Page 159 - SAMENA Trends - February 2020

REGULATORY & POLICY UPDATES SAMENA TRENDS

newer broadband and telephone services. In a press given cabinet before making those upgrades. However,
release regarding the matter, the watchdog revealed under current regulations Openreach is required
that network infrastructure provider Openreach will to install new broadband connections within a set
undertake trials in Salisbury and Mildenhall to test the timeframe. According to Ofcom, given the potential
processes for moving customers off ‘older’ home and benefits to broadband customers of using this new
broadband services. To facilitate the Salisbury trial, process, it has, however, decided to make these orders
Ofcom has decided to limit the application of current exempt from certain rules that require them to be
rules which require Openreach to provide wholesale completed within a set timeframe.
access to standard and superfast broadband on its (January 30, 2020) commsupdate.com
copper network. To that end, in Salisbury – where fibre
is available – Openreach will no longer be required to UK telecoms regulator Ofcom has published a
provide new copper services when customers move framework for assessing if telecoms and pay-TV
home, change service or switch provider. Instead, it companies are treating customers fairly. This is
will be able to offer broadband over its fiber network the latest step in Ofcom’s ‘Fairness for Customers’
only. In addition, Ofcom will permit the infrastructure program. When assessing concerns about fairness,
provider to vary some of its charges to encourage Ofcom will consider the following questions - how
participation in the Salisbury and Mildenhall trials. are customers treated by providers throughout the
Meanwhile, Ofcom noted that Openreach has created a customer journey? Who, if anyone, is being harmed?
new process for upgrades to be made in bulk batches (Such as vulnerable customers); what is the extent of
at a street cabinet, reducing the cost per customer. any harm? How important is the service? And Does the
Under this revised process, it would wait for a sufficient service depend on risky new investment?
number of upgrades from a broadband company at a (January 25, 2020) telecompaper.com

The Federal Communications Commission (FCC) auction. FCC staff has identified about six million rural
announced its new Rural Digital Opportunity Fund homes and businesses that are currently located in
(RDOF) for faster broadband speeds in order to help areas initially eligible for bidding in the Phase I auction.
close the digital divide in rural areas. RDOF will push The FCC said the RDOF auction will prioritize networks
United out up to $20.4 billion in funding over the next 10 with higher speeds, greater usage allowances, and
lower latency. Prospective bidders must also commit
years to build and connect gigabit broadband speeds
States in unserved rural areas. The RDOF initiative follows to providing a minimum speed more than double than
on the heels of the FCC’s Connect America Fund was required in the CAF Phase II auction. Phase II of
(CAF) II program. For telco incumbents such as AT&T, the program will make available at least $4.4 billion
CenturyLink, Windstream and Frontier, RDOF extends to target partially served areas, or census blocks
their CAF II funding for one additional year through where some locations lack access to 25/3 Mbps
2021. Unlike CAF II, RDOF will be implemented through a broadband speeds. According to a recent report from
two-phase reverse auction process, which includes the MoffettNathanson Research, CenturyLink has received
incumbent telcos competing directly with independent $506 million per year since 2015 in CAF II awards,
broadband providers. “We are excited that the FCC has which will total more than $3 billion over the six-year
adopted the Rural Digital Opportunity Fund,” said David period from 2015 to 2020. Other top beneficiaries of
Bartlett, CenturyLink vice president of government CAF II awards include AT&T, which has received $428
affairs, in a statement. “We appreciate Chairman million per year since 2015; Frontier, which has received
Pai’s and the other commissioners’ leadership and $332 million per year during the same time frame;
collaborative efforts in designing a program that will and Windstream, which has received $175 million per
bring the tremendous benefits of broadband and faster year. In exchange for the free government money, the
speeds to more Americans in high-cost, hard-to-serve recipients agreed to deploy broadband service with
areas of the country where it’s currently lacking.” The at least 10 Mbps downstream and 1 Mbps upstream
first phase of RDOF starts later this year, and targets to specific rural locations. MoffettNathanson reports
census blocks that are wholly unserved with fixed that the CAF II money that the incumbents received
broadband at speeds of at least 25 Mbps down and was typically more than the cost of the network builds.
3 Mbps up. The first phase would make available up (January 30, 2020) fiercetelecom.com
to $16 billion to census blocks where existing data
shows there is no such service available whatsoever. The US Federal Communications Commission has just
The funds will be doled out via a multi-round reverse announced its approval of the commercial deployment
auction similar to the one used in 2018’s CAF Phase II of CBRS (Citizens Broadcast Radio Service) spectrum.

159 FEBRUARY 2020