Electric Utilities Unlock Hidden Value in Dark Fiber Networks for AI and Broadband Boom

April 25, 2026 - 00:53

Electric utilities are sitting on a goldmine of unused fiber optic cables, and industry experts say the time is ripe to turn this dormant asset into a revenue stream. With artificial intelligence data centers consuming massive bandwidth and federal broadband initiatives pushing connectivity into rural areas, the demand for high-capacity fiber has never been higher. Abe Salander, a real estate and commercial strategy specialist, highlights how utilities can leverage their existing infrastructure—often laid alongside power lines—to meet this surge without building new networks from scratch.

Dark fiber, or unused optical cables, represents a significant untapped resource for many electric companies. Salander’s approach focuses on leasing this capacity to telecom providers, cloud giants, and AI firms rather than selling it outright. This strategy allows utilities to generate recurring income while retaining control over critical infrastructure. The commercial model involves identifying high-demand corridors, such as routes near data center hubs or underserved broadband zones, and negotiating long-term leases that align with utility maintenance schedules.

Federal programs, including the Broadband Equity, Access, and Deployment (BEAD) initiative, further boost the case for monetization. Utilities can partner with internet service providers to extend fiber to unserved areas, using existing rights-of-way to reduce deployment costs. Salander emphasizes that real estate considerations—such as easements, pole attachment agreements, and zoning laws—must be carefully managed to avoid legal pitfalls. By treating dark fiber as a real asset with commercial potential, electric companies can transform a passive infrastructure into a profit center, all while supporting the digital economy’s insatiable appetite for connectivity.