Risk & Business Magazine F.A. Peabody Insurance Magazine Fall 2017 | Page 30

IRRESISTIBLE PEOPLE

Pioneer Broadband LIGHTING UP THE INTERNET

The F . A . Peabody Company ( FAPCO ) had been selling insurance and keeping paper files for nearly seventy-five years , but by the turn of the past century , it was clear that technology was here to stay and developing at breakneck speed . With six offices spanning over 150 miles , all accessing one agency management system and customer database , network connectivity was a necessity . Northern Maine had severely limited access and availability to “ last mile ” services , the final connection from a network to its end users . The “ last mile ” is particularly challenging in rural areas throughout the country , with most broadband options available only in cities . In 2001 , Tim McAfee , FAPCO ’ s automation manager at the time , sought to connect the FAPCO offices with a wide-area network , but cost proved to be a significant barrier . Chris Anderson , FAPCO President , says “ our insurance offices could not be connected by widearea network without spending thousands in inflated T-1 fees , with expensive installation charges and waiting periods .”

While researching all the available technologies , Tim discovered that a wireless network could be built that would connect the FAPCO offices and reduce expenses overall . As he and Chris explored this option , they realized that an investment in this new technology would not only benefit the F . A . Peabody Company but also could effectively “ cross the digital divide ” that was plaguing Northern Maine as a whole by selling access to high-speed Internet access to homes and businesses in each of the branch office ’ s communities . Construction on the Pioneer Wireless Network began in the fall of 2001 with tower site construction and antenna installations , and by June 2002 , the first customer was signed on .
ACQUISITION AND GROWTH As demand for broadband services grew quickly , Pioneer examined the market and the competitors that existed in it . Several Internet service providers were working in Northern Maine , but the overall resources for expansion were lacking . In 2003 , Pioneer developed a partnership with Polaris Cable in Houlton to offer cable Internet services to the community . Over the next several years , Pioneer Wireless acquired other wireless networks to build on its own network and provide more consistent service . The company acquired the networks created by Maine Farmers ’ Exchange ( MFX ), CCP Wireless , Wabanaki Wireless , and Aroostook Internet .
Northern Maine was at a geographical disadvantage for many services , including Internet access , compared to more populated areas . The only connections to the World Wide Web from Northern Maine were through larger connections in the Portland area or beyond . If something went wrong in Portland , all of Northern Maine was cut off from the Internet . To mitigate this problem , Pioneer Wireless received approval to connect fiber across the Canadian border to Bell Alliant in New Brunswick . This was the first connection of its kind and opened up a unique international connection to the rest of the world , which eased reliance on southern connections .
RURAL BROADBAND CHALLENGES Tim McAfee , now the CEO of Pioneer Broadband , had always wanted to provide high-speed Internet to every home and business in Northern Maine , however , because of the vast area and sparse population , building a network to reach every home was simply cost prohibitive . Recognizing this challenge , the Maine State Legislature formed the Connect Maine Authority ( ConnectME ) in 2006 . ConnectME ’ s purpose is to provide funding to expand broadband services throughout rural Maine . Since its inception , ConnectME has awarded 11 million dollars in grants and helped provide broadband service to nearly 40,000 homes and businesses in Maine . Pioneer has connected nearly 3,500 homes and businesses that would not otherwise have been able to receive broadband services using this funding source .
STAYING AHEAD OF CHANGE Around 2008 , while wireless sales were booming and connectivity had exceeded expectations , Tim foresaw that new connection technology was being developed which was superior to wireless technology . To take advantage of technologies such as Digital Subscriber Line ( DSL ), fiber optics , and digital telephone , Pioneer was required to become a Competitive Local Exchange Carrier ( CLEC ) in the eyes of the Federal Communications Commission and Maine Public Utilities Commission . When Pioneer was awarded this qualification , it rebranded to Pioneer Broadband to reflect the availability of these new services . In 2011 , the company effectively purchased Sherman Cable and entered the cable
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