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Companies Need to Get Ahead on Inventory to Escape Supply Chain Disruptions

Businesses should think about inventory purchases beyond next year.

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Dean Mischke, vice president of Finley Engineering Company

WASHINGTON, December 22, 2021 – As supply chain issues threaten fiber builds, one company executive is warning other companies to get ahead of inventory purchases to insulate them from disruptions.

Dean Mischke, vice president of Finley Engineering Company, which builds out telecommunications infrastructure, said on a Fiber for Breakfast event Wednesday that companies should have a strategic plan that allows them to forecast their need for materials so they are in a better position to secure them.

“As a company, if you are looking at simply planning [supply needs] just for next year, you are probably planning a little short,” he said. “You need to be looking beyond next year and start setting up a five-year plan with specific goals in mind and elements you are going to need to reach those goals”

Mischke said that predicting future needs is especially important for smaller companies that cannot buy in as large numbers as bigger industry leaders.

“I don’t believe the supply chain shortage will go away overnight,” said Mischke.

Earlier this month, a public-private partnership in Vermont came together to purchase thousands of miles of fiber cable at a fixed cost from a cooperative, which is expected to see its cost rise by 35 percent due to supply chain issues and inflation.

On fiber sales, Mischke said larger companies could be buying up the market’s supply. “If your business goals depend on fiber expansion, a fiber reel in-hand is better than a reel in-order.”

Mischke said large buyers “aren’t having as much of a problem” buying equipment like computer chips because “cellphone manufacturers bought up the entire production of a very large chip manufacturer.” This means that smaller businesses “will have a hard time finding and buying materials,” he said.

For better success, smaller companies should “look at getting materials from a seller that has the pull to get what you need,” he added. “Take a look at who can provide what. However, sometimes if an order is small enough, you may be able to fill in a supply gap.”

Bloomberg reported Wednesday that global supply chain issues would challenge world economies well into 2022.

Reporter Justin Perkins is graduate of Howard University School of Law, with a focus on telecommunications and technology. He has in-house experience at the Federal Communications Commission, Comcast and NBC. He brings curiosity and insight to broadband news.

Funding

Preparing Collaboration Model, Data Collection Suggested Before Infrastructure Money Flows

With infrastructure bill, there is no longer a shortage of funds for states to expand their broadband infrastructure, consultants said.

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Joanne Hovis, president of CTC Technology and Energy

WASHINGTON, January 20, 2022 – While billions in federal dollars from the Infrastructure Investment and Jobs Act are still many months away, work can be done to tie-up some loose ends, including figuring out internet speed criteria and best partnerships for broadband builds, said a consultant Wednesday.

Heather Gold, founder and CEO of broadband consulting firm HBG Strategies, noted on a Broadband Bunch webinar that the $65 billion for broadband from the infrastructure bill won’t be available until next year. But she noted that infrastructure money and existing American Rescue Plan Act funding means states are no longer financially limited in their efforts to expand broadband.

That means internet service providers and states need to be thinking about how to manage this pool of funds, according to Joanne Hovis, president of engineering and consulting firm CTC Technology and Energy.

Hovis said local service providers can get ahead by choosing the right collaboration model for broadband builds. That includes partnerships with electric cooperatives, which can own wood poles on which telecoms attach their equipment, or a partnership with the local government, such as that being done in Vermont.

Hovis also encouraged data collection efforts to make broadband service prices publicly available and easily accessible knowledge, and advocated for competitive bidding processes for broadband grants that result in benefits for as many service providers as possible.

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Funding

NTIA Official Says Rural Broadband Funds Do Not Disqualify Area from New Broadband Monies

While NTIA will interpret grant funding under the law, it’s up to states to determine where to allocate money.

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Justin Perkins and Scott D. Woods on a Zoom video call

January 19, 2022 – The federal government agency charged with the task of doling out the $42.5 billion of broadband infrastructure funding hasn’t ruled out the idea of letting grant applicants use the money allocated to them from the Infrastructure, Investment and Jobs Act to cover areas that will also be covered from grants given to projects from the Rural Digital Opportunity Fund.

The Commerce Department’s Scott D. Woods said the “policy team is working on [this]” and to “stay tuned” to further announcements. As a general rule, areas don’t “have federal assets for the similar purposes in the same area,” but there are “nuances to that.”

Woods is the National Telecommunications and Information Administration’s director of the Office of Minority Broadband Initiatives at the agency’s Office of Internet Connectivity and Growth.

He made the remark during a recent “Ask Me Anything” interview with Broadband Breakfast Reporter Justin Perkins. Broadband Breakfast is a sister publication to Broadband.Money and is a privately-run media and conference company headquartered in Washington, D.C.

Grant applicants concerned about this specific issue should submit questions about it for the record in comments they should submit to the NTIA, Woods said. All comments are due February 4, 2022.

The Federal Register notice and instructions on how to file comments is here.

More information, including the NTIA’s  scoring criteria for grant applications, will be found in the Notice of Funding Opportunity coming out in May.

Doug Dawson, an influential broadband consultant of CCG Consulting (and blogger) wrote a blog post early January implying that RDOF covered areas wouldn’t be eligible for IIJA grant funding.

During the AMA, Woods took questions from the Broadband.Money community and discussed IIJA’s compatibility with RDOF, expectations for state plans, private-public partnerships, and the role of the community.

While the NTIA will be interpreting the terms of the grant funding as laid out in the IIJA, it’s up to the states to determine where to allocate the money.

The “state plans…ultimately have to reflect the needs of the unserved [and] underserved communities,” Woods said.

Perkins also emphasized how important it is “for the communities to give their input sooner rather than later, so that the NTIA can develop regulations that are really going to reflect the needs that these broadband programs are asking for.”

Despite the expedited timetable laid out in the IIJA, Woods said that states should be ready to submit rigorously-planned proposals to the NTIA when they ask for federal funding for their five-year broadband plans.

Some states don’t have any formal broadband offices in place, but most already have some basic organizational structures. Woods said that the NTIA is there to help states that might need more hand-holding through the grant application process.

Role of public-private partnerships

Woods also discussed the importance of private-public partnerships.

These partnerships will help with infrastructure, as well as “equity, inclusion, [and] adoption,” he said.

Public-private partnerships are built on “trust and transparency,” said Woods.

“There’s a lot of work to do, as well,” said Woods. “Trust is based on your words and your actions.”

One community member asked when the NTIA will announce its decisions on its $288 million for broadband infrastructure program, a separate broadband program funded under the 2021 appropriation bill. Woods said to check NTIA’s website, and that these announcements will be coming “soon.”

Woods also emphasized the importance of the role of the community to the forthcoming years-long broadband buildout. Everyone need to “provide information, to provide data, to provide feedback on what’s needed in the community.”

Instead of favoring one technology over another, such as fiber over wireless, the NTIA is going to “leave it to the states…to adopt what best works for them and their communities.”

“There’s a role for all technologies,” he said.

A version of this piece was originally published on Broadband.Money on January 19, 2022. You can find out more about Broadband.Money‘s past and future events and AMAs here. Don’t forget to come and participate in our discussion on Friday over who should receive IIJA money, in your opinion, and our Friday, January 28, 2022, Ask Me Anything! event With Ben Bawtree-Jobson, CEO @ SiFI Networks.

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Broadband Mapping & Data

Ookla Fourth Quarter Report Puts T-Mobile as Fastest, Most Consistent Wireless Provider

T-Mobile ranks fastest mobile provider, improving on third quarter performance.

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T-Mobile president Mike Sievert

WASHINGTON, January 18, 2022 — Metrics company Ookla reported Tuesday that speed test data from the fourth quarter of last year show that T-Mobile was the fastest and most consistent mobile operator, the Apple iPhone 13 Pro Max is the top device in terms of popularity and download speeds, and Google is the top manufacturer when it comes to download and upload speeds.

The latest report, for the months of October, November and December, showed T-Mobile’s median download speed was 90.65 Megabits per second, while runner-up AT&T had a median download speed of 49.25 Mbps and Verizon came in at 44.67 Mbps. The District of Columbia had the fastest median mobile download speeds in the United States with 100.38 Mbps, with T-Mobile being the fastest mobile provider in 42 states.

T-Mobile also had a significant jump in terms of 5G performance, said the Tuesday report. In the third quarter, T-Mobile’s median 5G download speed was 135.27 Mbps, while Tuesday’s report shows their median 5G download speed was 187.12. Verizon came second with a median speed of 78.2 Mbps and AT&T was third with a median speed of 68.82 Mbps.

In the United States, the fastest popular device manufacturer was Google. Google’s median download speed was 60.82 Mbps, Samsung’s was 52.80, and Apple’s was 52.76.

However, the iPhone 13 Pro Max was the most popular and fastest device overall, with a median download speed of 90.58 Mbps and the iPhone 13 Pro following closely behind at 89.61 Mbps.

In the report, only Verizon, AT&T, and T-Mobile were mentioned as internet providers, and Apple, Google, and Samsung were the only device manufacturers included.

Each month, Ookla collects data from Speedtest users to report the internet speed at their location, and the data from those tests are used to generate their quarterly reports.

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