How Much Does Fiber Optic Cable Cost?

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Fiber optic cable is a vital component of every network—whether it’s an outside plant (OSP) service provider network, data center, or LAN. Knowing how much fiber optic cable costs, which factors can impact cost, and key cost considerations can help you avoid unnecessary expense and get the most out of your budget.

Fiber type, construction, and application matters

Several fiber cables are available, each with a different cost based on fiber type, construction, and application. First and foremost, fiber cables are either singlemode or multimode. Singlemode cables with a small core diameter of 9 microns use high-power laser light sources to support high-speed transmission over long distances of up to 40 kilometers or more. Singlemode cable is the de facto cable in outside plant (OSP) service provider networks and often deployed for backbone cabling in the LAN. Singlemode is also becoming more common for switch-to-switch links in the data center due to its higher bandwidth capabilities.

In contrast, multimode cables have a larger core diameter of 62.5 or 50 microns that use vertical-cavity surface-emitting laser (VSCEL) light sources. In a multimode fiber cable, light signals travel in multiple paths or modes, which limits the bandwidth capabilities of multimode fiber and results in much shorter distances.

Multimode fiber cables are primarily limited to data center links but can comprise backbone cabling in the LAN and between buildings in a campus scenario (depending on speed and distance). Multimode cables also come in different performance levels, including legacy OM1 with a 62.5-micron core and OM3, OM4, and OM5 with a 50-micron core. Click HERE to learn more about the various types of multimode fiber. Note that the fiber strands in both multimode and singlemode cables are the same size due to the 125-micron cladding layer surrounding the core. As shown below, a 250-micron coating encases each 125-micron fiber for protection. 

Fiber cables also come in either tight-buffered or loose-tube construction. Tight-buffered cables include a 900-micron protective plastic layer over the 250-micron coating on each fiber strand. These cables are available as distribution cables with multiple fibers bundled together for intra-facility applications or as breakout cables where each fiber has an outer jacket for separate device connections. In a tight-buffered cable, aramid yarn surrounds the fibers, protecting them during tension.

In contrast, loose-tube fiber cables do not contain the 900-micron protective layer over each strand, resulting in an overall smaller cable diameter. In a loose-tube cable, the strands are packed into individual tubes. These cables can contain very high counts of fiber strands—up to 1728 fibers or more. They are used primarily in data center applications and OSP deployments, with OSP cables featuring water-blocking technology. High-count loose-tube fiber cables might also be constructed of ribbon fiber that groups 12, 16, or 24 individual fiber strands into flat strips arranged linearly or rolled and packed into tubes.

Once we move past fiber type and overall construction, fiber cables can have additional features to suit various applications. For example, fiber cables can have different jacket ratings based on deployment location and required fire rating, such as plenum, riser, OSP, or flame retardant. Cables can also be rated as indoor/outdoor with water blocking, which allows for transitioning from the outdoor to indoor environment with the same cable, eliminating the need for splicing. There are also armored fiber cables that feature corrugated steel tape (CST) or interlocking armor (ILA) for greater durability to withstand harsh environments and for security and protection from rodents. These cables are often deployed for underground direct-burial installations and industrial environments. Specialty cables for military applications that meet MIL-SPEC requirements or broadcast series cables designed for flexibility and crush resistance to withstand crowd and vehicle traffic are also available.

How are fiber cables priced?

Fiber cables can be purchased in bulk or as pre-terminated fiber assemblies, pigtails, and patch cables. Understandably, pre-terminated assemblies, pigtails, and patch cables carry a higher cost due to their factory termination. That cost can also vary greatly depending on fiber count and connectivity type. However, bulk fiber cable terminated on site, such as for long outside runs or building LAN backbones between telecom closets, is typically priced per foot.

The per-foot cost of bulk fiber cable is a great way to see the price differential. The following comparison table shows average cable costs for various types of 24-fiber tight-buffered fiber cables. It’s clear to see that different types, ratings, and applications carry different pricing. It’s also clear that singlemode cable is almost always less expensive than multimode. But cable cost is not the only consideration.

24-Fiber Tight-Buffered 900μm Bulk Cable Fiber Type Construction Rating & Applications Avg. Cost/Foot OM1 Multimode Distribution Indoor/Outdoor Plenum $2.50 OM3 Multimode Distribution Indoor/Outdoor Plenum $3.50 OM4 Multimode Distribution Indoor/Outdoor Plenum $4.50 Singlemode Distribution Indoor/Outdoor Plenum $2.00 OM3 Multimode Distribution Indoor/Outdoor Plenum, Chemical Resistant $4.00 OM4 Multimode Distribution Indoor/Outdoor Plenum, Chemical Resistant $5.50 Singlemode Distribution Indoor/Outdoor Plenum, Chemical Resistant $2.00 OM3 Multimode Distribution Indoor/Outdoor Plenum, ILA Armored $12.50 OM4 Multimode Distribution Indoor/Outdoor Plenum, ILA Armored $13.50 Singlemode Distribution Indoor/Outdoor Plenum, ILA Armored $7.00 OM1 Multimode Distribution Outdoor Burial, CST Armored $4.00 0M4 Multimode Distribution Outdoor Burial, CST Armored $7.00 Singlemode Distribution Outdoor Burial, CST Armored $2.50 OM1 Multimode Distribution Military Tactical $7.50 OM3 Multimode Distribution Military Tactical $8.50 Singlemode Distribution Military Tactical $6.00 OM1 Multimode Distribution Indoor/Outdoor Broadcast Rated $5.00 Singlemode Distribution Indoor/Outdoor Broadcast Rated $3.50 OM1 Multimode Breakout Indoor/Outdoor Plenum $5.50 OM3 Multimode Breakout Indoor/Outdoor Plenum $7.00 OM4 Multimode Breakout Indoor/Outdoor Plenum $10.00 Singlemode Breakout Indoor/Outdoor Plenum $4.00

More to consider

When it comes to a network cabling system, there is much more than the cost of the actual cable to consider. When buying bulk cable, it’s also essential to consider the connectivity cost and the termination process, as the various options have pros and cons. For example, higher-cost pre-terminated fiber assemblies often make more sense for short switch-to-switch and switch-to-server links in the data center due to faster plug-and-play installation with no specific fiber termination skills required, no consumables, and little waste. They also offer superior performance due to factory termination with less variability and minimal risk of contamination. Click HEREto learn more about the pros and cons of various termination methods.

Another consideration is the actual cost of the equipment based on the application. High-power laser transceivers used for singlemode applications are much more expensive than multimode VCSEL transceivers. However, sometimes there is no choice—long-haul, high-speed links in service provider networks will always require singlemode. Singlemode is also recommended for most high-speed LAN backbone cables. Multimode will support 10 Gigabit speeds to about 500 meters for use in the LAN backbone, but it’s not a future-proof solution. When upgrading to speed beyond 10 Gig, multimode will only support 100 meters, which might not be enough distance for your LAN backbone.

For shorter data center links, choosing between singlemode and multimode can be a bit trickier. Singlemode transceivers are typically far more expensive than multimode, but new short-reach singlemode applications use lower-power lasers that significantly reduce the cost. These applications can support 400 and 800 Gigabit applications to 500 meters – more than four times the distance of multimode – at roughly the same cost. So if you need a little more distance than what multimode can provide, short-reach singlemode may be the most cost-effective option. To learn more about the latest cabling considerations in the data center, check out our article on “ Innovating the Path to Terabit Speeds” published by Data Center Frontier.

The good news is that CablesPlus USA is always ready to help you choose the right fiber cable for your application and your budget, and we offer a vast selection of bulk fiber cables. We also carry everything you need to deploy end-to-end fiber networks—from outside plant and indoor LAN to the data center—including pre-terminated assemblies, patch cables, pigtails, connectivity, test equipment, tools, and more.

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Fiber optic network construction is linking together all forms of digital infrastructure to ensure that optical telecommunications traffic can seamlessly reach end users at the lowest possible cost.

Fiber optic construction is bringing high-speed internet connectivity to homes and businesses in cities around the world. These networks are constructed both underground and through aerial fiber, at an average cost of $1,000 to $1,250 per residential household passed or $60,000 to $80,000 per mile.

Dgtl Infra provides an in-depth overview of fiber optic network construction, including its density, as measured by strand count, and the time it takes for a fiber network to become operational. Additionally, we detail the entire process for deploying both underground and aerial fiber. Finally, Dgtl Infra reviews the costs of fiber construction and what the key drivers of these costs are, using real-world examples.

What is Fiber Optic Construction?

Fiber optic construction is a cost-effective way of bringing network access to areas with significant end user voice, video, and data traffic.

How is Fiber Constructed?

Fiber optic networks are constructed through the placement of both underground and aerial fiber, meaning that fiber does not always have to be buried.

• Underground: Fiber optic cable is placed in a conduit system, which is buried through plowing, trenching, jack and bore, multi-directional bore, or directional bore techniques
• Aerial: Fiber optic cable is placed on top of utility or telephone poles

How Many Strands are in a Fiber Optic Cable?

Fiber optic cables consist of many glass fiber strands, with existing networks typically having been built with 36, 48, 72, 144, and 288 fiber strands in each cable. However, newer fiber optic cables are being built with 432, 864, and 1,728 fiber strands in each cable, which provides fiber optic networks with built-in capacity for future growth.

Higher strand count fiber optic cables are particularly deployed on backbone (core) network routes from a telecommunications provider’s central office (CO).

Fiber Route and Strand Miles

Fiber route miles signify the length, measured in non-overlapping miles, of a fiber optic network. While fiber strand miles represent the number of route miles in a network multiplied by the number of fiber strands within each fiber optic cable on that network.

As an example, a 10 mile fiber route with 288 fiber strands would be commonly referred to as having 2,880 fiber strand miles.

How Long Does Fiber Construction Take?

As a general rule, fiber construction takes 6 to 10 months for a network to become operational, after the beginning of a build-out. However, the construction timeline for a new fiber optic network varies depending upon the number of route miles to be constructed, the number of homes or premises targeted for connection to the network, and the general deployment of the network.

Fiber Construction Process

The fiber optic network construction process involves the placement of both underground and aerial fiber, which are each detailed below:

Underground Fiber Construction Process

How is Fiber Cable Buried?

Fiber optic cable is buried in tubes, known as a conduit, which are placed by means of plowing, trenching, jack and bore, multi-directional bore, or directional bore techniques. As shown below, machinery from manufactures like Ditch Witch, is used to plow, trench, and bore into the ground:

Ditch Witch – Trencher – RT125 QUAD

Conduit Construction for Fiber Optic Cables

Conduits are usually constructed on a level grade, parallel to the surface of the ground, with only gradual changes in grade elevation over the fiber run. Fiber optic cable is placed into three primary types of conduit: HDPE (polyethylene plastic), PVC (vinyl polymer plastic), and steel.

An innerduct, which is a separate tube within a conduit, divides the larger conduit into subsections. Therefore, in this common approach, no fiber optic cable is run directly in any split/solid conduit, without an innerduct.

Conduit and Innerducts for Fiber Optic Cable

Typically, if conduit is laid along paved city, state, federal, and interstate highways, as well as railroad crossings, bridges, or through tunnels, then it will be encased in steel conduit. Otherwise, HDPE and PVC conduits are viable options for placing fiber optic cables.

Fiber Optic Cable Installation in Conduit

Once the conduit has been buried, the fiber optic cable is installed, “pulled”, or “jetted” through the conduit. Specifically, larger installations generally occur through either pulling or blowing:

• Powered pulling winch and hydraulic powered assist pulling wheels, which apply a maximum pulling force to the cable of 600 pounds

  If you want to learn more, please visit our website Corrugated Conduit.

• Sealed pneumatic cable blowing system, which uses compressed air to “jet” multiple innerducts into the conduit

Usually, 65 to 150+ feet of slack cable will be left in all intermediate handholes & manholes, splice locations, and facility locations (e.g., points-of-presence).

How Deep Should Fiber Optic Cable Be Buried?

Fiber optic cable is buried in conduits, typically at a depth of 3 feet to 4 feet, which is equivalent to 36 inches to 48 inches underground. In many instances, cable installation agreements will stipulate a minimum depth of 42 inches, with certain environments requiring the conduit to be placed at even greater depths.

For example, depths of 48 inches can apply for conduit placed in ditches adjacent to roads, highways, railroads, and interstates. While 60 inches is often the minimum requirement for conduit placed across streams, river washes, and other waterways.

What is Microtrenching for Fiber?

Microtrenching is a process used to bury fiber optic cable that reduces the time to build a network and bring on customers, while creating less disruption (e.g., no road closures) in the area where fiber is being placed. However, microtrenching does not reduce the cost to construct a fiber optic network.

Uniquely, microtrenching buries fiber optic cable in the ground at much shallower depths of only 8 to 16 inches deep, while creating a trench that is only 1 to 2 inches wide. As shown in the video below, the microtrenching process can support conduit that is over 3 inches in diameter.

Aerial Fiber Construction Process

How is Aerial Fiber Installed?

Aerial fiber optic cable is installed by stringing and bolting overhead cables on top of existing utility and telephone poles. This aerial fiber construction can be performed though a new pole attachment or by utilizing a technique called overlashing, which involves the attachment of a new cable to an existing cable.

Overlashing is accomplished by placing the new cable beside the existing cable, and “lashing” or binding the two cables together with spinning wire that is wrapped around both cables. This technique allows for the addition of new aerial fiber optic cable, utilizing existing pole attachments, without the requirement for additional space on the pole.

Often, aerial overlash and pole attachment rights are secured by fiber optic providers, from utility companies, to utilize space on their utility poles.

Fiber Construction Costs

Discussed below are underground fiber construction costs (i.e., laying fiber), the key drivers of fiber construction cost variances, two real-world examples of fiber construction costs, and the lower inherent cost of aerial fiber installation.

How Much Does it Cost to Lay Fiber?

On average, it costs between $1,000 to $1,250 per residential household passed or $60,000 to $80,000 per route mile, to “lay” or bury fiber optic cable. Households passed refers to fiber that is built along residential streets, but excludes the connection or “drop” into the home, which uses lateral fiber connections.

READ MORE: Fiber Optic Cable Installation Process – Connecting Homes

Drivers of Fiber Construction Costs

Fiber construction costs vary significantly, depending on factors including labor, population density, depth or height of the fiber deployment, terrain, equipment, whether or not the provider has existing conduit, make ready costs, and permitting costs. Below are further details on each of these drivers of fiber construction costs:

• Labor: Physical labor comprises the single largest cost component of fiber builds, often making up over 60% of total fiber construction costs
• Population Density: The United States population density is about 93 people per square mile, which is relatively low on a global basis. Fiber construction costs are lower for densely populated urban environments and meaningfully higher in sparsely populated rural areas
• Depth or Height: Fiber optic networks are constructed through the placement of both underground and aerial fiber. Underground fiber optic cable built in a conduit system is significantly more expensive than aerial fiber placed on poles
• Terrain: Fiber needs to be constructed across different types of land, which can be more or less expensive to traverse. For example, fiber is often built around or through mountains & hills, valleys, and plains, as well as natural elements like rivers, rocks, and soil types
• Equipment: Fiber optic transmission and other electronic equipment costs will vary depending on the length of the fiber optic network being constructed
• Existing Conduit: Lower buried fiber construction costs benefit carriers that own existing copper conduits, which can be used to pull fiber optics through. For example, Frontier Communications, an incumbent local exchange carrier (ILEC), notes that it has a ~$40 benefit per location passed by utilizing its existing conduit capacity

Additional Drivers of Fiber Construction Costs

• Make Ready Costs: expenses associated with securing rights of way, franchises, conduit leases, property leases, and pole attachments. Incumbent operators generally avoid these “make ready costs” if they own poles and/or conduit
• Permitting Costs: municipal and other governmental permits, licenses, and authorizations required to be obtained prior to commencement of construction

Examples of Fiber Construction Costs

Below are two examples of fiber construction costs, using real-world deployment data, from the Fiber Broadband Association / Cartesian and internet service provider (ISP) Shentel.

1) Fiber Broadband Association and Cartesian

The Fiber Broadband Association (FBA), an all-fiber trade association, and Cartesian, a specialist consulting firm, produced a study on the cost, in the United States, to construct a fiber to the home (FTTH) network that passes different populations, based on their household density per square mile. Particularly, this study yielded the following cost ranges for urban and rural areas in the United States:

• Urban: Costs range from $700 to $1,500 per household passed
• Rural: Costs range from $3,000 to $6,000 per household passed

Fiber to the Home (FTTH) Costs to Pass per Household

READ MORE: Fiber to the Home (FTTH) vs FTTP, FTTN, FTTC, and FTTB

2) Internet Service Provider (ISP) – Shentel

Shentel (NASDAQ: SHEN), a broadband internet service provider (ISP) in Virginia, West Virginia, Maryland, Pennsylvania, and Kentucky, through its Glo Fiber brand, is targeting 450,000 homes passed by 2024. In terms of population density, Glo Fiber’s service targets higher density urban and suburban areas.

Shentel – Broadband and Fiber Network Map

Glo Fiber is a greenfield fiber overbuilder deploying 10-gigabit symmetrical passive optical network (XGS-PON) fiber-based transmission technology, while seeking to deliver bandwidth speeds of up to 2 gigabits per second (Gbps) to customers.

READ MORE: XGS-PON – Fiber-based Technology Delivering 10 Gbps

Given the discrete nature of this fiber to the home (FTTH) initiative, Shentel identifies key data points relating to its fiber construction costs. Specifically, the company estimates that its build capital expenditures (CapEx) will average $1,200 per passing, based on a range of $1,000 to $1,400 per passing.

READ MORE: Fiber Broadband Internet Is The Future For Your Home

How Much Does it Cost to Install Aerial Fiber?

On average, it costs between $8 to $12 per foot or ~$40,000 to ~$60,000 per mile to install or “overlash” aerial fiber optic cable. However, these costs will differ greatly based on the type of geographical area, with urban environments being the most expensive, followed by suburban and rural areas being progressively cheaper. To this end, rural areas have fewer obstructions, making pole attachments easier and more cost-effective for fiber networks.

As a reference point, Frontier Communications states that its fiber networks receive a ~$30 benefit per location passed, by overlashing its aerial copper lines.

Importantly, aerial fiber deployments require only days or weeks to connect, as compared to underground fiber construction, which can take several months.

Aerial fiber construction costs include pole attachment expenses, fiber materials, installation, and splicing. Additionally, a significant component of aerial fiber network construction expenditures are the “make ready costs” which involve engineering and rearrangement of cables to prepare utility or telephone poles for the attachment of new fiber optics.

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