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US wants to define broadband, opens wireless inquiry

Aug 20, 2009 @ 05:42 PM, Sci/Tech, Reuters

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WASHINGTON, Aug 20 (Reuters) - U.S. telecommunicationsregulators on Thursday sought public comment on how to define"broadband," a step that could impact how the industry deliversInternet services to consumers.

The Federal Communications Commission issued a fact-findingnotice on its website (www.fcc.gov) seeking the public'sinput as it drafts a national broadband plan that is slated tobe submitted to Congress in mid-February.

The FCC also said it plans to issue another public noticeon its website to study the competitive nature of the U.S.wireless industry and how to "encourage further innovation andinvestment."

The notice to examine the wireless industry comes amidanother inquiry by FCC Chairman Julius Genachowski seekinginformation about why Apple Inc (AAPL.O) rejected Google Inc's(GOOG.O) voice application for the popular iPhone.

AT&T Inc (T.N) is the exclusive carrier for the iPhone inthe United States. Responses to letters sent last month to thethree companies from the FCC are due by late Friday.

The state of the wireless industry as well as fees onsubscribers monthly bills will be discussed at an FCC meetingnext Thursday, the first with all five commissioners in a newadministration.

The inquiry into the wireless industry indicates that thenew administration wants to take a fresh look into whethercustomers can get better services at more affordable prices.

The notice to define broadband also sets the stage for howregulators should proceed in trying to determine several issuessuch as speed, accessibility, affordability and increasingsubscribership.

Among the questions posed is how often that definitionshould be updated.

"A static definition will fail to address changing needsand habits," the FCC notice said.

The United States lags behind many European and Asiancountries in terms of broadband speed.

A 2008 study by the Organization for Economic Co-operationand Development showed that the United States ranked 19th withan advertised rate of 9.6 mbps. The top three countries wereJapan with 92.8 mbps, Korea with 80.8 mbps and France with 51mbps.

The current U.S. base standard speed for any applicantthat wants to participate in Obama's $7.2 billion economicstimulus program for expanding the U.S. broadbandinfrastructure is at least 768 kbps.

The speed issue, including the difference betweenadvertised and actual rates, is among many concerns that arebeing addressed during a series of FCC workshops being heldthis month and next.

"In most cases the 'advertised' throughput speed has atenuous relation with the actually delivered speed," CarlosKirjner, the FCC chairman's senior adviser on broadband, saidon the agency's new broadband blog.

Officials are seeking data and ideas on how to improveaffordable high-speed Internet services for low-incomefamilies, education, health and medicine, homeland security,the environment and transportation. 

An April 2009 study conducted by the Pew Research Center'sInternet & American Life Project found that 63 percent of adultAmericans have broadband at home, up 15 percent from a yearearlier.

The increase corresponded with a higher average monthlycost of $39 per month in April 2009, compared with $34.50 permonth in May 2008. (Reporting by John Poirier; editing by Leslie Gevirtz)

Source: Reuters


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