FCC Chairman Tom Wheeler’s reference to a “statutory responsibility” to make sure schools and libraries pay a low rate for broadband connection during Monday’s speech on E-rate (CD Sept 30 p5) was to a little-noticed shift in which the agency will take a harder line on providers that charge the institutions too much for broadband connections, a Wireline Bureau official told us Tuesday. The stepped up enforcement would be one of several efforts in July’s E-rate reform order to try to bring down prices for schools and libraries, including requiring more transparency on pricing.
After initial concerns that Google Fiber’s rollout may exacerbate the digital divide, the company said it’s taking steps to include lower-income neighborhoods for service as it expands to up to 34 more cities. Illustrating the complexities of the issue, Google Fiber is still having problems getting lower-income people to subscribe, said the head of a Kansas City, Mo., organization working to narrow the divide. Government, public interest and private-sector players trying to close the divide between those with broadband and those who can’t afford it have said it’s a complicated issue that will take more work to fix (CD July 9 p2).
Arlington Capital Partners (API) is making its first venture into TV station ownership, buying KSBY (Ch. 6, NBC) San Luis Obispo, Cal., for $39.5 million and KVII-TV (Ch. 7, ABC) Amarillo, Tex., for $16.85 million. ACP formed New Venture Group, headed by veteran broadcasters Jason Elkin and John Heinen, to manage stations and others it plans to buy. ACP Managing Dir. Perry Steiner said group was close to final deal to purchase 2 more stations (unidentified) and plans to acquire up to 15 underperforming network affiliates. “We believe the fundamentals of TV are strong today,” he said, and “this is an attractive time to enter the broadcasting industry.” SJL Communications is selling KSBY, Marsh Media KVII-TV.