Blog | News & Information on Wireless Services & Telecommunications
Posted: 09/22/11 by Jonathan Spalter
In the upcoming election year, virtually every American will be a 'single-issue voter,' going to the ballot box with the nation's economy and their own job prospects top of mind. It's critical that leaders on both sides of the partisan divide recognize that U.S. mobile policy is a poster-child for just the sort of forward momentum the President and leaders in Congress are seeking to gather to get the nation back on a healthy and sustainable job growth track.
President Obama and Federal Communications Commission Chairman Julius Genachowski have amassed a strong track record in support of mobile innovation, which today puts 2.4 million Americans to work. The crown jewel of these efforts has been their press for more spectrum to power the next wave of mobile Internet-fueled growth.
And, particularly with the Department of Justice's recent aggressive stance with regard to the AT&T/T-Mobile merger, all eyes are on what comes next: Will U.S. innovation policies become more restrictive or continue to build on the proven success of consumer-guided progress coupled with light-touch regulation? As we look for answers that can create jobs and drive innovation, here are five key questions to watch:
Will consumers get more spectrum for the mobile Internet? President Obama and Chairman Genachowski are right to make today's spectrum crunch a national priority. A recent report by Credit Suisse finds that U.S. wireless networks run at 80% of capacity on a typical day, well above our global competitors. And, this isn't a race we want to win. Analysis by Peter Rysavy finds that without additional spectrum, U.S. wireless networks will run out of capacity within four years. There is no higher innovation policy priority than averting such a disastrous--and avoidable--outcome.
Will policymakers make the connection between spectrum and jobs? If the President is successful in his push for an additional 500 MHz of spectrum to support the mobile Internet, we can create 500,000 American jobs and add $400 billion to the nation's GDP. And, that forecast doesn't include the biggest job creator of all--the 'X-factor' of the next Facebook or Google--that will inevitably arise out of a more spectrum-rich environment. All the government needs to do to nurture this growth (and raise billions in auction proceeds for the U.S. Treasury) is put more spectrum up for sale.
Will the markets see a balanced outcome for AT&T/T-Mo? The Department of Justice's challenge to the AT&T-T-Mobile merger has been met with pointed expressions of concern from Silicon Valley to Wall Street. Matt Murphy of respected Sand Hill Road VC firm Kleiner Perkins noted the move has put tech investment "in stalemate mode." The Administration is right to ask tough questions about the merger. But its ability to avoid a protracted court battle and deliver a timely and constructive outcome will signal to the markets that a steady hand is at the economic helm.
Will regulators' definition of competition keep pace with the market? Even with a combined AT&T/T-Mo, American consumers have far more choices for their mobile service than most of our country's leading global competitors. Many other benchmarks must come into play to get a true gauge of competition. Case in point: The recent revelation that Sprint, with its Clearwire assets, has more spectrum holdings in an average city than both Verizon and a combined AT&T and T-Mobile. This puts into a whole new light Sprint's vocal objections to the merger on the grounds that its market rival doesn't need more spectrum. Clearly, it does to compete.
Will jobs policy value the role of small tech entrepreneurs? Over the past 15 years, small firms created 64% of new jobs in this country.[1] In the tech industry, 40% of workers are employed by small businesses. Without adequate spectrum, these innovators won't have the opportunity to create the next best thing--or the jobs that come with it.
At the beginning of the year, President Obama used his State of the Union address to call on policymakers to "make it possible for businesses to deploy the next generation of high-speed wireless coverage to 98 percent of all Americans." Now is the time for our leaders--in the Administration and on Capitol Hill--to take concrete steps to make good on that promise and send a clear signal to the market that U.S. innovation policy will remain steady, balanced and constructive. They should start by recognizing that our nation's jobs policy and our innovation policy must be one and the same.
Jonathan Spalter, chairman of Mobile Future, has been founding CEO of leading technology, media, and research companies, including Public Insight, Snocap, and Atmedica Worldwide. He served as an advisor to and spokesperson for Vice President Al Gore during the Clinton administration.
Mobile Future is a 501(c)(4) coalition comprised of and supported by technology businesses, non-profit organizations and individuals dedicated to advocating for an environment in which innovations in wireless technology and services are enabled and encouraged. For a full list of members and sponsors and to learn more about the coalition, go to www.mobilefuture.org.
This article was originally published on Huffington Post.
Posted: 08/02/11 by Jonathan Spalter
As the dust settles around the debt ceiling debate, there is broad hope that our nation's leaders continue to focus in a constructive way on getting our fiscal house in order. While recent debate centered around whether we raise taxes or cut government programs, too little discussion has focused on what it will take to support the most powerful engine of lasting and sustainable economic recovery and job creation--the private sector.
Much attention has rightly noted the promise of the mobile Internet to be a catalyst for an economic turnaround. This week, Mobile Future released fresh analysis to support this claim. The paper, authored by David Sosa and Marc Van Audenrode of the Analysis Group, explores some of the key positive economic impacts, including job creation, associated with achieving the Federal Communications Commission's objective of making an additional 500 MHz of spectrum available to support expansion of the mobile Internet.
The report calculates the economic benefits of policymakers making more spectrum available to support mobile Internet expansion. Among the key findings:
- 500 MHz of spectrum = 500,000 U.S. Jobs. Reassigning 300 MHz of spectrum to mobile broadband within five years will create 300,000 Americans jobs. Adding another 200 MHz of spectrum after five years, and we'll create 200,000 more direct and indirect jobs from supporting and expanding today's innovations alone.
- 300,000 Added Jobs for Every 1% Increase in Internet Penetration. Increased spectrum will allow even more Americans to use wireless broadband, bringing us closer to President Obama's goal of 98% of Americans having access to the mobile Internet within five years. Many companies and entrepreneurs will use that added connectivity to start or expand their businesses, creating 300,000 jobs for every 1 percent increase in broadband penetration.
- Nearly $400B in GDP Growth. Similarly, more robust mobile Internet means more robust consumer usage and business reliance of innovative new connected tools. The paper estimates that an addition 300 MHz of spectrum for mobile broadband will add $230 billion to U.S. GDP. The second wave of 200 MHz of new spectrum will bring another $155 billion, the analysts find.
- $75B in Direct Network Investment. The report also estimates that mobile Internet providers will spend north of $75 billion to put this additional spectrum to use for their customers through expansions and upgrades of their networks. This investment has a ripple effect that triggers increased spending and job creation, for example, by companies that build and manufacture supplies for these networks.
- 500,000 Jobs = Tip of the Iceberg. Perhaps the most stunning estimate in the whole report is the upfront observation that what the analysts can't predict is likely larger in scale than what it can. Just 3 years ago, we had never heard of an "app." Today, U.S. consumers can access nearly 1 million mobile apps from 26 competing app stores. The authors are respectably conservative in their upfront acknowledgement that they cannot credibly forecast the next Facebook or Google. But they make clear that with additional spectrum for the mobile Internet that it's coming and the impact is likely more significant than the tangible progress they can document today. These so-called 'spillover effects' from innovations that can be foreseen today are likely to exceed "by a considerable margin" the author's other findings of economic growth and job creation.
The risks associated with the debt ceiling debate were cast as one economic challenge our nation's policymakers could readily avoid through timely action. In a much more constructive way, making more spectrum available to fuel healthy, robust expansion of the mobile Internet is another positive step that policymakers can make today. The action doesn't focus on preventing economic calamity. Instead it emphasizes building for the future. It focuses on giving this wide ecosystem of mobile innovation--from applications developers to gadget makers to carriers and the millions of entrepreneurs who leverage mobile connectivity to expand their diverse businesses.
Timely action to ensure a healthy and expanding mobile Internet gives all of these companies--and the many game-changing businesses yet to come--the greatest possible shot at creating good-paying jobs and healthy, real and sustainable economic growth. After all the energy devoted to avoid default, it's time to put that same determination behind a concrete roadmap for genuine recovery--and the leadership and global competitiveness that must be our shared, ultimate objective in a connected world.
Jonathan Spalter, chairman of Mobile Future, has been founding CEO of leading technology, media, and research companies, including Public Insight, Snocap, and Atmedica Worldwide. He served as an advisor to and spokesperson for Vice President Al Gore during the Clinton administration.
Mobile Future is a 501(c)(4) coalition comprised of and supported by technology businesses, non-profit organizations and individuals dedicated to advocating for an environment in which innovations in wireless technology and services are enabled and encouraged. For a full list of members and sponsors and to learn more about the coalition, go to www.mobilefuture.org.
Follow Jonathan Spalter on Twitter: http://www.twitter.com/mobilefuture
This article was originally published on Huffington Post.
Posted: 06/30/11 by Jonathan Spalter
In the nation's capital we are beginning to see movement on a critical issue for U.S. wireless consumers with a voracious appetite for innovative mobile services, products and devices -- initial steps to address the coming mobile capacity crunch.
As the mercury rises in the nation's capital, it's not just leaders from Capitol Hill to the White House to the Federal Communications Commission who are calling for timely action on the spectrum exhaustion our nation faces. A broad array of influential voices are now stepping forward to make clear the high and shared stake -- for our economy, consumers and American innovation -- of ensuring the wireless web can continue to keep pace with fast-expanding consumer demand.
Here are four key highlights for those keeping score at home:
Network engineers sound the alarm. According to a study by Rysavy Research commissioned by Mobile Future, "capacity will not be able, absent additional spectrum, to meet the data demands of consumers in three to four years if consumers use the applications they desire." The clock is ticking and much bolder moves are needed now by the government to help free up more spectrum for connected consumers. In my view, the AT&T-T-Mobile merger is an important step in easing the spectrum crunch through market-based mechanisms. That said, it's a dangerous myth to assume one business merger -- even one of this magnitude -- can "solve" the spectrum shortage.
Top U.S. tech companies back robust wireless networks. Three years ago, we'd never heard the word "app." Today, wireless consumers can choose from nearly 1 million of them--sold by 26 competing online stores. By 2015, the "apps economy" is forecast to climb to $38 billion. That's real jobs and economic opportunities flowing primarily to the U.S. No surprise then that leading U.S. tech companies, including Microsoft, Facebook and Yahoo, recently weighed in with the FCC that "an increasingly robust and efficient wireless network is part of a virtuous innovation cycle and a healthy wireless ecosystem is an important part of our global competitiveness."
Key technology investors urge timely fix. From helping grow the economy to keeping up with consumers and innovators, we must have reliable and fast mobile connectivity. That's why prominent venture capital firms also took the rare step of weighing in with the FCC, both in support of the merger and the broader spectrum effort. "The greatest opportunity for economic growth involves wireless broadband and mobile devices," they wrote. "But this great growth opportunity faces a major impediment with the looming prospect of 'spectrum exhaust.'"
Key groups link to digital divide. In his State of the Union address, President Obama called for 98 percent of Americans to have access to the mobile Internet within five years. That would be a significant milestone for our economy and for closing the digital divide. Mobile broadband opens doors for all Americans -- from helping a blind person walk down the street with voice-activated directions to assisting people living with chronic illnesses in managing their health. Too often overlooked in the debates, African Americans and Hispanics lead the nation in cell phone ownership and wireless Internet use, according to the Pew Internet and American Life Project. So important is the mobile Internet that 14 national Latino groups co-signed a letter stating that "this merger could provide opportunities to achieve many of these objectives by bringing the possibility of faster, smarter wireless networks to more Hispanics, further shrinking the digital divide."
Spectrum is a complex debate. Even more true, it's an essential one to get right today. Congress is starting to move on spectrum legislation, but the clock is ticking. Today, we see a rising tide of voices -- innovators, entrepreneurs, capital investors and community representatives -- joining the call for spectrum now. The question that remains is will Washington answer -- and do so in time to keep the mobile future bright, healthy and growing for us all.
Jonathan Spalter, chairman of Mobile Future, has been founding CEO of leading technology, media, and research companies, including Public Insight, Snocap, and Atmedica Worldwide. He served as an advisor to and spokesperson for Vice President Al Gore during the Clinton administration.
Mobile Future is a 501(c)(4) coalition comprised of and supported by technology businesses, non-profit organizations and individuals dedicated to advocating for an environment in which innovations in wireless technology and services are enabled and encouraged. For a full list of members and sponsors and to learn more about the coalition, go to www.mobilefuture.org.
Follow Jonathan Spalter on Twitter: http://www.twitter.com/mobilefuture
This article was originally published on Huffington Post.
Posted: 04/04/11 by Jonathan Spalter
As Americans across the country turn to their mobile devices to track the final brackets of the NCAA college basketball tournament, technology policy circles are turning to a high-stakes game of their own: The need to move quickly and decisively to unlock additional spectrum to meet the fast-growing demands of our connected society and economy.
At stake is the rapid innovation, economic growth and huge quality of life leaps being made at the intersection of mobile connectivity and the increasingly diverse ways we put it to use. Modern life is being transformed by the power of the Internet in the palms of our hands.
The trajectory of our mobile usage is advancing at warp speed. Cell phones have advanced to smartphones, which are now diversifying to tablets. Many of us choose an ‘all-of-the-above’ strategy, incorporating an array of beloved and increasingly essential connected gadgetry into our personal and professional lives.
As consumers, we take this uber-connectivity for granted. But tough decisions and timely leadership are needed right now in Washington to ensure quality connectivity remains the case.
The nation’s airwaves support various types of wireless connectivity, from smartphones and iPads to baby monitors, ham radios and non-digital television. In geek speak, we call this resource spectrum, ‘invisible infrastructure’. Over the years, spectrum use has dramatically evolved, with hundreds of millions of new mobile consumers craving faster, robust wireless services that connect virtually every device they touch. Unfortunately, while consumer demand is increasing, the amount of spectrum available to deliver mobile broadband is not.
When more spectrum needed for one use, inevitably various interests will throw a few elbows as they jostle for precious real estate. Policymakers must step in as the referees to determine how best to put this limited resource to its most public-spirited use.
Today, the White House and Federal Communications Commission Chairman Julius Genachowski are leading the charge to free up more spectrum for mobile broadband. The Chairman is also rightly conveying a growing sense of urgency, warning that ‘the clock is ticking on our mobile future.’
Here’s why: As consumers trade up from basic feature cell phones to smart phones, their mobile Internet usage increases 30-fold. As millions of us add iPads and other tablets into the mix, these video-friendly devices use five times the data of today’s smartphones. Consumer demand for mobile Internet shows no sign of abating, which means more spectrum must be made available soon to meet their growing needs.
Politically, the issue currently pits broadcasters, who were given vast spectrum assets decades ago, against the mobile innovation community, which urgently needs more capacity today. Broadcasters claim as their base the 42 million Americans who continue to use over-the-air television. The innovation community claims 300 million wireless consumers—90% of whom are so devoted to their mobile device that they keep it within arms' reach 24 hours a day.
Chairman Genachowski is challenging all sides to rise above the fray by championing the idea of ‘incentive auctions.’ Under this approach, broadcasters would voluntarily hand over their spectrum assets to the government or move to another channel more efficiently using the spectrum, in exchange for a share of the auction proceeds. Broadcasters would get compensated, alongside the federal treasury, which desperately needs the revenues to close the current budget gap. And, those who pay top-dollar for the spectrum would face powerful market pressures to put it quickly to its greatest public use.
In the parlance of March Madness, the shot clock is running on our mobile connectivity. According to a new report released by Rysavy Research, rising consumer demand for mobile Internet could outstrip existing, allocated spectrum capacity in as little as four years. Most of us have had the occasional experience of a dropped call or missed connection. It’s not something we want to see become a routine occurrence. The good news? The wireless community stands ready to make the massive investment needed to put additional spectrum to use for consumers and our economy. We simply need to push now to get the process underway.
This puts the ball squarely in Washington’s court. Consumers should be able to take mobile connectivity for granted. But policymakers cannot. Over the coming weeks and months, Washington technology policy circles will be consumed by the details of the playbook. But on the quiet of the FCC’s eighth floor and in the halls of Congress, what can’t be lost in the debate is the roar of the crowd. We can’t afford to run down the clock on our mobile future. Policymakers must make their move now to unlock more spectrum for the wireless web and, with it, the next wave of American innovation.
This article was originally posted on Huffington Post.
Posted: 03/28/11 by Jonathan Spalter
I am truly amazed by the mobile technology that has been unveiled at this year's CTIA Wireless show in Orlando, Florida. It seems only fitting that in such close proximity to the Magic Kingdom, the innovation on display in the convention center has made a trip around the exhibit floor a futuristic and magical experience.
Check out some of our team's favorite emerging wireless technologies and apps:
- Software technology that recognizes faces and automatically tags your friends.
- A wireless fertility monitor that indicates optimal fertility based on body temperature.
- An app that promotes safe driving by automatically silencing cell phones when the car is moving over 10mph.
- Remote physiological monitoring that measures key vitals and sends to the cloud for medical monitoring via cell phone or computer.
Augmented reality is the new reality for next generation mobility. This is just taking-off, and it is an exciting moment for the future of mobile user experience and interface. Ericsson's "Connected Tree" -- a live, mobilized orange tree which is now turbo-charged with augmented reality pop-ups viewable on your handset.
Speaking of taking off, Key Ring Reward Cards by Mobestream Media won first place at the CTIA Emerging Technology Awards in the Mobile Applications -- Mobile Commerce category. Key Ring is a handy app that consolidates consumers' plastic loyalty cards onto their smartphone to make saving more convenient and it helps retailers communicate real-time with their customers.
Bill2Mobile received second place honors in the Mobile Applications -- Mobile Commerce category. Its iPhone, iPad and iPod Touch app allows customers to opt for paperless bills and makes it more convenient to monitor statements and accounts with a mobile device.
In addition to perusing a seemingly endless exhibit floor hosting infinite apps, smartphones, tablets, and other handheld devices -- one very hot topic weighing on everyone's mind is spectrum.
In the conference keynote, FCC Chairman Julius Genachowski explained:
"This explosion in demand for mobile services places unsustainable demands on our invisible infrastructure -- spectrum. Spectrum is the oxygen that allows all of these mobile innovations to breathe. Whether or not most Americans know the physics of spectrum, they know what it feels like to have a dropped call or a slow connection or cranky Wi Fi...
It is essential that we move quickly -- not because of the benefits of action, but because of the costs of inaction. If we do nothing in the face of the looming spectrum crunch, many consumers will face higher prices -- as the market is forced to respond to supply and demand -- and frustrating service -- connections that drop, apps that run unreliably or too slowly."
As we continue to take huge leaps forward into the exciting and futuristic realm of mobile, the message is clear: we must have more spectrum in order to keep pace with innovation and consumer demand for the products we just can't live without.
This article was originally posted on Huffington Post.
Posted: 02/14/11 by Jonathan Spalter
President Obama made a powerful, affirming speech to the innovation community at Northern Michigan University, laying out a bold roadmap for how he plans to achieve his goal to connect virtually all Americans to the wireless Internet in the next five years.
President Obama made clear that it's not government alone -- or even foremost -- that will connect a mobile nation. Companies large and small continue to make the capital investment and commit the resources that put hundreds of thousands of Americans to work laying the pipes and building the towers of the nation's next information frontier. From the garages of Silicon Valley to the corporate and academic technology labs, innovators are competing fiercely to create the next exciting breakthrough.
In his remarks, the President acknowledged that this profound innovation and growth is the key to future prosperity for our nation, and is yielding results both for consumers and for the economy.
FCC Chairman Julius Genachowski has long (and rightly) evangelized on the merits of fact-based, data-driven policymaking. And the facts are that choice and competition define every corner of the modern mobile marketplace. Two-thirds of Americans can choose from among five or more wireless providers. The device market could not be more hotly contested right now. Consumers can add mobile Internet to their voice service for as little as $15 a month. And, they tell the FCC in no uncertain terms that they are satisfied with their wireless services with a 92% customer satisfaction rating.
With his focus on the mobile Internet, President Obama is building from a strong base. Six out of 10 Americans now use a wireless device to access the Internet. As early as 2014, more people may go online via mobile devices than PCs. And, if the priority is digital inclusion, President Obama has squarely hit his mark. Roughly two-thirds of African-Americans and Latinos are wireless Internet users -- and one in three connect daily. Even low-income Americans are finding cost-effective ways to access the mobile web, showing an 8% growth in wireless Internet use this past year.
All of these trends clearly indicate the intensity of competition and the value it delivers every day to a diverse array of Americans. The task for government now should be to encourage this progress -- both in word and in deed -- and do what is necessary to promote investment and growth for mobile and other innovation sectors.
The President gets it. Last month, he ordered a sweeping review of federal regulations with an eye toward easing undue burdens "that have stifled innovation and have had a chilling effect on growth and jobs." If ever there was a poster-child for the profound expansion and job creation such a perspective could trigger, it is the jaw-dropping growth and innovation we have all borne witness too in recent years with wireless. From day one, Congress made the decision to let a competitive dynamic guide the marketplace. They showed rightful restraint, and we all are the beneficiaries of that decision.
As President Obama works to ensure a constructive government climate for economic growth, he's right to focus early, significant attention on wireless. In the toughest economic times the nation has seen in decades, broadband innovators -- including wireless -- have led private capital investment in the U.S. economy. Only the history books will know what true progress comes from this initiative. But if the President's wireless program is successful, one of its greatest innovations won't be a hip device or cool app, but a powerful new model for forward-looking policy in this country that unites the interests of consumers, innovators and our economy, so we can grow as we should -- together.
This article was originally published on Huffington Post.
Posted: 02/02/11 by Jonathan Spalter
Winning the future, the theme of the State of the Union address, called for "out-innovating, out-educating, and out-building the rest of the world." President Obama rightly emphasized wireless broadband as a crucial building block for a winning economy.
After declaring this our country's "Sputnik moment," the president went on to declare a bold and ambitious goal that "within the next five years, we'll make it possible for businesses to deploy the next generation of high-speed wireless coverage to 98 percent of all Americans. This isn't just about faster Internet or fewer dropped calls. It's about connecting every part of America to the digital age." Given the transformative power of mobile broadband, this is a timely goal.
Leading up to the State of the Union, the president recognized the widespread discontent from the private sector regarding overregulation, as well as the urgency for elected officials to help get Americans working again in a 21st century economy that preserves America's place at the forefront of innovation and ingenuity. In his recent op ed published in the Wall Street Journal, President Obama said the key to generating more jobs will be striking the right balance between protecting consumers and nurturing business growth.
The President walked the walk last week, signing an executive order mandating federal agencies to identify and remove outdated regulations that may be "placing unreasonable burdens on business -- burdens that have stifled innovation and have had a chilling effect on growth and jobs."
Innovation by definition is the development of new products, services and methods that affect people on a daily basis and aim to improve quality of life. With innovation at its core, the mobile ecosystem has defied norms and expectations during a time of economic recovery. Last year, mobile trends revealed that consumers did not tighten their purse strings when it came to their pursuit of wireless devices. In fact, mobile had its best year ever, with an explosion in consumer usage across a dizzying array of applications, services and social media platforms. Mobile companies returned the love by continuing to invest more than $20 billion annually despite the economic downturn.
Today's mobile revolution (i.e., that smartphone you can't put down) is largely rooted in Congress' 1993 decision to embrace a pro-innovation framework that favored competition over regulation. Even through revolving Democratic and Republican majorities in Washington, mobile has thrived due to constructive, bipartisan policies that showed rare regulatory restraint and allowed consumers and innovators to shape and direct its progress. As a result, mobile innovation accounts for 2.4 million U.S. jobs and contributes $100 billion annually to U.S. GDP.
In the State of the Union, President Obama reminded us that "the rules have changed." Thirty years ago, we couldn't know that the Internet would spark an economic revolution, nor could we have known just a few years ago that mobile technology would transform the very nature of American innovation.
Mobile entrepreneurs are pushing the envelope every day to develop new products and services that keep pace with consumer demand. But these leading-edge technologies of tomorrow won't make their way to consumers without more wireless capacity. The federal government's ability to identify and bring additional spectrum to the market is a key policy issue that both techies and policymakers are tracking closely.
When we envision winning the future, mobile broadband is leading the way. It is revolutionizing how we do business, socialize, educate and interact as a democracy. As President Obama pointed out,
"It's about a rural community in Iowa or Alabama where farmers and small business owners will be able to sell their products all over the world. It's about a firefighter who can download the design of a burning building onto a handheld device; a student who can take classes with a digital textbook; or a patient who can have face-to-face video chats with her doctor."
Now more than ever, we need policies that preserve and advance the investment and innovation that keep all of this progress flowing to consumers and throughout our society.
If we look to history as our guide, the message is clear: Innovation is what drives our economy and our society to new heights. President Obama should be commended for calling the nation to the cause on Tuesday night. And, I do believe, we will rise to the occasion. Sputnik, after all, may have won the race to space. But it was American ingenuity and ambition that put a man on the moon.
This article was originally published on Huffington Post.
Posted: 12/20/10 by Jonathan Spalter
As the clock continues to tick towards tomorrow's all-hands meeting of the Federal Communications Commission, at which a common-sense solution to preserve the open Internet may finally be agreed upon, some very thoughtful and unexpected voices are weighing in to the debate, urging that we "be done, and move forward."
What is most surprising, and refreshing, is that these voices are coming not only from inside the Beltway, but also from very far outside of it. And they - rightly - are urging the FCC to sign-on to the reasonable compromise that has been fashioned by its Chairman, Julius Genachowski, so that our nation and our economy at last can put this vexing (and very Washington, D.C.-focused) debate behind us, and get on with the important work of innovating, creating jobs, and investing in our communications ecosystem.
So, for anybody who cares about this debate, a quick scan through the following short articles, which come from a diverse group including a start-up tech leader in Silicon Valley, progressive political voices in South Carolina, a leader in the American labor movement as well as a leading voice in the U.S. minority community, would be very enlightening.
These voices are among the many that want to stand-up and be counted as supporting the FCC Chairman's common-sense plan to preserve and protect an open Internet. What distinguishes these perspectives is that they include new, passionate but reasonable, and decidedly non-Washington viewpoints. These perspectives, to put it mildly, are needed now more than ever before.
• The Hill, "The Myth of 'Real' Net Neutrality" by Manolo Espinosa, co-founder of hosted website search firm IndexTank
• The State, "Riley, Rivers: Ending net-neutrality debate will spur growth in SC" by Richard Riley, the former governor of South Carolina and former secretary of education under President Bill Clinton; and David Rivers, a Charleston native and board member of the Alliance for Digital Equality.
• "Consensus Today: Broadband Tomorrow" by Larry Cohen, President of the Communications Workers of America; and Marc Morial, President and Chief Executive Officer of the National Urban League.
This article was originally published on Huffington Post.
Posted: 07/09/10 by Jonathan Spalter
Consumer confidence remains low in today’s tough economy, but the Pew Internet and American Life Project’s new Mobile Access in 2010 report illustrates a contrarian streak among U.S. consumers when it comes to the mobile marketplace. Across ages and demographics, Americans are showing a remarkable bullishness when it comes to the value and innovation they see in their wireless purchases. In fact, usage of connected devices and applications continues to grow at an unabated and staggering pace.
Over the past year, the number of Americans connecting wirelessly to the Internet is up 8 percentage points, with six out of 10 Americans now using their smartphone or laptop to access the Internet. In fact, more Americans now use their mobile device to connect to the Internet (38%) than play a game on their device (34%). And, it’s not just young millennials gravitating to the nexus of wireless and the Internet. Their parents—folks in the 30 to 49 year old age bracket—are now leading the growth.
African Americans and Latinos also continue to lead in mobile connectivity. Two-thirds of both communities are wireless Internet users. And, African Americans and Latinos continue to outpace whites when it comes to cell phone ownership (87% versus 80%).
These insights illuminate the wireless debate at a pivotal moment, coming on the heels of President Obama’s Executive Order announcing his Administration’s intention to increase the amount of spectrum available to meet consumers’ fast-growing mobile needs. Pew’s methodical documentation of a steep adoption and usage growth trajectory—cutting broadly across the U.S. population—powerfully illustrates the profound importance of these spectrum allocation efforts and the equally essential need to safeguard policies that encourage the billions of dollars in investment needed to get this spectrum into use across the country. This process can take six to 10 years to complete, from the announcement of auctions to the deployment of actual networks, so we need to get started now.
Unfortunately as temperatures rise in Washington (both literally and metaphorically), it seems no debate is safe from the partisan pull of election-year politics. Even U.S. wireless policy, which has enjoyed bipartisan support for a light-tough regulatory framework through both Republican and Democratic administrations, is getting dragged into the pro-regulation and heated rhetorical fray.
It’s hard to justify given the frenetic pace of competition across the mobile landscape. Verizon and Google recently have gone public with their ambitions to challenge the AT&T/Apple iPad alliance. HP, Dell and others also are in hot pursuit. Cox is becoming the first U.S. cable company to directly offer wireless services. Regional players like Leap Wireless and MetroPCS are thriving. And, the Palm Pre was recently offered to consumers for the jaw-dropping price of a single cent. Consumer choices of service providers, plans, devices and applications abound.
All of this, of course, only further fuels the leaps and bounds we’re now seeing in mobile Internet adoption and usage. The arrival of dispassionate, data-driven reports like this Pew contribution are essential to constructive policy conversation that benefit consumers and innovators alike.
The data also clearly illustrates just how deeply mobile connectivity is working its way into our lives, and just how enthusiastically consumers are responding to the profound innovation it is making possible.
As the Federal Communications Commission takes a closer look at wireless, it’s important that it consider how consumers are actually embracing mobile connectivity in their diverse lives. And, it is imperative that the FCC acknowledge that all of this progress we celebrate now has taken place in—and been made possible in no small part by—the current light-touch regulatory framework.
The proof is in the numbers. As the mercury rises in the nation’s capital, it’s important that cooler heads prevail when it comes to the flexibility and dynamism that have truly connected the nation to the opportunities and innovation made possible by the mobile Internet.
This article was orginially published on Huffington Post.
Posted: 05/20/10 by Jonathan Spalter
This Thursday in its monthly public meeting, the FCC will consider — as it does each year — the state of competition in the wireless marketplace. It is an important assessment and one that merits a cold, hard look — as the new FCC is wont to do — at the underlying facts and data.
Here are some of the key facts about the American wireless marketplace:
Our nation currently is home to the world's lowest per-minute voice prices, largest 3G customer base and most innovative and voluminous applications and device markets. More than nine out of 10 Americans have mobile devices. One in four of us favor them so much that we left our landline telephone service in the last century. Two-thirds of us have a choice of five or more wireless providers and a range of plans from family discounts to pre-paid, no contract options to "all in" voice, data and texting for as little as $50 a month.
By any measure — from the number of facilities-based competitors to the market share of individual companies — U.S. consumers enjoy the most competitive wireless marketplace on earth. Turn on your radio, your TV or open your newspaper and you plainly see compelling evidence of vibrant competition and consumer choice.
A recent memo from the FCC's general counsel, which lays out Chairman Julius Genachowski's "third way" proposal for net neutrality regulation, even cites industry claims that "one of the greatest successes in this industry in the last twenty years (is) the growth of wireless services."
A quick glimpse at the frenetic pace of this growth more than proves the point. Verizon and Google have gone public with their ambitions to challenge the AT&T/Apple iPad alliance. HP, Dell and others are also in hot pursuit. Cox is becoming the first U.S. cable company to offer wireless services directly to consumers and businesses. Regional players like Leap Wireless and MetroPCS are thriving. T-Mobile has vowed to deliver the fastest available speeds across its 3G footprint by year's end. Sprint is prepping the launch of its Evo 4G device, the first to run on its much-heralded 4G network. And, the FCC's recent approval of the Harbinger-Skyterra merger promises the emergence of a fifth national wireless player.
With so many choices, Americans can afford to be among the most communicative in the world, spending more than six billion minutes each day on their mobile phones and sending five billion daily text messages.
Importantly, the competition and consumer choice extends well beyond service providers. America is home to more than 240,000 mobile applications and at least seven competing applications stores. At the Apple App Store alone, more than three billion applications have been downloaded since its launch less than two years ago.
The U.S. is the envy of the mobile innovation world for the robust nature of our networks and the diverse array of consumer choices in devices, applications and service options.
While the FCC urges substantial reforms on multiple fronts, it would be judicious for the Commission to point out where the marketplace is working. Audiences from consumers to policymakers to Wall Street are actively speculating as to how broad or restrained the FCC's new regulatory push ultimately will be — and the potential impact for better or for worse from jobs and economic recovery to innovation and investment. Drawing a bright white line by affirming that competition is clearly working in wireless would offer a reassuring distinction amid a potential tangle of new red tape.
If the Commission aims to make good on its promise to advance a competitive, innovative and consumer-powered marketplace, now is the time and this week's mobile competition report is the place to make clear the upper limits of its regulatory ambitions.
This article was originally published on Huffington Post on May 19, 2010.
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