Connect with us

Broadband Roundup

AT&T Launches New Fixed Wireless Service, Lawsuits Over Lead Cables, $27M for Rural South Dakota Broadband

Stockholders claim AT&T and Verizon failed to disclose harmful effects of lead-clad cables.

Published

on

Photo of Kristi Noem by Gage Skidmore

August 24, 2023 — AT&T announced the launch of its new fixed wireless home internet service, called Internet Air, in 16 new markets across the United States on Tuesday. 

The technology will use “available network capacity in areas that are less densely populated while still providing a strong connection,” said president of broadband and connectivity initiatives Erin Scarborough. 

The product emphasizes the Wi-Fi aspect of the device and is touted for its easy and fast installation.  

Markets that will get the service first include cities in California, Pennsylvania, Ohio, Nevada, Arizona, Illinois, Michigan, Connecticut, Minnesota, Oregon, Utah, Washington and Florida. 

AT&T executives said in a second-quarter earnings call in July that adding fixed wireless technology will be key to connecting hard-to-reach areas of the country. They estimated that fixed wireless services will be in demand following the allocation of Broadband Equity, Access and Deployment funds despite the program’s preference for fiber builds.  

CEO John Stankey said that AT&T’s fixed wireless offerings will be a competitive offer in broadband builds for decades to come.  

In February, however, AT&T’s chief financial officer said the company doesn’t see fixed wireless as a great long-term solution and is focusing on deploying fiber.

“Fixed wireless in certain cases is kind of nice, it’s a nice catch product where we have a copper customer that we’re going to get to in the next 12 to 24 months,” said Pascal Desroches during Deutsche Bank’s annual media, internet and telecom conference.

“But long term, it’s not a solution we want to put a lot of resources behind. Why? It’s because it’s not a great product and the customer ultimately is going to reject it,” he said.

Verizon, AT&T facing more lawsuits over lead cables 

Lawsuits filed in Pennsylvania federal court on behalf of shareholders allege that Verizon and AT&T misled the public about the environmental and health risks of lead-clad cables.  

In July, a Wall Street Journal report alleged that lead-clad telecom cables in Lake Tahoe and elsewhere raise a significant health concern. In response, AT&T claimed that the cables “pose no danger to those who work and play in the waters of Lake Tahoe” and halted removal of the cables, which it began in 2021 “simply to avoid the expense of litigation.” 

Verizon was similarly under fire when it was revealed that the two companies own over 2,000 such cables across the country, which would have been installed many years ago.  

Now, the companies are facing litigation from shareholders who claim that Verizon and AT&T failed to disclose that they own cables around the country that are highly toxic and which harm employees and residents alike, and that it was warned about the risks but did not disclose the threat.

“As a result, defendants’ statements about its business, operation, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant time,” read the allegation against Verizon. It notified shareholders to register in the class action by October 2.  

AT&T’s stocks reached the lowest level in 30 years by 7 percent and Verizon down by two percent, TD Cowen reported. The company reassured investors in an earnings call in July that it will work with the Environmental Protection Agency to investigate the potential harm that lead-clad cables present to communities and employees. 

Verizon likewise told investors that it is conducting its own internal and third-party investigation into the thousands of lead-sheathed cables. It said it will take these concerns seriously and will take a “fact and science-based approach” in the assessment of the danger the cables pose. 

South Dakota plowing $27M for rural broadband

South Dakota’s Governor’s Office of Economic Development announced that it will award as much as $27 million to support rural high-speed internet in its final round of funding through the ConnectSD program.  

“We are revitalizing small towns in America with this investment. And we are preserving our way of life,” Governor Kristi Noem said at the South Dakota Telecommunications Association Conference this week. “My vision is to bring high-speed internet to every home and business in South Dakota. No one should have to choose between the modern economy and a life in their hometown. It’s time to finish the job.” 

According to Noem, the ConnectSD program has already connected tens of thousands of households and businesses to high-speed broadband with a total of $269.5 million invested since she took office in 2019. The office has awarded 104 grants that are in the process of connecting almost 31,000 locations.  

Of the money invested, 57.9 million is state funds, $89.6 million is federal funds and $122.3 million is private funds. Grant applications will be available soon for this last round of funding. 

“South Dakotans should never be left behind because of the small-town way of life they’ve chosen to build for themselves and for their families,” said GOED Commissioner Chris Schilken. “More and more South Dakotans are reaping the benefits of expanded opportunities in education, entertainment, and commerce.” 

This is the state’s eighth round of funding in broadband grants since 2019. In May, ConnectSD awarded nine service providers a total of $32.5 million. The three biggest awardees were Venture Vision at $8.6 million, Golden West with $7 million and Alliance Communications Cooperative at $5.1 million. 

Broadband Roundup

Carr and Starks Confirmed, Supreme Court to Review Social Media Laws, Google Antitrust Trial

Brendan Carr and Geoffrey Starks were confirmed to an additional term on the Federal Communications Commission.

Published

on

Photo montage of Anna Gomez (left), Brendan Carr (center) and Geoffrey Starks (right) from Wireless Estimator

October 2, 2023 – Brendan Carr and Geoffrey Starks will serve another term as commissioners on the Federal Communications Commission following a unanimous vote from the Senate this weekend. 

With Carr and Starks to continue serving, the FCC will have full membership for the foreseeable future, after Anna Gomez was confirmed as the fifth commissioner in September, breaking the agency’s party deadlock. 

In a statement about the appointments, Sen. Maria Cantwell, D-Wash, underlined that it is crucial for the FCC to be equipped with a full staff to avoid “deadlock or delay.” 

Today’s confirmation of Geoffrey Starks and Brendan Carr allows the FCC to have full membership and move forward,” added Cantwell. 

The commissioners received congratulatory remarks from FCC Chairwoman Jessica Rosenworcel as well. “With a complete Senate-confirmed Commission, the FCC is now ready to take on our full slate of work and fulfill our commitment to ensuring Americans everywhere have access to the best, most reliable communication services in the world,” said Rosenworcel. 

Supreme court to review social media laws in Texas and Florida 

The Supreme Court on Friday announced it will look into whether social media laws in Texas and Florida, which limit the ability of technology platforms to moderate certain content, violate the First Amendment.

In 2021, two social media laws were signed in both Texas and Florida, which allowed users to take legal action if they were censored online and prohibited the suspension of political figures‘ social accounts, respectively.  These laws were challenged by tech associations NetChoice and the Computer and Communications Industry Association, who claimed they were unconstitutional. The discrepancy in outcomes likely led to the Supreme Court’s decision to accept review of the case. 

In Florida, it was argued that “the legislation compels providers to host speech that violates their standards – speech they otherwise would not host – and forbids providers from speaking as they otherwise would.” The law was ruled by the 11th Circuit Court to be unconstitutional

In Texas, the tech associations similar lawsuit was filed, but the Fifth Circuit Court held that that the law was not unconstitutional. It did not reverse a previous stay, meaning that the law has not gone into effect pending Supreme Court review. 

Solicitor General Elizabeth Prelogar had urged in August that the Supreme Court look into the discrepancies between the case outcomes and argued that social platforms are protected by the First Amendment when they moderate content. 

Microsoft dismisses Google claim of ease of search engine switching 

Microsoft CEO Satya Nadella testified Monday in Washington that Google’s claim that it is easy for users to change the default search browser on their devices is not that simple. 

Nadella argued that it is most difficult to change the default search browser on a smartphone, thwarting a claim by Google, which was sued by the Federal Trade Commission over its alleged dominance in the search engine space. 

The Department of Justice, which represents the FTC in court, filed the initial lawsuit in 2020 alleging Google has made a series of illegal agreements with phone manufacturers and wireless service providers to make it the default search engine. The trial began last month. 

Nadella added that Microsoft was “rebuffed” when it tried to make Bing, Microsoft’s search engine, the default on Apple smartphones.  

Google has argued that the popularity of its search engine is because of the quality of the product, not any illegal activity. The company currently has a 90 percent market share on search engines in the United States. 

It has argued that all its agreements are legal and it did not hamper other companies from developing their search engines.  

Continue Reading

Broadband Roundup

No to E-Rate Changes, Millions for Tribal Broadband, Oregon Grants, Arkansas Training Program

GOP lawmakers want new FCC commissioner to reject E-Rate expansion.

Published

on

Screenshot of Anna Gomez, FCC commissioner.

September 28, 2023 – Rep. Cathy Rodgers, R-WA, and Sen. Ted Cruz, R-Texas, sent a joint letter on Tuesday to newly minted FCC commissioner Anna Gomez, urging her to reject proposed expansions to a school broadband subsidy.

FCC Chairwoman Jessica Rosenworcel announced plans in June to expand the program –which provides monthly internet discounts for schools and libraries – to fund Wi-Fi on school buses and Wi-Fi hotspots for students to check out from libraries and schools.

The GOP lawmakers expressed “strong opposition” to the plan, calling it a “mockery of the law.”

They argue the Communications Act of 1934 limits E-Rate benefits to school and library property, making both proposed expansions ineligible for the subsidy.

Senator Ed Markey, D-Mass., supported Rosenworcel’s June announcement.

The proposal will be up for a vote among the five FCC commissioners at the regulator’s October 19 open meeting. Gomez’s recent confirmation gives Democrats a 3-2 majority.

E-Rate is among four programs funded by a portion of the roughly $8 billion in annual money from the Universal Service Fund. Lawmakers are looking to reform the USF’s funding mechanism, which is currently a tax on voice providers.

NTIA announces latest tribal grants

The National Telecommunications and Information Administration announced on Wednesday $74 million in tribal broadband grants.

The money comes from the nearly $3 billion Tribal Broadband Connectivity Program. It can be used to expand infrastructure or to fund other connectivity efforts like feasibility studies and broadband adoption initiatives.

Over $1.8 billion has been allocated under the program with the latest round of awards, which goes to 28 tribal governments in 11 states.

The NTIA said the awards comply with its “equitable distribution” requirement. The agency is required to give smaller grants – up to $500,000 – to tribal governments who do not receive the full grant amount they apply for.

The Government Accountability Office has pushed the NTIA to offer feedback to tribes who are given these significantly reduced grants, saying it would help tribal governments submit more competitive applications in the future.

The remaining $970 million in the program is still up for allocation. Applications are due to the NTIA by January 24 of next year.

Oregon gets $156 million from Capital Projects Fund

The Treasury Department announced Thursday the approval of over $156 million from the Capital Projects Fund for broadband projects in Oregon.

The money will fund a competitive grant program for last-mile infrastructure which the state expects to ultimately connect over 17,000 locations. The program will prioritize projects in areas with current internet speeds of 10 Mbps download and 1 Mbps upload and below and will require all projects to deploy at least 100 * 20 Mbps.

Most of the funding – $149 million – will go to grant awards for successful bidders, with the remaining $7.7 million set aside for administrative costs. Oregon will not receive any additional money from the CPF.

Projects funded by the program will also be required to participate in the Affordable Connectivity Program, a monthly internet subsidy for low-income and Tribal households. The ACP’s future is uncertain, though, with its $14 billion set to dry up in April of next year.

This allocation puts the total CPF awards over $8.4 billion to date. A response to the Covid pandemic, the fund set aside $10 billion for projects enabling work, education, and health monitoring.

Arkansas fiber training program

The Arkansas Community Colleges recently announced a free training program for jobs in broadband infrastructure deployment.

The Arkansas Fiber Academy, subsidized by a partnership with the state’s Office of Skills Development, offers three training programs preparing participants to work as aerial linemen, telecom tower technicians, and underground fiber technicians.

Courses range from 11 days to over three weeks and can be attended at three colleges and universities across the state.

A shortage of qualified workers to deploy broadband infrastructure has been cited by the industry as a potential obstacle to the $42.5 billion Broadband Equity, Access and Deployment program.

Continue Reading

Broadband Roundup

Labels on IoT Devices, Lumos Fiber in South Carolina, Empire Access in Pennsylvania

In August the FCC proposed giving manufacturers the option of labeling their devices with a cybersecurity standard.

Published

on

September 27, 2023 – The CEO of a software company called Seam said the Federal Communication Commissions should incorporate as part of the agency’s cybersecurity labeling program, letting device users know the countries where their data is sent and stored.

“For instance, if an IoT device routes or stores its data in China, this should be explicitly mentioned on the label” read a September 19 letter from Seam CEO Sy Bohy logged in the FCC’s ex parte communications docket. Bohy was referring to Internet-of-Things devices for machine-to-machine communication.

In August, the FCC proposed a voluntary program that would give manufacturers the option of labeling their devices with a government approved seal should they adhere to “baseline cybersecurity criteria.”

That criteria were developed by the Commerce Department’s National Institute of Standards and Technology. It looks at how devices handle data protection, information dissemination, product education awareness and cybersecurity state awareness.

In its August proposal, the FCC sought comment on how to best translate those qualities to the consumer and inquired about any other factors they should consider when looking at what devices would qualify for a label.

Bohy, in his communications with the office of Commissioner Nathan Simington, also warned the FCC that certain manufacturers “intentionally…hide the fact that their data is located or transiting through a foreign jurisdiction, particularly those with dubious or lax data privacy regulations.”

Putting a cybersecurity label on devices would provide consumers and businesses with necessary transparency and information needed to make smart purchases, Bohy said.

The need for something like a security label has been an important topic talked about amongst regulators for some time now. At January’s CES tech trade show, policymakers and cybersecurity experts stressed the importance of consumers being able to make smart decisions about buying secure technologies.

Lumos gets franchise to deploy broadband into South Carolina 

On Wednesday Lumos, an internet service provider received franchise approval to deploy fiber optic services by the cities of Columbia, West Columbia and Irmo, South Carolina.

This approval will allow Lumos to provide these areas with access to high-speed fiber optic networks, the company said.

Outside of building fiber infrastructure, Lumos has also agreed to provide free internet service to certain public parks and recreational areas in the Columbia and Irmo areas.

This expansion is part of Lumos’ $100 million investment in deploying broadband across the state, according to the company.

“Today’s announcement is a testament to the ongoing support from state and local representatives to expand our lightning-fast fiber internet services” said Lumos CEO Brian Stading.

Empire Access starts broadband construction in Pennsylvania

Fiber internet service provider Empire Access announced on Wednesday that it had started construction of an 86-mile fiber build in Scranton, Pennsylvania, The company said it expected to finish construction by the end of the year.

This phase of construction is set to be followed by another 90 miles of fiber buildout to be completed in 2024.

The entire build out is part of a larger broadband deployment strategy ranging from the southern part of New York into Northern Pennsylvania, said Empire Access CEO Jim Baase.

Continue Reading

Signup for Broadband Breakfast News



Broadband Breakfast Research Partner

Trending