The Senate Commerce Committee confirmed Thursday the panel plans to mark up the draft Spectrum and National Security Act and five other tech and telecom-focused bills during a Wednesday executive session, as expected (see 2404240074). The 108-page draft measure from committee Chair Maria Cantwell, D-Wash., would restore the FCC’s spectrum auction authority through Sept. 30, 2029, also as expected (see 2403210063). The proposal also provides a new vehicle for allocating stopgap funding for the commission’s ailing affordable connectivity program amid a delay in advancing a separate House-side bid to force a floor vote on providing that money, lobbyists told us.
California should “provide temporary bridge funding for two years through” the state LifeLine program to "mitigate harm to low-income consumers from" the impending end of the federal affordable connectivity program (ACP), consumer advocates said Tuesday at the California Public Utilities Commission. The Utility Reform Network and the CPUC’s independent Public Advocates Office sought “limited modifications” to an October 2020 CPUC decision on LifeLine-specific support amounts and minimum service standards. The groups proposed allowing LifeLine participants to temporarily apply state and federal low-income benefits to a standalone wireline broadband service, while the CPUC considers a long-term answer. Urging the CPUC to act quickly, the groups additionally filed a motion to halve the typical required time to respond to their petition to 15 days, which would make comments due May 8. The groups recently sought modification to other past CPUC decisions due to ACP expected end (see 2404230020). But the cable industry has raised concerns (see 2404230020).
AT&T added 349,000 net postpaid phone customers, which was far better than Wall Street expectations, and saw record low churn in Q1, CEO John Stankey said Wednesday as the carrier reported quarterly results. Stankey apologized for the nationwide wireless outage that hit customers Feb. 22 (see 2402220058). Compared to Verizon, whose shares sunk after it reported results Monday (see 2404220042), AT&T was up 1.88%, closing the day at $16.82.
The anticipated end of the Affordable Connectivity Program will bring big competition among broadband internet access service providers for low-income subscribers, according to telecommunications and wireless industry analysts. Multiple BIAS providers are already rolling out new low-cost offerings or pledging to temporarily subsidize ACP subscribers as they seek to capture or keep them. More providers will follow suit, we're told. With the last of its funding, ACP will provide a $14 reimbursement in May rather than the usual $30 (see 2404100082).
No “good cause” exists to shorten time to respond to a petition related to the federal affordable connectivity program (ACP) ending, the California Broadband & Video Association (CalBroadband) said Monday in a filing at the California Public Utilities Commission. The Utility Reform Network (TURN) last week asked the CPUC to pause awarding grants and quickly modify grant rules to ensure service remains affordable after ACP ends (see 2404150062). Since TURN’s proposal “would fundamentally change” the CPUC’s 2022 decision adopting Infrastructure Grant Account rules, parties should have the full 30 days to respond that CPUC rules require, CalBroadband said. The cable association foreshadowed that it will ask the CPUC to deny TURN’s petition and move quickly to grant pending infrastructure grant applications.
The Senate Commerce Committee is eyeing a May 1 vote on the to-be-filed Spectrum and National Security Act from panel Chair Maria Cantwell, D-Wash., and Communications Subcommittee Chairman Ben Ray Lujan, D-N.M., lobbyists told us. A general notice on the Senate Commerce markup session was online Wednesday night but the committee hadn’t formally announced its agenda. It wasn’t certain Wednesday night whether the Spectrum and National Security Act would actually be part of the meeting. The executive session will begin at 10 a.m. in 253 Russell. There are five other telecom and tech-focused bills on the docket: the Rural Broadband Protection Act (S-275), Network Equipment Transparency Act (S-690), Protecting Kids on Social Media Act (S-1291), Create AI Act (S-2714) and Future of AI Innovation Act (S-4178).
CTIA and the major wireless carriers urged the FCC to clarify that the Telephone Consumer Protection Act doesn’t apply to robocalls and robotexts from wireless service providers to their subscribers, in reply comments posted Monday in docket 02-278. Consumer and public interest groups argue that providers shouldn’t receive special treatment (see 2404050044). Commissioners approved a Further NPRM in February seeking comment on the wireless provider exemption (see 2402160048).
Verizon CEO Hans Vestberg sees little possibility that Congress will continue the affordability connectivity program, he told CNBC Monday as the carrier released Q1 results. House Democrats hope they can force a vote on a bill that would keep the ACP alive (see 2404170066). Vestberg told an analysts' call Verizon is happy with its roll-out of C-band spectrum and offered an update about how the company is using AI to improve efficiency.
Industry and consumer groups have lobbied the FCC in recent days on whether to maintain its proposed language regarding forbearance of Universal Service Fund (USF) contributions for broadband internet access service (BIAS) in its draft order restoring net neutrality rules, according to an analysis of recent ex parte filings in docket 23-320. The FCC in its draft order to be considered Thursday during the commissioners' open meeting tentatively decided to grant ISPs forbearance from Communications Act Section 254(d) requirements, which govern USF contributions (see 2404050068).
Comcast's Now line of prepaid broadband, mobile and streaming services is a reply to fixed wireless' ongoing incursion in home broadband and "a well-considered response" to the looming end of the affordable connectivity program, GlobalData analyst Charles Garrett said Thursday. Comcast announced its Now line this week. Garrett said Now also is a move by Comcast to broaden its addressable market without cannibalizing its existing residential broadband subscriber base. He said Comcast's entry into prepaid wireless faces challenges as the U.S. prepaid marketplace is volatile and shrinking, with Verizon, AT&T and Dish Network losing a combined 547,000 prepaid subs in Q4 2023.