April 2015

FCC Sends Net Neutrality Rules to Federal Register

The Federal Communications Commission said it sent its network neutrality rules to the Federal Register on April 1, bringing the new Internet regulations closer to reality and to expected legal challenges. Opponents can’t sue to overturn rules until they are formally published in the Federal Register, the nation’s official record of government actions. It still will be days or longer before the Federal Register publishes them following its own internal process.

Annual Assessment of the Status of Competition in the Market for the Delivery of Video Programming

This is the sixteenth report of the Federal Communications Commission to the United States Congress on the status of competition in the market for the delivery of video programming as required by Section 628(g) of the Communications Act of 1934.

In this Report, the FCC focuses on developments in the video marketplace in 2013. As described below, the most significant trends since the last report include the continuing development, and consumer usage, of time and location shifted viewing of video programming, the expansion of digital and high definition programming, and the progress of the online video industry. Herein, the FCC categorizes entities into one of three groups -- multichannel video programming distributors (“MVPDs”), broadcast television stations, and online video distributors (“OVDs”). The FCC describes the providers of delivered video programming in each group, summarize their business models and competitive strategies, and present selected operating and financial statistics.

FCC Chairman Wheeler Says He'll Fight Attempts to Delay Auction

Federal Communications Commission Chairman Tom Wheeler has assured some prominent House and Senate Democrats that the incentive auction is still on track for early 2016 -- less than a year away -- and that he will oppose attempts to delay it, which he says could hurt broadcasters as well as wireless companies eager for spectrum.

Rep Anna Eshoo (D-CA) and Sen Ed Markey (D-MA) had written to Chairman Wheeler to encourage him to make sure that the FCC had reserved enough spectrum for non-dominant low-band spectrum holders -- the dominant ones are principally AT&T and Verizon, they pointed out. In his reply, Chairman Wheeler said that he would "strenuously oppose" any attempt by carriers with "sufficient" low-band spectrum to delay the auction "in order to preserve their competitive advantage in holding almost all the spectrum for as long as possible."

FCC Plans $5.9 Million Fine Against Roman LD for Misrepresenting Its Identity and Illegally Switching Consumers' Phone Companies

The Federal Communications Commission plans to fine Roman LD, an Irving (TX) Texas telephone company, $5.9 million for allegedly switching consumers’ long distance telephone services without their authorization (“slamming”), misrepresenting the company’s identity during telemarketing calls, fabricating “authorization” recordings as “proof” of consumers’ authorizations, and transferring control of the company without FCC approval.

The Enforcement Bureau reviewed over 100 complaints against Roman that consumers filed with the Commission, the Better Business Bureau, state regulatory agencies, and directly with Roman. Consumers complained that Roman switched their long distance service provider without their authorization. In some cases, consumers stated that Roman’s telemarketer pretended to be employed by the consumer’s own telephone carrier. On at least two occasions, Roman apparently falsified an audio recording of the “authorization” to make it appear that the consumer had agreed to the carrier change. The investigation also showed that ownership and control of the company was apparently transferred, including its domestic and international authority to provide telecommunications services, without prior Commission approval as required by the Communications Act and FCC rules. The FCC charged Roman with willfully and repeatedly switching consumers’ preferred long distance carrier without verified authorization and transferring control of the company without authorization, all in apparent violation of the Communications Act and FCC rules.

Better testing sought for how wireless medical devices will interact

Hospitals and technology experts want the federal government to help create a platform or protocols for making sure medical devices can co-exist and interact on crowded wireless networks without disrupting one another. Wireless technology promises more seamless interaction of medical devices and information technology in hospitals. But without more-effective testing, it can be difficult to tell whether introducing a new wireless device will interfere with (or be disrupted by) other traffic on the network. Participants at a conference convened by the Federal Communications Commission and the Food and Drug Administration called on the agencies to help address the problem.

Here’s a Thing: There’s No Correlation Between a College Degree and Coding Ability

[Commentary] Mike Rosenbaum has a profound insight to share with tech companies, but he’s found them a hard sell. After wrapping up a stint as a White House economist under President Bill Clinton, Rosenbaum became a Harvard fellow and set about something that bugged him: Why should fancy degrees make him a better candidate for a programming job than others who lack the degrees but might be better coders? Rather than publish a paper on the topic, Rosenbaum started a business based on finding just those kinds of talented employees that hirers might overlook. The upshot: “We find no correlation between having a college degree and being a good software engineer,” he says.

In Silicon Valley Frenzy, VCs Create New Inside Track

Silicon Valley insiders are taking advantage of soaring values for technology startups by creating a potentially lucrative side business. Venture-capital firms such as Andreessen Horowitz and FirstMark Capital, along with a cast of prominent entrepreneurs and executives, have each raised tens of millions of dollars for impromptu funds that take a direct stake in a single startup.

These funds, which often come together in a matter of days, give institutional investors, friends and business associates exclusive access to highflying companies. The funds also let the venture capitalists invest far more money in a company than they otherwise could. In many cases, the funds are blessed by the startups, which see them as a way to raise big sums quickly. While the investments are usually billed as exclusive, can’t-miss opportunities, the funds aren't without risk.

Researchers: Percentage of Fiber-Connected Buildings Exceeds 40%

More and more commercial and multi-tenant buildings in the US are being wired with optical fiber. Back in 2004, fiber’s penetration rate in such buildings stood at 10.9 percent. As of year-end 2014, that had nearly quadrupled, rising to 42.5 percent, according to the latest market research from Vertical Systems Group.

“Fiber is used to deliver the majority of Carrier Ethernet service connections,” Vertical said. Similarly, greater use of fiber in US commercial and multi-tenant buildings is expanding “access to high-speed IP/MPLS VPN services, Cloud and Internet connectivity, and for mobile backhaul applications.”

Comcast leapfrogs Google Fiber with new 2Gbps internet service

Comcast announced a new 2Gbps broadband service, which it will start rolling out in Atlanta. There's no price yet, but Comcast says it will be symmetrical -- meaning you'll upload just as quickly as you can download -- and it won't be limited "just to certain neighborhoods." To get connected, you'll need to be "within close proximity" of Comcast's fiber network and accept the installation of "professional-grade" equipment. That should hint at the likely high cost of Comcast's new offering, which can be interpreted as a residential extension of the multi-gigabit service that it already offers to businesses across the United States. Comcast plans to expand to other cities beyond Atlanta and will cover as many as 18 million American homes by the end of 2015.

The White Space Black Hole

In 2008, in the wake of the 700 MHz auction, Google held a conference call to reveal its plans for “Wi-Fi on steroids” -- a broadband wireless service to be delivered coast to coast via unlicensed white space devices, all in time for the 2009 Christmas holiday. I remember reading a blog comment around that time mocking AT&T and Verizon for “wasting” billions of dollars on licensed spectrum in the 700 MHz auction when troves of valuable unlicensed spectrum would soon be available for free.

In 2010, the Federal Communications Commission adopted white space rules that white space supporters argued set the stage for the next generation of wireless technologies to emerge. One reporter declared that “there is no stopping the white space gold rush that is about to begin.”

It’s now 2015. The licensed 700 MHz allocations that were sold in 2008 have been the bedrock for billions of dollars of investment in wireless networks that now form the catalyst for U.S. leadership in LTE wireless technologies. And hundreds of millions of U.S. consumers now enjoy 4G LTE wireless services as a result of those investments. On the white spaces front, an Internet search reveals only a scattering of small scale white spaces tests and deployments, with even less information available about the scope or success of those efforts.