Daily Digest 1/25/2022 (Digital Equity in the IIJA)

Benton Institute for Broadband & Society
Table of Contents

Digital Inclusion

A Review of Digital Equity Provisions in the Infrastructure Investment and Jobs Act  |  Read below  |  Analysis  |  Keller & Heckman

Broadband Funding

Steps the Commerce Department should take to achieve the infrastructure bill’s broadband goals  |  Read below  |  Blair Levin  |  Analysis  |  Brookings
FCC Mapping Hinders Broadband Grants  |  Read below  |  Doug Dawson  |  Editorial  |  CCG Consulting
Christopher Mitchell: FCC Commissioner Carr Gets It Wrong in Treasury Rule Comments  |  Institute for Local Self-Reliance

State/Local Efforts

Steps the states should take to achieve the infrastructure bill’s broadband goals  |  Read below  |  Blair Levin  |  Analysis  |  Brookings
Report says regional municipal broadband utility in Maine is viable  |  Read below  |  Stephen Betts  |  Courier-Gazette
$116 million in grants announced for broadband construction in Vermont  |  Read below  |  Ethan Weinstein  |  VTDigger
Bill to allow an electric utility to own, operate, lease, plan, construct, install, maintain, or replace broadband facilities  |  Hawaii State Legislature
Maine Connectivity Authority op-ed: Even with federal funding, broadband expansion requires local organizing  |  Bangor Daily News

Spectrum/Mobile

Mobile Network Experience Report, January 2022  |  Read below  |  Francesco Rizzato  |  Research  |  OpenSignal
5G service just got faster for some people. Here’s why.  |  Washington Post

Privacy

Google deceived consumers about how it profits from their location data, three attorneys general allege in lawsuits  |  Washington Post
The Looming Cost of a Patchwork of State Privacy Laws  |  Read below  |  Daniel Castro, Luke Dascoli, Gillian Diebold  |  Research  |  Information Technology & Innovation Foundation

How We Live Now

Calibrating Digital Media Trends For the Post-Pandemic ‘New Normal’  |  Read below  |  Stuart Brotman  |  Research  |  Media Institute

Company News

Midco CTIO says fixed wireless is helping it push fiber further  |  Read below  |  Diana Goovaerts  |  Fierce
Mediacom will participate in the Affordable Connectivity Program  |  Mediacom
AT&T’s new 5-gig and 2-gig fiber internet is here, starting at $110 a month  |  Vox

Policymakers

Sen. Cantwell Looks to 'Firm Up' Sohn Confirmation Vote  |  Read below  |  John Eggerton  |  Multichannel News

Stories From Abroad

Facebook Promised Poor Countries Free Internet. People Got Charged Anyway.  |  Read below  |  Justin Scheck, Tom McGinty, Newley Purnell  |  Wall Street Journal
Faster internet speeds are linked to lower civic engagement in UK  |  Read below  |  Robert Booth  |  Guardian, The
Letter to the editor: Why is rural broadband in the UK still not fit for purpose?  |  Guardian, The
Today's Top Stories

Digital Inclusion

A Review of Digital Equity Provisions in the Infrastructure Investment and Jobs Act

Analysis  |  Keller & Heckman

This is our 6th entry in Keller & Heckman's blog series on the major provisions of the Infrastructure Investment and Jobs Act. Previous blog entries examined the $42.45 billion Broadband Equity Access and Deployment (BEAD) Program, the $1 billion Middle Mile grant program, the Act’s support for broadband partnerships, the Affordable Connectivity Program, and the Act’s key cybersecurity provisions. This post reviews the Act’s provisions aimed at promoting digital equity by increasing broadband adoption and accessibility. The Digital Equity Act (DEA) (enacted as §§ 60301 – 60307-the IIJA) allocates $2.75 billion to promote digital equity and digital inclusion. The DEA establishes three new grant programs to be administered by the National Telecommunications and Information Administration (NTIA): (1) State Digital Equity Planning Grants, (2) State Digital Equity Capacity Grants, and (3) Digital Equity Competitive Grants. Each is briefly summarized in this entry.

Broadband Funding

Steps the Commerce Department should take to achieve the infrastructure bill’s broadband goals

Blair Levin  |  Analysis  |  Brookings

The recently signed Infrastructure Investment and Jobs Act makes the largest federal investment into universal broadband access in history. In doing so, Congress gave broadband responsibility to the states, with the Commerce Department’s National Telecommunications and Information Administration (NTIA) providing oversight.  This piece lays out eight steps NTIA should take to improve the odds of success in achieving universal connectivity:

  1. Protect against risky deployment decisions while advocating for states with other federal agencies.
  2. Enable and encourage state-to-state education to quickly scale up operations.
  3. Borrow and hire personnel from other agencies with expertise in broadband grants.
  4. Encourage processes that result in lower-cost structures for communications networks.
  5. Determine whether there are baseline requirements beyond those delineated by Congress.
  6. Provide states with expertise on maximizing competitive dynamics in the grant process.
  7. Assist with enforcement mechanisms to ensure grant recipients keep their promises.
  8. Improve coordination of federal and state broadband programs.

[Blair Levin is a Nonresident Senior Fellow at Brookings Metro.]

FCC Mapping Hinders Broadband Grants

Doug Dawson  |  Editorial  |  CCG Consulting

Hopefully by now, most communities with poor broadband will have heard about the gigantic federal grants on the way to provide broadband solutions. The largest is the $42.5 Broadband Equity, Access, and Deployment (BEAD) program that will be administered by states, with the funding and the rules established by the National Telecommunications and Information Administration (NTIA). The federal grants give priority to locations that are unserved (broadband speeds under 25/3 Mbps) and can also be used to fund underserved locations (speeds between 25/3 and 100/20 Mbps). The troubling provision is that Section 60102 of the legislation makes it clear the determination of eligible locations will rely upon the Federal Communications Commission's maps. I think it’s a huge problem if we need corrected FCC maps before we can decide which parts of the country are eligible for these grants. There will be a lot of honest mistakes made in the first few iterations of the new mapping as internet service providers (ISPs) adapt to the new reporting methodology. It might take a few rounds of reporting until ISPs get the new maps right. It’s already a shame that the mapping issue is immediately going to delay the BEAD grants from being awarded this year when millions of homes are waiting for better broadband. This mapping issue will easily add six months to a year until grants are awarded – and that means a longer time until there is a broadband solution deployed.

[Doug Dawson is President of CCG Consulting.]

States/Local

Steps the states should take to achieve the infrastructure bill’s broadband goals

Blair Levin  |  Analysis  |  Brookings

To accomplish the Infrastructure Investment and Jobs Act's broadband goals, Congress made states the key decision-makers, with the National Telecommunications and Information Administration providing oversight. This piece lays out nine actions every state should take in the development and implementation of its broadband plan:

  • Publicly establish a vision for using broadband to improve residents’ lives
  • Build institutional capacity to achieve the plan’s goals
  • Develop and publish a comprehensive timeline
  • Engage communities and stakeholders in development of the plan
  • Improve mapping, data collection, and modeling—and bookmark the funding to pay for it
  • Develop a comprehensive plan for availability, adoption, and utilization
  • Coordinate state and local action to lower the cost of deployment
  • Establish a competitive grant process
  • Establish a process to enforce commitments

[Blair Levin is a Nonresident Senior Fellow at Brookings Metro.]

Report says regional municipal broadband utility in Maine is viable

Stephen Betts  |  Courier-Gazette

A regional, municipal-owned broadband internet utility in Maine is viable according to a report from Axiom Technologies, a consultant hired by the local communities. The January 2022 report focuses on the creation of a utility to serve the four core communities of Rockland, Camden, Rockport, and Thomaston (ME). In June 2021, the charter towns of Camden and Rockport formed, by an inter-local agreement, a non-profit, regional broadband utility called the Midcoast Internet Development Corporation. In addition to the two charter towns, the development corporation added Rockland and Thomaston as initial partners. The estimated initial construction cost for the project to serve the four communities is $15.8 million. Financing could come from federal, state, and other grants, private investors, the Finance Authority of Maine, Coastal Enterprise Inc., The Island Institute, The Alfond Foundation, and The Maine Community Foundation. The project is viable — even at relatively low take rates,” Axiom stated. The report estimates in the first year, 2,800 customers would sign up for the service, which would increase in subsequent years. The internet corporation’s goal is open access that meets minimal symmetrical speeds of 100/100 megabits per second with capabilities to reach 1,000 megabits, and the new service is available to every home and business in the community.

$116 million in grants announced for broadband construction in Vermont

Ethan Weinstein  |  VTDigger

The Vermont Community Broadband Board launched a $116 million broadband construction grant program that is set to fund projects beginning spring 2022. Vermont’s nine communications union districts, plus the small communication carriers and internet service providers that are working alongside the communication districts, can all apply for the funding.  “These grants are important to drive down the entry cost,” Christine Hallquist, executive director of the Community Broadband Board, told the Senate Finance Committee on Thursday. Funding broadband through grants, rather than bonds, decreases the consumer cost, she said. The community broadband board’s goal is to provide universal broadband access throughout Vermont with upload and download speeds of 100 megabits per second. Currently, just 29.2 percent of Vermont households meet that standard, according to the Department of Public Service. In addition to the $116 million in construction grants, Gov Phil Scott (R-VT) wants to use a lot of federal money — $95 million in American Rescue Plan Act funds and $100 million from the Infrastructure Investment and Jobs Act — to support broadband buildout. Those requests are part of his budget proposal for the fiscal year that starts July 1.

Spectrum/Mobile

Mobile Network Experience Report, January 2022

Francesco Rizzato  |  Research  |  OpenSignal
OpenSignal's new USA 5G Experience report delves deeper into the 5G mobile experience. Key findings include:
  • AT&T now shares the Games Experience award with T-Mobile.
  • T-Mobile exceeds the 10 Mbps mark in Upload Speed Experience, having the fastest Upload Speed Experience.
  • T-Mobile keeps hold of the Voice App Experience award, ahead of Verizon and AT&T which tied.
  • The first US carrier to exceed 50 Mbps in Download Speed Experience is T-Mobile, largely driven by 5G improvements.
  • Verizon keeps ahead in 4G Coverage Experience and T-Mobile wins 4G Availability, with an extremely narrow lead on Verizon.

Privacy

The Looming Cost of a Patchwork of State Privacy Laws

Daniel Castro, Luke Dascoli, Gillian Diebold  |  Research  |  Information Technology & Innovation Foundation

In the absence of a comprehensive federal law, a handful of large states have passed or begun to enact data privacy legislation. More states are likely to pass similar laws in the coming years, which would create a patchwork of different and sometimes conflicting state privacy laws regulating the commercial collection and use of personal data. Not only do these laws create significant costs for in-state businesses, both in terms of direct compliance costs and decreases in productivity, but they also raise costs for out-of-state businesses that can find themselves subject to multiple and duplicative rules and create confusion for consumers. The Information Technology and Innovation Foundation (ITIF) has estimated that, in the absence of Congress passing privacy legislation, state privacy laws could impose out-of-state costs of $98 billion and $112 billion annually. Over a 10-year period, these costs would exceed $1 trillion. The burden on small businesses would be substantial, with U.S. small businesses bearing $20–23 billion annually. ITIF’s economic model also shows the impact of privacy laws on each state. These estimates highlight the high costs of states creating a patchwork of privacy laws and the need for Congress to move quickly to pass legislation to create a national privacy framework that streamlines regulation, preempts state laws, establishes basic consumer data rights, and minimizes the impact on innovation.

How We Live Now

Calibrating Digital Media Trends For the Post-Pandemic ‘New Normal’

Stuart Brotman  |  Research  |  Media Institute

COVID-19 has had a profound impact on the central role of digital media in our everyday lives. We now are in a historic transition, from a nation organized for a pandemic response to a recovery that surely will create a “new normal.” So it’s timely and important to look back at how digital media has been shaped during this period, and more importantly, to assess what lies ahead, based on current data and trends. This post-pandemic new normal, however defined, will not be binary. Rather, the transition process will be more gradual, yet rooted in some fundamental adjustments in corporate and consumer behavior that already have occurred and are destined to endure. Accordingly, the development of the new normal for digital media will be similar to tuning in a radio station in an analog world – carefully moving the dial back and forth to obtain a more precise signal. This calibration will be both necessary and continuous in post-pandemic times in order to more accurately assess digital media opportunities and challenges. This review – from The Media Institute's Digital Media Center – of relevant COVID-19 digital media benchmarks thus is essential in assessing how they will be reinforced or changed as we transition to a post-pandemic period of enormous consequence and great potential.

Company News

Midco CTIO says fixed wireless is helping it push fiber further

Diana Goovaerts  |  Fierce

Midco’s chief technology innovation officer Jon Pederson says the operator’s use of fixed wireless access (FWA) technology to serve certain remote locations is actually benefitting its efforts to expand its fiber network. Pederson, who has worked for the regional US broadband provider for more than three decades, explained Midco deploys fixed wireless access service for customers in some of the most remote parts of its footprint. As it runs fiber to new towers for that service, he said it’s also taking the opportunity to push fiber into nearby communities along the way. Midco is currently pressing on with a $500 million fiber project which aims to deliver multi-gigabit service to 300,000 homes and businesses over the coming years. Right now, only a single-digit percentage of Midco’s more than 400,000 broadband subscribers are on fiber, but “we will increase that progressively over time,” Pederson said.

Policymakers

Sen. Cantwell Looks to 'Firm Up' Sohn Confirmation Vote

John Eggerton  |  Multichannel News

Senate Commerce Committee Chairwoman Maria Cantwell (D-WA) is still looking to hold a confirmation vote for FCC nominee Gigi Sohn sometime soon. Although Chairwoman Cantwell had hoped to hold a vote in January, a spokesperson said "because the [Senate] recess [a planned January 17-21 "state work period"] was moved to next week," the Chairwoman is now hoping to "have something confirmed at some point next week."

Stories From Abroad

Facebook Promised Poor Countries Free Internet. People Got Charged Anyway.

Justin Scheck, Tom McGinty, Newley Purnell  |  Wall Street Journal

Facebook says it’s helping millions of the world’s poorest people get online through apps and services that allow them to use the internet data-free. Internal company documents show that many of these people end up being charged in amounts that collectively add up to an estimated millions of dollars a month. To attract new users, Facebook made deals with cellular carriers in countries including Pakistan, Indonesia and the Philippines to let low-income people use a limited version of Facebook and browse some other websites without data charges. Many of the users have inexpensive cellphone plans that cost just a few dollars a month, often prepaid, for phone service and a small amount of internet data. Because of software problems at Facebook, which it has known about and failed to correct for months, people using the apps in free mode are getting unexpectedly charged by local cellular carriers for using data. In many cases, they only discover this when their prepaid plans are drained of funds. In internal documents, employees of Facebook parent Meta acknowledge this is a problem. Charging people for services Facebook says are free “breaches our transparency principle,” an employee wrote in an October 2021 memo. In the year ended July 2021, charges made by the cellular carriers to users of Facebook’s free-data products grew to an estimated total of $7.8 million a month, when purchasing power adjustments were made, from about $1.3 million a year earlier, according to the company.

Faster internet speeds are linked to lower civic engagement in UK

Robert Booth  |  Guardian, The

Faster internet access has significantly weakened civic participation in Britain, according to a study that found involvement in political parties, trade unions and volunteering fell as web speeds rose. Volunteering in social care fell by more than 10 percent when people lived closer to local telecom companies' exchange hubs and so enjoyed faster web access. Involvement in political parties fell by 19 percent with every 1.8 kilometer increase in proximity to a hub. By contrast, the arrival of fast internet had no significant impact on interactions with family and friends. The analysis of behaviour among hundreds of thousands of people led by academics from Cardiff University and Sapienza University of Rome found faster connection speeds may have reduced the likelihood of civic engagement among close to 450,000 people – more than double the estimated membership of the Conservative party. They found that as internet speeds rose between 2005 and 2018, time online “crowded out” other forms of civic engagement. The study’s authors have also speculated that the phenomenon may have helped fuel populism as people’s involvement with initiatives for “the common good”, which they say are effectively “schools of democracy” where people learn the benefit of cooperation, has declined.

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