December 2010

BBC will have to cut services, chairman warns

The British Broadcasting Company will not be able to meet its bills without significant cuts, the chairman of its governing body said, as he laid out plans for the broadcaster to cope with the freezing of its licence fee for the next six years.

In addition to losing any inflation-rate increase, the BBC will also have to pay an additional £340m a year to cover the costs of services such as the World Service and the Welsh-language channel S4C that have until now been met by the public purse. Sir Michael Lyons, chairman of the BBC Trust, said in his opinion that level of saving could not be made purely from efficiency savings, a view expressed by Mark Thompson, the director-general, when the licence fee deal was announced in October.

UK Mobile Phone Operator to Offer Unlimited Internet Access

A British mobile phone operator said that it would offer unlimited mobile Internet access, bucking the industry trend of charging based on the amount of data consumed. Analysts were divided over whether the decision by 3 UK would prompt rivals to follow suit and change their own mobile plans, which scale monthly prices based on download volumes and speeds.

“This is another maverick move by a known disrupter,” said Emma Mohr-McClune, an analyst based in Germany for Current Analysis, a research firm in Sterling, Virginia. “I don't think this is going to set a trend, but if 3 takes market share, it might.”

Ofcom redefines broadband markets as government ups rural rollout funds by GBP50 million

Ofcom, the British telecoms regulator, has published its conclusions following a review of the Wholesale Broadband Access (WBA) market, and while it found that there was effective competition in around 80% of the country it has set down new price control proposals in those areas where such competition still does not exist.

According to ISPreview, the watchdog has redefined its broadband market definitions in line with proposals made in an August 2010 consultation, after both significant changes in the makeup of the UK’s broadband sector and complaints from the European Commission (EC) that definitions based primarily on the number of ISPs operating in an area were not, in themselves, good enough.

UK needs universal fiber optic broadband now, says expert

Faster speeds are needed to help the country recover from the effects of the recession. Universal fiber optic broadband needs to be deployed in the UK sooner rather than later, according to a former MP once voted one of the world's top 100 Internet visionaries. Derek Wyatt, the founder of new think tank the Internet Policy Institute, argued the government's plan to roll out the technology to every community by 2015 is not ambitious enough, reports the Kent News. Faster broadband speeds are needed as soon as possible if the country is to recover from the effects of the recession, Wyatt insisted.

Canadian Railway to Upgrade In-Train Wi-Fi Services

The Government of Canada and VIA Rail Canada announced that UK based Nomad Digital has been selected to enhance Wi-Fi service for customers on VIA's Ontario - Quebec Corridor passenger trains. Under the five-year, C$6.3 million contract, Nomad will design, install, operate, and maintain the Wi-Fi infrastructure for VIA Rail. The federal government is providing capital funding for this project, including $3 million through its Economic Action Plan.

Russia targets 60-80% broadband penetration in 5 yrs

The Russian Minister of Communications Igor Shchegolev expects that broadband Internet access should be used by 60-80 percent of Russian households within five years and by 90-95 percent by 2020. To double the level of penetration of only wired broadband access, the four largest ISPs will have to spend USD 7.5-12 billion, reports Vedomosti. The current level of broadband penetration in Russia exceeds 30 percent. By 2015, this figure is expected to increase 2-2.7-fold, and by 2020 it should be 3-3.16-fold higher.

Check FCC Chairman Genachowski’s list

[Commentary] I wouldn't want to be in Federal Communications Commission Chairman Julius Genachowski’s position as the Dec. 21 deadline for a network neutrality order nears.

It’s an unenviable position as he tries to balance demands for an open Internet with the need for some sort of “prioritization” or “discrimination” for network operators in need of sustainable business models. He knows that his name will be inextricably tied to whatever this order ultimately says and strives to do, and he knows many broadband operators are ready to pounce with lawsuits if regulations go beyond the basics to which they reluctantly agreed (e.g., transparency and arbitrary blocking). He'll no doubt land in federal court whether or not there is a reclassification of broadband as a “Title II” communications service as network operators struggle to manage their networks, and as net-neutrality advocates push for continued openness of both fixed Internet and mobile infrastructures.

FCC Chairman Genachowski: Dec. 21 Net Neutrality Vote "Essential"

Federal Communications Commission Chairman Julius Genachowski said that it is "essential that we move forward next week to adopt the first enforceable rules of the road to protect Internet freedom."

Talking about "seizing the opportunities" of broadband, the chairman said one way to do that is to "reserve the freedom and openness of the Internet." He said his order was essential to protecting free speech and creating jobs. "That's why the FCC is moving to preserve the open Internet," he told his audience, though many of the regulations won't be applied to mobile broadband, according to the initial draft of the order. Chairman Genachowski said he had "broad support" for the effort, including from carriers. But that support is more for what the item is not, which is a Title II reclassification those carriers called a "nuclear option." Carrier support for the network neutrality regulations under Title I has come with the caveat that it is unnecessary and no regulations would be preferable.

Close Title II, Today

[Commentary] We are a week away from the Net Neutrality vote. Given the apparent decision not to use Title II to justify Net Neutrality rules, the Chairman should close Title II today. If not, the Commission should provide a public rationale to consumers and investors why such a jobs-killing proposal remains open. What certainty can the Commission provide industry if there remains an open and active docket under which three Commissioners—at any time—could flip a switch and treat broadband as a monopoly-era service? By closing Title II, the Chairman can signal definitively to the Internet sector that our widely successful pro-growth, pro-investment approach to broadband under Title I remains the right policy for today and tomorrow’s Internet.

Smart phones in combat: Army may issue iPhones and Android phones

The Army wants to issue an Apple iPhone or Google Android smart phone to every soldier; the devices could be used by troops as soon as next year.

The Army is already testing smart phones at three stateside bases in a pilot program called Connecting Soldiers to Digital Applications. And in February, smart phones are scheduled to be fielded for potential combat situations. Officials are also considering other devices, such as iPads, Kindle and Nook readers and mini-projectors, according to the Army Times. Other than potentially making the devices a bit more rugged, the Army doesn't plan to tinker too much with the technology. The devices' communications and mapping capabilities could change battlefield techniques, officials said, but there are also concerns about hacking and data security.