On March 4, 2024, Federal Communications Commission (FCC) Chairwoman Jessica Rosenworcel wrote to congressional leaders to update them on the status of the Affordable Connectivity Program (ACP). In her letter, the Chairwoman highlighted the impact of the February 8 freeze on ACP enrollments. "This enrollment freeze was necessary to begin the process of winding down the program, but already its effects are being felt by households that wish to enroll and are unable to do so. Many of these households have contacted the Commission to express their disappointment and frustration that they can no longer sign up for the program. Others have contacted the agency to express concern about the impending end of the program, noting its impact on older adults, families with school children, and military families at risk of losing their internet service without the ACP benefit." Chairwoman Rosenworcel also urged immediate action to fully fund the ACP, saying "I believe we have come too far with the ACP to turn back and lose the gains we have made connecting so many households across the country. Accordingly, the Commission continues to stand ready to assist Congress with any efforts to fully fund the ACP into the future."

We’ve heard the National Telecommunications and Information Administration (NTIA) say 2024 is “the year of execution” for the $42.5 billion Broadband Equity, Access and Deployment (BEAD) program. NTIA Administrator Alan Davidson revealed how the agency is juggling BEAD along with its initiatives focused on digital equity and artificial intelligence (AI) risks. When Davidson first took the helm at NTIA, plenty of states didn’t even have broadband offices. Fast-forward two years, states have “built out much more robust capacities…they’ve all gotten their initial plans in the door.” Expanding general connectivity is only one piece of the puzzle for NTIA. The agency is also focused on the role that digital equity plays in BEAD. As of March, every state and territory "will have submitted" a digital equity plan, which outlines how they aim to address gaps in digital access, skills and affordability, according to Davidson. Maine was the first state to get its digital equity plan greenlit by NTIA. AI is another important topic for NTIA — and not just because you can’t go far in the telecom space without hearing about AI these days. The White House tasked NTIA along with several other agencies in October 2023 to "evaluate and mitigate the risks of AI ensure safety, security and trust." The NTIA plans to publish a report on AI accountability sometime this spring, tackling the question of, “how do you tell if an AI system is doing what it says it’s going to do?”

Comcast increased the speeds of four of its service tiers at no charge and made two announcements aimed at households enrolled in the Affordable Connectivity Program (ACP), which is slated to begin winding down in April 2024. Comcast has doubled its Connect tier from 75 Mbps to 150 Mbps. Connect More has moved from 200 Mbps to 300 Mbps; and the Fast tier moves from 400 Mbps to 500 Mbps. Xfinity Prepaid has been increased by a factor of four, from 50 Mbps to 200 Mbps. The speed increases are available to both new and existing customers. ACP. Service providers face some choices in how to wind down their participation. For its part, Comcast may be sending a message of support in combining the announcement of the speed increases with insight into how it will try to help ACP participants deal with the close of the program. The service provider advised that new and existing Xfinity customers who use the ACP should contact the company to learn what offers may be available in their areas. The company said its goal is to help them find connectivity that fits their needs and budgets without the benefit the program provides. The company noted that Xfinity customers enrolled in ACP are automatically eligible to enroll in Internet Essentials, which provides speeds up to 50 Mbps, for $9.95 per month.

Each of the big telephone company operators in the US—Verizon, T-Mobile and AT&T—plans to expand the reach of its broadband home Internet service in the coming years. Further, each company plans to do so via a combination of fiber and fixed wireless access (FWA) connections. Those efforts could be supercharged if the operators tap into subsidies from the US government. US states are currently in the process of allocating $42.5 billion in Broadband Equity Access and Deployment (BEAD) money, with initial network-construction projects expected to start next year. T-Mobile officials suggested that, after trials of the technology, the operator is getting closer to implementing a broader fiber play. That effort would represent a significant development for T-Mobile because—unlike AT&T and Verizon—T-Mobile does not own a wired network. AT&T COO Jeff McElfresh said that the company remains on track to expand its fiber network to 30 million locations by 2025. The company is in the process of replacing large portions of its aging DSL copper network with a combination of fixed wireless and fiber. Verizon's networking chief Joe Russo said that the company remains on track to hit its goal of between 4 million and 5 million FWA customers by 2025. But he also suggested the company could grow beyond that figure.

I recently checked on the status of Dish, which is trying to become the fourth major cellular company in the country. Dish entered the cellular business in 2020 as a consequence of the merger of Sprint and T-Mobile. Dish was already under pressure at the time from the FCC to use its spectrum portfolio, and the FCC gave Dish until June 2023 to cover 70% of the U.S. population with cellular facilities. Dish got a jump on the business side of things by buying Boost Mobile for $1.1 billion. Dish has struggled, and only has about 7.5 million customers left from its acquisition of 9 million Boost Mobile customers in 2020. A lot of analysts are pessimistic about Dish’s future, and some of them expect the company to eventually go bankrupt. However, Dish has the resources to make it until the end of 2026. Its chances were increased by a recent merger with Echostar, where Dish now has a minority position. Echostar had $2 billion in cash reserves that will buy time for Dish. I think it's still a little early to bet against Dish.

Construction is scheduled to begin in the spring to bring internet service to four high priority areas of Westmoreland County (PA). Westmoreland County commissioners have partnered with Verizon to bring broadband service to 400 locations in parts of Derry, Fairfield and Ligonier townships that currently have no service. The total cost of the project is $3.5 million, with the county picking up $1.7 million, or 48 percent of the total cost, and Verizon contributing $1.8 million or 52 percent of the cost. Construction of the necessary infrastructure is expected to take a year, with county funding coming from Westmoreland’s share of the $1.9 trillion American Rescue Plan Act, economic stimulus legislation that was enacted in 2021. The sites without internet access were identified in a 2023 feasibility report. The next step in the Westmoreland Broadband Program is a competitive bidding process to identify internet service providers interested in partnering with the county to expand service to other places lacking adequate service. Contract awards are expected to be announced in early spring. Residents can find out whether their home has adequate broadband service by referring to the county’s new service area map.