A new annual report from the Fiber Broadband Association, prepared by Cartesian, shows fiber networks continuing to expand across the United States, reaching more than 60% of households and adding 11.8 million homes in 2025.
But rising deployment costs are narrowing margins: 92% of operators and contractors reported higher expenses this year, with median underground deployment at $18 per foot and aerial installations at $8 per foot, marking year-over-year increases of roughly 3% and 14% respectively.
“Fiber is the foundation of America’s digital future,” said Deborah Kish, vice president of research and workforce development at the FBA, describing the report as a planning tool for policymakers and builders.
Cartesian’s Megan Corriveau added that “rising labor costs, materials pricing, and permitting delays are reshaping deployment strategies,” highlighting growing complexity in network economics.
Labor was the dominant cost driver, accounting for about 72% of underground deployment costs and 64% for aerial installations, while construction technique also matters: laying fiber directly underground is roughly 40% cheaper than placing it in a new conduit, but may carry higher upkeep risks; trenching remains the costliest method, about 60% more than plowing and 6% more than directional boring.
Looking ahead, 88% of respondents anticipate further cost increases in 2026, driven by labor, materials, and permit-related expenses, underscoring the need for policy and planning support as fiber reach continues to grow. This report was edited with AI tools assisting.
