The United States has taken the first steps to review its Communications Act, which had its last overhaul in 1996.

According to an article on The Hill, the US Act didn’t look at the Internet in a “forward looking” manner.

Representatives Fred Upton and Greg Walden, who head up the US House Energy and Commerce Committee and communications and technology subcommittee released a white paper to kick off the review process. According to The Hill:

The committee’s white paper also criticized the “siloed” nature of the current law, which has different rules for different kinds of communications. This has created a problem with providers that now offer, for example, combined communication services, such as making calls through an Internet connection.

Silos? In Canada, we have different Acts for Telecom versus Broadcasting. Both Acts pre-date the 1996 US Communications Act; the Telecom Act dates back to 1993 and the Broadcast Act precedes it by two years. Further silos are created by other Acts, such as the Radiocommunications Act.

Perhaps it is time for a holistic review of the governance of the sector?

AT&T got critics’ keyboards activated by announcing plans for a Sponsored Data service, enabling websites to pay for their end-users data consumption. The service has been characterized as a type of toll-free or “1-800” style service for mobile data.

Does this contravene network neutrality principles? AT&T says the traffic from the sponsoring sites will be treated the same as other traffic on the network. A US public interest group, Public Knowledge, claims this is precisely what a net neutrality violation looks like.

I don’t think it is quite so clear. Via Twitter, I asked for careful thought on the implications of the evolution of internet transport business models:

AT&T has provided these examples of enabled capabilities in its press release:

• Encouraging customers to try a new smartphone or tablet app.
• Promoting movie trailers or games.
• Providing patient healthcare support via wellness videos.
• Encouraging customers to browse mobile shopping sites.
• Allowing businesses with ‘Bring Your Own Device’ policies to pay for the data employees use for specific business-related apps and services.
• Enhancing customer loyalty programs by providing sponsored data access to products and services.

AT&T has indicated that among its first two clients are Aquto, which has an app that rewards users with extra data if they watch ads or download specific apps, and health insurance company UnitedHealth Group.

Is it possible that Aquto, or app providers like them, might enable data access to customers who cannot afford a data plan?

Could “sponsored data” facilitate the development of data-intensive health telemetry applications, paid for by the healthcare insurer or provider, instead of burdening the patient with the costs? According to Techcrunch, the intent is to provide low-income users access to health information videos.

Could such a “toll-free” data model enable more equitable treatment of data use by Video Relay Service consumers?

Should regulators intervene or allow the marketplace to work to enable evolution of network business models?

In some ways, the year 2013 seems to have finished where we started. There was a lot of noise in between January and December, but on one key front, nothing changed.

Last year, in my first post of the year 2013, I wrote:

It is the beginning of a new year. A chance to make a fresh start.

So perhaps, it is time for us to take a fresh look at a long overdue file, the national digital strategy.

Michael Geist led off his year-end column in the Toronto Star asking:

Will the government finally unveil a national digital strategy?

The long-promised national digital strategy could become a reality in 2014 after years of inaction. Industry Minister James Moore is on the verge of clearing out the lingering policy issues he inherited and may be ready to set his own path on a digital strategy.

Over the past few years, I have asked that question frequently. As I noted last year, operating without a formal strategy, it is hard to point to any catastrophic failures in our ability to compete relative to the rest of the world, but that is hardly an encouraging statement of leadership.

Let’s not confuse a digital economy strategy with a need to hand out cash for digital infrastructure or other forms of government spending, despite the political attractiveness of a photo with a ceremonial over-sized cheque. Releasing a digital strategy does not need to cost billions of dollars; it needs clear, consistent statements of objectives.

For example, while digital services adoption is a metric that is commonly used in global rankings, most people seem to focus on only one variable in the calculation: the supply side. As a result, we have seen billions of tax dollars thrown toward broadband infrastructure in remote regions, with ever diminishing returns. In some cases, close to $10,000 per household have been handed out in subsidies, permanently disrupting the business case for competitive supply of services. The private sector has already been investing in infrastructure, including billions of dollars in rural markets, delivering the supply side of the adoption calculus.

Instead, we need to promote demand. We need more programs like Rogers Connect For Success to provide low income Canadian households with affordable access to a connected home computer. [It was nearly 6 years ago that I first suggested that we should consider computers and connectivity as part of Canada’s social safety net.]

Digital adoption is just one element of a national strategy. Digital literacy is another. The original consultation asked 26 questions under 6 broad headings:

• Innovation Using Digital Technologies
• Digital Infrastructure
• Growing the ICT Industry
• Canada’s Digital Content
• Building Digital Skills
• Improving Canada’s Digital Advantage

The consultation created a table of contents for a document that we have waited 3 years to be delivered.

In May 2010, three Ministers of the Crown stood together to launch the consultation, saying “Canada can and should be a leader in the global digital economy. Now is the time for the private sector to step up and contribute their ideas for a digital strategy and, when that strategy is in place, to implement the plan.” Nearly four years have passed since that call for action.

Two previous Industry Ministers failed to deliver a plan for the private sector to implement.

Over the past year, I have stated a pretty simple leadership formula: Set clear objectives. Align activities with the achievement of those objectives. Stop doing things that are contrary to the objectives.

In the next two weeks, bidding will start in the multi-billion dollar 700 MHz spectrum auction [January 14] and Industry Minister James Moore will celebrate his 6-month anniversary of his appointment [January 15].

Isn’t it time for Canada to set clear objectives to guide the development of a digital economy?

Over the holidays, Rogers released its most recent survey of consumer technology trends, the Rogers Innovation Report.

In the summary press release, Rogers said that Canadians are not only embracing the technologies that keep them connected, they depend on them.

The research found that more than half of Canadians (52%) now personally own a smartphone; a third of Canadians have a tablet device.

Smartphone owners keep their device within reach 70% of the day (16.8 hours); on average, tablet owners keep their device within reach for 39% of the day (9.4 hours). But, interestingly, older tablet users (60+ years old) are more likely to keep their devices within reach (45% of the day).

Rogers found that 85% of users admitted to sneaking a peak at their mobile device while out with friends; 52% while on a date. Generation Y users were far more likely to check their phones: with friends (99%); on public transit (94%); watching TV (90%); or, on a date (68%). The study didn’t say if those pulling out their devices on a date are checking movie times, looking for directions or waiting ’til their friend has gone to the washroom.

The report also looks at what Canadians expect their from their devices in the near future – within the next 5 years:

• 76% expect to be able to control home appliances, hydro from their devices
• 69% expect apps to be able to provide health notifications, such as measuring blood sugar levels for diabetics
• 50% expect to spend more online than in physical stores
• 55% expect mobile apps to replace the need to carry physical bank cards
• 42% think apps will tell a knock-off from the real thing
• 71% expect smartphone batteries to last for weeks without charging

The full report is 65 pages and it is worth a read. Highlights can be found in an infographic and in the video below.

Rogers Innovation Report provides some useful data and interesting reading as we begin a new year.

Best wishes for a happy, healthy, peaceful and prosperous year ahead.

At The 2013 Canadian Telecom Summit, Rogers Communications President Rob Bruce announced “Connected for Success”, a program to provide affordable computers and connectivity to low income households.

Rogers launched a pilot program in Toronto Community Housing in late August. The program provides a refurbished computer for just $150 and internet connectivity for only $10 per month.

In just four months, 2000 households have already taken up the offer, representing a strong growth in internet adoption for Rogers in the buildings.

Connected for Success seeks to provide an affordable Internet solution for youth, seniors, singles, and families; about 10% – 15% of participating households have seniors as the primary users.

Connected for Success is succeeding. In 2014, will other carriers join Rogers in offering solutions to bring more disadvantaged Canadians online?