02 Statewide Economic Development Infrastructure Plan

Existing Challenges The State's broadband is limited by lack of fiber lines and antenna towers across rural sectors. This is the result of several factors. The rural nature of the State's landscape and lack of population density is a challenge for providers as expansion investments required lack a return on the investment and is there for not feasible. Incentives from State and federal sources do not make up for the high cost of construction. Without additional state or federal funding to subsidize the expense, broadband expansion will remain challenged. The miles of construction necessary to get to a limited number of businesses and households connected is a limiting factor to internet providers. Another limiting factor to existing conditions is low population density in rural areas, and the geography in certain areas causes higher construction costs, especially where bedrock is prevalent.

American Jobs Plan – The Need For Action In South Dakota bit.ly/AmericanJobsPlanSD

Future Challenges The implications of road reconstruction projects and other developments are crucial considerations in shaping future planning. To reduce overall costs and distruptions, each major project should evaluate whether broadband infrastructure updates should be integrated simultaneously to provide additional services to underserved or rural areas.

148 | Broadband

South Dakota Governor’s Office of Economic Development

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