February 2021 News Update
FCC Establishes Emergency Broadband Benefit Program Rules
February 26, 2021 – The Federal Communications Commission has unanimously adopted a Report And Order establishing the Emergency Broadband Benefit Program, which will provide $3.2 billion to help lower the cost of high-speed broadband Internet access service for eligible households during the on-going COVID-19 pandemic. Eligible households should be able to enroll in the Emergency Broadband Benefit Program through participating broadband providers or the Universal Service Administrative Company (USAC) before the end of April, 2021. The EBB Program will provide the following benefits: up to $50 per month discount on broadband services; up to $75 per month discount on broadband services for households on Tribal lands; and a one-time discount of up to $100 for a laptop, desktop computer, or tablet purchased through a participating provider. The benefit is limited to one monthly service discount and one device discount per eligible household. A household is eligible for EBB Program benefits if any of the following applies to one member of the household:
Qualifies for the Lifeline program, including those who are on Medicaid or receive SNAP benefits;
Receives benefits under the free and reduced-price school lunch program or the school breakfast program, including through the USDA Community Eligibility Provision, or did so in the 2019-2020 school year;
Experienced a substantial loss of income since February 29, 2020, and the household had a total income in 2020 below $99,000 for single filers and $198,000 for joint filers;
Received a Federal Pell Grant in the current award year; or
Meets the eligibility criteria for a participating provider’s existing low-income or COVID-19 program.
To participate in the EBB Program, a broadband provider must: have provided broadband Internet access service to households as of December 1, 2020; elect to participate; and either be designated as an eligible telecommunications carrier (ETC) or be approved by the FCC. Within the next seven days, the FCC’s Wireline Competition Bureau will announce a timeline for the submission of information by broadband providers that want to participate. After that, the Bureau will announce other administrative deadlines or milestones. The FCC expects that the EBB Program and the enrollment process will begin in less than 60 days.
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FCC Announces Results Of Record-Breaking C-Band Auction – $81.1 Billion In Gross Bids, With All Licenses Won
February 24, 2021 – The FCC’s Wireless Telecommunications Bureau has announced the results of Auction 107 – the auction of new flexible-use overlay licenses in the 3.7–3.98 GHz band. Auction 107, commonly referred to as the C-Band Auction, raised a total of $81,114,481,921 in net bids and $81,168,677,645 in gross bids, with 21 bidders winning all of the available 5,684 licenses. A list of all winners is available as Attachment A to the Bureau’s Public Notice.
The five bidders with the largest total gross winning bid amounts from both the clock and assignments phases are as follows:
Cellco Partnership (Verizon) – $45,454,843,197
AT&T – $23,406,860,839
T-Mobile – $9,336,125,147
U.S. Cellular – $1,282,641,542
NewLevel II, L.P. (David Grain) – $1,277,395,688
The five bidders winning the largest number of licenses were as follows:
Cellco Partnership (Verizon) – 3,511
AT&T – 1,621
U.S. Cellular – 254
T-Mobile – 142
Canopy Spectrum, LLC – 84
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FCC Announces Tentative Agenda For March 17th Open Meeting
February 24, 2021 – Federal Communications Commission Acting Chairwoman Jessica Rosenworcel has announced the following tentative agenda for the FCC’s next open meeting scheduled for Wednesday, March 17, 2021:
Promoting Public Safety Through Information Sharing – The Commission will consider a Second Report and Order that would provide state and federal agencies with direct, read-only access to communications outage data for public safety purposes while also preserving the confidentiality of that data. (PS Docket No. 15-80)
Improving the Emergency Alert System and Wireless Emergency Alerts – The Commission will consider a Notice of Proposed Rulemaking and Notice of Inquiry to implement section 9201 of the National Defense Authorization Act for Fiscal Year 2021, which is intended to improve the way the public receives emergency alerts on their mobile phones, televisions, and radios. (PS Docket Nos. 15-94, 15-91)
Facilitating Shared Use in the 3.45 GHz Band – The Commission will consider a Second Report and Order that would establish rules to create a new 3.45 GHz Service operating between 3.45-3.55 GHz, making 100 megahertz of mid-band spectrum available for flexible use throughout the contiguous United States. (WT Docket No. 19-348)
Auction of Flexible-Use Service Licenses in the 3.45-3.55 GHz Band – The Commission will consider a Public Notice that would establish application and bidding procedures for Auction 110, the auction of flexible use licenses in the 3.45-3.55 GHz band. (AU Docket No. 21-62)
Promoting the Deployment of 5G Open Radio Access Networks – The Commission will consider a Notice of Inquiry seeking comment on the current status of Open Radio Access Networks (Open RAN) and virtualized network environments, including potential obstacles to their development and deployment, and whether and how deployment of Open RAN-compliant networks could further the Commission’s policy goals and statutory obligations. (GN Docket No. 21-63)
National Security Matter – The Commission will consider a national security matter.
National Security Matter – The Commission will consider a national security matter.
Enforcement Bureau Action – The Commission will consider an enforcement action.
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Federal Court Rejects Challenge To California Net Neutrality Law
February 23, 2021 – The U.S. District Court for the Eastern District of California has denied a request for a preliminary injunction to block enforcement of California’s net neutrality law – Senate Bill 822. Plaintiffs American Cable Association, CTIA–The Wireless Association, NCTA–The Internet & Television Association, and USTelecom–The Broadband Association filed their lawsuit in October 2018, claiming California’s net neutrality law was prohibited by the FCC’s 2018 Restoring Internet Freedom Order. In that order, the FCC made a preemptive strike against states considering passing net neutrality rules of their own, claiming it “has independent authority to displace state and local regulations in accordance with the longstanding federal policy of nonregulation for information services.” The Court’s decision allows California to move forward with the law, but the Plaintiffs, trade associations representing Internet service providers, can also move forward with the full court case against the law.
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Elon Musk Claims Starlink Download Speed Will Hit 300 Mbps This Year
February 22, 2021 – Elon Musk has stated that Starlink satellite Internet service will increase available download speeds to 300 Mbps and reduce latency to 20 ms later this year. And, he claimed those speeds will be available to “Most of Earth by end of year, all by next year, then it’s about densifying coverage.” He made the statements in tweets responding to a Starlink beta user who posted a picture of the results of a speed test of the service, which showed 130 Mbps down and 24 Mbps up, with 34 ms latency. In a recent FCC filing, Starlink disclosed there are currently 1,000 Starlink satellites in orbit, and over 10,000 users in the United States and abroad are using the Starlink broadband service as part of the public beta program.
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Acting FCC Chair Circulates Emergency Broadband Benefit Program Report And Order
February 22, 2021 – Acting FCC Chair Jessica Rosenworcel has circulated a Report and Order to her fellow FCC Commissioners that would establish rules for the Emergency Broadband Benefit Program. Total funding for the program is set at $3.2 billion, which will be used during an emergency period relating to the COVID-19 pandemic to provide discounts on monthly internet service and the purchase of a computer or tablet. Broadband providers that participate in the program will receive reimbursements for the service discounts. According to an FCC News Release, the Report and Order:
Opens the Emergency Broadband Benefit Program to all types of broadband providers;
Requires providers to deliver the qualifying broadband service to eligible households to receive reimbursement from the Program; and
Encourages eligible households to affirmatively indicate their interest in the program.
Households will be eligible for program benefits when a member of the household:
Qualifies for the FCC’s Lifeline program;
Receives benefits under the free and reduced-price school lunch program or the school breakfast program;
Experienced a substantial loss of income since February 29, 2020;
Received a Federal Pell Grant; or
Meets the eligibility criteria for a participating providers’ existing low-income or COVID-19 program.
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RDOF News: DISH Partially Opposes Starlink’s Petition For ETC Designation
February 22, 2021 – DISH Network Corporation has filed a partial opposition to Starlink Services, LLC’s petition for designation as an eligible telecommunications carrier to receive funding from the FCC’s Rural Digital Opportunity Fund. Space Exploration Technologies Corp. (SpaceX) was a winning bidder in the RDOF auction, but assigned its winning RDOF bids to Starlink, its wholly-owned subsidiary which has access to all space and terrestrial assets and infrastructure needed from SpaceX to deploy and operate a satellite broadband service. DISH is opposing Starlink’s requested ETC status insofar as SpaceX proposes to use the 12.2-12.7 GHz band for Starlink broadband service. DISH claims that to the extent that Starlink’s requested ETC designation is based on the 12 GHz band, it should be denied or deferred, pending the resolution of the DBS interference concerns arising in that band from SpaceX’s proposed modification of its satellite system, and the sharing questions presented in the FCC’s recently initiated 12 GHz rulemaking. DISH is not objecting to Starlink ETC status based on access to other frequency bands.
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RDOF News: WISPA Responds To Calls For Increased Scrutiny Of Fixed Wireless Providers’ RDOF Long-Forms
February 22, 2021 – The Wireless Internet Service Providers Association (WISPA) has responded to the numerous filings made by various groups raising concerns as to whether fixed wireless service is technically able to provide Gigabit broadband speeds. WISPA claims these concerns are “motivated by auction outcomes that they find unfavorable to their constituencies,” and the groups’ filings “seek untimely and unjust changes in the standards and process for staff review of [RDOF] long-form applications – changes that, if adopted, would lead to massive delays in the authorization of support for more than five million unserved rural locations that are on the wrong side of the digital divide.” Among the filings specifically challenged by WISPA is the recent whitepaper filed by NTCA–The Rural Broadband Association titled Evaluating the Capabilities of Fixed Wireless Technology to Deliver Gigabit Performance in Rural Markets. The whitepaper notes that because there is no proven “track record with respect to fixed wireless technologies” delivering Gigabit broadband to rural areas, the FCC should “take a careful look, based upon objective engineering criteria, at whether and to what degree fixed wireless networks can deliver Gigabit level services” to rural areas “where serviceable locations can be several hundred feet to miles apart.” WISPA, in its filing, argues the concerns over fixed wireless service are procedural deficient, and attempts to rebut some of the technical arguments against fixed wireless Gigabit service. WISPA states that the FCC should conduct a rigorous review of RDOF long-form applications, in line with the process it laid out when creating and implementing the RDOF auction:
To be clear, WISPA absolutely agrees that the Commission should “validate that each provider in fact has the technical, financial, managerial, operational skills, capabilities, and resources to deliver the services that they have pledged for every American they plan to serve regardless of the technology they use.” In so doing, however, the Commission should reject calls for disruptive, time-consuming, and litigation-producing changes that most assuredly will delay decisions on who should receive support and who should not, and the deployment of critical broadband facilities to unserved communities.
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FCC Proposes Revisions To Secure And Trusted Network Reimbursement Program
February 22, 2021 – The Federal Communications Commission has issued a Third Notice of Proposed Rulemaking which seeks comment on modifying the Secure and Trusted Network Reimbursement Program rules to help expedite removal of equipment and services that pose a national security threat to U.S. communications networks. Through the Consolidated Appropriations Act, 2021 (CAA), Congress appropriated $1.9 billion for the Secure Networks Act of 2019, of which $1.895 billion must be used to remove and replace blacklisted communications equipment and services and reimburse eligible providers. In general, the FCC has proposed the following key revisions:
The FCC proposes to raise the cap on eligibility for participation in the Secure and Trusted Communications Networks Reimbursement Program to providers of advanced communications service with 10 million or fewer customers.
The FCC proposes to modify the acceptable use of reimbursement funds and to amend our rules to allow recipients to use reimbursement funds to remove, replace, or dispose of Huawei Technologies Company or ZTE Corporation equipment or services that were purchased, rented, leased, or otherwise obtained on or before June 30, 2020.
The FCC proposes to replace the prioritization scheme adopted in the FCC’s Supply Chain Second Report and Order with the prioritization categories set forth in the CAA, along with modifications in the event that requests for reimbursement exceed the $1.895 billion appropriation.
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Virginia Legislature Passes Consumer Data Privacy Law
February 19, 2021 – Both houses of the Virginia legislature have now passed the Virginia Consumer Data Protection Act, which establishes a framework for collecting, controlling, and processing personal data in the Commonwealth. It now awaits Governor Northam’s approval, and if signed, will become effective on January 1, 2023. The Virginia Consumer Data Protection Act applies to all persons that conduct business in the Commonwealth and either (i) control or process personal data of at least 100,000 consumers or (ii) derive over 50 percent of gross revenue from the sale of personal data and control or process personal data of at least 25,000 consumers. The law outlines responsibilities and privacy protection standards for data controllers and processors, but does not apply to state or local governmental entities, and contains exceptions for certain types of data and information governed by federal law. Additionally, it grants consumer rights to access, correct, delete, obtain a copy of personal data, and to opt out of the processing of personal data for the purposes of targeted advertising.
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FCC Receives 417 Rural Digital Opportunity Fund Auction Long-Form Applications
February 18, 2021 – The FCC has announced that it has received long-form applications from 417 Rural Digital Opportunity Fund Phase I auction (Auction 904) winners. RDOF auction winners were required to submit FCC Form 683, which consists of a divide winning bids portion and a long-form portion. The FCC has released details on the 417 long-forms on its Auction 904 website: applicants; census blocks; locations; support amounts by state; and where applicable, winning bidders that assigned bids to applicants or winning bidders that made pro forma name changes.
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FCC Releases Data On Service Outages Caused By Winter Storm Uri
February 18, 2021 – The FCC’s Public Safety and Homeland Security Bureau has released an update on communications services outages in Oklahoma and Texas caused by winter storm Uri. The FCC’s update is based on network outage data submitted by communications providers to the FCC’s Network Outage Reporting System (NORS):
Oklahoma: 8 outage reports; 24,172 wireless users affected; 270 wireline users affected; 0 VoIP users affected; and 0 OC3’s affected.
Texas: 208 outage reports; 369,918 wireless users affected; 34,868 wireline users affected; 721,873 VoIP users affected; and 11,227 OC3’s affected.
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FCC Creates 911 Fee Diversion Strike Force; Nominations Due March 19th
February 17, 2021 – The Federal Communications Commission (FCC) has announced the formation of a new federal advisory committee, the Ending 9-1-1 Fee Diversion Now Strike Force. The new 911 Strike Force will examine how the Federal government can end diversion of 911 fees and charges by states and other taxing jurisdictions, and will publish its findings no later than September 23, 2021. Members of the strike force will be chosen by April 2021, with the first meeting scheduled for some time in May 2021. Nominations for membership must be submitted to the FCC no later than March 19, 2021. All nominations should be submitted by e-mail to 911StrikeForce@fcc.gov.
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Mergers & Acquisitions: Cable One Purchasing Hargray Communications
February 15, 2021 – Cable One, Inc. has announced it is purchasing the remaining 85% of Hargray Communications it does not already own. Cable One acquired a minority interest in Hargray in exchange for Cable One’s assets in Anniston, Alabama and surrounding areas in October 2020. The deal implies a $2.2 billion total enterprise value for 100% of the equity interests of Hargray on a debt-free and cash-free basis. Hargray, founded in 1947, provides communications services, including gigabit-capable services, to residential and business customers in 14 markets across Alabama, Florida, Georgia, and South Carolina. Cable One, through its Sparklight and Clearwave brands, provides high-speed internet and advanced Wi-Fi solutions, cable television and phone service to more than 950,000 residential and business customers in 21 states. The transaction is subject to regulatory approvals and closing conditions, and is expected to be completed during the second quarter of 2021.
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FCC Open Meeting Agenda: Wednesday, February 17, 2021
February 10, 2021 – The Federal Communications Commission has released the final agenda for its open meeting on Wednesday, February 17, 2021. The meeting is set to start at at 10:30 a.m., and will be in a wholly electronic format, streaming on the Internet via live feed from the FCC’s web page at www.fcc.gov/live.
Presentation on the Emergency Broadband Benefit Program. The Commission will hear a presentation on the creation of an Emergency Broadband Benefit Program. Congress charged the FCC with developing a new $3.2 billion program to help struggling Americans to pay for broadband internet service during the pandemic.
Presentation on COVID-19 Telehealth Program. The Commission will hear a presentation about the next steps for the agency’s COVID-19 Telehealth program. Congress recently provided an additional $249.95 million to support the FCC’s efforts to expand connected care throughout the country and help more patients receive health care safely.
Presentation on Collection of Broadband Deployment Data. The Commission will hear a presentation on the work the agency is doing to collect precise and accurate fixed and mobile broadband deployment data as part of its mission to close the digital divide.
911 Fee Diversion (PS Docket No. 20-291); New and Emerging Technologies 911 Improvement Act of 2008 (PS Docket No. 09-14). The Commission will consider a Notice of Proposed Rulemaking that would implement section 902 of the Don't Break Up the T-Band Act of 2020, which requires the Commission to take action to help address the diversion of 911 fees by states and other jurisdictions for purposes unrelated to 911.
Implementing the Secure and Trusted Communications Networks Act (WC Docket No. 18-89). The Commission will consider a Third Further Notice of Proposed Rulemaking that proposes to modify FCC rules consistent with changes that were made to the Secure and Trusted Communications Networks Act in the Consolidated Appropriations Act, 2021.
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Fiber Broadband Association & NTCA–The Rural Broadband Association Challenge SpaceX’s Ability To Meet RDOF Broadband Obligations
February 8, 2021 – In a written ex parte to the FCC, the Fiber Broadband Association and NTCA–The Rural Broadband Association have submitted an engineering analysis of SpaceX’s potential to meet its Rural Digital Opportunity Fund (RDOF) public interest obligations. Business consulting firm Cartesian was commissioned to conduct the analysis. The two trade associations say that SpaceX’s RDOF service obligations – the provision of voice and 100/20 Mbps broadband service with low latency to 642,925 locations in 35 States – is “no small task” because: (1) SpaceX has provided limited information publicly about its network and the performance capabilities; (2) SpaceX’s network plans and performance capabilities continue to shift; and (3) actions by the FCC in pending and future proceedings may cause SpaceX’s plans to change further. Cartesian conducted its engineering analysis of SpaceX based upon the best information publicly available. The key findings include the following:
If SpaceX Serves Only RDOF Locations, It Fails to Meet the RDOF Public Interest Requirements on a Nationwide Basis
If SpaceX Serves Only RDOF Locations, It Fails by a Substantial Degree to Meet the RDOF Public Interest Requirements in the Eastern Region, but Does Meet the Requirements in the Mountain and Midwest Regions
If SpaceX Serves Both RDOF Locations and a Reasonable Number of Non-RDOF Rural Locations, the Shortfall in the Eastern Region Increases Materially, and Congestion Occurs for Locations in the Mountain and Midwest Regions
If SpaceX Serves Both RDOF Locations and Allocates 50% of its Capacity to Non-RDOF Locations, Congestion at RDOF Locations Increases Dramatically
Because of SpaceX’s Unique Network Configuration and Operations, the FCC Will Need to Adjust and Increase its Oversight of SpaceX’s Compliance with RDOF Deployment and Network Performance Requirements
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Department Of Justice Drops Challenge To California Net Neutrality Law
February 8, 2021 – The U.S. Department of Justice has dropped its challenge to California’s net neutrality law. It did so by filing a notice of voluntary dismissal of the case with the U.S. District Court for the Eastern District of California. The DOJ initiated its lawsuit in September 2018, the same day the California law was signed by then Governor Jerry Brown. In its complaint, the DOJ alleged California’s Internet regulations unlawfully impose burdens on the Federal Government’s deregulatory approach to the Internet. While the DOJ has dropped its lawsuit, California’s net neutrality law is still being challenged by the American Cable Association, CTIA–The Wireless Association, NCTA–The Internet & Television Association, and USTelecom–The Broadband Association.
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Robocalls: FCC Announces Compliance Date For Reassigned Numbers Database Rule
February 8, 2021 – The FCC’s Consumer And Governmental Affairs Bureau has announced the compliance date for the rule requiring service providers to report disconnection information to the Reassigned Numbers Database Administrator.
Beginning April 15, 2021 and recurring on the 15th day of each month thereafter, service providers must report permanent disconnections of their subscribers.
The report must contain data for numbers permanently disconnected that were not submitted in the service provider’s prior reports.
Small service providers – those providers with 100,000 or fewer domestic retail subscriber lines – have six additional months – until October 15, 2021 – to begin reporting this information to the Reassigned Numbers Database Administrator.
The Reassigned Numbers Database will allow callers to determine whether a telephone number has been permanently disconnected and therefore is no longer assigned to the party the caller wants to reach. It will contain reassigned number information from each provider that obtains North American Numbering Plan U.S. geographic numbers and toll free numbers.
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TelAlaska Discusses Removal Of Huawei Equipment With FCC
February 8, 2021 – TelAlaska Cellular, Inc. and WTA–Advocates for Rural Broadband met via telephone conference call with staff from the Federal Communications Commission to discuss the removal of equipment manufactured by Huawei Technologies Co. from TelAlaska’s wireless network. In the ex parte, TelAlaska explains that is has Huawei radios and base station equipment installed on 27 towers serving 21 small rural communities in Alaska. The network switches that are part of TelAlaska’s cellular network utilize software that was designed to work only with Huawei radios and base station equipment. TelAlaska claims “there are no other commercially available cellular radios or base station equipment that are compatible with TelAlaska’s cellular switches and software.” Accordingly, the removal of Huawei equipment from TelAlaska’s network will require TelAlaska to also remove and replace its cellular switches. This will likely cost 10 times more than the total cost of replacing the Huawei equipment.
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Tesla Invests $1.5 Billion In Bitcoin
February 8, 2021 – In a 10-K filed with the SEC, Tesla, Inc. disclosed a $1.5 billion investment in bitcoin. Tesla updated its investment policy in January 2021 to enable the investment of cash in certain alternative reserve assets including digital assets, gold bullion, gold exchange-traded funds and other assets as specified in the future. Also of note in the 10-K, Tesla announced it expects to begin accepting bitcoin as a form of payment for its products in the near future.
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California PUC Urges FCC To Hold RDOF Winners Accountable
February 5, 2021 – The California Public Utilities Commission has sent a letter to the FCC urging the federal agency to help states ensure Rural Digital Opportunity Fund (RDOF) auction winning bidders deliver on their promises. In the letter, the California PUC stated that it would like to see RDOF winning bidders deploy broadband to all their awarded locations at the speeds and based on the technology they committed to during the auction. To ensure RDOF winners meet this goal, the California PUC suggests three steps the FCC should take:
Scrutinize the financial, operational, and technical capabilities of each winning bidder against the scale and scope of their plans.
Allow winning bidders whose capabilities are deemed inadequate to surrender their awards with minimal or no penalty.
Enact program reforms prior to the RDOF Phase II auction.
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FCC RDOF: SpaceX’s Starlink Services Files For ETC Designation; Says It Has 10,000 Beta Users Accessing 1,000 Satellites
February 4, 2021 – Starlink Services, LLC has filed a petition with the Federal Communications Commission for designation as an Eligible Telecommunications Carrier in all census blocks in Alabama, Connecticut, New Hampshire, New York, Tennessee, Virginia and West Virginia in which Space Exploration Technologies Corp. (SpaceX) was a winning bidder in the Rural Digital Opportunity Fund (RDOF) auction. In December, SpaceX assigned its winning RDOF bids to Starlink Services, its wholly-owned subsidiary which has access to all space and terrestrial assets and infrastructure needed from SpaceX to deploy and operate the Starlink service. In the petition, Starlink states its network has the demonstrated capability to meet the Above Baseline, Low-Latency broadband performance obligations in the unserved areas in each state for which it was assigned winning RDOF auction bids. Starlink confirms there are currently 1,000 Starlink satellites in orbit, and at this time, over 10,000 users in the United States and abroad are using the Starlink broadband service as part of the public beta program. Starlink also notes that it is successfully testing standalone voice service over the Starlink network.
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FCC Enforcement Advisory: CPNI Certifications Due March 1, 2021
February 4, 2021 – The FCC’s Enforcement Bureau has issued an Enforcement Advisory to remind telecommunications carriers and interconnected VoIP providers of their obligation to file an annual Customer Proprietary Network Information (CPNI) certification by March 1, 2021. Pursuant to Section 222 of the Communications Act and the FCC’s rules, telecommunications carriers and interconnected VoIP providers must take actions to adequately protect their subscribers’ CPNI, such as: (1) obtaining customers’ approval to use, disclose, or permit access to their CPNI for marketing or other purposes; (2) notifying customers of their right to restrict the use of their CPNI; (3) taking reasonable measures to discover and protect against attempts to gain unauthorized access to CPNI; (4) notifying law enforcement and affected customers of a breach of CPNI; and (5) filing an annual certification documenting compliance with the FCC’s CPNI rules, and documenting any complaints or problems. The Enforcement Advisory contains a list of frequently asked questions, a CPNI certification template, and the text of the FCC’s CPNI rules.
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Mergers & Acquisitions: Wyyerd Group Holdings Purchasing Zona Communications
February 4, 2021 – The FCC’s Wireline Competition Bureau is seeking comment on a Section 214 application filed by Esu Zona LLC, Accipiter Communications, Inc. d/b/a Zona Communications, and Wyyerd Group Holdings, LLC requesting approval to transfer control of Zona to Wyyerd Group Holdings. Comments are due on or before February 18, 2021, and reply comments are due February 25, 2021.
Accipiter Communications, Inc. d/b/a Zona Communications is a Nevada corporation that provides service as an incumbent local exchange carrier (LEC) in portions of Maricopa County and Yavapai County, Arizona. Founded in 1995, Zona provides high-speed internet, telephone, and digital television services to residents and businesses within a 1,100 square mile area of north Phoenix. Zona’s service area includes 700 square miles surrounding Lake Pleasant and Castle Hot Springs as well as a 400 square mile area northwest of White Tank Mountains along the Sun Valley Parkway corridor. It is wholly owned by Wyyerd Group, LLC (Wyyerd Group), a Delaware limited liability company, which, in turn, is majority owned (78.83%) by Esu Zona, a Delaware limited liability and investment company that does not itself provide telecommunications services.
Wyyerd Group Holdings, a newly formed Delaware limited liability company created for the purposes of this transaction, will, post-consummation, be majority owned and controlled by CGI Zoom Holdings, L.P. (66.47%), a Delaware limited partnership that is wholly owned by Carlyle CGI Zoom Aggregator, L.P., a Delaware limited partnership.
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Comcast Doubling Speeds Of Its Internet Essentials Broadband Service On March 1st
February 2, 2021 – Comcast has announced it will increase the speeds of its Internet Essentials broadband offering beginning March 1. Specifically, Comcast is doubling the Internet Essentials program’s download speed to 50 Mbps and increasing the upstream speed to 5 Mbps for all new and existing customers at no additional cost. According to the press release, Comcast is taking the action to “build on its longstanding commitment to advancing digital equity, closing the digital divide, and addressing both digital literacy and the homework gap.” It is the sixth time in 10 years that Comcast has increased broadband speeds for Internet Essentials customers. The monthly cost of the Internet Essentials service remains $9.95 per month.
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NTCA–The Rural Broadband Association Files Technical Guide To Help FCC Evaluate RDOF Winning Bidders’ Proposed Gigabit Fixed Wireless Networks
February 1, 2021 – In a written ex parte, NTCA–The Rural Broadband Association has filed a technical whitepaper to aid the FCC in its review of review of long-form applications submitted by Rural Digital Opportunity Fund (RDOF) auction winners. The technical whitepaper is titled Evaluating the Capabilities of Fixed Wireless Technology to Deliver Gigabit Performance in Rural Markets, and is intended to be used as a “roadmap” to help the FCC evaluate the technical aspects RDOF winners’ fixed wireless networks. Numerous RDOF auction winners will receive funding to provide Gigabit-level broadband service to sparsely populated rural areas using fixed wireless networks. The whitepaper notes that because there is no proven “track record with respect to fixed wireless technologies” delivering Gigabit broadband to rural areas, the FCC should “take a careful look, based upon objective engineering criteria, at whether and to what degree fixed wireless networks can deliver Gigabit level services” to rural areas “where serviceable locations can be several hundred feet to miles apart.” Among other things, the whitepaper provides parameters for evaluating networks using mid-band and high-band spectrum. For example, the whitepaper sets forth the following parameters for fixed wireless networks using high-band spectrum: When considering any proposed wireless network designs based on millimeter wave (mmW) technologies for any RDOF winner to satisfy their Gigabit broadband service commitment, the FCC should verify the following:
1. All customers must be within about 500 feet of their specific serving tower/antenna.
2. All customers must have clear line‐of‐sight to that serving tower/antenna.
3. The capacity of the serving tower/antenna or sector must be adequate to accommodate the downstream and upstream capacities of all users served by that antenna or tower.
a. The RDOF 70% subscription requirement must be considered in analyzing the capacity of the service tower/antenna or sector.
b. A reasonable oversubscription ratio on the order of 4:1 or less should be applied.
4. Each antenna and/or sector must also have adequate backhaul capacity to accommodate the number of RDOF customers anticipated with a reasonable oversubscription ratio such as 4:1. In most instances this will require the towers/antennas to be served with a fiber network.
5. When considering mmW mesh networks, in addition to the preceding factors, the FCC should also evaluate the congestion that would occur between the nodes of the mesh network as well as the potential radio frequency congestion and the backhaul congestion.
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USAC Files 2Q 2021 USF Fund Size Projections – Demand Increases
February 1, 2021 – The Universal Service Administrative Company (USAC) has filed the Federal Universal Service Support Mechanisms Fund Size Projections For Second Quarter 2021.
The filing shows the following total projected 2Q 2021 funding requirements for each Universal Service Fund (USF) support mechanism:
High Cost Support Mechanism – $1.413 billion (The 4Q 2020 funding requirement was $1.248 billion)
Low Income Support Mechanism – $254.82 million (The 4Q 2020 funding requirement was $244.08 million)
Rural Health Care Support Mechanism – $149.36 million (The 4Q 2020 funding requirement was $150.51 million)
Connected Care Pilot Program – $8.76 million
E-Rate Schools and Libraries Support Mechanism – $634.61 million (The 4Q 2020 funding requirement was $553.08 million)
USAC projects total administrative costs of $60.58 million for 2Q 2021, which breaks out to $31.63 million in direct costs for all four support mechanisms, and $28.95 million in joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. This is a slight increase in administrative costs from last quarter ($59.38 million in total administrative costs for 4Q 2020). The FCC will use the of the quarterly funding requirements for the four USF Support Mechanisms, the projected administrative expenses, and the USF contribution base amount, to establish a quarterly USF contribution factor.
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National Rural Electric Cooperative Association Questions Whether Fixed Wireless And Hybrid Fixed Wireless Networks Can Provide Gigabit Broadband Service
February 1, 2021 – The National Rural Electric Cooperative Association (NRECA) has sent a letter to the FCC to express concern over Rural Digital Opportunity Fund (RDOF) Phase I auction support awarded to provide Gigabit broadband service using fixed wireless and hybrid fixed wireless technology. NRECA, a national trade association representing nearly 900 local electric cooperatives, says there is no “meaningful industry consensus or a proven track record that fixed wireless technologies can deliver Gigabit tier service in sparsely populated rural areas.” In light of this, NRECA has called on the FCC “to undertake a comprehensive review of the detailed business plans and technical showings in the long-form applications submitted by winning [RDOF] bidders proposing Gigabit tier fixed wireless and hybrid fixed wireless solutions.” NRECA, along with NRTC, also submitted a white paper to the FCC titled The Rural Digital Opportunity Fund: Rural America’s Broadband Hopes at Risk, which recommends ways to scrutinize winning RDOF bidders’ long-form applications.
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