Thursday, February 10, 2022
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AT&T told to change advertisements after Charter challenges fiber claims
FCC Nominee Gigi Sohn at Second Confirmation Hearing: Opponents Aim to Hamstring Agency
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Agenda
As we move past the first anniversary of the Biden administration taking office, it’s a good moment to start defining the Biden Tech Doctrine based on what we’ve seen so far. There’s a dynamic in some sibling relationships—a big brother who squabbles with his younger siblings at home but is the first to defend them when someone picks on them at school. It’s a dynamic that describes President Biden’s relationship to tech perfectly. Domestically, the White House targeted tech industry competition in a 2021 executive order. But abroad, the administration has stood up firmly to other governments, particularly to Europe, that have singled out America’s tech sector for discriminatory treatment. Just like an older sibling, the Biden administration is holding tech firms accountable, while wanting the American “family” to be treated fairly in the world and in the courts. President Biden has also appointed regulators with aggressive bark, but uncertain bite. Finally, Biden’s administration has bet big on investments for the future, including $65 billion for broadband investments in its infrastructure package; backing a U.S. competitiveness strategy to compete against China; and developing an “Alliance for the Future of the Internet” to promote a global open web.
[Adam Kovacevich is the founder of Chamber of Progress, a new center-left tech industry policy coalition promoting technology’s progressive future; corporate partners for Chamber of Progress include Amazon, Apple, Google and Facebook.]
Washington County (PA) has begun a three-year, $30 million project to expand internet access in the rural county, which is located about 35 miles south of Pittsburgh (PA). The first baby steps in the project will bring service to about 50 homes in Avella, home to fewer than 1,000 people, and also to the nearby Meadowcroft Rockshelter and Historic Village (PA). The Washington County Commissioners are using American Rescue Plan Act funds to expand broadband access with fiber-optic cable in collaboration with private internet service providers, including Hickory Telephone, an outfit with its own modest beginnings. Hickory will be installing fiber-optic cable in Avella in the first step to getting the whole county wired. Hickory has about 2,000 broadband subscribers in the northwest part of the county, CEO Brian Jeffers said. Money that Washington County Commissioners earmarked for broadband expansion is separate from the $1.2 trillion Infrastructure Investment and Jobs Act, which contains $65 billion for erecting towers and installing the fiber-optic cable needed to upgrade internet service. Pennsylvania and other states will receive broadband funding payments of $100 million — and potentially much more, depending on need — over several years under the new law.
The Santa Cruz County (CA) Board of Supervisors voted in favor of two initiatives to better meet the needs of its public. First, supervisors allocated $500,000 in grant funding to Cruzio Internet with the agreement the company would expand broadband access to underserved populations across the county — an effort that will expand Cruzio's existing Equal Access Santa Cruz County project. Equal Access is a collaboration between Cruzio and the Community Foundation of Santa Cruz County that has provided fast Internet to families who need it for a maximum of $15 a month. Then, the board voted to combine the Public Works and Planning Departments with the intent to offer better, more streamlined services to residents. Together, the two divisions will form the Community Development and Infrastructure Department. The digital divide in the area has been reduced by actions such as Equal Access Santa Cruz County at the local level and Gov Gavin Newsom (D-CA)'s assignment of $6 million toward improving public broadband access in 2021 at the state level. These are record-breaking financial commitments. Though progress has been made, newly minted Information Services Department Director Tony Batalla said that there are still numerous small areas in unincorporated Santa Cruz County without sufficient Internet access. With $500,000 from the county's American Rescue Plan Act funding and a 150 percent match from Cruzio, 4,000 new households will gain high-speed access for no cost or a low cost.
The Federal Communications Commission's Wireline Competition Bureau announced the applications filed for the Secure and Trusted Communications Networks Reimbursement Program. The Reimbursement Program received 181 applications and, upon initial review by the Reimbursement Program Fund Administrator, the gross cost estimate demand for Reimbursement Program support contained in the applications initially found eligible and acceptable for filing is nearly $5.6 billion. The filing window closed on January 28, 2022, and the FCC commenced the official 90-day application review period for the Reimbursement Program on January 31, 2022. Given the number and complexity of the applications filed as further discussed herein, the Bureau will extend the application review period by an additional 45 days. Accordingly, the Bureau’s deadline for acting on the submitted applications is Wednesday, June 15, 2022.
AT&T largely lost an advertising dispute with Charter Communications, with a review panel recommending the operator change or discontinue claims its fiber service is better than cable. The case dates back to 2021, when Charter filed a complaint with the National Advertising Division (NAD) challenging assertions made in AT&T ads that it offers “up to 20x faster upload speeds” than cable and is “half the price.” Charter also disputed AT&T’s claims that fiber offers “better internet” than cable. In November 2021, NAD mostly sided with Charter and recommended AT&T change its ads, prompting AT&T to appeal the decision to the National Advertising Review Board (NARB). Both NAD and NARB are part of BBB National Programs, an organization which oversees self-regulation programs for the advertising industry. AT&T was dealt a blow on February 9 when NARB issued a ruling which largely upheld NAD’s findings. Specifically, NARB concluded the “20x faster upload” claim was misleading and told AT&T it should either discontinue ads using the phrasing or else clearly indicate which tier of service provides the claimed upload benefit. Specifically, NARB concluded the “20x faster upload” claim was misleading and told AT&T it should either discontinue ads using the phrasing or else clearly indicate which tier of service provides the claimed upload benefit.
Policymakers
FCC Nominee Gigi Sohn at Second Confirmation Hearing: Opponents Aim to Hamstring Agency
Opposition to President Joe Biden’s pick for the Federal Communications Commission is rooted in a desire to deny Democrats a majority of agency seats, said nominee Gigi Sohn [Senior Fellow and Public Advocate at the Benton Institute for Broadband & Society] in prepared testimony for a Senate committee hearing February 9. The Senate Commerce, Science and Transportation Committee held a second confirmation hearing for Sohn, who was initially nominated in late 2021, at the request of Sen Roger Wicker (R-MS). Wicker and other Senate Republicans have voiced concerns about Sohn’s record, including her service on the board of now-defunct streaming service Locast. Sohn said in prepared remarks for the hearing that she has “been subject to unrelenting, unfair, and outright false criticism and scrutiny.” Sohn said, “At the same time, I realize that this isn’t all about me. It’s about some wanting to stop the FCC from doing its important work ensuring that everyone in America has robust broadband regardless of who they are, what their income is or where they live, as mandated by the Bipartisan Infrastructure Law.” The National Association of Broadcasters also expressed concern with Sohn’s time at Locast, but have said their concerns were satisfied after Sohn agreed to a narrow, temporary recusal from the two relevant issues at play: retransmission and broadcast copyrights.
Benton (www.benton.org) provides the only free, reliable, and non-partisan daily digest that curates and distributes news related to universal broadband, while connecting communications, democracy, and public interest issues. Posted Monday through Friday, this service provides updates on important industry developments, policy issues, and other related news events. While the summaries are factually accurate, their sometimes informal tone may not always represent the tone of the original articles. Headlines are compiled by Kevin Taglang (headlines AT benton DOT org) and Grace Tepper (grace AT benton DOT org) — we welcome your comments.
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