Universal Broadband

In October 1944, my grandfather William B. Benton delivered a clarion call in the pages of Fortune magazine. On behalf of the Committee for Economic Development (CED), a national coalition of business leaders, he offered a forward-looking agenda to deliver a more peaceful and prosperous future for all Americans—not just a few. At the time, that future was difficult to imagine. Fifteen years prior, the Great Depression had roiled the American economy, driving unemployment rates to almost 25% in 1933.

Policymakers should help enable community anchor institutions to connect to their users wherever they are. Policymakers should recognize that the mission of community anchor institutions is to improve lives. Broadband is a key element in fulfilling that mission. Baltimore’s public school system has created a classroom in a community center to offer training in internet access. Librarians note that the provision of skills training is a natural fit with the historic missions of their institutions—offering a trusted space in which people of all ages can learn in the ways that best suit them.

Community anchor institutions should be at the center of any comprehensive national strategy to promote the availability and use of High-Performance Broadband. Community anchor institutions use broadband to provide essential services to their community, such as education, information access, and telehealth services. But in the 21st century, community anchors’ missions are moving beyond their walls. Libraries no longer deliver knowledge that is housed only within their buildings or the covers of hardbound books.

On February 7, the Federal Communications Commission released the report and order that creates the framework for the Rural Digital Opportunity Fund, the latest effort to extend the reach of broadband networks deeper into rural America. The FCC's own research estimates that $80 billion is needed to bring broadband everywhere in the U.S., so the $20.4 billion Rural Digital Opportunity Fund is a significant -- although likely insufficient -- step in closing the digital divide over the next decade. Here we review the framework and note some controversy around the FCC decision.

It's budget season. Federal departments and agencies are making their funding requests to Congress for fiscal year 2021 (starting October 1, 2020 and ending September 30, 2021). And part of the ask is reporting how well an agency did achieving its FY 2019 goals. One of the primary goals of the Federal Communications Commission is to close the digital divide in rural America.

The House Commerce Committee's Subcommittee on Communications and Technology held a hearing entitled Empowering and Connecting Communities Through Digital Equity and Internet Adoption.

Current research suggests that low-income people can only afford to pay about $10  monthly for broadband. Anything more competes with other utility bills and the cost of food. Meeting the goal of universal connectivity and providing fixed broadband at about $10 per month requires a multi-pronged strategy - what my Benton colleague Jonathan Sallet calls an “Affordability Agenda.” It includes:

This week the Federal Communications Commission is expected to create the Rural Digital Opportunity Fund. As proposed, the Rural Digital Opportunity Fund will make available $20.4 billion to subsidize deployment of high-speed internet networks to rural areas that don’t have adequate service now.

In Washington, DC, today, policymakers, public interest advocates and nonprofits, researchers, and the business community are gathering for the 2020 State of the Net Conference. Hosted by the Internet Education Foundation, State of the Net explores important, emerging trends and their impact on internet policy.

Cost is the primary reason that people do not subscribe to broadband. Current research suggests that low-income people can only afford to pay about $10 per month for broadband. One set of participants told researchers that affording $20 per month would be difficult; even at $10-15/month, low-income households are making tough decisions about paying for internet access vs utility bills (such as phone and electricity) and even the cost of food. To meet the challenge of providing fixed broadband at roughly $10 per month requires implementation of a variety of strategies.