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In ProMarket: A Wave of Telecom Mergers

The CBN team's Associate Director for Communications Sean Gonsalves recently published a piece in ProMarket about the continuing consolidation of telecommunication markets and why municipal broadband is a better option. He writes:

"Last month, AT&T announced it would acquire all of Lumen Technologies’ fiber internet business for $5.75 billion. According to a company statement, the purchase will net AT&T one million fiber customers and significantly expand its fiber footprint in Denver, Las Vegas, Minneapolis-St. Paul, Orlando, Phoenix, Portland, Salt Lake City, and Seattle.

Across AT&T and Lumen’s service areas, where they offer wired or licensed fixed wireless Internet service, more than half of the locations they claim to serve have two or fewer options for high-speed internet service.

Good news for AT&T stockholders. Not so good news for broadband-hungry subscribers who, for years now, have been paying among the highest prices for internet service of any developed nation in the world. Ever wonder why that is? The answer is as painfully obvious as our overpriced monthly internet bills.

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A file tab reads "mergers and acquisitions"

When big telecom giants consolidate—especially in a market where most people have only one or maybe two internet service providers (ISPs) to choose from—the results are predictable: without meaningful competition for something as fundamental as internet connectivity in an internet-connected world, monopolists have no incentive to improve service, invest in network upgrades, or compete on price.

California’s Affordable Broadband Bill At Risk Of Being Destroyed By Lobbying

California lawmakers’ efforts to pass a new law mandating affordable broadband access is at risk of being destroyed by industry lobbying. California insiders say the changes are so dramatic they may wind up making broadband affordability in the state worse – undermining years of digital equity activism and discarding a rare opportunity to bridge the digital divide.

The California Affordable Home Internet Act (AB 353), introduced by Assemblymember Tasha Boerner last January, would require that broadband providers in the state provide broadband at no more than $15 per month for low-income households participating in a qualified public assistance program.

The original legislation mandated that state residents should be able to receive $15 for all ISPs for broadband at speeds of 100 megabit per second (Mbps) downstream, 20 Mbps upstream. The proposal mirrored similar efforts by New York State which opened the door to other state efforts after the Supreme Court recently refused to hear a telecom industry challenge.

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Several dozen digital equity advocates hold a rally on the lawn of the California statehouse

“I want to get something fair and reasonable that helps those who need it most,” Boerner said in a press release. “AB 353 will fill the gap and ensure our children can turn in their homework, families can get access to telehealth, and apply for jobs online.”

On June 4 a vote moved the legislation through the state Assembly and on to the state senate by a 52-17 margin.

Charter and Cox Merge, Hotspots Under Threat, and the End of the Digital Equity Act | Episode 114 of the Connect This! Show

Connect This! Show

Catch the latest episode of the Connect This! Show, with co-hosts Christopher Mitchell (ILSR) and Travis Carter (USI Fiber) joined by regular guests Kim McKinley (TAK Broadband) and Doug Dawson (CCG Consulting) and special guest Angela Siefer (National Digital Inclusion Alliance) to talk about all the recent broadband news that's fit to print. Topics include:

Join us live on May 16th at 2pm ET, or listen afterwards wherever you get your podcasts.

Email us at [email protected] with feedback and ideas for the show.

Subscribe to the show using this feed or find it on the Connect This! page, and watch on LinkedIn, on YouTube Live, on Facebook live, or below.

Monopoly ISPs vs. the States | Episode 106 of the Connect This! Show

Connect This! Show

Catch the latest episode of the Connect This! Show, with co-hosts Christopher Mitchell (ILSR) and Travis Carter (USI Fiber) joined by regular guests Kim McKinley (TAK Broadband) and Doug Dawson (CCG Consulting) and special guests Sascha Meinrath (X-Lab) and Robert Boyle (Planet Networks) to talk about all the recent broadband news that's fit to print. On tap:

Join us live on January 24th at 2pm ET, or listen afterwards wherever you get your podcasts.

Join for the next show on February 7th at 2pm ET.

Email us at [email protected] with feedback and ideas for the show.

Subscribe to the show using this feed or find it on the Connect This! page, and watch on LinkedIn, on YouTube Live, on Facebook live, or below.

ISPs and Copyright Infringement: The Legal Battle Over Liability - Episode 618 of the Community Broadband Bits Podcast

In this episode of the podcast, Chris is joined by Professor Alfred Yen from Boston College Law School to discuss a pivotal case involving Cox Communications and copyright infringement. 

The conversation centers on whether Internet Service Providers (ISPs) should be held responsible when their subscribers engage in illegal downloading of music.

They explore the complex legal questions surrounding ISP liability, the potential consequences for smaller ISPs, and how this could reshape the relationship between copyright holders and service providers. 

Professor Yen provides insight into the impact this case could have on Internet users and ISPs, especially as the music industry seeks to make ISPs financially accountable for their subscribers' actions.

The episode also touches on broader concerns about how cutting off Internet access could affect critical services like healthcare and business operations, making this a pressing issue with far-reaching implications.

This show is 33 minutes long and can be played on this page or via Apple Podcasts or the tool of your choice using this feed.

Transcript below.

We want your feedback and suggestions for the show-please e-mail us or leave a comment below.

Listen to other episodes or view all episodes in our index. See other podcasts from the Institute for Local Self-Reliance.

Thanks to Arne Huseby for the music. The song is Warm Duck Shuffle and is licensed under a Creative Commons Attribution (3.0) license

Florida Designates $144 Million in ARPA Funds for 58 Broadband Projects

Florida’s state broadband office is doling out $144 million in grants to 58 different broadband expansion projects across 41 Florida counties.

The funding is being delivered courtesy of Florida’s Broadband Opportunity Grant Program, itself made possible by federal legislation—the American Rescue Plan Act (ARPA)— that many Florida lawmakers opposed.

The full breakdown of the deployments make it clear that, similarly to what we’ve seen in states like Montana, the lion’s share of state funding will be going to regional cable monopolies.

Roughly $89 million of Florida’s $144 million grant award will be going to the state’s three largest cable broadband providers: Cox, Comcast, and Charter. Comcast obtained $45 million, Charter was awarded approximately $28 million, and Cox was awarded $16 million. A more detailed breakdown of the awards obtained by Telecompetitor indicates that the vast majority of the projects are partnerships with cable giants.

IN OUR VIEW: City Cast Provides Good Lessons for Covering Broadband

City Cast Las Vegas recently aired back-to-back podcast episodes about Internet access in the region, "Why Does Our Internet Suck?" followed by "Who Can Fix Our Internet?" As an organization that both produces stories like that as well as stars on them, as our own Sean Gonsalves did in the first episode, we wanted to share why we think these are well done and should serve as good lessons for others covering these issues.

The interviewer, Dayvid Figler, is on point with questions and the show offers a concise description of the challenge and potential solutions. It turns out that Dayvid also worked as a trial lawyer though, so perhaps not many reporters will be able to simply summon that level of command to shape the conversation. Nonetheless, these two shows are wonderfully informative.

The first episode sets up the second, which is where I want to spend more time. Dayvid's questions help Sean explain what broadband is and why some neighborhoods are left behind - one of the more common questions we see on this subject. They discussed who owns existing networks and what fiber is and why we should care.

Dayvid lays the groundwork for the second show by asking why competition hasn't solved the problem of why people are frustrated with their Internet service and Sean explains that while there is no one-size-fits-all solution, the Institute for Local Self-Reliance believes communities need to take action to improve their service.

The second episode features Brian Mitchell, Director of the Nevada State Office of Science and Innovation. No relation to me, Christopher Mitchell, or my boss, Stacy Mitchell (none of us are related - there are just a lot of Mitchells, ok?).

Siloam Springs, Arkansas Is Weighing Its Options For Citywide Fiber Build

In 2012 the residents of Siloam Springs, Arkansas voted against building their own fiber network after some misleading electioneering by the regional cable monopoly Cox Communications. A decade later and local residents are still frustrated by high prices and a lack of competition, as city leaders are still contemplating what exactly they should try to do about it. 

In June, the city released a new report by Finley Engineering and CCG Consulting showing the width and depth of the city’s broadband issues. That report was formally presented at an August city meeting before the city’s recently-formed Broadband Advisory Committee.

Survey Said … 

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The survey showed that 11 percent of Siloam Springs residents still lack access to broadband, 77 percent of city residents want greater broadband competition, and 88 percent say they’re paying way too much for broadband service. While residents also complained about sluggish upload speeds and outages, the biggest consistent complaint was high prices. 

“The number one issue that came through loud and clear in the surveys is broadband pricing – practically every resident we heard from thinks current broadband is too expensive,” the study authors noted. 

Siloam Springs is heavily dominated by a duopoly of just two providers: Centurylink and Cox Communications. But even calling it a duopoly is generous; the city’s survey found that Cox enjoys a 92 percent broadband market share within city limits. The lack of competitive threat reduces any real incentive for the cable giant to lower prices or expand service. 

Yavapai County, Arizona Pushes Forward with $20 Million Broadband Expansion

Yavapai County, Arizona is pushing forward with a $20 million plan to shore up broadband access across the region. While dramatically scaled back from a $55 million proposal pushed last year, county leaders are hopeful that the effort still drives significant upgrades across the rugged and predominantly rural desert county.  

Last fall, Yavapai County officials announced they would be committing $20 million of the county’s $45.6 million in American Rescue Plan Act (ARPA) funds toward its Broadband Final Mile Initiative, a project spearheaded by the Yavapai County Education Service Agency (YCESA) and designed to bring affordable broadband to every student in Arizona.

The county issued an RFP last October looking for broadband providers willing to use ARPA funding to push symmetrical 100 Megabit per second (Mbps) connections further into rural regions. The expansion was to lean heavily on a 2018 Yavapai County decision to spend $3.7 million on a fiber-optic middle mile network connecting 74 schools and libraries.

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“The proposals have been reviewed and contracts have been awarded,” Yavapai County School Superintendent Tim Carter told ILSR in an update. “Cox Communications has been awarded the contract for Black Canyon City and Congress, and Altice USA has been awarded the contract for Mayer, the Beaver Creek area, Cornville, and Paulden.”

Cox Looks to Head Off Municipal Network Competition in Rhode Island

Cox Communications recently grabbed headlines for an announcement that the company would be investing more than $120 million in Rhode Island to expand and upgrade its Internet infrastructure. But officials in the state say much of the planned deployments may not actually even be new. The announcement appears timed to ensure that public funds from the American Rescue Plan are shifted away from potential competitors (including local governments), and toward a regional monopoly long criticized for underinvestment in the state. 

“Historic Investment”

On March 15, the region’s dominant cable broadband provider announced a $120 million plan to provide 10 gigabit per second (Gbps) service to an unspecified number of  Rhode Island residents over the next three years. The coordinated press event and announcement took place at the Old Colony House in Newport mansion of Governor Dan McKee, who heralded the “historic investment.” 

According to Cox, $20 million of the announced total would fund fiber new deployments to roughly 35,000 homes in the Aquidneck Island communities of Newport, Portsmouth, Middletown, and Jamestown. The rest will focus on providing less-robust hybrid coaxial/fiber service to the rest of the state’s residents. 

“We’re preparing for the next generation of Internet use in home and in business,” Ross Nelson, Senior Vice President and Regional Manager for Cox Communications said. “We are committed to being the Internet provider customers can count on to have the speed they need now and in the future.”

But several state leaders, well familiar with cable and phone monopolies' long history of under-investment in the state, say the announcement was largely decorative, and doesn’t come close to actually meeting the needs of long-underserved local Rhode Island communities.