The Fiber Broadband Association announced the results of its Fiber Deployment Cost Annual Report. Conducted by Cartesian, the study examines the evolving costs of fiber broadband deployment, finding that broadband service providers are predicting future cost changes to be largely the same as in 2024 or increase slightly (less than 10%) which is a marked improvement from the previous year’s study.
The year-over-year network median costs for underground deployment increased 12% year-over-year but the median cost for aerial fiber deployment remained largely the same. The report highlights how cost trends impact the expansion of fiber networks, providing critical insights for policymakers and industry leaders navigating the financial landscape of broadband infrastructure.
According to the 2024 Fiber Deployment Cost Annual Report, fiber deployment costs have continued to rise in 2024 due to increasing labor and material costs. Labor alone was reported to account for 60 – 80% of deployment costs. However, deployment costs varied widely based on construction technique. For underground builds, plowing had the lowest reported median cost while trenching had the highest. For aerial deployments, participants reported similar costs for Strand and Lash versus ADSS cabling methods.
An in-depth discussion of the Fiber Deployment Cost Study will be presented during a webinar on February 6, 2025—register here to attend. Also, subscribe to FBA’s Fiber Forward Weekly newsletter here to stay updated on FBA research, news, and more.
Deborah Kish, Vice President of Research and Workforce Development, Fiber Broadband Association
Fiber remains the leading preference by states for telecommunications investments across the country due to its reliability, low-latency, and scalability. Studying the cost of fiber deployment over time is critical to our understanding of the value of our investments in broadband. This cost report serves as a benchmark for the industry and for policymakers to chart an affordable path to deploying reliable, long-lasting fiber networks that reach the greatest number of Americans.
Michael Dargue, Vice President, Cartesian
New federal and state funding, such as Texas’ $700 million BOOT program, will start to flow through to providers this year, and more rural areas will gain access to fiber. Together with investment from private capital, we expect 2025 to be another record deployment year for fiber despite rising costs across the broadband industry.