CCG Consulting

It’s now clear that State Broadband Offices are going to put a lot of pressure on Broadband Equity, Access, and Deployment (BEAD) winners to spend grant awards and build networks as quickly as possible. Internet service providers (ISP) generally have the same goal, because getting customers quickly is the best way to make sure an ISP can pay for the network. However, there are numerous reasons why BEAD fiber construction might be delayed:

There are a lot of regulations other than the ones created by or enforced by the Federal Communications Council. Anybody who builds fiber networks can describe the litany of state and local regulations involved in constructing fiber. Following are some of the primary kinds of such regulations—and there are others in some places:

Anybody not involved in the telephone business will probably be surprised to find that the old TDM telephone networks are still very much alive and in place. The old technologies were supposed to be phased out and replaced by digital technologies.

At the end of the first quarter of 2024, T-Mobile and Verizon together have accumulated 8.6 million customers nationwide on fixed wireless access (FWA) cellular home broadband. This is amazing success for a product that was just launched in 2021. The combined FWA customers represent 7 percent of the entire U.S. broadband market. Nobody knows exactly where the companies are finding the new customers because they aren’t telling, and the companies losing customers are mum about it. The appeal of FWA is obvious.

A recent Harris-Guardian poll shows that the public’s perception of the economy is different than economic reality. Most things that the majority of Americans believe about the economy are wrong. I have to say this surprised me more than it probably should have. 

It is becoming clear that the broadband market is reaching maturity. This is already causing havoc in the industry for internet service providers that relied on year-over-year customer growth to prop up stock prices. New Street Research, a company that specializes in research in the telecommunications and technology sectors, said that it estimated that new broadband customers would grow by about 1 million this year. That’s roughly equal to the number of new households expected to be created during the year.

Cable companies often make it sound like DOCSIS 4.0 is right around the corner.

Network consolidation and centralization of networks is putting our broadband and voice networks in increased jeopardy. It’s easy to understand why carriers are in favor of the savings that come from consolidation, but it’s vital that we recognize and acknowledge the increased risk that comes as a consequence of choosing efficiency over other factors. One area of particular concern is 911 network consolidation.

Everywhere I look I see Broadband Equity, Access, and Deployment (BEAD) grant rules that are doing what I call regulating by grant. State Broadband Offices are creating grant rules that go far beyond adhering to National Telecommunications and Information Administration (NTIA) guidelines. They are insisting on grant rules which are intended to achieve social policies. I’m highlighting two such items buried inside Iowa's BEAD rules. The first requirement is in paragraph 1.3.18 of the Notice of Funding Availability (NOFA) and concerns having a low-price option for low-income subscribers.

Federal Communications Commission Chairwoman Jessica Rosenworcel proposed a highly controversial rule change that would ban bulk billing practices in MDUs (multi-dwelling units). The justification for the proposed ban is that residents are required to pay for broadband or cable TV service even if they don’t want to buy the service or would prefer to buy from somebody else.