Cable and phone company lobbyists are scrambling to have the biggest say on the plan to upgrade America’s broadband infrastructure that President-elect Barack Obama called for recently.
The plan is envisioned by lawmakers in Congress not only to generate jobs over the short term but also to improve the availability and quality of high-speed internet access in the country in the long term. In a report by the Organization for Economic Cooperation and Development (OECD), the United States is ranked 15th in broadband penetration, sliding down from 4th place since 2001. Proponents of the plan say broadband connectivity critically affects the economic competitiveness of the U.S.
Congress will discuss, among many issues, what speed should be defined as broadband, and whether government should spend only on areas in the country that have no broadband access, or if it should also give subsidies to improve networks that are already in place.
Legislative aides and lobbyists in the know say proposals being seriously considered are the granting of tax credits to corporations which will build new wireless or landline infrastructure, and the issuance of government-backed broadband “bonds” and grants to companies or local governments. Many legislators also agree on the need to encourage low-income consumers to get broadband connection through such means as giving them vouchers to buy computers or discounts on service charges.
Members of the Senate’s Committees on Finance and Commerce are preparing a handful of alternatives, as are House members such as California Rep. Anna Eshoo and Massachusetts Rep. Ed Markey, chairman of the telecommunications subcommittee. On the part of the administration, the point person for the Obama transition team is former Federal Communications Commission chief of staff Blair Levin.
Rep. Eschoo says “there aren’t any quarrels about the need for more broadband,” adding that “It’s a matter of how we’re going to do it and the actual language.” She submitted a memo to the House leadership in October wherein she sketched a series of options for the broadband improvement plan.