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Senate to Vote on Giving Internet Governance to Comcast, AT&T

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Update: The Senate voted against turning the Internet over to Comcast, AT&T, and other major carriers. How did your Senators vote? The US Senate began debating network neutrality yesterday - the historic governing principle of the Internet that ISPs should not be allowed to tell their users where they may or may not go and should not prioritize some connections over others merely because it generates more revenue for the ISP. As Al Franken has said several times, this is the 1st amendment for the Internet - protecting everyone's speech. It prevents a few massive companies (or even local governments where they offer access to the Internet) from exerting too much influence over what subscribers are able to do on the Internet. Unfortunately, many Senators are campaigning against this principle, in part because they have been misinformed as to what it means and in part because they are getting a ton of campaign cash from corporations that recognize how much more profitable they would be if they could charge users extra to go to YouTube. There will be a vote today on a resolution of disapproval for the mild network neutrality rules proposed by the FCC last December (which the FCC Chairman chose to water down in part because he thought it would be less controversial -- FAIL). We would like to recognize some of those who have stood up to protect the open Internet, starting with Free Press. The American Sustainable Business Council authored an op-ed:
The truth is that if we want to make sure small businesses can grow with the assistance of broadband, the Internet must remain open.
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Riverside: Municipal Wi-Fi is Alive in California

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Riverside, California, an innovative city of 300,000 in the eastern part of Los Angeles has been a broadband pioneer even though it sits in the shadow of tech centers like nearby Santa Barbara.   Riverside’s accomplishment as a city catching up with the information age was evident when it was selected as one of the top 7 Intelligent Communities Award in 2011 by New York-based Intelligent Community Forum.  

“It’s an honor to be selected as one of the top 7 cities in the world.  It comes down to a couple factors, what communities are doing with broadband, but... includes digital inclusion, innovation, knowledge workforce (of folks within your community) and marketing advocacy... We rank very high in all those categories.” - City CIO Steve Reneker [Gigabit Nation Radio]

The cornerstone the city’s SmartRiverside initiative is a free public wireless network which covers 78% of the city’s 86 square miles.  Established in 2007 by AT&T (which also offers DSL services in Riverside), the maximum speed of the network is 768kbps, which at just under 1Mbps is decent enough to surf the web and check emails.  However the road to providing free Internet access and bridging the digital divide wasn’t so easy for Riverside.  

The City issued a RFP in 2006 for a provider to deploy a citywide Wi-Fi network, with the goal of making the Internet accessible to users who can’t afford higher cost plans.  The City met with respondents and a speed of 512kbps or about half a megabit was initially quoted as an entry-level speed that would complement existing services rather than compete against them.  The contract was awarded to AT&T who hired MetroFi to build the network and charge the city a service cost of about $500,000 a year.  MetroFi went bankrupt after completing only 25 square miles and Nokia Siemens took over but only completed up to the present level of coverage. 

In 2007, the wifi network launched and began bridging the digital divide. Through the City’s digital inclusion efforts, not only were modest-income families able to obtain low cost or free PCs but also have means to use them with an Internet connection.  

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AT&T Takeover of T-Mobile Will Kill Tens of Thousands of Jobs

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Harold Feld details "double speak" from Deutsche Telekom in the matter of the AT&T takeover of T-Mobile. They have admitted it will kill jobs and is in no an essential outcome for either company.
Two weeks ago, Deutsche Telekom (DT) Chief Technology Officer Olivier Baujard accidentally spoke truth about T-Mobile to an audience of German investment analysts. After running through the usual company talking points about the effort to sell T-Mobile to AT&T (e.g., it will happen, DoJ is just playing hardball with negotiations, etc.), Baujard said at a public presentation at a Paris broadband conference that: “any rational company had a Plan B and that Deutsche Telekom had other opportunities for its U.S. operations should the U.S. Department of Justice succeed in terminating the deal.” This is vitally important because, after accidentally shooting the “this is the only way to bring 4G to rural America” argument in the foot by accidentally leaking documents proving AT&T could bring 4G to rural America whenever it wants, and T-Mobile killed the ‘this will create jobs’ argument by confirming that it was preparing pink slips for more than 20,000 employees after the acquisition gets approved, the “T-Mobile is a sickly gazelle” argument is about all AT&T and it supporters have left. Unfortunately for AT&T, this is not the first time Deutsche Telekom has screwed up the “sickly gazelle” storyline by revealing inconvenient truths about its other options.
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AT&T Takes Its Astroturf Show on the Road, Midwest Edition

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As AT&T tries to buy out its competition via the T-Mobile merger, it has sent out its allies and minions to push the company line in communities around the country. Here are two events in Minnesota and Wisconsin you should be aware of. On Monday, October 3rd, the Humphrey School of Public Affairs at the University of Minnesota is going to host a debate between Amalia Deloney (MAG-Net Coordinator and friend of MuniNetworks.org) and Former Congressman Rick Boucher on the subject of AT&T's attempt to buy T-Mobile (which just happens to be the low cost provider in the wireless space). A few short years ago, one would have expected Rick Boucher to champion opposition to this anti-competitive merger, but alas, the good citizens of his district rewarded his many years of hard work in Congress by voting for his opponent in the last election. As one often expects to see in DC, Rick took a new job and now works for a law firm with AT&T as a client. Suddenly Rick Boucher is the Honorary Chairman of the "Internet Innovation Alliance," a group that has a name that sounds like he should head it. But the IIA is little more than a puppet for AT&T and like interests. They use it as part of their astroturf campaigns to further AT&T's agenda -- ensuring that most Americans are stuck using a network designed for AT&T's interests rather than the public interest. We wish Amalia the best in the debate. This is a far better program than the last time AT&T came to the U's Public Policy school, which featured a blatantly one-sided program attacking inter-carrier compensation rules that have been essential for supporting rural network investment. If you want to attend, you should RSVP to the Center for Science and Technology Public Policy. It will be at 2:00 in the Wilkins Room.
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Publicly Owned Network in Wisconsin Creates Taxpayer Savings

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Eau Claire and Chippewa Falls worked together to build a high-capacity broadband network connecting community anchor institutions, including schools, clinics, traffic lights, and more. Called the CINC for Chippewa Valley Inter-Networking Consortium, they now have higher capacity connections, more control over their future telecom needs and budgets, and can run applications that make their operations more efficient (lessening the pressure on the tax base). The Building Community Capacity through Broadband, a stimulus funded project, has put together a video describing what they did and how they did it. Learn more about these BCCB projects here. As you watch the video, remember that AT&T and its industry allies want to make projects like this illegal. They want to force the schools, libraries, etc. to pay much more for slower, less reliable networks. While the WiscNet attack in June failed, telcos are still trying to create a monopoly for themselves providing these services. The lawsuit against the project has a hearing on November 11th where the Judge may decide to dismiss the case. If the case proceeds, the bench trial will be in early January. We frequently see lawsuits like these from big carriers that do not expect to win the case but rather are just harassing any potential competition to raise the cost of challenging the incumbent. So even though BCCB will almost certainly win the case, the telco goal is mostly to threaten any community that follows the good example of these communities.
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AT&T&T Merger and DOJ: What is Happening?

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In the aftermath of AT&T accidentally admitting they have nothing but a smokescreen to justify buying one of their few competitors, it seemed that nothing had changed and AT&T was going to continue pushing this anti-competition, anti-consumer deal through. But then the Department of Justice filed suit to prevent it. What does that mean and what is next? Public Knowledge tells us below. In the meantime, Sprint has also filed suit under the Clayton Act to separately oppose the takeover. Why do we care here at Community Broadband Networks? Because the biggest companies - AT&T, Comcast, Verizon, CenturyLink, etc. - have tremendous market power that allows them a disturbing amount of power over the future of access to the Internet and as they become even larger, the prospects of any community building a network in their territory becomes more bleak.
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Chattanooga Pairs Wireless with Wired

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Chattanooga, with the nation's most impressive broadband network (stretching into rural areas even outside the metro), is spending $30 million to put a Wi-Fi wireless network on top of it. At present, it is primarily for municipal uses:
For now, city government plans to retain exclusive use of the network for municipal agencies as it tests it with applications including Navy SEAL-esque head-mounted cameras that feed live video to police headquarters, traffic lights that can be automatically adjusted at rush hour, and even water contamination sensors that call home if there’s a problem beneath the surface of the Tennessee River.
Much of the wireless network is being funded by state and federal grants -- Chattanooga is turning itself into a test bed for the future city, at least for communities that recognize the benefits of owning their own infrastructure. Chattanooga can do what it wants to, it does not have to ask permission from Comcast or AT&T.
The goal for the city’s wireless network is to make the entire city more efficient and sustainable, said David Crockett, director of Chattanooga’s Office of Sustainability.
As Bernie Arnason notes at Telecompetitor, Wi-Fi is increasingly needed by smartphones because the big cellular networks cannot handle the load. The future has wireless components, but without Wi-Fi backhauled by fiber-optics, the future will be extremely slow and unreliable -- traffic jams for smartphones. A more recent story from the Times Free Press notes that Chattanooga is wrestling with how to handle opening the network to residential and business use. Wireless symbol
“I want to be innovative,” he said.
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NCSL Voting on Community Broadband Resolution

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Update: As we were publishing this, NCSL barred debate on the resolution. As Tim Judson, put it: Apparently it's ok for states to preempt communities but not for feds to preempt states. The National Conference of State Legislatures is currently meeting and today will vote on a resolution relating to community broadband networks. The resolution calls for NCSL to fight any federal effort to implement the National Broadband Plan recommendation that all communities be empowered to decide locally if they should build a network. Fabiola Carrion of Progressive States Network is there and put together a community broadband factsheet [pdf] and a call to action for people to oppose this wording.
Tomorrow, August 11th, the members of the National Caucus of State Legislatures will cast a final vote on a resolution entitled Twenty-First Century Communications, which threatens the existence of municipal broadband networks. The vote could have a serious impact in your local communities, increasing prices and diminishing broadband service. We need your support to defeat this troubling resolution. I've included a fact sheet below, highlighting the importance of municipal networks in making broadband more accessible, affordable and efficient for everyone.  Please share this with your colleagues and support our efforts to defeat this damaging resolution. 
NCSL should recognize that communities need all the tools available to make sure their businesses and residents have access to fast, affordable, and reliable Internet connections. AT&T's reaction to the fact sheet suggests that they may have been a driving force encouraging NCSL to fight for AT&T's right to buy legislation that prevents the most likely source of competition to AT&T's wireline services.
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Comcast: Internet Access is Temporarily a Civil Right

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You can now read this post at Huffington Post also. As a condition of its massive merger with NBC, the federal government is requiring Comcast to make affordable Internet connections available to 2.5 million low-income households for the next two years. In promoting the program, Comcast's Executive VP David Cohen, has made some unexpected admissions:
“Access to the internet is akin to a civil rights issue for the 21st century,” said David Cohen, Comcast’s executive vice president. “It’s that access that enables people in poorer areas to equalize access to a quality education, quality health care and vocational opportunities.”
It was only after the federal government mandated a low-cost option for disadvantaged households that Comcast realized everyone could benefit from access to the Internet. Sadly for Comcast, it has done a poor job of reaching those disadvantaged communities, by its own admission:
"Quite frankly, people in lower-income communities, mostly people of color, have such limited access to broadband than people in wealthier communities."
This is why so many communities are building their own next-generation networks - they know that these networks are essential for economic development and ensuring everyone has "access to a quality education, quality health care and vocational opportunities." And they know that neither Comcast nor the federal government are going to make the necessary investments. They need a solution for the next 20 years, not just the next 2. Community Networks Map Comcast has a de facto monopoly in many communities.
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