Without broadband access, CT small businesses are locked out of

At Horst Engineering, an aerospace manufacturing company in East Hartford, every machine on the factory floor is connected up to data cables running along the ceiling. They carry detailed designs from engineers’ desks to the precision grinders and tools, which churn out bolts, screws, fittings, pins and other custom components, some with accuracy down to 0.00005 inch.

President and Chief Executive Scott Livingston says connectivity is critical to keep operations going and serve the company’s global customer base. Aside from the machinery, many of the company’s systems, like payroll and project management, are cloud-based and require a reliable high-speed connection. Electricity and internet are like “air and water” for a company like this, Livingston said. “It’s every function in the building.”

The company paid to have fiber optic cable — the fastest and most reliable hard-wire connection available — run to its new headquarters, which opened this year. Internet service and support on that line costs about $15,000 a year. Livingston said many small manufacturers can’t afford such high speeds, including many of Horst’s suppliers.

“It was a sizeable investment for a small business,” he said. “It would be better for us if all our suppliers and all our customers had this level of connectivity. Information would travel faster, more efficiently.”

Yehyun Kim :: ctmirror.org

Chris Luciani takes out materials to be assembled and shipped at Horst Engineering in East Hartford. Many tasks involving shipping require stable Internet connection. “It’s your lifeline,” said President and Chief Executive Scott Livingston.

But not all businesses operate at that level. There is a growing digital divide among Connecticut businesses, and as internet speeds accelerate, more small businesses could get left behind.

In Connecticut, the number of companies with limited or no internet is likely in the tens of thousands — ranging from rural farms to suburban manufacturers and shops in the cities. State officials don’t have a clear sense of how many of Connecticut’s more than 300,000 small businesses lack the access they need to high-speed internet. Nationally, the percentage stands at around 8%, according to recent surveys.

Without reliable, affordable broadband internet, those businesses are disconnected from today’s markets. To participate in contemporary commerce, a high-speed connection is not an option or a luxury — it’s basic infrastructure. And while the newly passed $1 trillion federal infrastructure bill contains $65 billion to build out broadband and make it affordable, the lag time could leave many businesses unable to compete.

“Think of a small business located in a small strip mall that was constructed 20 or more years ago,” said Burt Cohen, broadband policy coordinator in Connecticut’s Office of Consumer Counsel. “The businesses are likely all served by underground utilities, which…