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High speed: Networks East receives $58 million in stimulus funds to install high-speed Internet in rural areas

Posted by world Jr at Wednesday, October 27, 2010
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A local company has received millions in stimulus funds to bring high-speed Internet service to households in rural North Carolina.“It’s not going to make us rich by any means, but it is going to provide a good service to the community and it is going to provide jobs,” Todd Edwards, president of Kinston-based Networks East, said of a $58 million federal grant his company recently obtained.

The money will be used to install satellite-based high-speed Internet service for individual customers who currently only use dial-up.

The installations begin today and last until the grant runs out, Edwards said.

“I’m excited about it,” he said. “I enjoy making people happy and I’ve never seen anybody happier than when they get rid of dial-up and get high-speed Internet.”

Networks East is a local affiliate of HughesNet — Hughes Network Systems LLC, headquartered in Germantown, Md., is a worldwide provider of broadband satellite networks, services and products, according to the company website.

HughesNet applied to take part in the federal government’s initiative to expand high-speed Internet to rural areas that either have no high-speed service or are underserved by high speed.

Edwards said the criteria for being considered “underserved” would mean having Internet at a speed of no more than 768 kilobits per second.

His company will install the satellite and other necessary hardware for free in households across the state.

“There’s not a part of North Carolina we won’t be able to service,” Edwards said.

Customers will only be charged $39.99 plus any applicable taxes for the first month’s service, and the government is requiring a one-year price guarantee rate that will not change.

Mark Pope, economic development director for Lenoir County, said giving rural residents the same online capabilities as those of larger communities helps make the area more attractive to employers.

“To be able to service our rural counties really helps a lot,” Pope said.

County Commissioner Chris Humphrey, who represents La Grange and the rural western part of the county, said the high-speed service would be a boon to the area.

“It’s good that there are grants available that can help stimulate rural parts of the county.” Humphrey said. “There’s farmers out there that need access and so do [other] citizens in those areas.”

Networks East staff has been combing its database of existing customers to determine who would qualify — interested residents can also call the company to see if they qualify.

Edwards said a “skeleton crew” of certified technicians is on hand across the state to do the initial installations and that he will have to hire many more as the program goes on.

He said the economy has hurt his business, just like many others. Edwards has been forced to cut his staff of technicians from 14 to two during the past two years, but he will have to put many more back on the payroll to meet the potential need.

Edwards said a survey by HughesNet revealed 73,000 customers who could qualify within 60 miles of Networks East’s office on West Vernon Avenue.

“I’m excited about it,” Edwards said. “I’m excited about the possibility of getting my people back to work.”

Although anyone near a house with satellite Internet service can tap in if the customer has installed a wireless router that is not password-protected, Edwards stressed that it is illegal to use the owner’s service without permission.

He also said that if the customer does give permission, satellite service has limited download capability and could crash if too many people use it at the same time.

“It will limit the owner’s ability to use their own service,” Edwards explained.
Satellite Internet Servicesource: www.enctoday.com

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