The National Broadband Plan has been long awaited and will be studied in detail by interested parties.
The plan is essentially an outline of what the regulator aims to do over the next few years, but the detail will only develop as the FCC and Congress address the individual elements of the plan.
There are still key questions over the ability of the FCC to regulate broadband services, which will be addressed by the courts, while internal debates at the FCC and Congress will determine the final outcome of the plan.
The Federal Communications Commission (FCC) has released the executive summary for the long-awaited document, Connecting America: The National Broadband Plan, which lays out the regulator's goals in enhancing broadband availability, and the methods for achieving those goals. The report cites benefits including improved healthcare, education and training, entrepreneurship, civic participation, and energy-efficient smart grids as driving the attempt to improve broadband access to reach the 100 million Americans without home internet services. It also notes the still-existing need for a nationwide public safety mobile broadband network with funding of up to US$6.5 billion over the next 10 years. The plan is positioned as being budgetary-neutral, with funds coming from spectrum auctions, improved government efficiencies, economic stimulus effects, and the reallocation of existing funds.
There are six long-term goals for the next decade, including connecting 100 million homes at 100 Mbps; 1-Gbps services to anchor institutions (schools, hospitals, government buildings), leading global mobile innovation with fast and extensive networks; access for all to affordable, robust broadband, and the means and skills to subscribe; a nationwide, interoperable public safety network; and tracking and management of real-time energy consumption.
The FCC notes that the government has four levers to influence the broadband ecosystem:
* The FCC will collect and analyse information on individual markets' pricing and competition, and take specific remedial action where necessary. Service providers will be required to disclose information and wholesale competition rules will be reviewed. New spectrum will be identified and released for unlicensed use and wireless backhaul, while action will be taken to encourage wireless data-roaming and open up the set-top box market to competition. State and local entities will have their right-to-build network clarified. The plan also intends to "clarify the relationship between users and their online profiles", making mention of requirements for both personal privacy and control of personal data.
* The FCC will ensure that assets (e.g. spectrum and poles) are managed efficiently such as through rules on right of way, and access to municipal and competitors' support infrastructure. The FCC intends to make available 500 MHz of spectrum within 10 years, of which 300 MHz will be assigned to mobile services. Existing licensees will be encouraged to repurpose unused spectrum via auctions with shared revenues, and the creation of a mechanism for an efficient secondary market and new, "opportunistic" access models. Government funding for infrastructure projects will also be examined and an ultra high-speed network will be developed for the Department of Defense.
* Universal service mechanisms will be reformed to support high-cost deployments and low-income or low-interest users. Up to US$15.5 billion from the existing Universal Service Fund (USF) budget will be shifted to a "Connect America Fund" (CAF), supporting 4 Mbps to unserved areas. The high cost component of the USF (US$4.6 billion per year) will also be reassigned to the CAF. The plan also makes a faint plea for additional funding of "a few billion dollars per year" for the next two to three years. Inter-carrier compensation reform will aim to remove per-minute charges over the next 10 years with cost recovery through the CAF mechanism. A mobility fund will be created to subsidise 3G and 4G services to underserved areas. Low-income users will be supported through the lifeline and lifelink programmes' expansion into broadband, while training programmes will encourage adoption. The long-held idea of licensing a block of spectrum to include free or low-cost public access has again been raised.
* Laws, policies and standards will be reformed to maximise the benefits of broadband in government sectors, including education, healthcare, government operations, and regulated industries, such as energy. Connectivity will be improved to institutions, while use will be incentivised, content created and healthcare device regulations improved. Under this banner, small businesses' use of broadband to improve job creation, placement and productivity will also be encouraged. State and local governments will be encouraged to invest in broadband via the Networx programme. Government institutions will also be encouraged to implement online service delivery and to use cloud-computing models. There will also be a greater focus on improving cyber-security critical infrastructure survivability, an area that has been receiving increasing attention.
The FCC notes that half of the plan is for the FCC to address, while the remainder is for Congress, the Executive Branch, the state and local government, working closely with private and non-profit sectors. The FCC will publish a timetable to "quickly" address the plan's recommendations within its authority.
However, the plan has largely ignored the debate over the FCC's authority to regulate broadband services to this extent, which has become key, particularly as the courts are currently addressing the question. The FCC under previous chairman Kevin Martin attempted to address many of these questions, including inter-carrier compensation, USF reform, a public safety network and a low–cost/free public access network, but to no avail.
While the plan is positioned as essentially neutral in funding terms, it is also likely to face opposition in congress where budgetary constraints and ideological differences in the debating chamber will water down the vision of the plan through the usual political horse-trading. There has also been some opposition reported by broadcasters fearing a spectrum grab by mobile broadband companies and as each element of the plan moves forward, new battlegrounds will likely be found.
