Wednesday, December 21, 2022
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Broadband Funding
Treasury Announces Three Additional Capital Projects Fund Awards to Increase Access to Affordable, High-Speed Internet
The US Department of the Treasury announced the approval of broadband projects in three additional states under the American Rescue Plan’s Capital Projects Fund (CPF): Illinois, Indiana, and North Carolina. Together, these states will use their funding to connect over 170,000 homes and businesses to affordable, high-speed internet. A key priority of the Capital Projects Fund program is to make funding available for reliable, affordable broadband infrastructure. The Capital Projects Fund provides $10 billion to states, territories, freely associated states, and Tribal governments to fund critical capital projects that enable work, education, and health monitoring in response to the public health emergency.
- Illinois is approved to receive $253.7 million for broadband infrastructure, which the state estimates will connect 87,163 households and businesses – representing approximately 25% of locations still lacking high-speed internet access.
- Indiana is approved for additional funding to support the Indiana Next Level Connections (NLC) broadband grant program, increasing the total award from $187 million to $203 million.
- North Carolina is approved to receive $177.7 million for broadband infrastructure, which the state estimates will connect an estimated 78,100 households and businesses – representing 14% of locations still lacking high-speed internet access.
Additionally, each state’s plan requires service providers to participate in the Federal Communications Commission’s (FCC) new Affordable Connectivity Program. (ACP). The Affordable Connectivity Program helps ensure that households can afford the high-speed internet they need for work, school, healthcare, and more by providing a discount of up to $30 per month (or up to $75 per eligible household on Tribal lands). Experts estimate that nearly 40% of U.S. households are eligible for the program.
GeoLinks took home $84.6 million of the $234.9 million it won in the Federal Communications Commission’s Rural Digital Opportunity Fund (RDOF) auction for broadband projects in Arizona and Nevada. While its top priority is ramping up those fiber and fixed wireless builds, company President Ryan Adams said it's also keeping its eyes peeled for expansion opportunities from the Southwest to the East Coast which could help it scale over the next decade. GeoLinks has slowly but surely slid swaths of southern California under its wing through strategic partnerships, like with the Corporation for Education Network Initiatives in California (CENIC), which helped connect schools and public libraries across rural California to reliable internet connections. Even though fiber is the golden goose for GeoLinks, fixed wireless via licensed and unlicensed spectrum alike are of interest. While Adams wasn’t ready just yet to reveal the next key markets that RDOF projects will launch in, he underscored that the company was working closely with the FCC to build roadmaps on what is to come to ensure that all milestones can be met in the future.
People with low incomes can get free Internet service through Comcast and the Federal Communications Commission's Affordable Connectivity Program (ACP), but signing up is sometimes harder than it should be because of confusion within Comcast's customer service department. The confusion is related to a Comcast rule that makes customers ineligible for Internet Essentials low-income service if they have been a Comcast subscriber in the previous 90 days. That rule and another one related to unpaid bills are not supposed to apply to people who also qualify for the ACP. The confusion among some Comcast customer service reps suggests the company hasn't completely trained employees on the rules of the low-income programs.
In November 2022, the Federal Communications Commission released our pre-production draft of its new broadband maps. For the first time ever, the maps reflect broadband availability at the physical location level. In fact, prior FCC maps only provided this information at the census-block level. That means these new maps provide the best picture available to date of where broadband is and is not available across the country, and the maps will only get better over time as the FCC gets input from stakeholders across the country. As I said last month, this is a beginning, not an endpoint for the new era of broadband maps. But just because we know they’re better doesn’t mean they’re perfect. And the long-term success of this effort depends on consumers and other stakeholders getting involved in the process. This isn’t just good policy, it’s the law. The Broadband DATA Act requires the FCC to use a challenge process to continually update the map to make it more accurately reflect the reality consumers face. The Act even instructs us to collect this availability information every 6 months, incorporating previous challenges along the way, meaning that with each iteration we’re getting closer and closer to a more accurate picture of where broadband is and where it is not. The FCC is committed to this continually evolving process both in the near term and for the long haul. So far, we have received thousands of challenges from consumers nationwide—and we know more are on the way. This feedback will help make the maps more accurate. And more accurate maps will help us all work together to close the digital divide. Here are the most important things to know about how to participate in improving the FCC’s maps.
The Broadband Connectivity Index (BCI) measures overall internet connectivity and compares it across areas. The BCI uses principal components analysis of the availability of internet service, how many people have internet service at home, and the speed of internet service. The BCI is adjusted to range from zero (worst) to one (best), by county. Most counties in the US have fairly high scores for broadband availability, but some counties score very low. Even within states, scores can vary a lot. For example, Arizona has an average score of 0.67, which ranks it 37th among all states. However, the lowest-scoring 5% of counties in Arizona are lower than those in all but one state (Alaska). States could use the BCI for multiple purposes. It could help to decide where to challenge the Federal Communications Commission's new National Broadband Map or where to target state resources for gathering better information. Areas with particularly high scores but low measures of any given indicator, or vice versa, could be areas in which data is incorrect and needs more investigation. Additionally, the BCI could provide a framework for states to start considering where subsidies are likely to make the biggest difference. States can modify it to fit specific priorities, like considering internet adoption by race or ethnicity or looking at different internet speed standards. The BCI is not a solution for deciding where to give out subsidies, but it can be a useful tool for identifying geographic areas or types of information that need more attention
There is a mountain of complaints to be made about the Federal Communications Commission's new National Broadband Map. In some parts of the country, there are a lot of missing rural locations, including entire subdivisions. Close analysis of the map shows what folks in the broadband world have always known, but were unable to prove, that the big cable companies and telcos don’t cover everybody. It is these unserved folks in the middle of cities that I call the hidden unserved locations. These little pockets came about for a variety of reasons. Some are costly to serve and the cable company decided not to reach them when the initial network was built.
The omnibus spending bill unveiled by lawmakers expands a ban on Chinese-owned TikTok on federal smartphones, but tough new measures targeting the tech industry didn’t make the cut. The inclusion of the proposal to ban TikTok comes after the Senate, led by Sen. Josh Hawley (R-MO), passed the governmentwide ban measure separately. It is expected to be approved again by both chambers as part of the omnibus. The Pentagon, the State Department, the Department of Homeland Security and the Transportation Security Administration have already imposed similar bans on TikTok being downloaded on government-issued smartphones and other devices, on grounds that data collected on users could be shared with the Chinese government. The Biden administration is under fire for delays in negotiating an agreement with TikTok’s owner, Beijing-based ByteDance, aimed at preventing data on Americans from being shared with China’s authoritarian government. TikTok has repeatedly said that it safeguards the data of its users and wouldn’t share it with the Chinese government.
Google and Meta, known together in the ad industry as the "duopoly," are expected to bring in less than half of all US digital advertising this year for the first time since 2014. While they still tower over digital rivals, their momentum is starting to slow as competition moves in. Google and Meta will together capture 48.4% of all US digital ad revenue this year (28.8% for Google and 19.6% for Meta), down from 54.7% at their peak in 2017 (34.7% for Google and 20.0% for Meta). By far, the biggest threat to their collective ad dominance is Amazon, which has grown its ad business to over $30 billion dollars annually. By 2024, Amazon is expected to capture 12.7% of all US digital ad dollars, while Meta is expected to capture 17.9%. Aggressive lobbying against Big Tech's ad dominance, mostly by the digital news industry and smaller technology rivals, will make it harder for Google and Meta to expand their ad businesses through acquisitions.
Platforms/Social Media
Zuckerberg weighed naming Cambridge Analytica as a concern in 2017, months before data leak was revealed
Mark Zuckerberg considered disclosing in 2017 that Facebook was investigating “organizations like Cambridge Analytica” alongside Russian foreign intelligence actors as part of an election security assessment before ultimately removing the reference at his advisers’ suggestion, according to a 2019 deposition conducted by the Securities and Exchange Commission. The omitted reference provides insight into Zuckerberg’s thinking on Cambridge Analytica in the critical months before press reports would reveal that the data analysis firm affiliated with Donald Trump’s 2016 presidential campaign had improperly gained access to tens of millions of Facebook users’ personal information. The data leak prompted a global outcry that led to hearings, an apology tour from Zuckerberg, and Facebook’s $5 billion privacy settlement with the US government. The deposition transcript suggests that in 2017, Zuckerberg considered Cambridge Analytica a potential election concern on par with Russian election meddling efforts even though he said he did not know about the data leak first discovered by Facebook staffers in 2015. It also points to how Facebook staffers had opportunities to brief Zuckerberg on that leak, but chose not to, prior to reports about the incident that surfaced in 2018.
A bevy of proposals to limit Big Tech firms' power gave up their last gasp as Congress released the text of its year-end spending bill. But the following major tech-related bills, including two that supporters were fiercely pushing for, failed to make it in:
- The Open App Markets Act would have forced Apple and Google to give app developers more rights in their app stores, including the ability to "side-load" apps directly onto phones, surpassing approval and a commission charge.
- The Kids Online Safety Act would have required platforms to guard kids from harmful content using new features and safeguards and to make privacy settings "on" by default for children.
Only a few pieces of notable legislation related to tech and telecommunications made it to the finish line:
- A provision to ban TikTok on government devices.
- A version of the Merger Filing Fee Modernization Act, which raises the cost of merger filing fees for transactions of $5 billion or more, was included, though the boost in funds won't be allocated until 2024.
- The INFORM Act, aimed at deterring online sales of counterfeit and stolen goods and supported by companies like Amazon and Etsy.
- The Infrastructure Investment and Jobs Act (IIJA), passed a year ago, allocated $65 million for broadband internet deployment.
The threat of new rules in the US, combined with an increasingly onerous regulatory environment in Europe, has companies re-thinking their policies around competitors, children's privacy, algorithmic transparency, and more.
A passionate and bipartisan legislative effort to rein in the country’s largest technology companies collapsed this week, the victim of an epic lobbying campaign by Amazon, Apple, Google, and Meta. The internet titans spent hundreds of millions of dollars, sent their chief executives to Washington, and deployed trade groups and sympathetic scholars to quash two antitrust bills co-sponsored by Sen. Amy Klobuchar, a Minnesota Democrat, and Sen. Charles E. Grassley, an Iowa Republican. The companies treated the bills like an existential threat. The years-long legislative effort, which harnessed outrage over tech companies’ power and dominance, would have cracked down on the practices of Alphabets Google, Amazon.com, Meta Platforms, and Apple for the first time in the nearly three decades since the internet was unveiled to the public. The closely watched bills advanced farther than any other antitrust overhaul in decades and emerged from an 18-month House investigation led by Rhode Island Democrat Rep. David Cicilline. The American Innovation and Choice Online Act would have prevented the tech giants from using their platforms to disadvantage competitors, while the Open App Markets Act would have pared back Apple’s and Google’s control over app stores. Despite an aggressive eleventh-hour push, the bills were not included in the end-of-year spending package, the final shot this year.
Google Fiber Webpass uses wireless technology to provide high-speed internet to the apartments, condominiums, and offices we serve across the country. Wireless technology is a broad term that can mean many different things, like Wi-Fi, cellular, Bluetooth, IoT protocols, and military communications. Those are great, but the Google Fiber Webpass wireless method of internet deployment is different. We use millimeter wave — or wireless radio — technology for what’s known as “backhaul,” for how we deliver wireless internet to any given building. This method can really speed up how quickly we can get service to a multi-unit building. Simply put, while our fiber optic lines deliver fast speeds, they can be costly and time consuming to construct, or even simply infeasible to deploy especially in dense, urban areas, where many of these buildings are. With radio technology, all we have to do is bring our fiber optic connection to one of the buildings in the radio network that covers a given area. That makes it incredibly fast and easy to implement and still delivers remarkable speeds, which can be comparable to a fiber optic connection, so we can serve more units more quickly.
Stories From Abroad
European Commission accepts commitments by Amazon barring it from using marketplace seller data, and ensuring equal access
The European Commission has made commitments offered by Amazon legally binding under European Union antitrust rules. Amazon's commitments address the Commission's competition concerns over Amazon's use of non-public marketplace seller data and over a possible bias in granting sellers access to its Buy Box and its Prime program. Amazon's practices raised three competition concerns:
- The use of big data and Amazon's dual role as both a marketplace and a competitor to sellers active in its marketplace.
- Rules of access set by Amazon for sellers to appear in the Buy Box.
- Rules of access set by Amazon for sellers and carriers to participate in the Prime Program.
In response to European Commission concerns, Amazon has committed to the following:
- Improve the presentation of the second competing Buy Box offer by making it more prominent and including a review mechanism in case the presentation is not attracting adequate consumer attention;
- Increase the transparency and early information flows to sellers and carriers about the commitments and their newly acquired rights, enabling, amongst others, early switching of sellers to independent carriers;
- Lay out the means for independent carriers to directly contact their Amazon customers, in line with data-protection rules, enabling them to provide equivalent delivery services to those offered by Amazon;
- Improve carrier data protection from the use by Amazon's competing logistics services, in particular concerning cargo profile information;
- Increase the powers of the monitoring trustee by introducing further notification obligations;
- Introduce a centralized complaint mechanism, open to all sellers and carriers in case of suspected non-compliance with the commitments.
- Increase to seven years, instead of the initially proposed five years, the duration of the commitments relating to Prime and the second competing Buy Box offer.
The Commission found that Amazon's final commitments will ensure that Amazon does not use marketplace seller data for its own retail operations and that it grants non-discriminatory access to Buy Box and Prime.
Benton (www.benton.org) provides the only free, reliable, and non-partisan daily digest that curates and distributes news related to universal broadband, while connecting communications, democracy, and public interest issues. Posted Monday through Friday, this service provides updates on important industry developments, policy issues, and other related news events. While the summaries are factually accurate, their sometimes informal tone may not always represent the tone of the original articles. Headlines are compiled by Kevin Taglang (headlines AT benton DOT org) and Grace Tepper (grace AT benton DOT org) — we welcome your comments.
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