February 2009

How the Senate and House Differ on Broadband Spending

Differences between the two broadband stimulus proposals working their way through Congress could take a little while to work out, but details of the plans that have popped up this week offer a map of where things might end up. The House and Senate haven't agreed on much about the broadband stimulus so far, neither the cost ($6 billion in the House, $9 billion in the Senate) nor Internet speeds ("advanced broadband" in the House clocks in at 45mbps, while the Senate says "next-generation" broadband is 100 mpbs). Cable operators aren't thrilled about language in the House and Senate bills, which sets aside grant money for broadband providers who can provide 100 mbps service, since that would tend to favor phone companies installing fiber-to-the-home service. Open access, or net neutrality, conditions could be a major sticking point for phone and cable companies, which don't want significant government constraints on their network management practices. Right now, companies are concerned about how "open access" might be defined in the legislation. The Congressional Budget Office said Wednesday that much of the spending on broadband wouldn't really have much of an impact on consumers for several years. It could take "up to five to seven years" to finish some projects funded by the $2.8 billion handed out by the Agriculture Department's rural development broadband program.

Verizon Could Get $1.6 Billion in Senate Stimulus Plan

Four words buried in a provision to help subsidize high-speed Internet service contained in the latest Senate version of the economic stimulus legislation could mean hundreds of millions of dollars a year in tax credits for Verizon. The provision might give Verizon $1.6 billion in credits in the next two years, even if it does not hire one more person than it currently plans to do. The changes to the broadband part of the Senate stimulus bill were spearheaded by Senate Commerce Committee Chairman Jay Rockefeller IV (D-WV), who has long advocated for expanded broadband service to rural areas. Verizon is the dominant phone company in his state. The Senate proposal also would not ban Verizon, or any other company benefiting from the credit, from discriminating against certain uses of their Internet service, a principle often called network neutrality. Recipients of those grants would be required to follow network neutrality principles outlined by the Federal Communications Commission.

Telecoms Say Web Funding For Unserved Falls Short

The funding that Congress is likely to set aside for build-outs of high-speed Internet in its economic-stimulus package falls short of what service providers say is required to reach rural and unserved areas, based on initial cost estimates by several companies. A trade group representing midsize telecom providers with 27 million customers says its members alone would require $6 billion to $6.5 billion to reach about 3.6 million homes in their territories that don't have high-speed Internet access. That includes Qwest, which says its rural build-out would cost $3 billion, but doesn't include estimates from bigger providers such as AT&T and Verizon, or any cable companies.

What Broadband Competition Means In A 100Mbps Nation

[Competition] "Competition" is a key buzzword in telecom policy. Existing providers think there's plenty, while many public interest groups think we need more. But getting in the way of effective policymaking is that the truth lies somewhere in between. If you only consider the broadband speeds of today then in some areas the marketplace can look pretty competitive. Between cable, DSL, possibly fiber, and a variety of wireless technologies, consumers do often have multiple choices for 1Mbps+ service. And as new wireless technologies are deployed the possibility of a competitive 5Mbps marketplace isn't out of reach over the next few years. But let's look forward to 2015. That's the year that Senator Rockefeller and others have set out as the goal for achieving a 100Mbps Nation. What will competition look like then?

Britain unveils plans for universal broadband

Britain plans to provide universal broadband access in a bid to make the country more competitive and help drag it out of recession. A report by Communications minister Lord Carter said Britain would work to provide Internet access to the whole country at around 2 Megabits per second (Mb) through a mixture of fixed and wireless connections by 2012. Carter also intends to introduce legislation to force Internet service providers to crack down on Web piracy, will form a body to promote UK content and copyright, and will look to allow broadcasters to adapt to the changing times. Currently, around 60 percent of the country takes broadband, while some 99 percent has access to it, but not always at the required 2 Mb speed. Welcoming the Carter proposals, Prime Minister Gordon Brown said Britain would look to support the 52 billion-pound ($73.37 billion) industry as it would play a crucial part in lifting the country out of the recession.

Senate approves bill to delay digital TV

Senate unanimously passed another bill on Thursday to delay the national transition to digital television. Efforts to move the transition date to June 12 from February 17 are fueled by worries an estimated 20 million mostly poor, elderly and rural households are not technically ready for the congressionally mandated switch. Earlier this week, the Senate passed another bill delaying the DTV transition, but the measure failed in the House of Representatives. The bill is essentially the same that previously passed the Senate, but with a few minor modifications from the House. The bill has no additional funding for the DTV-to-analog converter box coupon program; the money for reissuing the coupons is in a separate bill, the economic stimulus package. The measure now goes back to the House.

Obama Will Sign DTV Delay Bill

White House press secretary Robert Gibbs says President Barack Obama will sign a bill to give consumers more time to get ready for the switch from analog to digital television broadcasts. The switch under current law is set for Feb. 17. Gibbs said Obama will sign the bill because he wants more time to ensure that people don't lose their television signals.

Chairman Copps Addresses DTV Transition Issues

Federal Communications Commission Chairman Michael Copps spoke to the FCC's Consumer Advisory Committee on Friday. He began by forcefully saying, "It's time for the CAC-and all of the advisory committees at the FCC-to be restored to their position as valued and independent counsel on the important communications policy issues we face." He expressed a number concerns about the state of the digital television transition, which remains just days away, and noted six steps the FCC is taking now to improve the transition:

1) Coordinating more closely with the National Telecommunications and Information Administration and other entities,

2) increasing coverage of so-called "analog nightlight" stations around the country,

3) improving consumer outreach,

4) expanding consumer assistance-- including in-home assistance,

5) creating a unified calling center, and

6) addressing broadcasters' coverage area issues.

He also committed to convening a technical working group to address digital closed captioning and video description issues.

Feb 5 FCC Open Meeting Agenda is all DTV

The Federal Communications Commission will hold an Open Meeting on Thursday, February 5, 2009, which is scheduled to commence at 2:00 p.m. in Room TW-C305, at 445 12th Street, S.W., Washington, D.C. The meeting will include presentations and discussion by senior agency officials as well as industry, consumer groups and others involved in the Digital Television Transition. The purpose of the meeting is to educate and inform the Commission and the public about the status and issues involved with the upcoming Digital Television Transition.

TV translators moving into digital age - maybe

Technical upgrades dovetailing with the digital conversion will allow translators to continue relaying programs from full-power stations, the kind typically affiliated with a major network, and there are government grants to cover at least some of the cost. Low-power television, which the Federal Communications Commission established in 1982 as a pathway for locally oriented TV in small communities, must eventually switch to digital broadcasting but there is no deadline. For translators, the low-powered conversion will mean more adaptation down the line. Some of the country's 4,700 translators are going dark rather than change. About half the size of a microwave oven and often attached to towers, translators were authorized by the FCC in 1956. They receive a transmitted signal, convert the frequency, then relay the signal to TV viewers, who often are in remote places.

Benton

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