Internet/Broadband

The week of June 19 was Technology Week at the White House, and the Trump Administration held events focusing on modernizing government technology and stimulating the technology sector.

That Monday, June 19, the White House invited major tech leaders and university presidents for the inaugural summit of the American Technology Council. Hosted by the White House's Office of American Innovation, the event consisted of multiple breakout sessions to discuss ways to modernize the government by retiring out-of-date legacy systems and increasing the use of shared services. On Tuesday, United States Secretary of the Treasury Steven Mnuchin and Director of the National Economic Council Gary Cohn held a listening session with technology leaders to discuss tax reform in the United States and the implications of a new tax plan on the technology sector. On Wednesday, President Trump traveled to Cedar Rapids, Iowa. He toured Kirkwood Community College and spoke about agricultural innovation and empowering the American farmer. On Thursday, the White House hosted the American Leadership in Emerging Technology Event, where American tech industry leaders demonstrated technologies like advanced drones and 5G wireless networks to the President. On Friday, President Trump signed the Department of Veterans Affairs Accountability and Whistleblower Protection Act of 2017. After a successful week of addressing American innovation and meeting with leaders of the technology sector, next week the Trump Administration will turn its focus to energy.

Twenty years ago, on June 26, 1997, the Supreme Court issued a landmark decision and unanimously overturned congressional legislation that made it unlawful to transmit "indecent" material on the Internet if that content could be viewed by minors. The justices ruled that the same censorship standards being applied to broadcast radio and television could not be applied to the Internet.

"The record demonstrates that the growth of the Internet has been and continues to be phenomenal," the high court concluded. "As a matter of constitutional tradition, in the absence of evidence to the contrary, we presume that government regulation of the content of speech is more likely to interfere with the free exchange of ideas than to encourage it." The legal wrangling over the Communications Decency Act happened when the commercial Internet was primitive compared to today. The ACLU says it didn't even have a website when the CDA was signed into law in 1996. And the ACLU's lawyers on the case had never even used the Internet, either.

A planned municipal broadband sale of BVU Optinet is in jeopardy, thanks to a disagreement regarding wireless tower assets. One of the early pioneers in municipal broadband, Bristol (VA) based BVU Optinet was put up for sale back in February 2016 for $50 million to Sunset Digital Communications. That deal may now be in trouble.

A government oversight board, the Virginia Coalfield Coalition (VCC) approved the sale of BVU Optinet to Sunset Digital, but with conditions that Sunset now objects to. The board wants operational control of the wireless tower network currently operated by BVU Optinet transferred to a different service provider, Scott County Telephone Cooperative. BVU operates 22 wireless towers throughout the region, and is valued at $14 million. There is a difference of opinion between the VCC and Sunset as to whether the tower network was a part of the original $50 million deal. Sunset Digital is calling foul, and says that condition could kill the deal. “Those are conditions that we [previously] said were not acceptable,” said Jeff Mitchell, an attorney for Sunset Digital.

Expanding high-speed internet access to rural areas has been one of the few issues that’s drawn bipartisan support in a sharply divided Congress. And while nothing’s assured, backing by Federal Communications Commission Chairman Ajit Pai may help push those congressional efforts across the finish line.

Chairman Pai recently talked up the Senates Gigabit Opportunity Act (S 1013), that would effectively legislate his proposal for spurring broadband investment in remote areas, where internet access is available through 1990s-era dial-up service. The legislation — introduced May 3 by Sen Shelley Moore Capito (R-WV) and co-sponsored by Sen Chris Coons (D-DE) — would provide tax benefits for investments in “gigabit opportunity zones,” primarily in low-income and rural communities. On the other side of the Capitol, Rep David Loebsack (D-IA) introduced related legislation, the Rural Wireless Access Act (HR 1546), which would require the FCC “to establish a consistent methodology for its collection of coverage data about the available speed tiers and performance characteristics of commercial mobile and data service” for use in deciding on the eligibility of areas that can receive funds from the FCC-administered Universal Service Program or similar initiatives.

Attendance at the June 22 House Small Business Committee's Subcommittee on Agriculture, Energy & Trade hearing on improving broadband deployment in rural America was small, but it was yet another dive into a crowded pool as Washington drilled down on the issue, including on Capitol Hill, at the Federal Communications Commission and even in Iowa, where the President talked up rural broadband as well.

The chairman of the subcommittee, Rep Rod Blum (R-IA), is from a rural district and also owns a small technology company that relies on internet access, so he cautioned the audience not to read the light attendance as lack of interest, only that there was a lot going on at the Hill. Chairman Blum said "the nation's small telecom providers are the ones that traditionally supply the bulk of broadband services to the most rural parts of America, and that is no easy task."

Students increasingly must gain 21st century technology skills to succeed in life after high school. Despite the technological shift driven by rapid innovations, approximately 5 million US households with school-age children still do not have access to high-speed Internet at home. The paper gives school leaders guidance to improve digital access in their communities.

In addition, CoSN puts forth recommendations for districts to build and strengthen their networks and identifies funding opportunities for school systems to improve digital equity. These include leveraging capital expenditures, operational expenditures, federal and state funds, bonds, levies, grants, and in-kind and school-to-business partnerships to address digital equity. “School-to-Home” details the main barriers to extending broadband to homes nationwide. These include assessing size of the connectivity problem and addressing the need for adequate Internet access at home and in the community, particularly for students from low-income homes. Despite cost and lack of fiber or high-speed Internet availability, some districts are improving Internet access by promoting public Wi-Fi access, providing Internet in school parking lots and athletic fields, and establishing portable loaner Wi-Fi hotspots for student use to take home to do school work.

The Citizens Broadband Radio Service (CBRS) has not even been born yet, but already major industry players want to change its basic character. CBRS, as its name implies, was conceived and approved by the Federal Communications Commission a couple of years ago as a broadband service for locally-focused businesses. The regulatory paradigm included both a large swathe of generally authorized access (also termed “licensed by rule”) channels that would be made available opportunistically to any entity and licensed channels made available on a census-tract basis for generally non-renewable three year terms. This generated quite a bit of opposition from larger carriers who insisted that the small license areas and short, non-renewable terms would make the band unsuitable for significant investment.

Yet the FCC stuck to its vision for this “citizen”-oriented service and adopted rules which are now effective, though users cannot be up and operating until the spectrum managers begin administering access to the spectrum.

Mountain View's (CA) tech startups are girding themselves for a big political fight over the data vital to their businesses. Smaller web companies say they could be crippled by slower bandwidth while premium data service is reserved for the large tech giants. The issue is network neutrality, the principle that all internet traffic should be treated equally. If the proposed changes go forward, the internet as we know it would come to resemble cable TV, said Gigi Sohn, a Mozilla fellow who previously served as an Federal Communications Commission attorney.

[Commentary] Two years ago, the Federal Communications Commission placed controversial, sweeping regulations on the internet. The goal was worthwhile – to establish universal net neutrality rules to protect consumers and content alike. However, rather than construct a modern regulatory framework for ever-evolving services, regulators simply jammed the internet into ill-suited public utility regulations, known as Title II.

If we want equal opportunity for students in Montana, if we want to encourage the use of technology in more sectors of our local economies to spur job creation, and if we want our burgeoning tech industry to continue to grow, we need to encourage broadband deployment and investment. Congress needs to step in and codify open internet principles into law. This would provide certainty, encourage innovation and finally put the issue to rest.

[Senator Fred Thomas is the Senate Majority Leader in the Montana State Senate.]

Legal challenges to the Federal Communications Commission's business data services (BDS) reforms have been consolidated in the US Court of Appeals for the Eighth Circuit. Petitions to deny some or all of the FCC's BDS report and order updating the framework for regulating business data services had been filed in three separate federal appeals courts. Those appeals came from CenturyLink, Citizens Telecommunications Company of Minnesota and a consortium of telecoms including Sprint.

The DC Circuit is the one with primary jurisdiction over telecommunications, but in the case of multiple filings, the US Judicial Panel on Multidistrict Litigation holds a lottery to determine the venue. CenturyLink told the US Court of Appeals for the Fifth Circuit that the FCC's regulation of rates on DS1 and DS3 service in areas deemed noncompetitive was arbitrary, capricious, an abuse of discretion and otherwise illegal. It said the FCC forced those price caps on competitive carriers despite evidence the cost of service had actually gone down.