CNMI, IT&E ink $53M deal to build BEAD-funded fiber optic network
- Admin
- May 15
- 2 min read
By Mar-Vic Cagurangan
The Northern Mariana Islands government and IT&E have signed a $53 million agreement to build a fiber-optic network under the Broadband Equity, Access and Deployment program, advancing the project amid the U.S. territory's recovery efforts following Super Typhoon Sinlaku.
“Experiencing this recent typhoon highlighted the severe communication challenges we face during emergencies, and fixing that infrastructure is one of our top priorities,” Gov. David Apatang said Thursday, following the signing of a subgrant agreement between the CNMI Broadband Policy and Development Office and IT&E.
The CNMI has earmarked $31.3 million in federal BEAD funds, supplementing IT&E’s $22 million capital investment to install a fully underground, end-to-end fiber-optic network that will connect approximately 10,000 unserved and underserved locations across 20 project funding areas on Saipan, Tinian and Rota.
David H. Gibson, chief executive officer of IT&E, said the investment “represents the single biggest capital investment that IT&E has made.”
Officials said the impact of Sinlaku, which pounded the CNMI on April 14, underscored the need to harden the islands' digital infrastructure by switching to an underground system.
The Category 5 storm left several residents cut off from the communications system due to extensive damage to the aerial network.
“This historic project will bring high-speed internet to nearly 10,000 homes and community institutions across the CNMI. It's more than connectivity—it's a foundation for a diversified digital economy and a stronger commonwealth,” Apatang said.
Officials said the CNMI's funding commitment represented a 41 percent match, exceeding the 25 percent federal requirement.
Administered by the National Telecommunications and Information Administration, BEAD is a $42.45 billion federal grant program designed to connect every American to high-speed internet by funding partnerships to build infrastructure.
The CNMI has secured a $81 million grant from the NTIA for this program.
“Yesterday’s signing was not just ceremonial; it is about recovery, resilience and rebuilding in a way that finally breaks the cycle of infrastructure failure following major storms,” said Glen Hunter, special assistant for Broadband Policy & Development.
“By burying this network, we are protecting our digital lifelines and ensuring our community stays connected when they need it most—before, during and after the next typhoon," he added.
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Velma Palacios, senior director of IT&E CNMI, said the company is ready to undertake the project.
"Because we have a buried infrastructure, we will continue to, with this project, provide that resilient infrastructure to everybody's homes, and then everybody will have that access that everybody deserves so that they can be informed, especially during all these disasters," Palacios said.
Officials said the BEAD project will generate jobs, with nearly 300 residents having completed the broadband digital boot camp to train a pool of workers.
“This initiative ensures that the commonwealth has a highly skilled local workforce ready to tackle the project, keeping high-tech jobs and technical capacity within the islands while strengthening long-term operational resilience," the BPD office said.
Gibson said the network will be an economic driver that will transform the CNMI into "a place where people are going to be attracted to relocate."
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