
Fast, affordable Internet access for all.
The Government Accountability Office released a report today examining economic development and government-spurred broadband deployment. The report, titled Telecommunications: Federal Broadband Deployment Programs and Small Business looks at the effects of stimulus projects on opportunities for small business.
According to the press release:
“GAO’s investigation confirms the success of the Recovery Act’s broadband programs," said Rep. Waxman. “In rural and urban areas across the country, small businesses are benefitting from higher speeds and lower prices thanks to federal investment in this essential infrastructure. Expanding broadband access and quality is critical for American competiveness in the 21st century global economy. These were public dollars well spent.”
The report reviews communities around the country where either federal dollars have been invested in networks or local governments have made such investments. The results were consistent with our findings over the years - municipal networks create a business-friendly environment and contribute to economic development.
According to the report summary:
According to small businesses GAO met with, the speed and reliability of their broadband service improved after they began using federally funded or municipal networks.
Regarding competition, the GAO find that municipal networks spur competitor investments:
For example, following the construction of a fiber-to-the-home municipal network in Monticello, Minnesota, the two other broadband providers in the area made investments in their infrastructure to improve their broadband speeds. One of these providers stated that all of its networks undergo periodic upgrades to improve service, but upgrade schedules can change in order to stay competitive when there is a new service provider in a particular market.
A new study from the Digital Equity LA initiative lays bare how low-income communities of color are impacted by the quiet business decisions of the county’s monopoly Internet service provider. Slower and More Expensive/Sounding the Alarm: Disparities in Advertised Pricing for Fast, Reliable Broadband details how Charter Spectrum “shows a clear and consistent pattern of the provider reserving its best offers - high speed at low cost - for the wealthiest neighborhoods in LA County.” Not only does it highlight how economically vulnerable households in LA County pay more for slower service than those in wealthy neighborhoods, it also provides evidence for how financially-strapped households are also saddled with onerous contracts and are rarely targeted by advertisements for Charter Spectrum’s low cost plans.
Join us live on Thursday, August 25th, at 5pm ET for the latest episode of the Connect This! Show. Co-hosts Christopher Mitchell (ILSR) and Travis Carter (USI Fiber) will be joined by regular guests Kim McKinley (UTOPIA Fiber) and Doug Dawson (CCG Consulting.
On January 1st, 2022, the Federal Communications Commission launched the Affordable Connectivity Program (ACP) with $14.2 billion in funding designed to help American households pay for the monthly cost of their Internet subscription.
In May, we published a story about the fate of the Affordable Connectivity Program (ACP), based on a prediction model we built that was intended to visualize how long we might expect the $14.2 billion fund to last before needing new Congressional appropriations to sustain it. We’re back today not only with a new and improved model (based both on more granular geographic data and fed by an additional 16 weeks of enrollment data), but a new dashboard that pulls together a host of information from the Universal Service Administrative Corporation on where and how the Affordable Connectivity Program money is being spent.