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Future Cost Avoidances

Currently, lease circuits for voice, video and data throughout Ohio. The approach set forth by the Ohio Broadband initiative will create significant cost savings per megabit in the long-term, as leased circuits are transitioned to fiber connections in every county. Cost savings will be realized as the network is implemented and services are transitioned to the NextGen Network. The NextGen - OSCnet network foundation will result in further cost reductions as the price per megabit of service decreases. This new centralized network will provide an intra-Ohio infrastructure with the ability to provide many of the services currently only available through the commodity Internet at a fraction of the cost.

The impact of including local governments and their associated entities (shown below) is expected to increase future cost avoidance.

• Local governments
• Hospitals
• Business/Industrial/Tech parks
• Libraries
• Courts
• Schools

While it is difficult to anticipate the future use of Broadband Ohio from local governments, hospitals and other potential entities, utilization information from state agencies can be extrapolated to provide some indication of the value this asset will provide all of Ohio in the future.