Daily Digest 9/16/2024

Benton Institute for Broadband & Society
Table of Contents

Broadband Funding

Lawmakers push to revive low-income broadband subsidy as providers pivot  |  Read below  |  Rebecca Picciotto, Lillian Rizzo  |  NBC
Rep. Latta: Universal Service Fund Working Group Still not in Agreement After Fifth Circuit Ruling  |  Read below  |  Jake Neenan  |  Broadband Breakfast
Charter CEO Warming up to BEAD  |  Read below  |  Jake Neenan  |  Broadband Breakfast
Digital Equity Competitive Grant Program FAQs  |  National Telecommunications and Information Administration

State/Local Initiatives

California Public Utilities Commission Awards $91 Million in Grants for Broadband Projects Across California  |  Read below  |  Press Release  |  California Public Utilities Commission
Michigan State University and Merit Network Complete Statewide Broadband Infrastructure Project  |  Read below  |  Press Release  |  Merit Network
City-owned network seeks to improve internet service, lower costs for Superior, Wisconsin residents  |  Read below  |  Danielle Kading  |  Wisconsin Public Radio

Wireless

United Airlines Taps Elon Musk’s Starlink for In-Flight Wi-Fi  |  Read below  |  Micah Maidenberg, Alison Sider  |  Wall Street Journal

Labor

ConnectingUS: New IT Skills Help Three Arizona Students Change Careers  |  Read below  |  Analysis  |  National Telecommunications and Information Administration
Verizon to eliminate almost 5,000 employees in nearly $2 billion cost-cutting move  |  Fortune

Platforms/Social Media/AI

Will TikTok Be Banned in January? That Question Is Headed to Court.  |  New York Times
Don’t ask if AI can make art—ask how AI can be art  |  Vox
Spotify is testing a new way to keep kids songs out of your listening history  |  Vox
OpenAI acknowledges new models increase risk of misuse to create bioweapons  |  Financial Times
The case for promoting the geographic and social diffusion of AI development  |  Brookings

Industry

How Big is the Broadband Industry  |  Read below  |  Doug Dawson  |  Analysis  |  CCG Consulting

Stories From Abroad

France’s European commissioner, Thierry Breton, has resigned, citing “questionable governance” at the EU executive  |  Guardian, The

How We live Now

Online Dating Caused a Rise in US Income Inequality, Research Paper Shows  |  Bloomberg
Today's Top Stories

Lawmakers push to revive low-income broadband subsidy as providers pivot

Rebecca Picciotto, Lillian Rizzo  |  NBC

Internet service providers including Charter, Verizon and Comcast are shifting customers away from the Affordable Connectivity Program, an expired federal internet subsidy that helped low-income households pay for broadband. The $14.2 billion program, which went into effect in December 2021, served roughly 23 million households, two-thirds of which had either inconsistent or zero internet access prior to enrolling. But it officially ended in June after Congress decided not to renew its funding. Since the ACP lapsed, some Democratic and Republican lawmakers have been working to bring back the program. But broadband companies have been focused on transitioning their customers to other affordable options to help them make up the expired discount. 

Rep. Latta: Universal Service Fund Working Group Still not in Agreement After Fifth Circuit Ruling

Jake Neenan  |  Broadband Breakfast

Lawmakers working to revamp an $8 billion-per-year broadband subsidy still haven’t come to an agreement, said Rep Bob Latta (R-OH). The Fifth Circuit ruled in July 2024 that the fund in its current state is unconstitutional, which the government intends to appeal. The Capitol Hill group includes members of both parties and chambers of Congress. It's been working Since May 2023 to update the fund’s contribution scheme and to fold in a more permanent version of the Affordable Connectivity Program, the low-income internet discount that ran out of appropriations money in May 2024. 

Charter CEO Warming up to BEAD

Jake Neenan  |  Broadband Breakfast

Charter Communications' top executive appears to be warming up to the Biden administration’s $42.5 billion broadband expansion program. However, he said it will still depend on individual state rules. Charter CEO Christopher Winfrey has previously expressed disappointment with the Broadband Equity, Access, and Deployment (BEAD) program’s rules around capped plans for low-income households and labor standards. He emphasized the company would stay out of states, which have some flexibility in implementing the program, where rules were unfavorable. 

California Public Utilities Commission Awards $91 Million in Grants for Broadband Projects Across California

The California Public Utilities Commission (CPUC) approved $91 million in fifth round grants for last mile broadband projects as part of the $2 billion Last Mile Federal Funding Account Grant Program, which expands broadband internet access for underserved and unserved communities across California. This continues a rolling process of awards and recommendations, highlighting the state’s commitment to bridging the digital divide through Broadband For All. Separately, the CPUC approved grant funding of up to $279,415 from the California Advanced Services Fund Broadband Public Housing Account to bring free internet access to those who do not already have access in public housing in Corte Madera and San Jose.

Michigan State University and Merit Network Complete Statewide Broadband Infrastructure Project

Press Release  |  Merit Network

Merit Network and Michigan State University have completed the MOON-Light initiative, a multi-million-dollar project funded by the National Telecommunications and Information Administration's Broadband Infrastructure Program. This effort established Michigan’s Open Optical Network, addressing critical infrastructure gaps by deploying middle-mile fiber optic technology across 74 counties. By connecting local internet service providers (ISPs), MOON-Light brings affordable, high-speed broadband to underserved areas, benefiting over 28,000 homes. This open-access network model is hailed as a national first, promoting collaboration between nonprofit, cooperative, and commercial ISPs to accelerate broadband access across Michigan, supporting education, healthcare, and economic opportunities statewide.

City-owned network seeks to improve internet service, lower costs for Superior, Wisconsin residents

Danielle Kading  |  Wisconsin Public Radio

The city of Superior (WI) recently broke ground on a city-owned fiber network that aims to lower costs and provide more reliable internet service for residents. Utility crews began installing tubes that house fiber optic cables for the first phase of the ConnectSuperior network in a neighborhood near the University of Wisconsin-Superior. The fiber installation is expected to cost $1.47 million, and the city has budgeted $6.25 million for the first leg of the project with funding from the American Rescue Plan Act. The city will own and operate the open access network, which means multiple internet service providers could use it and compete for customers. The first phase of the buildout is expected to offer service to around 860 households and businesses, according to Stephanie Becken, broadband manager for ConnectSuperior. She said the goal is to build a network that offers high-speed internet to the city’s entire population of roughly 27,000 residents.

United Airlines Taps Elon Musk’s Starlink for In-Flight Wi-Fi

Micah Maidenberg, Alison Sider  |  Wall Street Journal

Elon Musk may soon provide the Wi-Fi on your United flight. United Airlines said that it will outfit its entire fleet with Musk’s Starlink internet service, aiming to keep fliers loyal by offering zippier, more reliable browsing and downloads that the carrier expects will mirror what travelers are used to on the ground. United’s deal is a bet that Starlink’s technology can propel it above rival carriers in offering fast, free Wi-Fi.  The airline said it would begin testing the Starlink service early in 2025, with the first passenger flights likely equipped later in 2025. 

ConnectingUS: New IT Skills Help Three Arizona Students Change Careers

The National Telecommunications and Information Administration (NTIA) awarded Phoenix College more than $4.25 million from the Connecting Minority Communities Pilot Program to improve high-speed Internet service capacity and workforce development training. This funding also enabled Phoenix College to purchase devices and software, create paid internships within the college’s Information Technology Department, and revise programs within their new Bachelor of IT program, among other changes and improvements.  NTIA is highlighting three Phoenix College students who benefitted from the Pilot Program. All three students cited their hands-on learning experience at Phoenix College as a key factor in their career development.

How Big is the Broadband Industry

Doug Dawson  |  Analysis  |  CCG Consulting

I constantly see articles that make claims about the percentage of homes that have broadband, cable TV, or telephone service. Any time I see a statement like that, I ask the question—how many total homes are in the U.S.—a number that is needed to calculate a penetration rate. There doesn’t seem to be any consensus on that question. I’ve tackled this exercise periodically and have never gotten close to having a satisfactory answer. I think many of the folks who cite penetration rates are off base. The bottom line for me is to assume any statistic that claims a national penetration rate for a broadband statistic is not accurate–possibly badly so. This doesn’t imply that the folks making a claim are being deceptive—I think it just means that there is no consensus for the denominator used to calculate a national penetration rate.

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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), Grace Tepper (grace AT benton DOT org), and Zoe Walker (zwalker AT benton DOT org) — we welcome your comments.


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