Tuesday, April 20, 2021
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Digital Inclusion

The Federal Communications Commission opened the Emergency Broadband Benefit Program to participating broadband providers for testing. This important milestone will allow these providers to familiarize themselves with the Program systems in anticipation of the impending consumer launch of the Program. As the agency continues to work to rapidly deliver much-needed relief to families across the country, I’m proud of the progress we’ve made in record time. I am thrilled that we have more than 600 providers now committed to the Emergency Broadband Benefit Program. Many have expressed interest in helping make sure consumer enrollments go as smoothly as possible as we near the program’s launch. For millions of families making the hard choice between paying a utility or internet bill or at risk of digital disconnection, help is on the way.

To make the most of technology’s future, the United States again needs a bold infrastructure plan that will create a springboard for new jobs, sustained competitiveness, and broader prosperity. While many details and the need for compromise lie ahead, we believe President Joe Biden’s American Jobs Plan, or AJP, points in the right direction. Broadband has become the electricity of the 21st century, providing the lifeblood for jobs, healthcare, and education. But like electricity in the 1930s, it hasn’t reached tens of millions of people. Public investment can close this gap and encourage long-term broadband adoption. We need both private ingenuity and public investment to ensure that technology’s benefits reach everyone.
[Brad Smith is the president of Microsoft.]

With a proposal to spend $100 billion to ensure that all Americans have affordable and reliable internet service, the Biden Administration has made closing the digital divide a huge priority. Much remains to be done to fill in the specifics of what this means, but two types of policy tools come to mind when thinking about how to address the digital divide. Top of mind is promoting competition. Fostering competition means investing in new infrastructure, thereby giving consumers more choice for very high-speed service. This competitive alternative would lower prices to consumers and put subscription service within reach of more households. Research shows that just 55% of U.S. households have two or more wireline service offering for very high-speed internet service, so encouraging development of another network alternative has obvious appeal. An alternative tool is providing a subsidy. A subsidy tackles affordability more directly by offering cost relief to households who currently lack the means to subscribe to service. Since research shows that affordability of service is the chief reason households do not subscribe to broadband, easing cost pressure through a subsidy is an attractive approach.
[John B. Horrigan is a frequent contributor to Benton's Digital Beat and a Senior Fellow at the Technology Policy Institute, with a focus on technology adoption, digital inclusion, and evaluating the outcomes and impacts of programs designed to promote communications technology adoption and use.]

Elon Musk’s internet satellite venture has spawned an unlikely alliance of competitors, regulators, and experts who say the billionaire is building a near-monopoly that is threatening space safety and the environment. The Starlink project, owned by Musk’s Space Exploration Technologies Corp. or SpaceX, is authorized to send some 12,000 satellites into orbit to beam superfast internet to every corner of the Earth. It has sought permission for another 30,000. Now, rival companies such as Viasat, OneWeb Global Ltd., Hughes Network Systems, and Boeing Co. are challenging Starlink’s space race in front of regulators in the US and Europe. Some complain that Musk’s satellites are blocking their own devices’ signals and have physically endangered their fleets. Musk’s endeavor is still in beta testing but it has already disrupted the industry, and even spurred the European Union to develop a rival space-based internet project to be unveiled by the end of 2021.

California’s 2018 net neutrality law, SB-822, recently went into effect and concerns have been already raised about the legality of “zero-rating,” the practice by which commercial arrangements and unilateral decisions by network operators are exempted from consumer pricing. Under California’s net neutrality law, zero-rating and sponsored data programs violate the new law because certain content cannot be excluded from consumer data caps, or usage-based pricing. Turner Lee offers the following recommendations to state and federal leaders:
- California could amend its net neutrality law to include a case-by-case review of zero-rating and sponsored data programs.
- The zero-rating of government and other government-supported content should be immediately applied to the Federal Communications Commission’s Lifeline program.
- Congress should establish a federal standard on net neutrality once and for all to bring certainty to the marketplace for the private and public sectors.

California’s net neutrality law, which a federal district court upheld in February, is already wading into the regulatory morass that brought down past regulatory regimes charged with maintaining neutrality in rail transport and energy. Specifically, the California law is likely to generate an endless and costly series of regulatory rulemakings on how to define categories of service that can be zero-rated—that is, used without counting against a data cap—and which applications must be included in those categories, without any evidence that it would generate offsetting benefits. I do not dismiss outright the underlying concerns of some net neutrality proponents. In principle, an ISP with few competitors might be able use zero-rating to engage in anticompetitive practices, like foreclosing competing online services. For example, an ISP might try to benefit its own video streaming service over a competitors’. In practice, however, while ISPs have zero-rated their own services, those actions do not appear to have been particularly profitable or harmed competitors.

Around the world, governments are moving simultaneously to limit the power of tech companies with an urgency and breadth that no single industry had experienced before. Their motivation varies. In the United States and Europe, it is concern that tech companies are stifling competition, spreading misinformation, and eroding privacy; in Russia and elsewhere, it is to silence protest movements and tighten political control; in China, it is some of both. While nations and tech firms have jockeyed for primacy for years, the latest actions have pushed the industry to a tipping point that could reshape how the global internet works and change the flows of digital data.
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 Robbie McBeath (rmcbeath AT benton DOT org) — we welcome your comments.
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