Appendix A TORONTO BROADBAND STUDY Prepared for the City of Toronto by: FONTUR International Inc. MDB Insight Inc. October 2017 [FINAL v4] Table of Contents GLOSSARY .............................................................................................................................................................. 4 EXECUTIVE SUMMARY ........................................................................................................................................... 6 1 WHAT IS BROADBAND, AND WHY IS IT IMPORTANT? ................................................................................... 8 DEFINING BROADBAND ................................................................................................................................................... 8 INVESTMENT IN BROADBAND ACCESSIBILITY & AFFORDABILITY AS A KEY ELEMENT TO SMART CITY DEVELOPMENT & JOB CREATION .... 9 RESPONDING TO THE PRESSURES OF THE DIGITAL ECONOMY ................................................................................................ 12 2 BROADBAND TRENDS .................................................................................................................................. 14 BROADBAND OVER LTE (WIRELESS)................................................................................................................................. 14 5TH GENERATION CARRIER WIRELESS (5G) ........................................................................................................................ 15 INTERNET OF THINGS (IOT) ............................................................................................................................................ 16 THE “DIGITAL DIVIDE” .................................................................................................................................................. 17 GOVERNMENT-OWNED BROADBAND NETWORKS ............................................................................................................... 18 GIGABIT SPEED AVAILABILITY .......................................................................................................................................... 18 3 JURISDICTION & THE CITY’S ROLE ................................................................................................................ 19 HISTORY & CONTEXT .................................................................................................................................................... 19 PRESENT-DAY REGULATIONS & JURISDICTION - WIRELESS .................................................................................................... 20 PRESENT-DAY REGULATIONS & JURISDICTION - WIRED ....................................................................................................... 21 CITY’S ROLE IN JURISDICTIONAL CONTEXT ......................................................................................................................... 22 4 WIRED BROADBAND INFRASTRUCTURE ...................................................................................................... 23 INTRODUCTION ............................................................................................................................................................ 23 METHODOLOGY ........................................................................................................................................................... 27 CONSUMER-ORIENTED WIRED BROADBAND ..................................................................................................................... 27 OTHER CONSUMER-ORIENTED WIRED BROADBAND ........................................................................................................... 29 KEY FINDINGS .............................................................................................................................................................. 31 RECOMMENDED CITY STRATEGIES OR ACTIONS .................................................................................................................. 32 5 WIRELESS BROADBAND INFRASTRUCTURE .................................................................................................. 34 INTRODUCTION ............................................................................................................................................................ 34 METHODOLOGY ........................................................................................................................................................... 35 CELLULAR BROADBAND ................................................................................................................................................. 35 FIXED WIRELESS BROADBAND ......................................................................................................................................... 43 IN-BUILDING WIRELESS ................................................................................................................................................. 44 WI-FI HOTSPOTS ......................................................................................................................................................... 46 KEY FINDINGS .............................................................................................................................................................. 48 RECOMMENDED CITY STRATEGIES OR ACTIONS .................................................................................................................. 49 6 COMMERCIAL DATA CENTRES ..................................................................................................................... 51 INTRODUCTION ............................................................................................................................................................ 51 COMMERCIAL DATA CENTRES IN TORONTO ....................................................................................................................... 51 KEY FINDINGS .............................................................................................................................................................. 52 RECOMMENDED CITY STRATEGIES OR ACTIONS .................................................................................................................. 53 7 OTHER BROADBAND INFRASTRUCTURE ...................................................................................................... 54 INTRODUCTION ............................................................................................................................................................ 54 METHODOLOGY ........................................................................................................................................................... 54 2 TORONTO BROADBAND STUDY FONTUR INTERNATIONAL | MDB INSIGHT INFRASTRUCTURE ......................................................................................................................................................... 54 KEY FINDINGS .............................................................................................................................................................. 61 RECOMMENDED CITY STRATEGIES OR ACTIONS .................................................................................................................. 62 8 CASE STUDIES .............................................................................................................................................. 63 CITY OF KITCHENER DIGITAL STRATEGY AND BROADBAND DELIVERY ....................................................................................... 64 CITY OF CHICAGO TECHNOLOGY PLAN AND BROADBAND DELIVERY ........................................................................................ 68 BROADBAND DELIVERY MODELS CENTERED ON WI-FI ZONES ............................................................................................... 71 FINANCIAL IMPLICATIONS: PUBLIC WIRELESS NETWORKS ..................................................................................................... 75 9 SUMMARY OF RECOMMENDED STRATEGIES & ACTIONS ............................................................................ 78 WIRED BROADBAND ..................................................................................................................................................... 78 WIRELESS BROADBAND ................................................................................................................................................. 79 DATA CENTRES ............................................................................................................................................................ 81 OTHER BROADBAND INFRASTRUCTURE ............................................................................................................................. 81 10 NEXT STEPS REQUIRING FURTHER STUDY .................................................................................................... 83 VALUE PROPOSITION OF FREE WI-FI ................................................................................................................................ 83 STRATEGY FOR BUILDING INFRASTRUCTURE ....................................................................................................................... 83 EXPLORATION OF INFRASTRUCTURE PLANNING ..................................................................................................................