Fair International Comparisons of Broadband Penetration

As one who has criticized the FCC for shoddy, results-driven decision making and data collection, I think the Commission deserves credit when it plays it straight.  The Commission does a quite good job in a recent Report that compiles data comparing U.S. broadband penetration with that occurring in other nations.  See See International Comparison Requirements Pursuant to the Broadband Data Improvement Act, International Broadband Data Report, IB Docket No. 10-171, Second Report, DA 11-732 (rel. May 20, 2011); available at: http://hraunfoss.fcc.gov/edocs_public/attachmatch/DA-11-732A1.doc. 

            The FCC provides more helpful comparisons, including consideration of service prices and delivered versus advertised delivery speeds.  The international comparison largely corroborates statistics compiled by the Organization for Economic Co-Operation and Development (“OECD”) showing that the U.S. ranks high in wireless broadband and cable modem wireline service, but mediocre in DSL broadband service. “Based on OECD data, the United States ranks ninth for mobile broadband adoption on a per capita basis, and 12th for fixed (e.g., DSL or cable) broadband on a per household basis.  U.S. fixed broadband adoption lags behind such countries as South Korea, the United Kingdom, Canada, and Germany, but exceeds adoption rates in Japan and the EU average.  This Report also compares data on average actual download speeds reported by a sample of consumers in a number of U.S. and foreign cities and finds that some large European and Asian cities exhibit a significant edge over comparable U.S. cities in reported download speeds, though reported speeds for some other international cities are roughly comparable to speeds in many U.S. cities.”   

Broadband Penetration in the U.S.: Saturated, Recession-Affected, or Pricing Out Many?

In addition to providing a better sense of what specific broadband service options consumers have in more narrowly drawn geographic areas, the FCC’s most recent statistics on broadband show a significant decline in new subscriptions. See INTERNET ACCESS SERVICES: STATUS AS OF JUNE 30, 2009 (September 2010); available at: June 2009 FCC BB Stats.

The Commission also reports that as of June 2009 there were 61 reportable residential fixed-location connections per 100 households, with 56 connections per 100 households operating at advertised whose speeds in excess of 768 kbps downstream and only 27 connections per 100 households operating at advertised speeds near the broadband availability target--actual download speeds of at least 4 Mbps and actual upload speeds of at least 1 Mbps--recommended in the National Broadband Plan.

Does a downturn in new broadband statistics point to market saturation? It sure seems as though major broadband carriers are content with their subscription numbers. For example, Comcast recently raised by $2 both its service tiers. In light of the comparatively high rates charged in the United States, $30-60 a month, a significant portion of Americans do not appear willing to pay. Alternatively, current economic conditions might have forced prospective users to hold back.

InfoDev (World Bank) Publication on Broadband Development

You might have an interest in the World Bank (InfoDev) study entitled: Building broadband: Strategies and policies for the developing world; available at: http://www.infodev.org/en/Document.756.pdf.

I prepared a comparative study of several developed countries that is woven into the document.

Having Its Cake and Eating it Too--Shirking Common Carriage While Retaining Rights of Way Access and Other Benefits

AT&T's new gambit to rid itself of pesky Title II common carrier responsibilities prompts me to ask (and tentatively answer) this question: when, if ever, do Title II carriers lose common carrier/public utility free or below market access to rights of way and other benefits designed to offset the costs of common carriage? Put another way: do information service providers have any rights to public utility upside opportunities.

Some time ago, Comcast decided it wanted to install a mini-refrigerator sized amplifier on my property, ostensibly to "improve" service. For the sake of discussion, let's assume the amplifier had nothing to do with its cable service and its installation would not raise questions about the scope of rights of way available to Title VI regulated cable operators. In other words, the amplifier enhances Title I lightly regulated information services, such as broadband. I took issue with the installation of the eyesore, mostly because Comcast did not see the need to inform me of its "need." I argued that Comcast did not have the legal right to bootstrap its existing cable service right of way to install a new pedestal having not connection to its limited purpose right of way.

Comcast refused to engage me in a dialog, but they did dismantle the mini-refrigerator apparently installing it elsewhere.

The Telecommunications Act of 1996 illogically and probably unintentionally toggles between the use of the term telecommunications provider and telecommunications service provider.when addressing access to rights of way issues. We now know the FCC--with approval by the Supreme Court in Brand X--differentiates the two terms. But for purposes of rights of way, the Commission very well may not differentiate. Bootstraping the same sections of the Act to justify its jurisdiction to make federal Internet policy, the Commission probably would claim that even information service providers need rights of way to promote universal access to advanced telecommunications capabilities (Sec. 706) which in practice includes Internet access and arguably some types of information services.

In a nutshell it seems to me AT&T and others can further shirk its common carrier/public utility obligations while continuing to exploit rights of way access and other benefits.

Such a deal.