Steve Blum's Blog
By a vote of 62 to 6, the California assembly approved assembly bill 1665 this evening. The bill lowers California minimum broadband standard to 6 Mbps down/1 Mbps up, reinstates a tax on phone bills and sends the money into the California Advanced Services Fund, under rules that lock out independent projects and create a fast lane for funding slow speed service from incumbent telcos.
Assembly bill 1665 was approved by the California senate this afternoon on a lopsided vote. The initial count was 32 in favor and 2 against, but the roll was left open for a while, so the final numbers could be different. The no votes came from Mike McGuire (D – Healdsburg) and Janet Nguyen (R – Garden Grove).
The bill will drop California’s minimum speed standard to 6 Mbps down/1 Mbps up, and allocate $300 million in construction subsidies under rules that all but guarantee the money will go to AT&T and Frontier Communications.… More
Incumbent telephone and cable companies convinced their friends in the California legislature to add another slab of pork to a broadband subsidy bill, as the senate prepares to vote on it. Assembly bill 1665 started out as a telco-centric bill, and subsequent amendments, including the the ones added on Friday, have made it even more one-sided – in most areas of the state, it will be impossible for independent broadband projects to qualify for support from the California Advanced Services Fund (CASF).… More
CenturyLink will be allowed to buy Level 3 Communications, under the terms of a settlement reached in June with some of the organisations that challenged the deal, if the California Public Utilities Commission endorses a proposed decision posted this morning by a CPUC administrative law judge.
If the usual process is followed, commissioners will make the final decision at their 12 October 2017 meeting, or a later meeting if there’s significant disagreement amongst them.… More
When national governments run mobile broadband networks, they do not run them well. That’s the unsurprising conclusion of a white paper published by GSMA, the trade association for mobile network operators that rely on GSM standards to one extent or the other – in other words, pretty much all of them.
A trade association that lobbies governments to advance the interests of its members might be expected to oppose what amounts to nationalisation of mobile network infrastructure and operations.… More
The California legislature continued its love affair with telecommunications companies on Wednesday. The senate’s energy, utilities and communications committee, chaired by Ben Hueso (D – San Diego), voted 8 to zero to approve assembly bill 1665 in its current form and send it on to the senate appropriations committee for further review.
It wasn’t exactly unanimous. One senator, Mike McGuire (D – Healdsburg), who had opposed the bill, abstained when the vote was taken, as did two republicans, Anthony Cannella (R – Merced) and Mike Morrell (R – Rancho Cucamonga).… More
The already poor chance that CenturyLink would get permission from the California Public Utilities Commission to buy Level 3 Communications before the end of September took another steep nosedive yesterday. A 5:00 p.m. deadline came and went without a draft decision – yes or no – being released by the CPUC administrative law judge (ALJ) and commissioner handling the case.
In the normal course of business, proposed decisions have to go through a 30 day public review and comment process before being voted on by commissioners.… More
Cable companies own the residential wireline broadband market and are increasing their lead over telephone companies, at least where the major players are involved. An analysis piece by Sean Buckley in FierceTelecom breaks out the subscriber numbers for the 15 biggest Internet service providers in the U.S., ranked by total subscriber count as of 30 June 2017. It shows big cable with a 64% to 36% market share advantage and positive net subscriber growth, while big telco is stuck in reverse.… More
CenturyLink’s proposed purchase of Level 3 Communications appears likelier than not to be delayed for months. Yesterday, the California Public Utilities Commission set a tentative schedule for completing its review of the deal, with a target date of mid-November. That would mean the two companies will have to agree to extend their self-imposed deadline of 31 October 2017 if they still want to complete the transaction.
That won’t necessarily be the case. The ruling issued by commissioner Martha Guzman Aceves yesterday is vague – in many respects – and leaves room for a faster decision.… More
There’s a lot of sniffing around telecoms companies in these dog days of summer. Softbank, Japanese tech investment giant which owns Sprint, is reported to be sniffing around T-Mobile, with a merger in mind. If it happened – if regulators allow it to happen – it would take the U.S. mobile telecom sector down to three companies, from the current four.
Charter Communications is getting a lot of attention, too. Softbank first tried to engineer a merger, and when that failed began talking about buying the company outright.… More