Friday, March 25, 2022
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Congress Provides More Money for Rural Broadband Deployment
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Broadband Funding
On March 15, 2022, President Joe Biden signed the Consolidated Appropriations Act, 2022 which provides funding through September 30, 2022 for projects and activities of the Federal Government. Much of the coverage of the law highlights the $13.6 billion in funding to address Russia’s invasion of Ukraine and the impact on surrounding countries. But there's also more funding for broadband in the new law. And, with the return of earmarks—now known as "congressionally directed spending" or "community-project funding"—some specific broadband projects will now be funded. The law provides a total of nearly $4 billion for rural development programs. Over $550 million of these development funds are targeted to expand broadband service in rural areas to provide economic development opportunities and improved education and healthcare services, such as through the ReConnect program. The Consolidated Appropriations Act, 2022 also allocates $62.5 million to be used for grants for telemedicine and distance learning services in rural areas. Such funds may be used to finance the construction of facilities and systems providing telemedicine services and distance learning services.
[Kevin Taglang is executive editor at the Benton Institute for Broadband & Society.]
The big monopoly incumbent providers are aiming their lobbying efforts to influence state lawmakers as states funnel federal funds into state broadband grant programs. In January 2022, Illinois State Senator Patrick Joyce (D-IL) introduced legislation in the Illinois General Assembly known as the Illinois Broadband Deployment, Equity, Access, and Affordability Act of 2022 (SB 3683). According to the Benton Institute for Broadband & Society, the bill "proposes constraints on the use of federal funds that fly in the face of the clear language of federal law.” In New York, legislation is making its way through the New York state legislature that, while not openly violating Congressional intent the way the legislation introduced in Illinois does, does potentially limit the viability of municipal broadband projects. A subsection in the state Senate’s Transportation, Economic Development, and Environmental Control portion of the budget (S. 8008 B) directs the New York Broadband Grant Program, referred to as ConnectALL, to give preference to "proposals that have a business plan based on a public-private partnership model or provide a mechanism for transition of services to a private entity in the future." According to community broadband advocates in New York, bits of legalese like this can be as a Trojan horse that would make it difficult to fund municipal broadband proposals with unnecessary obstacles in place.
[Sean Gonsalves is senior reporter, editor and researcher for the Institute for Local Self-Reliance’s Community Broadband Network Initiative.]
For many years there have been people extolling the huge benefits of public-private partnership for broadband. For all of that talk, there is not a big number of partnerships, but there are some successful examples around the country. Communities that are looking for broadband solutions might want to consider public-public partnerships and non-profit partnerships. I’m seeing public-public partnerships develop that are similar to the more traditional public-private partnership. Existing municipal internet service providers (ISPs) are reaching out to help neighboring communities. The most common model I’m seeing discussed is where a community is building a fiber network and asking an existing municipal fiber provider to operate it. There are a handful of such arrangements but communities nearby to successful municipal ISPs are reaching out for help. I’m also seeing multiple communities banding together to find broadband solutions. I’m working with several coalitions of multiple counties working together to find a broadband solution for a region so that nobody gets left behind. I’m sure that these partnerships have always existed, but the federal digital equity funding is bringing communities and non-profits together to work towards digital literacy. This might mean programs to get more computers in homes and for students, among other things. While governments can tackle these kinds of programs, a better permanent solution is to work with non-profits to create sustainable programs that will survive this temporary burst of grant funding.
[Doug Dawson is President of CCG Consulting.]
A mere six months after Yellowstone Fiber (formerly Bozeman Fiber) announced it would be building Montana’s first high-speed all-fiber internet network, and the state’s first Open Access fiber to the home (FTTH) network, construction has officially begun. Crews began laying conduit and will install underground fiber to start connecting the first homes and businesses in Bozeman and Gallatin County (MT) to high-speed internet. The project, envisioned by Greg Metzger and the Board of Yellowstone Fiber, will provide fiber access to every address in the City of Bozeman and begin to extend the network deep into Gallatin County, finally connecting unserved rural areas and ranches, long left behind by internet service providers (ISPs). In an Open Access model, Yellowstone Fiber builds and maintains the network, while multiple private-sector ISPs provide services to the end customer. In late 2020, Metzger reached out to Utah-based UTOPIA Fiber to see if Yellowstone’s concept could have legs. The two entities formed an operational partnership and in December 2021, it was announced that Yellowstone Fiber, a 501(C)(3) nonprofit, had secured $65 million in private funds to build the first phase of the network covering Bozeman City. Yellowstone Fiber will bring speeds up to 100 Gigabits per second (Gbps) for businesses and 10 Gbps for residential to all its customers.
A Google affiliate wants to offer its fiber broadband service in Colorado Springs (CO) in 2023 if the company can reach an agreement with Colorado Springs Utilities to lease its planned network. Google Fiber, owned by Google parent Alphabet, would become the second tenant on Utilities' planned 2,000-mile network, which is expected to get underway in summer 2022 and be available to its first residential customers early 2023. Ting Internet became the first tenant when it signed a 25-year lease in late 2021, allowing Utilities to speed up construction from 15 years to six years and helping to offset some of the up to $100 million annual construction cost. Brian Wortinger, Utilities' fiber-optic and telecommunications enterprise manager, said "several" internet providers are interested in leasing part of the network, but he declined to say how many or identify them. He expects leases from providers like Ting and Google to offset a "significant part," if not completely offset, the cost of building the network. Utilities plans to seek bids later in March from contractors who would build the network. Google Fiber provides fiber-optic-based internet service in 12 cities in nine states since launching the service in Kansas City (MO) and Provo (UT) a decade ago.
There’s no doubt that the open radio access network (RAN) movement has taken the wireless industry by storm. Interest is at an all-time high, but is there a risk the whole thing will blow up due to industry sniping? After all, some players would like to see the big incumbent vendors get out of the way, making room for the new and, presumably, improved set of players. After some fits and starts – some more than others – big vendors like Ericsson and Nokia say they’re on board with the open RAN movement. Whether they’re truly “open” or not is up to interpretation, but they’re not going away quietly into the night. Broadly speaking, some headwinds are bound to come up as with any new technology. Operators have been building telecom networks for years, and some inertia can be expected when new technologies come along. But if there’s not one vendor controlling the end-to-end deployment, then who’s going to take that on? Dish Network is one example of a company building a greenfield 5G network based on open RAN. Dish Chairman Charlie Ergen said that Dish wound up acting as a system integrator. It wasn’t a role they thought they were going to take on, but with all the vendors, someone had to step up and be the “glue” that holds them together, he said.
Omdia's 5G Consumer Broadband Pricing Tracker for Q4 of 2021 projects 1.3 billion 5G connections by the end of 2022. The company reports that 303 million 5G connections were added worldwide during 2021, reaching a total of 521 million. Telecompetitor reports the 2022 projections are in line with an earlier report by GSMA that also predicted 1.3 billion 5G connections by the end of the year and 2 billion 5G connections by the end of 2025. According to the Omdia data, North American 5G connections totaled 72 million as of the end of 2021, with more than two-thirds of that (54 million) being added during the year. There were also 514 million LTE connections in North America as of the end of 2021, which 5G America said represents near full market maturity. LTE remains dominant in Latin America, with 495 million connections today, though 301 million 5G connections are expected for the region by 2026. Omdia expects 4G LTE growth will remain strong in Latin America and the Caribbean through 2022 with the addition of 43.2 million new 4G LTE connections, as 5G adoption begins to overtake 4G LTE. "After three full years of growth, global wireless 5G adoption has reached the rapid acceleration phase," said wireless trade association 5G Americas in a statement about the report. " President of 5G Americas Chris Pearson said, "We are now out of the opening stages of this generation of wireless cellular technology, as 5G is rapidly getting into the hands of consumers and businesses, who are finding innovative new ways to use mobile connectivity."
On March 24, European Parliament and Council negotiators agreed to new European Union rules to limit the market power of big online platforms. The Digital Markets Act (DMA) will blacklist certain practices used by large platforms acting as “gatekeepers” and enable the European Commission to carry out market investigations and sanction non-compliant behaviour. The text provisionally agreed by Parliament and Council negotiators targets large companies providing so-called “core platform services” most prone to unfair business practices, such as social networks or search engines, with a market capitalisation of at least 75 billion euro or an annual turnover of 7.5 billion. Demands for tech companies under the Digital Markets Act include interoperability, the right to uninstall services, greater data access, advertising transparency, and an end to self-preferencing. If a gatekeeper does not comply with the rules, the Commission can impose fines of up to 10 percent of its total worldwide turnover in the preceding financial year, and 20 percent in case of repeated infringements. After the legal text is finalised at technical level and checked by lawyer-linguists, it will need to be approved by both Parliament and Council. Once this process is completed, it will come into force 20 days after its publication in the EU Official Journal and the rules will apply six months after.
President Biden has yet to announce his pick for inspector general for the Federal Communications Commission. That position, which is meant to audit FCC spending and investigate potential fraud and abuse, is set to assume new significance, with billions of dollars in pandemic relief and infrastructure cash now flowing into the agency. March 23 marked four years since the enactment of a bipartisan law leaving it to the White House to nominate an FCC inspector general (IG), a bid to change a decades-old process whereby the FCC chair simply appointed the watchdog internally. But there still hasn’t been a Senate-confirmed FCC IG. Greg Walden, the former Republican head of the House Energy and Commerce Committee, wants the Biden administration to act. “It was never about any particular person — it was about a process we thought could be made better,” Walden said, adding that the position is particularly important now, “when you look at how much money is going to get washed through” the FCC. Longtime FCC staffer David Hunt has served as the agency’s IG for the last decade. Liz Hempowicz, the public policy director at the Project on Government Oversight, said it’s not uncommon to see White House inaction on these positions. But installing a Senate-confirmed FCC watchdog would bring “a certain level of gravitas,” she said: “The Senate, particularly, views those inspectors general as a little bit more independent, a little bit more accountable to Congress, a little bit more of a partner.”
As Russian artillery fire rained on Mariupol, Ukraine, the largest mobile-network operator in the country said repair crews worked to keep its last working cellular tower in the city from going offline for a few extra days. “Our team was regularly repairing that base station to give people who were staying there some chance to call their families,” said Volodymyr Lutchenko, Kyivstar’s chief technology officer. The service kept operating on backup generators for days until a direct hit silenced the tower in early March 2022. Ukraine’s telecommunications services—especially its cellphone links—have shown resilience a month into the invasion, according to public data, executives from telecom companies and industry analysts. Broadband connections and wireless signals are being maintained despite attacks, failing mostly in places under heavy bombardment. Telecom experts cite a combination of daring repair work, private-sector cooperation and more reliable technology among the factors helping keep the connections alive. Years of war on Ukraine’s eastern flank prepared the telecommunications sector for handling a full-scale invasion, according to current and former employees of companies serving the country. All wireless operators started letting their customers roam on each other’s networks, making service more reliable. Companies have also expanded coverage to reach users pinned down in other cities. Kyivstar last week said it had brought Wi-Fi service to more than 200 bomb shelters. Rival operator Lifecell said its crews spent about two months before the invasion moving some equipment out of eastern areas to stiffen wireless coverage in the west, where millions have since relocated.
Since 2011, the KA-SAT satellite has helped homeowners, businesses, and militaries across Europe get online. However, as Russian troops moved into Ukraine during the early hours of February 24, satellite internet connections were disrupted. A mysterious cyberattack against the Viasat-owned satellite’s ground infrastructure—not the satellite itself—plunged tens of thousands of people into internet darkness. Almost a month after the attack, the disruptions continue. Thousands still remain offline in Europe and companies are racing to replace broken modems or fix connections with updates. Multiple intelligence agencies, including those in the US and Europe, are also investigating the attack. The Viasat hack is arguably the largest publicly known cyberattack to take place since Russia invaded Ukraine, and it stands out for its impact beyond Ukraine’s borders. But questions about the details of the attack, its purpose, and who carried it out remain—although experts have their suspicions. Satellite internet connections are often used in areas with low cable coverage, and they are used by everyday citizens as well as official organizations. The setup is different from your typical home or office Wi-Fi network, which mostly rely on wired broadband connections. The attack against the network was a “deliberate, isolated, and external cyber event,” according to Viasat spokesperson Chris Phillips. The attack only impacted fixed broadband customers and didn’t cause disruption to airlines or Viasat’s US government clients, the company says, and no customer data was impacted. However, people’s modems have not been able to connect to the network, and they have been “rendered unusable.”
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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