Network management

Verizon outlined its strategy for revenue and profitability growth in 2019 and beyond, built on the expansion of its network leadership in the 5G era. Discussion items included:

Federal Communications Commission Chairman Ajit Pai addressed the NTCA-The Rural Broadband Association membership, and discussed a 5G future that is very much about wires and not just wireless, and promising for rural markets. “I’ve consistently said that the 5G future isn’t necessarily a wireless one, it’s actually a wired one,” Chairman Pai said.

For America to win the race to 5G, we must invigorate the free market by empowering our tower crews. We need to put you, the builders of wireless infrastructure, in a winning position by freeing you from needless government regulation and red tape. I’m proud that the FCC is executing on just this strategy. In 2019, I am taking another look at the federal rules governing wireless infrastructure deployment. We will look to fully and faithfully implement the decisions Congress has made to streamline the deployment of next-generation technologies.

The emergence of fifth generation (5G) mobile networks is elevating the need for stakeholders to assess infrastructure and cost inclusivity in order to address this digital divide. Communities of color, who often find themselves on the wrong side of the divide, are poised to benefit from 5G technologies that enable internet of things (IoT) applications in health care, education, transportation, and energy. However, this outcome is contingent on stakeholder buy-in, advocacy, and programming of intentional diversity initiatives.

Verizon and AT&T have waffled on their timelines and business strategies for fixed 5G vs. mobile 5G. In 2018, Verizon pushed hard to be the “first” operator to launch 5G and it was going to do so by offering a fixed wireless service. The company fulfilled that goal with its prestandardized fixed 5G service, called 5G Home, that it launched in four markets in Oct 2018. However, it appears Verizon will be moving more quickly to a mobile 5G offering, while the expansion of its fixed 5G Home service may be delayed to later in 2019. 

Fixed wireless has garnered a lot of attention lately because both Verizon and AT&T are deploying the technology as a first step in their 5G networks. Not only does fixed wireless provide a first step in the evolution to 5G, but the technology can also be used for urban densification. And carriers can use it to “overbuild” in their competitor’s territory as well. For instance, Verizon has a lot of fiber in New York City, but with fixed 5G and its higher speeds, AT&T could poach some of Verizon’s broadband customers.

A hundred bucks. That’s what the Federal Communications Commission recently decided is adequate compensation to your locality for processing a small cell application. In many cases, it’s not going to be enough. And if your actual costs are indeed higher than $100, you will effectively be forced by the new FCC rules to subsidize the telecommunications industry—unless you can build a strong and reasonable case for why your actual, documented costs are higher and should be recovered by your community.

It is time to move past the political and marketing talking points to consider both the promise of 5G and the challenge to its realization. First of all, to call 5G a “race” is a deceptive metaphor. A “race” connotes a contest along a common course with a start and finish. The reality is that 5G networks will be built piece-by-piece, area-by-area, and application-by-application over a protracted period of years. The national strategy for 5G needs to move beyond slogans and press releases.

Instead of embracing 5G, San Jose (CA) Mayor Sam Liccardo taxed it.  Beginning in 2015, the city sought up to $3,500 per year per small cell.  Compare that to $100 in Phoenix (AZ) and $50 in Indianapolis (IN) — cities about the size of San Jose that have leapfrogged it in terms of small cell deployment. Excessive taxes charged by big cities deplete the capital needed to build broadband in suburban and rural America. That’s why several dozen mayors, county supervisors, and elected leaders called on the Federal Communications Commission to act.

Sacramento (CA) has come to stand as an example of the complexities involved in actually getting 5G services turned on. Sacramento’s journey toward 5G started in 2016 with an agreement between the city and a company called XG Communities.  The agreement called for XG to identify and organize a database of city assets—namely, street light poles, conduit, fiber and utility circuitry—that could be made available to carriers that wanted to pay for the rights to install small cells on city property.