USTelecom and ITTA voiced concerns about an FCC Connect America Fund auction draft order on the tentative agenda for commissioners' Jan. 30 meeting (see 1801090050). USTelecom focused on a reconsideration issue raised by some about a potential gap between location commitments identified by a broadband cost model "and the number of locations that may actually exist on the ground in the CAF Auction eligible CBGs [census block groups]," said a filing posted Monday in docket 10-90 on a meeting telco officials had with an aide to Commissioner Brendan Carr. "Our due diligence effort revealed approximately 18% fewer locations in these CBGs. Because paragraph 25 of the Draft Recon Order would require auction winners to build out to the number of locations identified in the model regardless of the actual number of locations, a location deficit of this size could significantly reduce participation." There's "concern with Section III.D.1. of the Draft Order, regarding how to address the 'locations gap' in the [CAF Phase II] auction context," said ITTA on meetings it, NTCA, WTA and Vantage Point had with aides to Commissioners Mignon Clyburn and Jessica Rosenworcel. "Vantage Point found an overestimation of model-identified locations in 85 percent of 144 exchanges, with an average discrepancy of approximately 22 percent between model-identified locations and 'real-world' locations." Adtran said the draft "inaccurately describes" relief it requested, asking the FCC to correct the record. Hughes Network Systems reported on a meeting last week it said should have been submitted earlier due to an "inadvertent error." Kansas and Oklahoma rural telcos asked for actions to address a USF "shortfall" affecting cost-based rate-of-return telcos.
USTelecom welcomed the National Institute of Standards and Technology's second draft of its Cybersecurity Framework (see 1712060043), calling it a "substantial improvement" over the first draft. "While Draft 2 of Version 1.1 addresses for the first time other important cybersecurity challenges such as supply chain risk management and coordinated vulnerability disclosure, this submission places its primary focus on cybersecurity measurement," said USTelecom comments Friday. "Applying this maturing discipline to an organization’s self-assessment of cybersecurity risk and risk management is at the heart of individual organizations’ efforts to develop effective, customized methods to conduct cybersecurity risk management." The Internet Security Alliance said the new draft is a "significant step" toward becoming "cost-effective, prioritized and supported by appropriate incentives."
The FCC would conclude mobile broadband isn't a full substitute for fixed broadband, and maintain a fixed service benchmark of 25/3 Mbps, Chairman Ajit Pai said Thursday on a draft report he circulated with commissioners under Section 706 of the Telecom Act. Taking a "holistic approach," the draft would say the FCC is "meeting its statutory mandate" to promote broadband on a reasonable and timely basis, though more actions are needed, he said. A notice of inquiry asked whether 10/1 Mbps mobile broadband might be a fixed substitute for purposes of advanced telecom capability (ATC) deployment, a suggestion Democratic commissioners and others opposed (see 1709200042 and 1710100053).
A draft FCC order would give $500 million in new funding to cooperatives and other small rural carriers, and set "strong new rules to prevent abuse of the high-cost program," the agency said Tuesday. The item circulated by Chairman Ajit Pai to colleagues proposes changes intended to improve the high-cost USF program's "effectiveness and efficiency in promoting rural broadband deployment, including the use of a Tribal Broadband Factor to enable better access on Tribal lands," said a release. It contains a report and order, an order on reconsideration and an NPRM, an FCC official told us. An agency spokesman confirmed the tribal broadband factor proposal is in the NPRM.
Telcos pressed the FCC to act on a request for RLEC business data service deregulation. Industry officials stressed that new rules must become "effective by the end of 2018, so as to avoid model-based rate-of-return carriers having to perform highly resource-intensive cost studies for 2019," said an ITTA filing posted Wednesday in docket 17-144 on a discussion with an aide to Chairman Ajit Pai, which was joined by representatives of USTelecom, Consolidated Communications and TDS Telecom. An ITTA/USTelecom petition seeks a rulemaking to permit rate-of-return carriers receiving model-based USF support to opt into relaxed business data service regulations provided to larger, price-cap carriers (see 1708220025). The "regulatory relief sought by the Petition will help to promote the transition to IP-based networks by providing carriers incentives to invest in IP-based, Ethernet services," said the ITTA filing. "Therefore, we reiterated that it is critical that the Commission in the near term release a Notice of Proposed Rulemaking seeking comment on the petition’s proposals." The proposal faces resistance from Sprint and others (see 1707060051 and 1707070030).
House Communications Subcommittee Republicans delivered their opening legislative response Thursday to President Donald Trump's executive actions aimed at improving broadband deployments in rural areas. Trump signed an executive order and presidential memo Monday on rural broadband issues (see 1801080063), which some communications sector officials and lobbyists have since said they view as limited in scope. Several lobbyists told us before the Thursday announcement that legislation from telecom-focused lawmakers would be needed to bolster Trump's actions.
FCC Chairman Ajit Pai said he plans to circulate soon a rural high-cost USF item, which he said would explore an appropriate budget and other ways to increase program certainty. The aim is to spur broadband deployment without inviting inefficient investment or operations, he said. Pai has been making increasing noises about updating rate-of-return USF funding rules (see 1711030065 and 1712210041), but his comments in a recent letter were his most explicit yet on expected action. He responded Dec. 19 to an Oct. 30 letter from Rep. John Ratcliffe, R-Texas, who asked the FCC to address a funding "shortfall" impeding the broadband efforts of smaller rural carriers. Both letters were posted Wednesday in docket 17-18.
Democratic state lawmakers are promising another run at ISP privacy rules this year as legislative sessions open. Legislators recently introduced fresh bills countering congressional repeal of the FCC broadband privacy rules in states including Florida, Kentucky, Vermont and Wisconsin (see 1801080044), and many of last year’s state bills that didn’t get final votes will carry over into 2018 sessions, said state legislative association officials. State lawmakers backing the bills told us they’re not daunted by 2017 failures or possible federal pre-emption. But the more recent controversial take-back of 2015 FCC net neutrality rules is spurring many state bills and could take attention from privacy (see 1712210034), some observers said.
Turner promotes Michael Engleman to chief marketing officer and Marie Moore to senior vice president-communications, TBS and TNT ... Viacom promotes Fukiko Ogisu to executive vice president-chief people officer ... Martin Keely, ex-Blizzard's Major League Gaming, named executive vice president-product and technology for Disney|ABC Television Group ... NewVoiceMedia promotes Dennis Fois to CEO ... Amy Schatz, ex-USTelecom, joins Glen Echo Group as director dealing with cybersecurity and tech issues ... Salem Media Group promotes Kevin Anderson to general manager-Nashville operation; it also names Jamie Cohen, ex-USA Today Network, vice president-local digital ... Windstream hires Eric Solomon, ex-Masergy, as vice president-channel sales, western region ... Progressive Policy Institute adds ex-consultant Rob Keast as vice president-external affairs ... Sinclair Broadcast promotes Kent Crawford to group manager responsible for the Seattle, Salt Lake City and, in Oregon, Medford and Portland markets. He will continue as general manager-Salt Lake City stations.
The Supreme Court should strike down the FCC's 2015 net neutrality order, said internet entrepreneur Daniel Berninger, who continues to pursue an appeal despite the current commission's rollback of the telecom regulation in that order. Without high court intervention, FCC authority over the internet won't be constrained by Congress or the Constitution, with its chairman effectively "a king," Berninger said at a Hudson Institute event Monday. Most legal experts we have heard from said they doubt justices will grant Berninger's cert petition seeking review of lower court rulings upholding the order (in Berninger v. FCC, 17-498, here), given the recent FCC net neutrality reversal (see 1712140039 and 1801050031). Some say he has a chance.