Fiber Broadband Association Reports Rapid Fiber Expansion Amid Rising Labor, Materials, Permitting Costs

Annual Fiber Deployment Cost Report explores current fiber landscape and future expectations

The Fiber Broadband Association (FBA) today announced the results of its Fiber Deployment Cost Annual Report, conducted by Cartesian, that provides a comprehensive benchmark of the costs, challenges, and trends shaping fiber broadband deployment across the U.S. Despite rising costs, the 2025 report underscores fiber’s long-term resilience and value, particularly as demand for high-capacity networks accelerates.

“Fiber is the foundation of America’s digital future, and this study confirms both its momentum and its strategic importance,” said Deborah Kish, Vice President of Research and Workforce Development at the Fiber Broadband Association. “As costs rise and deployment becomes more complex, this report gives policymakers, broadband offices, and network builders the data they need to plan smarter, invest wisely, and ensure communities receive future-proof connectivity that will serve them for decades.”

Understanding how costs vary across different broadband deployment scenarios can help evaluate opportunities and plan construction more effectively. Each year, Cartesian surveys and interviews network operators and contractors deploying fiber projects across the U.S. about underground and aerial construction methods, labor and material costs, and deployment timelines.

This year’s Cartesian report includes the following key findings:

  • More than 60% of households have access to fiber today, with 11.8 million new homes added in 2025.
  • Deployment costs increased this year for both underground and aerial methods. 92% of this year’s respondents reported a cost increase in 2025. Median underground deployment costs reached $18.00 per foot, while median aerial deployments were $8.00 per foot. Costs increased year-over-year by 3% for underground and 14% for aerial deployment.
  • Labor is the dominant cost driver, accounting for 72% of underground deployment costs and 64% of aerial.
  • Burial and construction methods are key determinants of deployment costs. Laying fiber underground directly versus in a new conduit is ~40% cheaper but offers less flexibility and potentially higher maintenance costs. Trenching was reported to have the highest deployment cost, 60% more than plowing and 6% more than directional boring.
  • Expect to face more cost increases in 2026. 88% of respondents expect costs to increase again next year, driven by labor and materials, with permitting and make-ready costs also cited as key contributors.

“The data shows that while fiber deployment continues at a historic pace, the economics of building networks are becoming more complex,” said Megan Corriveau, Strategy and Analytics Manager, Cartesian. “Rising labor costs, materials pricing, and permitting delays are reshaping deployment strategies, making accurate cost benchmarks more critical than ever for providers planning large-scale fiber investments.”

The full Fiber Deployment Cost Annual Report can be downloaded here, and Cartesian will present the report on a webinar, on Thursday, January 29, at 12:00 PM ET. To learn more about FBA research, subscribe to FBA’s Fiber Forward Weekly newsletter here to stay updated.

About the Fiber Broadband Association

The Fiber Broadband Association (FBA) is the voice of fiber, helping providers, policy makers, and communities make informed decisions about how, where, and why to build better fiber broadband networks. FBA is the largest and only trade association that represents the complete fiber ecosystem of service providers, manufacturers, industry experts, and deployment specialists. Since 2001, FBA and its members have worked to advance fiber broadband deployment to accelerate innovation and increase quality of life by enabling every community to leverage the economic and societal benefits that only fiber can deliver. The Fiber Broadband Association is part of the Fibre Council Global Alliance, which is a platform of six global FTTH Councils in North America, LATAM, Europe, MENA, APAC, and South Africa. Learn more at fiberbroadband.org.

Contacts

Press Contact:

Christy Barbaran

Connect2 Communications for the Fiber Broadband Association

FBA@connect2comm.com

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