January 2015

Verizon: Title II Reclassification Radical, Risky

Verizon was pulling out all the rhetorical stops as it argued against Title II reclassification of Internet access.

"[A]ny attempt to 'reclassify' broadband Internet access service as a Title II telecommunications service would be a radical and risky change to our nation’s long-standing, bipartisan communications policy," Verizon said in a filing with the Federal Communications Commission. "[Title II proponents’] wish list involves several onerous obligations -- ranging from rate regulation to mandatory unbundling -- that have nothing to do with the openness of the Internet," Verizon said. "And the forbearance for which they advocate is not forbearance at all, or would involve forbearance from only those provisions of little practical consequence. Their end game is not rules to ensure an Open Internet, but regulation for regulation’s sake."

Lawmakers launch tech diversity caucus

Members of both chambers of Congress launched a bipartisan caucus aimed at getting more women, minorities and veterans into the technology sector.

The eight leaders of the new Diversifying Technology Caucus said that the effort will work with the startup advocacy group Engine to push for greater inclusiveness and diversity in the industry, which has been criticized for being overly male, white and Asian-American. The new caucus “will bring together lawmakers from both sides of the aisle, along with researchers and academics, to shape policy that will help increase diversity in the industry and move our economy forward,” said Sen Amy Klobuchar (D-MN), one of the caucus leaders. Sens Shelley Moore Capito (R-WV) and Tim Scott (R-SC) are also chairing the caucus, as are Reps Cathy McMorris Rodgers (R-WA), Barbara Comstock (R-VA), Tulsi Gabbard (D-HI), and Robin Kelly (D-IL).

Activists start countdown to net neutrality

One month before the Federal Communications Commission is expected to vote on new rules to treat the Internet like a utility, activists participating in the Battle for the Net campaign have launched an online countdown clock that they are making available for sites across the Web.

"We are closer than ever to winning real network neutrality protections that will keep the Web open for generations to come, and the Internet is literally counting down the seconds,” said Evan Greer, Campaign Director for Fight for the Future. “We call on Internet users, cat video posters, music bloggers, YouTube karaoke stars, and major websites to unite for one more epic push to make sure that the FCC does the right thing and that corrupt members Congress can’t derail the process.”

Verizon Agrees To $5 Million Settlement In Rural Call Completion Investigation

Verizon has agreed to a $5 million settlement to resolve a Federal Communications Commission inquiry into the company’s failure to investigate whether rural customers could receive long distance or wireless calls to landline phones.

The inquiry, led by the FCC’s Enforcement Bureau, centered on whether, over a period of many months in 2013, Verizon failed to investigate evidence of low call answer rates to 26 different rural areas across the country. Verizon will pay a fine of $2 million and will implement a compliance plan in which it commits to spend an additional $3 million over the next three years to improve call completion to rural areas across the country.

FCC To Fine Advanced Tel $1.6 Million For Failing To Pay Universal Access Fees

The Federal Communications Commission plans to fine Advanced Tel $1,588,988 for failing to make required payments to federal programs that promote universal access to telecommunications services.

An FCC investigation found that the Simi Valley (CA) carrier failed to make required payments to the Universal Service Fund, Telecommunications Relay Service Fund, Local Number Portability administration, and federal regulatory fees. Despite repeated opportunities, Advanced Tel ultimately declined to reach an agreement to resolve its debts, compelling this action.

Cablevision’s Wi-Fi Mobile Phone Service Is Not for Everyone

Cablevision announced a $29 per month ($10 for existing Cablevision customers) Wi-Fi mobile phone service called Freewheel that offers unlimited calling and data, but only while on a Wi-Fi network.

Cablevision isn’t the first to pitch Wi-Fi as a low-cost alternative to traditional cellphone service, but most other players in the Wi-Fi calling market -- including FreedomPop and Republic Wireless -- have deals with cellular providers to use the networks as a fallback where Wi-Fi isn’t available, which is in a lot of places. Republic offers a $5-per-month Wi-Fi-only option, but only about 5 percent of Republic’s several hundred thousand customers sign up for that plan. And of those, 40 percent upgrade to an option with cellular coverage. As for not having a cellular network as a back-up option, Cablevision Chief Operating Officer Kristin Dolan said, "It was a conscious choice," noting that 93 percent of cellphone data is already being sent over Wi-Fi networks.

Where abandoned Web sites go to get a second chance

Flippa is a place where, unbeknownst to most, dying Web sites turn for a second shot at life.

Aside from Hipster Runoff, whose bids are now up to more than $11,000, Flippa also just sold ShipYourEnemiesGlitter.com -- the wildly viral, mildly vindictive project of Aussie Matthew Carpenter, who grew tired of the site after only a few days. Also on the auction block: PetsPage.com, SeedandGarden.com, and the tantalizing LatestCelebNews.net. “Essentially the same principles of real estate investment also apply to Web businesses,” Flippa's Business manager Luke McCormack explains. There are different types of investors on the site, of course. But when it comes to abandoned sites like Hipster Runoff, many are looking to “buy something old and neglected that [they] can easily improve -- then work on growing and building it back up. Think buy and renovate.” Those trendy renovations, the digital equivalents of granite countertops and couples’ vanities, often include the same set of things: a deeper well of content, to draw eyeballs and clicks; a search engine optimization strategy, to pull more traffic from Google; better or more advertising programs, to harvest money from the site. There’s no saying what will become of a site once it’s auctioned off.

The battle for America’s broadband: The Internet debate taking the country by storm

Should a city, county or district dissatisfied with lousy corporate service have the authority to construct and offer its own Internet?

Is the Internet today, like electricity a century ago, a utility that -- as a group of Democratic senators opined in 2014 -- Americans “cannot live without”? Portland (OR) says yes. Along with some of the nation’s largest cities, like Los Angeles, Boston and San Antonio, Portland has joined Next Century Cities, a group that advocates for municipal ”self-determination” on the issue. And just as cities like Portland emulate Kansas City’s laissez-faire strategy, so companies like AT&T (which once bragged of its universal access policy) seek to imitate Google’s demand-driven approach. The result is a fragmentation in the provision of the Internet. All city residents get the same water, gas and electricity. But the kind of Internet you access may depend on what neighborhood you live in.

Uniting in Support of Broadband that Works

If your region has a great community broadband offering, encourage leaders involved with the project to participate in the White House Community Broadband Summit, or one of the regional workshops slated for 2015, to share the experience.

If your area is considering new broadband solutions -- including community broadband -- your state and local leaders will find a wealth of new resources from the Department of Commerce. And if you’re just not satisfied with the quality of Internet available where you live, get involved! Check out some of the regions around the country in our new report on community broadband to see what happens when a few involved citizens, in partnership with local leaders and the private sector, make bold commitments to bringing more competition and faster, better broadband into their area.

How the cable industry is trying to reshape the economics of the Internet

If the cable industry gets its way, it'll enjoy tremendous advantages when it comes to the economics of the Internet. Here's how:

1) Arguing against new federal broadband standards to raise minimum download speed for broadband from 4Mbps to 25Mbps.
2) Resisting regulation of the middle-mile Internet: "Internet traffic exchange presents distinct issues and considerations that are not part of the open Internet debate," Comcast wrote in a filing to the Federal Communications Commission, arguing that the middle-mile Internet is a competitive marketplace with a lot of providers that doesn't need greater oversight. How this debate plays out could determine which companies foot the bill for exchanging traffic -- and if it's a shared arrangement, what the balance looks like. And that could have consequences for what you, the consumer, see on your bills.
3) A new way to make phone calls: Cablevision announced that it's launching a service called Freewheel, a $30-a-month cellular plan that uses only Wi-Fi to make calls.