Future IoT Demand is Why Mobile Now Must Become Law, Thune Says

Thune keynoted the South Dakota Technology Showcase in Sioux Falls, hosted by AT&T, SDN Communications and the South Dakota Chamber of Commerce & Industry. A showcase agenda lists discussions focused on IoT and agriculture technology.

IoT requires “a similar light touch” as the nascent internet’s development, in which “we can ensure that consumers and entrepreneurs are in the driver’s seat, rather than politicians and bureaucrats,” Thune said in the keynote address, according to prepared remarks. “If issues arise in the marketplace, policymakers should examine them closely. When doing so, we need to have the humility to recognize that the best solutions to difficult challenges created by new services are often not government solutions. But if government intervention is necessary and unavoidable, then the fixes should be as narrow and targeted as possible.”

“Privacy considerations will loom large as devices collect increasing amounts of information, making privacy tradeoffs less straightforward than ever before,” Thune said. “As we’ve unfortunately learned with the all too many high-profile data breaches, Internet security will be paramount due to the scope and sensitivity of the data collected. Connectivity, privacy, and security -- these policy issues are central to the success of a connected economy and the growth of IoT. And sitting at the intersection of these issues in Washington is the committee I am fortunate enough to chair.”

Senate Commerce held Congress’ first IoT hearing last year, Thune said. Committee members have been active on the topic, including Sens. Deb Fischer, R-Neb., Kelly Ayotte, R-N.H., Brian Schatz, D-Hawaii, and Cory Booker, D-N.J. The committee cleared their Developing Innovation and Growing the Internet of Things Act (S-2607) in April. “It is imperative that we have smart policies to accommodate that growth,” Fischer said in Orlando last month, speaking to independent cable operators (see 1607250049).

“One of the key points is we are really at the very beginning of seeing where the Internet of Things is going to take us,” AT&T IoT Assistant Vice President-Connectivity Product Management and Channel Enablement Lisa Park told us. These beginning stages require policymakers to think beyond the smartphone and tablet and will encompass such items as the kitchen sink and bedroom furniture, said Park, who gave a luncheon speech about IoT at Tuesday’s South Dakota event. IoT opens a wide range of issues, but AT&T’s customers will prioritize trust, she said: “The No. 1 item on their mind is security.” AT&T’s goal is “making the technology simple, making the technology interoperable” and offering the connectivity, in various forms, “to back that up” in a way that’s “seamless” for the consumer, she said.

IoT creates “the need to spread internet connectivity to every pocket of the country for IoT and the data economy to ride on,” Thune said. He said South Dakota is “blessed” to have broadband access on par with “more urban states,” citing a National Broadband Map statistic that 86 percent of state residents have access to 25 Mbps or better, “better than Virginia.” His state “ranks sixth in the country” in access to gigabit connectivity, he said.

Congress should “find ways to improve wireless broadband connectivity, including in the more rural areas of South Dakota and our reservations,” Thune said. “For IoT to really take off, we need to make more abundant those wonderful, invisible radio waves that transmit data from one point to another, seemingly without effort.” He called spectrum “extremely expensive,” said building wireless networks will require “massive private investment” and noted infrastructure barriers. Thune said such needs explain his Mobile Now bill, which cleared Commerce in April and “will ensure huge swaths of spectrum are made available for commercial use by the year 2020, which is when we expect to see the next generation of ultra-high speed mobile services known as 5G.” He cited its focus on cutting through bureaucratic red tape and advancing dig-once policies. “This legislation has the potential to quietly and subtly impact all of our lives.” He vowed a path forward despite the unrelated political blocks from Democrats involving the stalled reconfirmation of FCC Commissioner Jessica Rosenworcel.

Thune’s touting of Mobile Now “was really the highlight of what he was talking about,” AT&T President-Northern Plains States Cheryl Riley told us. “It’s going to help spur innovation and deployment.” Riley, who introduced Thune and played an active role in the event, said if Congress fails to advance the measure, which hasn't cleared the Senate floor or received House consideration, into law this year in the few remaining legislative days, then “of course” there’s interest in seeing the measure revived in 2017. An AT&T spokesman said that there were more than 100 attendees and that Thune also spoke to business officials informally over coffee before his speech.

IoT “will bring significant economic benefits and drive growth in every sector of our economy,” Thune told the audience. “There are currently about 16 billion Internet-connected devices worldwide, and by 2020 some believe that number will be between 50 and 200 billion devices. According to McKinsey, this explosion of growth has the potential to create an economic impact of up to $6.2 trillion annually by 2025. And, as much as consumers will see IoT devices proliferate, most of the real benefit and growth will be seen in industrial, commercial and civic applications. The connected economy is creating massive economic and societal impacts. And this means it also presents complex policy challenges. These challenges, however, are not insurmountable obstacles. They are simply issues we need to work through together to achieve great outcomes.”