Affordable Connectivity Program (ACP)

No “good cause” exists to shorten time to respond to a petition related to the federal affordable connectivity program (ACP) ending, the California Broadband & Video Association (CalBroadband) said Monday in a filing at the California Public Utilities Commission. The Utility Reform Network (TURN) last week asked the CPUC to pause awarding grants and quickly modify grant rules to ensure service remains affordable after ACP ends (see 2404150062). Since TURN’s proposal “would fundamentally change” the CPUC’s 2022 decision adopting Infrastructure Grant Account rules, parties should have the full 30 days to respond that CPUC rules require, CalBroadband said. The cable association foreshadowed that it will ask the CPUC to deny TURN’s petition and move quickly to grant pending infrastructure grant applications.

Verizon CEO Hans Vestberg sees little possibility that Congress will continue the affordability connectivity program, he told CNBC Monday as the carrier released Q1 results. House Democrats hope they can force a vote on a bill that would keep the ACP alive (see 2404170066). Vestberg told an analysts' call Verizon is happy with its roll-out of C-band spectrum and offered an update about how the company is using AI to improve efficiency.

Comcast's Now line of prepaid broadband, mobile and streaming services is a reply to fixed wireless' ongoing incursion in home broadband and "a well-considered response" to the looming end of the affordable connectivity program, GlobalData analyst Charles Garrett said Thursday. Comcast announced its Now line this week. Garrett said Now also is a move by Comcast to broaden its addressable market without cannibalizing its existing residential broadband subscriber base. He said Comcast's entry into prepaid wireless faces challenges as the U.S. prepaid marketplace is volatile and shrinking, with Verizon, AT&T and Dish Network losing a combined 547,000 prepaid subs in Q4 2023.

Affordable Connectivity Program Extension Act (HR-6929/S-3565) lead House sponsor Rep. Yvette Clarke, D-N.Y., told us she's cautiously optimistic ahead of the opening of a discharge petition Thursday to force a floor vote on the measure (H.Res. 1119). HR-6929/S-3565 proposes allocating $7 billion for FY 2024 to the ailing FCC connectivity program. Thursday marks the end of a seven-legislative-day waiting period before Clarke can begin collecting signatures on the petition, which would require backing from at least 218 members before becoming effective (see 2404100075). Republican observers, even those who support giving ACP stopgap money, are skeptical the discharge petition bid will succeed.

Broadband officials and experts Wednesday called for continued pressure to replenish the FCC's affordable connectivity program (see 2404100075). Some panelists during Next Century Cities' bipartisan tech policy conference also urged community leaders to engage with their state broadband offices as NTIA approves states' plans for the broadband, equity, access and deployment program.

"The sky's the limit" when considering Chinese capabilities for conducting digital attacks on critical U.S. infrastructure, since China switched from focusing on economic and political espionage to a strategy that can only be pre-positioning for attacks, Brandon Wales, executive director of Homeland Security's Cybersecurity and Infrastructure Security Agency (CISA), said Wednesday. Also at a Semafor conference on digital infrastructure, Kathy Grillo, Verizon senior vice president-public policy and government affairs, said the lack of FCC auction authority could have significant ramifications in a handful of years for keeping up with growing data demands. Numerous conference speakers talked about AI’s potential and risks.

FCC Commissioner Anna Gomez and carrier executives warned of challenges from the pending expiration of the affordable connectivity program and negative implications for the broadband access, equity and deployment program, speaking Wednesday at a Competitive Carriers Association conference streamed from Palm Springs, California. Gomez said she supports the proposed 5G Fund, circulated by Chairwoman Jessica Rosenworcel last month (see 2403260052), and is focused on concerns raised by CCA and others.

Possibly facing the end of the federal affordable connectivity program (ACP), the California Public Utilities Commission should quickly modify grant rules to ensure service stays affordable, said The Utility Reform Network in petitions Friday and Monday. “We don’t have the luxury of time here,” said TURN Telecom Policy Analyst Leo Fitzpatrick in an interview Monday. The state cable association slammed TURN’s proposals. But the California Emerging Technology Fund (CETF), a group that has led efforts to sign up low-income Californians for ACP, supports having “another opportunity to discuss the imperative for California to have a back-up plan to replace the” federal program, said CEO Sunne Wright McPeak in an email Monday.

T-Mobile told customers they have options if, as expected, the affordable connectivity program ends (see 2404020075). “Existing customers using their ACP benefit with Assurance Wireless will keep their service through August 2024 without any changes to their price or plan,” T-Mobile said Monday: After, “they’ll need to qualify for Lifeline, a free federal assistance program -- if they don’t already have it -- or move to another low-cost T-Mobile or Metro by T-Mobile plan.” T-Mobile discussed its other low-cost services, including Metro by T-Mobile, Connect by T-Mobile and prepaid 5G data plans.

Create a state version of the affordable connectivity program (ACP) with New York ConnectAll broadband funding helping low-income residents pay for wired broadband, the Cable & Telecommunications Association of New York (CTANY) suggested Thursday. The New York Public Service Commission received comments from the association, which includes Altice and Charter Communications, in docket 22-M-0313. "If ACP is eventually extended by Congress, the state program can complement the federal benefit, but if it is not extended, the subsidy can be an important safety net to continue connectivity for the over one million households who ... rely on ACP in the state,” CTANY said.