The FCC clarified that a draft NPRM on emergency alerts security circulated by Chairwoman Jessica Rosenworcel for a vote by commissioners (see 2209070076) is separate from a second emergency alert NPRM circulated for a vote at the Sept. 29 open meeting (see 2209080057).

Private communications networks are critical to utilities, Sheryl Riggs, president of the Utilities Technology Council, said at the start of a UTC broadband workshop, which runs through Friday. “Many people don’t give a lot of thought to the utility industry; they just assume they’re always there,” Riggs said. “A big reason for this is because of the communications systems -- they’re the invisible infrastructure that utilities rely on to ensure the power, the gas and water is on and available at all times,” she said. Clean energy and the power grid of the future are in the news daily, she said. “All these new technologies … rely on private communications networks that utilities and UTC members develop and operate every day,” she said. Utilities are also increasingly focused on broadband, Riggs said: “More and more utilities of all kinds are becoming key players in connecting people through broadband networks. As important as these networks are to modernizing our energy system, they’re also critical in bridging the digital divide.” UTC recognizes the need to connect more Americans to broadband, Riggs said. “There are unserved and underserved communities in rural and urban areas, shut off for far too long from the exciting world that broadband opens up,” she said. “We need broadband equity and inclusion to all communities,” she said. Utility investments in fiber as they modernize the grid also position them to be broadband players, Riggs said. Public power companies and electric co-ops are offering broadband service to their customers “providing GB speeds at affordable prices,” she said. Some UTC members in rural areas are offering faster, more reliable service than what’s available in urban and suburban areas, she said. Larger investor-owned utilities are mainly leasing part of their fiber networks to ISPs through middle-mile deployments, she said: “This trend is accelerating … and we can see that because more grant money is coming down the pipeline.” Riggs noted utilities are likely to pursue middle-mile broadband infrastructure program funding being made available through NTIA. Attendees heard presentations from NTIA, the Rural Utilities Service and the FCC on funding opportunities.

T-Mobile agreed to sell Cogent Communications its long-haul fiber network and other wireline assets for $1, unloading a Sprint asset that had been a money loser for T-Mobile. T-Mobile noted the development in a filing Wednesday at the SEC. As part of the transaction, Cogent will offer T-Mobile IP transit services for 54 months after closing, T-Mobile said. T-Mobile will pay Cogent $700 million, with $350 million due in equal payments over the year and $350 million due over the remaining 42 months. “T-Mobile expects to recognize a total pre-tax charge of approximately $1 billion in the third quarter of 2022 as T-Mobile anticipates adjusting the carrying value of the Wireline Business and establishing a liability for the contractual payments of the Transaction, including the $700 million of fees payable for IP transit services,” T-Mobile said. “For Cogent, acquisition of T-Mobile’s Wireline Business is expected to be an ideal strategic fit with its existing business,” the ISP said: “The Wireline Business offers the legacy Sprint U.S. long-haul network that provides an owned network asset to complement and eventually replace Cogent’s current leased network and provides the ability to expand its product set, including the sales of optical wave transport services to new and existing customers.” The asset offers a “customer base who are a fit for Cogent’s products and services, and a group of experienced employees with the knowledge and capabilities to execute the company’s strategy,” Cogent said. The $1 billion non-cash charge in Q3 follows a nearly $500 million write-down last quarter for the assets, said New Street’s Jonathan Chaplin. “The transaction itself should come as little surprise; T-Mobile said on the first quarter call in April that they wouldn’t need the Sprint wireline assets after shutting down the Sprint LTE network, and that there could be an opportunity to monetize the assets,” Chaplin said. “T-Mobile has tended to be a shrewd dealmaker, and so we would expect that the company decided it was cheaper to give away the wireline assets, and pay for their continued use of them, than it would be for T-Mobile to operate these long-haul assets themselves," he said: “We don’t have great visibility into Sprint’s wireline network’s current financial profile, and so we don’t know exactly what T-Mobile is selling. We know the assets were losing money when T-Mobile bought them, with $1.2BN in wireline revenues offset by at least $1.2BN in cash" operating expenses and "at least a couple hundred million" in annual capital expenditures.

The FCC sent letters of inquiry to wireless carriers and mobile virtual network operators Wednesday, asking further questions about their data retention and data privacy policies, industry officials said. The letters follow up on earlier letters (see 2208220054). The FCC recently posted the initial responses (see 2208250057).

The National Institute of Standards and Technology plans an Oct. 25 open virtual meeting of its Visiting Committee on Advanced Technology, to include discussions on “strategic issues facing the agency,” including an update on implementation of the Chips and Science Act, said a notice for Thursday’s Federal Register. Oct. 18 is the deadline for individuals and representatives of organizations to request a place on the agenda, it said.

The FCC will revisit wireless emergency alerts and the emergency alert system in an NPRM teed up for a vote by commissioners, Chairwoman Jessica Rosenworcel said Wednesday. “It is critical that these public safety systems are secure against cyber threats, which means that we must be proactive,” Rosenworcel said of EAS: “The draft proposals shared today will help ensure that our national alerting systems work as intended during emergencies and the public can trust the warnings they receive.” Among the issues teed up are the amount of time EAS participants “may operate before repairing defective EAS equipment,” the need for participants to report compromises of their equipment and the need for security requirements and annual certification of cybersecurity risk management plans. The NPRM also asks about requirements that carriers “take steps to ensure that only valid alerts are displayed on consumer devices.” The FCC said last week 42 state and local government agencies will conduct local WEA tests Monday and Tuesday (see 2208300046).

About $28 billion of the $50 billion in funding in the Chips and Science Act will go toward incentives “to establish domestic production of leading-edge logic and memory chips that require the most sophisticated manufacturing processes available today,” said the Commerce Department in an “implementation strategy” statement Tuesday. The money “may be available for grants or cooperative agreements, or to subsidize loans or loan guarantees,” it said. The statute’s incentives program will increase domestic production of semiconductors “across a range of nodes,” it said. “This initiative is broad and flexible, encouraging industry participants to craft creative proposals.” Commerce expects to make “dozens” of funding awards, with the total value expected to be near $10 billion, it said. Funding documents, which will provide “specific application guidance” for the program, will be released by early February, said Commerce: “Awards and loans will be made on a rolling basis as soon as applications can be responsibly processed, evaluated and negotiated.” President Joe Biden signed the Chips and Science Act into law Aug. 9 (see 2208090062).

Amazon and One Medical each received a “second request” Friday from the FTC for “additional information and documentary materials” in connection with the agency’s review of Amazon’s proposed $3.9 billion telehealth company buy (see 2207210003), said One Medical in an 8-K filing at the SEC. The FTC’s request extends the Hart-Scott-Rodino waiting period until 30 days after the companies comply with it, unless the agency terminates the waiting period sooner, said the filing. Amazon and One Medical “expect to promptly respond” to the FTC and to continue “to work cooperatively” with the agency in its review of the transaction, it said. One Medical scheduled a Sept. 22 virtual special meeting for shareholders to vote on the proposed Amazon buy.

Coalition of Large Tribes acting Executive Director OJ Semans disputed claims by Public Knowledge Government Affairs Director Greg Guice about influences "that are not tribal" on the group’s August letter to Senate Commerce Committee leaders opposing FCC nominee Gigi Sohn’s confirmation (see 2208300058). “Neither COLT nor” any of its staff nor its member tribes “took a dime from anyone” to write the letter, Semans emailed us: “The letter was presented by me at our quarterly meeting hosted at the Navajo Nation” Aug. 15-16. COLT tribal “leaders discussed their own regrettable experiences with Ms. Sohn and her very concerning record and voted unanimously to have” Chairman Kevin Killer send the letter, Semans said.

Nielsen got shareholder approval for a private equity consortium of Evergreen Coast Capital and Brookfield Business Partners to buy the company for $16 billion in an all-cash deal, it said Thursday. The transaction is expected to close next month, said Nielsen. When it does, Nielsen will become a private company, and its shares will no longer be traded on the New York Stock Exchange.