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Tag: Broadband

  • President Trump Signs Laws to Improve Broadband Availability and 5G Security

    President Trump Signs Laws to Improve Broadband Availability and 5G Security

    President Trump signed two bills into law Monday, aimed at improving both 5G security and broadband availability.

    According to a statement by the Whitehouse, the Secure 5G and Beyond Act of 2020, calls on the “President to develop a strategy to: (1) ensure the security of next generation mobile telecommunications systems and infrastructure in the United States; and (2) assist allies and strategic partners in maximizing the security of next generation mobile telecommunications systems and infrastructure.”

    This has been an ongoing concern for U.S. officials, as Huawei is one of the top three network equipment providers and is widely believed to be the leader in scale and technology. The U.S. has banned the firm from participating in its own networks, and engaged in a campaign to pressures allies to do the same over concerns the company is a conduit for Beijing to spy on governments and countries throughout the world. Throughout the process, the U.S. has framed the debate about network security as a national security issue. As a result, it’s not surprising Trump signed the bill into law.

    The second bill, the “Broadband Deployment Accuracy and Technological Availability Act or the Broadband DATA Act” is aimed at improving the accuracy of information about availability of broadband services. To do that, it “requires the Federal Communications Commission to issue rules relating to the collection of data with respect to the availability of broadband services.”

    The signing of the bills was met with bipartisan praise. The House Committee on Energy and Commerce issues the following statement:

    “The bills signed into law today by the President are critical to ensuring that all Americans can access broadband and that our networks are secure and trusted.”

  • Coronavirus: AT&T and Comcast Do Their Part to Help Telecommuters

    Coronavirus: AT&T and Comcast Do Their Part to Help Telecommuters

    AT&T and Comcast have both adjusted their home internet packages in an effort to assist Americans who will be telecommuting as a result of the coronavirus.

    As the coronavirus pandemic continues to spread, state and local officials are encouraging companies to allow employees to telecommute if their jobs allow it. Many companies have already implemented work-from-home policies, including Google, Apple, Microsoft, Twitter, Shopify and others.

    With an unprecedented number of individuals telecommuting, AT&T has told Motherboard it will be suspending all usage caps on its broadband service.

    “Many of our AT&T Internet customers already have unlimited home internet access, and we are waiving internet data overage for the remaining customers,” a company spokesperson said.

    Similarly, Comcast is making it easier for low-income families to access the company’s Internet Essentials option.

    “A hallmark of this program has been our flexibility in adjusting Internet Essentials to meet the needs of low-income residents in our footprint. So, effective Monday, we are putting in place two substantial program enhancements to help these families deal with this crisis,” reads the statement.

    “We will make it even easier for low-income families who live in a Comcast service area to sign up by offering new customers 60 days of complimentary Internet Essentials service, which is normally available to all qualified low-income households for $9.95/month.

    “Also, we are increasing Internet speeds for the Internet Essentials service from 15/2 Mbps to 25/3 Mbps for all new and existing customers, which will be the speed of the service going forward. In this way, we will ensure that Internet Essentials customers will be able to use their Internet service for all their increased needs as a result of this health crisis.”

    Both companies deserve credit for taking measures to make it easier for telecommuters, and families in general, to stay home and stay connected in the face of the health crisis.

  • Senators Want Spectrum Auction to Fund Rural Broadband

    Senators Want Spectrum Auction to Fund Rural Broadband

    According to GeekWire, a group of senators led by Senator Maria Cantwell are pushing to use proceeds from an upcoming 5G spectrum auction to boost rural broadband.

    According to the Pew Research Center, despite improvements in recent years, there is still a significant gap in broadband service between urban/suburban and rural Americans. While 79% of suburban residents enjoy home broadband and 75% of urban residents do, that number drops to only 63% for rural Americans. Some 83% of urban and suburban Americans enjoy broadband access on their smartphones, compared to only 71% of those who live in rural areas.

    Senator Cantwell hopes the upcoming 5G spectrum auction may provide the funds to help close that divide. According to GeekWire, “Cantwell introduced legislation this week that would ensure some of the proceeds from a public auction of C-Band airwaves would be invested in rural broadband deployment and next-generation 9-1-1 networks.”

    The C-band spectrum is currently used by satellite companies for video and radio programming, but the FCC plans to free it up for 5G wireless. If Senator Cantwell and her colleagues get their way, rural Americans may gain better access to broadband options.

  • Verizon Delays 5G Home Rollout While It Waits For More Powerful Equipment

    Verizon Delays 5G Home Rollout While It Waits For More Powerful Equipment

    One of the biggest promises of 5G is the ability to deliver broadband-class internet to homes, especially those in remote or rural locations. Unfortunately, Verizon customers will have to wait, as the company has once again delayed 5G Home rollout.

    According to Light Reading, Verizon is waiting for more powerful equipment that won’t be available until the second half of 2020. The high-powered customer premises equipment (CPE) has much longer range than current equipment, which will be a significant factor in practical adoption of the technology. In contrast, current devices use smartphone chipsets, which give them far shorter range.

    Ultimately Verizon’s goal is to cover 30 million households, but Verizon’s Ronan Dunne admits it may take five to seven years before that goal is realized. As he told Light Reading, this is partly because of where Verizon is focusing its 5G deployment efforts.

    Unlike T-Mobile or AT&T, Verizon is focusing exclusively on mmWave 5G deployment. This high-frequency 5G has the fastest speed—often measured in gigabits—but has very limited range and building penetration. As a result, cell towers and base stations must be placed within a couple hundred meters of each other to achieve coverage. Due to this limitation, Verizon is focusing primarily on urban areas that are often “low residential.”

    Hopefully the newer, more powerful equipment Verizon is waiting on will help address some of these limitations and enable the carrier to start rolling out 5G Home to a wider market.

  • New Law Will Limit Cable TV Fees, Address Local Blackouts

    New Law Will Limit Cable TV Fees, Address Local Blackouts

    According to Consumer Reports, the House and Senate have passed a bill that would limit how cable companies charge hidden fees and phantom rentals to jack up bills.

    Customers have chafed for years at hidden fees and add-ons that take their low-priced, promotional cable bill and double or triple it. Cable companies will advertise a low-priced package, or tout the fact they have not raised prices in so many months, and then use hidden fees to circumvent the advertised price.

    As a result, Consumer Reports has been lobbying for laws that would limit how the cable companies operate and the fees they can charge.

    “People across the country are fed up with all of the extra fees they pay each month that keep growing more costly year after year,” said Jonathan Schwantes, Consumer Reports’ senior policy counsel. “Cable companies shouldn’t be allowed to disguise the true cost of service by charging a long list of add-on fees that aren’t clearly disclosed when customers sign up for service. These reforms will bring fairness and clarity to pay-TV billing, so we can find a plan that fits our budget without having to worry about getting stuck paying hidden fees.”

    The newly passed bill—which merely needs President Trump’s signature to become law—will force cable companies to provide an itemized list of fees and charges, and give customers a 24-hour window to cancel without penalty. The bill will also ban pay-TV companies from charging customers for equipment they don’t use. For example, many companies who bundle TV and internet service will charge customers rental fees for an internet router even if they’re using their own and never use the company’s.

    On the downside, the bill only applies to pay-TV companies, as well as companies and plans that bundle pay-TV with internet service. It does not yet apply to strictly broadband companies with no pay-TV option, who are just as guilty of these practices.

    Another provision of the bill would also help alleviate local station blackouts that often occur “when broadcasters and TV service providers can’t agree on terms for carrying local or cable channels. The law will mandate good-faith negotiations between the parties during these so-called retransmission consent negotiations.” The bill will also allow satellite TV providers to offer network programming in markets that do not have local broadcasts.

    The legislation is a step in the right direction for reigning in what has become predatory practices by the cable TV industry. Here’s to hoping the legislation catches up with the broadband industry as well.

  • Feds Support T-Mobile/Sprint Merger; T-Mobile Considering Comcast Merger

    Feds Support T-Mobile/Sprint Merger; T-Mobile Considering Comcast Merger

    With the T-Mobile/Sprint merger trial continuing, the government has come out in support of the deal, even as documents have come to light indicating T-Mobile has also considered a Comcast merger.

    The Federal Communications Commission (FCC) and Department of Justice (DOJ) filed a 400 page brief in support of the merger, according to Ars Technica.

    “Both the Antitrust Division and the FCC have significant experience and expertise in analyzing these types of transactions and do so from a nationwide perspective,” the brief reads. “Thus, their conclusions that the merger as remedied is in the public interest deserve appropriate weight in this remedy inquiry by this honorable court.”

    Meanwhile, The Verge is reporting that T-Mobile has also considered another merger. Board member Thorsten Langheim requested a report in 2015 to “give an overview of the company’s market position in advance of a workshop among senior members of leadership.”

    The report also details a proposed subsequent merger with Comcast, with the goal being for the broadband company to purchase T-Mobile. Such a deal was expected to receive little regulatory opposition, as opposed to the Sprint merger, and provide significant benefits to both companies.

    Should T-Mobile lose the merger trial, it will be interesting to see if the wireless company doubles down in its pursuit of a Comcast merger.

  • Jeff Bezos: We Need To Have Billion Dollar Scale Failures

    Jeff Bezos: We Need To Have Billion Dollar Scale Failures

    “At Amazon, we still take risks all the time,” says Amazon CEO Jeff Bezos. “We encourage it. We talk about failure. We should be failing. Our failures have to grow with the company. We need big failures if we are going to be moving the needle. We need to have billion dollar scale failures. If we are not, we are not swinging hard enough.”

    Jeff Bezos, CEO of Amazon, discusses how to be a successful entrepreneur by being customer obsessed in a conversation at the Amazon re:MARS conference in Las Vegas:

    The Most Important Thing Is To Be Customer Obsessed

    If you want to be an entrepreneur, the most important thing is to be customer obsessed. Don’t satisfy your customers, figure out how to absolutely delight them. That is the number one thing whoever your customers are. Passion. You have got to have some passion for the arena that you are going to develop and work in. Otherwise, you are going to be competing against people who do have compassion for that. They are going to build better products and services.

    You can’t be a mercenary. You have to be a missionary. Missionaries build better products and services. They always win. The mercenaries are just trying to make money. Paradoxically, the missionaries always end up making more money.

    We Need To Have Billion Dollar Scale Failures

    You have to pick something that you actually have a genuine passion for. You have to take risks. You have to be willing to take risks. If you aren’t going to take risks, if you come up with a business idea where there are no risks there, those ideas are probably already being done. There being done well by many many people. So have to have something that might not work. You have to accept that your business is going to be in many ways an experiment. It might fail. That’s okay. That’s what risk is.

    At Amazon, we still take risks all the time. We encourage it. We talk about failure. We should be failing. Our failures have to grow with the company. We need big failures if we are going to be moving the needle. We need to have billion dollar scale failures. If we are not, we are not swinging hard enough.

    Disagree and Commit

    If I have a new idea and I want to see it pursued I do have to build support for it. You need very smart people to embrace the idea and move it forward. We have a framework at Amazon, it’s one of our leadership principals, it’s called disagree and commit. That is extremely useful. After you discussed an idea, you do need to make a decision and move forward. The whole team needs to really commit to that. When I really feel strongly about something and the team disagrees with me I have a helpful phrase that I look to use which is, “I want you to gamble with me on this.”

    The truth is when you are in a position like that nobody knows what the right answer is.  You’re not saying I’m right on this. Go do this. You’re saying I want you to gamble with me on this because I don’t know if it is right either. I disagree and commit all the time. I promise the people when I do it, I’m very clear in saying, “I don’t agree with this. I think it is probably not going to work. But I will never say I told you so and I’m going to be on your team. I will do everything I can to make it work.”

    Broadband Access Is Going To Be a Fundamental Human Need

    A recent big bet (we’ve taken at Amazon) would be Project Kuiper. This is our LEO satellite constellation. The goal here is broadband everywhere. One of the things this does, it’s just the way the systems work, you have equal broadband all over the surfaces of the earth. Not exactly equal, it tends to be a little bit more concentrated toward the poles, unfortunately. You end up servicing the whole world.

    It’s really good because by definition you end up accessing people who are under bandwidth including rural and remote areas. I think you can see going forward that access to broadband is going to be very close to being a fundamental human need as we move forward.

    Amazon’s Jeff Bezos: We Need To Have Billion Dollar Scale Failures
  • Bernie Sanders, Elizabeth Warren, and Others Demand Specific Privacy Rules for ISPs

    Bernie Sanders, Elizabeth Warren, and Others Demand Specific Privacy Rules for ISPs

    In order to obtain the necessary services that the country’s various internet service providers offer, Americans must give up a lot of personal information. And what those companies do with said information should be a concern of every single American.

    Bernie Sanders, Elizabeth Warren, and seven other Senators have asked the FCC to implement some specific rules concerning how broadband providers deal with user information and privacy.

    The rules govern transparency, customer consent, and data security.

    The nine Senators – Ed Markey, Richard Blumenthal, Al Franken, Patrick Leahy, Ron Wyden, Bernie Sanders, Jeff Merkley, Cory Booker, and Elizabeth Warren – praise the FCC for their reclassification of boradband as a telecommunications service in February and choosing to “extend the duty to protect the privacy of information that ISPs collect about their customers because of the carrier-customer relationship.”

    But the Senators have some specific privacy rules they want considered:

    “We call on the Commission to adopt a comprehensive definition of Customer Proprietary Network Information as it pertains to broadband. Every click consumers make online paints a detailed pictures of their personal and professional lives. Accordingly, ISPs should be prohibited from sharing this information without user consent,” reads a letter addressed to the FCC. “Data pertaining to internet usage, online activity, and broadband service payments should be included in the FCC’s definition of CPNI.

    The Senators also call for added transparency rules, saying “ISPs should accurately outline data collection policies in standardized model forms – adopted by the Commission with prior input by stakeholders – that are easy for consumers to access, read, and understand.”

    One suggested rule involves notification of data breaches.

    “If a network of database is breached in a manner that could compromise the consumer’s privacy or cause the consumer harm, ISPs must notify consumers about the breach and any actions that consumers could take to mitigate potential harm from the breach.

    The senators also call for “clear, user-friendly” complaint processes.

    This is not the first time this contingent of the Senate has written the FCC on matters of broadband. A dew months ago, this same crew wrote the FCC urging a swift death for the Comcast/Time Warner deal.

    Image via Mredden, Wikimedia Commons

  • Comcast Brings High-Speed Fiber Network to City It Sued for Trying to Build Its Own

    Comcast is rolling into Chattanooga, Tennessee with the biggest if you can’t beat em, join em play you’ve seen in quite a while.

    Why Chattanooga, you might ask? In 2008, Comcast sued the city’s Electric Power Board (EPB) to block the municipality from creating its own fiber network. Comcast eventually lost that battle, and Chattanooga went ahead with creating its high-speed internet.

    But now Comcast is taking its recently-announced 2 gigabit fiber program there.

    “Gigabit Pro will be the fastest internet available to residential customers in Chattanooga,” said Doug Guthrie, SVP of Comcast Cable’s South Region. “This important milestone follows years’ worth of investments we’ve made to consistently deliver the fastest in-home and Wi-Fi speeds to the most homes and businesses in our markets. We’re excited that Chattanooga will become one of the first cities in the country to enjoy the nation’s fastest residential speeds.”

    Comcast announced its 2Gbps initiative in April, firing shots at Google in the process.

    “Our approach is to offer the most comprehensive rollout of multi-gigabit service to the most homes as quickly as possible, not just to certain neighborhoods,” said Doug Guthrie, SVP of Comcast Cable’s South Region.

    Yes, Fiber’s rollout has been slow and deliberate.

    Comcast started its fiber rollout in Atlanta, and then expanded it into Florida and California. The company’s goal is to have the 2Gbps service in 18 million homes by the end of this year.

    Chattanooga has been prevented from expanding its fiber network by state laws, but the FCC recently voted to do away with the regulations that prevented municipal broadband expansion. Of course, companies like Comcast are still fighting this.

    But hey, might as well go after one of the flagship cities for municipal fiber with your fiber, right?

    Image via lmilious, Wikimedia Commons

  • FCC: Broadband Internet Must Hit 25Mbps, or ISPs Can’t Call It Broadband

    FCC: Broadband Internet Must Hit 25Mbps, or ISPs Can’t Call It Broadband

    If your ISP doesn’t provide download speeds of 25Mbps, it can no longer tell you you’re getting broadband internet.

    The Federal Communications Commission has just voted to change the definition of “broadband”, raising the minimum download speed from 4Mbps to 25Mbps and the minimum upload speed from 1Mbps to 3Mbps.

    “We are never satisfied with the status quo. We want better. We continue to push the limit, and that is notable when it comes to technology,” FCC Commissioner Mignon Clyburn said. “As consumers adopt and demand more from their platforms and devices, the need for broadband will increase, requiring robust networks to be in place in order to keep up. What is crystal clear to me is that the broadband speeds of yesteryear are woefully inadequate today and beyond.”

    As you would assume, internet service providers have vehemently opposed the new rules, as it limits the numbers of services they can pass off as “broadband” to customers. The National Cable & Telecommunications Association claims that internet customers neither need or want to pay for such speeds, and that establishing a new benchmark for what constitutes broadband is both “arbitrary and capricious”, considering the fact that the new rule is simply a definition change.

    In other words, the FCC is not forcing ISPs to offer certain speeds. What it is doing, however, is making sure companies can’t call super slow connections “broadband”.

    According to the FCC, the new rules still leave many Americans without internet that can be classified as broadband – especially those living in rural areas.

    Hopefully, this decision will push ISPs into increasing internet speeds for many Americans. Apart from that, the ruling could have a significant impact in other areas, for instance the pending Comcast/Time Warner merger.

    Image via FCC, Twitter

  • Netflix Releases Latest ISP Rankings

    Netflix Releases Latest ISP Rankings

    Netflix just released its new ISP Speed Index data for the month of June. This time, they’ve added icons to the U.S. graph to “increase transparency” about the type of technology used by an ISP.

    “This should make it easier to compare Netflix performance on different types of networks,” says Netflix’s Anne Marie Squeo.

    As usual, Cablevision, Cox, and Suddenlink lead in the U.S. Each has shown “stead improvements” over the past three months, Netflix says. Verizon FiOS continues to decline, falling two spots from last month to number 12. Verizon FiOS and AT&T U-Verse rank behind DSL offerings from Frontier, Windstream, and Centurylink, Netflix points out.

    Last week, Verizon spoke out about its ongoing feud with Netflix. It placed the buffering blame on Netflix, while saying:

    Even though there is no congestion on our network, we’re not satisfied if our customers are not. We fully understand that many of our customers want a great streaming experience with Netflix, and we want that too. Therefore, we are working aggressively with Netflix to establish new, direct connections from Netflix to Verizon’s network. This doesn’t “prioritize” Netflix traffic in any way, but it ensures that their traffic gets on our network through direct connections—not middleman networks—that are up to the task.

    The benefit of these direct connections will be two-fold. First, Verizon customers who use Netflix will have a significantly improved experience as Netflix traffic flows over non-congested links. Early tests indicate that this is the case. The other benefit will be that the congestion that we are seeing today on those links between these middleman networks and our L.A. border router will likely go away once the huge volume of Netflix traffic is routed more efficiently. This will improve performance for any other traffic that is currently being affected over those connections.

    Here’s a look at Netflix’s U.S. ISP rankings:

    You can get a look at the previous month’s data here.

    Image via Netflix

  • AT&T Officially Buying DirecTV For Nearly $50 Billion

    After weeks of rumor and speculation, AT&T has officially announced that it will acquire DirecTV in a stock-and-cash transaction for $95 per share based on AT&T’s Friday closing price, putting it at $48.5 billion.

    The deal will still face regulator approval, but it has been approved unanimously by the Boards of Directors of both companies. It will be reviewed by the FCC, Department of Justice, and some states and Latin American countries. It’s also subject to DirecTV shareholder approval.

    The companies will offer consumers packages that include video, high-speed broadband and mobile service via AT&T’s 2,300 retail stores and through authorized dealers and agents of both companies.

    “This is a unique opportunity that will redefine the video entertainment industry and create a company able to offer new bundles and deliver content to consumers across multiple screens – mobile devices, TVs, laptops, cars and even airplanes. At the same time, it creates immediate and long-term value for our shareholders,” said AT&T Chairman and CEO Randall Stephenson. DIRECTV is the best option for us because they have the premier brand in pay TV, the best content relationships, and a fast-growing Latin American business. DirecTV is a great fit with AT&T and together we’ll be able to enhance innovation and provide customers new competitive choices for what they want in mobile, video and broadband services. We look forward to welcoming DirecTV’s talented people to the AT&T family.”

    DirecTV president and CEO Mike White added, “This compelling and complementary combination will bring significant benefits to all consumers, shareholders and DIRECTV employees. U.S. consumers will have access to a more competitive bundle; shareholders will benefit from the enhanced value of the combined company; and employees will have the advantage of being part of a stronger, more competitive company, well positioned to meet the evolving video and broadband needs of the 21st century marketplace.”

    AT&T says it will use the merger to expand plans to build and enhance high-speed broadband service to 15 million locations, mostly in rural areas where it doesn’t already offer it. This is expected to be completed within four years after close.

    The combined company will offer a stand-alone broadband service with speeds of at least 6 Mbps (where feasible) for those who don’t want a whole DirecTV package. Likewise, DirecTV will continue to be available on a stand-alone basis for at least three years after closing.

    The companies expect the deal to close within a year. DirecTV will remain based in El Segundo, California. More details here.

    Image via Wikimedia Commons

  • Downton Abbey: Christmas Special Trailer Has Arrived [Video]

    Downton Abbey has become quite a hit for many people around the world, and the British hit continues to delight its fans. While the show originally airs in the U.K., it has become very popular in the United States as well.

    Unfortunately for Americans however, the U.K. has already been able to see what happens in the fourth season, while America has been wating in anticipation. Downton Abbey is highly praised by fans and critics all over, and boasts a very entertaining cast including Maggie Smith as the most well-known, as well as Hugh Bonneville, Laura Carmichael and several others in the highly praised show with a large ensemble cast.

    For those that are not familiar with the show’s Christmas special, they have done one each season, and every time it includes a two-hour episode that caps off the season with some of the biggest and most jaw-dropping moments that fans experience throughout the season.

    Downton Abbey has become a show with several twists, surprises and deaths of characters, and there is no telling what will happen in any given episode. With just 16 days left until the much-anticipated Christmas special, it is important to take a look at where things were at the end of the third season.

    When fans last saw the Crawley family, Mary was being chased by two suitors, Edith was contemplating a Swiss vacation to avoid revealing her illegitimate pregnancy. Rose was also complicating things with her romance involving the African American musician, Jack Ross. The trailer contains several spoilers for the new season too, just as a precaution before watching.

    According to the new trailer, the Christmas special of Downton Abbey will pick up in London, where the family and servants are at Grantham House in preparation for Rose’s introduction into society. Those unfamiliar with the series will also be able to recognize a couple of familiar faces in the trailer, including film stars Shirley MacLaine and Paul Giamatti.

    Downton Abbey‘s Christmas special will air on December 25th on UK’s ITV. American fans can also get excited because season 4 will begin airing in the U.S. on Masterpiece PBS beginning Jan. 5, 2014.

    Image via Youtube

  • U.S. Broadband Speeds Finally Seen Rising

    For the past few years, broadband access in the U.S. has been a horror show. Average broadband speeds have remained largely the same as cable companies, which have regional monopolies in many parts of the country, have raised prices and in some cases started capping plans with tiers of data.

    Today some hope has come for those stuck with poor broadband access as market research firm Strategy Analytics released a report showing that broadband speeds are slowly increasing in the U.S. The firm stated that this rise in speed is not coming along with a rise in prices, meaning that customers with existing broadband access could soon see improvements to their plans, while their price-tier costs will remain relatively stable.

    “There is a limit to how much ISPs can compete on price, and the relatively slow shifts in average pricing suggest we are close to that limit,” said Halvor Sannaes, director of Teligen at Strategy Analytics. “What providers seem to be looking more to now is how they can add value to maintain competitive advantage. Certainly we are seeing more providers increasing speeds within given packages, but not changing the price. This is a reflection of network upgrades, of course, but it is something that the end user is clearly benefitting from for no additional outlay”

    Though incremental “network upgrades” have certainly played a role in the rising speed of broadband access, competition could be spurring cable companies to action as well. In places where Google Fiber has appeared, or even just been announced, incumbent broadband providers have been forced to cut prices and invest in modern network infrastructures. In the meantime, Strategy Analytics is advising that current broadband providers can still squeeze a few more dollars out of their customers through services such as mobile access and pay-per-minute access to the internet.

    “There is definitely room for more innovation in broadband pricing, and not just through bundling of fixed offers, but also through extending the offer to include add-ons such as mobile broadband, as well as using approaches such as time-based charging and Wi-Fi access when away from home, and this is something we anticipate seeing more of in the future,” said Josie Sephton, senior tariff consultant for Strategy Analytics.

  • Latest State Of The Internet Report Shows An Increase In Global Internet Speed

    Latest State Of The Internet Report Shows An Increase In Global Internet Speed

    Every quarter, Akamai puts out a report called “The State of the Internet.” By utilizing the Akamai Intelligent Platform, it’s able to look at a number of metrics, including global average Internet speeds, attack traffic and browser popularity. It’s an excellent look at just how much Internet access and speeds have improved over the last three months.

    In its latest report for Q2 2013, Akamai found that the average global Internet speed has increased 5.2 percent quarter-over-quarter to 3.3 Mbps. In an even better news, it found that the average global Internet speed has increased 9.2 percent year-over-year as countries around the world gain access to faster Internet speeds.

    Akamai’s report from last quarter found global speeds sitting at 3.1 Mbps, and the quarter before that was clocked at 2.9 Mbps. In short, it appears that average global Internet speeds are increasing at a rate of .2 Mbps per quarter. It’s not the kind of progress that I want to see, but it’s an encouraging sign nonetheless. Besides, we might see even more progress as organizations like Internet.org and A4AI start to mobilize.

    As is customary, let’s take a look at global average connection speeds on a country-by-country basis to remind ourselves just how piss poor Internet speeds are in the U.S.

    In a not at all surprising revelation, South Korea comes in first with an average speed of 13.3 Mbps. What’s interesting here, however, is that South Korea’s average internet speed has been declining quarter-over-quarter (6.3 percent) and year-over-year (6.4 percent). Japan, however, has seen an incredible year-over-year increase of 11 percent to an average speed of 12 Mbps. Switzerland has muscled its way into third place with a year-over-year increase of 31 percent to an average speed of 11 Mbps.

    Where does the United States sit on the top ten list? We’re at number 8 with an average speed of 8.7 Mbps. The good news is that this is a year-over-year increase of 22 percent. It’s still disappointing though to think that the country behind the Internet’s inception can’t even compete on the global stage in national average speeds.

    To make us all feel a bit better, let’s take a look at the top average speeds among U.S. states. It’s gratifying to know that the top 10 states are at or above 10 Mbps, but it’s unfortunate that most of those states are in the New England area.

    Interestingly enough, the number one state in average Internet speeds is not in New England as the District of Columbia (I know, not a state) has an average speed of 11.4 Mbps, or an increase of 17 percent year-over-year. Massachusetts and Virginia come in second and third place respectively with 11.2 Mbps and 11.1 Mbps average speeds.

    Average speeds are a nice metric, but the best metric to measure U.S. broadband adoption is to see the percentage of people in a state that have speeds over what the FFC mandates as broadband speeds – 4 Mbps. Once again, New England makes up most of the top 10 list with 92 percent of Delaware residents having access to Internet speeds above 4 Mbps. Rhode Island and New Jersey come in second and third place respectively with 89 percent and 87 percent.

    Beyond looking at the speed of landlines, it’s also becoming increasingly important to look at the amount of data that’s now being transferred through wireless data connections. After all, groups like Zuckerberg’s Internet.org are pushing for a future in which data will be consumed primarily via wireless devices. We’re not quite there yet, but the amount of wireless data the world chews through is already awe inspiring.

    According to measurements taken by Ericsson, the world’s wireless devices consume a bit under 200 petabytes in voice data a month. That’s 214,748,364,800 worth of megabytes the world goes through each month in phone calls. That may seem like a lot, but it’s nothing compared to the 1,600 petabytes of wireless data the world consumes every month. I can’t even fit the number of megabytes that is into this article.

    To put that into perspective, the report points out that the amount of voice data consumed by wireless devices has stayed pretty stagnant over the last six years. The amount of wireless data consumed, however, has increased from less than 10 petabytes a month in 2007 to over 1,600 petabytes this quarter. Going even further, monthly wireless data consumption rates have increased by about 100 petabytes every quarter since 2010.

    The lesson here is that wireless data is where it’s at. That doesn’t mean wired connections are going anywhere, but it does mean that wireless devices are quickly becoming the dominant method in which people access the Internet around the world. Let’s just hope that wireless carriers don’t stand in the way of this progress by imposing heavy fees on those who are gaining a window into the world through these devices.

    [Image: Akamai]

  • Congresswoman Proposes Broadband Internet Subsidies For Low-Income Families

    Congresswoman Proposes Broadband Internet Subsidies For Low-Income Families

    For years, it was essential that every family had a phone line. The U.S. government started the Lifeline program to help impoverished families afford this essential communication tool. Now the Internet has overwhelmingly replaced traditional phone lines, but the Lifeline program hasn’t adapted to this reality. One Congresswoman is hoping to change that.

    Ars Technica reports that Rep. Doris Matsui has introduced the Broadband Adoption Act of 2013. The bill would modify the Lifeline program to provide cheaper broadband Internet services to low-income families across the country.

    “In today’s digital economy, if you don’t have access to the Internet you are simply at a competitive disadvantage. For example, more than 80 percent of available jobs now require online applications,” said Congresswoman Matsui. “The Internet is increasingly the economic engine for growth and innovation. The Lifeline program provides a tangible service to lower-income Americans and it is imperative that the Lifeline program be reformed and modernized to account for broadband services. We must ensure lower-income Americans have a greater opportunity to participate in the digital economy, whether it be for workforce training, education, finding a job or creating the next big idea.”

    Matsui says that a recent FCC report found that nearly 100 million Americans are without broadband Internet services. She places the blame squarely on the high cost of broadband Internet in America. Many low income families simply can’t afford the high cost of broadband Internet. The bill would help to make faster Internet affordable to all.

    Of course, the Broadband Adoption Act of 2013 isn’t just about providing faster Internet to low-income families. Matsui has envisioned a number of reforms to the Lifeline program for the FCC to enact if the bill were to become law:

  • The bill directs the FCC to establish a broadband Lifeline Assistance program that provides low-income Americans living in rural and urban areas with assistance in subscribing to affordable broadband service.
  • The proposal would require the FCC, in calculating the amount of support, to routinely study the prevailing market price for service and the prevailing speed adopted by consumers of broadband service.
  • The bill is technology neutral to promote competition from broadband service providers under the program.
  • The bill allows eligible consumers to choose how they would like their Lifeline support- whether for broadband, mobile, basic telephone services or a bundle of these services. The bill clarifies that eligible households will qualify for only one lifeline support amount for one of those functions, not for multiple purposes.
  • The bill requires the FCC to establish a national database to determine consumer eligibility for Lifeline and to prevent duplication.
  • The bill encourages the FCC to consider providing a preference to participating broadband service providers that include components involving digital literacy programs as part of their offerings.
  • Eligible households must meet federal low-income guidelines or qualify for one of a handful of social service programs including, but not limited to: SNAP, Head Start, WIC, National School Lunch Program, Tribal TANF or Medicaid.
  • It’s hard to see how anybody in the telecom industry would be opposed to this bill. It would net ISPs more subscribers to their expensive broadband plans while receiving plenty of free government money. There’s an argument to be had that we can’t be spending more money on social welfare programs, but the counterargument is that universal Internet access is worth it.

  • FCC Report Shows ISPs Are Mostly Delivering What You Pay For

    FCC Report Shows ISPs Are Mostly Delivering What You Pay For

    Once a year, with no specific schedule in mind, the FCC offers up a report on broadband quality in America. It’s part of the Commission’s National Broadband Plan that seeks to study broadband growth in the U.S. and ways to expand cheap, fast Internet across the country. This month’s report shows that ISPs haven’t really improved much since the last report in July.

    Let’s get the most important part of this report out of the way. Are ISPs not delivering advertised speeds? Some aren’t, but the majority of them are, at least during peak periods. The study found that in September of last year, ISPs delivered 97 percent of advertised speeds with some even going above and beyond the call of duty by offering over 100 percent of their advertised speeds.

    Of course, there are some ISPs that are still not delivered anywhere near their advertised speeds. Some of these ISPs include AT&T, Qwest, Windstream and Lexington’s own Insight. All of which are offering anywhere between 80 and 90 percent of the advertised speeds.

    Which ISPs are going above and beyond what they promise? Cablevision, Verizon Fiber and ViaSat are all offering more than 100 percent of their advertised speeds. Amazingly, ViaSat is offering almost 140 percent more than what they currently advertise in download streams.

    ISPs Delivering What You pay For

    Moving on, the FCC report reveals that consumers are continuing to migrate to faster Internet speeds. This is only a good thing as it’s once again proving wrong the concept that most Internet consumers don’t want faster speeds. In even further good news, 46 percent of consumers on 0 to 1 Mbps speed Internet moved up to a faster speed tier between April and September of last year. Unfortunately, the study doesn’t say to which tier these folks moved to, but it was enough to raise the average speed of the Internet in the U.S. to 15.6 Mbps. The FCC notes that this is an annualized increase of 20 percent.

    U.S. ISPs Delivering what you pay for

    Finally, the report found that satellite Internet is making huge leaps and bounds in terms of advertised speeds versus actual speeds. You already saw before that ViaSat was offering 140 percent of its advertised speeds, and that carries over to the actual charts which shows that satellite Internet providers on average offer 137 percent of their advertised speeds. Coming in second place is Fiber, which offers 115 percent of its advertised speeds. Cable is second with 98.5 percent, and DSL is last with 85.3 percent.

    The FCC points out, however, that satellite Internet, which is largely offered as an alternative to rural homes that can’t access to terrestrial lines, still has issues with latency. That is the time it takes to connect and transfer information is still very slow compared to land lines. That being said, satellite Internet companies are improving their technology every year which has led to this year’s massive jump over its traditionally advertised speeds.

    US ISPs still delivering what you pay for

    So, what can we take away from this report? It’s good that ISPs are still mostly delivering what they advertise, and that people are still upgrading to higher speeds. What the FCC report doesn’t take into account, however, is the prohibitive prices and refusal to expand that keep most consumers away from high speed Internet. Those issues need to be addressed before we start seeing truly remarkable results from these reports.

    It seems that the FCC will be focusing on this more in the future. In a statement to The Hill, FCC Chairman Julius Genachowski said that “we most continue to see increases in broadband speed and capacity” to “unleash innovation and realize broadband’s full potential.” Let’s hope the Commission will actually do something about that this year.

  • For $850K, This Company Will Bring Broadband Wi-Fi To Rural America

    The Internet is universally important to all Americans, and that’s especially true to rural Americans who are denied access to broadband Internet. The ISPs say it will cost too much to extend service to backroad homes and hard to reach areas in mountainous regions, but one company thinks all of that is a bunch of bollocks.

    GlobalWirelessPOD is a startup company that uses “proprietary wireless infrastructure to provide wireless broadband and collateral business services to small rural communities.” Their hope is to provide broadband Internet to the roughly 19 million Americans living in rural areas that can’t obtain access any other way. It’s a noble endeavor, but it will cost a bit of money to get going.

    The company has launched an Indiegogo campaign that asks for $850,000 to fund the next step of their plan. Here’s how the company is planning to bring Wi-Fi to rural Americans across the country:

    Over the past two years, the company has invested heavily in R&D to optimize software protocol thereby enhancing the ability of 802.11 platforms. The core strategic alliance is to merge with existing national and international rural stations and utilize its terrestrial infrastructure to deliver the bundled services and content. The infrastructure has been successfully tested and is used in limited areas benefiting rural schools and emergency services. The company started with two positive cash flow remote radio stations and internet radio in Iowa. GlobalWirelessPOD has identified multiple rural radio stations in the U.S. Midwest that are ready to align to the multipoint network.

    The company is in need of $ 800,000 to start the build-out, merges & acquisition of target rural stations and ramp up customer premise equipment (CPE) inventory . This includes globally scalable joint-ventures in Brazil, Philippines, Vietnam-ASEAN arena awaiting entry memorandum of agreements. If goal amount is not reached, a second round will commence combined with current positive cash flow. Proprietary and specific long range strategy are disclosed with a completed non-disclosure agreement to interested Pioneer Partners.

    For those who contribute, there’s a wide variety of rewards available in multiple tiers. The lowest tier starts at $11 and those who contribute this amount will receive a thank you note. Bumping your support up to $33 nets you a GlobalWirelessPOD ball cap. Upping your pledge will net you everything from a military grade unit jacket to a board meeting lunch with the folks at OpenWirelessPOD.

    There hasn’t been much money raised yet, but the campaign has just started. OpenWirelessPOD has 116 days left to raise $850,000, but its flexible funding campaign ensures that it will at least receive whatever money is pledged to the cause between now and the campaign’s conclusion.

    It’s going to take companies like GlobalWireless to get Internet into the hands of consumers as the FCC has done a rather terrible job so far in furthering its National Broadband Plan. The unwillingness of ISPs to actually foot the bill of extending service to those who need it most isn’t helping either.

    Those in Appalachia and other rural regions are constantly targeted as regions that need help, but rarely does that help ever come. It’s nice to see somebody working on campaigns to improve the lives of people living in these communities.

  • AT&T to Spend $14 Billion Expanding Broadband Networks

    AT&T to Spend $14 Billion Expanding Broadband Networks

    AT&T today announced that it will invest $14 billion over the next three years to “expand and enhance” its wireless and wireline broadband networks. The company is calling its investment plan “Project Velocity IP” (VIP), and claims that the expansion will increase revenues on what it sees as high-potential growth platforms.

    “This is a major commitment to invest in 21st Century communications infrastructure for the United States and bring high-speed Internet connectivity – 4G LTE mobile and wireline IP broadband – to millions more Americans,” said Randall Stephenson, AT&T chairman and CEO. “We have the opportunity to improve AT&T’s revenue growth and cost structure for years to come, and create substantial value for shareowners.

    “Revenues in our key growth areas – wireless data, U-verse, and strategic business services – are all growing at a strong double-digit rate. Project VIP expands our potential in these key platforms and makes them available to many more customers. With our strong balance sheet, these capital investments are manageable. We are very confident in our ability to execute this plan. These are things we’ve done before – logical extensions of proven technologies and already successful businesses.”

    Of the $14 billion, AT&T will use $8 billion for wireless initiatives, and $6 billion for wireline initiatives. The company expects its 4G LTE network to cover 300 million people by year-end 2014 and its wired IP broadband network to expand to 75% of its customers by year-end 2015. In addition, it expects fiber deployment to reach 1 million new business customers by year-end 2015, covering 50% of multi-tenant office buildings in its wireline service areas.

  • Dish Network Launches Satellite Broadband In October

    Dish Network made waves at CES when they announced that they would be entering the broadband business. The company’s market penetration, especially in rural areas that don’t have access to broadband, puts them in a great position to become of the nation’s largest ISPs.

    Dish Network announced that they’re finally bringing satellite broadband to their customers on October 1. It’s called dishNET and the company is rolling the new Internet service into their preexisting TV service. They’ll even knock off $10 a month for those who subscribe to both.

    “Today, we are launching a revolutionary consumer broadband service that delivers high-speed Internet available in metropolitan areas to rural markets nationwide,” Dish Network CEO Joseph Clayton said. “With nearly one-in-four rural residents lacking a high-speed connection, reaching these underserved markets is vital. Our mission is to provide broadband at an outstanding value with fast speeds and large data plans.”

    So how fast are these speeds and how large are these data plans? The basic package features 5Mbps download/1 Mbps upload with a data plan of 10 GB a month. This will set customers back $39.99 a month. The other plan features 10 Mbps download/1 Mbps upload with a data plan of 20 GB a month. The better plan will set customers back an extra $10 at $49.99 a month.

    Those living in urban centers will probably scoff at the low speeds and ridiculously low data caps. Those living in rural areas that have had to live with DSL for the past 10 years will see any increase in speed and availability as a godsend. The real miracle here is that Dish has been able to decrease the price of traditionally expensive satellite broadband.

    Unfortunately, satellite Internet is at the mercy of weather conditions and other forms of wireless interference. For customers who prefer landlines and can get one to their house, Dish Network is offering a wired broadband solution. Customers can get 7 Mbps down for $29.95 a month, 12 Mbps down for $34.95 a month, or 20 Mbps down for $39.95 a month.

    Dish Network’s satellite broadband is available wherever Dish Network operates. A lot of rural communities have access to Dish Network, and now they’ll be able to get proper Internet. It’s unfortunate that the data caps are so low, but many people in these areas are probably happy to take what they can get.

  • Comcast Begins Capping Data in the U.S.

    Comcast has begun testing data caps on its internet service in the U.S. Ars Technica points out that Comcast implemented a 300GB per month data cap in Nashville, Tennessee on August 1st, and will begin capping customers in Tucson, Arizona on October 1st. Tucson customers will have the option to sign up for either 300GB or 600GB of data per month.

    Back in May, Comcast announced that it was ditching its 250GB data caps. The company announced that it would be exploring “improved data usage management approaches.” In fact, a 300GB per month flat cap (like Nashville) or a 300GB cap with options for higher-capped plans (Tucson) were both mentioned as options by Comcast at the time.

    Under the Nashville plan, customers who exceed their 300GB monthly data allotment will be charged $10 for every subsequent 50GB of data they cross into. In order to ease customers into their new reality, Comcast will waive the first 3 incidences of overage that customers have during a 12-month period.

    While any kind of data cap seems archaic for customers who have enjoyed the freedom of unlimited data in the past, 300GB at least is not prohibitive for the average customer. Still, for those who live their lives online – streaming their entertainment through Netflix and Hulu, playing online games with their friends, talking to their family through Skype, procrastinating on Reddit – that 300GB might not get them through one month. Some Canadians have it worse, though, with internet service providers that cap data at as little as 15GB. Just this week, Netflix Chief Content Officer Ted Sarandos called Canadian internet access “almost a human rights violation.”

    Comcast is implementing these caps at the same time Google Fiber is going live in Kansas City. Google will even offer free broadband internet access to customers who pay a one-time build fee of $300.