This Just In: Initial BTOP Awards Announced

It was only July, but it seems like eons ago that the National Telecommunications and Information Administration (NTIA) and the USDA’s Rural Utilities Service (RUS) issued a joint Notice of Funds Availability (NOFA) regarding the Broadband Technology Opportunities Program (BTOP). We learned that roughly $2 billion would be available under the first NOFA to “support the deployment of broadband infrastructure in unserved and underserved areas, to enhance broadband capacity at public computer centers, and to encourage sustainable adoption of broadband service.” We also heard that this funding would undergird the objectives of the American Recovery and Reinvestment Act to stimulate economic growth and create jobs.

From that point, the race was on with organizations and ventures nationwide to complete their funding applications by the August deadline. Since that time, some 2,200 applicants across the nation have anxiously awaited award decisions. For some applicants the wait ended on December 17, as Vice President Joe Biden announced $182.7 million in BTOP awards that will be matched by $46 million in private capital. The Impulse Manufacturing facility in rural Dawsonville, Georgia served as the backdrop for the announcement. The technologically-advanced company, which specializes in metal fabrication, has reportedly felt stymied by a lack of true broadband.

Biden’s announcement encompassed 18 projects in 17 states, and the White House.gov Web site shows a full list of awards that were given for the following project categories:

Middle Mile Awards – $121.6 million to build and improve connections to communities lacking sufficient broadband access.

Last Mile Awards – $51.4 million to connect end users like homes, hospitals and schools to their community’s broadband infrastructure (the middle mile).

Public Computing – $7.3 million to expand computer center capacity for public use in libraries, community colleges and other public venues.

Sustainable Adoption – $2.4 million to fund innovative projects that promote broadband demand with population groups where the technology has traditionally been underutilized.

Alaska was among the initial states to receive BTOP funding for a project that will bring the first broadband services to southwestern native Alaskan communities. Other states benefitting from Biden’s announcement include: Arizona, Colorado, Georgia, Hawaii, Nebraska, New Hampshire, New Mexico, New York, Maine, Massachusetts, Michigan, Minnesota, Ohio, Oklahoma, South Dakota, and Washington. Over the next 75 days, there will additional BTOP award announcements. So…as they say, stay tuned.

Broadband Rigor in North Carolina – Mapping as an Essential First Step

You can’t know where you are going unless it’s clear where you are now and how you came to be here. As simplistic and obvious as that may sound, it captures the driving principle behind one of this organization’s primary activities. Since 2001, the e-NC Authority has acted on its legislative mandate to develop and maintain a map that depicts the status of North Carolina’s broadband availability. The map evolved over time from a static, county-based representation that was updated annually to its current interactive format. Today, this map provides users with information on the availability of DSL, cable-modem and wireless broadband service at any address in a GIS-based searchable format. Based on this map and related citizen surveys, it is easy to understand the great progress that North Carolina has made in terms of deploying broadband technology. And while we can generalize about levels of connectivity for the state as a whole, circumstances in individual communities are sometimes hazy. To add a jumbled metaphor to the mix, we can see the forest clearly, but not always the trees.

Sometimes, the “look” of any broadband map can be challenging. While advances in the technology used to develop, display and update maps have made it more generally useful, problems in the collection and verification of underlying provider-supplied information can limit its true value. Inconsistencies in type, accuracy, completeness and currency of information from some sources can make it difficult to determine with confidence the true level of broadband access in the state at the street/address range level.

The need for better information about broadband infrastructure led U.S. Congress to enact the National Broadband Data Improvement Act (BDIA), directing the National Telecommunications and Information Administration (NTIA) to develop the first national broadband availability map. The need for precise information about where service is and isn’t available was made even more acute with the release of funding guidelines for programs through the American Recovery and Reinvestment Act (often referred to as “the stimulus”) dealing with broadband deployment. Both the U.S. Department of Agriculture Broadband Infrastructure Program (BIP) and the NTIA Broadband Technology Opportunity Program (BTOP) will target awards to applicants who can document extension or enhancement of service to regions with inadequate broadband service at the street or census-block level. With better broadband mapping information the e-NC Authority will be able to:

1) meet obligations as the state’s designated mapping entity to comply with the BDIA mandate
2) fulfill the order from the N.C. General Assembly to regularly monitor and report the status of connectivity in this state
3) facilitate more competitive North Carolina-based BTOP and BIP applications

The e-NC Authority has proposed an innovative and exciting proposal to the NTIA entitled N.C. Broadband Rigor in Mapping (N.C. BRIM), which will ensure delivery of broadband data that is complete, accurate, timely and verifiable. This will be accomplished through a research method known as triangulation. Originally used in surveying and military target applications where precision and accuracy are critical, triangulation is a powerful technique that validates data by cross-referencing more than two sources using multiple research methodologies that study the same phenomenon. The idea is that you can be more confident in the results of said research if different methods are leading to the same result. If only one method is used, it is possible that the results may be affected by inherent biases or limitations of the technique used. If two methods are used, the results may also well clash. By using three research methods, the hope is that two of the three will produce similar answers. If all three methods create clashing answers, the investigator would then understand the need for revision – be it the research questions or the methods used. The e-NC Authority is pleased to confirm that the NTIA expressed such confidence in this approach. N.C. BRIM was one of four grants awarded in the first round of mapping awards.

Triangulation, as applied in N.C. BRIM, involves capturing and comparing data from different methodologies:

1) Broadband service providers will be asked to supply data that complies with standards established the NTIA
2) Leading-edge Web-crawling techniques will deliver the same categories of information obtained independently of providers
3) Citizen-derived data will be obtained through phone surveys (landline and wireless) or Internet-based e-surveys
4) Surveys of businesses will round out the user-provided data
5) A GIS-enabled wireless propagation study will be the first-ever statewide examination of wireless access (the results of this propagation study will then be validated by field interviews and surveys)

Finally, an expert panel of independent evaluators and data management professionals will convene to analyze results and validate a strategy that will deliver the highest quality result for the state of North Carolina.

Broadband on Jones St. & National ARRA update

As we head into July, we are likely looking at the last few weeks of the N.C. General Assembly’s legislative session. So, what’s happened? As far as broadband legislation, several bills have made it into law, primarily those supported by the telecommunications service providers.

HB135/SL 2009-80 – Broadband Service Providers
This bill allows companies that already provide broadband to expand their service areas for voice service. This was signed into law on June 11.

SB889/SL 2009-202 – Utilities/Carrier of Last Resort
This bill allows for local exchange companies to, in some cases, be granted waivers of their carrier of last resort obligations for certain subdivisions and other defined areas. This was signed into law on June 26.

HB1180/SL2009-238 – Consumer Choice and Investment Act of 2009
This bill decreases regulation on local exchange companies in their provision of voice service. This was signed into law on June 30.
SB357– Utilities/Regulation of Pole Attachments
This bill requires municipalities and membership corporations to allow the use of their poles, ducts and conduits by communications service providers and authorizes the North Carolina Business Court to resolve disputes around use. This bill was ratified July 2 and is now waiting to be signed into law.

So with the final budget still in limbo – the session is not over, but these are some of the key broadband bills that have made it into law, or are at least headed in that general direction.

So what happens now? The state budget is expected to pass in the next couple of weeks. The e-NC Authority expects to retain much of its recurring operating funds so that we may continue to keep our doors open for the 2009-2010 fiscal year. Unfortunately though, the latest versions of the budget do not contain funding for broadband-related grant programs as requested by the e-NC Authority. We are still pushing for funds that could be used as match for grant applications on broadband projects forthcoming from the American Recovery and Reinvestment Act of 2009 (ARRA).

And in other big news…

The U.S. Department of Agriculture Rural Utilities Service (RUS) and the National Telecommunications and Information Administration (NTIA) of the U.S. Department of Commerce released the Notice of Funding Availability this week for the RUS Broadband Initiatives Program (BIP) and NTIA’s Broadband Technology Opportunities Program (BTOP).

In North Carolina, the Office of Economic Recovery and Investment has been holding meetings of its Broadband Task Force (although the state does not have direct input on funds distributed by RUS and NTIA). At the next meeting of the group in July, Connected Nation’s online maps of North Carolina are to be presented.

In other big happenings, CenturyTel and EMBARQ announced this week that they have completed their merger, impacting 33 states. And last month, Verizon Communications announced the sale of its landline service in 14 states, including in North Carolina. Meanwhile, AT&T continues to focus on build-out of its mobile 3G wireless network.

Planning Broadband for the “New Normal”

In his recent conversation-starter essay, The New Normal, Ian Davis poses the question of “What comes next?” in terms of our current economic turbulence. Davis’ basic premise is that the current downturn is fundamentally different from recessions of the past, and that we are about to face a restructuring of known economic order. He states that the “new normal” will be shaped by a confluence of powerful forces – some arising directly from the financial crisis and some that were at work long before this all began. One-time factors such as the entry of women into the labor force and loads of new college graduates conveniently coincided with peak spending years of the baby boom generation – all helping to boost consumption-driven growth since the 1980s. It is clear that these forces will not predominate in whatever emerges. Rather, Davis says that the factors shaping the world economy of the near future are less leverage and more government.

We already see evidence of the effect these factors are having on efforts to stabilize the financial crisis and revitalize growth in the banking and financial services sector. In the arena where the e-NC Authority is most directly concerned (broadband deployment), decreased leverage is sparking a new wave of mergers and acquisitions, delays in equipment upgrades and new deployments and reduced investment in product R&D. Countering these negative trends is another that makes us cautiously optimistic: increased interest in broadband at the highest levels of federal government through targeted investment of the American Recovery and Reinvestment Act (ARRA).

On Feb. 17, 2010, at long last, a national broadband plan will be delivered to Congress by the Federal Communications Commission (FCC). As its primary goal, this plan will espouse ubiquitous and affordable broadband access. On May 22, 2009, acting FCC chairman Michael, J. Copps made an important down-payment toward the national plan with the release of the report Bringing Broadband to Rural America. This report fulfills a requirement of the June 2008 Farm Bill that the USDA and the FCC submit a rural broadband strategy to Congress. Other critical federal broadband legislation includes the ARRA that will provide funds to map the current broadband footprint and help fund network deployment to unserved and under-served communities, and the October 2008 Broadband Data Improvement Act that requires the FCC to deliver an annual status report to Congress that benchmarks progress toward ubiquitous broadband access.

Highlighted recommendations contained in the Rural Broadband Plan include:

• Improve coordination among federal agencies and with stakeholders to better harmonize broadband agendas and working definitions – leverage broadband dollars across federal agencies and improve communication via an improved Web site
  
• Assess and address broadband needs thorough accurate mapping, education and training to stimulate demand – and provide subsidies to increase penetration while decreasing the cost of deployment
  
• Overcome challenges through consideration of universal services reform, network openness, spectrum access, middle mile and speed access reforms, inter-carrier compensation, access to poles and rights-of-way and tower studies
  
• Monitor and adjust the plan through annual status reports to Congress

In support of a national vision for broadband, acting FCC Chairman Copps harkens back to other instances where leadership and vision were successfully employed in the face of considerable opposition – and those adventures ended up delivering critical infrastructure that catalyzed and sustained economic growth. Think about it – he’s right. U.S. Postal Service. Transcontinental Railroad. Interstate Highway System. Rural Electrification and its spin-of, the Rural Telephone Cooperatives. All then of course, the Internet itself. All of these initiatives represent transformative public investments whose development depended on a strong and coordinated national vision. We agree with Copps’ statement that it is time for the United States to meet the challenges of the 21st century with universal broadband deployment. Whatever our collective “New Normal” turns out to be, we will be better prepared to meet it if we are all connected.

Wall Street Journal video - Rural fiber project in Vermont

Broadband in Rural N.C. - Looking at the 2007 numbers

In North Carolina, there are nine telephone membership cooperatives, six privately-held telephone companies, six publicly-held telephone companies and one municipal telephone company. Here’s how their Internet service breaks down:

The telephone membership cooperatives serve approximately 4 percent of the access lines in North Carolina and have made DSL service available to 98 percent of their subscribers (note: a number of them make service available to 100 percent of their subscribers).

The six privately-held companies serve approximately 6 percent of the access lines in North Carolina and make DSL service available to 98 percent of their subscribers.

The one municipal group serves approximately 0.05 percent of the state’s access lines and has made DSL service available to 100 percent of subscribers.

But here’s the real story…

The six publicly-held companies serve approximately 90 percent of the access lines in North Carolina (and actually, two significant companies in that mix serve 88 percent of the lines). Combined, the six publicly-held companies make DSL service available to approximately 80 percent of the access lines in the state. These companies are now headquartered outside of the state and financial decisions on deployment of specific telecommunications services are now mostly made at that corporate level.

There are approximately 600,000 households in North Carolina that do not have access to any type of high-speed Internet service, and most of these households are in rural communities. As an economy, we’ve long-since passed the point where Internet is a luxurious or insignificant pastime for people with disposable income. It is a utility and a basic infrastructure – no different from water, sewer, roads and electricity.

So, how do citizens solve the problem of not having service?

Call customer service?
Many citizens tell us that this doesn’t work, even when they are armed with community petitions that beg and plead for service.

Escalate the issue to someone higher up in the company?
Again, many citizens tell us that this also does not work, but we always suggest that they continue to try.

Call the Utilities Commission?
By law, they don’t regulate Internet services.

What’s left?
Contact your state and federal representatives. They are the only ones that can bring about a change in the way companies operate. (For example, they can provide incentives to nonprofit, private and public sector providers to encourage deployment to homes and businesses.) Always remember that your elected officials are in a position of power – but only by virtue of your vote.

InternetforEveryone.org Town Hall Series Coming to North Carolina

InternetforEveryone.org - a national initiative of groups that are working to bring the benefits of a fast, affordable and open Internet connection to everyone in America - will hold its second town hall meeting on March 7 in Durham. This event is part of a nationwide series designed to give local citizens a seat at the table as new leadership shapes America ʼs broadband future.

WHAT: InternetforEveryone.org Town Hall Meeting
WHEN: Saturday, March 7, 11 a.m. - 4 p.m.
WHERE: Durham Marriott Convention Center, 201 Foster St., Durham

High-speed Internet, or "broadband," is becoming a crucial public necessity - but more than 40 percent of all U.S. homes are not connected or use slow "dial-up" technology. To address this digital divide, President Barack Obama has vowed to "expand broadband lines across America," and Congress is poised to spend billions on broadband as part of its economic stimulus bill. InternetforEveryone.org will deliver feedback from the Durham town hall meeting to the Obama administration and Congress as a national guide to building a better Internet.

"Leadership in Washington has made Internet for everyone a national priority," said Timothy Karr, campaign director of Free Press, the organizer of InternetforEveryone.org." But getting everyone connected wonʼt happen overnight. In North Carolina alone, more than 3.5 million citizens are without high-speed access. Building an open, fast, affordable Internet is a process that requires true public participation. Washington must listen to the people of Durham , and others across the country, in order to build an Internet that works for all Americans."

For more information, visit www.InternetforEveryone.org/Events/Durham.

Lacking broadband infrastructure in western N.C.

Andrea R., a telecommunications business consultant in Jackson County, shares her perspective on the need for connectivity in western North Carolina and industry's lack of willingness to provide it. These comments were shared at a public meeting about poor Internet access in North Carolina.

Paging the Economy! Can We Get Some Stimulation Please?

It is impossible to watch the news these days without hearing stories on the economic recession and how it is impacting the country. As the recession continues, national and state leaders are examining a variety of ingredients in some far-off economic stimulus packages – all wondering if any of them will help to stir the economy. Early on, there was talk of a possible focus on physical infrastructure – investing in improved roads, airports and schools for the country – creating jobs through the implementation of these projects, simultaneously improving the backbone of the country. But FINALLY, the idea of increasing broadband infrastructure became part of the discussion.
Last weekend, in a radio address, Pres.-elect Obama pledged rollout of a massive public works program as part of his economic stimulus plan, including a renewal of the country’s information superhighway. While some have said that physical infrastructure projects take too much time to show results, others say the recession is deep enough that we have plenty of reason to invest for the long term. If we are moving toward an infrastructure-focused plan, it seems that broadband, our gateway to 21st century competitiveness, should be the key component.

Edward Glaeser’s recent column in the New York Times talks about the challenge of not losing focus on human capital in the mix of all the public infrastructure projects, especially when considering the unskilled workers. And really, broadband is A LOT more than just physical infrastructure. It is more so a tool that allows citizens and communities to reach their full capacity by enabling them to be connected to each other. A global conversation, if you will. But reaching those left behind will require not only infrastructure, but also training and education that will help unskilled workers reap the benefits of this tool.

This plan holds lots of potential promise for those interested in a national broadband strategy, but there is much left to be defined. It will be interesting to see how a massive broadband deployment program would be rolled out. From the FCC? From individual states? From some yet-unnamed entity? Broadband is not currently considered a public utility. Traditional public works programs are defined by the government investing in government-owned infrastructure. So if that’s the case moving forward, who will own this valuable infrastructure? If the funding goes to private service providers, what will be the criteria for deployment? How do we ensure competition between the providers, and what areas will be targeted? These questions are just some of the complicated issues to be sorted out in the country’s economic stimulus plan. At the e-NC Authority, we will be watching with great interest to see how it unfolds.

Broadband Policy and Obama: What to Expect

The votes are in; now the work begins. What can we expect in terms of how broadband Internet will infuse and define the platforms, programs, policies of President-elect Obama’s first administration? How can we get involved? Fortunately, the answers to these questions can be found online where Obama is already on the record as supporting universal broadband access and its use in support of education, health care, business development and civic engagement in government at all levels. The following excerpts from various sources capture and highlight what we might expect from his administration related to broadband.

Some of Obama’s sector-specific goals for broadband include…

Business Development:
Obama recognizes the role that technology and broadband Internet needs play in business development.

Health Care:
A key feature of Obama’s plan to lower health care costs is the proposal to invest $10 billion each year over the next five years to move the U.S. health care system to broad adoption of standards-based electronic information technology systems. This includes use of electronic health records to better coordinate care, measure quality and reduce medical errors.

Public Safety:
Obama is committed to improving the use of ICT to support public safety and improve response to emergencies and natural disasters. Critical to this is investment in the development and deployment of new technologies to promote interoperability, broadband access and more effective communications between public safety responders and their network systems.

Education:
Obama will push for funding to bring broadband access into all K-12 schools as a minimum technology operating platform.

Civic Engagement:
Building on the most technology-intensive campaign ever, the Obama administration envisions continued and expanded use of the Internet to encourage civic engagement.

Fight Night: The Internet vs. Newspapers

If the Internet were a boxer, it would be the heavyweight champion of the world; taking its rightful place alongside boxing legends like Muhammad Ali and Joe Louis. In this same context, newspapers would represent an aging, near-retirement opponent, lying dazed on the mat with a cut over its left eye, hoping for a second wind.

So, what happened to newspapers, a once-formidable contender? Well, it’s complicated. But for starters, while newspapers were training 10 hours a day and mixing together pulpy, old-school protein powders, promoters for the Internet were out scouting for new talent and taking notice of a shift in journalism. The Internet honed in on this weak spot and came out swinging. And newspapers are still reeling…

The Numbers Tell the Story
Newspapers just aren’t packing them in like they used to. A survey by Scarborough Research for Journalism.com shows that in 2005, 38 percent of 18-24 year olds were reading newspapers in an average week. By 2007, that figure dropped to 33 percent.

In contrast, the Internet is attracting fans. Princeton Survey Research Associates International conducted a survey for The Pew Internet & American Life Project that illustrates this point. Survey participants age 18 and older were asked “Did you happen to use the Internet yesterday?” In January 2005, 58 percent said yes. By October-December 2007, 72 were in the affirmative. That’s a big jump.

The Blog Jab
Citizen journalism has gained in popularity and is challenging the way we define “news.” Search engine Technorati currently tracks around 112 million blogs and estimates another 175,000 are created every day. From notable blogs like the Daily Yonder to voyeuristic TMZ and Perez Hilton, bloggers deliver timely content, often beating traditional news outlets to the punch.

The Ad Hook
In March 2008, the New York Times reported that newspaper advertising fell 7.9 percent last year. Advertising used to be a mainstay of the industry, but ad dollars follow eyeballs and these days, millions of those eyeballs are glued to the Internet – therefore making Yahoo!, Google and Craig's List the new go-to companies for advertisers.

The Broadband Uppercut
The speed and agility of broadband has changed expectations about information delivery, and given people power to shape their news experience by quickly gleaning stories from multiple sources. Broadband also makes it easier to collaborate online, building on the concept of creating communities through shared experiences, which is one of the Internet’s greatest strengths.

The Final Punch
The Internet seems poised to deliver the deciding blow, but newspapers aren’t going to disappear tomorrow. Having survived radio and television, they can withstand the Internet. Many papers already boast a respectable online presence, and some of the best writers still call the newsroom home. The medium’s success rests with its ability to use what it has. And in this competitive Web 2.0 climate, it also must become a stronger advocate for universal broadband and net neutrality. Beyond that, time is on the industry’s side, so there’s still a chance to mend whatever may be broken.

Thinking differently (externally) about innovation

The N.C. Rural Economic Development Center’s annual Rural Partners Forum is coming up in early October and the topic this year is INNOVATION. And we’re sure that they’ll present a slew of different ways in which innovation touches our state’s rural economies, but is there a vehicle for innovation more radical than the Internet?

While most companies still cling to the invention model that centers on internally-generated ideas and intellectual property, other companies are beginning to adopt a fundamentally different way of thinking about how to develop new products and processes. They understand that the Internet is fueling the transition to an open model of innovation that is driven by greater access to talent, risk-taking entrepreneurship and capital – wherever in the world it is found.

In 2000, Proctor and Gamble (P&G) realized that their return on increasingly expensive research and development (R&D) investments was inadequate. Studying their process for innovation, they estimated that each of their internally-employed researchers had at least 200 talented peers worldwide with skill sets that that P&G could potentially use. So P&G decided to fundamentally change their view of R&D to now include not only the 7,500 people inside the firm, but also 1.5 million scientists and engineers outside the company. The Internet made this possible by providing those new connections. The results more than support the wisdom of that decision – to adopt an open innovation policy. The company reported in 2006 that R&D productivity is up almost 60 percent, and 45 percent of products in development having key elements from external sources. Their innovation success rate has doubled, the cost of innovation has decreased, and perhaps the most telling of all – the price of a share of P&G stock has doubled.

Eli Lilly, a pharmaceutical giant headquartered in Indiana, has also used the Internet to dramatically change their innovation model. Eli Lilly created and spun-off Innocentive, a Web-based service firm that posts client’s scientific problems and offers cash for accepted solutions, maintaining the anonymity of all involved. This approach allows firms of all sizes to efficiently use the Internet to leverage their access to a critical and scarce R&D resource – talented human capital. It was found that for the 166 problems solved through Innocentive, the further the problem was from the solver’s expertise, the more likely he or she was to solve it. Non-experts in one field solved problems in another field by thinking differently. The results reinforce the value of the Internet as a boundary-eliminating connection that can serve to enrich blockbuster innovations.

The application of the Internet to spurring innovation is not limited to R&D enterprises. Netflix, a mail-order and Web-based entertainment service recently offered a $1 million award for an algorithm that would improve efficiency of one of its existing internal systems by at least 10 percent. They drew over 15,000 entrants from 126 countries, and the leading solution came from Budapest University of Technology and Economics.

Who Understands All This Technical Stuff Anyway?

Well, the quick answer may be – not many people. It seems somewhat scary for local, state and national leaders to be making policy decisions on technologies that they may not fully understand. If we want to deploy more broadband (and deploy it in areas that may not have the normal market-driven forces at work), it seems that it would be helpful to have more technical resources available to decision-makers who are trying to understand broadband issues.

Last month, Geoff Daly of App-Rising.com spoke at the annual conference for the National Association of Regulatory Commissioners on wireless broadband. In his speech, he points out some of the pros and cons of wireless broadband – in a way that is easy to understand. What areas will it be most useful in (ex. mobility-driven applications)? What are the drawbacks (lack of standardized technologies)?

Daly’s goal was to educate the regulatory commissioners gathered together there from all around the country. We won’t try to spell out his entire speech here, but we recommend reading it. He even points out what he sees as a technical problem in a wireless plan around libraries, suggested one of the FCC commissioners. And that makes us wonder – where do these national leaders go for technical advice? Of course, the FCC commissioners have dedicated staff but what about all the utilities commissioners and state-level leaders? There are a multitude of technical issues surrounding broadband deployment, and you don’t have to look far to also see the volume of complex regulatory and legislative requirements around varying technologies.

At the e-NC Authority, we get lots of calls from local leaders and state leaders who are trying to sort out these questions. They most often ask about deploying wireless service and/or developing fiber networks. We do provide technical advice to local and state leaders in North Carolina, but only as much as is possible with our small staff and limited financial resources. And there are some other groups which do this as well, such as the Center for Public Technology at UNC-Chapel Hill, which offers training for government IT professionals.

But there still seems to be a lack of technical assistance available to those who need it most – those who may be trying to decide where to invest millions of dollars allocated for a community network, or those state legislators who are trying to decide how to write a particular piece of legislation. There are always industry professionals and vendors to provide consulting but can you get objective advice from a vendor?

In any case, until we have enough public entities willing to invest in technical staff members that really understand broadband technologies, or in policy staffers that really understand the policy side, we just have to hope that leaders and interested citizens are taking the time to read Daly’s columns and the thousands of other blogs, presentations and in-depth papers that examine these issues.

Universal broadband throw-down: McCain vs. Obama

The Washington Post has put together a healthy resource site for readers to examine the 2008 presidential campaign candidates for their position on various issues. In looking at this recently, it was made clear what a stark difference there is between Sen. McCain and Sen. Obama when it comes to looking at universal broadband as an economic driver. Did we mention it was a stark difference?

When each candidate was asked to name "the three most important things [they would do] to promote economic growth and prosperity," Sen. Obama noted universal broadband deployment, but the words "broadband" and "Internet" are completely missing from Sen. McCain's response. Now, Sen. McCain's answer to the question is longer than Sen. Obama's, but Sen. McCain only mentions the role of technology in economic stimulation after a short break (included in the text below). Both are worthy candidates and we certainly won't make a political recommendation here - but the differences between candidates when it comes to universal broadband access is worth pointing out.

Here's how it went down...

Q:
WHAT ARE THE THREE MOST IMPORTANT THINGS YOU WOULD DO TO PROMOTE ECONOMIC GROWTH AND PROSPERITY?

SEN. OBAMA'S RESPONSE:
First, I will make strategic, long-term investments into American infrastructure to create more high-wage jobs. I will expand federal funding for basic research, make the tax credit for research and development permanent, and expand the deployment of broadband technology, so that businesses can invest in innovation and create high-paying, secure jobs. And I will make investments in education, training, and workforce development so that Americans can leverage our strengths -- our ingenuity and entrepreneurialism -- to create new high-wage jobs and prosper in a world economy. Second, I will fight against trade agreements that undermine American competitiveness and use trade as a tool to grow American jobs. I will use trade agreements to spread good labor and environmental standards around the world and stand firm against agreements like the Central American Free Trade Agreement (CAFTA) that fail to live up to those important benchmarks. Third, I will promote digital inclusion. Getting broadband Internet access into every home and business in urban America at an affordable rate could give low-income people increased opportunities to start businesses and engage actively in our communities.

SEN. McCAIN'S RESPONSE:
I am committed to pursuing a pro-growth economic agenda. First, we must minimize the burden of the federal government on entrepreneurs and the private sector by keeping spending under control and taxes low. We should keep income taxes low by making the tax cuts permanent, thus eliminating the threat of a crippling tax increase in 2011, by repealing the Alternative Minimum Tax, and also by making it more difficult for Congress to raise taxes by requiring a three-fifths, super-majority vote in order to pass a tax increase. But low taxes work best when accompanied by low spending. To limit spending, we must eliminate pork-barrel spending and reform entitlement programs. Opening markets for American goods and services is indispensable to our future prosperity. We can compete with anyone. American leadership on trade is critical to a vibrant world economy and to ensure access to new markets which will benefit our businesses, workers, farmers, and ranchers. Ninety-five percent of the world's customers are outside our borders, so it makes sense to try to reach more of them with our products and services by concluding more trade agreements tied to vigorous enforcement. Over the past fifty years, efforts to reduce global barriers to trade have raised U.S. incomes by $1 trillion every year - a $3,500 'trade refund' for every man, woman, and child in the United States. We also benefit from direct investment in our nation. Americans do not shy away from the challenge of competition: they welcome it. Because of that, we attract foreign investment from across the world. Trade has also contributed to our low unemployment and inflation rates. But the benefits we enjoy today can easily be gone tomorrow if governments travel the road of protectionism to failure. We must stand firmly against such economic isolationism today to ensure America's prosperity tomorrow. America has succeeded because we've more willing to embrace and encourage economic change more than most of our competitors. *break* Additionally, a strong tech industry is critical to our continued prosperity. Maintaining our tech edge requires robust basic research, a highly skilled workforce, and a healthy investment climate. We must support our tech industry with smart policies that make basic research a priority, improve our schools to produce graduates with strong math and science skills, make our immigration system friendlier to the world's tech innovators, and make our tax system and patent laws innovation friendly.

North Carolina leadership in interactive video

North Carolina’s First Interactive Video to Universities: 1984
MCNC (known then as the Microelectronic Center of North Carolina) began a network known as CONCERT to carry courses in the sciences out from UNC-Chapel Hill, N.C. State, Duke and Wake Forest to other universities and employees at high-tech companies. The CONCERT name was changed to NCREN in 1992. And with the advent of the N.C. Information Highway, all of its constituent institutions were added to this network. University courses were carried over both CONCERT and NCREN to spread the offering of scarce courses to universities, institutions and organizations that were otherwise unable to provide a very diverse set of courses. For example, Appalachian State University and the UNC-Asheville could not offer a diverse enough set of courses for majoring in something like, say, the German language. Resources from Appalachian State University and UNC-Asheville banded together to enable a German degree by using NCREN.

Originally, CONCERT used microwave towers and then moved predominantly to leased, fiber-based infrastructure and services for NCREN. The MCNC network was full motion, two-way interactive (and high quality) video for distance education, video conferencing and telemedicine. It also carried very high-speed data for research purposes among the university campuses in North Carolina.

North Carolina’s First Interactive Video Over Fiber to Schools: 1994
It took almost 10 years from the first interactive video to spread across North Carolina – a full motion, two-way interactive video at 45 Mb, delivered over an ATM Sonet fiber network here in North Carolina (piloted in Wilmington and Charlotte as Vision Carolina), and then named the N.C. Information Highway. It first offered services in August 1994 to deliver courses to high schools and community colleges. That network was built by telecommunication carriers in North Carolina – then known as Sprint, BellSouth and GTE – as well as telephone cooperatives and independent telephone companies. These carriers are known today as Embarq, AT&T and Verizon. The state paid for video services in the same way it would pay for telephone services (it did not own this network; the private sector and nonprofit telephone cooperatives did).

Initially, the network carried video to more than 70 high schools, enabling them to offer many science and technology courses that would not otherwise be available. Other courses were subsequently developed so that schools could receive language courses and advanced placement (AP) courses that were not taught in these schools because of lack of certified teachers. Shortly thereafter, 21 of North Carolina’s 50 community colleges also joined the network. Again, scarce resources were utilized across the system to spread educational content from one corner of the state to another.

The N.C. General Assembly was a leader and pioneer in funding the N.C. Information Highway. And private sector companies – be they wireline carriers, independent wireline carriers or telephone cooperatives – joined in this public-private partnership to deploy this first fiber-switched broadband ATM network in the world.

And here’s the kicker – it was the largest network of its kind in the world at that time. Right here in North Carolina. Can you believe that?

Such an awful shame that now the state and nation have fallen so far behind…

A Crescendo of a Video

We recently wrapped production of the video below, intended as a general piece that would promote the value of broadband deployment as an economic fixture in North Carolina (and by extension, the nation as a whole). It is a unique visual style and we are thrilled with the results. Moving forward, we are sure to find plenty of opportunities to use this at community meetings, legislative briefings and the myriad occasions in which we are asked to provide remarks and data at large presentations and events. Hope you like it...

"Broadband Revolution" - white paper release in D.C.

Our trip to Washington, D.C. was fantastic and the white paper we released was tremendously well-received at the event sponsored by the New America Foundation. Over 150 people attended the event – legislative staffers, FCC Commissioners, political consultants, industry folks and journalists a’plenty. The video below chronicles the entire event but here are the speakers in order, along with the hour:minute:second mark where their remarks appear in the video. This’ll help you to scroll through each to find what you might be most interested in listening in on…

Also – click here to find download-able copies of the white paper’s full report and its executive summary.

- Moderator: Michael Calabrese, New America Foundation (0:00:00)
- Remarks: FCC Commissioner Michael J. Copps (0:05:20)
- Remarks: FCC Commissioner Jonathan S. Adelstein (0:19:30)
- Report author: Jim Baller, Baller Herbst Law Group (0:43:35)
- Partner: Jane Smith Patterson, The e-NC Authority (1:01:15)
- Partner: Diana G. Oblinger, EDUCAUSE (1:15:50)
- Partner: Stan Fendley, Corning, Inc. & Fiber-to-the-Home Council (1:24:50)
- Q&A (1:31:10)

e-NC and the City

The office has been all a’flutter over the last few weeks because we have been preparing for a trip to Washington D.C. on Monday (June 23). It’s not that we are normally a’flutter over a trip to the capital; this time it’s for a particularly special occasion.

Several months ago, in conjunction with our governing board, we began to realize the need for a new piece of research. We needed something concise but powerful – a report that would compile the overwhelming facts and data to support the demand for increased broadband deployment not only in North Carolina, but throughout the entire nation.

The report was commissioned to Jim Baller of Baller Herbst Law Group in Washington, D.C. and is titled Bigger Vision, Bolder Action, Brighter Future: Capturing the Promise of Broadband for North Carolina and America. Basically, it outlines the benefits of broadband and the status of current deployment efforts while also looking at how much bandwidth capacity will be needed in the future. A major emphasis of the report is the need for a national broadband strategy. Strong arguments are made within the report for increased broadband deployment in the U.S. and more action on the part of telecommunications companies and community officials.

The report also includes a series of recommendations to the e-NC Authority and the state of North Carolina. The general ideas expressed in the report’s final recommendations are as follows:

• Push to make North Carolina one of the top five states in broadband adoption and use;
• Participate in a national broadband strategy;
• Work with local citizens and leaders around the state to gather input on how to move the state forward;
• Continue the e-NC Authority’s connectivity programs, but push for higher speeds than just DSL and cable modem service;
• Seek legislative authority for data collection from the providers;
• Encourage proactive policies to promote build-out by service providers; and
• Encourage localities to consider broadband initiatives as an option, along with all other options.

As the report was being finished, we were flattered to receive an offer by the New America Foundation in Washington, D.C. to sponsor an event announcement to release the paper.

Want to come?

Keep your eyes on our Web site after 12 p.m. on Monday - electronic files of the full report and the executive summary will be posted at that time.