Monday, July 8, 2024
Headlines Daily Digest
Budget on the Agenda this Week
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FCC Provides Guidance for RDOF and CAF Defaults
How California’s ‘once in a century’ broadband investment plan could go wrong
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State/Local Initiatives
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FCC Provides Guidance for RDOF and CAF Phase II Support Recipients on Procedures for Provider Defaults to Ensure That Broadband Networks Are Deployed to All Consumers
The Federal Communications Commission's Wireline Competition Bureau provided guidance to Rural Digital Opportunity Fund (RDOF) and Connect America Fund (CAF) Phase II support recipients and other stakeholders regarding the processes for provider defaults. Support recipients are showing significant progress in meeting their deployment milestones and there is no demonstrated need for widespread relief from the RDOF and CAF Phase II default penalties. Given the flexibility available under the existing default processes and other FCC rules and the lack of demonstrated need for broad relief, as well as our strong interest in preserving the integrity of the Commission’s broadband deployment programs, the FCC declines to provide a blanket amnesty. However, the FCC recognizes that certain carriers may not be able to meet their broadband deployment obligations or have experienced changed circumstances that may impact their deployment. To ensure that high-speed broadband is deployed across the country, close coordination between the FCC’s high-cost programs and other federal broadband deployment programs is critically important. In recent months, the Bureau has quickly responded to default requests for these high-cost programs, has approved transfers of deployment obligations to other carriers which avoids support payment recovery and default penalties, and has waived FCC rules where warranted to reduce support payment recovery and default penalties. The Bureau also has the ability, where good cause exists based on individual circumstances, to waive other non-compliance rules for defaults in these high-cost programs. To ensure federal deployment funds reach the locations where they are needed, the Bureau strongly encourages carriers contemplating defaulting on their deployment obligations under the FCC’s competitively bid high-cost programs to reach out to the Bureau, and to the relevant state or territory broadband offices or Tribal governments, about their situation as soon as possible. Earlier defaults can limit the support recovery and penalty costs to the carrier and also ensure that states and territories timely receive the necessary information for their Broadband Equity, Access, and Deployment (BEAD) planning. Earlier defaults also ensure that our sister federal agencies timely receive this information to target funding for their broadband deployment programs.
The Maine Connectivity Authority awarded more than $12 million in grants to fund digital improvements to 12 community organizations across Maine. The grants are part of the Maine Connectivity Authority’s Connectivity Hubs Program, which will help community anchor institutions—such as libraries, community centers, municipal and tribal buildings, and affordable housing developments—provide workforce training, education and telehealth services in areas most impacted by a lack of access to high-speed internet. The Connectivity Hubs Program is funded through the ARPA Capital Projects Funds from the U.S. Department of Treasury. The twelve organizations receiving grant awards include:
- Aroostook Agency on Aging, Presque Isle, $400,989
- Bridgton Public Library, Bridgton, $250,000
- Caribou Public Library, $1,847,528
- Franklin County Adult and Community Education, Farmington, $1,773,574
- Hope Association, Rumford, $279,112
- Houlton Band of Maliseet Indians, Houlton, $1,247,639
- Mano en Mano, Milbridge, $1,784,497
- Passamaquoddy Tribe at Motahkomikuk, $545,612
- Seniors Plus, Lewiston, $900,000
- St. George Municipal School Unit, Tenants Harbor, $684,715
- Town of Stonington, Stonington, $1,753,420
- YWCA Central Maine, Lewiston, $651,928
AT&T CEO John Stankey said the most critical issue facing the telecommunications industry is the effective implementation of Broadband Equity, Access, and Deployment Program. To close the digital divide, Stankey said, additional policies should be created to ensure that all BEAD Program funds (“every dollar of taxpayer money”) are used to expand access to broadband as quickly as possible. He also stressed replacing the Affordable Connectivity Program (ACP) with new subsidies for low-income households. To overcome affordability issues, Stankey suggested that Congress should create new subsidy programs. He argued that big tech companies—like Apple, Google, and Meta—should be among the companies responsible for subsidies, since those companies offer voice-equivalent services like texting, email, and VoIP.
NATOA, the National Association of Telecommunications Officers and Advisors (NATOA) recently made Community Broadband and Digital Equity Awards to three communities and recognized the strides the cities have made in tackling the digital divide. The City and County of San Francisco got an award for connecting public housing and other vulnerable neighborhoods to the City’s fiber network. Silicon Harlem got an award for bringing affordable broadband and resiliency to small businesses in Harlem. In partnership with the New York City Economic Development Corporation, Silicon Harlem launched RISE, a program that is bringing innovative technologies to small businesses. An award also went to SA Digital Connects, which is a collaboration between San Antonio and Bexar County. This collaboration has the goal of making sure that every household has safe and secure access to the Internet. Urban broadband issues are going to have to be solved one neighborhood at a time, and it’s awesome to see folks dedicated to making this happen. Here’s to hoping for the success of these specific projects, and I hope their efforts inspire others to tackle their own local problems.
Californians will work to make broadband maps as accurate as possible via a challenge process running from July 8 through Aug. 5. The final maps will determine if the most in need will get internet infrastructure into their homes. But advocates say the internet access maps are highly inaccurate. Only local and tribal governments, internet service providers, and advocacy groups can demand changes to the map. In order for an individual Californian to contest that their internet access doesn’t match what’s in the map, one of these groups must verify the evidence the individual gathered and claim their challenge. Otherwise it won’t be recognized by state and federal agencies. To successfully challenge internet speeds, an individual must carry out speed tests three times a day over the span of three days and provide details. They must also subscribe to a broadband speed plan or the highest tier plan available from an internet service provider. Yhe challenge process is short, arduous, and unfairly places the burden of proving that inaccuracy on people in areas unserved or underserved. They warn this could lead to the once in a generation money being misspent.
Vermont-focused broadband provider Burlington Telecom has introduced two service plans that it says will help subscribers who previously depended on the Affordable Connectivity Program (ACP). Burlington Telecom, which serves the city of that name and nearby communities, is offering two low cost programs. One is priced at $9.95 per month and offers 50 Mbps symmetrical service. The other is $24.94 per month and offers 150 Mbps symmetrical service. In addition to Burlington, the operator serves South Burlington, Winooski, Essex Town, Essex Junction City, Colchester and says that others “are on the horizon.”
The 5G industry continues to see strong growth according to new data from 5G Americas and Omdia that shows 185 million 5G connections were added in Q1 2024, pushing the global total to nearly two billion. 5G Americas and Omdia project that 5G connections will hit 7.7 billion by 2028. The new data shows that North America leads the charge in 5G adoption, with 5G connections in the region comprising 32 percent of all wireless cellular connections. Notably, the region experienced healthy growth in the first quarter, adding 22 million new connections to operator networks. In the first quarter of 2024, North American 5G connections totaled 220 million.
On the occasion of the FTTH Conference 2024, the Market Intelligence Committee of the FTTH Council Europe launched the 2024 edition of the FTTH/B Market Panorama, presenting the latest insights in terms of FTTH/B coverage and adoption in Europe as of September 2023. The total number of homes passed with Fibre to the Home (FTTH) and Fibre to the Building (FTTB) in the European Union reached 244 million homes in September 2023, compared to nearly 221 million in September 2022. The main movers in terms of homes passed in absolute numbers are the United Kingdom, Germany, and France. The top 5 of the annual growth rates in terms of homes passed is headed by Belgium, the United Kingdom, Germany, Serbia, and Croatia.
The prosecco corks were no doubt popping at Telecom Italia’s (TIM) headquarters in Rome after the operator’s relieved CEO was able to announce the completion of a long-gestated plan to sell off its fixed-line grid to the Optics BidCo consortium controlled by investment firm KKR. The sale of NetCo for up to €22 billion (U.S. $23.6 billion) also allows TIM to reduce its net financial debt by about $13.8 billion, from an adjusted net financial debt of €26.6 billion at March 31, 2024. After leases, net debt stood at €21.4 billion. NetCo comprises the primary and backbone fixed-line network business of TIM as well as FiberCop, a joint venture between TIM and KKR comprising TIM’s secondary fixed-line network. Following the transaction, TIM’s total headcount will decrease from 37,065 to 17,281. The transaction has been closely watched at international level as it marks the first time a former telecom monopoly in a major European economy is selling off its fixed network.
Israel and the United Nations are negotiating the deployment of Elon Musk's SpaceX Starlink communications system in Gaza as part of a plan to increase security for UN aid workers in the enclave. The UN told Israel the system is a requirement for the organization to fully resume the distribution of aid across the Gaza strip, Israeli officials said. But Israel is concerned the system could fall into the hands of Hamas and make it more difficult for Israeli intelligence to monitor the group's communications, raising the risk of coordinated attacks on Israel by Hamas militants. In June, the UN scaled down its operations in Gaza after aid workers were endangered by Israeli airstrikes and attacked by Palestinian civilians and gunmen. The UN said it needs the Starlink satellite internet system to allow better radio and mobile phone communications for its staff in Gaza.
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), Grace Tepper (grace AT benton DOT org), and Zoe Walker (zwalker AT benton DOT org) — we welcome your comments.
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