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FCC’s Marketplace Report, Commission’s Newest Appointees, EBB Comments Sought

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January 26, 2021—The Federal Communications Commission’s Marketplace Report, released on the last day of 2020, grades the market competition of data-driven sectors, such as mobile wireless and fixed broadband industries.

One key data point found in the Report is that between 2010 and the end of 2019, the average speed of 4G LTE downloads jumped from 1.3 Megabits per second to 41 Mbps. Median 4G LTE speeds climbed 64 percent, from 16 Mbps in mid-year 2017 to 26.2 Mbps in mid-year 2019.

The report finds that the 4G LTE networks of the three national facilities-based carriers – AT&T, T-Mobile, and Verizon Wireless – all cover at least 98 percent of the U.S. population.

Between 2017 and 2019, subscriber data usage jumped 39 percent, to 9.2 Gigabits per month. Over that same time, the annual Wireless Telephone Services Consumer Price Index decreased 5 percent and the Telephone Services CPI decreased 3 percent, while the overall CPI increased about 4 percent.

Cable operators Comcast and Charter are adding subscribers rapidly to their networks, which utilize a combination of Wi-Fi hotspots and third-party wholesale wireless technology to reach netizens.

Residential connections to fixed high-speed Internet rose from 91 million in 2015 to 105 million at the end of 2019. According to the report, the number of Americans with multiple options for broadband service is on the rise, as 74 percent have at least two options for 25/3 Mbps fixed terrestrial service, 67 percent have at least two options for 50/5 Mbps service, 55 percent have at least two options for 100/10 Mbps service, and 35 percent have at least two options for 250/25 Mbps service.

The Free State Foundation has declared that in future reports, the Commission should update its analytical approach to focus on convergence and intermodal competition, claiming a modernized holistic approach would consider that 5G wireless broadband capabilities increasingly match those of wireline broadband.

Remarks of FCC Acting Chairwoman Jessica Rosenworcel on FCC’s new appointments

FCC Acting Chairwoman Jessica Rosenworcel shared remarks about her vision for the agency’s newest staff appointments in a statement released on Monday.

Rosenworcel announced the appointments of P. Michele Ellison to be acting general counsel and Joel Taubenblatt to be acting chief of the Wireless Telecommunications Bureau.

Rosenworcel said that “they both have a deep understanding of communications law and policy and a keen sense of initiative that will be invaluable as the agency takes on its work in the days ahead.”

Ellison has worked at the FCC for 25 years and has an incredible portfolio. She is the first woman of color to serve as the agency’s Chief of Staff, Chief of the Enforcement Bureau, and Acting General Counsel. Previously, she chaired the FCC’s Connect2Health Task Force, a multidisciplinary team created to advise the Commission on ways to address the gap in the accessibility of telehealth technology.

The new Chairwoman is focused on heading initiatives related to the Emergency Broadband Benefit Program, a program established to expand access to high-speed Internet to those struggling in the ongoing economic crisis, funded by Congress in recent COVID-19 relief legislation.

Roseworcel continues to stress the vision of having work to do to put consumers first, support digital equity in communities that have been overlooked and underserved, and advance communications policies that keep the public safe.

“As a nation we need connections—physical and digital—that strengthen our mutual bonds. And we need connections that can break down barriers that for too long have held too many back,” Rosenworcel said.

Wireline Competition Bureau seeks comment on Emergency Broadband Benefit Program

Recent studies show that a large portion of the U.S. population still relies on mobile internet, lacking a fixed internet connection to their home.

Another majority of houses are subscribed to the internet via wired technology, yet the connection offered does not meet the FCC’s definition of broadband.

Repeated research has shown that this layered digital divide is primarily the result of a broadband market that fails to offer sufficient, affordable service options.

With the COVID-19 pandemic, these statistics continue to change, with the number of households with more critical bills to address before considering broadband, continuing to increase.

With the Emergency Broadband Benefit Program, broadband will be subsidized for low-income Americans. The Commission is prioritizing promoting public awareness and program transparency, as current FCC staff are working to ensure an easy application and use process exists for eligible households.

For eligibility, the Commission will adhere a more “rigorous verification standards to ensure that the recipients of these benefits are truly part of separate economic households”, involving mobile service and school attendance, and evidence of need.

To ensure public accountability and reduce the risk of waste, fraud, and abuse, the Commission should also create a public repository for information submitted by participating providers to certify their reimbursements due.

Such a resource would benefit-eligible households by allowing them to see at a glance which participating providers offer service in their areas at various discounted price points, including offerings for which the EBB reimbursement covers the entire monthly charge.

Broadband Roundup

NTIA Pushes FTC on Privacy, Broadband in Tough, NY, California Get NTIA Grants

‘NTIA is calling for rules that stop the unnecessary and harmful collection and use of personal information.’

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Screenshot of Alan Davidson, assistant secretary of commerce for communications and information, via C-Span

November 23, 2022 – The National Telecommunications and Information Administration said Tuesday in a filing with the Federal Trade Commission that it wants privacy limits on the ways companies collect and use personal information.

The Commerce agency recommended companies minimize the data collected, restrict companies from using data for alternative purposes such as targeted advertising, take comprehensive approaches to new privacy protections, and consider stricter limits on biometric technologies.

The FTC is currently seeking comment on whether it should implement new rules on companies’ data collection and sales practices.

“NTIA is calling for rules that stop the unnecessary and harmful collection and use of personal information. Companies need guardrails about what they can build,” said NTIA head Alan Davidson.

In July this year, Davidson said privacy laws continue to be an issue in the US. He advocated for the first national federal privacy bill, which is currently before Congress.

Study finds telecoms in for rough patch with inflation

Analysys Mason, a management consultancy focused on telecommunication and technology, released a prediction Wednesday that said the telecommunication industry will face challenges, including inflation problems, in 2023.

Consumers may feel the pinch from higher retail prices due to inflation, the analysis finds, which could result in political pressure to moderate price increases, the study found.

“Combined with high investment costs and questions about potential returns, the market outlook is challenging as the telecoms industry tries to steer its path through price rises, rolling out network availability and launching new services,” said Larry Goldman, Analysys Mason chief analyst.

NTIA awards over $10 million in Rhode Island, California

The NTIA announced Tuesday that Rhode Island will receive $5.5 million to build high-speed internet infrastructure.

“The funding will advance a coordinated strategy to get all Rhode Islanders connected to high-speed, reliable, affordable broadband service and close the digital divide,” said Rhode Island Senator Jack Reed.

The money is coming from programs spawned by the Infrastructure, Investment and Jobs Act, which includes $65 billion for broadband infrastructure.

NTIA also said Tuesday that it awarded two grants of nearly $5.6 million to Merced Community College and California State University Sacramento from the Connecting Minority Communities Pilot Program.

Secretary of Commerce Gina Raimondo said these investments will help offer more online learning programs and train digital navigators in its program to work directly with surrounding communities on digital inclusion.

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Broadband Roundup

FCC Bans First Voice Service Provider, ACP Outreach Program Funding, Ciena Buys Two Companies

Global UC is the first company to be removed by the FCC from receiving call traffic for robocall violations.

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Photo of FCC Commissioner Geoffrey Starks

November 22, 2022 – The Federal Communications Commission announced Tuesday that telephone company Global UC will be cut off from other networks because it failed to meet the standards set out by the commission to prevent illegal robocalls and caller ID spoofing.

It is the first time the FCC has made such a decision, after it proposed in October to remove Global UC and other companies from receiving call traffic because of alleged violations of the robocall framework known as STIR/SHAKEN. Global UC will be removed from the Robocall Mitigation Database, which includes companies that share their call traffic with each other.

“We have reached the point where we are ready to remove companies if they fail to abide by the rules and heed our warnings,” Loyaan Egal, chief of the FCC’s enforcement bureau, said in a release.

“While this is a steep and impactful penalty, it underscores the importance we place on complying with our rules, which are designed to eliminate the ability of bad actors to use the U.S. communications networks to harm consumers,” Egal added.

New funding opportunities from ACP outreach programs

The Federal Communications Commission announced Monday a further two funding opportunities from two programs of its Affordable Connectivity Program.

On Thursday, the FCC announced four complementary grant programs to market the broadband subsidy program as well as the release of a notice of funding opportunity for both the National Competitive Outreach Program and the Tribal Competitive Outreach Program, worth up to $60 million and $10 million, respectively.

On Monday, the FCC announced the notice of funding opportunity for the remaining two programs, each offering up to $5 million in grants: the Your Home, Your Internet outreach grant and the ACP Navigator pilot program. Applications after due January 9, 2023.

The Your Home, Your Internet program provides funding to qualifying local, state and tribal housing agencies, non-profit organizations, community-based organizations, and tenant associations to encourage residents who receive federal housing assistance to apply for the ACP.

The ACP Navigator pilot program, in partnership with the Universal Service Administrative Company, grants local schools districts and government agencies temporary access to USAC’s National Verifier— a centralized application system to quantify potential qualifying residents.

“Through federal housing assistance, millions of Americans have access to a home. It’s time to help them take advantage of ACP to access affordable Internet as well,” said Commissioner Geoffrey Starks.

The agency announced this summer the Affordable Connectivity Outreach Grant Program to raise awareness for the $14.2-billion program, which subsidizes monthly internet bills – of up to $30 per month and $75 per month for residents on tribal lands – and provides a $100 discount on device purchases for low-income applicants. The commission has said that there are millions more Americans who are eligible but have not signed up — in part because they are not aware.

Ciena acquires two companies for network expansion

Software and network services company Ciena announced Tuesday it is buying California-based hardware supplier Tibit Communications for $210 million and Massachusetts-based software company Benu Networks for an undisclosed amount.

Tibit and Benu both deploy single-source fiber conduit to distribute broadband network access to multiple end users including residential, commercial and public, known as passive optical network technology.

Ciena said the acquisition will help expand PON connectivity to residential areas, businesses, and public transportation. The merger will be paid in cash and Ciena will agree to employee retention agreements, according to the release.

“The acquisitions of Tibit Communications and Benu Networks will extend our ability to support customers’ next-generation metro and edge strategies as service providers globally accelerate investments to modernize their networks and improve connectivity at the network edge,” Scott McFeely, senior vice president of Ciena global products and services, said in the release.

“Tibit’s high-speed PON technologies and Benu’s subscriber management products, combined with Ciena’s current access and edge portfolio, will enable us to offer broader, more complete, and fully integrated broadband access solutions that combine routing, subscriber management, and PON features and functionality.”

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Broadband Roundup

FCC Told No to C-Band Changes, New Tribal Entity Grants, Surfshark Report on Internet Value

The telecoms got into a rift with the FAA over interference possibilities with 5G deployments around airports.

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Photo of Commerce Secretary Gina Raimondo

November 21, 2022 – UScellular told the Federal Communications Commission last week not to make changes to its C-band spectrum rules, following concerns that 5G signals would interfere with aircraft around airports.

The telecoms and the Federal Aviation Administration have been working together to mitigate concerns about 5G deployments around airports using the C-band spectrum causing interference with radio aircraft equipment. As such, telecom UScellular urged the FCC not to amend any of the spectrum’s rules.

“Uscellular recommended that the FCC reject calls for modifications to its C-band rules, as changes at this stage will certainly cause deployment delays despite making progress with the FAA, harming Americans who need 5G service the most,” the letter, dated November 19, said.

In May, UScellular said it would work with Swedish telecom equipment provider Ericsson to build out its 5G network using the C-band spectrum.

NTIA announces tribal grants

The National Telecommunications and Information Administration said Thursday in a press release that it awarded 18 grants worth about $225 million through the Tribal Broadband Connectivity Program.

The new money is expected to connect over 21,000 unserved Native American households, businesses and anchor institutions. The states that received the new grants are Alaska, Arizona, California, Iowa, Minnesota, Montana, New Mexico, Nevada, New York, South Dakota and Virginia.

“These grants – made possible by the Bipartisan Infrastructure Law – highlighted the Biden administration’s unprecedented commitment to close the digital divide in Native communities,” said Commerce Secretary Gina Raimondo in a statement.

With the latest grant, the program has awarded $1.5 billion to 112 tribal groups.

Surfshark study shows Mississippi’s internet is overpriced

Mississippi is reported to have the most overpriced internet in the country, according to a report from VPN provider Surfshark.

The company’s “Internet Value Index” is calculated by dividing each state’s internet speed by internet affordability to determine the states that are overpaying for internet access, according to a press release. The IVI is influenced by factors such as economic position, population density, percentage of urban area, and if a state is landlocked.

While the US average is near 0.6, Mississippi ranks below 0.4 on the IVI. New Jersey is 72 percent above the US average, ranking as having the most affordable internet that is fairly priced for residents. New Jersey’s IVI is precisely 1.0, according to the data from Surfshark.

“3 out of 4 rural states are at a disadvantage when it comes to getting fair internet prices, further isolating them from the opportunities that wealthier and more urban states have,” said Agneska Sablovskaja, lead researcher at Surfshark.

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