Upcoming Webinars on Broadband for Business

One is national and one is local but there are two webinars next week that might be of interest to readers. First the National…

Got Broadband? Building Businesses on Rural Broadband Investments
December 14, 2011 11:30 a.m. ET
About the Webcast
USDA invites you to join us on Wednesday, December 14, to learn more about the opportunities presented by new broadband investments made through USDA Rural Development’s broadband programs in rural communities across the country. You will hear from several USDA representatives as well as representatives from innovative companies that are taking advantage of broadband to attract and develop businesses in rural America. (Get details)

And the Minnesota event…

Creating a Business Facebook Page
December 15, 2011 noon (to 1:00)
There are more than 800 million active users on Facebook and more than half log into Facebook every day. It’s a place to connect with existing customer or make connections to potential new customers. But there’s definitely a right way to do it – both in terms of Facebook policies and to make the most of the different types of connection. Join us for an introduction to the different types of Facebook accounts (user, group, page, event…) and instruction on how to create a page. (Get details)

Telecommunciations history in Lakefield MN

According to the Lakefield Standard

Telecommunications history was made in Lakefield last Friday as Southwest Minnesota Broadband Services connected its first working customer.

Southwest Minnesota Broadband Services (SMBS) received ARRA funding to deploy fiber in the area. They broke ground last July and connected the first customer in December. As the article points out the weather was a huge help.

Now they are up and running. Tests continue but they have staff on hand for deployment and customers service.

Great to hear the ARRA networks really come into their own. Also fun to see such excitement from the local press.

[Note, I have linked to an online article, but also had access to a print version, which was slightly different.]

Impact of telecommunication policy on the color of the digital divide

Thanks to Bernadine Joselyn for passing on an interesting in ColorLines that takes a hindsight look at telecommunications policy in light of the demographics of the digital divide. It goes as far back as the Carterfone decision (which forced AT&T to open up its network to non-AT&T phones).

The article indicates that policies partnered with private industry are creating two Internets: the wireless Internet of for low-income (especially African American and Latino) citizens and wired Internet for those with higher incomes. Those on the wireless Internet are restricted in what they can do online.

Here are pieces to the puzzle that seem to relate more directly to pure economics.

  1. Handhelds are cheaper than laptops. My mom is thinking about a computer or a tablet or a smartphone. But unlike many people in her shoes cost is *a* factor – not *the* factor.
  2. Wireless contracts are cheaper than wired. This is true on a month-to-month basis but even more true when you consider a potentially transient consumer and startup fees after each move.
  3. The article includes research results that indicate that African American and Latino consumers are much more likely to rely on smartphones for Internet access than their white counterparts.

Here are some pieces that are technical:

  1. Fiber is faster than wireless.
  2. Cable is faster than most wireless.

Here are some pieces that seem to relate to policy:

  1. The Net Neutrality bill that passed maintain a level of openness for wired Internet.
  2. The Net Neutrality bill that passed allows wireless provides to create data packages that not only cap speeds/data transfer but also can promote some information and prohibit some information. The example given in the article is Verizon filtering out (refusing to deliver) all text messages containing specific words.
  3. The National Broadband Plan promotes 100 Mbps for 100 million homes and only 4 Mbps for the rest.

I definitely suggest reading the original article for a more passionate interpretation. I would be very interested in hearing “the other side” of the story.

Art & Technology bring Economic Development in Minneapolis

Last month at the broadband conference I heard a lot of communities talk about fiber versus wireless. Fiber has the bandwidth that lets you grow into the future; wireless is considerably cheaper to deploy. So lots of communities are trying to come up with a phased approach that might start with bringing fiber to the node, then going wireless. Then some folks talk as if they might eventually phase out wireless – but I think wireless is here to stay – with fiber. People will always want the mobility of wireless. Here’s a fun example…

The City of Minneapolis and Minnesota Public Radio have created an audio MPR Sound Point™ tour of Minneapolis Public Art. Here’s a quick description from the web site

The Sound Point technology allows the public to access a series of stories, in the words of the artists, about new works of public art in Minneapolis and the opportunity to leave their own stories in return. Viewers can listen to these stories by dialing or texting a phone number or scanning a QR code with their smart phone.

The Twin Cities Daily Planet wrote a story on the project highlighting the people and technology behind the project. I love the idea and I’m sure I’ll drag a kid to at least two projects over the next few weeks. It seems like a very manageable project for any community – that has the necessary infrastructure and what a fun way to encourage residents to start adopting new technologies.

Hickory Tech is branching out

Thanks to Ann Higgins for the heads up. I’m full of news from HickoryTech today. Telecompetitor reports that HickoryTech has purchased IdeaOne, a company that provides…

data networking, Internet, colocation, phone and hosting services to approximately 3,600 business and residential customers in the Fargo area.

It seems a sign of a local company looking to serve their customers into the future. The acquisition will add 225 miles of fiber to their regional network. The article goes on to offer HickoryTech’s perspective…

“This acquisition further advances our strategy of growing our business and broadband services,” said John Finke, HickoryTech president and chief executive officer in a press release. “Last year, we extended our fiber network to Fargo. This transaction gives us immediate access to the market, making our entire portfolio of business services available to IdeaOne customers. The completion of our Broadband stimulus route from Brainerd, Minn. to Fargo, North Dakota in 2012 will further enhance our capabilities and services in this market.”

Minnesota My Life My Internet Video Contest

I love this!

Mankato, Minn. – Nov. 30, 2011 – HickoryTech (NASDAQ: HTCO) announces today it is accepting entries for its My Life My Internet video contest. As a leading regional broadband provider, HickoryTech wants to encourage broadband adoption and encourage students and educators to share their stories about why the Internet is important in their lives. The contest, which targets entries from the HickoryTech service area, requires video submissions that present ideas around how students and teachers connect, learn, recharge, study and socialize at school and at home using broadband Internet access.

HickoryTech will award contest winners a hand-held video camera, as well as five hand-held video camera’s for their school. “HickoryTech supports technology integration in the classroom and wants to provide an incentive for students, teachers and schools to adopt new technologies which help students enhance learning through broadband adoption,” said Jennifer Spaude, director of Investor Relations and Marketing.

Complete contest details and rules are available at www.hickorytech.com/MyLifeMyInternet. All entries must be submitted by January 31, 2012.

Blandin Broadband eNews December 2011

News from the Blandin on Broadband Blog

Minnesota Broadband Advisory Task Force The latest Minnesota Broadband Advisory Task Force http://wp.me/p3if7-1tC met for the first time in November. They are working on tight deadlines to complete two reports for the Legislature. A state of broadband in Minnesota is due December 30, 2011; a more strategic document is due in January 2012. Get full notes from their first meeting online: http://wp.me/p3if7-1wl

Several past Task Force members and other broadband and community leaders had advice for the new Task Force http://tinyurl.com/6qrjfzy, including some very detailed advice from Mike O’Connor http://wp.me/p3if7-1tS.

Policy & Progress: Border to Border Broadband The Blandin Foundation and Connect Minnesota cohosted a broadband conference http://tinyurl.com/44qgnxg held in Duluth in November. There was a good blend of participants interested in broadband deployment, adoption and policy. Highlights include a presentation from students on what one can do with 100 Mbps http://wp.me/p3if7-1vb and a panel discussion from Minnesota Intelligent Rural Communities (MIRC) representatives who spoke about projects happening in rural Minnesota today to help more people use and access broadband (please see links to individual community links below in the Broadband News Around Minnesota section).

Access full notes from the conference online http://tinyurl.com/7hq8rp2 or cut right to the final thoughts on the conference from Blandin Foundation’s Bernadine Joselyn http://wp.me/p3if7-1vw. Or for a catchy tune, check out the Broadband song, written and performed by conference attendees. http://wp.me/p3if7-1uM)

Turning the Digital Divide into Digital Inclusion
Reports indicate that the bottle neck for broadband penetration is adoption, not access. That means that people are not taking advantage of the broadband access available. We see this on a national http://wp.me/p3if7-1w9 and local level http://wp.me/p3if7-1st. Top reasons people don’t go online include lack of interest and cost (of connectivity and computers). The problem was highlighted in a recent article in the New York Times, which explained why slow adoption is a national concern. http://wp.me/p3if7-1wt

There are national and state efforts to improve the situation. The Institute for Museum and Library Service promotes a framework for addressing digital challenges http://wp.me/p3if7-1w6. Locally, the Technology Literacy Collaborative hosted a Digital Inclusion Forum in November to gather proponents in the field to share resources and talk about solutions. http://wp.me/p3if7-1tj

Local Broadband News

Benton County  Benton County provides an update on their MIRC project at the 2011 Broadband Conference. See the video http://wp.me/p3if7-1uq

Brainerd
The Region Five Development Commission (a MIRC partner) teams up with PCs for People to create an affiliate PCs for People organization to refurbish computers to give to low income households in the five counties within Region5. http://wp.me/p3if7-1vC

Cook County  Cook County provides an update on their MIRC project at the 2011 Broadband Conference. See the video http://wp.me/p3if7-1uk

Deer River / Brainerd
Schools are making plans to use technology, but need the necessary infrastructure. Hear from school leaders in Brainerd and Deer River about their plans. http://wp.me/p3if7-1th

Duluth PCs for People hosts a computer drive in Duluth as part of the 2011 Broadband conference. http://wp.me/p3if7-1ub

Grand Rapids Grand Rapids provides an update on their MIRC project at the 2011 Broadband Conference. See the video http://wp.me/p3if7-1uo

Houston
Justin Treptow, head of Minnesota Virtual Academy (MNVA) out of Houston, MN talks about the importance of broadband infrastructure for online students. http://wp.me/p3if7-1vV

Kanabec County As Kanabec County plans for broadband, they are using the media http://wp.me/p3if7-1ts to help further conversations with the incumbent provider. http://wp.me/p3if7-1tI

Minneapolis Google Executive Chairman Eric Schmidt visits Minneapolis. http://wp.me/p3if7-1wr

North Central Minnesota
Rural Development Broadband Loan Program funds will be used to extend Paul Bunyan Rural Telephone Cooperative’s existing FTTH network to serve rural communities in North Central Minnesota. http://wp.me/p3if7-1tN

Southwest Minnesota
Windomnet is six months ahead of schedule with fiber; they hope to get 1100 homes connected in Southwest Minnesota before the ground freezes and stalls deployment. http://wp.me/p3if7-1vN

Redwood County Redwood County is looking at a broadband feasibility study. http://wp.me/p3if7-1vk

St Paul The St. Paul Public Library has been awarded $100,000 to create special computer labs for middle and high school students. http://wp.me/p3if7-1wn

Thief River Falls  Thief River Falls provides an update on their MIRC project at the 2011 Broadband Conference. See the video http://wp.me/p3if7-1uy

Upper Minnesota Valley Upper Minnesota Valley RDC provides an update on their MIRC project at the 2011 Broadband Conference. See the video http://wp.me/p3if7-1uw

Willmar Willmar provides an update on their MIRC project at the 2011 Broadband Conference. See the video http://wp.me/p3if7-1us

Windom Windom provides an update on their MIRC project at the 2011 Broadband Conference. See the video: http://wp.me/p3if7-1uA

Winona Winona provides an update on their MIRC project at the 2011 Broadband Conference. See the video http://wp.me/p3if7-1um

Worthington

Worthington provides an update on their MIRC project at the 2011 Broadband Conference. See the video http://wp.me/p3if7-1uu

Events

December 6-8 – Minnesota Government IT Symposium (St. Paul) http://mngts.org/itsym/

December 15 – PCs for People will host a used computer drive (Duluth) http://www.pcsforpeople.com

December 19 – Minnesota Broadband Advisory Task Force – watch the Blandin on Broadband blog for more details http://blandinonbroadband.org/

Looking for more events? Check out TechDotMN’s calendar http://tech.mn/events/. Many events are based in the Twin Cities but it is a comprehensive list. (If you have an upcoming event, consider submitting it.)

Stirring the Pot

Quite a year! What a busy year for broadband activity in Minnesota!!

  • Our Blandin Foundation MIRC project is running on all cylinders; all of our partners are doing great work across greater Minnesota.  If you were at the recent Broadband Conference in Duluth, you could not help but get excited about all the projects, going from good to great through collaboration with state and local partners.
  • Rural counties and townships are working aggressively to ensure that their communities meet the state broadband goal, always seeking partners with incumbent and neighboring providers, but not letting any barriers stop them.
  • Stimulus projects are under construction with new advanced services to be delivered to bandwidth hungry customers in 2012.
  • A new state broadband task force with an exciting mix of members is in place.
  • New federal regulations and programs have been announced but their potential impacts are not yet understood.
  • More communities are using the Intelligent Community framework to unite their broadband and economic development strategies.

Thanks to all the great leaders who are making these great things happen.  If you are reading this newsletter, you can look in the mirror and see one!

Bill Coleman helps communities make the connection between telecommunications and economic development.  As principal in Community Technology Advisors http://tinyurl.com/3f4dx7g for ten years, he assists community, foundation and corporate clients develop and implement programs of broadband infrastructure investment and technology promotion and training. Bill is working with the Blandin Foundation on the MIRC Initiative http://tinyurl.com/2c6mhh4, Community Broadband Resource Program http://tinyurl.com/cseu7e and other broadband projects.

Exploring the Digital Nation: Another Broadband Adoption Report

The best part of visiting family in Chicago for Thanksgiving is the bonus time in the car reading reports. (Well that and not having to make a turkey.) Last weekend, I read up on the Exploring the Digital Nation: Computer and Internet Use at Home, a report by the Economic and Statistics Admin and NTIA (National Telecommunications and Information Administration). I was particularly interested in how this report confirmed or conflicted with recent Connected Nation reports.

Raw data from the NTIA report comes from the results of a Census Bureau survey of about 54,300 households. Through statistical methods they have extrapolated the survey results to represent 119.5 million American households. Connected Nation used telephone interviews conducted last summer with 27,086 residents.

Here is a comparison of the results:

Household use/adoption of broadband

  • NTIA – 68 percent of households used broadband Internet access service
  • Connected Nation – 65 percent of residents have broadband

Computer ownership

  • NTIA – 77 percent of households had a computer
  • Connected Nation – 82 percent residents had a computer

Top reasons for not going broadband

NTIA

  1. lack of need or interest (47 percent);
  2. lack of affordability (24 percent);
  3. inadequate computer (15 percent)

Connected Nation

  1. Broadband fees are too expensive (18 percent)
  2. No content worth viewing (18 percent)
  3. Computer is too expensive (7 percent)
  4. Not available (7 percent)

The final percentages (reason for not going with broadband) are a little skewed – but otherwise the numbers track, especially given that Connected Nation is looking at households and NTIA looks at residents. There were a few other nuggets in the NTIA research that struck me:

I’ve heard many talk about the growing rate of folks accessing the Internet through handheld devices – rather than desktops or laptops. The NTIA research indicates that 2 percent of those surveyed had only a handheld device. (Whereas 17 percent had a handheld and a computer; 58 percent had only a computer.) But the folks who use handheld devices are serious about their broadband…

In addition to having a stronger preference for mobile broadband Internet access, users of handheld devices were also more likely than their counterparts using only personal computers to  subscribe to fiber optic broadband services and less likely to subscribe to DSL services.

The digital divide widens

The term digital divide was replaced by digital inclusion a while back – maybe a year ago , maybe two. Digital inclusion is more positive, it implies progress – but it doesn’t paint the picture. Over the weekend Susan Crawford helped to repaint that picture in an article in the New York Times

If you were white, middle-class and urban, the Internet was opening untold doors of information and opportunity. If you were poor, rural or a member of a minority group, you were fast being left behind.

She points out that…

While we still talk about “the” Internet, we increasingly have two separate access marketplaces: high-speed wired and second-class wireless. High-speed access is a superhighway for those who can afford it, while racial minorities and poorer and rural Americans must make do with a bike path.

And after detailing how (technically) we can close the gap with cable and fiber she concludes that the issue is a national concern…

The new digital divide raises important questions about social equity in an information-driven world. But it is also a matter of protecting our economic future. Thirty years from now, African-Americans and Latinos, who are at the greatest risk of being left behind in the Internet revolution, will be more than half of our work force. If we want to be competitive in the global economy, we need to make sure every American has truly high-speed wired access to the Internet for a reasonable cost.

With that in mind I want to ask if we to invest in technology that will raise all boats – faster broadband that will facilitate two-way communication requires for telehealth, remote employment, even job interviews – why does the National Broadband Plan perpetuate the digital divide by aiming to provide genuinely high speed (100 Mbps) connectivity to 100 million homes but settle for 4 Mbps for the rest?

Google’s Eric Schmidt visits Minnesota

Google Chairman Eric Schmidt was touring Minnesota yesterday. He spoke in Minneapolis and according to MPR News, spoke about Google’s plans to keep apps free and focus on revenue from advertising…

Google Executive Chairman Eric Schmidt, speaking in Minneapolis Wednesday, said the company will get the vast majority of its revenue from advertising for years to come.

And he says that means Gmail, YouTube, and other online applications and services from Google will remain free.

“I’m sure it will,” Schmidt said during a forum at the University of Minnesota. “You never say ‘never’ or ‘always.’ But our model of Google apps as a free service for universities and the average consumer is working really well for us.”

Schmidt said advertising revenue makes everything click for Google.

I buy Google ads on behalf of a few clients – a very small drop in a big pond of their revenue – but even I can see that it’s got to be pretty profitable. Because the cost per click is based on a bidding process, I think that it’s likely that costs will go up as more and more people buys ads. I’ve certainly seen costs rise over the years (8-10) that I’ve been working with Pay Per Click ads. As the article points out, it’s a business model that seems to work. From the consumer perspective, it does keep services free – although as we’ve written here before, free often comes at a cost. And right now the costs is privacy.

Schmidt also spoke about copyright legislation. Sounds like he’s for copyright – not so for the current legislation. I suspect the hot point is making it illegal to index copyright material, which he calls a slippery slope. He’s right – it means asking the search engines to start censoring.

You can see his presentation at the Um of M on the U of M website.