Joan Engebretson
AT&T CEO on BEAD: Thumbs Up on Texas; Thumbs Down on Some Other States
AT&T sees opportunities to apply for funding in the $42.5 billion Broadband Equity, Access, and Deployment (BEAD) Program in Texas and some other states, but likely will not apply for funding in many others, said the company’s CEO John Stankey. Noting that each state will set up its own rules for the program, Stankey said, “I point to a state like Texas. Policy-wise, they had a pretty sound approach to things. . .
SpaceX Launches Starlink Satellites to Support Service to T-Mobile Cellphones
T-Mobile’s planned satellite-to-cellphone service came a step closer now that SpaceX Starlink has begun launching satellites that will support the service. Field testing is expected to begin soon. When available, the service will enable T-Mobile customers to have cellphone connectivity in areas where traditional service is not available, and may never be, because of land use restrictions or difficult terrain. T-Mobile and SpaceX announced plans for the satellite-to-cellphone service in August of 2022.
Top Broadband Developments of 2023
There’s a lot of optimism in the broadband industry, driven by new opportunities in rural broadband, technology advances and more. In no particular order, here are 11 important developments that we saw this year.
Brightspeed’s Plans to Invest That $2 Billion in Its Network
Brightspeed’s origin story isn’t typical for the telecommunications industry, at least not for a company of its size. It all started with an investment premise that Apollo Global Management wanted to test. That premise: “If we invested in an under-invested wireline company, could we turn it into a growth company?” Apollo negotiated a deal to buy CenturyLink’s local service business in 20 states, which appeared to be an excellent place to test the premise. Only 2 to 3 percent of the footprint that Apollo bought from CenturyLink had been upgraded to fiber when the ownership was transferred.
Charter’s $1.3 Billion Texas Investment
Charter celebrated the $1.3 billion that the company is investing in rural areas of Texas. Charter will invest $700 million of the money to cover the full cost of network upgrades. The remaining $420 million will cover some of the cost of fiber deployment. The remainder of the cost of fiber deployment will come partially from money Charter won in the Rural Digital Opportunity Fund program in 2020, and partially from public-private partnerships with counties and cities.
Internet Exchange Points Move Beyond Big Metros: $5 Million Grant Supports One in Wichita
Kansas awarded a $5 million grant to nonprofit Connected Nation to construct a carrier-neutral internet exchange point (IXP) adjacent to Wichita State University’s Innovation Campus. Construction will be done through Connected Nation IXP, a joint venture between Connected Nation and Newby Ventures. The Wichita IXP will be the first carrier-neutral IXP in Kansas. One network that will connect to the Wichita IXP is the middle-mile network planned for the state that was funded, in part, through a June 2023, $42.5 million grant awarded to the Kansas Departments of Commerce and Transportation.
Two States Tally Up Broadband Funding Applications: Available Budget Comes Up Short
Add California and Wisconsin to the growing list of states whose broadband funding programs have received applications seeking considerably more funding than the program has available. California’s Federal Funding Account received 484 applications requesting $4.6 billion, which is more than double the $2 billion budgeted for the program. Awards are used to fund last mile infrastructure projects.
Wilkes/RiverStreet Scores Big Loan For Fiber Broadband Projects
RiverStreet Networks, a sister company of rural provider Wilkes Communications, has received a $191.1 million loan from CoBank that will go, in part, to refinance legacy US Department of Agriculture Rural Utilities Service financing and, in part, to deploy fiber broadband in rural areas of North Carolina and Virginia.
President Biden Signs Farm Bill Extension, Stopgap Funding for USDA Broadband
President Biden signed an extension to the Farm Bill as part of a new appropriations package aimed at averting a government shutdown. Executives from NTCA—The Rural Broadband Association and WTA—Advocates for Rural Broadband Executives from NTCA—The Rural Broadband Association and WTA—Advocates for Rural Broadband explained that the bill authorizes US Department of Agriculture to continue to operate broadband programs included in the 2018 Farm Bill through September 2024.
Minnesota Line Extension Funding: Local Providers Are the Big Winners
Three local providers were the big winners in the latest round of Minnesota’s Line Extension Connection broadband funding program. Two larger companies—Mediacom and Midco—also won funding in this round of the program, which awarded a total of almost $4.4 million. Mediacom won $190,501 to extend service to 37 locations and Midco won $166,800 to extend service to 21 locations.