NCTA, ACA Agree: FCC Needs Broadband Challenge System

Both the National Cable and Telecommunications Association and the American Cable Association are in agreement that the Federal Communications Commission needs to set up a process to verify that government broadband subsidies are going to unserved areas rather than to over-builders of existing broadband service.

The FCC, in implementing its Connect America Fund Phase II of its move of Universal Service Funds from phone to broadband subsidies, proposed to use the National Broadband Map to identify eligible census blocks. The FCC also proposed that eligibility be based on a definition of available broadband service tied to a definition of 4 Mbps downstream and 1 Mbps upstream. But it also recognized that might be tough since the map info was collected on a definition of 3 Mbps/768 Kbps. In comments on the Phase II rollout, both ACA and NCTA urged the FCC to adopt the lower standard. ACA pointed out that the proposal by the price cap LECs to up the standard to 6/1.5 Mbps would bring some census blocks with 4/1 provided by cable operators under the unserved definition. "Such a misguided policy would undermine the FCC's objective of not providing support where an unsubsidized competitor provides service."