Berkshire Connect: A Case Study of Demand Aggregation

Berkshire County is home to about 135,000 people on the far western edge ofMassachusetts. It is perhaps best known as the scenic mountainous region that is home tocultural institutions such as Tanglewood (the summer home of the Boston SymphonyOrchestra). Although a rural, low-density county, average education and income levelsare on par with national averages.Despite the favorable demographics of its population, Berkshire County found itselffacing the "new" economy with mediocre telecommunications service choices comparedto other regions of Massachusetts. The lack of state-of-the-art, affordable infrastructurewas perceived as a competitive disadvantage for the region, making it harder to retain theexisting workforce and attract new employers to the region.The Berkshire Connect project grew out of discussions that started taking place in 1997among people who knew each other through their participation in Berkshire CapitalInvestors (BCI), a private venture fund contributed to by Berkshire Life (a large localinsurance company), Williams College and others. BCI had begun funding dot-coms,partly as a way to attract professors and executives to the region by providingprofessional opportunities to their spouses. Through this process, lack of affordabletelecom/datacom services had emerged as an issue hindering entrepreneurial activity inthe region.