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Multnomah County, Oregon Study Shows That a Countywide Network Can Be Done

Along the banks of the Columbia River, Multnomah County (pop. 813,000), Oregon is considering a publicly owned Fiber-to-the-Home (FTTH) network after being handed a study more than a year in the making. The report estimates that a countywide network reaching every home, business, and farm in a five-city area would cost just shy of $970 million, and bring with it a wealth of savings and other benefits to the community it serves.

Origins

The study has its origins in a 2017 push initiated by an advocacy group called Municipal Broadband PDX which has sought more affordable and equitable Internet access in the region. In 2018, the County Board of Commissioners agreed that it should be explored and approved the funding of a study, with the city of Portland and Multnomah County each contributing $100,000 and the remaining towns of Fairview, Gresham, Troutdale, and Wood Village joining the effort to collectively contribute an additional $50,000 for funding. Over the next year, CTC Technology and Energy conducted a comprehensive survey, analysis, and evaluation, and the results were delivered at the end of September.

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Frontier Backs Down Slightly on Challenges to RDOF Eligible Areas

Over the weekend, Frontier filed comments with the Federal Communications Commission (FCC) announcing that it would “welcome the inclusion” of the census blocks where it claims to newly offer broadband service into the upcoming Rural Digital Opportunity Fund (RDOF). Phase one of RDOF will distribute $16 billion to providers to expand rural broadband access in unserved areas later this year.

We wrote previously on Frontier’s attempt to remove 17,000 census blocks, representing over 400,000 Americans, from the first phase of RDOF by reporting that the company could now provide broadband speeds of 25 Megabits per second (Mbps) download and 3 Mbps upload, the federal minimum definition of broadband, in those areas. At the time, we expressed concern that Frontier, which has a long history of neglecting its rural networks, was exaggerating its broadband coverage in an effort to prevent competition. The Institute for Local Self-Reliance (ILSR) filed comments with the FCC requesting that the agency investigate Frontier’s claims before removing any of the identified census blocks.

But while Frontier’s recent filings suggest that the company will not fight to remove those census blocks from the subsidy program, it leaves the door open for the FCC to remove the contested areas anyway.

Filings Offer Inadequate Explanations

On May 23, Frontier filed a short notice with the FCC seeking to “clarify” its position, indicating that it would not fight to exclude the 17,000 census blocks in question despite maintaining that it does offer 25/3 Mbps speeds in those areas. The company followed up on May 26 with a longer filing that responded to comments filed by ILSR and others and asserted that its claimed broadband speeds are correct.

ILSR Challenges Frontier's Attempt to Block Rural Broadband Upgrades

Late last month, we reported on Frontier Communications’ claim that it now offers broadband in 17,000 rural census blocks in an effort to remove those areas from the Federal Communications Commission’s (FCC’s) upcoming rural broadband funding program. At the time, we expressed concerns that the provider may be exaggerating Internet speeds, and after publishing that article, we heard from Frontier subscribers, local officials, and private companies who shared their own doubts over the accuracy of the company’s reporting.

Earlier today, the Institute for Local Self-Reliance filed comments with the FCC to draw attention to Frontier’s questionable claims. “We are concerned that Frontier may have overstated its capacity to actually deliver the claimed services in many areas,” the comments read.

We call on the FCC to either investigate or to simply refuse Frontier’s disputable claims to ensure unserved rural areas aren’t prevented from receiving subsidies to expand broadband access. The comments argue:

Allowing Frontier to so remove hundreds of thousands of Americans from one of the most significant rural broadband programs in history would send a strong message that there is no claim too far that the Commission will be skeptical of . . . Frontier is all but inviting the Commission to make an example of it and serve notice that the Commission intends to ensure Americans in rural regions have real opportunities to connect rather than continuing to play games with bankrupt firms.

Download ILSR’s comments to the FCC at the agency's website or below.

Inconsistent Reports Raise a Red Flag

We have seen inconsistencies in Frontier’s past reports to the FCC on its broadband offerings, which the company is required to file twice a year. A few years ago, Frontier reduced reported speeds in a number of census blocks from 25 Megabits per second (Mbps) download and 3 Mbps upload — the FCC’s minimum definition of broadband — to just below broadband speeds.

Case Study Shows How Local Providers Built World-Class Broadband in Rural North Dakota

A recent case study from the Community Broadband Networks initiative at the Institute for Local Self-Reliance (ILSR) finds that rural North Dakotans are more likely to have access to fiber connectivity and gigabit-speed Internet than those living in urban areas. This may surprise many of us city dwellers, who are often stuck with large monopoly providers and their expensive, unreliable Internet access.

The case study, How Local Providers Built the Nation’s Best Internet Access in Rural North Dakota, highlights the efforts of 15 local companies and telephone cooperatives who came together to invest in rural North Dakota and build gigabit fiber networks across the state. Their success is traced back to the companies' acquisition of 68 rural telephone exchanges from monpoloy provider US West (now CenturyLink) in the 1990s. The local providers then leveraged federal funds to connect rural residents and businesses with some of the most extensive and future-proof fiber networks in the country.

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Download the case study, How Local Providers Built the Nation’s Best Internet Access in Rural North Dakota [pdf].

The case study features several maps and graphs that demonstrate North Dakota's widespread, high-quality connectivity, including this map of fiber coverage in the state.

Some key lessons from the case study:

Frontier Removes 17,000 Census Blocks From $20 Billion Rural Broadband Auction

Last week, Frontier Communications told the Federal Communications Commission (FCC) that there are 17,000 census blocks in which it is now offering 25 Megabits per second (Mbps) download and 3 Mbps upload. This means well over 400,000 Americans now live in areas no longer eligible for the FCC's Rural Digital Opportunity Fund, a $20.4 billion program to expand rural broadband. The first phase will auction off up to $16 billion in subsidies later this year.

In the filing, the company also identified census blocks where it believes other providers will deploy broadband access through state-funded programs, making those locations ineligible for the federal funds as well.

Frontier is Flailing

How Will Broadband Networks Handle Quarantine Congestion? Mostly OK

As schools and businesses ask people to stay home to reduce the spread of Covid-19 coronavirus, I wanted to share some thoughts about how I expect broadband Internet access networks will handle the change and increase in broadband traffic in residential areas.

Our first reaction is that, as with so many areas with network effects, the rich will get richer. This is to say that historic inequities will be exacerbated — people that have been able to afford the high-quality networks will probably see very little disruption and those who have older networks may be effectively disconnected.

Better Network Scenarios

Those on fiber optic networks probably won't notice major changes in demand. This is the easy one it is why we have long believed that fiber optics should be the goal for the vast majority of Americans.

Most modern cable networks should be also able to handle the demand especially on the download end. This is good because 2 out of 3 Americans with broadband gets it from a cable network. Upgrades in recent years from the aggressive cable companies (Comcast Xfinity, Cox, and some of the many smaller cable networks — Charter Spectrum less so) should allow more than sufficient download capacity even if home video streaming increases significantly. But in smaller towns, where the local cable companies haven't been able to afford those upgrades and the bigger cable providers have just ignored them, I would expect to see intermittent and in some cases, persistent congestion problems from bottlenecks.

In the upstream direction, the cable networks will have some challenges. I wouldn't expect most Comcast or Cox markets to have too many problems, though neighborhoods with lots of professionals using video conferencing tools could congest. I would expect Charter Spectrum, Mediacom, and many of the others to have frequent congestion for upstream connections, lowering throughput extremely at times.

Two Large Telcos Miss Connect America Fund Deployment Milestones

This month, both Frontier Communications and CenturyLink put the FCC on notice that neither company expected to meet deployment milestones related to Connect America Fund Phase II (CAF II). In total, rural households in 23 states will have to wait for connectivity that the two large companies were tasked with developing using federal subsidies.

Not-So-Great Expectations

When Frontier and CenturyLink accepted the funding in 2015, they agreed to provide deployment of Internet access speed of at least 10 Megabits per second (Mbps) download and 1 Mbps upload. By the end of 2018, they agreed to have at least 60 percent of the premises within each state connected and 80 percent of the premises connected by the end of 2019.

In their letter to the FCC, Frontier claims that of the contracted 774,000+ locations in 29 states waiting for connectivity through the CAF II program, they have deployed to around 596,000 in CAF II census blocks. They calculate that these deployments come to at least 70 percent in each state where they've accepted funding. The company also says that in 13 states they "may not have met" the 80 percent milestone.

The failure was a continuation of last year, when they reported that they had met the 60 percent milestone in 27 states, but had failed to make the grade in New Mexico and Nebraska.

logo-frontier.png Frontier accepted more than $283 million in CAF II funding soon after the FCC redefined broadband to 25 Mbps / 3 Mbps. The CAF II program had also increased minimum connections from 4 Mbps / 1 Mbps to 10 Mbps / 1 Mbps, which seemed outdated almost from the beginning. 

Fact Sheet: Frontier Has Failed Rural America

Despite raking in hundreds of millions in government broadband subsidies, Frontier Communications has failed time and time again to bring reliable, high-speed connectivity to the rural communities it serves. Instead of investing in network upgrades, Frontier has neglected its rural infrastructure to the detriment of its subscribers and the company’s own financials, with its worsening service quality paralleling its plummeting stock value.

Our new fact sheet, Frontier Has Failed Rural America, presents evidence of Frontier’s negligence and suggests that rather than continuing to trust Frontier, government officials should look to publicly owned and community-minded providers to connect rural residents, businesses, and institutions.

Download the Frontier Has Failed Rural America fact sheet [pdf].

Subsidies Can’t Fix Frontier

Federal and state government agencies have given Frontier nearly $2 billion to expand and upgrade its rural broadband networks. The company has received approximately $1.7 billion from the Connect America Fund Phase II federal subsidy program and millions more in grants from states like Minnesota and New York.

Even with the subsidies, Frontier ultimately failed to connect rural communities with high-quality broadband. The company has repeatedly chosen not to upgrade rural networks, leaving subscribers with poor, unreliable service that doesn’t fulfill their basic communications needs.

Frontier’s “Systemic Problems”

Our fact sheet, Frontier Has Failed Rural America, features events from the past five years that demonstrate Frontier’s inability to solve the rural broadband problem, including:

More Complaints From Frontier Subscribers in Rural Minnesota

A few weeks ago, we wrote about one of the community meetings held by the Minnesota Public Utilities Commission (PUC) to address mounting frustrations over poor service from Frontier Communications. Subscribers at the meeting in Wyoming, Minnesota, complained of download speeds as slow as 0.05 Megabits per second (Mbps), outages that lasted for weeks, and unhelpful customer service representatives.

According to Minnesota Public Radio (MPR), the small town of Ceylon, Minnesota, has had to deal with even more insulting mistreatment at the hands of the company. Residents of Ceylon say that Frontier never actually finished installing its lines in the town. Instead, Frontier has left them lying in people’s yards and dangling from trees — for as long as three years, by one account.

Frontier’s “Corporate Indifference”

Internet access and telephone providers like Frontier usually bury cables underground or suspend them on utility poles to keep the infrastructure safe. In Ceylon, it appears that Frontier has taken a more lackadaisical approach, resulting in lines snaking through the grass, tied to trees, and even crossing over a propane tank. MPR notes that some people in the town have taken it upon themselves to move Frontier’s cables out of the way of harm, attaching them to posts and fences for fear of accidentally severing the connection.

Ceylon officials had previously requested that Frontier fix the problem, to no effect. At the PUC hearing in Slayton, Minnesota, City Councilmember John Gibeau said that the incomplete network installation represented Frontier’s “corporate indifference” to serving rural subscribers, MPR reports.

A representative from Frontier said the company would visit Ceylon to verify that the lines belong to them and to remedy the situation. But for now, Gibeau has a warning for Frontier: "You don't do that to my town and think you're going to get away with it."