Toward universal broadband

Canadian Telecom SummitA few weeks ago, the National Governors Association (yes, there really is such an association), released an issue brief: State Efforts to Expand Broadband Access. The document tries to provide strategies for states to increase broadband access and adoption.

Among them, the press release suggests that some states have established public-private task forces to evaluate the current state of broadband deployment and identify policy changes needed to expand access and adoption.

We have already had lots of talking, lots of evaluating, and even lots of identification of policy changes. I would suggest that on this side of the border, we don’t need another task force.

On the other hand, we should welcome some action.

In our opening comments today at The 2008 Canadian Telecom Summit, Michael Sone and I called for the government to take some of the nearly $2B windfall from the AWS spectrum auction (the excess over the original estimates of $1.5B) and invest it in initiatives to stimulate demand for broadband from under-serviced segments.

We suggested that a new approach is needed. We don’t think government programs should pick winners by subsidizing one service provider over another:

We propose that the government establish a sustainable program that helps lower income Canadians to pay what it costs to provide service, regardless of means. Our tax system is already structured to be able to offer such subsidies and there are even mechanisms to differentiate based on geography.

This kind of approach would use the AWS auction windfall to stimulate economic investment in broadband infrastructure by regional and niche service providers. It represents a way for the government to re-invest money generated from the telecommunications industry, back into the industry to help bridge the digital divide and render broadband affordability a non-issue.

The 2008 Canadian Telecom Summit runs through June 18 at the Toronto Congress Centre. It has once again attracted a sell-out crowd of more than 500 industry leaders.

Plan to attend next year – join our mailing list. The 2009 Canadian Telecom Summit will take place June 15-17, 2009.

The 2008 Canadian Telecom Summit

Canadian Telecom SummitThe halls are set. The 2008 Canadian Telecom Summit opens this morning. At 7:00 am, the registration desk opens and it will be ‘showtime’.

More than 500 delegates have registered to hear from 70 speakers and to join with colleagues, clients and competitors for 3 days of schmoozing.

I will provide some updates throughout the event. Watch this space!

Fraser Institute on net neutrality

Fraser InstituteA Fraser Institute report examining net neutrality was released last week.

The executive summary characterizes the issue as “a prominent focus of debate in the ongoing evolution of Canadian broadcast and telecommunications regulatory policy.”

The executive summary tries to summarize the net neutrality argument as:

Many believe that the Internet should be universally available for all possible uses and that access to content and applications should not be interfered with, particularly by service providers.

The report is intended to counter the tautology of that view.

proponents of net neutrality share a view that regulatory constraints on private sector decision-making will enhance the net economic benefits of the Internet to Canadians. This study critically evaluates and rejects this view.

The Fraser Institute addresses concerns on three key issues: access-tiering; vertical integration with the carrier based ISPs; and, innovation. The report concludes with recommendations that rely on existing regulatory mechanisms.

I’d be interested in your comments.

We’ll be exploring net neutrality on Wednesday next week at The 2008 Canadian Telecom Summit.

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