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Access to Commercial Internet Exchanges and Data Centers Businesses in San Leandro have some choice of commercial fiber providers, most prominently Lit San Leandro, that can provide access to commercial internet hubs and major regional data centers. Routes and commercial terms would have to be negotiated with any of the several commercial providers, of course, but many can provide fiber access to primary regional internet exchanges, such as Digital Realty Trust in Oakland and numerous data centers in Fremont, San Jose, and Santa Clara, among others44 CREATION OF A MUNICIPALLY -OWNED FIBER NETWORK Businesses and residents would benefit from the City of San Leandro deciding to expand availability of fiber-optic based high-speed broadband by extending its municipally -owned fiber network.. Having expanded its fiber network, San Leandro could create agreements with one, or several, private internet service providers for faster, less expensive service. Increased fiber availability would result in downward pricing pressures, benefiting the City's residents and businesses. Once a plan for extending the fiber network is submitted and approved and funding for construction is secured, San Leandro should issue a request for proposal (RFP) to private entities to become ISPs for the City. As a separate decision San Leandro could choose to become an ISP itself. That decision, however, comes with significant strategic and operational effects. If the City desires this further, Magellan Advisors recommends a separate study be undertaken to evaluate whether this direction should be taken or not. Other Benefits of a Municipally -Owned Fiber Network In addition to increased availability of high-speed fiber-optic broadband services via a fiber network constructed and owned by the City of San Leandro, other activities and services may be offered or improved such as - 1 . s: 1. Future -proof technology platform for Economic Development Activity — Encouraging businesses to relocate to, or expand within, San Leandro. Competitive broadband is a magnet for attracting and retaining businesses. 2. Other New Revenue Streams — With a municipally -owned fiber network, San Leandro may choose to lease some unused fiber assets for revenue streams, rather than allowing unused fiber to lie fallow. 3. Supporting Smart City initiatives as referenced in the Smart City Strategy section of this document 44 See "Proposed Interconnections Document for San Leandro, CA." 611 P City of San Leandro, CA Fiber Master Plan