Competition/Antitrust

Using terms like “predatory” and “anti-competitive,” four retail wireless dealers filed suit against T-Mobile in recent weeks, all saying they were basically run out of business since the operator's merger with Sprint. Absolute Wireless, Maycom, Solutions Center and Wireless Express each named T-Mobile in their complaints. All of them previously sold wireless services for Sprint.

Frontier stuck to a promise to roll out its first multi-gigabit service tier in Q1 of 2022, debuting a 2-gig internet offer that is available across its entire fiber footprint. The company plans to make the new service tier available to all of the new locations it builds to as its plan to expand to 10 million locations by the end of 2025 unfolds. The new plan is priced at $149.99 per month.

Low-income households are spending too much on connectivity. Prior to the pandemic, the Federal Communications Commission’s Lifeline program supported mainly wireless communication services for low-income households; its $9.25/month subsidy resulting in service plans that restricted voice and data usage. To address Americans’ online connectivity needs during the pandemic, Congress directed the FCC to launch the Emergency Broadband Benefit (EBB) program—a historic expansion of financial support for universal service.

TDS Telecom added 35,000 new fiber-enabled locations in the fourth quarter of 2021, bringing its total fiber-enabled addresses to 400,000 at year-end. That is up significantly from the 20,000 new fiber locations the company added in the third quarter. The company added 86,000 new fiber addresses in 2021, which is lower than its target of adding 150,000 new addresses in the year. However, TDS Telecom SVP and CFO Vicki Villacrez warned investors that the company would miss that target because of permitting problems and contractor delays.

UScellular lost more postpaid customers in the fourth quarter of 2021 – about 12,000 – on top of the 8,000 it lost in the third quarter of 2021. “We have to continue to do better,” said UScellular President and CEO Laurent Therivel. But the company's share of gross adds was quite strong in 2021, particularly in the fourth quarter. “It’s really a churn story,” Therivel said. “The churn dynamic is going to be affected by the upgrade promotions.

Free Press called on the Federal Communications Commission to reinvent its Universal Service Fund (USF) policies so that millions more people can afford the costs of connectivity in the United States. Free Press urged the FCC and Congress to redraft policies crafted in the late 1990s, and last overhauled more than a decade ago, to reflect the sector’s many changes. Free Press wrote, “the good intentions that fueled that effort are no longer a reliable blueprint in a fundamentally changed marketplace.

With a 4-0 vote, the Federal Communications Commission adopted new rules banning revenue-sharing agreements for internet service providers (ISPs) and multi-tenant environments (MTEs), requiring disclosure of exclusive marketing arrangements and closing loopholes around indoor cable wiring regulations. The FCC has banned revenue-sharing agreements that it says inhibit competition.

INCOMPAS is pressing the Federal Communications Commission to make the smart, transparent and expedient choice to save the Universal Service Fund. By evolving USF to include contributions from broadband internet access service providers, which the FCC could do immediately without an act of Congress, INCOMPAS says low-income families, schools and rural hospitals would all benefit from this renewed commitment to ongoing affordability solutions. INCOMPAS warns that the USF program is spiraling toward disaster, with contribution levels set to rise to nearly 40%.

National Economic Councilmember Tim Wu said the Biden administration has adopted a different perspective on how to promote innovation — while previous White Houses might’ve said “trust the giants,” this one believes “small is beautiful.” Wu, Special Assistant to the President for Technology and Competition Policy, pushed back on what he termed the “monopoly innovation” theory that he says has dominated antitrust thinking for several decades. According to that view, he said, the high prices a monopoly can charge encourages it to innovate and develop new technologies.

Altice USA laid out a plan to deploy fiber to 6.5 million locations, or two-thirds of its entire footprint, by the end of 2025, planning to focus heavily on areas where it competes with Verizon’s Fios service and Frontier Communications. In 2022, it is targeting 1.1 million fiber passings in its Optimum footprint and 200,000 passings in its Suddenlink territory, for a total of 1.3 million new locations in 2022. It expects to add another 1 million fiber passings in its Optimum footprint in 2023 and 700,000 in 2024.