December 2009

Closing the digital divide through broadband expansion

[Commentary] The American way of life has changed dramatically since my youth, due in large part to our ability to communicate instantly via the Internet. However, not every American family can afford up to $60 per month for broadband services at home, putting themselves and their children at a disadvantage. Today, young and old Americans look to the Internet to provide necessary information to succeed and in-home broadband service offers an immediate wealth of knowledge to their door.

I have introduced the Broadband Affordability Act in the House of Representatives. If enacted, a broadband Lifeline Assistance program will be established under the Federal Communications Commission (FCC) within the already-existing framework of the Universal Services Fund (USF) to create a program for universal broadband adoption similar to the current USF lifeline assistance program. As a result, we will expand affordable broadband access in urban and rural areas, particularly for low-income households, and help close the digital divide for millions of Americans. As the bill is being considered by the Energy and Commerce Committee, I am working with my colleagues to illustrate the need amongst low-income Americans for this critical service.

The bill has been endorsed by the Communications Workers of America (CWA), and just this week, the Board of Directors of the National Association of Regulatory Utility Commissioners (NARUC) unanimously adopted a resolution supporting this important legislation at its annual meeting in Chicago.

FCC's Memphis Broadband Hearing Rescheduled

The Federal Communications Commission field hearing on digital inclusion in Memphis (TN) has been rescheduled for Monday, December 14. The original date was Saturday, Dec 5.

FCC Seeks Comment on Video Devise Innovation

The Federal Communications Commission is requesting public comment on how the FCC can encourage innovation in the market for video devices that will assist the Commission's development of a National Broadband Plan. As the popularity of IP delivery of video continues to increase, the FCC believes that new applications will emerge, Internet use will increase, consumers will have more viewing options, and more viewers will want to access Internet content on their televisions. The convergence of the television and content delivered by IP makes this a critical time to promote innovation in set-top devices that could support the Commission's effort to drive broadband adoption and utilization. Accordingly, the FCC wishes to consider taking an active role in formulating a solution that will spur the development of a retail market for nationally portable video devices that will work across all delivery platforms, including MVPD platforms and broadband-based video platforms. The FCC asks: 1) A. What technological and market-based limitations keep retail video devices from accessing all forms of video content that consumers want to watch? 2) Would a retail market for network agnostic video devices spur broadband use and adoption and achieve Section 629's goal of a competitive navigation device market for all MVPDs? 3) Can the home broadband service model be adapted to allow video networks to connect and interact with home video network devices such as televisions, DVRs, and Home Theater PCs via a multimedia home networking standard? 4) What obstacles stand in the way of video convergence? Comments are due Monday, December 21, 2009.

Sweden: A Model for the Broadband Future?

Sweden's telecoms regulator recently issued a report detailing how openness in broadband infrastructure affects competition. Sweden is a leader in broadband penetration, has some of the lowest average monthly high-speed Internet costs, and is boosting its fiber penetration. Access to dark fiber is a key roadblock to openness and thus, innovation, the report found, and suggests that the government take a complementary role in promoting a fiber infrastructure. It also suggests that the lock-in periods and high fees for terminating a broadband contract slow innovation because unhappy consumers can't "vote with their feet." The final roadblock is a lack of spectrum for mobile broadband access.

Misunderstanding NTIA: The Good, The Bad, and The Uncertain

Daily takes it all back. Critical of the National Telecommunications and Information Administration's handling of the broadband stimulus program, he's now heard from NTIA head Larry Strickling and realized he's been writing about perceptions rather than reality.

An Open Letter To Blair Levin On The Subject of National Broadband Public Notices

Uncle! Twenty-six public notices in the National Broadband Plan proceeding are too many. For us policy wonks, it has been something like being a kid in a candy store with all the new data coming in and genuine interest on the part of staff to review data and discuss it on the merits. This, in turn, has encouraged many parties to bring substantive data and arguments to the table rather than simply rehash the same thin gruel of talking points over and over. In all seriousness, you (and everyone else involved) should be proud of your accomplishments on the process side. But, like a kid in a candy store, we are starting to get something of a stomach ache here. Because the plan is due February 17, 2010, the time frames on these Public Notices are very short. Worse, because you have now pared things down from the very high-level general questions to the much more interesting and specific questions, the Public Notices require significant expenditure of resources and time to develop meaningful responses. It does no good to ask very interesting questions if no one has time to give meaningful answers. This, in turn, runs the risk of diminishing the benefits of an excellent process. Too many Public Notices advantages the companies that have the resources to continue to respond at the rate required. As with all things, there are trade offs between having a process designed to solicit the best information and a process that allows for meaningful participation for everyone.

A Spectrum Management Framework

Speaking at a Phoenix Center event, Federal Communications Commission member Meredith Attwell Baker offered her take on how US spectrum allocation policy should change. She said, "The United States needs a comprehensive approach that expands upon proven flexible, market-oriented policies that facilitate spectrum access, wireless innovation and competition. Our policy should achieve two overarching objectives: first, make the best use of the spectrum that is available today and, second, get as much additional spectrum into the market as possible to meet the current and future demands of wireless consumers." The first step is a comprehensive inventory of how government and industry use spectrum today. Then the Commission must develop a comprehensive and strategic spectrum management framework. She said her approach is to "first identify the objective, then look to the statute and to Congress, consider the context, and weigh the costs and benefits." Commissioner Baker called for a comprehensive look at our secondary market rules. Initially developed to encourage deployments in unserved and underserved areas, she explained, the secondary market rules have been an evolving tool for providers that may not be attracting the level of investment initially envisioned. The FCC needs to take another look. It needs to ask what the Commission can do to stimulate secondary market transactions that enhance the efficient use of existing spectrum allocations. She asked: Could they be modified to provide incentives that would encourage additional deployments? Within this discussion, what is the potential role of spectrum leasing? Is interference trading a concept that could help improve spectrum policy? Are there policies that would encourage dynamic spectrum access and cognitive radio technologies and other innovative tools yet to be developed? She suggested an update of existing spectrum allocations and service rules. Decades-old service-specific and technology-specific allocations have splintered our spectrum, delayed implementation of tremendous innovation and arguably resulted in inefficiencies. Resolving those inefficiencies could be one of the keys to unlocking additional value in our current spectrum allocations.

2.5 billion mobile Internet devices by 2014, most not cell phones

There will be 2.5 billion connected data-centric devices in use worldwide by 2014, but more than half will not be mobile phones, and many will not be sold by carriers, according to new research from ABI Research. These devices, including laptops, netbooks, eReaders, portable navigation devices (PNDs), mobile media players, mobile gaming devices and digital cameras, will make up 1.5 billion of the wirelessly connected devices on the market in 2014. This non-handset category of devices will blur the service provider line even further, giving wireless operators a run for their money

Bill Targets Cell Phone Termination Fees

Sen. Amy Klobuchar (D-MN) introduced legislation Thursday that would set limits on the termination fees that wireless providers can charge their customers for cancelling their wireless contracts early. Under the bill, providers would be barred from charging an early termination fee that is higher than the cell phone discount the wireless company offered a customer to enter into a multiyear contract, required to pro-rate the early termination fees for consumers when they opt out of their contracts early, and required to provide "clear and conspicuous disclosure" of the early termination fee rates. Sens Russ Feingold (D-WI), Jim Webb (D-VA) and Mark Begich (D-Alaska) co-sponsored.

FCC Workshops on the Open Internet

The Federal Communications Commission (FCC) announced that Commission staff will hold an initial round of public workshops in December and January as part of the open Internet Notice of Proposed Rulemaking (NPRM). These workshops will explore issues raised in the proceeding, including the technical realities of broadband networks and the impact of the Internet's openness on various interests, including speech, democratic engagement, consumers, innovation, and investment. The dates, locations, and topics for additional spring workshops on the open Internet rulemaking will be announced in early 2010. The first public workshop -- part of the Technical Advisory Process -- will address basic technical issues relevant to the proceeding and will occur on Dec. 8, 2009 starting at 10 a.m. in the Commission meeting room. It will be followed by a workshop on speech, democratic engagement, and the open Internet on Dec. 15, 2009 starting at 1 p.m. in the Commission meeting room. In January, Commission staff will hold two additional workshops: one on innovation, investment, and the open Internet, and the other on consumers, transparency, and the open Internet.

Benton

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