Competition/Antitrust

North Carolina officials are streamlining a self-reporting tool that allows residents to document their internet speed, in hopes of mounting a challenge against the Federal Communication Commission’s broadband coverage map data. Jeff Sural, director of the NC Department of Technology’s broadband infrastructure office, said the goal is to get federal broadband expansion funding for the parts of his state that remain unserved.

When money is tight, Elysia Lucero has to make a choice: Pay the internet bill or buy food for her family.  She bought food last month. On Wednesday, she stopped by the PCs for People store on West Alameda Avenue in Denver (CO) to take care of the unpaid internet bill.

Does municipal broadband stimulate broadband adoption or employment growth? I conduct an empirical study of American towns that have built municipal networks to answer this question. Using data from the FCC’s Form 477 and the US Census Bureau’s American Community Survey, I track broadband deployment, adoption, and employment statistics for these towns from 2013 to 2017. A town’s decision to install a municipal network in the first place is not random, however.

Competition is a crucial component of broadband policy in that it pressures providers to be efficient and innovative. Whether any given market has adequate competition is a key underpinning question for the regulatory structure of broadband networks. However, broadband competition is not always analyzed directly. How much competition is enough, and is more always better? Many seem to believe the United States needs more broadband competition.

The Federal Communications Commission publishes a bi-annual dataset based on data submitted by internet service providers using Form 477. This dataset provides information at the Census block level, the most granular geography used by the US Census Bureau, on types of technologies available (e.g. Cable, Fixed Wireless, Fiber-optic, etc.), maximum advertised download/ upload speeds, and providers’ names among other information. However, this dataset has several limitations.

As much as 38 percent of rural locations in census blocks reported to have broadband available to them may actually lack broadband, according to USTelecom. The organization, which represents broadband providers, undertook a pilot test earlier in 2019 aimed at addressing problems with Federal Communications Commission broadband availability data as depicted on the National Broadband Map. The results of the USTelecom broadband map pilot have now been filed with the FCC. 

Hillsboro’s (OR) publicly supported internet project aims to undercut its rivals on pricing and substantially outpace them in speed. The city council has set pricing for its forthcoming service, called HiLight, offering superfast gigabit service for $55 a month. That’s about half what Comcast charges for the same speeds. Hillsboro says it will offer speeds up to 4 gigabits for $300 a month, the same price as Comcast’s 2 gig plan. The first homes will be online early in 2020, according to the city, about a year behind the initial schedule.

The digital divide is a complicated technical and political policy issue in the U.S., with unique urban and rural challenges. Some 2020 candidates are recognizing the importance of the issue and spreading awareness. But if we’re seeking to bring affordable, high-capacity broadband to all people in the U.S., both access and adoption challenges need to be addressed. And policymakers must take into account the role competition must play in these two challenges.

The National Digital Inclusion Alliance and the Brookings Institution’s Metropolitan Policy Program have partnered to create the Broadband Research Base, a searchable collection of reports, studies and journal articles that address the impact of broadband and digital inclusion on community and individual well-being. Has anybody studied the impact of broadband availability, speed or adoption on local economic growth? On K-12 education? On health care?

Central Alabama Electric Cooperative (CAEC) will join the increasing number of electric cooperatives that provide broadband access. CAEC plans to construct the network, named CAEC Access, with a phased approach. Phase 1 will connect the co-op’s 24 electrical substations and six main offices with a 365-mile fiber ring.