Thursday, March 5, 2020
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Toward Digital Inclusion: Broadband Access in the Third Federal Reserve District
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Harold Feld: Auctioning a Chunk of 6 GHz Would be Phenomenally Bad Policy
High-speed fibre now makes up half of fixed Internet in nine OECD countries
From Places to People—Connecting Individuals to Community Anchor Institutions
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This report provides an overview of the digital divide in the Third Federal Reserve District, with a focus on determining which groups stand to benefit the most from a concerted effort toward digital inclusion. The report describes patterns of broadband availability and adoption for the Third District (eastern Pennsylvania, southern New Jersey, and Delaware) as a whole, followed by a regional comparison of digital access using a typology of broadband. This report makes a distinction between broadband availability and broadband adoption (or “subscription”) in order to better understand barriers to access. Key findings include:
- Broadband is unavailable to 13 percent of nonmetropolitan residents, compared with just 1 percent of MSA residents and 2 percent of Third District residents overall.
- The median maximum advertised download and upload speeds in MSAs (200/10 Mbps) are higher than nonmetropolitan regions (50/5 Mbps).
- There are substantial differences in the household adoption rate of broadband between different types of neighborhoods: nonmetropolitan (62 percent) and metropolitan (71 percent); LMI (58 percent) and upper-income (82 percent) neighborhoods; and predominantly Latino or Hispanic (50 percent), predominantly black (53 percent), and predominantly white (73 percent) neighborhoods.
- About 44 percent of all Third District residents live in low-uptake neighborhoods.

If you follow spectrum policy at all, you will have heard about the C-Band Auction and the 5.9 GHz fight. But you would be forgiven if you hadn’t heard much about the fight over opening the 6 GHz band for an unlicensed underlay. “Underlay” means you allow unlicensed users to operate in the same band as licensed users on a non-interfering basis. While this may seem odd to you young ‘uns, underlays used to be the entirety of unlicensed spectrum. The first authorization for unlicensed was entirely an underlay. No one dreamed of providing a band entirely for unlicensed. Remember Mr. Microphone or your iTrip that let you play your iPod over your FM radio? That’s an underlay in the FM band. Opening the 6 GHz band is incredibly important for the future of WiFi, particularly WiFi 6. that makes it super important for its own sake. But if you believe we need to “win the race to 5G,” then getting the 6 GHz unlicensed underlay up and running as quickly as possible is outrageously super urgent. As we keep discovering every time we “G up,” we need a new allocation of unlicensed spectrum alongside the new allocation of licensed spectrum to create space for the new stimulated demand. Despite spending the 00s bashing each others’ brains in (and still finding some die hards who hate either licensed or unlicensed), most folks now agree that licensed and unlicensed spectrum are synergistic, and you need a good allocation of both to keep winning (for whatever value of winning) the spectrum race.
Community Anchor Institutions
From Places to People—Connecting Individuals to Community Anchor Institutions

Policymakers should help enable community anchor institutions to connect to their users wherever they are. Policymakers should recognize that the mission of community anchor institutions is to improve lives. Broadband is a key element in fulfilling that mission. Baltimore’s public school system has created a classroom in a community center to offer training in internet access. Librarians note that the provision of skills training is a natural fit with the historic missions of their institutions—offering a trusted space in which people of all ages can learn in the ways that best suit them. Thus digital equity efforts should include institutions trusted by the community, including community anchor institutions.

AT&T is planning tens of billions of dollars worth of cost cuts, said AT&T President and COO John Stankey. Stankey also discussed the future of DirecTV satellite service, saying it won't be the primary TV option AT&T pitches to most customers going forward. For the company-wide cuts, AT&T management "has looked at effectively 10 broad initiatives that we believe can generate double digits of billions over a 3-year planning cycle," Stankey said. In 2019, AT&T slashed capital expenditures by more than $1.6 billion and projects a capital-investment cut of more than $3 billion in 2020. AT&T also reduced its employee count from 268,220 to 247,800 in 2019, despite promising to use a tax cut to create new jobs. AT&T's TV business has been cratering, losing more than 4 million subscribers across its satellite, wireline, and linear streaming-TV services in 2019 alone. As AT&T shifts toward online-only services like AT&T TV, it is de-emphasizing the satellite service despite spending $48.5 billion to buy DirecTV in 2015.
Nine OECD countries – up from six a year ago – now have high-speed fibre making up 50% or more of their fixed Internet connections, according to an update to the OECD’s broadband portal. Across the 37 countries studied, the share of fibre in total broadband has only risen slightly, to 27% as of 30 June 2019 from 24% a year earlier, reflecting the still-wide gap between countries in rolling out fibre, which enables much faster fixed and mobile Internet. The data shows Lithuania, Latvia, Spain and New Zealand starting to catch up with long-time fibre leaders Korea, Japan and the Nordic countries thanks to a mixture of increased competition, good regulation and policy and new infrastructure investment. Korea and Japan have a fibre share of over 75% in total broadband, while Lithuania, Sweden, Latvia, Spain, Iceland, Finland and Norway are all above 50% fibre. New Zealand and Portugal are just below 50% and close to joining the leaders.
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 Robbie McBeath (rmcbeath AT benton DOT org) — we welcome your comments.
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