Houston's city council has given the go-ahead to Silver Spring, Md.-based CityNet Telecommunications Inc. to deploy high-speed fiber-optic networks through the city's sewer system.
With the award of the license agreement, CityNet can now send its high-tech robots known as SAM (Sewer Access Module) through the sewers to install the broadband networks.
CityNet plans to connect hundreds of multi-tenant buildings to Houston's larger metro "beltway" networks, giving telecom carriers, Internet and other broadband network service providers the ability to offer fiber optic connectivity to end-user businesses and consumers needing high-speed voice, data and Internet communications.
CityNet specializes in the "last mile" connection that bridges the end-user building and the larger metro network rings.
Because CityNet uses a city's sewer system, it significantly reduces the need for the massive trenching and resulting damage of streets normally associated with the installation of fiber-optic networks. CityNet's system also eliminates the major traffic disruptions and urban infrastructure damage that can be caused by traditional trenching.
CityNet has plans to build seven rings over the next few years in Houston, connecting hundreds of end-user buildings, and giving telecommunications carriers and broadband service providers instant access to thousands of paying customers. Each ring will require approval by the Director of the city of Houston Public Works and Engineering Department.
The fiber-optic network provider will pay a franchise fee of 2.5% of their gross revenue. An infrastructure fee will also be charged, officials said.
Houston becomes part of about a dozen U.S. and European cities that have signed agreements with CityNet, including the cities of Dallas, Fort Worth and San Antonio.