Monthly Archives: January 2009

Broadband in House versus in Senate Stimulus Proposals

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Congress is looking at two versions of the stimulus proposals. There are some pretty important differences as far as broadband goes.

Here are the differences:

Money: The House offers $6 billion while the Senate offers $9 billion.
Speed: The House says 45 mbps while the Senate says 100 mbps.
Rural areas: The House saves 75 % for rural areas while the Senate saves 50 %.
Open Access: The House requires it while the Senate doesn’t.

(One caveat – the House asks the FCC to define Open Access – but unless there’s a big shock coming to head of the FCC, I think the expectation is that they would be more amenable to Open Access than they would have been a month ago.)

Who’s in and who’s out?

Verizon is pleased:

We believe that federal policy should encourage investment in a new ultra high-speed communications infrastructure. We also believe tax credits are the best way to encourage additional deployment of ultra high-speed networks across the country that will generate jobs, stimulate the economy, enhance international competitiveness, and improve productivity. And, like President Obama, we are convinced broadband is helping to address challenges in health care, the environment and education.

I didn’t see any mention of rural or other underserved areas.

The National Cable & Telecommunications Association doesn’t love it.

The 100 mbps threshold does them no favors since it really points to fiber. So they created a video that urges Congress to look at affordability, adoption in terms of providing computer, focus deployment into un-served areas. He minimizes the importance of focusing on speed so soon.

The Independent Telephone and Telecommunications Alliance and Qwest are saying $6 billion is not enough.

Taken from the Wall Street Journal: A trade group representing midsize telecom providers with 27 million customers (ITTS} says its members alone would require $6 billion to $6.5 billion to reach about 3.6 million homes in their territories that don’t have high-speed Internet access.

Google seems happy enough.

On CNBC, Eric Schmidt, Google’s chief executive urges a quick movement forward. The money is a down payment – it will get jobs in the market it will get things started.

Extending Super Fast Internet to US

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I just read a report that I really like: A Plan to Extend Super-Fast Broadband Connections to All Americans by John Windhausen, Jr. at the Century Foundation. It’s not necessarily a ton of new info but it includes a good (yet brief) survey of broadband policy history in the US and links to  resources. The author has a clear viewpoint – but I think he backs up his recommendations with the history and resources.

Here’s a super quick summary. The US had fallen down in terms of broadband. Policy has not helped – there’s been too much emphasis on de-regulation not enough on fostering competition. We’ve been left with a duopoly that has encouraged neither sufficient investment nor innovation from the private sector.

Broadband is great for business, education, the environment…

Here are the policies that would help turn around the broadband situation in the US:

  • Provide seed money for broadband investment – especially in rural, inner city and unprofitable areas
  • Promote investment by streamlining policies that encourage broadband – from improving access to right of way and allowing municipally owned networks
  • Think about broadband as infrastructure: create federal-state jurisdiction, preserve openness, promote interconnectedness, build for the future
  • Stimulate broadband use through consumer education

Here’s just a little bit on the Century Foundation from Wikipedia:

The Century Foundation was founded in 1919 by Edward A. Filene, an American businessman, social entrepreneur, and philanthropist, under the name of The Cooperative League. The organization’s mission was to act as an advisory committee for Filene in disbursing his funds in a way that could best benefit the world. Renamed the Twentieth Century Fund in 1922, and then The Century Foundation in 1999, the Foundation has sought liberal, progressive solutions to the nation’s problems.

The author, John Windhausen, Jr, is a communications attorney, a fan of Net Neutrality and the president of Telepoly.

Good News for Fed Funds & Broadband

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First – the House passed an $819 billion stimulus plan that includes $6 billion for new wired and wireless broadband networks.

They also stipulated that companies receiving funds to build new broadband networks adhere to openness conditions. Some will see that as good new; some won’t. As I wrote yesterday, I think it will help spread the money to providers who will focus on rural areas. Also I think it will help providers who wouldn’t otherwise be able to get funding – and wasn’t that a huge goal of the bill – to stimulate the economy?

Second – Senator Amy Klobuchar announced that key investments in high speed internet that she pushed for were included by the Senate Appropriations Committee in the American Recovery and Reinvestment Act. The legislation includes nearly $9 billion to strengthen the nation’s high speed internet infrastructure and will help deliver the technologies that can create new jobs and opportunities in rural America.

Let’s Go Local

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If nothing else the economic stimulus package has stimulated conversation. Wistful if I won the lottery talk has turned into, if I could spend the stimulus money. The theme in my reading today seems to be if I had a check, I’d spend it locally.

The folks at the Daily Yonder featured an article that focuses on broadband money for local networks. It was written by Wally Bowen, the executive director of a local ISP in North Carolina – and he says, “No tax dollars for broadband infrastructure should go to absentee-owned networks, unless no local network is available for this taxpayer support.”

Bowen urges that the large providers aren’t good matches for the stimulus funds for the following reasons:

  1. In his experience the large companies are not interested in providing broadband in rural areas. Rural areas generally do not provide quick or high return on investment. They don’t make the best business cases.
  2. He’s afraid take money to expand access to new areas and use it to enhance services to existing areas.
  3. Big providers outsource overseas, which would not lead to local jobs.

Local providers are a better bet and, he points out, they probably have shovel-ready projects “on the drawing boards of local planning agencies and state broadband initiatives.”

Then I read a more local piece talking about the FTTH plans in North St Paul. The author, Samuel Greenholtz of Telecom Pragmatics – points out that one reason we’re lagging behind in fiber deployment in the Midwest is that the predominant provider isn’t interested in providing ubiquitous service. Greenhotz applauds the “90 independent telcos in Minnesota” for stepping up.

Karl Bode also alludes to large providers who are suddenly interested in providing access to States, when they have previously “spent millions to prevent cities and towns across the country from wiring themselves with broadband.”

NATOA Amicus Brief in Support of Broadband in Monticello

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A quick update on the situation in Monticello… NATOA (National Association of Telecommunications Officers and Advisors) recently filed a Amicus brief in the ongoing Monticello ordeal.

Here’s the blurb from their site with a link to the actual brief:

Consistent with its long-standing support of community broadband, and its current Broadband Principles and other initiatives, NATOA filed an Amicus Brief before the Minnesota Court of Appeals in the case of Bridgewater Telephone Company, Inc. v. City of Monticello. Bridgewater is suing the City of Monticello to prevent the City from using revenue bonds to finance its fiber to the home project. Earlier this year, a Minnesota trial court ruled in favor of the City that its fiber project should be considered a “public convenience” for which revenue bonds could be utilized to finance the project. NATOA’s brief argues that not only is the fiber project a “public convenience,” but broadband infrastructure should be considered a utility. In addition, NATOA’s brief highlights the importance of broadband infrastructure as an economic, educational, and social tool.

The Amicus Brief is amazingly readable for a legal document – although I prefer the quote from FDR to the mathematical equation that explains the grammar of the statute.  (I’m adding that as a teaser – though it is true.)

Broadband on Minnesota Public Radio

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The upcoming broadband maps were featured on Minnesota Public Radio this week. I’ve talked about the maps before. The folks at Connected Nation are mapping broadband access across the state.

The map will be unveiled next week. The initial maps are creating with notes from the providers.

They are asking citizens to help keep the providers honest by visiting their site to test and record their speed. So if you have minute – please help out by visiting the site and testing your speed. (Ironically I can’t access the page yet – we might have to wait until next week.)

Public Radio also features a few notes from former Senator Steve Kelley and Blandin’s Bernadine Joselyn. Rural access in Minnesota is better than most states – but affordability is still an issue.

Minneapolis Number 7 Most Wired US City

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Forbes just named their Top 30 Most Wired Cities. Minneapolis came in at number 7. Here’s what Forbes had to say:

The surprise of the list is Minneapolis, which improved its standing from No. 11 to No. 7, beating New York and Portland, Ore., among others. Minneapolis’ secret? A particularly broad range of service providers, including a number of neighborhoods with 20 different access options for high-speed Internet.

Pope uses YouTube

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You know that Web 2.0 has hit the masses when the Pope gets a YouTube channel. (Pun intended.)

I just learned in the Star Tribune that the Pope has a YouTube Channel. According to the article, “In his annual message for the World Day of Communication, [Pope] Benedict praised as a “gift to humanity” the benefits of social networking sites such as Facebook and MySpace in forging friendships and understanding.”

In a funny way it reminded me of a discussion I had with someone earlier this week about technology as a tool for advocacy. If you want to reach someone or tell a story these days, video seems to be the best way. It’s a channel that is designed to work from the bottom up as well as top down – as long as everyone has the tools to access that channel. Thanks to sites such as YouTube, the tools include skills, cameras and broadband.

High Tech Pres in Low Tech White House

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Have you ever been excited to start a new job only to walk in and find that they still have dialup and use Word Perfect? To make matter worse – they hired you because you were good with technology. Well how good are you going to be with those cards?

According to the Washington Post (and others) it sounds as if the Obama’s Administration may be suffering the same pain. (Staff Finds White House in the Technological Dark Ages – you’ll need to sign up for a free account to access the article.)

The Washington Post alludes to policy issues but also blames the logistics of having so many people start a new job on the same in a necessarily super secure environment. An earlier article in Wired does an even better at outlining the policy issues that are roadblocks to technology use. (I learned about the article on the Minnesota Voices Online list.)

Part of me is glad that the new Administration is running into tech bumps. First: I think that They have been aware of the need to bring the country forward in terms of technology – but the risk of having your Blackberry removed from your clutches is a good reminder of how much time, energy and money are saved by technology and how disadvantaged those without access really are.

Second: I saw how the Ultra High Speed Broadband Task Force was hamstrung in September when they learned of the policy barriers that prevented them from using technology to do their job. Hopefully President Obama is feeling the same pain and figuring out how to eradicate those barriers.

I don’t think it’s worth blaming anyone for the tech issues. It’s just a natural growing pain. It takes a little pain to get us to right the situation. I suspect the same happened when they brought the phone or television into the White House.

MN Broadband Task Force Special Meeting February 6

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The Minnesota Ultra High-Speed Broadband Task Force has just called a special meeting to be held from 11 am to 4 pm on February 6. It’s open to the public. I plan to attend and take notes.

Here’s the agenda:

Date Time Location – Friday, February 6, 2009 11:00 a.m. – 4:00 p.m. Video Conference Locations See attached for a listing of locations

11:00 – 11:15 Opening comments; review meeting agenda; public comment

11:15 – 12:45 Review State Broadband Mapping Report – Brent Legg, Connected Nation

12:45 – 1:15 Break for Lunch

1:15 – 4:00 Brainstorm and Discuss Potential Projects for Stimulus Funds Identify and discuss potential projects as requested by the Committee Chairs for use of the Obama stimulus funds (American Recovery and Investment Act of 2009*). Project list to be finalized at February 20th Task Force Meeting.

4:00 Adjourn

Update on Monticello – kind of

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The news in Monticello is that there is no news. Earlier this month I reported that both the FTTH Council and NATOA  had been granted permission to present their viewpoint by submitting Briefs (limited to 20 pages). Well this month they have both backed off that option because some members of the association have urged it not to take a position in this matter.

(Update: Thanks to a careful reader for pointing out that the TIA dropped out, not the NATOA. It looks as if they may have filed the Amicus on Jan 23, although it’s not yet available online.)

Community Broadband Awards

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The Intelligent Community Forum just announced their Top Seven Communities of 2009. They have all made it past the arduous International screening and are now in the running for the Top Community of 2009, which is announced in early summer.

The winners so far are:

  • Bristol, Virginia, USA. As a first time honoree, Bristol made an impact after taking on incumbent telcos in court and the state legislature to win the right to deploy a fiber network called OptiNet. Conceived as a backbone serving government and schools, OptiNet has grown into a fiber-to-the-premises network for business and residents in Bristol and four neighboring counties. It has also attracted more than $50 million in private investment, including the region’s first technology employers, and improved rural education and healthcare by connecting local providers to leading institutions.
  • Eindhoven, Netherlands. The Eindhoven metropolitan area (a 2008 Smart21) has long been the industrial heart of the Netherlands. Through a public-private collaboration called Brainport, the region is ramping up its knowledge economy to maintain and accelerate growth in a hyper-competitive global market, while at the same time coping with an aging population and shrinking workforce. Among more than 40 public-private projects are an award-winning coop that has brought FTTP and a broadband culture of use to the suburb of Neunen, and the SKOOL outsourced IT management system for public schools.
  • Fredericton, New Brunswick, Canada. For most of its history, government and education were the economic mainstays of Fredericton (a 2008 Top Seven). When it could not get broadband from the private sector, Fredericton founded the e-Novations coop, which deployed a fiber ring that spurred competition, giving the city a 70% penetration rate at speeds of up to 18 Mbps. The next step was the Fred-eZone wireless network, which provides free WiFi service across 65% of the city. The combination of broadband, entrepreneurship and Fredericton’s universities has powered the creation of over 12,000 jobs.
  • Issy-les-Moulineaux, France. Issy-les-Moulineax (a 2006 Top Seven) became the industrial zone of Paris in the early 20th Century only to suffer de-industrialization in the post-war years. Beginning in 1980, a visionary mayor focused policy on creating an innovative, IT-based knowledge economy, implementing e-government, outsourcing IT needs, and taking advantage of liberalization to attract competitive fiber carriers deploying cost-effective broadband. Public-private innovation includes a cyber-kindergarten for children, cyber tearooms for older citizens, citizen e-participation in decision-making, a successful business incubator and ICT-based real estate projects.
  • Moncton, New Brunswick, Canada. Twenty years ago, the Moncton region was a former railroad and industrial hub facing a doubtful future. Since then, this bilingual community has become a major Canadian customer contact and back office center, and built a “near-shore” IT outsourcing industry. Private-sector carriers have collaborated in the city’s growth as a telecom-centric economy, and helped power the addition of 20,000 new jobs since the early 1990s.
  • Stockholm, Sweden. In the mid-90s, Stockholm, the economic and political capital of Sweden, established a company called Stokab to build an open-access fiber network. Today, the 4,500 km network connects more than 90 competing service providers to government and business customers. Though the city already has a 98% broadband penetration rate, Stokab will also provide FTTP access to over 95,000 low-income households in public housing by the end of 2009. Stockholm also manages KISTA Science City, housing more than 1,400 companies, plus a support program for start-up and early-stage companies.
  • Tallinn, Estonia. Three-time Top Seven community Tallinn has risen from post-Soviet economic ruin to become an economic tiger largely on the strength of ICT. Making creative use of people and funding, Tallinn computerized its schools and deployed widespread WiFi as well as nearly 700 public access kiosks. The city also developed a large-scale digital skills training program, extensive e-government, and an award-winning smart ID card. Through partnerships, it developed high-tech parks including Ulemiste City, Tallinn Technology Park and Cooperative Cyber Defence Center. Rated #2 worldwide for economic potential by the Financial Times, Tallinn is home to half of Estonia’s companies, which receive 77% of the country’s foreign direct investment.

And while its’ too late to be top ICF community of 2009 – the nominations are just opening to be the Last Mile Smart Community. They are looking for an extraordinary community that is deploying broadband to close the digital gap. Deadline for all nominations is March 15, 2009. The nomination/application looks very simple and as always I’m hoping to see Minnesota well represented.

House Stimulus Package and Broadband

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I’ve put it off long enough – I have to tackle the House Stimulus package in regards to broadband. The super quick take (borrowed from PC World) – “A U.S. House of Representatives committee has recommended the U.S. government give out US$6 billion in grants for wireless and broadband roll-out in a $825 billion economic stimulus package to be considered in Congress.” There are also some pockets where broadband could fit in – such as $20 billion for health IT programs.

So some of the big questions have been – what are the details and is it enough (or too much)? I guess the biggest question is – how can we get some of that? The best answer I have for local folks is to contact the Ultra High-Speed Task Force – not because I think they will be making decisions but because they are the ones in Minnesota asking for ideas right now.

So what are the details?

Here are details I’ve garnered from different places:

  • The overall focus is projects that will have an immediate economic impact, with a goal of using at least 50% of the funding for projects that can be initiated in 120 days.
  • The broadband infrastructure funding is for “open-access” networks.
  • The USDA’s Rural Utilities Service (RUS) would get $2.825 in rural Broadband
    Infrastructure Recovery Funding. They are looking for under-served areas, they are looking for repeat customers (folks who have worked with the RUS before), and they want a quick start date.
  • NTIA would get $2.825 billion for the Wireless and Broadband Deployment Grant Programs to subsidize the development of broadband and wireless services in un-served and underserved areas. About half to go to voice service and broadband (mobile broadband I think); half would go to fixed wireless. They want to have at last one project per state, need matching funds and again call for open access networks.
  • NTIA will get $350 million for broadband mapping.

So is it enough?

I know this part gets longer than I intended – but think of it as the Cliff Notes version of what the scuttlebutt is. Continue reading →

Got any shovel-ready broadband projects?

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I just got the following message from the Minnesota Ultra High-Speed Broadband Task Force:

The Minnesota Ultra High-Speed Broadband Task Force is requesting input from the public in order to submit to the legislature a proposal for “Shovel Ready Projects” in Minnesota.

Do you know of any projects that could start soon and benefit the expansion of Broadband in Minnesota? Projects that would create jobs and help grow the economy?

Submit good ideas to the Task Force.

The formula for success is s little nebulous at this point. Here’s some of what I was able to garner from the Energy, Utilities, Technology and Communications committee meeting last week:

What could the stimulus package mean?
• Funding for existing programs (with or w/o state match)
• Funding for authorized programs that have not been funded
• Funding for new programs
• Tax credits of incentives
• Loan guarantees
• Could be use it or lose it funds – there will be an expiration
• Likely to be additional oversight
• May be procedural waivers – especially for infrastructure

And here’s what I was able to garner from the last Task Force meeting:

Funds will (probably) use existing infrastructure, go to existing/proven resources and need to be personally certified by local official, no earmarks. $6 billion is going to broadband – but there are other possible pockets too – such as funding to schools. So it may make sense to look at RUS and other programs. Interest free loans are another tool that will be used.

Good luck! As always I’d love to see some Minnesota projects receive a boost!

Local innovation for better networks

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There’s a guy in St Cloud who has come up with a better wireless solution based on light, not radio waves. The nuts and bolts of networks can quickly get beyond me – but I love this story for two reasons.

First, it would be cool. Apparently this new flavor of wireless is 8 times the speed of radio wave-based networks. And it doesn’t go through walls. So it’s a good, very local solution not so much a plan for a city. Because it doesn’t go through walls it’s pretty secure – for phones and computers. Also it’s cheaper than wiring rooms – such as classrooms.

Second I love any innovation coming out of Minnesota . The investor has apparently registered dozens of patents and started a tech business. (You can learn more about him and his invention in the St Cloud Times.) We need to promote, support and celebrate technology innovation. In 2007 (last reported stats from AeA, I think), Minnesota was ninth in nationwide in high-tech exports, which isn’t bad if we’re comparing ourselves to other states. The news wasn’t all “not bad” however, for the first time since 2002, Minnesota’s tech exports declined in 2007; they fell by $612 million for a total of 5.6 billion.