Daily Digest 4/23/2024 (State of Competition)

Benton Institute for Broadband & Society
Table of Contents

Digital Equity

Initial funding for digital equity plans is available. But how do states plan to use it?  |  Read below  |  Chris Teale  |  Route Fifty
Achieving Internet for All: Socioeconomics and Fixed Broadband in the United States  |  Read below  |  Paul Garnett, Alexander Jeffery, David Johnson  |  Research  |  Vernonburg Group

Affordable Connectivity Program

The Affordable Connectivity Program is Popular Because it Works  |  Read below  |  Amy Huffman  |  Analysis  |  National Digital Inclusion Alliance
With the ACP Winding Down, Advocates Tout Its Value  |  Read below  |  Skip Descant  |  Government Technology
Can States Pick Up the End of ACP?  |  Read below  |  Doug Dawson  |  Analysis  |  CCG Consulting
End of Internet Subsidies for Low-Income Households Threatens Telehealth Access  |  KFF Health News
Editorial | Texans desperately need expiring federal internet subsidy  |  Houston Chronicle

Competition

FCC Seeks Comment on State of Competition in Communications Marketplace  |  Read below  |  Public Notice  |  Federal Communications Commission

State/Local Initiatives

Benton Foundation Video | How to Build a Public Broadband Network  |  Benton Institute for Broadband & Society
Connect Humanity Announces New Impact Fund With Support From Microsoft To Tackle Appalachia’s Digital Divide  |  Read below  |  Press Release  |  Connect Humanity
Local Government Restructuring Lab  |  Read below  |  Duxixi Shen, Elizabeth Redmond, Jane Bowman Brady, Mildred Warner  |  Research  |  Cornell University
Grain Management Invests in Leading Michigan-based Telecom Provider, 123NET  |  Read below  |  Press Release  |  Grain Management

Platforms/Social Media

TikTok gears up for legal fight in US to prevent ban  |  Financial Times
Google fires more workers after CEO says workplace isn’t for politics  |  Washington Post

Elections

As Meta flees politics, campaigns rely on new tricks to reach voters  |  Washington Post
Expanding our Content Integrity tools to support global elections  |  Microsoft
AI deepfakes threaten to upend global elections. No one can stop them.  |  Washington Post

Safety and Privacy

National Center for Missing and Exploited Children is contending with outdated technology and legal constraints  |  Wall Street Journal

Security

Emergency services a likely target for cyberattacks, warns Department of Homeland Security  |  ABC
Frontier Communications Shuts Down Systems Following Cyberattack  |  Security Week

Policymakers

Commerce Secretary Gina Raimondo on US microchip production, blocking of sales to China, Russia  |  CBS

Company/Industry News

How Internet Service Providers are Going Green  |  Read below  |  Masha Abarinova, Julia King  |  Fierce
Verizon Announces First Quarter 2024 Earnings  |  Read below  |  Press Release  |  Verizon
Discord CEO Jason Citron makes the case for a smaller, more private internet  |  Vox

Stories From Abroad

Does digital literacy reduce the risk of returning to poverty? Evidence from China  |  Telecommunications Policy
Today's Top Stories

Digital Equity

Initial funding for digital equity plans is available. But how do states plan to use it?

Chris Teale  |  Route Fifty

The National Telecommunications and Information Administration (NTIA) recently finished approving digital equity plans for all 50 states, as well as Puerto Rico and Washington (DC) in what Administrator Alan Davidson called a “milestone moment.” The grants announced in the March 29 notice of funding opportunity can be used to begin implementation of those plans, which identify the barriers in each state to accessing and using digital resources and establish measurable objectives for promoting access and use of broadband technology. Based on analysis of the digital equity plans, states are broadly facing the same challenges in getting their residents online. The biggest of those is ensuring that broadband internet is affordable. Many states, including KansasMaine and Nevada, had planned to rely on the federal Affordable Connectivity Program, or ACP, which provides low-income households with a $30-a-month subsidy to pay for internet access. In addition to making broadband affordable, states said another challenge is that many residents lack the digital skills to take full advantage of the technology, and as a result, are prevented from making “meaningful use” of the internet.

Achieving Internet for All: Socioeconomics and Fixed Broadband in the United States

Paul Garnett, Alexander Jeffery, David Johnson  |  Research  |  Vernonburg Group

High-speed Internet access is now essential for full participation in modern society. A reliable home Internet connection can have a transformative impact on a household and can lead to a wealth of previously untapped opportunities in areas like education, healthcare, employment, and civic participation. As Internet service providers (ISPs) and policymakers continue to find ways to expand high-speed broadband connectivity to all United States residents, it is essential no one is left behind. This paper examines publicly available data on current fixed broadband network deployments in the US and analyzes publicly available national, state, and local demographic data to determine what correlation, if any, may exist between broadband availability, race/ethnicity, and income. This paper also looks at the impact of rurality on broadband availability, as well as levels of competition in different communities.

Affordable Connectivity Program

The Affordable Connectivity Program is Popular because it Works

Amy Huffman  |  Analysis  |  National Digital Inclusion Alliance

Time’s almost up for Congress to extend funding for the Affordable Connectivity Program (ACP). Without the funding, 23+ million households risk losing internet access. This federally funded program has made a huge difference in people’s lives, but its future remains uncertain. As many of you prepare for what’s next, we’re making one last push to remind Congress of what’s at stake. Here is a small selection of the hundreds of opinion pieces that have been written demonstrating the positive impact ACP has had on so many lives across the country. They also reflect the broad and bipartisan support ACP has across the board. For a full list of the press and blogs about the need to fund ACP visit New America’s Open Technology Institute website for more. If you see an article from this list highlighting an ACP beneficiary in your community or state, we encourage you to share it with your elected officials, reminding them of the impact, and wide-spread support for the program.

With the ACP Winding Down, Advocates Tout Its Value

Skip Descant  |  Government Technology

As the Affordable Connectivity Program (ACP) winds down, federal officials are hopeful Congress will reauthorize funding for the widely popular project that helps subsidize monthly Internet service for low-income households. “This program is making a difference. It really is unique, and very important,” said Alejandro Roark, chief of the Consumer and Governmental Affairs Bureau at the Federal Communications Commission (FCC). The ACP, which provides a subsidy of $30 to $75 a month for broadband and helps fund Internet access in more than 22 million homes nationwide, is expected to run out of money in May. Supporters and broadband advocates have urged Congress to approve the ACP Extension Act, which would provide $7 billion to continue funding the program, which is often characterized as having broad bipartisan support. The program is often cited as a success story for enabling broadband equity across the country. Roark said it “has accomplished more over the course of the past two years to bridge our country’s digital opportunity divide than any other stand-alone effort in our nation’s history.” 

Can States Pick Up the End of ACP?

Doug Dawson  |  Analysis  |  CCG Consulting

Federal Communications Commission (FCC) Chairwoman Jessica Rosenworcel made it clear recently that the FCC is not willing to tackle funding for the Affordable Connectivity Program (ACP) that is expiring in May 2024. She estimated that the FCC would have to add something like $9 to every broadband bill in the country to fund the ACP plan. However, states could pick up the ACP funding just for their state. States will have the authority to do this after the FCC approves the reinstitution of Title II authority this week. That authority would give the FCC the authority to create the fee needed to fund the ACP through the FCC Universal Service Fund. While internet service providers have already sent a joint letter to the FCC asking to preempt states from establishing a state version of the ACP, I don't think the FCC will. States that create their own version of the FCC will face a lot of issues, but it's certainly something they could do. Of course, this discussion could end in a hurry if Congress steps up and funds some version of ACP, but I wouldn't bet on it. 

Competition

FCC Seeks Comment on State of Competition in Communications Marketplace

Public Notice  |  Federal Communications Commission

This Public Notice seeks public input to inform the Federal Communications Commission’s required assessment of the state of competition in the communications marketplace in its upcoming Communications Marketplace Report (2024 Communications Marketplace Report) to Congress. Specifically, we seek data, information, and comment on a wide range of issues relevant to the state of competition in the communications marketplace as a whole. We request that commenters submit information, data, and statistics for 2022 and 2023, as well as information on any notable trends and developments that have occurred during early 2024. Industry stakeholders, the public, and all other interested parties are encouraged to submit information, comments, and analyses

State/Local Initiatives

Connect Humanity Announces New Impact Fund With Support From Microsoft To Tackle Appalachia’s Digital Divide

Press Release  |  Connect Humanity

Connect Humanity, a non-profit impact investor, announced it is collaborating with Microsoft to support high-speed internet access and adoption in underserved Appalachian communities. Appalachia is one of the least digitally connected regions of the United States, with households 31 percent more likely than the national population to lack a broadband subscription. In some Appalachian counties, fewer than 20 percent of households use the internet at broadband speeds in a time when connectivity is critically important for education, health, and remote work. With 80 percent of jobs now advertised solely online and 92 percent requiring digital skills, this lack of access represents a major hurdle for Appalachian residents. To tackle this digital divide, Connect Humanity’s IDEA Fund (Investing in Digital Equity Appalachia) plans to invest in community-focused Internet Service Providers (ISPs) which are best placed to meet the digital needs of residents and businesses in Appalachia’s unserved areas.

Local Government Restructuring Lab

Duxixi Shen, Elizabeth Redmond, Jane Bowman Brady, Mildred Warner  |  Research  |  Cornell University

This project explores three unique case studies which address digital access, affordability and adoption in  low-income multi-family housing. Case studies from the Choctaw Nation in Oklahoma, the Jersey City Housing Authority and the Seattle Housing Authority showcase the importance of research assessing the digital divide, community coalitions and public private partnerships to extend broadband coverage and digital navigators to facilitate adoption. By examining cases from diverse geographical regions and demographic contexts, this study aims to provide a comprehensive understanding of the complexities surrounding broadband deployment and digital equity initiatives across different communities. 

Grain Management Invests in Leading Michigan-based Telecom Provider, 123NET

Press Release  |  Grain Management

Grain Management announced that it has agreed to acquire a majority interest in 123NET, a premier fiber internet, colocation, and business voice services provider based in Michigan. 123NET has been at the forefront of Michigan connectivity since its founding in 1995. The company has built an expansive 3,100 route mile network including long haul and dense metro fiber network in Michigan’s largest cities. 123NET’s network is further enhanced by Michigan’s largest carrier hotel and its high-density data centers in metro Detroit and Grand Rapids. 123NET’s innovative internet exchange quickly became the world’s largest fee-free exchange and North America’s ninth highest traffic exchange overall.

Company/Industry News

How Internet Service Providers are Going Green

Masha Abarinova, Julia King  |  Fierce

Earth Day is here, and Fierce Network is celebrating by looking into how telcos are approaching their sustainability agendas. Fierce reached out to several internet service providers (ISPs) to ask how they're making their businesses more environmentally friendly. For companies Fierce didn't hear from, it took a look at their recent environmental, social and governance (ESG) reports to check their greenhouse gas (GHG) emissions. Scope 1 emissions are a company's direct emissions from owned or controlled sources. Scope 2 emissions are indirect emissions from the generation of purchased energy. In the corporate ESG scene, "net zero" has become a buzzword added into many company's sustainability targets. Net zero emissions means there is equilibrium between the amount of emissions and extraction of greenhouse gases a company is responsible for. Some experts have warned that greenwashy words like "net zero" may not actually be enough, since the strategy still leaves room for immense greenhouse gas emissions. Nonetheless, there's still something to be said for forward progress. Here's what companies are doing to get there.

Verizon Announces First Quarter 2024 Earnings

Press Release  |  Verizon

Verizon reported first-quarter 2024 results with strong wireless service revenue, solid cash flow, adjusted EBITDA expansion and fixed wireless subscriber base growth. Highlights included: 

  • Total broadband net additions of 389,000, including 53,000 Fios Internet net additions. 
  • Verizon Business reported 151,000 fixed wireless net additions in first-quarter 2024, their best quarterly result to date. 
  • 11.1 million total broadband subscribers as of the end of first-quarter 2024, including 3.4 million subscribers on fixed wireless. Verizon added more than 3 million broadband subscribers in the last two years. 
  • Fixed wireless revenue for the first-quarter 2024 was $452 million, up $197 million compared to the prior year period. 

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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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Kevin Taglang

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Benton Institute
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