WASHINGTON, October 19, 2015 – The Federal Communications Commission on Friday announced that it had launched an investigation into the broadband pricing plans of local exchange carriers AT&T, CenturyLink, Frontier and Verizon Communications for so-called “special access services” of business data.
A coalition of competitive carriers and non-profit organizations dubbed Competify has been urging the inquiry, and praised Friday’s order by the agency’s Wireline Communications Bureau.
“The incumbents use inherently anticompetitive lock-up plans – which only an entity with immense market power could impose – to charge businesses and anchor institutions excessive access rates that harm competition, restrain the deployment of competitive facilities, and impede the transition to next-generation services,” according to a statement released by the group.
Among the companies supporting the campaign include BT, Level 3, Sprint and XO Communications, together with a range of non-profit organizations.
The US Telecommunications Association struck back. Said association president Walter McCormick: “At the very time the commission is expressing concern over the growing dominance of cable in the overall broadband marketplace, and acknowledging that burdensome legacy regulation of telecom companies is misdirecting investment and hindering competition, it launches an old-fashioned ‘tarriff’ investigation of the only competitors in the marketplace who are required to operate under last century’s antiquated rules.”
Specifically, according to the order launching the investigation, the inquiry concerns “only a subset of specialized telecommunications services that continue to operate under tariffs,” namely time-division multiplexed (TDM) business data services such as DS1 and DS3 channel terminations under dedicated copper-based circuits.
“While competitors continue to expand their market presence by building IP [internet protocol]-based facilities or extending purchased TDM based facilities to additional buildings, preliminary results from the Commission’s data collection show that incumbent LECs remain the sole facilities-based provider of TDM-based special access services to a majority of business locations that demand or are likely to demand business data services nationwide.”
Rep. Anna Eshoo, D-Calif., and Rep. Mike Doyle, D-Penn., applauded the FCC’s investigation “that major telecom companies in the U.S. have been stifling competition in the $40 billion a year market for special access.”
“For too long, companies that utilize special access service have alleged that these services are only offered with unreasonable conditions attached, aimed at driving competitors out of this space,” wrote the representatives.
Other articles on the inquiry and Comptetify:
Drew Clark is the Chairman of the Broadband Breakfast Club. He tracks the development of Gigabit Networks, broadband usage, the universal service fund and wireless policy @BroadbandCensus. He is also Of Counsel with the firm of Best Best & Krieger LLP, with offices in California and Washington, DC. He works with cities, special districts and private companies on planning, financing and coordinating efforts of the many partners necessary to construct broadband infrastructure and deploy “Smart City” applications. You can find him on LinkedIN, Google+ and Twitter. The articles and posts on BroadbandBreakfast.com and affiliated social media are not legal advice or legal services, do not constitute the creation of an attorney-client privilege, and represent the views of their respective authors.
FCC Announces Largest Approval Yet for Rural Digital Opportunity Fund: $1 Billion
The agency said Thursday it has approved $1 billion to 69 providers in 32 states.
WASHINGTON, December 16, 2021 – The Federal Communications Commission announced its largest approval yet from the $9.2-billion Rural Digital Opportunity Fund, greenlighting on Thursday $1 billion from a reverse auction process that ended with award announcements in December but that the new-look agency has been scrutinizing in recent months.
The agency said in a press release that this fifth round of approvals includes 69 providers who are expected to serve 518,000 locations in 32 states over 10 years. Its previous round approved $700 million worth of applications to cover 26 states. Previous rounds approved $554 million for broadband in 19 states, $311 million in 36 states, and $163 million in 21 states.
The agency still has some way to approve the entirety of the fund, as it’s asked providers that were previously awarded RDOF money in December to revisit their applications to see if the areas they have bid for are not already served. So far, a growing list have defaulted on their respective areas, some saying it was newer FCC maps that showed them what they didn’t previously know. The agency said Thursday that about 5,000 census blocks have been cleared as a result of that process.
The FCC also said Thursday it saved $350 million from winning bidders that have either failed to get state certification or didn’t follow through on their applications. In one winning bidder’s case, the FCC said Thursday Hotwire violated the application rules by changing its ownership structure.
“This latest round of funding will open up even more opportunities to connect hundreds of thousands of Americans to high-speed, reliable broadband service,” said FCC Chairwoman Jessica Rosenworcel. “Today’s actions reflect the hard work we’ve put in over the past year to ensure that applicants meet their obligations and follow our rules. With thoughtful oversight, this program can direct funding to areas that need broadband and to providers who are qualified to do the job.”
Local Government Advisors Concerned by Delay in Sohn Confirmation Process
They also believe Alan Davidson will be viewed more favorably to head the NTIA.
WASHINGTON, December 14, 2021 – Local government advisors are concerned by delays in the confirmation process of Gigi Sohn, President Joe Biden’s nominee for the Federal Communications Commission, and what those delays will mean for broadband services in local communities.
At the moment, there are reportedly not enough votes from Democrats to confirm Sohn.
The panel of local advisors at a National Association of Telecommunications Officers and Advisors on Monday said the FCC would likely remain split 2-2 between Democrats and Republicans until at least February, when the panel says Sohn’s confirmation will probably pass the Senate.
Such a split would prevent the agency from making some major decisions that would ramp up programs to expand broadband access for Americans. For this reason, several civil society groups have asked the Senate for a swift confirmation process of Biden’s nominees.
The panel also said that Biden’s nominee to head the National Telecommunications and Information Association, Alan Davidson, will likely be reported favorably out of committee.
Logistical problems for the Affordable Connectivity Program
Panelists also spent significant time discussing what current regulatory agency efforts mean for connectivity.
The panel critiqued the FCC’s transition from the Emergency Broadband Benefit to the Affordable Connectivity Program provided for by the newly-passed Infrastructure Investment and Jobs Act to continue providing students with internet access for e-learning. The program provides monthly subsidies for connectivity and devices for eligible students.
This transition is planned to take place with the start of the 2022 new year, and the agency is fielding comments on how to transition.
The panel stated that because this transition takes place during the school year, it has the potential to strand students without connectivity services. Panelists noted that they have been trying to communicate these concerns to the FCC.
The FCC recently eliminated an enrollment freeze in the EBB that was planned to take place during the transition to the ACP.
FCC Takes Stock of Telehealth Successes, But Acknowledges a Long Way to Go at Agency Event
Procedural hurdles lie ahead for the commission’s telehealth efforts.
WASHINGTON, December 6, 2021 – Federal Communications Commissioner Brendan Carr and several leaders in healthcare said Monday the agency’s efforts to expand telehealth programs for Americans face procedural hurdles before Congress.
The cost of government telehealth expansion efforts is among key factors that create congressional hesitance to rubber stamp the FCC’s telehealth initiatives.
During panel discussions moderated by Carr at a commission event on Monday, experts also remarked that the commission’s efforts would require a good deal of regulatory flexibility that many members of Congress may not be willing to grant it.
Panel guest Deanna Larson, CEO of virtual health network Avera eCARE, testified before the Senate on the matter in October, urging Congress to extend or make permanent its regulatory flexibility toward telehealth.
The panels also spent time discussing the substantial success the FCC has had in expanding telehealth over the course of the coronavirus pandemic.
Experts emphasized accomplishments such as the employment of remote monitoring devices by physicians to physically examine patients when they cannot come into the office.
The panel stated that the move from fully in-person healthcare to telehealth can be compared to the significance of the move from “Blockbuster to Netflix,” referencing the at-home experience of the streaming platform.
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