Schools, Health and Libraries Broadband Coalition Executive Director John Windhausen is retiring, saying that "at 66 years old, I believe it is the right time for me to begin winding down professionally." SHLB said it formed a hiring committee and expects it will have Windhausen's replacement by March 3. "John has been the heart and soul of the SHLB Coalition for the past 15 years,” said outgoing board chair Cindy Aden, program chair of the University of Washington's iSchool. “His vision and tireless advocacy have been instrumental in closing the digital divide and ensuring broadband access for schools, libraries, and healthcare providers." A SHLB spokesperson said Windhausen's retirement is effective "around the first week of April."
The FCC’s final order on letter of credit (LOC) rules for providers receiving high-cost USF support saw one major change from the draft version. Commissioners approved the order 5-0, with language added at the request of Commissioner Anna Gomez (see 2412110050), addressing tribal issues. The final version notes that “making wholesale changes to our rules in the middle of an ongoing program would be unnecessary and could create confusion for support recipients,” the same as the draft. But the final version added a sentence: “Given the difficulties some Tribal carriers have collateralizing assets to support a LOC, however, we will consider waiving the relevant LOC requirements on an individual basis consistent with the Commission’s waiver standard, and we do not foreclose examining in future support programs whether Tribal carriers should be permitted to rely on alternatives to LOCs.” The FCC on Friday posted the final version of the LOC changes. It includes a statement by Chairwoman Jessica Rosenworcel. The agency also posted the final version of an order that expands the parts of the 6 GHz band where new very-low-power (VLP) devices are permitted to operate without coordination. That order was also approved 5-0 with no changes of note (see 2412110040). Only Rosenworcel and Commissioner Geoffrey Starks issued written statements. That order was also posted on Friday.
Federal prosecutors allege former Comtech Chairman-CEO Ken Peterman sold or tried to sell tens of thousands of shares of company stock earlier this year based on insider information. DOJ said Wednesday a federal grand jury indicted Peterman on one count each of insider trading, securities fraud and wire fraud. Peterman, 67, of Encintas, California, is charged with making the transactions March 12 upon learning about a forthcoming negative earnings report and that he would lose his job, while neither of those pieces of information was public.
With USF in the crosshairs at the FCC (see 2412030044), the FCC Office of Managing Director Thursday proposed a contribution factor of 36.3% for Q1 2025. That’s up from 35.8% during Q4 2024 but below a November projection of 38.8% by analyst Billy Jack Gregg (see 2411040026). The total contribution requirement for Q1 is $2.2 billion, of which just more than $1 billion is tied to high-cost program support. Next is the schools and libraries program ($657 million), Lifeline ($288 million) and the rural healthcare program ($129.5 million).
FCC Commissioner Brendan Carr answered press questions about TikTok and the Department of Government Efficiency after Wednesday’s FCC open meeting (see 2412110040). Chairwoman Jessica Rosenworcel didn’t hold a news conference Wednesday due to a scheduling conflict. Carr said that Congress offered TikTok “many paths forward that don’t require the app to be shut down” in legislation that requires it change owners or cease operating in the U.S. The U.S. Court of Appeals for the D.C. Circuit recently ruled against the company’s challenge of that law. “At this point I’m letting that process run out,” Carr said. In addition, Carr said he hasn’t had discussions with representatives of the planned Department of Government Efficiency about possible FCC cuts, but he anticipates doing so next year. There are "lots of opportunities ... [for] synergies at the FCC, even operating on our own if DOGE was never or is never set up, to look to push for greater efficiency.” For example, he said the FCC could seek more efficiency in permitting. Spending money on broadband projects but not easing the permitting process is “stepping on the gas and the brakes at the same time,” Carr said. He also discussed the Salt Typhoon hack, saying “we never should have been in this situation where these networks are compromised at this level” (see 2412110067).
Boston is saying amen to comments that Fairfax County, Virginia, submitted this week about the FCC's customer service requirements notice of inquiry. Noting Fairfax's arguments countering the cable industry's assertion that FCC action isn't needed on broad service provider customer service requirements (see 2412100010), Boston said it was "disheartening" that cable operators would rather reduce customer service as a way of cutting costs rather than try to attract new customers.
Private-sector communications companies interpret the record in the FCC's proposed customer service standards proceeding as going against the agency, while states and localities say the need for agency action is clear. That according to docket 24-472 reply comments this week. Industry groups pushed back against the NOI's proposals in initial comments last month (see 2411250020). In comments posted Tuesday, Mosaicx said tech such as virtual assistants and interactive voice response can be tailored to meet service providers' customer service needs. Accordingly, the FCC should let these technologies continue evolving, giving industry flexibility to tackle customers' needs. While many communications providers have "problematic" customer service practices, the FCC shouldn't proceed with a rulemaking, the National Rural Electric Cooperative Association said. This would add unneeded customer service regulations and administrative burdens on entities, with rural electric coops "a prime example," it said. Applauding the NOI, 15 state attorneys general said it's valid for the FCC to consider extending cable customer service rules to cover satellite TV, voice and broadband service providers. They added that changing technologies mean there are decreasingly few distinctions between customer service needs of various providers. Accordingly, they urged the FCC to require that customer calls are recorded and that customers may request the recordings. In addition, missed service appointments is an issue that cries out for solutions, the attorneys general argued. Signing the filing were the AGs of Pennsylvania, Arizona, California, Colorado, Connecticut, Illinois, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, New Jersey, Oregon, Vermont and the District of Columbia. The cable industry's argument that customer service rules are unnecessary because market forces and competition ensure good customer service ignores the fact that cable operators don't always provide good customer service, said Fairfax County, Virginia, which applauded the proceeding. "The market forces on which the industry relies consist of corporate executives wondering whether spending serious money to improve customer service would capture enough new customers to justify the costs," it said.
AT&T CEO John Stankey anticipates a pro-growth administration and FCC with the inauguration of Donald Trump in January. During a UBS financial conference Tuesday, Stankey noted a “pro-investment dynamic” in Trump’s first term. Cutting taxes “worked” and led AT&T to make record investments in its network. Stankey said he knows Brendan Carr, tapped to lead the FCC next year, and expects him to be aggressive on making more spectrum available for carriers and on other issues important to AT&T. “He believes markets solve a lot of problems,” Stankey said of Carr: “Certainly, he's fairly public with his point of view.” AT&T plans accelerating its push to replace copper lines with updated technology, he said. “We've been working on filing in certain wire centers to show that we can move completely off of legacy technology and meet the needs of customers with newer technologies.” He added, “I'm comfortable we're moving into this at the right time.” The current FCC hasn’t opposed to the transition, “they've just been cautious,” Stankey said. Chris Sambar, a former AT&T executive, said in May the company spends $10 billion annually maintaining millions of miles of copper wires, of which only 5% remain in use (see 2405210059).
Commerce Secretary Gina Raimondo warned Saturday that “rhetoric” on China is no substitute for the hard work of making the U.S. a stronger competitor in areas like semiconductor chips, which are critical to the U.S. wireless and other industries. “Today, more than ever, national security requires technological security, requires the United States to lead … all of our competitors in technology, particularly in AI and semiconductors, and requires secure supply chains,” she told the Reagan Defense Forum in California. Raimondo was asked about President-elect Donald Trump's comments, made during the campaign, that he opposes subsidies in the Chips and Science Act of 2022 and that the act was a bad deal for the U.S. , Responding to calls for overturning the act, Raimondo said, “It’s a horrific idea. It’s a reckless idea": “Sometimes you say things on the stump, and I can only hope that was something to be said on the stump and won’t be acted out.” In November, House Speaker Mike Johnson, R-La., noted interest in having the House repeal the Chips Act but reversed course following a bipartisan outcry (see 2411040062). Raimondo noted that 100% “of leading-edge chips used in fighter jets, AI technology, nuclear simulation, drones” are made in China and Taiwan. By the end of the year, the department expects to complete $35 billion of the $39 billion allocated in awards to 26 companies to build plants in the U.S. In addition, it expects it will award nearly all $11 billion targeted for research funding. “We’re getting the job done,” she said. "It has been brutally difficult.” Taiwan’s TSMC makes 100% of the world’s most sophisticated chips and people said the company would never expand in the U.S., Raimondo said: “Wrong -- they’re doing it” and TSMC is building three facilities in Arizona. “It’s an incredible thing, and you’re all safer because of it.” Raimondo said ultimately the U.S. will need to invest more to compete with China. She noted that China is now building 21 semiconductor factories. Permitting reforms are critical, she noted. “It can’t take two years to go through permitting in order to build a factory -- that is not competitive."
Expect to see U.S. deregulatory efforts focus on reducing environmental and bureaucratic hurdles for sectors like cryptocurrency, while space, AI and quantum research benefit from bolstered funding, Access Partnership said Monday in a series of 2025 tech policy predictions. It predicted that while cybersecurity will remain a priority, key agencies in the sector could nonetheless see restructuring or budget cuts. Access said there's a risk of increasingly fragmented technology ecosystems due to trade tensions, with other nations erecting defenses in response to the U.S., which could lead to localized data requirements, non-U.S.-aligned certification standards and preferences for indigenous technologies. The U.S. could lose influence if it doesn't remain engaged in multilateral efforts on such issues as AI, cybersecurity and open telecom standards like open radio access networks. Access said there will be increased decoupling from China, which will drive investment in restoring critical technologies such as semiconductors.