Tech, Telecom Companies to Make ‘Significant’ Investment in High-Speed Internet to Schools

A White House-sponsored event in the coming weeks will outline what the mentioned companies will be doing, said an industry official. The official said the companies have discussed “significant” contributions focused on equipping teachers and students with tools to better use broadband networks. The agreement doesn’t involve deployment of new broadband, the official said. This was by and large arranged with the White House, the official said, not with the FCC. The FCC declined to comment.

"Education is a top priority for Microsoft and we strongly support President Obama’s ConnectED initiative with its goal of bringing interactive, individualized and experiential learning into every classroom and to every student nationwide,” said a company spokeswoman by email. “This can be achieved by putting the student at the center of the learning experience, enabled by technology. We've heard the President’s challenge and will soon deepen the investment we've made in U.S. education. Stay tuned for more news on how we'll help make the President’s vision a reality."

"We share the President’s vision for broadband as a transformative technology for educators and students,” Verizon said in a statement. “We look forward to in the very near future discussing how companies like Verizon can help ensure America’s teachers and students have the tools and skills to succeed in this 21st century information economy."

The Schools, Health, Libraries and Broadband Coalition applauded Obama for pledging to invest in high-speed broadband to schools and libraries. “The Internet is now the primary medium for education, for research, for health services, for job training, for free expression and the free flow of information,” SHLB said by email. “Schools, libraries, health care providers, community colleges, community centers, public media all across America, especially in rural areas, need super-fast broadband connections so that ALL members of the general public can participate in the 21st century economy."

"President Obama’s commitment to schools through broadband confirms the invaluable contribution that the Internet makes in getting an education, finding a job, starting a business or many other activities,” said NCTA Director-Digital Engagement John Solit in a blog post (http://bit.ly/Mh7jAv). “We commend the President on reaffirming his commitment to providing students with the tools they need to thrive in the information age; something the cable industry has been focused on for years.” Providing “all libraries and schools with high-capacity broadband internet connections is a wise investment in the nation’s future; broadband is the essential ingredient that brings all these innovations and applications to life,” said American Library Association President Barbara Stripling.

"By modernizing the E-rate program, enlisting private sector commitments, and doubling our investment in school bandwidth, we will multiply opportunities for children, helping to ensure that the 40 million K-12 students who today lack adequate speeds have an equal chance to succeed in today’s knowledge economy,” said Evan Marwell, CEO of EducationSuperHighway, a nonprofit dedicated to connecting 99 percent of America’s K-12 students to high-speed broadband. “The President understands that this isn’t just about connecting computers to the Internet, or connecting tablets to a network, it’s about connecting our children to a whole new world filled with untold new opportunities."

ConnectED

Obama’s address highlighted ConnectED, an initiative the White House announced last summer to revamp the E-rate program and connect schools and libraries to faster broadband speeds. He mentioned the program halfway through his speech -- the very first line of which pointed to the role of teachers in U.S. society -- when discussing education. The speech also touched on a range of other topics in the technology and telecom world, from surveillance to patents to high-tech manufacturing jobs, earning praise from advocates following those issues.

"Last year, I also pledged to connect 99 percent of our students to high-speed broadband over the next four years,” Obama said. “Tonight, I can announce that with the support of the FCC and companies like Apple, Microsoft, Sprint and Verizon, we've got a down payment to start connecting more than 15,000 schools and 20 million students over the next two years, without adding a dime to the deficit.” The White House has specified that within five years the program should connect 99 percent of schools and libraries “at speeds no less than 100 Mbps and with a target of 1 Gbps,” said its plan directing the FCC to upgrade the E-rate program (http://1.usa.gov/1k4gXSU). The agency has begun a proceeding doing so in the last half year. Obama praised ConnectED during his year-end news conference in December.

The FCC “shares the President’s commitment to seizing the opportunities of digital learning, which is why we've already launched an effort to modernize our successful E-Rate program -- the nation’s largest education technology program,” said FCC Chairman Tom Wheeler in a written statement (http://fcc.us/1d7UcYk). “By applying business-like management practices to E-Rate, we can take steps this year that will make existing funds go farther to significantly increase our investment in high-speed broadband connectivity for schools and libraries for the benefit of our students and teachers. Together, with my fellow Commissioners, Congress, educators and other stakeholders, we can ensure that all of America’s students get a 21st-century education.” Wheeler associated digital tech’s power with improving schools and U.S.’s global competitiveness.

"While the President’s call for additional support for broadband infrastructure in schools and libraries is welcome, any update by the FCC of E-Rate must provide the necessary long-term funding to secure a sustainable future for the program,” said Senate Commerce Committee Chairman Jay Rockefeller, D-W.Va., who helped create E-rate close to two decades ago. “The update also must have the support of existing beneficiaries and others who have contributed to the decades-long success of E-Rate."

Executive Actions

On Tuesday night, the White House also released a fact sheet on the executive actions Obama will take in 2014, which mentioned ConnectED. The FCC “answered the President’s call to action last August and announced efforts to modernize and expand the E-Rate program, to bring it into the modern era, and more fully meet the needs of schools and libraries as they connect high-speed broadband,” the White House said. It observed how “with the support of the FCC, we will make a major down-payment on his goal, connecting more than 15,000 schools and 20 million students” over the coming two years. Obama outlined many ways he wants to work with Congress, but said “wherever and whenever I can take steps without legislation to expand opportunity for more American families, that’s what I'm going to do."

"Companies like Apple, Microsoft, Sprint and Verizon are answering the call, and in the coming weeks, the President will highlight further details of new programs and partnerships that accelerate his vision of technology-enriched classrooms across America,” the White House added. It referred to these as “new philanthropic partnerships."

Obama mentioned his ongoing efforts to update U.S. surveillance law, which allows widespread bulk collection of phone metadata. “America must move off a permanent war footing,” Obama said near the end of his speech. “That’s why, working with this Congress, I will reform our surveillance programs -- because the vital work of our intelligence community depends on public confidence, here and abroad, that the privacy of ordinary people is not being violated.” Obama addressed changes he wants to make in a speech earlier this month, saying he wants to kickstart a process in which the government no longer holds the bulk metadata. But danger does exist, and the U.S. will strengthen defenses and “combat new threats like cyber attacks,” Obama said Tuesday.

In addition to focusing on education, Obama emphasized the role tech plays in the second line of the State of the Union: “An entrepreneur flipped on the lights in her tech startup, and did her part to add to the more than eight million new jobs our businesses have created over the past four years.” The U.S. must beat other countries in the “race for the next wave of high-tech manufacturing jobs,” Obama said, pointing to his administration’s work in establishing hubs for such work in Raleigh, N.C., and Youngstown, Ohio, “where we've connected businesses to research universities that can help America lead the world in advanced technologies.” The White House plans to launch another six in 2014, Obama added, also stressing that there are bipartisan bills in both chambers able to double the number.

'Patent Trolls’ Key Issue

The White House will cut red tape involved in infrastructure investment as well, according to the State of the Union. These changes will involve “getting more timely decisions on Federal permits and reviews, while ensuring that projects that are approved lead to better outcomes for our communities and the environment,” it said in its fact sheet. Obama will release a plan institutionalizing best practices among federal agencies within weeks, it added. The U.S. must go “all in on innovation” and commit to federally funded research that “helped lead to the ideas and inventions behind Google and smartphones,” Obama said. “And let’s pass a patent reform bill that allows our businesses to stay focused on innovation, not costly, needless litigation.”

The White House flagged “patent trolls” as a key issue in its fact sheet and said Obama would announce “progress on Administration initiatives on patent reform to simplify and strengthen our patent system,” favoring innovation over litigation, in the weeks to come.

The official GOP response didn’t touch on issues in the tech sector. Sen. Mike Lee, R-Utah, however, delivered a response on behalf of the tea party and declared the Obama administration is “changing laws without congressional approval, and spying on American citizens without constitutional authority,” among several other criticisms. House Judiciary Committee Chairman Bob Goodlatte, R-Va., lauded Obama’s attention to surveillance and patent updates. House Commerce Committee Chairman Fred Upton, R-Mich., didn’t criticize anything in the State of the Union, instead highlighting bipartisan cooperation and “the strong record of success” evident in Obama recently signing many House Commerce bills into law.

CEA CEO Gary Shapiro praised Obama’s focus on patents. “The Senate must take action to stop these legalized extortion rackets from sucking the lifeblood from our economy,” he said. “We would have welcomed a focus on regulations that choke entrepreneurship, the unchecked growth in our debt and the positive aspects of technology, but we appreciate the powerful conclusion, recognizing that Americans stand up to difficult challenges.” The Computer & Communications Industry Association also lauded the surveillance and patents focus, the latter of which “reflects the broad recognition that patent trolls are a multi-billion dollar drain on our economy,” said CEO Ed Black, also urging Senate action. The Coalition for Patent Fairness thanked Obama and pointed to what it believes is “a bipartisan, achievable piece of economic legislation."

Obama “is on the right track when he highlights innovation, investment, and technology,” said Progressive Policy Institute Chief Economic Strategist Michael Mandel. “PPI’s research suggests that tech growth enables progressive goals, boosting jobs and creating opportunities for blacks and Hispanics. ... That’s why we were gratified to hear the President announce a deal with tech companies to help connect many schools, making it easier for inner city and rural students to take advantage of the opportunities created by growth.” Information Technology and Innovation Foundation Senior Analyst Daniel Castro lamented that Obama did not “clear the air” on surveillance issues that are yet unaddressed. “As long as these questions go unanswered, U.S. technology companies will face a disadvantage in global markets and lose market share to foreign competitors,” Castro said.