Roughly 75% of small and medium-sized businesses have experienced a cyber breach at least once, and 45% were hacked in the past year, reported USTelecom and CyberRx Thursday. SMBs took an average of five months to fully recover and spent $170,000 to resolve each cyber breach. About six in 10 report breaches that stopped daily productivity; 46% reported lost customers. "SolarWinds and the recent attack at a water plant in Florida demonstrate that companies need to immediately take stock of their cyber defenses -- and get ready" (see 2103040066), said Robert Mayer, USTelecom senior vice president-cybersecurity and innovation.

Senate Intelligence Committee Chairman Mark Warner, D-Va., is drafting a mandatory cyber breach reporting bill with Sens. Susan Collins, R-Maine, and John Cornyn, R-Texas, they told us this week. Ranking member Marco Rubio, R-Fla., also expressed interest. He said there’s a future for such legislation, after the Russia-linked SolarWinds hack (see 2102230064).

Reject Peerless Network's lone opposition to USTelecom's petition for reconsideration of the FCC 8YY access charge order, providers replied, posted Tuesday in docket 18-156 (see 2102010071). Peerless urged, "Reset the rates for 8YY originating switched access to the regime and levels that pre-existed." Peerless' opposition "exceeds the scope" of what's allowed in oppositions, with no "substantive basis" for denying the petition, said USTelecom, which Lumen and Consolidated Communications echoed. "The vast majority of the Peerless opposition serves not so much as a rebuttal to the narrow USTelecom petition but as a petition for reconsideration in its own right of the entire order," USTelecom argued. Frontier said Peerless "fails in any way to actually address (much less meaningfully counter) the issues raised in USTelecom’s petition." Peerless didn't comment.

The Senate confirmed Gina Raimondo as commerce secretary Tuesday in a bipartisan 84-15 vote, as expected. Senate Commerce Committee ranking member Roger Wicker of Mississippi and Communications Subcommittee ranking member John Thune of South Dakota were among the Republicans who backed Raimondo, after previously voting to advance her out of committee (see 2102030065). The 15 Republicans who opposed Raimondo on the floor included Sens. Ted Cruz of Texas and Marco Rubio of Florida, both of whom complained she hadn’t unequivocally ruled out the Commerce Department rolling back restrictions on Huawei and other Chinese telecom and tech firms (see 2102010069). Cruz placed a hold on Raimondo, delaying confirmation (see 2102050064). “Nominees will never be more engaged, more transparent or more forthcoming than during their confirmation process,” so Raimondo's refusal “to be any of these speaks volumes to how she would act” if confirmed, Cruz said on the floor. “There has been a rush to embrace the worst elements of the Chinese Communist Party in the Biden administration, and that includes” Raimondo. “We’re just about six weeks into the Biden presidency,” and the administration “has already been keen on lifting the restrictions on Huawei since the very first week,” Cruz said. “Where will we be six months from now? A year from now? Prohibiting the use of platforms like Huawei and safeguarding American technology from being exploited by Chinese espionage infrastructure are commonsense measures to protect American national security.” Stakeholders congratulated Raimondo, including BSA|The Software Alliance, CTIA, MPA, TechNet and USTelecom.

Consider including ISPs "in measures to address the chip shortage, support initiatives that will expand domestic innovation and investment in semiconductor development and manufacturing facilities for all industries and ensure coordination across government and with industry partners on supply chain matters,” four ISP groups urged President Joe Biden Thursday. Biden signed an executive order Wednesday, as expected (see 2102240065), that directs agencies do a 100-day comprehensive review of U.S. supply chains for semiconductors and three other products. It directs the Commerce Department to do a one-year review of the U.S. supply chain for information and communications technology. “Take a whole-of-government approach” in its review of U.S. supply chain issues “and leverage existing public-private partnerships addressing specific supply chain risks,” ACA Connects, CTIA, NCTA and USTelecom wrote Biden. “Work with Congress to fully fund” the Creating Helpful Incentives to Produce Semiconductors for America Act. The measure passed in the FY 2021 National Defense Authorization Act (see 2101030002).

Industry groups clashed with consumer advocates and wireless providers whether E-rate should be used for self-provisioning services to students, in replies posted Wednesday in docket 21-31 on a Schools, Health & Libraries Broadband Coalition's petition to temporarily support remote learning (see 2101260055). That would raise "practical, financial, and legal issues that are too complex," and funding should be used to support existing services, said Verizon. USTelecom, NTCA and NCTA agreed. ACA Connects said its members "readily install wireline service within days of getting an order," and it "exceeds the performance of mobile wireless service." A coalition of advocacy groups, including New America, Public Knowledge, Consumers Reports, Common Sense, Benton Institute for Broadband & Society and Access Humboldt, disagreed: Verizon's argument is "self-serving" and "willfully ignores the Herculean efforts many school districts have already undertaken" to connect students during the pandemic. Schools should be given the flexibility to "use hybrid approaches tailored to local circumstances," like fixed wireless services that "authenticate students directly to the school's network," the groups said. Approve the use of fixed wireless services because they can be deployed "very quickly," the Wireless ISP Association urged. Incompas agreed: Allow "hotspots, mobile wireless towers, or equipment that can reasonably be expected to support remote learning." UScellular and the National School Boards Association echoed that. "Setting aside support for any technology should be rejected in favor of permitting people to choose services that best suit their educational needs," said UScellular. Allow E-rate funds to be used for remote learning beyond the pandemic because "not all students will be able to reenter the classroom when doors reopen on day one," said Zoom.

Congress, not courts, should decide net neutrality, said a federal judge Tuesday, ruling from the bench denying ISPs a preliminary injunction against California’s law (see our bulletin). “I don't find that the plaintiffs have demonstrated a likelihood of success on the merits at this stage of the litigation,” said Judge John Mendez on the motion by ACA Connects, CTIA, NCTA and USTelecom in case 2:18-cv-02684. This paves the way for the law to take effect, cheering fans of using Communications Act Title II to regulate broadband service, while industry plaintiffs agreed with the judge that Congress must step in.

A federal judge Tuesday questioned ISPs’ commitment to voluntarily follow net neutrality principles. ACA Connects, CTIA, NCTA and USTelecom at the teleconferenced hearing urged the U.S. District Court in Sacramento to support their preliminary injunction motion against California in case 2:18-cv-02684. Judge John Mendez repeatedly asked plaintiffs about what harm the 2018 California law (SB-822) would cause if allowed to take effect. The hearing was still going at 6 p.m. EST.

A federal judge denied preliminary injunction for ISP associations against California’s net neutrality law at a teleconferenced Tuesday hearing at the U.S. District Court in Sacramento. The comments came following industry and government arguments. See our news report here.

Ben Ray Lujan, D-N.M., is the new Senate Communications Subcommittee chairman, Commerce Committee leaders said Friday. Brian Schatz of Hawaii, the subcommittee’s lead Democrat in the last Congress, relinquished the seat in favor of other leadership roles, as expected (see 2101290049). Senate Minority Whip John Thune of South Dakota will remain the subcommittee’s lead Republican, also as expected (see 2011020048).