How do you get a business to rural Main Street? Broadband!

Minn Post recently ran an article on a new 3D printer business in Gibbon. It’s a great example of what happens in a rural area when they have broadband. (Gibbon is in Sibley County – one of the areas we featured in our report about the Community ROI of public investment in broadband.)…

“Our downtown is really struggling and has been for a while,” she [City Administrator Dana Lietzau] said. “The question is: ‘How do you find businesses to come here?’ ”

The answer that landed one entrepreneur is clear: high-speed internet access.

Like many rural towns in Minnesota, this village of 750 people in Sibley County has the standard fare of small businesses: a hardware store, a bank, an auto repair shop, an insurance agency, two bars. Also, like many small towns, it has few retail outlets. The grocery store closed years ago.

So when Adam Stegeman, an engineer with a background in 3D printing technology – a growing form of manufacturing – opened a 3D printing business in an old bank building here, residents took notice. “Any employment in this city is huge,” Lietzau said.

They talk about how they got broadband…

In 2015, Gibbon joined nine other cities and 17 townships in creating a cooperative that promised to bring broadband Internet access to 6,200 residents across both Renville and Sibley counties. RS Fiber Cooperative laid fiber optic cable through Gibbon in 2016 – about the time Stegeman began thinking seriously about striking out on his own. Each of the cities involved in the cooperative now has fiber optic cable, with speeds of up to 1 gigabyte; the second phase of the project – to bring broadband to the countryside – should begin in 2020, according to a spokesman for RS Fiber.

The cost to bring broadband to the cities involved in the project was about $15 million; Gibbon sold bonds to raise its share, which was $813,000. Lietzau, the city manager, said civic leaders pitched broadband access as at least one way to encourage businesses to locate in Gibbon. The Stegeman venture has helped to validate that hope.

And details the need for high speed broadband…

To fill orders, Stegeman must download large files of designs over his broadband connection. He can download 10 gigabytes in an afternoon, which he said was a major factor in his decision to locate in Gibbon.

“It really speeds things up,” he said. Without a connection that can transport huge digital files, he would need thumb drives sent through the mail – a much slower and more inefficient way to do business, he said.

Stegeman hopes his business will grow so that he can eventually employ some people who live in the area. He looks 10 years ahead and sees stability, three or four employees and profits. That is the plan, anyway.

This entry was posted in economic development, FTTH, MN by Ann Treacy. Bookmark the permalink.

About Ann Treacy

I have a Master’s Degree in Library and Information Science. I have been interested or involved in providing access to information through the Internet since 1994, when I worked for Minnesota’s first Internet service provider. I am pleased to be a part of the Blandin on Broadband Team. I also work with MN Coalition on Government Information, Minnesota Rural Partners, and the American Society for Information Science and Technology.

One thought on “How do you get a business to rural Main Street? Broadband!

  1. This is a great success story. More recently, this type of business would need to be located in a much larger city, certainly not a small town. 3D printing is an emerging technology but will soon be commonplace in many types of businesses – there is talk of 3D printed farm equipment parts. It was not so long ago that the idea of home businesses having color laser printers was futuristic, now it is commonplace. Here is a business idea – Red Box 3D printer kiosks!

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