Jim Baller Discusses Municipal Broadband History - Community Broadband Bits Episode #57
“My answer has been, as it is tonight, to point out these plain principles,” Roosevelt told the crowd. “That where a community -- a city or county or a district -- is not satisfied with the service rendered or the rates charged by the private utility, it has the undeniable basic right, as one of its functions of government, one of its functions of home rule, to set up ... its own governmentally owned and operated service.”
While FDR was referring to electricity in 1932, he could easily be speaking about today's critical need for Internet connectivity. Fortunately for a growing number of people in our country, many local leaders share his sentiments and those communities are investing in community owned telecommunications networks.
Government Technology recently reposted a Governing article by Alex Marshall, a Senior Fellow at the Regional Plan Association in New York City. The Director of our Telecommunications work, Christopher Mitchell, tells me he just bought Alex's new book from a local bookstore and has put it at the top of his reading list: The Surprising Design of Market Economies.
Marshall sees fiber optic connectivity as the utility of today and tomorrow. He explores the question of who should provide access - public institutions or the private market? In his research, Marshall finds that many local communities are not waiting for an "official" answer to that question and are taking control of getting their citizens online.
Marshall spoke with Nick Braden from the American Public Power Association (APPA):
And for all its accusations, Larsen says Mediacom will not sue. Spending millions of dollars on a lawsuit in a place where the company serves so few homes, he said, "is not a great business decision."We have previously covered the many false and disproved accusations Mediacom have leveled against Lake County. The Strib article reiterates that these charges have been found to have no merit. The article also reiterates that the County has a real need that private companies have failed to meet:
The conflict that ensued is part of a national struggle. Public officials and some of their constituents argue that rural broadband is like rural electrification: It's a lifeline for small-town America that the free market will not extend. "We've been ridiculously underserved in this area for years," said Andy Fisher, who owns a Lake County bed-and-breakfast and a rural cross-country skiing lodge. The cable companies "are working in the interest of their profits. But if they're not going to serve this area, what are we going to do?"And yet, Mediacom sees itself as the underdog!
"Lake County wants to make this into a David and Goliath story, where Mediacom is Goliath and poor little Lake County is David," said Tom Larsen, Mediacom's group vice president of legal and public affairs. "The truth is we're David because we're fighting [the government]. It's just the same story repeated all over the country."Fascinating. Mediacom has billions in revenues whereas the County deals with budgets in the millions. Sure Mediacom is between 100 and 1000 times bigger than Lake County, it still wants to stop a project serving thousands of unserved people (that it believes is doomed to fail) because it is too disadvantaged.
You are surrounded by the radio waves of local television signals. They are available to you for free if you put up an antenna, but there was no easy way to take that free signal and then stream it to all your digital devices. Now there is. Aereo, available only in New York presently, combines an antenna with broadband to transmit television wherever you want it.
Ryan Kim provides the details in a February GigaOm article:
The system works by creating an array of hundreds of thousands of tiny TV antennas the size of a thumbnail and housing them in one data center in a market. When users hook up to Aereo, they take command of an antenna, renting it to get local broadcast channels such as ABC, CBS, Fox and others. They also have access to a cloud-based dual tuner DVR that allows them to initially record up to 40 hours of content.
Customers can view the content on iPads, iPhones, AppleTV, and Roku devices via the web. Rates vary from $1/day to $80/year. The company, backed in part by IAC, aspires to expand nationally.
This is an approach local community networks should follow, particularly those who want to build broadband networks but don't want to get lost in the mind-numbing details of offering a television package.
Needless to say, major broadcasters have gone to the court to stop the ambitious start-up. FOX, the Tribune Company, PBS, Univision, and others, lost their July bid for a preliminary injunction to stop Aereo from rebroadcasting their programming over the Internet. The plaintiffs argued that Aereo violated copyright protections, but Aereo's method does not amount to a copyright infringement according to the court. The individual control over each antenna does not allow sharing of content and does not amount to infringement through public performance.
Staci D. Kramer, from paidContent summed up the judge's rationale for denying the injunction:
“It stopped us from really building the system by about a year,” said Finance Director Tom Kelly, “which put our revenue collections about a year behind.
Wisconsin Independent Telecommunications Systems, operating as Access Wisconsin, sued the UW Board of Regents in July in an effort to stop a $32.3 million fiber optic network to Platteville, Wausau, Superior and the Chippewa Valley region. The lawsuit also named WiscNet, CCI Systems Inc. and the state Department of Transportation. ... The grant — made available through federal stimulus funds — will build high-speed Internet fiber to anchor institutions such as libraries, schools and government, health care and public safety buildings.A press release from the UW-Extension office that organized the Building Community Capacity through Broadband program, funded by the broadband stimulus program, notes:
“This work by the University of Wisconsin-Extension and our many community partners is vital to the future of the Wisconsin economy,” said Ray Cross, chancellor of the University of Wisconsin-Extension and University of Wisconsin Colleges. “I hope that now government, the university, private businesses and communities in every corner of the state will be able to work together to assure Wisconsin is connected to the global economy.”Remember that these lawsuits are rarely intended to be won.