the viability of undersea cabling. United Utilities Inc., which filed a separate application for government funds, cautioned against going undersea. According to Communications Technology, United Utilities said a hybrid fiber-optic and microwave broadband middle mile network would maximize use of terrestrial routes to minimize the possibility of lengthy, expensive-to-repair service outages caused by breaks in submarine fiber optic cable.

Cable can be locked under sea ice for up to half of a year, the application said. In its application, UUI s parent company GCI (News - Alert) Alaska s largest telecom and cable services provider said it would guarantee any loan granted by RUS and purchase middle-mile capacity from UUI, the report said.

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