Cleveland is officially severing ties with SiFi Networks after the company failed to begin construction on a promised citywide ultra-fast fiber-optic internet network. Despite a 30-year agreement offering free installation under city streets and tree lawns, SiFi has not secured permits or identified final installation sites nearly two years after the deal was signed.
The initiative aimed to enhance internet access for residents by creating a modern fiber infrastructure. SiFi Networks had committed to investing $500 million in the project, planning to recover costs by charging internet service providers for network access. However, the company did not meet any of its contractual milestones.
In a formal letter sent to SiFi’s president, the city’s law director and chief innovation officer stated that SiFi’s lack of progress breached the terms guaranteeing the company exclusive rights to build the fiber network. The letter demanded that SiFi acknowledge the contract termination, warning that silence would be taken as acceptance of failure to perform.
City officials reaffirmed their commitment to expanding internet connectivity by partnering with current providers to identify alternative infrastructure solutions. At the time of the original deal, the council also authorized a separate $20 million agreement with the nonprofit DigitalC to offer affordable broadband at $18 per month to residents.
Several city council members had expressed skepticism about the feasibility of the project soon after its approval, citing SiFi’s inaction in other municipalities. One council member confirmed that after the city declined additional funding requests from SiFi, the company withdrew from engagement and ceased communication. Legislators are now retracting supportive measures to prevent the company from resuming unauthorized work within city limits.
The mayor’s office and SiFi Networks have yet to respond publicly to inquiries regarding the deal’s termination and whether the company formally accepted it.