The FCC is working with the White House's interagency Task Force on Environmental Health Risks and Safety Risks to Children regarding concerns about environmental and health risks potentially posed by telecommunications companies' lead cables, agency spokesperson emailed us Friday. Chairwoman Jessica Rosenworcel said the agency has offered assistance to EPA (see 2307210004). "We take seriously the concerns raised about potential lead exposure from communications lines," she said. Meanwhile, the EPA, the FCC and the Occupational Safety and Health Administration should form a joint task force with the aim of mapping lead cable deployments nationwide and prioritizing remediation, former FCC Chairman Tom Wheeler and Blair Levin, who oversaw development of the agency's National Broadband Plan, wrote for the Brookings Institute Friday. "One would hope [the three] along with the White House are already coordinating such a response," as such a task force could give guidance on remediation strategies and exposure risks, they said. Wheeler, a Brookings visiting fellow, and Levin, a nonresident senior fellow, said the first step must be mapping where and how the lead cables are deployed, and then prioritizing the different installations where remediation is necessary. If there are debates and litigation about what science says about the actual threat, as well as about ownership liability, "the matter will drag on unresolved for years," they said. Other states are likely to follow New York and require telcos to provide an inventory of lead-affected cables, they said. But only the federal government "has the combination of skills and resources to orchestrate an acceptable resolution," they said. The EPA will be a focus of discussions, though the FCC has the authority to demand such information as data about previous testing and the location of lead sheathed cables, they said. Having taxpayers foot remediation costs seems unlikely, but it's probably the best path to accelerated remediation of sites where the cables present an immediate or near-term risk, they said. The FCC’s Secure and Trusted Communications Networks Reimbursement Program "provides a model for addressing common practices that in the fullness of time created risks that America broadly wants to be eliminated," they said. Since billions spent on cleanup by telcos could affect their broadband deployment activity, "we need the federal government to map, prioritize and fund the solutions."
Tennessee Sen. Marsha Blackburn is a Republican (see 2307270058).
SpaceX use of T-Mobile's PCS G Block spectrum for mobile supplemental coverage from space won't cause satellite in-band interference, and cross-border and adjacent band users will be protected, representatives of the companies told FCC Space and Wireless Bureau staffers, per a docket 23-135 filing Thursday. They said Omnispace claims of likely uplink interference (see 2305190057) were based on faulty assumptions and aggregate interference of SpaceX's SCS downlink to Omnispace uplink will be well below internal noise power. They said SpaceX's system is designed to dynamically avoid international borders and will comply with out-of-band emissions limits. While claiming they won't be the cause of interference, the companies don't give any evidence to back that, Omnispace Chief Regulatory and International Strategy Officer Mindel de la Torre told us. Their internal noise power claims similarly don't come with any evidence, she said.
Dish Network joined with Amazon to offer its unlimited Boost Infinite product to Amazon Prime customers for $25 per month. Customers who buy the Boost Infinite Unlimited SIM kit in the Amazon U.S. store will also get 20% off the list price of $25, plus a $25 credit toward their first month of service, Dish said. In June, reports surfaced that Amazon was negotiating a deal with Verizon, T-Mobile and Dish Wireless to offer free or low-cost wireless service, but Amazon denied that (see 2306020055). There were worries Amazon itself would enter the market “and it turns out they’re just going to be reselling … the Boost product,” UBS’ John Hodulik said on CNBC Wednesday. “That was very much a false alarm,” he said.
FCC Chairwoman Jessica Rosenworcel circulated a proposal among fellow commissioners that would evaluate the state of broadband across the country, per a news release Tuesday. The notice of inquiry would seek comment on broadband deployment, affordability, adoption, availability and equitable access. “In today’s world, everyone needs access to affordable, high-speed internet, no exceptions,” Rosenworcel said: "Anything short of 100% is just not good enough.” The NOI would also propose increasing the national fixed broadband standard to 100/20 Mbps and a "separate national goal of 1 GB/500 Mbps for the future."
Senate Communications Subcommittee ranking member John Thune, R-S.D., confirmed to us Tuesday that there are holds on FCC nominee Anna Gomez and renominated Commissioner Geoffrey Starks that prevent the chamber from confirming the two Democrats via unanimous consent (see 2307180073). “I don’t know the particulars of the holds, but that has the effect of slowing things down” and affecting the prospects for Senate Democrats to confirm at least Gomez before the chamber begins the month-plus August recess, said Thune, who’s also minority whip. Senate Majority Leader Chuck Schumer, D-N.Y., said during a Wednesday news conference the chamber’s “first job” is to finish passing the FY 2024 National Defense Authorization Act (S-2226) and then “we’ll see what … goes from there” on potentially keeping the Senate in session into part of August to confirm additional executive nominees.
ACA Connects has issued an updated version of its broadband equity, access and deployment framework, incorporating actual NTIA BEAD funding amounts. The latest version estimates the number of locations eligible for BEAD funding and how many of those can be covered with fiber and other broadband technologies, ACA said.
The FCC hopes to have a voluntary cybersecurity labeling program for smart devices in place by late next year, the agency said Tuesday as it announced a draft NPRM being circulated before the regular commissioners. Chairwoman Jessica Rosenworcel said the U.S. Cyber Trust Mark would help consumers "make smart choices about the devices they bring into their homes, just like the Energy Star program did when it was created to bring attention to energy-efficient appliances and encourage more companies to produce them in the marketplace." The agency said the draft NPRM lays out a voluntary labeling program that uses National Institute of Standards and Technology cybersecurity criteria. It said the NPRM asks questions ranging from the scope of devices for sale in the U.S. that should be eligible for inclusion in the labeling program and who should oversee and manage the program to developing the security standards and demonstrating compliance. CTIA and its members support “voluntary, flexible and harmonized efforts” on enhanced IoT security based on industry certification programs, such as CTIA’s IoT Cybersecurity Certification Program, CTIA said. “We look forward to working with the White House and other stakeholders to ensure that the White House labeling program is implemented based on the NIST Core Baseline using existing industry certifications, that the program provides a safe harbor for companies that participate, provides a consistent application of IoT security capabilities at the federal level, and enhances consumer understanding of the importance of IoT security,” the group said.
Monday was the deadline for carriers to submit a request to the FCC under the Secure and Trusted Communications Networks Reimbursement Program to remove unsecure equipment from their networks. Congress has been examining the issue but so far failed to provide additional money to fund removal of unsecure gear (see 2307130069). The Competitive Carriers Association said the deadline speaks to looming problems for smaller carriers. “Because Congress has not yet fully funded the Program, carriers are forced to undertake the endeavor of removing untrusted equipment with 40% of otherwise approved cost estimates to completely remove, replace, and destroy this untrusted equipment,” CCA CEO Tim Donovan said. “Absent full funding, networks in many rural and sensitive parts of our country are at ever-increasing risk of breaking down and going dark,” Donovan said: “Because of the funding shortfall, impacted carriers must make decisions to ‘rip’ but not ‘replace,’ including in areas where no other carrier provides service. This dire situation ignores our country’s national security and the connectivity of millions of Americans.” Congress’ inaction “has created a scenario that not only risks connectivity across rural America but undermines the nation’s faith in the security of our … networks,” a Telecommunications Industry Association spokesperson emailed. The group called for action. “TIA appreciates Congress’ work on increasing U.S. competitiveness with China and examining the risks posed by Huawei and ZTE equipment, however every day there are U.S. networks operating that contain equipment Congress has determined unsafe, poses a risk to our national security,” the spokesperson said. “It is essential that Congress move swiftly to address the shortfall,” said Jill Canfield, NTCA general counsel. “It is a national priority to remove unsecure equipment from the networks, but without the funding to replace noncompliant equipment, consumers living and working in rural America are at risk of losing service,” Canfield said. “It’s a classical unfunded mandate,” said Recon Analytics’ Roger Entner, who warned some networks may “go dark.”
With earnings season getting underway and the major wireless carriers set to report results starting with Verizon July 25, AT&T was down 4.10% Friday to $14.50/share after J.P. Morgan analyst Philip Cusick downgraded the company. "Based on recent commentary from management lowering estimates for wireless (in May and again in June) and broadband (in June), we believe AT&T is facing marginally more pressure in Mobility (from Verizon, T-Mobile, and cable) and Consumer Wireline (from cable, [fixed wireless access]) as well as ongoing pressures in Business Wireline," Cusick told investors. He predicted AT&T will grow its postpaid subscriber base by 2.5% this year, compared with 4.7% in 2021 and 3.5% in 2022. Cusick lowered his rating on AT&T to neutral from overweight and cut his per-share price target to $17 from $22. AT&T Chief Financial Officer Pascal Desroches warned last month the carrier expects net postpaid phone adds in the 300,000 range this quarter, compared with 424,000 in Q1 (see 2306200026). Meanwhile, Finland's Nokia cut its annual outlook Friday, and Sweden’s Ericsson reported lower quarterly profits due to a slowdown in consumer spending. Nokia now projects $26 billion-$27.6 billion in sales this year, down from $27.6 billion-$29.4 billion. “The weaker demand outlook in the second half is due to both the macro-economic environment and customers’ inventory digestion,” Nokia said: “Customer spending plans are increasingly impacted by high inflation and rising interest rates along with some projects now slipping to 2024 -- notably in North America. There is also inventory normalization happening at customers after the supply chain challenges of the past two years.” Ericsson reported overall sales dropped 9% year-over-year as it lost $67.2 million, primarily due to restructuring charges. The company cited a “sharp decline in sales in North America … partly offset by strong sales" in India, which is now deploying 5G. “As we've said before, 2023 is a choppy year and Q2 developed much in line with our expectations and what we have said to the market,” CEO Borje Ekholm told analysts. India “continued its strong development and network rollout, and by delivering a record build-out, we now have the leading market share” there, he said: “As expected, we saw a softening in other markets, primarily front-running 5G markets and that includes, of course, North America.” Ekholm noted world data traffic continues to grow. “In addition, we see that 3/4ths of all base station sites outside of China are not yet updated with 5G mid-band, so this, in combination with the migration to 5G stand-alone, will basically continue to drive the need for investments in 5G networks,” he said. Ericsson expects a “gradual recovery” in late 2023, with improvements next year.