Fiber Broadband Coming to Nenana Thanks to Nenana Native Association and Alaska Communications

Rhea-AI Summary

Alaska Communications and Nenana Native Association are partnering to bring fiber broadband service to the Athabascan community of Nenana, Alaska. The project, funded by a Tribal Broadband Connectivity Program Round 2 grant from NTIA, will connect 362 households, 30 businesses, and 9 anchor institutions.

The initiative includes workforce development through Tanana Chiefs Conference, creating at least two apprenticeship positions during the two-year project term. Apprentices will receive telecommunications training through the NCTI program. Alaska Communications commits to offering consumer services at urban-area rates and participates in the FCC's Lifeline program for low-income consumers.

The service is expected to be available in early 2027, aiming to improve healthcare, education, and economic outcomes for the community.

Positive

• Secured major government grant for broadband infrastructure development
• Will connect 401 total locations (362 households, 30 businesses, 9 institutions)
• Creates local employment opportunities through apprenticeship program
• Commitment to urban-equivalent pricing for rural areas

Negative

• Long implementation timeline (service not available until 2027)
• Significant infrastructure investment required

Insights

Telecommunications Infrastructure Analyst

This infrastructure project marks a strategic expansion for Alaska Communications (ATNI) in the challenging Alaska market, with several notable implications for investors:

• The project's capital expenditure is substantially offset by federal grant funding through the NTIA's Tribal Broadband Connectivity Program, significantly reducing the company's financial risk while expanding its infrastructure footprint.
• The addressable market of 401 total connections (362 households, 30 businesses, 9 institutions) represents a guaranteed revenue opportunity, enhanced by federal programs like Lifeline that ensure steady subscriber payments.
• The commitment to urban-equivalent pricing suggests a predictable revenue model, while the infrastructure ownership positions ATNI for long-term recurring revenue from this market.
• The workforce development initiative, including local hiring and training, demonstrates a cost-effective approach to building and maintaining rural infrastructure, potentially reducing long-term operational expenses.
• The 2027 service initiation timeline indicates a measured approach to network deployment, allowing for proper integration into existing operations while managing construction and implementation risks.

The project's structure effectively leverages government funding to expand ATNI's serviceable market while minimizing capital risk, though investors should note the extended timeline to revenue generation. The combination of guaranteed institutional customers, federal support programs, and infrastructure ownership creates a favorable long-term position in this underserved market.

Project will bridge the digital divide and create local jobs

FAIRBANKS, Alaska--(BUSINESS WIRE)-- Alaskans living in the Athabascan community of Nenana will receive lifechanging broadband service, thanks to a Tribal Broadband Connectivity Program Round 2 grant funded by the National Telecommunications and Information Administration (NTIA).

Nenana, Alaska. (Photo: Business Wire)

The collaboration between Nenana Native Association, Tanana Chiefs Conference and Alaska Communications will bring fiber to the home service to 362 households, 30 businesses, and nine anchor institutions. This transformative effort is poised to bridge the digital divide, invigorate economic growth and improve opportunities for Nenana residents.

The reliable, affordable, high-speed connectivity delivered through this project will serve as the foundation for education, healthcare, economic growth and quality of life. In addition to eliminating the digital divide for residents, this project will generate new jobs for Alaskans.

The Nenana Native Association will tap into Tanana Chiefs Conference’s robust workforce development initiatives to offer residents paid on-the-job training opportunities through this project. The partners will seek to hire at least two apprentices for the two-year term of the project. The apprentices will have the opportunity to engage in project development, design, logistics and construction of the broadband network, preparing them for a future career supporting the network, as well as the many new projects coming to Alaska. Apprentices will receive remote telecommunications training through the National Coalition for Telecommunications and Information Technology Education (NCTI) program.

Affordability is a critical element of internet access and a necessary condition for economic growth. Alaska Communications commits to offering its consumer services at the same rates available in urban areas. It also participates in the FCC’s Lifeline program, which provides a telecommunications subsidy for low-income consumers.

“This project supports our vision for an innovative, bustling, diverse community which upholds quality education while preserving traditional ways of life,” said JT Baker, Tribal Administrator, Nenana Native Association. “Access to broadband leads to improved healthcare, education and economic outcomes. We are excited to realize these improved outcomes on the lands where Athabascan people have lived for time immemorial. On behalf of our community, I thank the NTIA, along with Senator Murkowski, Senator Sullivan, Congressman Begich, and Governor Dunleavy for their support bringing this important infrastructure to Alaska.”

“We’re honored to work with Nenana Native Association and Tanana Chiefs Conference, building on their knowledge of traditional values, to bring advanced broadband services adhering to the highest standards in our industry,” said Paul Fenaroli, president and CEO, Alaska Communications. “Through the creation of local jobs and equitable access to healthcare and education, this project marks an exciting milestone for the storied community of Nenana.”

Service is expected to be available in early 2027.

“Alaskans continue to see new benefits borne by the bipartisan infrastructure law, and this latest announcement is great news for some of our underserved communities,” said Senator Murkowski. “It can’t be said enough – if you don’t have access to reliable high-speed internet, you’re falling behind in today’s world. Every Alaskan should have that access and today’s announcement takes us one step closer to that goal.”

“Many of our rural, Alaska Native communities are without reliable broadband infrastructure that most Americans take for granted,” said U.S. Senator Dan Sullivan. “That’s why I have worked relentlessly with Alaska communities to negotiate billions of dollars in Alaska-specific provisions in the bipartisan infrastructure bill, bring federal officials to see first-hand Alaska’s unique challenges, and improve Alaska’s broadband reach across the state. I’m glad to see that these significant federal infrastructure dollars we secured will be deployed by Nenana Native Association to break down the digital divide in Alaska’s interior.”

Nenana Native Association

Nenana Native Association is a federally recognized Tribe committed to preserving cultural heritage, creating opportunities for members to thrive and be economically and socially self-sufficient, and promoting traditional values and beliefs to ensure a positive course of action for generations to come. Learn more at www.NenanaNativeAssociation.org.

About Alaska Communications

Alaska Communications, an affiliate of ATN International, Inc. (NASDAQ: ATNI), is a leading provider of mission and life-critical communications infrastructure in Alaska. The company operates a robust and advanced statewide fiber network and a highly diverse undersea fiber optic system that connects Alaska to the contiguous U.S. For additional information, visit www.AlaskaCommunications.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250213236816/en/

Media Contacts

Alaska Communications

Heather Marron

Manager, Corporate Communications

heather.marron@acsalaska.com

Source: Alaska Communications

FAQ

When will the Nenana fiber broadband project by ATNI be completed?

The fiber broadband service in Nenana is expected to be available in early 2027.

How many locations will the Nenana broadband project serve?

The project will serve 401 total locations, including 362 households, 30 businesses, and 9 anchor institutions.

What employment opportunities will the Nenana broadband project create?

The project will create at least two apprenticeship positions for a two-year term, offering training in project development, design, logistics, and construction.

How will ATNI ensure broadband affordability in Nenana?

Alaska Communications will offer consumer services at the same rates as urban areas and participates in the FCC's Lifeline program for low-income consumers.

What training will be provided to Nenana broadband project apprentices?

Apprentices will receive remote telecommunications training through the National Coalition for Telecommunications and Information Technology Education (NCTI) program.