SiFi High Speed Fiber Network

SiFi High Speed Fiber Network FAQ

What is SiFi Networks?

SiFi Networks is an international company that constructs fiber to the home (FTTH) networks. SiFi does not provide internet services but, rather, they install the fiber optic cable over which other companies, internet service providers (ISPs), can provide such services. Put another way, SiFi builds the highway and other companies then drive upon it. You can find out more about SiFi Networks by visiting http://sifinetworks.com.

How did the City come to be involved with SiFi Networks?

Currently in Salem, the only high-speed internet service available for Salem residents is provided through Comcast. The City has repeatedly asked Verizon to consider bringing their FiOS fiber product to Salem, however the company has declined. In 2017, SiFi approached the City of Salem with an interest in bringing their fiber optic network to Salem. In August 2017 the City issued a Request for Proposals, formally inviting any and all companies – including SiFi – who would like to propose a high-speed fiber network to submit proposals. In October, a City committee including the Chief Information Officer, the Assistant City Solicitor, Assistant City Engineer, Ward 5 Councillor Josh Turiel – who is an IT professional – and a Salem resident with experience in the industry, reviewed the responses and determined SiFi was best option available.

Why did SiFi select Salem?

SiFi's ownership has largely been engaged in development projects in Europe and recently began looking for opportunities to expand into the American market. Their initial goal was a handful of smaller cities, where larger companies like Verizon FiOS and Google Fiber were not currently looking, which have a certain density of population and demonstrated desire for competition with only one telco or cable company. In Massachusetts, Salem was their preferred community. They hope to expand to other Massachusetts municipalities after Salem is constructed.

Where else is SiFi Networks doing a project like this?

SiFi has signed agreements with Fullerton, California and East Hartford, Connecticut; Portland, Maine and Saratoga Springs, New York are in the latter stages of agreement for city council approval.

How fast will the internet service be?

The network will be built to provide symmetrical gigabit internet connectivity as a standard service.

How much will it cost me for internet service over the SiFi Network?

That depends on the products and packages offered by the ISPs that access space on the fiber network. Because the business model for both SiFi and potential ISPs is modeled around being competitively priced to Comcast, the only other ISP currently available in Salem, it is likely that companies will attempt to provide lower prices than Comcast. Residents should be aware that, following approval of the fiber agreement between the City and SiFi, ISPs considering accessing the network may begin to market to Salem residents.

Will this project add more overhead cables and lines?

No. The entire network will be installed underground in City streets, using either micro-trenching or conduit in the City sewer system

What will the network construction process be like? Will it be disruptive?

The majority of the network will be installed using micro-trenching, a technique that minimizes disruption to traffic and neighbors and to the roadway itself. For most residences, the micro-trenching will be past the property within 20 to 30 minutes. The company is required to notify property owners in advance of the micro-trenching work commencing on their street. The micro-trenching consists of a saw-cut into the roadway that is less than one inch wide and approximately 9-16 inches deep. The saw-cut is immediately followed by a crew that places the 0.5” to 0.75” conduit. A final vehicle fills in the micro-trench. In some places, the company may make use of the City’s existing sewer pipes to run conduit, eliminating the need for even micro-trenching into the roadway. After the conduit is installed, workers use high air pressure to drive the fiber optic strands through the conduits and connect the network. SiFi will work with property owners to bring the fiber conduit to the premises’ wall. If a homeowner or business owner wishes to sign up with an ISP using the SiFi fiber network, provision of any additional equipment necessary to access services would be included within the scope of the property owner’s agreement with the ISP.

Will SiFi restore the road after they are done installing the fiber?

Yes. The agreement between the City and SiFi requires the company to restore the road to similar or equal condition and materials.

What happens if the City needs to pave the road or work on a water or sewer line underground?

SiFi’s conduit will be below the depth that would be impacted by typical road repaving projects. In the event that a road needed to be substantially reconstructed, including below the road-bed, or if the City needed to carry out a major sewer or water project that would impact a micro-trenched conduit or sewer-line conduit, SiFi is required to relocate their fiber at their own expense.

If the fiber is damaged will all customers in Salem lose internet service?

No. The fiber network is designed in a manner to provide redundancies to avoid loss of service. In the event of a catastrophic failure at any one point, no more than 20 to 25 customers would lose internet service.

Will SiFi repair damaged fiber?

Yes. SiFi will have an office in Salem and a crew or contractors to respond to service requests, repair needs, customer service issues, and so forth.

Could Comcast just lease the network to squeeze out any competition?

While it is technically possible, it is exceptionally unlikely. Comcast and similar companies have a very different business model than the ISPs that will be interested in the SiFi fiber network. With Comcast, and also with larger telecommunications companies such as Verizon and Google, the company both constructs the physical network and provides the service. In those communities where SiFi has already begun negotiating with ISPs, the larger incumbent company already in that community (i.e. Comcast, Verizon, etc.) has not sought to lease space on the fiber network. Furthermore, Comcast – Salem’s incumbent – Verizon, and Google all declined to respond to Salem’s RFP in 2017.

Would this agreement prevent another internet service technology, like 5G or something similar, from coming to Salem?

No. There is no restriction on 5G or any other internet technologies, systems, or networks coming to Salem in the future.

What is the cost to the City for this?

There is no cost to the City for the SiFi network. SiFi will pay for the City’s costs to retain a civil engineer to oversee the daily work of the network’s installation (Engineering Department and IT staff will also meet at least monthly with SiFi and its contractors to approve the next set of roadwork; property owners on those streets will receive advance notice; and, the City Council is required to receive quarterly updates from SiFi during construction). The City will receive personal property taxes from SiFi on their equipment and, after the first 30 years of operation, would receive a payment equal to 3% of the company’s gross revenues. SiFi will install fiber connections, at the City’s request, to enable the City, in the future, to make connections for a wide variety of “smart city” assets, such as smart traffic signals, precise street light fixture controls, catch basin flood sensors, police cameras, first responder radio repeaters, and more. The expense for actually purchasing and installing such assets would be on the City and are not part of the agreement with SiFi, however SiFi will provide the fiber wiring to enable such future assets to be connected.

How long will construction take?

SiFi anticipates it will take about two construction seasons to complete the entire construction of the fiber network, though it may run to two and a half; that works out to about 2-1/2 to 3 years. However, as the network is installed, those premises that are on the network can begin to receive service immediately and need not wait until the entire network is constructed.