They're at it again. Recently, they have been called out for taking advantage of E-rate; now they are taking advantage of their own lack of infrastructure investment to worm their way out of obligations to serve low-income residents. Fortunately, a nonprofit group caught up with AT&T's shenanigans and held their feet to the fire.

"Nah, We Don't Have To Do That..."

As part of FCC-mandated conditions under which AT&T was allowed to acquire DirecTV in 2015, the telecommunications conglomerate created the "Access from AT&T" program, offering discount Internet access to low-income households. The program consists of tiered services - download speeds of 10 Megabits per second (Mbps) for $10 per month, 5 Mbps for $10 per month, and 3 Mbps for $5 per month.

The company is required to enroll households in the fastest speeds available, but a significant amount of low-income families don't qualify because the fastest speed AT&T offered to their home is 1.5 Mbps download. The problem, created by AT&T's own lack of infrastructure investment in certain neighborhoods, allowed AT&T to dodge their responsibility under the terms of the DirecTV acquisition by simply denying enrollment to households with speeds less than 3 Mbps. Trouble is, some one noticed.

NDIA In Cleveland, Detroit

The National Digital Inclusion Alliance (NDIA) realized the scope of the problem when they attempted to help families in low-income neighborhoods in Detroit and Cleveland sign up for Access from AT&T. In addition to discovering that residents could only obtain 1.5 Mbps download speeds, NDIA found that AT&T denied these households enrollment because their speeds were too slow. The only other option for ineligible households was AT&T’s normal rate for 1.5 Mbps service, which is six times the cost of the Access program.

Loopholes: All Lawyered Up And Nowhere To Go

By diving through a cavernous loophole, AT&T cleverly manipulated the terms of the merger order and single handedly squelched the intended purpose of the program. According to the directive, AT&T “shall offer wireline Broadband Internet...

The U.S. Department of Housing and Urban Development (HUD) recently asked for comments about a proposed rule to expand low-income access to high-speed Internet. The regulations would require building owners to install high-speed Internet infrastructure in HUD-funded multi-family rental housing during new construction or substantial rehabilitation, improving Internet access by promoting competition. Because the Internet infrastructure is not owned by one company, many Internet Service Providers (ISPs) can compete to provide residents with better options.

A variety of individuals and groups provided feedback for HUD, including local governments, nonprofit advocacy groups, ISPs, and professional associations. The majority of comments support HUD’s proposed rule, with many encouraging HUD to go further in their efforts to close the digital divide.

We submitted comments with Next Century Cities to articulate the importance of having reliable Internet access in the home:

Although Internet access may be available at schools, libraries, and other locations away from home, families with children - in particular single-parent households - face barriers to accessing those facilities. There is no substitute for having high quality home Internet access, where all members of a household can use it with privacy, security, and convenience. This high quality Internet access is what our organizations work with mayors and local leaders to achieve for residents and businesses everyday, which is why we feel so strongly about the proposed steps to close the digital divide and allow more residents to connect online.  

HUD correctly notes that installing telecommunications equipment during major rehabilitations or as units are being built creates an opportunity to ensure high quality access without significantly adding cost to the project. The ongoing benefits from high quality Internet access certainly dwarf the one-time low cost of installing appropriate technology. --Next Century Cities and the Institute for Local Self-Reliance

Promote Competition

Google Fiber discusses the...

The city of Lafayette, Louisiana had an export problem. For years they had seen their young people become educated and move away from the small city, but local leaders like Joey Durel listened to experts like Terry Huval when they encouraged him to look into building a citywide fiber network.

In this video Christopher Mitchell interviews Joey Durel, former City-Parish President of Lafayette, Louisiana. In 2009 Lafayette Utilities System installed infrastructure for a fiber telecommunications network called LUS Fiber. The network provides digital cable, telephone service, and high-speed Internet to all households in Lafayette.

In the video, Durel emphasizes the hidden benefit of controversy when building advanced Internet networks: controversy educates the public. When local leaders are able to "think outside the box" and encourage discussion and debate, they are much more able to educate their constituents and in turn, make change. 

High-speed Internet access can bring new industries, reinvigorate rural communities, and provide educational opportunities. We know the importance of high-speed Internet, and no one should be left behind because of the cost of service. In December, 44 city leaders joined together through Next Century Cities to push for reform of a national connectivity program called “Lifeline”- among them was Mayor Jennifer Roberts.

In February on NextCity.org, Mayor Roberts of Charlotte, North Carolina, wrote that it’s the duty of local leaders to advocate for an end to the digital divide. 

Whose eCity?

Charlotte is known for its banking industry and the growing financial technology sector, but Charlotte’s small businesses are pushing innovation in the local economy. Google recognized the community's small business culture when it bestowed an “eCity” award on Charlotte based on the strong online presence of local small enterprise.

While some sectors of the economy prosper, others flounder trying to compete. Without affordable, high-speed Internet access, there’s a major impact on every aspect of a small business. In a previous story, Catharine Rice of CLIC-NC explained how small businesses need high-speed uploads in order to do business and stay competitive. Mayor Roberts described the stark reality of the digital divide:

“The lack of Internet access can also stymie potential small businesses by cutting off the resources needed for research and development as well as hamstringing sales and marketing efforts that are often conducted after hours and on weekends. With customer connectivity being king in the Internet age, far too many small businesses, particularly ones owned by women and minorities, struggle to make the connections necessary for success.”

Access, But No Service

Mayor Roberts highlighted how community leaders must not only empower business leaders of...