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                                                                tABle of Contents




List of Exhibits ........................................................................................................................................................................................................ vii
Preface ....................................................................................................................................................................................................................... ix
Executive Summary ................................................................................................................................................................................................ xi


Chapter 1: Introduction ............................................................................................................................................................................................1
Chapter 2: Goals for a High Performance America ............................................................................................................................................ 7
Chapter 3: Current State of the Ecosystem ........................................................................................................................................................13
          3.1 Applications ............................................................................................................................................................................................ 16

          3.2 Devices .....................................................................................................................................................................................................18

          3.3 Networks..................................................................................................................................................................................................18

          3.4 Adoption and Utilization ..................................................................................................................................................................... 23

Part i—innovation and investment................................................................................................................................................................. 27
Chapter 4: Broadband Competition and Innovation Policy ........................................................................................................................... 33
          4.1 Networks ................................................................................................................................................................................................. 36

          4.2 Devices .................................................................................................................................................................................................... 49

          4.3 Applications ........................................................................................................................................................................................... 52

          4.4 Competition for Value Across the Ecosystem ................................................................................................................................. 58
          4.5 Transition From A Circuit-Switched Network ............................................................................................................................... 59

          4.6 Leveraging the Benefits of Innovation and Investment Internationally .................................................................................... 59

Chapter 5: Spectrum .............................................................................................................................................................................................. 73
          5.1 The Growth of Wireless Broadband ................................................................................................................................................... 76

          5.2 Ensuring Greater Transparency Concerning Spectrum Allocation and Utilization ................................................................ 79

          5.3 Expanding Incentives and Mechanisms to Reallocate or Repurpose Spectrum ........................................................................81

          5.4 Making More Spectrum Available within the Next 10 Years ....................................................................................................... 84

          5.5 Increasing the Flexibility, Capacity and Cost-Effectiveness of Spectrum for
                Point-to-Point Wireless Backhaul Services .................................................................................................................................... 93
          5.6 Expanding Opportunities for Innovative Spectrum Access Models ...........................................................................................94

          5.7 Taking Additional Steps to Make U.S. Spectrum Policy More Comprehensive ........................................................................ 96




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Chapter 6: Infrastructure.................................................................................................................................................................................... 107
         6.1 Improving Utilization of Infrastructure .......................................................................................................................................... 109

         6.2 Maximizing Impact of Federal Resources .......................................................................................................................................114

Chapter 7: Research and Development .............................................................................................................................................................119

Part ii—inclusion ............................................................................................................................................................................................... 127
Chapter 8: Availability ......................................................................................................................................................................................... 133
         8.1 The Broadband Availability Gap ....................................................................................................................................................... 136

         8.2 Closing the Broadband Availability Gap ......................................................................................................................................... 138

         8.3 Universal Service ................................................................................................................................................................................ 140

         8.4 Other Government Actions to Promote Availability ................................................................................................................... 152

Chapter 9: Adoption and Utilization................................................................................................................................................................. 165
         9.1 Understanding Broadband Adoption ............................................................................................................................................... 168

         9.2 Addressing Cost Barriers to Broadband Adoption and Utilization ............................................................................................171

         9.3 Addressing Digital Literacy Barriers to Broadband Adoption and Utilization ........................................................................174

         9.4 Addressing Relevance Barriers to Broadband Adoption and Utilization ................................................................................. 178

         9.5 Addressing Issues of Accessibility for Broadband Adoption and Utilization ..........................................................................181

         9.6 Expanding Federal Support for Regional Broadband Capacity-Building, Program Evaluation and Sharing of Best
               Practices ............................................................................................................................................................................................... 182
         9.7 Coordinating with Tribes On Broadband Issues .......................................................................................................................... 184

Part iii—national Purposes .............................................................................................................................................................................191
Chapter 10: Health Care ...................................................................................................................................................................................... 197
         10.1 The Promise of Health IT and the Role of Broadband .............................................................................................................. 200

         10.2 The Need for Action: Maximizing Health IT Utilization ......................................................................................................... 202

         10.3 Closing the Broadband-Enabled Health IT Adoption Gap ...................................................................................................... 204
         10.4 Unlocking the Value of Data ...........................................................................................................................................................207

         10.5 Closing the Health IT Broadband Connectivity Gap ................................................................................................................ 209

Chapter 11: Education ..........................................................................................................................................................................................223
         11.1 Supporting and Promoting Online Learning .................................................................................................................................227

         11.2 Unlocking the Power of Data and Improving Transparency......................................................................................................233

         11.3 Modernizing Educational Broadband Infrastructure.................................................................................................................235

Chapter 12: Energy and the Environment .......................................................................................................................................................245
         12.1 Broadband and the Smart Grid........................................................................................................................................................249

         12.2 Unleashing Innovation in Smart Homes and Buildings .............................................................................................................253

         12.3 Sustainable Information and Communications Technology ....................................................................................................257

         12.4 Smart Transportation ......................................................................................................................................................................258




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Chapter 13: Economic Opportunity ..................................................................................................................................................................263
         13.1 Supporting Entrepreneurship and America’s Small Businesses ..............................................................................................266

         13.2 Job Training and Workforce Development ..................................................................................................................................270

         13.3 Promoting Telework ........................................................................................................................................................................272

         13.4 Local and Regional Economic Development ...............................................................................................................................273

Chapter 14: Government Performance ............................................................................................................................................................. 281
         14.1 Improving Connectivity Through Government Action ..............................................................................................................284

         14.2 Improving Government Performance ...........................................................................................................................................285

Chapter 15: Civic Engagement ...........................................................................................................................................................................297
         15.1 Creating An Open and Transparent Government ....................................................................................................................... 300

         15.2 Building A Robust Digital Media Ecosystem .............................................................................................................................. 302

         15.3 Expanding Civic Engagement Through Social Media ................................................................................................................305

         15.4 Increasing Innovation in Government ......................................................................................................................................... 306

         15.5 Modernizing the Democratic Process ......................................................................................................................................... 306

Chapter 16: Public Safety .....................................................................................................................................................................................311
         16.1 Promoting Public Safety Wireless Broadband Communications ............................................................................................. 314

         16.2 Promoting Cybersecurity and Protecting Critical Infrastructure .......................................................................................... 320

         16.3 Leveraging Broadband Technologies to Enhance Emergency Communications with the Public .....................................323


Chapter 17: Implementation and Benchmarks ............................................................................................................................................... 331
         17.1 Implementation .................................................................................................................................................................................333

         17.2 Benchmarking ....................................................................................................................................................................................335

         17.3 The Legal Framework for the FCC’s Implementation of the Plan ...........................................................................................337

         17.4 Conclusion ..........................................................................................................................................................................................338

appendices ........................................................................................................................................................................................................... 341
Appendix A: BTOP Progress Assessment ........................................................................................................................................................363
Appendix B: Common Abbreviations ...............................................................................................................................................................367
Appendix C: Glossary........................................................................................................................................................................................... 371
Appendix D: List of Workshops and Field Hearings ...................................................................................................................................... 375
Appendix E: List of National Broadband Plan Contributors........................................................................................................................ 377




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                                                        list of exhiBits
Exhibit 3-A:   Forces Shaping the Broadband Ecosystem in the United States ..................................................................................... 15

Exhibit 3-B:   Percentage of Home Broadband Users Who Have Ever Engaged in Selected Online Activities .............................. 16

Exhibit 3-C:   Actual Download Speeds Necessary to Run Concurrent Applications (Mbps) ........................................................... 17

Exhibit 3-D:   Availability of 4 Mbps-Capable Broadband Networks in the United States by County ............................................. 19

Exhibit 3-E:   Announced Upgrades to the U.S. Fixed Broadband Network (Millions of households covered) ............................. 20

Exhibit 3-F:   Timeline of Fixed Broadband Industry Network Upgrades ............................................................................................. 21

Exhibit 3-G:   Advertised Versus Actual U.S. Fixed Broadband Residential Download Speeds (Mbps) ........................................... 21

Exhibit 3-H:   Announced Upgrades to the U.S. Mobile Broadband Network (Persons covered) ..................................................... 22

Exhibit 3-I:   Broadband Adoption by American Adults by Socio-Economic and Demographic Factors ...................................... 23

Exhibit 4-A:   Share of Housing Units in Census Tracts with 0, 1, 2, and 3 Wireline Providers .........................................................37

Exhibit 4-B:   Average Top Advertised Speed in Areas with 1, 2 and 3 Wireline Competitors .......................................................... 38

Exhibit 4-C:   Select Fixed Broadband Infrastructure Upgrades ........................................................................................................... 39

Exhibit 4-D:   Price Indices for Broadband Advertised as a Standalone Service and as Part of a Bundle (2006 = 1) ................... 40

Exhibit 4-E:   Share of Population Living in Census Tracts with 0, 1, 2, 3 or More 3G Mobile Providers ....................................... 40

Exhibit 4-F:   Evolution of Spectral Efficiency ...........................................................................................................................................41

Exhibit 4-G:   Projected Share of Households with Access to Various Wireline Broadband Technologies in 2012 ...................... 42

Exhibit 4-H:   Broadband Speeds Advertised by Cable and Telco 2004–2009..................................................................................... 43

Exhibit 4-I:   Simplified View of Internet Network and Connections .................................................................................................. 45

Exhibit 4-J:   Illustrative Broadband Speed and Performance Digital Labels ..................................................................................... 46

Exhibit 5-A:   Forecasted Mobile Data Traffic in North America ............................................................................................................76

Exhibit 5-B:   Selected Announced Upgrades to the U.S. Mobile Broadband Network (Persons covered) .....................................77

Exhibit 5-C:   Time Required Historically to Reallocate Spectrum ....................................................................................................... 79

Exhibit 5-D:   The Spectrum Dashboard: An Interactive Tool for Browsing Spectrum Bands .......................................................... 80

Exhibit 5-E:   Actions and Timeline to Fulfill 300 Megahertz Goal by 2015 ........................................................................................ 84

Exhibit 5-F:   Spectrum Baseline .................................................................................................................................................................. 85

Exhibit 5-G:   Broadband-Capable MSS Bands ...........................................................................................................................................87

Exhibit 6-A:   Annual Pole Rates Vary Considerably by Provider Type ................................................................................................ 110

Exhibit 6-B:   Joint Deployment Can Materially Reduce the Cost of Fiber Deployment ................................................................. 114


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Exhibit 8-A:            Universalization Goals in Selected Countries ..................................................................................................................135

Exhibit 8-B:            The Present Value (in 2010 Dollars) of the Broadband Availability Gap is $24 Billion ...........................................137

Exhibit 8-C:            The Most Expensive Unserved Housing Units Represent a Disproportionate Share of the Total Gap .................138

Exhibit 8-D:            Existing Sources of Federal Support for Communications Connectivity ...................................................................139

Exhibit 8-E:            The Federal Universal Service Fund ................................................................................................................................. 140

Exhibit 8-F:            Roadmap for USF/ICC Reform ...........................................................................................................................................144

Exhibit 9-A:            Broadband Adoption Among Certain Demographic Groups .........................................................................................167

Exhibit 10-A:           International Comparison of Electronic Health Adoption ........................................................................................... 203

Exhibit 10-B:           Health Data File Sizes .......................................................................................................................................................... 210

Exhibit 10-C:           Required Broadband Connectivity and Quality Metrics (Actual) .............................................................................. 210

Exhibit 10-D:           Estimate of Small Physician Locations Without Mass-Market Broadband Availability ......................................... 211

Exhibit 10-E:           Wide Fluctuations in Dedicated Internet Access Prices (Monthly Service Cost in .................................................212

Exhibit 10-F:           Estimated Health Care Locations Without Mass-Market Broadband Availability
                        (Percent of locations for each delivery setting)................................................................................................................213

Exhibit 10-G: 2009 Rural Health Care Program Spending ....................................................................................................................214

Exhibit 11-A:           Programme for International Student Assessment (PISA) Rankings Show the United States Trailing Other
                        Organisation for Economic Co-operation and Development (OECD) Countries .................................................... 225

Exhibit 11-B:           Carnegie Mellon Online Learning Initiative ................................................................................................................... 228

Exhibit 11-C:           Florida Virtual Schools Students Taking Distance-Learning Courses Get Higher AP Scores ............................... 229

Exhibit 11-D:           Proposed Copyright Notice Permitting Free Educational Use .................................................................................... 230

Exhibit 12-A : California Independent System Operator (ISO) System Load Profiles in
               Various Plug-in Hybrid Electric Vehicle (PHEV) Deployment Scenarios................................................................. 250

Exhibit 14-A:           The U.S. Citizenship and Immigration Services Dashboard ..........................................................................................291

Exhibit 16-A : Public Safety Broadband Network Architecture ..............................................................................................................314

Exhibit 16-B : Public Safety Network and Solutions .................................................................................................................................318

Exhibit 16-C:           Selection of Proposed Broadband Applications and Services for the Public Safety Broadband Network ............319

Exhibit 16-D : The Cyber World ....................................................................................................................................................................321

Exhibit 16-E : Call Flow in NG911 ............................................................................................................................................................... 323

Exhibit 16-F : NG911 Will Enable the Public to Access 911 Through Text Messaging (SMS) and Other Formats ...................... 324

Exhibit 16-G : Physical Architectures of Current and Next-Generation 911 ....................................................................................... 324

Exhibit 17-A:           Broadband Goals and Performance Dashboard Sample ................................................................................................ 336



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                                                 PrefACe

The staff of the Federal Communications Commission (FCC) created the National Broadband Plan. To an extraordi-

nary extent, however, the author of this plan is America itself.


The FCC started the process of creating this plan with a Notice of Inquiry in April 2009. Thirty-six public work-

shops held at the FCC and streamed online, which drew more than 10,000 in-person or online attendees, provided

the framework for the ideas contained within the plan. These ideas were then refined based on replies to 31 public

notices, which generated some 23,000 comments totaling about 74,000 pages from more than 700 parties. The FCC
also received about 1,100 ex parte filings totaling some 13,000 pages and nine public hearings were held throughout

the country to further clarify the issues addressed in the plan.


The FCC also engaged in significant collaboration and conversations with other government agencies and Congress,

since the scope of the plan included many issues outside of the FCC’s traditional expertise. Many people from across

government contributed expertise and advice along the way, for which the FCC staff is eternally grateful.


The Internet also provided new ways to involve the public. Through an innovative Web presence at www.broadband.gov,

the FCC posted more than 130 blog entries and received nearly 1,500 comments in return. The FCC’s Twitter feed now

has more than 330,000 followers, making it the third most popular government Twitter feed after the White House and

the Centers for Disease Control.


The FCC staff digested this extensive record and worked long hours analyzing and debating the record. Every

comment cannot be referenced in the plan, but they were all read, considered and valued.


Public comment on the plan does not end here. The record will guide the path forward through the rulemaking

process at the FCC, in Congress and across the Executive Branch, as all consider how best to implement the plan’s

recommendations. The public will continue to have opportunities to provide further input all along this path.


This is America’s plan, written by and for Americans. It’s now time to act and invest in our nation’s future by bringing

the power and promise of broadband to us all.




                           THE OMNIBUS BROADBAND INITIATIVE (OBI)




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                                     exeCUtiVe sUmmArY


Broadband is the great infrastructure challenge of the early              Broadband networks only create value to consumers and
21st century.                                                          businesses when they are used in conjunction with broadband-
    Like electricity a century ago, broadband is a foundation          capable devices to deliver useful applications and content. To
for economic growth, job creation, global competitiveness and          fulfill Congress’s mandate, the plan seeks to ensure that the entire
a better way of life. It is enabling entire new industries and         broadband ecosystem—networks, devices, content and applica-
unlocking vast new possibilities for existing ones. It is changing     tions—is healthy. It makes recommendations to the FCC, the
how we educate children, deliver health care, manage energy,           Executive Branch, Congress and state and local governments.
ensure public safety, engage government, and access, organize
and disseminate knowledge.                                             The Plan
    Fueled primarily by private sector investment and innova-          Government can influence the broadband ecosystem in four ways:
tion, the American broadband ecosystem has evolved rapidly.            1. Design policies to ensure robust competition and, as a
The number of Americans who have broadband at home has                    result maximize consumer welfare, innovation and
grown from eight million in 2000 to nearly 200 million last               investment.
year. Increasingly capable fixed and mobile networks allow             2. Ensure efficient allocation and management of assets
Americans to access a growing number of valuable applications             government controls or influences, such as spectrum, poles,
through innovative devices.                                               and rights-of-way, to encourage network upgrades and com-
    But broadband in America is not all it needs to be.                   petitive entry.
Approximately 100 million Americans do not have broadband              3. Reform current universal service mechanisms to support
at home. Broadband-enabled health information technology                  deployment of broadband and voice in high-cost areas; and
(IT) can improve care and lower costs by hundreds of billions             ensure that low-income Americans can afford broadband;
of dollars in the coming decades, yet the United States is behind         and in addition, support efforts to boost adoption and
many advanced countries in the adoption of such technology.               utilization.
Broadband can provide teachers with tools that allow students          4. Reform laws, policies, standards and incentives to maxi-
to learn the same course material in half the time, but there is a        mize the benefits of broadband in sectors government influ-
dearth of easily accessible digital educational content required          ences significantly, such as public education, health care
for such opportunities. A broadband-enabled Smart Grid could              and government operations.
increase energy independence and efficiency, but much of the data
required to capture these benefits are inaccessible to consumers,      1. establishing competition policies. Policymakers, including
businesses and entrepreneurs. And nearly a decade after 9/11, our      the FCC, have a broad set of tools to protect and encour-
first responders still lack a nationwide public safety mobile broad-   age competition in the markets that make up the broadband
band communications network, even though such a network could          ecosystem: network services, devices, applications and content.
improve emergency response and homeland security.                      The plan contains multiple recommendations that will foster
                                                                       competition across the ecosystem. They include the following:
Fulfilling the Congressional Mandate                                   ➤ collect, analyze, benchmark and publish detailed,
In early 2009, Congress directed the Federal Communications                market-by-market information on broadband pric-
Commission (FCC) to develop a National Broadband Plan to                   ing and competition, which will likely have direct impact
ensure every American has “access to broadband capability.”                on competitive behavior (e.g., through benchmarking of
Congress also required that this plan include a detailed strategy          pricing across geographic markets). This will also enable
for achieving affordability and maximizing use of broadband to             the FCC and other agencies to apply appropriate remedies
advance “consumer welfare, civic participation, public safety and          when competition is lacking in specific geographies or
homeland security, community development, health care deliv-               market segments.
ery, energy independence and efficiency, education, employee           ➤ develop disclosure requirements for broadband service
training, private sector investment, entrepreneurial activity, job         providers to ensure consumers have the pricing and perfor-
creation and economic growth, and other national purposes.”                mance information they need to choose the best broadband


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      offers in the market. Increased transparency will incent                 investment and benefit consumers through better perfor-
      service providers to compete for customers on the basis of               mance and lower prices. The recommendations on spec-
      actual performance.                                                      trum policy include the following:
➤     undertake a comprehensive review of wholesale compe-                     ➤ make 500 megahertz of spectrum newly available
      tition rules to help ensure competition in fixed and mobile                  for broadband within 10 years, of which 300 megahertz
      broadband services.                                                          should be made available for mobile use within five
➤     Free up and allocate additional spectrum for unlicensed                      years.
      use, fostering ongoing innovation and competitive entry.                 ➤ enable incentives and mechanisms to repurpose
➤     update rules for wireless backhaul spectrum to increase                      spectrum to more flexible uses. Mechanisms include
      capacity in urban areas and range in rural areas.                            incentive auctions, which allow auction proceeds to be
➤     expedite action on data roaming to determine how best                        shared in an equitable manner with current licensees
      to achieve wide, seamless and competitive coverage, en-                      as market demands change. These would benefit both
      courage mobile broadband providers to construct and build                    spectrum holders and the American public. The public
      networks, and promote entry and competition.                                 could benefit from additional spectrum for high-de-
➤     change rules to ensure a competitive and innovative                          mand uses and from new auction revenues. Incumbents,
      video set-top box market, to be consistent with Section                      meanwhile, could recognize a portion of the value of en-
      629 of the Telecommunications Act. The Act says that the                     abling new uses of spectrum. For example, this would al-
      FCC should ensure that its rules achieve a competitive                       low the FCC to share auction proceeds with broadcast-
      market in video “navigation devices,” or set-top boxes—the                   ers who voluntarily agree to use technology to continue
      devices consumers use to access much of the video they                       traditional broadcast services with less spectrum.
      watch today.                                                             ➤ ensure greater transparency of spectrum allocation,
➤     clarify the congressional mandate allowing state and                         assignment and use through an FCC-created spectrum
      local entities to provide broadband in their commu-                          dashboard to foster an efficient secondary market.
      nities and do so in ways that use public resources more                  ➤ expand opportunities for innovative spectrum ac-
      effectively.                                                                 cess models by creating new avenues for opportunistic
➤     clarify the relationship between users and their online                      and unlicensed use of spectrum and increasing research
      profiles to enable continued innovation and competi-                         into new spectrum technologies.
      tion in applications and ensure consumer privacy,                      ➤ infrastructure such as poles, conduits, rooftops and rights-
      including the obligations of firms collecting personal                   of-way play an important role in the economics of broad-
      information to allow consumers to know what information                  band networks. Ensuring service providers can access these
      is being collected, consent to such collection, correct it if            resources efficiently and at fair prices can drive upgrades
      necessary, and control disclosure of such personal informa-              and facilitate competitive entry. In addition, testbeds can
      tion to third parties.                                                   drive innovation of next-generation applications and, ulti-
                                                                               mately, may promote infrastructure deployment. Recom-
2. ensuring efficient allocation and use of government-                        mendations to optimize infrastructure use include:
owned and government-influenced assets. Government                             ➤ establish low and more uniform rental rates for ac-
establishes policies for the use of spectrum and oversees access                   cess to poles, and simplify and expedite the process for
to poles, conduits, rooftops and rights-of-way, which are used                     service providers to attach facilities to poles.
in the deployment of broadband networks. Government also                       ➤ improve rights-of-way management for cost and
finances a large number of infrastructure projects. Ensuring                       time savings, promote use of federal facilities for
these assets and resources are allocated and managed effi-                         broadband, expedite resolution of disputes and identify
ciently can encourage deployment of broadband infrastructure                       and establish “best practices” guidelines for rights-of-
and lower barriers to competitive entry. The plan contains a                       way policies and fee practices that are consistent with
number of recommendations to accomplish these goals. They                          broadband deployment.
include the following:                                                         ➤ Facilitate efficient new infrastructure construction,
➤ spectrum is a major input for providers of broadband                             including through “dig-once” policies that would make
    service. Currently, the FCC has only 50 megahertz in inven-                    federal financing of highway, road and bridge projects
    tory, just a fraction of the amount that will be necessary                     contingent on states and localities allowing joint de-
    to match growing demand. More efficient allocation and                         ployment of broadband infrastructure.
    assignment of spectrum will reduce deployment costs, drive


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   ➤ Provide ultra-high-speed broadband connectivity to              ➤ expand the lifeline and link-up programs by allowing
     select u.s. department of defense installations to                subsidies provided to low-income americans to be used
     enable the development of next-generation broadband               for broadband.
     applications for military personnel and their families            ➤ consider licensing a block of spectrum with a condi-
     living on base.                                                       tion to offer free or low-cost service that would create
                                                                           affordable alternatives for consumers, reducing the
3. creating incentives for universal availability and adop-                burden on USF.
tion of broadband. Three elements must be in place to                ➤ ensure every american has the opportunity to become
ensure all Americans have the opportunity to reap the benefits         digitally literate.
of broadband. All Americans should have access to broad-               ➤ launch a national digital literacy corps to organize
band service with sufficient capabilities, all should be able              and train youth and adults to teach digital literacy skills
to afford broadband and all should have the opportunity to                 and enable private sector programs addressed at break-
develop digital literacy skills to take advantage of broadband.            ing adoption barriers.
Recommendations to promote universal broadband deploy-
ment and adoption include the following:                             4. updating policies, setting standards and aligning in-
➤ ensure universal access to broadband network services.             centives to maximize use for national priorities. Federal,
    ➤ create the connect america Fund (caF) to support               Tribal, state and local governments play an important role
        the provision of affordable broadband and voice with         in many sectors of our economy. Government is the largest
        at least 4 Mbps actual download speeds and shift up to       health care payor in the country, operates the public education
        $15.5 billion over the next decade from the existing Uni-    system, regulates many aspects of the energy industry, provides
        versal Service Fund (USF) program to support broad-          multiple services to its citizens and has primary responsibility
        band. If Congress wishes to accelerate the deployment        for homeland security. The plan includes recommendations
        of broadband to unserved areas and otherwise smooth          designed to unleash increased use, private sector investment
        the transition of the Fund, it could make available          and innovation in these areas. They include the following:
        public funds of a few billion dollars per year over two to   ➤ Health care. Broadband can help improve the quality and
        three years.                                                     lower the cost of health care through health IT and improved
    ➤ create a mobility Fund to provide targeted fund-                   data capture and use, which will enable clearer understand-
        ing to ensure no states are lagging significantly behind         ing of the most effective treatments and processes. To
        the national average for 3G wireless coverage. Such 3G           achieve these objectives, the plan has recommendations that
        coverage is widely expected to be the basis for the future       will:
        footprint of 4G mobile broadband networks.                       ➤ Help ensure health care providers have access to afford-
    ➤ transition the “legacy” High-cost component of the                     able broadband by transforming the FCC’s Rural Health
        usF over the next 10 years and shift all resources to the            Care Program.
        new funds. The $4.6 billion per year High Cost compo-            ➤ Create incentives for adoption by expanding reimburse-
        nent of the USF was designed to support primarily voice              ment for e-care.
        services. It will be replaced over time by the CAF.              ➤ Remove barriers to e-care by modernizing regulations
    ➤ reform intercarrier compensation, which provides                       like device approval, credentialing, privileging and
        implicit subsidies to telephone companies by elimi-                  licensing.
        nating per-minute charges over the next 10 years and             ➤ Drive innovative applications and advanced analytics
        enabling adequate cost recovery through the CAF.                     by ensuring patients have control over their health data
    ➤ design the new connect america Fund and mobility                       and ensuring interoperability of data.
        Fund in a tax-efficient manner to minimize the size          ➤ education. Broadband can enable improvements in public
        of the broadband availability gap and thereby reduce             education through e-learning and online content, which can
        contributions borne by consumers.                                provide more personalized learning opportunities for stu-
    ➤ broaden the usF contribution base to ensure USF                    dents. Broadband can also facilitate the flow of information,
        remains sustainable over time.                                   helping teachers, parents, schools and other organizations to
➤ create mechanisms to ensure affordability to low-in-                   make better decisions tied to each student’s needs and abili-
    come americans.                                                      ties. To those ends, the plan includes recommendations to:




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➤ Improve the connectivity to schools and libraries by up-                      ecosystem and modernizing the democratic process.
  grading the FCC’s E-Rate program to increase flexibility,               ➤ Public safety and homeland security. Broadband can bol-
  improve program efficiency and foster innovation by pro-                  ster efforts to improve public safety and homeland security
  moting the most promising solutions and funding wireless                  by allowing first responders to send and receive video and
  connectivity to learning devices that go home with students.              data, by ensuring all Americans can access emergency ser-
  ➤ Accelerate online learning by enabling the creation of                  vices and improving the way Americans are notified about
      digital content and learning systems, removing regula-                emergencies. To achieve these objectives, the plan makes
      tory barriers and promoting digital literacy.                         recommendations to:
  ➤ Personalize learning and improve decision–making by                     ➤ Support deployment of a nationwide, interoperable
      fostering adoption of electronic educational records and                  public safety mobile broadband network, with fund-
      improving financial data transparency in education.                       ing of up to $6.5 billion in capital expenditures over 10
➤ energy and the environment. Broadband can play a major                        years, which could be reduced through cost efficiency
  role in the transition to a clean energy economy. Ameri-                      measures and other programs. Additional funding will
  ca can use these innovations to reduce carbon pollution,                      be required for operating expenses.
  improve our energy efficiency and lessen our dependence                   ➤ Promote innovation in the development and deploy-
  on foreign oil. To achieve these objectives, the plan has                     ment of next-generation 911 and emergency alert
  recommendations that will:                                                    systems.
  ➤ Modernize the electric grid with broadband, making it                   ➤ Promote cybersecurity and critical infrastructure sur-
      more reliable and efficient.                                              vivability to increase user confidence, trust and adop-
  ➤ Unleash energy innovation in homes and buildings by                         tion of broadband communications.
      making energy data readily accessible to consumers.
  ➤ Improve the energy efficiency and environmental im-                   Long-Term Goals
      pact of the ICT sector.                                             In addition to the recommendations above, the plan recom-
➤ economic opportunity. Broadband can expand access                       mends that the country adopt and track the following six goals
  to jobs and training, support entrepreneurship and small                to serve as a compass over the next decade.
  business growth and strengthen community development
  efforts. The plan includes recommendations to:                             goal no. 1: at least 100 million u.s. homes should have
  ➤ Support broadband choice and small businesses’ use of                 affordable access to actual download speeds of at least 100
      broadband services and applications to drive job cre-               megabits per second and actual upload speeds of at least 50
      ation, growth and productivity gains.                               megabits per second.
  ➤ Expand opportunities for job training and placement
      through an online platform.                                           goal no. 2: the united states should lead the world in
  ➤ Integrate broadband assessment and planning into eco-                 mobile innovation, with the fastest and most extensive
      nomic development efforts.                                          wireless networks of any nation.
➤ government performance and civic engagement. Within
  government, broadband can drive greater efficiency and                     goal no. 3: every american should have affordable ac-
  effectiveness in service delivery and internal operations. It           cess to robust broadband service, and the means and skills
  can also improve the quantity and quality of civic engage-              to subscribe if they so choose.
  ment by providing a platform for meaningful engagement
  with representatives and agencies. Through its own use of                  goal no. 4: every american community should have
  broadband, government can support local efforts to deploy               affordable access to at least 1 gigabit per second broadband
  broadband, particularly in unserved communities. To                     service to anchor institutions such as schools, hospitals
  achieve these goals, the plan includes recommendations to:              and government buildings.
  ➤ Allow state and local governments to purchase broad-
      band from federal contracts such as Networx.                          goal no. 5: to ensure the safety of the american people,
  ➤ Improve government performance and operations                         every first responder should have access to a nationwide,
      through cloud computing, cybersecurity, secure authen-              wireless, interoperable broadband public safety network.
      tication and online service delivery.
  ➤ Increase civic engagement by making government more                     goal no. 6: to ensure that america leads in the clean
      open and transparent, creating a robust public media                energy economy, every american should be able to use


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broadband to track and manage their real-time energy              implementation
consumption.                                                      The plan is in beta, and always will be. Like the Internet itself, the
                                                                  plan will always be changing—adjusting to new developments in
   Meeting these six goals will help achieve the Congressional    technologies and markets, reflecting new realities, and evolving to
mandate of using broadband to achieve national purposes,          realize the unforeseen opportunities of a particular time.
while improving the economics of deployment and adoption.            As such, implementation requires a long-term commitment
In particular, the first two goals will create the world’s most   to measuring progress and adjusting programs and policies to
attractive market for broadband applications, devices and         improve performance.
infrastructure and ensure America has the infrastructure to at-      Half of the recommendations in this plan are offered to the
tract the leading communications and IT applications, devices     FCC. To begin implementation, the FCC will:
and technologies. The third goal, meanwhile, will ensure every    ➤ Quickly publish a timetable of proceedings to implement
American has the opportunity to take advantage of the benefits        plan recommendations within its authority.
broadband offers, including improved health care, better edu-     ➤ Publish an evaluation of plan progress and effectiveness as
cation, access to a greater number of economic opportunities          part of its annual 706 Advanced Services Inquiry.
and greater civic participation.                                  ➤ Create a Broadband Data Depository as a public resource
                                                                      for broadband information.
Budget impact of Plan
Given the plan’s goal of freeing 500 megahertz of spectrum,          The remaining half of the recommendations are offered to
future wireless auctions mean the overall plan will be revenue    the Executive Branch, Congress and state and local govern-
neutral, if not revenue positive. The vast majority of recom-     ments. Policymakers alone, though, cannot ensure success.
mendations do not require new government funding; rather,         Industry, non-profits, and government together with the
they seek to drive improvements in government efficiency,         American people, must now act and rise to our era’s infrastruc-
streamline processes and encourage private activity to promote    ture challenge.
consumer welfare and national priorities. The funding requests
relate to public safety, deployment to unserved areas and
adoption efforts. If the spectrum auction recommendations are
implemented, the plan is likely to offset the potential costs.




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introdUCtion
          chapter 1




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In every era, amerIca must confront the challenge of connectIng our natIon anew.

In the 1860s, we connected Americans to a transcontinental           high-performance America—an America of universal opportu-
railroad that brought cattle from Cheyenne to the stockyards of      nity and unceasing innovation, an America that can continue
Chicago. In the 1930s, we connected Americans to an elec-            to lead the global economy, an America with world-leading,
tric grid that improved agriculture and brought industry to          broadband-enabled health care, education, energy, job training,
the Smoky Mountains of Tennessee and the Great Plains of             civic engagement, government performance and public safety.
Nebraska. In the 1950s, we connected Americans to an inter-             Due in large part to private investment and market-driven
state highway system that fueled jobs on the line in Detroit and     innovation, broadband in America has improved considerably in
in the warehouse in L.A.                                             the last decade. More Americans are online at faster speeds than
    Infrastructure networks unite us as a country, bringing          ever before. Yet there are still critical problems that slow the
together parents and children, buyers and sellers, and citizens      progress of availability, adoption and utilization of broadband.
and government in ways once unimaginable. Ubiquitous access             Recognizing this, one year ago Congress echoed the
to infrastructure networks has continually driven American in-       Communications Act of 1934 and directed the FCC to develop a
novation, progress, prosperity and global leadership.                National Broadband Plan ensuring that every American has “ac-
    Communications infrastructure plays an integral role in          cess to broadband capability.” Specifically, the statute dictates:
this American story. In the 1920s, ’30s, ’40s and ’50s, tele-           “The national broadband plan required by this section shall
phony, radio and television transformed America, unleashing          seek to ensure that all people of the United States have access to
new opportunities for American innovators to create products         broadband capability and shall establish benchmarks for meet-
and industries, new ways for citizens to engage their elected        ing that goal. The plan shall also include:
officials and a new foundation for job growth and international      ➤ an analysis of the most effective and efficient mechanisms for
competitiveness.                                                         ensuring broadband access by all people of the United States,
    Private investment was pivotal in building most of these         ➤ a detailed strategy for achieving affordability of such service
networks, but government actions also played an important                and maximum utilization of broadband infrastructure and
role. Treasury bonds and land grants underwrote the railroad,1           service by the public,
the Rural Electrification Act brought electricity to farms and       ➤ an evaluation of the status of deployment of broadband ser-
the federal government funded 90% of the cost of the interstate          vice, including progress of projects supported by the grants
highways.2                                                               made pursuant to this section, and
    In communications, the government stimulated the con-            ➤ a plan for use of broadband infrastructure and services in ad-
struction of radio and television facilities across the country          vancing consumer welfare, civic participation, public safety
by offering huge tracts of the public’s airwaves free of charge.         and homeland security, community development, health care
It did the same with telephony through a Universal Service               delivery, energy independence and efficiency, education,
Fund, fulfilling the vision of the Communications Act of 1934            worker training, private sector investment, entrepreneurial
“to make available, so far as possible, to all the people of the         activity, job creation and economic growth, and other na-
United States, a rapid, efficient, Nation-wide, and world-wide           tional purposes.”4
wire and radio communication service with adequate facilities
at reasonable charges.”3                                                This is a broad mandate. It calls for broadband networks
    Today, high-speed Internet is transforming the landscape         that reach higher and farther, filling the troubling gaps we face
of America more rapidly and more pervasively than earlier            in the deployment of broadband networks, in the adoption of
infrastructure networks. Like railroads and highways, broad-         broadband by people and businesses and in the use of broad-
band accelerates the velocity of commerce, reducing the costs        band to further our national priorities.
of distance. Like electricity, it creates a platform for America’s      Nearly 100 million Americans do not have broadband today.5
creativity to lead in developing better ways to solve old prob-      Fourteen million Americans do not have access to broadband
lems. Like telephony and broadcasting, it expands our ability to     infrastructure that can support today’s and tomorrow’s applica-
communicate, inform and entertain.                                   tions.6 More than 10 million school-age children7 do not have
    Broadband is the great infrastructure challenge of the early     home access to this primary research tool used by most stu-
21st century.                                                        dents for homework.8 Jobs increasingly require Internet skills;
    But as with electricity and telephony, ubiquitous con-           the share of Americans using high-speed Internet at work grew
nections are means, not ends. It is what those connections           by 50% between 2003 and 2007,9 and the number of jobs in
enable that matters. Broadband is a platform to create today’s       information and communications technology is growing 50%


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faster than in other sectors.10 Yet millions of Americans lack the             Above all, an American plan should build on American strengths.
skills necessary to use the Internet.11                                        The first of these strengths is innovation. The United States
    What’s more, there are significant gaps in the utilization of          maintains the greatest tradition of innovation and entrepre-
broadband for other national priorities. In nearly every metric            neurship in the world—one that combines creativity with
used to measure the adoption of health information technology              engineering to produce world-leading applications, devices and
(IT), the United States ranks in the bottom half among compa-              content, as well as the businesses that bring them to market.
rable countries,12 yet electronic health records could alone save              Our national plan must build on this strength to ensure that
more than $500 billion over 15 years.13 Much of the electric               the next great companies, technologies and applications are
grid is not connected to broadband, even though a Smart Grid               developed in the United States. U.S. leadership in these spheres
could prevent 360 million metric tons of carbon emissions per              will advance our most important public purposes. A healthy
year by 2030, equivalent to taking 65 million of today’s cars              environment for innovation will enable advances in health
off the road.14 Online courses can dramatically reduce the time            care, energy, education, job training, public safety and all of
required to learn a subject while greatly increasing course                our national priorities. Creativity is a national virtue that has
completion rates,15 yet only 16% of public community colleg-               catalyzed American leadership in many sectors. America’s plan
es—which have seen a surge in enrollment16—have high-speed                 should unlock that creativity to transform the public sector, too.
connections comparable to our research universities.17 Nearly                  We have just begun to benefit from the ways broadband
a decade after 9/11, our first responders still require access to          unleashes innovations to improve American lives: a job seeker
better communications.                                                     in South Bend telecommuting for a company in the Deep South;
    Unless we reform our approach to these gaps, we will fail to           a medical specialist in Chapel Hill providing medical consulta-
seize the opportunity to improve our nation, and we will fall              tions to a patient in the Hill Country; grandparents in Cleveland
behind those countries that do. In fact, other countries already           video-chatting with their grandchildren in Colorado Springs;
have adopted plans to address these gaps.                                  firefighters downloading blueprints of a burning building. The
    The ways that other countries have confronted this chal-               applications that broadband enables provide innovative, effi-
lenge help inform how we might approach the problem. But                   cient solutions to challenges Americans confront every day.
each country’s experiences and challenges have critical dif-                   Many international broadband plans emphasize speeds and
ferences. Our solutions must reflect the unique economic,                  networks, focusing only on technical capacity as a measure of
institutional and demographic conditions of our country.                   a successful broadband system. Our plan must go beyond that.
    The United States is distinct in many ways. For example,               While striving for ubiquitous and fast networks, we must also
many countries have a single, dominant nationwide fixed                    strive to use those networks more efficiently and effectively
telecommunications provider; the United States has numer-                  than any other country. We should lead the world where it
ous providers. Cable companies play a more prominent role                  counts—in the use of the Internet and in the development of
in our broadband system than in other countries. The U.S. is               new applications that provide the tools that each person needs
less densely populated than other countries. Unlike most other             to make the most of his or her own life.
countries, we regulate at both the state and federal levels. Our               The United States is well positioned to lead in creating
plan should learn from international experiences, but must also            those applications. We have leading health research centers; we
take into account the distinguishing realities of broadband in             should also lead the world in effective health care applications.
the United States.                                                         We have leading educational institutions; we should also lead
    Our plan must be candid about where current government policies        the world in effective educational applications. We should seize
hinder innovation and investment in broadband. Government or               this opportunity to lead the world in applications that serve
influences critical inputs needed to build broadband networks—             public purposes.
such as spectrum, universal service funds and rights-of-way—yet all            The second great American strength is inclusion. As a
are structured to serve the priorities of the past, not the opportuni-     country, we believe that to march ahead we don’t need to leave
ties of the future. In addition, current government policies maintain      anyone behind. We believe that all deserve the opportunity to
incentives for our schools, hospitals and other public interest institu-   improve their lives. We believe that where you start shouldn’t
tions to use outdated technologies and practices, disadvantaging our       dictate where you finish, that demography isn’t destiny, that
people and hindering our economy. Just as this plan should build on        privilege isn’t a necessary prologue to success.
the distinctive attributes of the American market, it should also cor-         This ideal doesn’t just compel us to rebuke discrimination;
rect the problematic policies found here.                                  it compels us to be proactive. It inspires us to live up to an




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obligation we have to each other—to ensure that everyone has            While we must build on our strengths in innovation and
an opportunity to succeed.                                           inclusion, we need to recognize that government cannot pre-
   This desire for equal opportunity has long guided our ef-         dict the future. Many uncertainties will shape the evolution of
forts to make access to technologies universal, from electricity     broadband, including the behavior of private companies and con-
to telephony, from television to radio. Today, as technology         sumers, the economic environment and technological advances.
continues to change the way the world interacts, to be on the           As a result, the role of government is and should remain
outside is to live in a separate, analog world, disconnected from    limited. We must strike the right balance between the public
the vast opportunities broadband enables.                            and private sectors. Done right, government policy can drive,
   While broadband adoption has grown steadily, it is still          and has driven, progress. In the 1960s and ‘70s, government
far from universal. It lags considerably among certain demo-         research funding supported the development of the technol-
graphic groups, including the poor, the elderly, some racial and     ogy on which the Internet is based.19 In the 1990s, the Federal
ethnic minorities, those who live in rural areas and those with      Communications Commission acted to ensure that telephone
disabilities. Many of these Americans already struggle to suc-       providers would not stall use of the Internet.20 An act of
ceed. Unemployment rates are high, services like job training        Congress stimulated competition that caused cable compa-
are difficult to obtain and schools are substandard.                 nies to upgrade their networks and, for the first time, offer
   Broadband can help bridge these gaps. Today, millions of stu-     broadband to many Americans.21 Auctions for public spectrum
dents are unprepared for college because they lack access to the     promoted competitive wireless markets, prompting continual
best books, the best teachers and the best courses. Broadband-       upgrades that first delivered mobile phones and, now, mobile
enabled online learning has the power to provide high-quality        broadband.22
educational opportunities to these students—opportunities to            Instead of choosing a specific path for broadband in
which their peers at the best public and private schools have        America, this plan describes actions government should take
long had access. Similarly, with broadband, people with dis-         to encourage more private innovation and investment. The
abilities can live more independently, wherever they choose. 18      policies and actions recommended in this plan fall into three
They can telecommute and run businesses from their homes or          categories: fostering innovation and competition in networks,
receive rehabilitation therapy in remote and rural areas.            devices and applications; redirecting assets that government
   Of course, access to broadband is not enough. People still        controls or influences in order to spur investment and inclu-
need to work hard to benefit from these opportunities. But           sion; and optimizing the use of broadband to help achieve
universal broadband, and the skills to use it, can lower barriers    national priorities.
of means and distance to help achieve more equal opportunity.           A thoughtful approach to the development of electricity,
   Absent action, the individual and societal costs of digital       telephony, radio and television transformed the United States
exclusion will grow. With so many Americans lacking broad-           and, in turn, helped us transform the world. Broadband will be
band access or the skills to make it matter, the Internet has the    just as transformative.
potential to exacerbate inequality. If learning online acceler-         The consequences of our digital transformation may not be
ates your education, if working online earns you extra money, if     uniformly positive. But the choice is not whether the trans-
searching for jobs online connects you to more opportunities,        formation will continue. It will. The choice is whether we, as a
then for those offline, the gap only widens. If political dialogue   nation, will understand this transformation in a way that allows
moves to online forums, if the Internet becomes the comprehen-       us to make wise decisions about how broadband can serve the
sive source of real-time news and information, if the easiest way    public interest, just as certain decisions decades ago helped
to contact your political representatives is through e-mail or a     communications and media platforms serve public interest
website, then those offline become increasingly disenfranchised.     goals. This plan is the first attempt to provide that understand-
   Until recently, not having broadband was an inconvenience.        ing—to clarify the choices and to point to paths by which all
Now, broadband is essential to opportunity and citizenship.          Americans can benefit.




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                                               chapter 1 endnotes
1   See The Pacific Railroad Act of July 1, 1862 § 5, 12          10 See bureau Of labOr stat., OccupatiOnal prOjectiOns          18 Letter from Kathy Martinez, Exec. Director, World
    Stat. 489, 492–93, available at http://memory.loc.gov/           and traininG data, 2008–2009 editiOn (2008),                    Inst. on Disability, to Michael J. Copps, FCC Acting
    cgi-bin/ampage?collId=llsl&fileName=012/llsl012.                 available at http://www.bls.gov/emp/optd/optd_archive.          Chairman, and Commission Members, GN Docket No.
    db&recNum=524.                                                   htm (download from link).                                       09-51 (June 1, 2009) at 1–2.
2   See Federal Highway Administration, Eisenhower                11 Horrigan, Broadband Adoption and Use in America at 5.        19 See, e.g., Mitch Waldrop, DARPA and the Internet
    Interstate Highway System—Frequently Asked                    12 Cathy Schoen et al., Survey of Primary Care Physicians          Revolution, in darpa: 50 years Of bridGinG the Gap
    Questions, http://www.fhwa.dot.gov/interstate/faq.               in Eleven Countries, 28 health aff. w1171 (2009),               83 (2008), available at http://www.darpa.mil/Docs/
    htm#question7 (last visited Feb. 12, 2010).                      available at http://content.healthaffairs.org/cgi/              Internet_Development_200807180909255.pdf.
3   Communications Act of 1934, Pub. L. No. 73-416, 48               reprint/28/6/w1171?ijkey=46Z9Be2ia7vm6&keytyp                20 See, e.g., Amendment of Section 64.702 of the
    Stat. 1064 (codified, as amended, at 47 U.S.C. § 151 et          e=ref&siteid=healthaff (requires purchase). Count of            Commission’s Rules and Regulations (Second Computer
    seq.).                                                           14 functions includes: (1) electronic medical record; (2,       Inquiry), Final Decision, 77 F.C.C.2d 384 (1980)
4   American Recovery and Reinvestment Act of 2009, Pub.             3) electronic prescribing and ordering of tests; (4–6)          (regulatorily separating “basic” from “enhanced”
    L. No. 111-5, § 6001(k)(2)(D), 123 Stat. 115, 516 (2009)         electronic access to test results, Rx alerts, and clinical      services to prevent owners of telecommunications
    (Recovery Act).                                                  notes; (7–10) computerized system for tracking lab              infrastructure from impeding upon enhanced
5   See John Horrigan, Broadband Adoption and Use in                 tests, guidelines, alerts to provide patients with test         service growth); MTS and WATS Market Structure,
    America 13 (OBI Working Paper No. 1, 2010) (Horrigan,            results, and preventive/follow-up care reminders; and           Memorandum Opinion and Order, 97 F.C.C.2d 682,
    Broadband Adoption and Use in America) (finding that             (11–14) computerized list of patients by diagnosis, by          paras. 76–83 (1983) (allowing an exemption for
    only 67% of households have broadband).                          medications, and due for tests or preventive care.              access charges for enhanced service providers (ESP));
6   See Omnibus brOadband initiative (Obi), the brOadband         13 Richard Hillestad et all., Can Electronic Medical Record        Amendments of Part 69 of the Commission’s Rules
    availability Gap (forthcoming); In general, availability         Systems Transform Healthcare? Potential Health                  Relating to Enhanced Service Providers, CC Docket No.
    of access infrastructure capable of supporting a given           Benefits, Savings, and Costs, 24 health aff. 1103,              87-215, Order, 3 FCC Rcd 2631 (1988) (making the ESP
    download speed does not guarantee that service providers         1103 (Sept./Oct. 2005), available at http://content.            access charge exemption permanent).
    will offer service at those speeds. Note that these numbers      healthaffairs.org/cgi/reprint/24/5/1103.                     21 Cable Television Consumer Protection and Competition
    do not take into account quality of service.                  14 pacific nOrthWest nat’l lab. (pnnl), dOe, smart                 Act of 1992, Pub. L. No. 102-385, 106 Stat. 1460 (1992)
7   Horrigan, Broadband Adoption and Use in America                  Grid: an estimatiOn Of the enerGy and cO2 benefits              (codified at 47 U.S.C. § 533).
    at 33. Since 75% of families have broadband at home,             (2009), available at http://www.pnl.gov/main/                22 See Omnibus Budget Reconciliation Act of 1993, Pub.
    25% of families do not. According to the U.S. Bureau             publications/external/technical_reports/PNNL-19112;             L. No. 103-66, Title VI, § 6002(b), 107 Stat. 312 (1993)
    of the Census, 17.4% of the U.S. population is between           pdf. emissiOn facts: GreenhOuse Gas emissiOns frOm a            (amending the Communications Act of 1934 and
    the ages of 5 and 17. 17.4% of 305 million (total U.S.           typical passenGer vehicle (2005) (providing epa auto            codified at 47 U.S.C. §§ 153(n), 332(c)(1)).
    population estimate) is 53 million people. 25% of                emission facts), available at http://www.epa.gov/OMS/
    53 million is approximately 13 million. Population               climate/420f05004.pdf.
    estimates come from U.S. Census Bureau, 2006–2008             15 Marsha Lovett et al., The Open Learning Initiative:
    American Community Survey 3-Year Estimates—Data                  Measuring the Effectiveness of the OLI Statistics Course
    Profile Highlights, http://factfinder.census.gov/servlet/        in Accelerating Student Learning, j. interact. media
    ACSSAFFFacts.                                                    in educ., May 2008, available at http://jime.open.

8   Natalie Carlson, National Survey Finds Kids Give                 ac.uk/2008/14/jime-2008-14.pdf; Joel Smith, Vice
    High Marks to High Speed, hispanic prWire (Apr.                  Provost and CIO, Carnegie Mellon Univ., Remarks at
    2007), available at http://www.hispanicprwire.com/               FCC Education Workshop (Aug. 20, 2009), available
    generarnews.php?1=in&id=2774&cha=0.                              at http://www.broadband.gov/docs/ws_education/
9   See Pew Research Center, Pew Internet & American Life            ws_education_smith.pdf.
    Project, Data Sets, June 2003 and March 2007, http://         16 richard fry, peW research center., cOlleGe
    pewInternet.org/Data-Tools/Download-Data/                        enrOllment hits all-time hiGh, fueled by
    Data-Sets.aspx. (see variable BBW, which is the                  cOmmunity cOlleGe surGe (2009), available at http://
    percentage of people saying they use broadband at work.          pewsocialtrends.org/assets/pdf/college-enrollment.pdf.
    The calculation compared the number of Americans              17 brian l. haWkins & julia a. rudy, educause, fiscal
    saying they used broadband at work in 2003 to the                year 2007 summary repOrt 35/29, available at http://
    number saying they used broadband at work in 2007.).             net.educause.edu/ir/library/pdf/PUB8005.pdf.




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  goAls for
    A high-
PerformAnCe
   AmeriCA
          chapter 2




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the mIssIon of thIs plan is to create a high-performance america—a more productive, cre-
ative, efficient america in which affordable broadband is available everywhere and everyone has
the means and skills to use valuable broadband applications.
The importance of broadband continues to grow around the               GoaL No. 1: at least 100 million u.s. homes should have
world. High-performing companies, countries and citizens are           affordable access to actual download speeds of at least 100
using broadband in new, more effective ways. Some countries have       megabits per second and actual upload speeds of at least 50
recognized this already and are trying to get ahead of the curve.      megabits per second.
South Korea, Japan, Australia, Sweden, Finland and Germany,                The United States must lead the world in the number of
among others, have already developed broadband plans.                  homes and people with access to affordable, world-class broad-
   A high-performance America cannot stand by as other coun-           band connections. As such, 100 million U.S. homes should have
tries charge into the digital era. In the country where the Internet   affordable access to actual download speeds of at least 100
was born, we cannot watch passively while other nations lead           Mbps and actual upload speeds of at least 50 Mbps by 2020.
the world in its utilization. We should be the leading exporter of     This will create the world’s most attractive market for broad-
broadband technology—high-value goods and services that drive          band applications, devices and infrastructure.
enduring economic growth and job creation. And we should be the            The plan has recommendations to foster competition, drive
leading user of broadband-enabled technologies that help busi-         demand for increased network performance and lower the cost
nesses increase their productivity, help government improve its        of deploying infrastructure. These recommendations include
openness and efficiency, and give consumers new ways to commu-         providing consumers with information about the actual per-
nicate, work and entertain themselves.                                 formance of broadband services, reviewing wholesale access
   To ensure we lead the world, this plan addresses the trou-          policies and conducting more thorough data collection to mon-
bling gaps and unrealized opportunities in broadband in                itor and benchmark competitive behavior. Reforming access to
America by recommending ways federal, state and local govern-          rights-of-way can lower the cost of upgrades and entry for all
ments can unleash private investment, innovation, lower prices         firms. Increased spectrum availability and use for backhaul can
and better options for consumers. Its recommendations fall             enable more capable wireless networks that will drive wired
into four general categories:                                          providers to improve network performance and ensure service
➤ Design policies to ensure robust competition and, as                 is affordable.
    a result, maximize consumer welfare, innovation and                    Government can also help create demand for more broad-
    investment.                                                        band by enabling new applications across our most important
➤ Ensure efficient allocation and management of assets                 national priorities, including health care, education and
    government controls or influences, such as spectrum, poles,        energy, and by ensuring consumers have full control of their
    and rights-of-way, to encourage network upgrades and               personal data.
    competitive entry.                                                     As a milestone, by 2015, 100 million U.S. homes should have
➤ Reform current universal service mechanisms to support               affordable access to actual download speeds of 50 Mbps and
    deployment of broadband and voice in high-cost areas; and          actual upload speeds of 20 Mbps.
    ensure that low-income Americans can afford broadband; and
    in addition, support efforts to boost adoption and utilization.    GoaL No. 2: the united states should lead the world in
➤ Reform laws, policies, standards and incentives to maxi-             mobile innovation, with the fastest and most extensive
    mize the benefits of broadband in sectors government influ-        wireless networks of any nation.
    ences significantly, such as public education, health care            Mobile broadband is growing at unprecedented rates. From
    and government operations.                                         smartphones to app stores to e-book readers to remote pa-
                                                                       tient monitoring to tracking goods in transit and more, mobile
   Across these categories, this plan offers recommendations           services and technologies are driving innovation and playing
for the Federal Communications Commission (FCC), the                   an increasingly important role in our lives and our economy.
Executive Branch, Congress, states and other parties. But to           Mobile broadband is the next great challenge and opportunity
ensure we are on the right path, the country should set long-          for the United States. It is a nascent market in which the United
term goals and benchmarks to chart our progress. The plan              States should lead.
recommends that the country set the following six goals for               Spectrum policy is the most important lever government has
2020 to serve as a compass over the next decade.                       to help ensure wireless and mobile broadband thrive. Efficient


                                        Federal communications commission | national br oadb and Pl an                                 9
a m e r i ca’ s P l a n c H a P t e r 2




allocation of spectrum consistent with the public interest will            access to relevant, age-appropriate digital literacy education,
maximize its value to society. It will lower network deployment            for free, in whatever language they speak, and we neeed to cre-
costs, making it easier for new companies to compete and en-               ate a Digital Literacy Corps.
abling lower prices, more investment and better performance.                  Achieving this goal will likely lead to an adoption rate higher
   Today, the FCC has only 50 megahertz of spectrum in the                 than 90% by 2020 and reduced differences in broadband adop-
pipeline that it can assign for broadband use, just a fraction of          tion among demographic groups.
the amount that will be necessary to match growing demand. As                 To the end, government can make broadband more acces-
a result, companies representing 5% of the U.S. economy asked              sible to people with disabilities. It can also work with Tribal
the FCC to make more spectrum available for mobile broad-                  governments to finally improve broadband deployment and
band, saying that “without more spectrum, America’s global                 adoption on Tribal lands.3 And it can ensure small businesses—
leadership in innovation and technology is threatened.”1                   many of which are owned by women and minorities—have the
   To achieve this goal of leading the world in mobile broad-              opportunity to purchase broadband service at reasonable rates.
band, the plan recommends making 500 megahertz of
spectrum newly available for broadband by 2020, with a bench-              GoaL No. 4: every american community should have af-
mark of making 300 megahertz available by 2015. In addition,               fordable access to at least 1 gigabit per second broadband
we should ensure greater transparency in spectrum allocation               service to anchor institutions such as schools, hospitals and
and utilization, reserve spectrum for unlicensed use and make              government buildings.
more spectrum available for opportunistic and secondary uses.                 Schools, libraries and health care facilities must all have the
                                                                           connectivity they need to achieve their purposes. This connec-
GoaL No. 3: every american should have affordable access                   tivity can unleash innovation that improves the way we learn,
to robust broadband service, and the means and skills to                   stay healthy and interact with government.
subscribe if they so choose.                                                  If this plan succeeds, every American community will have
    Not having access to broadband applications limits an                  affordable access to far better broadband performance than
individual’s ability to participate in 21st century American               they enjoy today. To do so, the plan makes recommendations
life. Health care, education and other important aspects of                about reforming the E-rate and the Rural Health Care support
American life are moving online. What’s more, government                   programs. Second, non-profit and public institutions should
services and democratic participation are shifting to digital              be able to find efficient alternatives for greater connectivity
platforms. This plan recommends government use the Internet                through aggregated efforts.
to increase its own transparency and make more of its data                    What’s more, unleashing the power of new broadband appli-
available online. Getting everyone online will improve civic               cations to solve previously intractable problems will drive new
engagement—a topic this plan also addresses by recommending                connectivity demands. The plan makes numerous recommen-
a more robust digital public ecosystem.                                    dations, including reforming incentive structures, licensing and
    Three requirements must be satisfied to ensure every                   data interoperability, to ensure public priorities take advantage
American can take advantage of broadband. First, every American            of the benefits broadband networks, applications and devices
home must have access to network services. Second, every house-            offer. If they are implemented, demand for connectivity in hos-
hold should be able to afford that service. Third, every American          pitals, schools, libraries and government buildings will soar.
should have the opportunity to develop digital skills.                        In some communities, gigabit connectivity may not be
    The plan recommends reforming existing support mecha-                  limited to anchor institutions. Certain applications could
nisms to foster deployment of broadband in high-cost areas:                also require ultra-high-speed connectivity at home. And once
specifically, the Universal Service Fund and intercarrier                  community anchors are connected to gigabit speeds, it would
compensation. The plan outlines a 10-year, three-stage course              presumably become less expensive and more practical to get
of action to transform these programs to connect those who do              the same speeds to homes.
not have access to adequate broadband infrastructure.2 Rather
than add new burdens to the already strained contribution                  GoaL No. 5: to ensure the safety of the american people,
base, we must make the tough choice to shift existing support              every first responder should have access to a nationwide,
that is not advancing public policy goals in order to directly             wireless, interoperable broadband public safety network.
focus those resources on communities unserved by broadband.                   In June 2004, the 9/11 Commission released its final report
    To promote affordability, this plan also proposes extending            about events of September 11, 2001. The report found that “the
the Lifeline and Link-Up programs to support broadband. To                 inability to communicate was a critical element” at each of the
promote digital skills, we need to ensure every American has


10   F e d e r a l c o m m u n i c at i o n s c o m m i s s i o n | w w w. b r o a d b a n d.g o v
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Connecting America: The National Broadband Plan

  • 1. ConneCting AmeriCA: the nAtionAl BroAdBAnd PlAn
  • 2.
  • 3. a m e r i ca’ s P l a n ta b l e o F c o n t e n t s tABle of Contents List of Exhibits ........................................................................................................................................................................................................ vii Preface ....................................................................................................................................................................................................................... ix Executive Summary ................................................................................................................................................................................................ xi Chapter 1: Introduction ............................................................................................................................................................................................1 Chapter 2: Goals for a High Performance America ............................................................................................................................................ 7 Chapter 3: Current State of the Ecosystem ........................................................................................................................................................13 3.1 Applications ............................................................................................................................................................................................ 16 3.2 Devices .....................................................................................................................................................................................................18 3.3 Networks..................................................................................................................................................................................................18 3.4 Adoption and Utilization ..................................................................................................................................................................... 23 Part i—innovation and investment................................................................................................................................................................. 27 Chapter 4: Broadband Competition and Innovation Policy ........................................................................................................................... 33 4.1 Networks ................................................................................................................................................................................................. 36 4.2 Devices .................................................................................................................................................................................................... 49 4.3 Applications ........................................................................................................................................................................................... 52 4.4 Competition for Value Across the Ecosystem ................................................................................................................................. 58 4.5 Transition From A Circuit-Switched Network ............................................................................................................................... 59 4.6 Leveraging the Benefits of Innovation and Investment Internationally .................................................................................... 59 Chapter 5: Spectrum .............................................................................................................................................................................................. 73 5.1 The Growth of Wireless Broadband ................................................................................................................................................... 76 5.2 Ensuring Greater Transparency Concerning Spectrum Allocation and Utilization ................................................................ 79 5.3 Expanding Incentives and Mechanisms to Reallocate or Repurpose Spectrum ........................................................................81 5.4 Making More Spectrum Available within the Next 10 Years ....................................................................................................... 84 5.5 Increasing the Flexibility, Capacity and Cost-Effectiveness of Spectrum for Point-to-Point Wireless Backhaul Services .................................................................................................................................... 93 5.6 Expanding Opportunities for Innovative Spectrum Access Models ...........................................................................................94 5.7 Taking Additional Steps to Make U.S. Spectrum Policy More Comprehensive ........................................................................ 96 Federal communications commission | national br oadb and Pl an iii
  • 4. a m e r i ca’ s P l a n ta b l e o F c o n t e n t s Chapter 6: Infrastructure.................................................................................................................................................................................... 107 6.1 Improving Utilization of Infrastructure .......................................................................................................................................... 109 6.2 Maximizing Impact of Federal Resources .......................................................................................................................................114 Chapter 7: Research and Development .............................................................................................................................................................119 Part ii—inclusion ............................................................................................................................................................................................... 127 Chapter 8: Availability ......................................................................................................................................................................................... 133 8.1 The Broadband Availability Gap ....................................................................................................................................................... 136 8.2 Closing the Broadband Availability Gap ......................................................................................................................................... 138 8.3 Universal Service ................................................................................................................................................................................ 140 8.4 Other Government Actions to Promote Availability ................................................................................................................... 152 Chapter 9: Adoption and Utilization................................................................................................................................................................. 165 9.1 Understanding Broadband Adoption ............................................................................................................................................... 168 9.2 Addressing Cost Barriers to Broadband Adoption and Utilization ............................................................................................171 9.3 Addressing Digital Literacy Barriers to Broadband Adoption and Utilization ........................................................................174 9.4 Addressing Relevance Barriers to Broadband Adoption and Utilization ................................................................................. 178 9.5 Addressing Issues of Accessibility for Broadband Adoption and Utilization ..........................................................................181 9.6 Expanding Federal Support for Regional Broadband Capacity-Building, Program Evaluation and Sharing of Best Practices ............................................................................................................................................................................................... 182 9.7 Coordinating with Tribes On Broadband Issues .......................................................................................................................... 184 Part iii—national Purposes .............................................................................................................................................................................191 Chapter 10: Health Care ...................................................................................................................................................................................... 197 10.1 The Promise of Health IT and the Role of Broadband .............................................................................................................. 200 10.2 The Need for Action: Maximizing Health IT Utilization ......................................................................................................... 202 10.3 Closing the Broadband-Enabled Health IT Adoption Gap ...................................................................................................... 204 10.4 Unlocking the Value of Data ...........................................................................................................................................................207 10.5 Closing the Health IT Broadband Connectivity Gap ................................................................................................................ 209 Chapter 11: Education ..........................................................................................................................................................................................223 11.1 Supporting and Promoting Online Learning .................................................................................................................................227 11.2 Unlocking the Power of Data and Improving Transparency......................................................................................................233 11.3 Modernizing Educational Broadband Infrastructure.................................................................................................................235 Chapter 12: Energy and the Environment .......................................................................................................................................................245 12.1 Broadband and the Smart Grid........................................................................................................................................................249 12.2 Unleashing Innovation in Smart Homes and Buildings .............................................................................................................253 12.3 Sustainable Information and Communications Technology ....................................................................................................257 12.4 Smart Transportation ......................................................................................................................................................................258 iv F e d e r a l c o m m u n i c at i o n s c o m m i s s i o n | w w w. b r o a d b a n d.g o v
  • 5. a m e r i ca’ s P l a n ta b l e o F c o n t e n t s Chapter 13: Economic Opportunity ..................................................................................................................................................................263 13.1 Supporting Entrepreneurship and America’s Small Businesses ..............................................................................................266 13.2 Job Training and Workforce Development ..................................................................................................................................270 13.3 Promoting Telework ........................................................................................................................................................................272 13.4 Local and Regional Economic Development ...............................................................................................................................273 Chapter 14: Government Performance ............................................................................................................................................................. 281 14.1 Improving Connectivity Through Government Action ..............................................................................................................284 14.2 Improving Government Performance ...........................................................................................................................................285 Chapter 15: Civic Engagement ...........................................................................................................................................................................297 15.1 Creating An Open and Transparent Government ....................................................................................................................... 300 15.2 Building A Robust Digital Media Ecosystem .............................................................................................................................. 302 15.3 Expanding Civic Engagement Through Social Media ................................................................................................................305 15.4 Increasing Innovation in Government ......................................................................................................................................... 306 15.5 Modernizing the Democratic Process ......................................................................................................................................... 306 Chapter 16: Public Safety .....................................................................................................................................................................................311 16.1 Promoting Public Safety Wireless Broadband Communications ............................................................................................. 314 16.2 Promoting Cybersecurity and Protecting Critical Infrastructure .......................................................................................... 320 16.3 Leveraging Broadband Technologies to Enhance Emergency Communications with the Public .....................................323 Chapter 17: Implementation and Benchmarks ............................................................................................................................................... 331 17.1 Implementation .................................................................................................................................................................................333 17.2 Benchmarking ....................................................................................................................................................................................335 17.3 The Legal Framework for the FCC’s Implementation of the Plan ...........................................................................................337 17.4 Conclusion ..........................................................................................................................................................................................338 appendices ........................................................................................................................................................................................................... 341 Appendix A: BTOP Progress Assessment ........................................................................................................................................................363 Appendix B: Common Abbreviations ...............................................................................................................................................................367 Appendix C: Glossary........................................................................................................................................................................................... 371 Appendix D: List of Workshops and Field Hearings ...................................................................................................................................... 375 Appendix E: List of National Broadband Plan Contributors........................................................................................................................ 377 Federal communications commission | national br oadb and Pl an v
  • 6.
  • 7. a m e r i ca’ s P l a n l i st o F e X H i b i t s list of exhiBits Exhibit 3-A: Forces Shaping the Broadband Ecosystem in the United States ..................................................................................... 15 Exhibit 3-B: Percentage of Home Broadband Users Who Have Ever Engaged in Selected Online Activities .............................. 16 Exhibit 3-C: Actual Download Speeds Necessary to Run Concurrent Applications (Mbps) ........................................................... 17 Exhibit 3-D: Availability of 4 Mbps-Capable Broadband Networks in the United States by County ............................................. 19 Exhibit 3-E: Announced Upgrades to the U.S. Fixed Broadband Network (Millions of households covered) ............................. 20 Exhibit 3-F: Timeline of Fixed Broadband Industry Network Upgrades ............................................................................................. 21 Exhibit 3-G: Advertised Versus Actual U.S. Fixed Broadband Residential Download Speeds (Mbps) ........................................... 21 Exhibit 3-H: Announced Upgrades to the U.S. Mobile Broadband Network (Persons covered) ..................................................... 22 Exhibit 3-I: Broadband Adoption by American Adults by Socio-Economic and Demographic Factors ...................................... 23 Exhibit 4-A: Share of Housing Units in Census Tracts with 0, 1, 2, and 3 Wireline Providers .........................................................37 Exhibit 4-B: Average Top Advertised Speed in Areas with 1, 2 and 3 Wireline Competitors .......................................................... 38 Exhibit 4-C: Select Fixed Broadband Infrastructure Upgrades ........................................................................................................... 39 Exhibit 4-D: Price Indices for Broadband Advertised as a Standalone Service and as Part of a Bundle (2006 = 1) ................... 40 Exhibit 4-E: Share of Population Living in Census Tracts with 0, 1, 2, 3 or More 3G Mobile Providers ....................................... 40 Exhibit 4-F: Evolution of Spectral Efficiency ...........................................................................................................................................41 Exhibit 4-G: Projected Share of Households with Access to Various Wireline Broadband Technologies in 2012 ...................... 42 Exhibit 4-H: Broadband Speeds Advertised by Cable and Telco 2004–2009..................................................................................... 43 Exhibit 4-I: Simplified View of Internet Network and Connections .................................................................................................. 45 Exhibit 4-J: Illustrative Broadband Speed and Performance Digital Labels ..................................................................................... 46 Exhibit 5-A: Forecasted Mobile Data Traffic in North America ............................................................................................................76 Exhibit 5-B: Selected Announced Upgrades to the U.S. Mobile Broadband Network (Persons covered) .....................................77 Exhibit 5-C: Time Required Historically to Reallocate Spectrum ....................................................................................................... 79 Exhibit 5-D: The Spectrum Dashboard: An Interactive Tool for Browsing Spectrum Bands .......................................................... 80 Exhibit 5-E: Actions and Timeline to Fulfill 300 Megahertz Goal by 2015 ........................................................................................ 84 Exhibit 5-F: Spectrum Baseline .................................................................................................................................................................. 85 Exhibit 5-G: Broadband-Capable MSS Bands ...........................................................................................................................................87 Exhibit 6-A: Annual Pole Rates Vary Considerably by Provider Type ................................................................................................ 110 Exhibit 6-B: Joint Deployment Can Materially Reduce the Cost of Fiber Deployment ................................................................. 114 Federal communications commission | national br oadb and Pl an vii
  • 8. a m e r i ca’ s P l a n l i st o F e X H i b i t s Exhibit 8-A: Universalization Goals in Selected Countries ..................................................................................................................135 Exhibit 8-B: The Present Value (in 2010 Dollars) of the Broadband Availability Gap is $24 Billion ...........................................137 Exhibit 8-C: The Most Expensive Unserved Housing Units Represent a Disproportionate Share of the Total Gap .................138 Exhibit 8-D: Existing Sources of Federal Support for Communications Connectivity ...................................................................139 Exhibit 8-E: The Federal Universal Service Fund ................................................................................................................................. 140 Exhibit 8-F: Roadmap for USF/ICC Reform ...........................................................................................................................................144 Exhibit 9-A: Broadband Adoption Among Certain Demographic Groups .........................................................................................167 Exhibit 10-A: International Comparison of Electronic Health Adoption ........................................................................................... 203 Exhibit 10-B: Health Data File Sizes .......................................................................................................................................................... 210 Exhibit 10-C: Required Broadband Connectivity and Quality Metrics (Actual) .............................................................................. 210 Exhibit 10-D: Estimate of Small Physician Locations Without Mass-Market Broadband Availability ......................................... 211 Exhibit 10-E: Wide Fluctuations in Dedicated Internet Access Prices (Monthly Service Cost in .................................................212 Exhibit 10-F: Estimated Health Care Locations Without Mass-Market Broadband Availability (Percent of locations for each delivery setting)................................................................................................................213 Exhibit 10-G: 2009 Rural Health Care Program Spending ....................................................................................................................214 Exhibit 11-A: Programme for International Student Assessment (PISA) Rankings Show the United States Trailing Other Organisation for Economic Co-operation and Development (OECD) Countries .................................................... 225 Exhibit 11-B: Carnegie Mellon Online Learning Initiative ................................................................................................................... 228 Exhibit 11-C: Florida Virtual Schools Students Taking Distance-Learning Courses Get Higher AP Scores ............................... 229 Exhibit 11-D: Proposed Copyright Notice Permitting Free Educational Use .................................................................................... 230 Exhibit 12-A : California Independent System Operator (ISO) System Load Profiles in Various Plug-in Hybrid Electric Vehicle (PHEV) Deployment Scenarios................................................................. 250 Exhibit 14-A: The U.S. Citizenship and Immigration Services Dashboard ..........................................................................................291 Exhibit 16-A : Public Safety Broadband Network Architecture ..............................................................................................................314 Exhibit 16-B : Public Safety Network and Solutions .................................................................................................................................318 Exhibit 16-C: Selection of Proposed Broadband Applications and Services for the Public Safety Broadband Network ............319 Exhibit 16-D : The Cyber World ....................................................................................................................................................................321 Exhibit 16-E : Call Flow in NG911 ............................................................................................................................................................... 323 Exhibit 16-F : NG911 Will Enable the Public to Access 911 Through Text Messaging (SMS) and Other Formats ...................... 324 Exhibit 16-G : Physical Architectures of Current and Next-Generation 911 ....................................................................................... 324 Exhibit 17-A: Broadband Goals and Performance Dashboard Sample ................................................................................................ 336 viii F e d e r a l c o m m u n i c at i o n s c o m m i s s i o n | w w w. b r o a d b a n d.g o v
  • 9. a m e r i ca’ s P l a n P r e Fa c e PrefACe The staff of the Federal Communications Commission (FCC) created the National Broadband Plan. To an extraordi- nary extent, however, the author of this plan is America itself. The FCC started the process of creating this plan with a Notice of Inquiry in April 2009. Thirty-six public work- shops held at the FCC and streamed online, which drew more than 10,000 in-person or online attendees, provided the framework for the ideas contained within the plan. These ideas were then refined based on replies to 31 public notices, which generated some 23,000 comments totaling about 74,000 pages from more than 700 parties. The FCC also received about 1,100 ex parte filings totaling some 13,000 pages and nine public hearings were held throughout the country to further clarify the issues addressed in the plan. The FCC also engaged in significant collaboration and conversations with other government agencies and Congress, since the scope of the plan included many issues outside of the FCC’s traditional expertise. Many people from across government contributed expertise and advice along the way, for which the FCC staff is eternally grateful. The Internet also provided new ways to involve the public. Through an innovative Web presence at www.broadband.gov, the FCC posted more than 130 blog entries and received nearly 1,500 comments in return. The FCC’s Twitter feed now has more than 330,000 followers, making it the third most popular government Twitter feed after the White House and the Centers for Disease Control. The FCC staff digested this extensive record and worked long hours analyzing and debating the record. Every comment cannot be referenced in the plan, but they were all read, considered and valued. Public comment on the plan does not end here. The record will guide the path forward through the rulemaking process at the FCC, in Congress and across the Executive Branch, as all consider how best to implement the plan’s recommendations. The public will continue to have opportunities to provide further input all along this path. This is America’s plan, written by and for Americans. It’s now time to act and invest in our nation’s future by bringing the power and promise of broadband to us all. THE OMNIBUS BROADBAND INITIATIVE (OBI) Federal communications commission | national br oadb and Pl an ix
  • 10.
  • 11. a m e r i ca’ s P l a n e X ec u t i v e su m m a ry exeCUtiVe sUmmArY Broadband is the great infrastructure challenge of the early Broadband networks only create value to consumers and 21st century. businesses when they are used in conjunction with broadband- Like electricity a century ago, broadband is a foundation capable devices to deliver useful applications and content. To for economic growth, job creation, global competitiveness and fulfill Congress’s mandate, the plan seeks to ensure that the entire a better way of life. It is enabling entire new industries and broadband ecosystem—networks, devices, content and applica- unlocking vast new possibilities for existing ones. It is changing tions—is healthy. It makes recommendations to the FCC, the how we educate children, deliver health care, manage energy, Executive Branch, Congress and state and local governments. ensure public safety, engage government, and access, organize and disseminate knowledge. The Plan Fueled primarily by private sector investment and innova- Government can influence the broadband ecosystem in four ways: tion, the American broadband ecosystem has evolved rapidly. 1. Design policies to ensure robust competition and, as a The number of Americans who have broadband at home has result maximize consumer welfare, innovation and grown from eight million in 2000 to nearly 200 million last investment. year. Increasingly capable fixed and mobile networks allow 2. Ensure efficient allocation and management of assets Americans to access a growing number of valuable applications government controls or influences, such as spectrum, poles, through innovative devices. and rights-of-way, to encourage network upgrades and com- But broadband in America is not all it needs to be. petitive entry. Approximately 100 million Americans do not have broadband 3. Reform current universal service mechanisms to support at home. Broadband-enabled health information technology deployment of broadband and voice in high-cost areas; and (IT) can improve care and lower costs by hundreds of billions ensure that low-income Americans can afford broadband; of dollars in the coming decades, yet the United States is behind and in addition, support efforts to boost adoption and many advanced countries in the adoption of such technology. utilization. Broadband can provide teachers with tools that allow students 4. Reform laws, policies, standards and incentives to maxi- to learn the same course material in half the time, but there is a mize the benefits of broadband in sectors government influ- dearth of easily accessible digital educational content required ences significantly, such as public education, health care for such opportunities. A broadband-enabled Smart Grid could and government operations. increase energy independence and efficiency, but much of the data required to capture these benefits are inaccessible to consumers, 1. establishing competition policies. Policymakers, including businesses and entrepreneurs. And nearly a decade after 9/11, our the FCC, have a broad set of tools to protect and encour- first responders still lack a nationwide public safety mobile broad- age competition in the markets that make up the broadband band communications network, even though such a network could ecosystem: network services, devices, applications and content. improve emergency response and homeland security. The plan contains multiple recommendations that will foster competition across the ecosystem. They include the following: Fulfilling the Congressional Mandate ➤ collect, analyze, benchmark and publish detailed, In early 2009, Congress directed the Federal Communications market-by-market information on broadband pric- Commission (FCC) to develop a National Broadband Plan to ing and competition, which will likely have direct impact ensure every American has “access to broadband capability.” on competitive behavior (e.g., through benchmarking of Congress also required that this plan include a detailed strategy pricing across geographic markets). This will also enable for achieving affordability and maximizing use of broadband to the FCC and other agencies to apply appropriate remedies advance “consumer welfare, civic participation, public safety and when competition is lacking in specific geographies or homeland security, community development, health care deliv- market segments. ery, energy independence and efficiency, education, employee ➤ develop disclosure requirements for broadband service training, private sector investment, entrepreneurial activity, job providers to ensure consumers have the pricing and perfor- creation and economic growth, and other national purposes.” mance information they need to choose the best broadband Federal communications commission | national br oadb and Pl an xi
  • 12. a m e r i ca’ s P l a n e X ec u t i v e su m m a ry offers in the market. Increased transparency will incent investment and benefit consumers through better perfor- service providers to compete for customers on the basis of mance and lower prices. The recommendations on spec- actual performance. trum policy include the following: ➤ undertake a comprehensive review of wholesale compe- ➤ make 500 megahertz of spectrum newly available tition rules to help ensure competition in fixed and mobile for broadband within 10 years, of which 300 megahertz broadband services. should be made available for mobile use within five ➤ Free up and allocate additional spectrum for unlicensed years. use, fostering ongoing innovation and competitive entry. ➤ enable incentives and mechanisms to repurpose ➤ update rules for wireless backhaul spectrum to increase spectrum to more flexible uses. Mechanisms include capacity in urban areas and range in rural areas. incentive auctions, which allow auction proceeds to be ➤ expedite action on data roaming to determine how best shared in an equitable manner with current licensees to achieve wide, seamless and competitive coverage, en- as market demands change. These would benefit both courage mobile broadband providers to construct and build spectrum holders and the American public. The public networks, and promote entry and competition.  could benefit from additional spectrum for high-de- ➤ change rules to ensure a competitive and innovative mand uses and from new auction revenues. Incumbents, video set-top box market, to be consistent with Section meanwhile, could recognize a portion of the value of en- 629 of the Telecommunications Act. The Act says that the abling new uses of spectrum. For example, this would al- FCC should ensure that its rules achieve a competitive low the FCC to share auction proceeds with broadcast- market in video “navigation devices,” or set-top boxes—the ers who voluntarily agree to use technology to continue devices consumers use to access much of the video they traditional broadcast services with less spectrum. watch today. ➤ ensure greater transparency of spectrum allocation, ➤ clarify the congressional mandate allowing state and assignment and use through an FCC-created spectrum local entities to provide broadband in their commu- dashboard to foster an efficient secondary market. nities and do so in ways that use public resources more ➤ expand opportunities for innovative spectrum ac- effectively. cess models by creating new avenues for opportunistic ➤ clarify the relationship between users and their online and unlicensed use of spectrum and increasing research profiles to enable continued innovation and competi- into new spectrum technologies. tion in applications and ensure consumer privacy, ➤ infrastructure such as poles, conduits, rooftops and rights- including the obligations of firms collecting personal of-way play an important role in the economics of broad- information to allow consumers to know what information band networks. Ensuring service providers can access these is being collected, consent to such collection, correct it if resources efficiently and at fair prices can drive upgrades necessary, and control disclosure of such personal informa- and facilitate competitive entry. In addition, testbeds can tion to third parties. drive innovation of next-generation applications and, ulti- mately, may promote infrastructure deployment. Recom- 2. ensuring efficient allocation and use of government- mendations to optimize infrastructure use include: owned and government-influenced assets. Government ➤ establish low and more uniform rental rates for ac- establishes policies for the use of spectrum and oversees access cess to poles, and simplify and expedite the process for to poles, conduits, rooftops and rights-of-way, which are used service providers to attach facilities to poles. in the deployment of broadband networks. Government also ➤ improve rights-of-way management for cost and finances a large number of infrastructure projects. Ensuring time savings, promote use of federal facilities for these assets and resources are allocated and managed effi- broadband, expedite resolution of disputes and identify ciently can encourage deployment of broadband infrastructure and establish “best practices” guidelines for rights-of- and lower barriers to competitive entry. The plan contains a way policies and fee practices that are consistent with number of recommendations to accomplish these goals. They broadband deployment. include the following: ➤ Facilitate efficient new infrastructure construction, ➤ spectrum is a major input for providers of broadband including through “dig-once” policies that would make service. Currently, the FCC has only 50 megahertz in inven- federal financing of highway, road and bridge projects tory, just a fraction of the amount that will be necessary contingent on states and localities allowing joint de- to match growing demand. More efficient allocation and ployment of broadband infrastructure. assignment of spectrum will reduce deployment costs, drive xii F e d e r a l c o m m u n i c at i o n s c o m m i s s i o n | w w w. b r o a d b a n d.g o v
  • 13. a m e r i ca’ s P l a n e X ec u t i v e su m m a ry ➤ Provide ultra-high-speed broadband connectivity to ➤ expand the lifeline and link-up programs by allowing select u.s. department of defense installations to subsidies provided to low-income americans to be used enable the development of next-generation broadband for broadband. applications for military personnel and their families ➤ consider licensing a block of spectrum with a condi- living on base. tion to offer free or low-cost service that would create affordable alternatives for consumers, reducing the 3. creating incentives for universal availability and adop- burden on USF. tion of broadband. Three elements must be in place to ➤ ensure every american has the opportunity to become ensure all Americans have the opportunity to reap the benefits digitally literate. of broadband. All Americans should have access to broad- ➤ launch a national digital literacy corps to organize band service with sufficient capabilities, all should be able and train youth and adults to teach digital literacy skills to afford broadband and all should have the opportunity to and enable private sector programs addressed at break- develop digital literacy skills to take advantage of broadband. ing adoption barriers. Recommendations to promote universal broadband deploy- ment and adoption include the following: 4. updating policies, setting standards and aligning in- ➤ ensure universal access to broadband network services. centives to maximize use for national priorities. Federal, ➤ create the connect america Fund (caF) to support Tribal, state and local governments play an important role the provision of affordable broadband and voice with in many sectors of our economy. Government is the largest at least 4 Mbps actual download speeds and shift up to health care payor in the country, operates the public education $15.5 billion over the next decade from the existing Uni- system, regulates many aspects of the energy industry, provides versal Service Fund (USF) program to support broad- multiple services to its citizens and has primary responsibility band. If Congress wishes to accelerate the deployment for homeland security. The plan includes recommendations of broadband to unserved areas and otherwise smooth designed to unleash increased use, private sector investment the transition of the Fund, it could make available and innovation in these areas. They include the following: public funds of a few billion dollars per year over two to ➤ Health care. Broadband can help improve the quality and three years. lower the cost of health care through health IT and improved ➤ create a mobility Fund to provide targeted fund- data capture and use, which will enable clearer understand- ing to ensure no states are lagging significantly behind ing of the most effective treatments and processes. To the national average for 3G wireless coverage. Such 3G achieve these objectives, the plan has recommendations that coverage is widely expected to be the basis for the future will: footprint of 4G mobile broadband networks. ➤ Help ensure health care providers have access to afford- ➤ transition the “legacy” High-cost component of the able broadband by transforming the FCC’s Rural Health usF over the next 10 years and shift all resources to the Care Program. new funds. The $4.6 billion per year High Cost compo- ➤ Create incentives for adoption by expanding reimburse- nent of the USF was designed to support primarily voice ment for e-care. services. It will be replaced over time by the CAF. ➤ Remove barriers to e-care by modernizing regulations ➤ reform intercarrier compensation, which provides like device approval, credentialing, privileging and implicit subsidies to telephone companies by elimi- licensing. nating per-minute charges over the next 10 years and ➤ Drive innovative applications and advanced analytics enabling adequate cost recovery through the CAF. by ensuring patients have control over their health data ➤ design the new connect america Fund and mobility and ensuring interoperability of data. Fund in a tax-efficient manner to minimize the size ➤ education. Broadband can enable improvements in public of the broadband availability gap and thereby reduce education through e-learning and online content, which can contributions borne by consumers. provide more personalized learning opportunities for stu- ➤ broaden the usF contribution base to ensure USF dents. Broadband can also facilitate the flow of information, remains sustainable over time. helping teachers, parents, schools and other organizations to ➤ create mechanisms to ensure affordability to low-in- make better decisions tied to each student’s needs and abili- come americans. ties. To those ends, the plan includes recommendations to: Federal communications commission | national br oadb and Pl an xiii
  • 14. a m e r i ca’ s P l a n e X ec u t i v e su m m a ry ➤ Improve the connectivity to schools and libraries by up- ecosystem and modernizing the democratic process. grading the FCC’s E-Rate program to increase flexibility, ➤ Public safety and homeland security. Broadband can bol- improve program efficiency and foster innovation by pro- ster efforts to improve public safety and homeland security moting the most promising solutions and funding wireless by allowing first responders to send and receive video and connectivity to learning devices that go home with students. data, by ensuring all Americans can access emergency ser- ➤ Accelerate online learning by enabling the creation of vices and improving the way Americans are notified about digital content and learning systems, removing regula- emergencies. To achieve these objectives, the plan makes tory barriers and promoting digital literacy. recommendations to: ➤ Personalize learning and improve decision–making by ➤ Support deployment of a nationwide, interoperable fostering adoption of electronic educational records and public safety mobile broadband network, with fund- improving financial data transparency in education. ing of up to $6.5 billion in capital expenditures over 10 ➤ energy and the environment. Broadband can play a major years, which could be reduced through cost efficiency role in the transition to a clean energy economy. Ameri- measures and other programs. Additional funding will ca can use these innovations to reduce carbon pollution, be required for operating expenses. improve our energy efficiency and lessen our dependence ➤ Promote innovation in the development and deploy- on foreign oil. To achieve these objectives, the plan has ment of next-generation 911 and emergency alert recommendations that will: systems. ➤ Modernize the electric grid with broadband, making it ➤ Promote cybersecurity and critical infrastructure sur- more reliable and efficient. vivability to increase user confidence, trust and adop- ➤ Unleash energy innovation in homes and buildings by tion of broadband communications. making energy data readily accessible to consumers. ➤ Improve the energy efficiency and environmental im- Long-Term Goals pact of the ICT sector. In addition to the recommendations above, the plan recom- ➤ economic opportunity. Broadband can expand access mends that the country adopt and track the following six goals to jobs and training, support entrepreneurship and small to serve as a compass over the next decade. business growth and strengthen community development efforts. The plan includes recommendations to: goal no. 1: at least 100 million u.s. homes should have ➤ Support broadband choice and small businesses’ use of affordable access to actual download speeds of at least 100 broadband services and applications to drive job cre- megabits per second and actual upload speeds of at least 50 ation, growth and productivity gains. megabits per second. ➤ Expand opportunities for job training and placement through an online platform. goal no. 2: the united states should lead the world in ➤ Integrate broadband assessment and planning into eco- mobile innovation, with the fastest and most extensive nomic development efforts. wireless networks of any nation. ➤ government performance and civic engagement. Within government, broadband can drive greater efficiency and goal no. 3: every american should have affordable ac- effectiveness in service delivery and internal operations. It cess to robust broadband service, and the means and skills can also improve the quantity and quality of civic engage- to subscribe if they so choose. ment by providing a platform for meaningful engagement with representatives and agencies. Through its own use of goal no. 4: every american community should have broadband, government can support local efforts to deploy affordable access to at least 1 gigabit per second broadband broadband, particularly in unserved communities. To service to anchor institutions such as schools, hospitals achieve these goals, the plan includes recommendations to: and government buildings. ➤ Allow state and local governments to purchase broad- band from federal contracts such as Networx. goal no. 5: to ensure the safety of the american people, ➤ Improve government performance and operations every first responder should have access to a nationwide, through cloud computing, cybersecurity, secure authen- wireless, interoperable broadband public safety network. tication and online service delivery. ➤ Increase civic engagement by making government more goal no. 6: to ensure that america leads in the clean open and transparent, creating a robust public media energy economy, every american should be able to use xiv F e d e r a l c o m m u n i c at i o n s c o m m i s s i o n | w w w. b r o a d b a n d.g o v
  • 15. a m e r i ca’ s P l a n e X ec u t i v e su m m a ry broadband to track and manage their real-time energy implementation consumption. The plan is in beta, and always will be. Like the Internet itself, the plan will always be changing—adjusting to new developments in Meeting these six goals will help achieve the Congressional technologies and markets, reflecting new realities, and evolving to mandate of using broadband to achieve national purposes, realize the unforeseen opportunities of a particular time. while improving the economics of deployment and adoption. As such, implementation requires a long-term commitment In particular, the first two goals will create the world’s most to measuring progress and adjusting programs and policies to attractive market for broadband applications, devices and improve performance. infrastructure and ensure America has the infrastructure to at- Half of the recommendations in this plan are offered to the tract the leading communications and IT applications, devices FCC. To begin implementation, the FCC will: and technologies. The third goal, meanwhile, will ensure every ➤ Quickly publish a timetable of proceedings to implement American has the opportunity to take advantage of the benefits plan recommendations within its authority. broadband offers, including improved health care, better edu- ➤ Publish an evaluation of plan progress and effectiveness as cation, access to a greater number of economic opportunities part of its annual 706 Advanced Services Inquiry. and greater civic participation. ➤ Create a Broadband Data Depository as a public resource for broadband information. Budget impact of Plan Given the plan’s goal of freeing 500 megahertz of spectrum, The remaining half of the recommendations are offered to future wireless auctions mean the overall plan will be revenue the Executive Branch, Congress and state and local govern- neutral, if not revenue positive. The vast majority of recom- ments. Policymakers alone, though, cannot ensure success. mendations do not require new government funding; rather, Industry, non-profits, and government together with the they seek to drive improvements in government efficiency, American people, must now act and rise to our era’s infrastruc- streamline processes and encourage private activity to promote ture challenge. consumer welfare and national priorities. The funding requests relate to public safety, deployment to unserved areas and adoption efforts. If the spectrum auction recommendations are implemented, the plan is likely to offset the potential costs. Federal communications commission | national br oadb and Pl an xv
  • 16.
  • 17. a m e r i ca’ s P l a n c H a P t e r 1 introdUCtion chapter 1 Federal communications commission | national br oadb and Pl an 1
  • 18.
  • 19. a m e r i ca’ s P l a n c H a P t e r 1 In every era, amerIca must confront the challenge of connectIng our natIon anew. In the 1860s, we connected Americans to a transcontinental high-performance America—an America of universal opportu- railroad that brought cattle from Cheyenne to the stockyards of nity and unceasing innovation, an America that can continue Chicago. In the 1930s, we connected Americans to an elec- to lead the global economy, an America with world-leading, tric grid that improved agriculture and brought industry to broadband-enabled health care, education, energy, job training, the Smoky Mountains of Tennessee and the Great Plains of civic engagement, government performance and public safety. Nebraska. In the 1950s, we connected Americans to an inter- Due in large part to private investment and market-driven state highway system that fueled jobs on the line in Detroit and innovation, broadband in America has improved considerably in in the warehouse in L.A. the last decade. More Americans are online at faster speeds than Infrastructure networks unite us as a country, bringing ever before. Yet there are still critical problems that slow the together parents and children, buyers and sellers, and citizens progress of availability, adoption and utilization of broadband. and government in ways once unimaginable. Ubiquitous access Recognizing this, one year ago Congress echoed the to infrastructure networks has continually driven American in- Communications Act of 1934 and directed the FCC to develop a novation, progress, prosperity and global leadership. National Broadband Plan ensuring that every American has “ac- Communications infrastructure plays an integral role in cess to broadband capability.” Specifically, the statute dictates: this American story. In the 1920s, ’30s, ’40s and ’50s, tele- “The national broadband plan required by this section shall phony, radio and television transformed America, unleashing seek to ensure that all people of the United States have access to new opportunities for American innovators to create products broadband capability and shall establish benchmarks for meet- and industries, new ways for citizens to engage their elected ing that goal. The plan shall also include: officials and a new foundation for job growth and international ➤ an analysis of the most effective and efficient mechanisms for competitiveness. ensuring broadband access by all people of the United States, Private investment was pivotal in building most of these ➤ a detailed strategy for achieving affordability of such service networks, but government actions also played an important and maximum utilization of broadband infrastructure and role. Treasury bonds and land grants underwrote the railroad,1 service by the public, the Rural Electrification Act brought electricity to farms and ➤ an evaluation of the status of deployment of broadband ser- the federal government funded 90% of the cost of the interstate vice, including progress of projects supported by the grants highways.2 made pursuant to this section, and In communications, the government stimulated the con- ➤ a plan for use of broadband infrastructure and services in ad- struction of radio and television facilities across the country vancing consumer welfare, civic participation, public safety by offering huge tracts of the public’s airwaves free of charge. and homeland security, community development, health care It did the same with telephony through a Universal Service delivery, energy independence and efficiency, education, Fund, fulfilling the vision of the Communications Act of 1934 worker training, private sector investment, entrepreneurial “to make available, so far as possible, to all the people of the activity, job creation and economic growth, and other na- United States, a rapid, efficient, Nation-wide, and world-wide tional purposes.”4 wire and radio communication service with adequate facilities at reasonable charges.”3 This is a broad mandate. It calls for broadband networks Today, high-speed Internet is transforming the landscape that reach higher and farther, filling the troubling gaps we face of America more rapidly and more pervasively than earlier in the deployment of broadband networks, in the adoption of infrastructure networks. Like railroads and highways, broad- broadband by people and businesses and in the use of broad- band accelerates the velocity of commerce, reducing the costs band to further our national priorities. of distance. Like electricity, it creates a platform for America’s Nearly 100 million Americans do not have broadband today.5 creativity to lead in developing better ways to solve old prob- Fourteen million Americans do not have access to broadband lems. Like telephony and broadcasting, it expands our ability to infrastructure that can support today’s and tomorrow’s applica- communicate, inform and entertain. tions.6 More than 10 million school-age children7 do not have Broadband is the great infrastructure challenge of the early home access to this primary research tool used by most stu- 21st century. dents for homework.8 Jobs increasingly require Internet skills; But as with electricity and telephony, ubiquitous con- the share of Americans using high-speed Internet at work grew nections are means, not ends. It is what those connections by 50% between 2003 and 2007,9 and the number of jobs in enable that matters. Broadband is a platform to create today’s information and communications technology is growing 50% Federal communications commission | national br oadb and Pl an 3
  • 20. a m e r i ca’ s P l a n c H a P t e r 1 faster than in other sectors.10 Yet millions of Americans lack the Above all, an American plan should build on American strengths. skills necessary to use the Internet.11 The first of these strengths is innovation. The United States What’s more, there are significant gaps in the utilization of maintains the greatest tradition of innovation and entrepre- broadband for other national priorities. In nearly every metric neurship in the world—one that combines creativity with used to measure the adoption of health information technology engineering to produce world-leading applications, devices and (IT), the United States ranks in the bottom half among compa- content, as well as the businesses that bring them to market. rable countries,12 yet electronic health records could alone save Our national plan must build on this strength to ensure that more than $500 billion over 15 years.13 Much of the electric the next great companies, technologies and applications are grid is not connected to broadband, even though a Smart Grid developed in the United States. U.S. leadership in these spheres could prevent 360 million metric tons of carbon emissions per will advance our most important public purposes. A healthy year by 2030, equivalent to taking 65 million of today’s cars environment for innovation will enable advances in health off the road.14 Online courses can dramatically reduce the time care, energy, education, job training, public safety and all of required to learn a subject while greatly increasing course our national priorities. Creativity is a national virtue that has completion rates,15 yet only 16% of public community colleg- catalyzed American leadership in many sectors. America’s plan es—which have seen a surge in enrollment16—have high-speed should unlock that creativity to transform the public sector, too. connections comparable to our research universities.17 Nearly We have just begun to benefit from the ways broadband a decade after 9/11, our first responders still require access to unleashes innovations to improve American lives: a job seeker better communications. in South Bend telecommuting for a company in the Deep South; Unless we reform our approach to these gaps, we will fail to a medical specialist in Chapel Hill providing medical consulta- seize the opportunity to improve our nation, and we will fall tions to a patient in the Hill Country; grandparents in Cleveland behind those countries that do. In fact, other countries already video-chatting with their grandchildren in Colorado Springs; have adopted plans to address these gaps. firefighters downloading blueprints of a burning building. The The ways that other countries have confronted this chal- applications that broadband enables provide innovative, effi- lenge help inform how we might approach the problem. But cient solutions to challenges Americans confront every day. each country’s experiences and challenges have critical dif- Many international broadband plans emphasize speeds and ferences. Our solutions must reflect the unique economic, networks, focusing only on technical capacity as a measure of institutional and demographic conditions of our country. a successful broadband system. Our plan must go beyond that. The United States is distinct in many ways. For example, While striving for ubiquitous and fast networks, we must also many countries have a single, dominant nationwide fixed strive to use those networks more efficiently and effectively telecommunications provider; the United States has numer- than any other country. We should lead the world where it ous providers. Cable companies play a more prominent role counts—in the use of the Internet and in the development of in our broadband system than in other countries. The U.S. is new applications that provide the tools that each person needs less densely populated than other countries. Unlike most other to make the most of his or her own life. countries, we regulate at both the state and federal levels. Our The United States is well positioned to lead in creating plan should learn from international experiences, but must also those applications. We have leading health research centers; we take into account the distinguishing realities of broadband in should also lead the world in effective health care applications. the United States. We have leading educational institutions; we should also lead Our plan must be candid about where current government policies the world in effective educational applications. We should seize hinder innovation and investment in broadband. Government or this opportunity to lead the world in applications that serve influences critical inputs needed to build broadband networks— public purposes. such as spectrum, universal service funds and rights-of-way—yet all The second great American strength is inclusion. As a are structured to serve the priorities of the past, not the opportuni- country, we believe that to march ahead we don’t need to leave ties of the future. In addition, current government policies maintain anyone behind. We believe that all deserve the opportunity to incentives for our schools, hospitals and other public interest institu- improve their lives. We believe that where you start shouldn’t tions to use outdated technologies and practices, disadvantaging our dictate where you finish, that demography isn’t destiny, that people and hindering our economy. Just as this plan should build on privilege isn’t a necessary prologue to success. the distinctive attributes of the American market, it should also cor- This ideal doesn’t just compel us to rebuke discrimination; rect the problematic policies found here. it compels us to be proactive. It inspires us to live up to an 4 F e d e r a l c o m m u n i c at i o n s c o m m i s s i o n | w w w. b r o a d b a n d.g o v
  • 21. a m e r i ca’ s P l a n c H a P t e r 1 obligation we have to each other—to ensure that everyone has While we must build on our strengths in innovation and an opportunity to succeed. inclusion, we need to recognize that government cannot pre- This desire for equal opportunity has long guided our ef- dict the future. Many uncertainties will shape the evolution of forts to make access to technologies universal, from electricity broadband, including the behavior of private companies and con- to telephony, from television to radio. Today, as technology sumers, the economic environment and technological advances. continues to change the way the world interacts, to be on the As a result, the role of government is and should remain outside is to live in a separate, analog world, disconnected from limited. We must strike the right balance between the public the vast opportunities broadband enables. and private sectors. Done right, government policy can drive, While broadband adoption has grown steadily, it is still and has driven, progress. In the 1960s and ‘70s, government far from universal. It lags considerably among certain demo- research funding supported the development of the technol- graphic groups, including the poor, the elderly, some racial and ogy on which the Internet is based.19 In the 1990s, the Federal ethnic minorities, those who live in rural areas and those with Communications Commission acted to ensure that telephone disabilities. Many of these Americans already struggle to suc- providers would not stall use of the Internet.20 An act of ceed. Unemployment rates are high, services like job training Congress stimulated competition that caused cable compa- are difficult to obtain and schools are substandard. nies to upgrade their networks and, for the first time, offer Broadband can help bridge these gaps. Today, millions of stu- broadband to many Americans.21 Auctions for public spectrum dents are unprepared for college because they lack access to the promoted competitive wireless markets, prompting continual best books, the best teachers and the best courses. Broadband- upgrades that first delivered mobile phones and, now, mobile enabled online learning has the power to provide high-quality broadband.22 educational opportunities to these students—opportunities to Instead of choosing a specific path for broadband in which their peers at the best public and private schools have America, this plan describes actions government should take long had access. Similarly, with broadband, people with dis- to encourage more private innovation and investment. The abilities can live more independently, wherever they choose. 18 policies and actions recommended in this plan fall into three They can telecommute and run businesses from their homes or categories: fostering innovation and competition in networks, receive rehabilitation therapy in remote and rural areas. devices and applications; redirecting assets that government Of course, access to broadband is not enough. People still controls or influences in order to spur investment and inclu- need to work hard to benefit from these opportunities. But sion; and optimizing the use of broadband to help achieve universal broadband, and the skills to use it, can lower barriers national priorities. of means and distance to help achieve more equal opportunity. A thoughtful approach to the development of electricity, Absent action, the individual and societal costs of digital telephony, radio and television transformed the United States exclusion will grow. With so many Americans lacking broad- and, in turn, helped us transform the world. Broadband will be band access or the skills to make it matter, the Internet has the just as transformative. potential to exacerbate inequality. If learning online acceler- The consequences of our digital transformation may not be ates your education, if working online earns you extra money, if uniformly positive. But the choice is not whether the trans- searching for jobs online connects you to more opportunities, formation will continue. It will. The choice is whether we, as a then for those offline, the gap only widens. If political dialogue nation, will understand this transformation in a way that allows moves to online forums, if the Internet becomes the comprehen- us to make wise decisions about how broadband can serve the sive source of real-time news and information, if the easiest way public interest, just as certain decisions decades ago helped to contact your political representatives is through e-mail or a communications and media platforms serve public interest website, then those offline become increasingly disenfranchised. goals. This plan is the first attempt to provide that understand- Until recently, not having broadband was an inconvenience. ing—to clarify the choices and to point to paths by which all Now, broadband is essential to opportunity and citizenship. Americans can benefit. Federal communications commission | national br oadb and Pl an 5
  • 22. a m e r i ca’ s P l a n c H a P t e r 1 chapter 1 endnotes 1 See The Pacific Railroad Act of July 1, 1862 § 5, 12 10 See bureau Of labOr stat., OccupatiOnal prOjectiOns 18 Letter from Kathy Martinez, Exec. Director, World Stat. 489, 492–93, available at http://memory.loc.gov/ and traininG data, 2008–2009 editiOn (2008), Inst. on Disability, to Michael J. Copps, FCC Acting cgi-bin/ampage?collId=llsl&fileName=012/llsl012. available at http://www.bls.gov/emp/optd/optd_archive. Chairman, and Commission Members, GN Docket No. db&recNum=524. htm (download from link). 09-51 (June 1, 2009) at 1–2. 2 See Federal Highway Administration, Eisenhower 11 Horrigan, Broadband Adoption and Use in America at 5. 19 See, e.g., Mitch Waldrop, DARPA and the Internet Interstate Highway System—Frequently Asked 12 Cathy Schoen et al., Survey of Primary Care Physicians Revolution, in darpa: 50 years Of bridGinG the Gap Questions, http://www.fhwa.dot.gov/interstate/faq. in Eleven Countries, 28 health aff. w1171 (2009), 83 (2008), available at http://www.darpa.mil/Docs/ htm#question7 (last visited Feb. 12, 2010). available at http://content.healthaffairs.org/cgi/ Internet_Development_200807180909255.pdf. 3 Communications Act of 1934, Pub. L. No. 73-416, 48 reprint/28/6/w1171?ijkey=46Z9Be2ia7vm6&keytyp 20 See, e.g., Amendment of Section 64.702 of the Stat. 1064 (codified, as amended, at 47 U.S.C. § 151 et e=ref&siteid=healthaff (requires purchase). Count of Commission’s Rules and Regulations (Second Computer seq.). 14 functions includes: (1) electronic medical record; (2, Inquiry), Final Decision, 77 F.C.C.2d 384 (1980) 4 American Recovery and Reinvestment Act of 2009, Pub. 3) electronic prescribing and ordering of tests; (4–6) (regulatorily separating “basic” from “enhanced” L. No. 111-5, § 6001(k)(2)(D), 123 Stat. 115, 516 (2009) electronic access to test results, Rx alerts, and clinical services to prevent owners of telecommunications (Recovery Act). notes; (7–10) computerized system for tracking lab infrastructure from impeding upon enhanced 5 See John Horrigan, Broadband Adoption and Use in tests, guidelines, alerts to provide patients with test service growth); MTS and WATS Market Structure, America 13 (OBI Working Paper No. 1, 2010) (Horrigan, results, and preventive/follow-up care reminders; and Memorandum Opinion and Order, 97 F.C.C.2d 682, Broadband Adoption and Use in America) (finding that (11–14) computerized list of patients by diagnosis, by paras. 76–83 (1983) (allowing an exemption for only 67% of households have broadband). medications, and due for tests or preventive care. access charges for enhanced service providers (ESP)); 6 See Omnibus brOadband initiative (Obi), the brOadband 13 Richard Hillestad et all., Can Electronic Medical Record Amendments of Part 69 of the Commission’s Rules availability Gap (forthcoming); In general, availability Systems Transform Healthcare? Potential Health Relating to Enhanced Service Providers, CC Docket No. of access infrastructure capable of supporting a given Benefits, Savings, and Costs, 24 health aff. 1103, 87-215, Order, 3 FCC Rcd 2631 (1988) (making the ESP download speed does not guarantee that service providers 1103 (Sept./Oct. 2005), available at http://content. access charge exemption permanent). will offer service at those speeds. Note that these numbers healthaffairs.org/cgi/reprint/24/5/1103. 21 Cable Television Consumer Protection and Competition do not take into account quality of service. 14 pacific nOrthWest nat’l lab. (pnnl), dOe, smart Act of 1992, Pub. L. No. 102-385, 106 Stat. 1460 (1992) 7 Horrigan, Broadband Adoption and Use in America Grid: an estimatiOn Of the enerGy and cO2 benefits (codified at 47 U.S.C. § 533). at 33. Since 75% of families have broadband at home, (2009), available at http://www.pnl.gov/main/ 22 See Omnibus Budget Reconciliation Act of 1993, Pub. 25% of families do not. According to the U.S. Bureau publications/external/technical_reports/PNNL-19112; L. No. 103-66, Title VI, § 6002(b), 107 Stat. 312 (1993) of the Census, 17.4% of the U.S. population is between pdf. emissiOn facts: GreenhOuse Gas emissiOns frOm a (amending the Communications Act of 1934 and the ages of 5 and 17. 17.4% of 305 million (total U.S. typical passenGer vehicle (2005) (providing epa auto codified at 47 U.S.C. §§ 153(n), 332(c)(1)). population estimate) is 53 million people. 25% of emission facts), available at http://www.epa.gov/OMS/ 53 million is approximately 13 million. Population climate/420f05004.pdf. estimates come from U.S. Census Bureau, 2006–2008 15 Marsha Lovett et al., The Open Learning Initiative: American Community Survey 3-Year Estimates—Data Measuring the Effectiveness of the OLI Statistics Course Profile Highlights, http://factfinder.census.gov/servlet/ in Accelerating Student Learning, j. interact. media ACSSAFFFacts. in educ., May 2008, available at http://jime.open. 8 Natalie Carlson, National Survey Finds Kids Give ac.uk/2008/14/jime-2008-14.pdf; Joel Smith, Vice High Marks to High Speed, hispanic prWire (Apr. Provost and CIO, Carnegie Mellon Univ., Remarks at 2007), available at http://www.hispanicprwire.com/ FCC Education Workshop (Aug. 20, 2009), available generarnews.php?1=in&id=2774&cha=0. at http://www.broadband.gov/docs/ws_education/ 9 See Pew Research Center, Pew Internet & American Life ws_education_smith.pdf. Project, Data Sets, June 2003 and March 2007, http:// 16 richard fry, peW research center., cOlleGe pewInternet.org/Data-Tools/Download-Data/ enrOllment hits all-time hiGh, fueled by Data-Sets.aspx. (see variable BBW, which is the cOmmunity cOlleGe surGe (2009), available at http:// percentage of people saying they use broadband at work. pewsocialtrends.org/assets/pdf/college-enrollment.pdf. The calculation compared the number of Americans 17 brian l. haWkins & julia a. rudy, educause, fiscal saying they used broadband at work in 2003 to the year 2007 summary repOrt 35/29, available at http:// number saying they used broadband at work in 2007.). net.educause.edu/ir/library/pdf/PUB8005.pdf. 6 F e d e r a l c o m m u n i c at i o n s c o m m i s s i o n | w w w. b r o a d b a n d.g o v
  • 23. a m e r i ca’ s P l a n c H a P t e r 2 goAls for A high- PerformAnCe AmeriCA chapter 2 Federal communications commission | national br oadb and Pl an 7
  • 24.
  • 25. a m e r i ca’ s P l a n c H a P t e r 2 the mIssIon of thIs plan is to create a high-performance america—a more productive, cre- ative, efficient america in which affordable broadband is available everywhere and everyone has the means and skills to use valuable broadband applications. The importance of broadband continues to grow around the GoaL No. 1: at least 100 million u.s. homes should have world. High-performing companies, countries and citizens are affordable access to actual download speeds of at least 100 using broadband in new, more effective ways. Some countries have megabits per second and actual upload speeds of at least 50 recognized this already and are trying to get ahead of the curve. megabits per second. South Korea, Japan, Australia, Sweden, Finland and Germany, The United States must lead the world in the number of among others, have already developed broadband plans. homes and people with access to affordable, world-class broad- A high-performance America cannot stand by as other coun- band connections. As such, 100 million U.S. homes should have tries charge into the digital era. In the country where the Internet affordable access to actual download speeds of at least 100 was born, we cannot watch passively while other nations lead Mbps and actual upload speeds of at least 50 Mbps by 2020. the world in its utilization. We should be the leading exporter of This will create the world’s most attractive market for broad- broadband technology—high-value goods and services that drive band applications, devices and infrastructure. enduring economic growth and job creation. And we should be the The plan has recommendations to foster competition, drive leading user of broadband-enabled technologies that help busi- demand for increased network performance and lower the cost nesses increase their productivity, help government improve its of deploying infrastructure. These recommendations include openness and efficiency, and give consumers new ways to commu- providing consumers with information about the actual per- nicate, work and entertain themselves. formance of broadband services, reviewing wholesale access To ensure we lead the world, this plan addresses the trou- policies and conducting more thorough data collection to mon- bling gaps and unrealized opportunities in broadband in itor and benchmark competitive behavior. Reforming access to America by recommending ways federal, state and local govern- rights-of-way can lower the cost of upgrades and entry for all ments can unleash private investment, innovation, lower prices firms. Increased spectrum availability and use for backhaul can and better options for consumers. Its recommendations fall enable more capable wireless networks that will drive wired into four general categories: providers to improve network performance and ensure service ➤ Design policies to ensure robust competition and, as is affordable. a result, maximize consumer welfare, innovation and Government can also help create demand for more broad- investment. band by enabling new applications across our most important ➤ Ensure efficient allocation and management of assets national priorities, including health care, education and government controls or influences, such as spectrum, poles, energy, and by ensuring consumers have full control of their and rights-of-way, to encourage network upgrades and personal data. competitive entry. As a milestone, by 2015, 100 million U.S. homes should have ➤ Reform current universal service mechanisms to support affordable access to actual download speeds of 50 Mbps and deployment of broadband and voice in high-cost areas; and actual upload speeds of 20 Mbps. ensure that low-income Americans can afford broadband; and in addition, support efforts to boost adoption and utilization. GoaL No. 2: the united states should lead the world in ➤ Reform laws, policies, standards and incentives to maxi- mobile innovation, with the fastest and most extensive mize the benefits of broadband in sectors government influ- wireless networks of any nation. ences significantly, such as public education, health care Mobile broadband is growing at unprecedented rates. From and government operations. smartphones to app stores to e-book readers to remote pa- tient monitoring to tracking goods in transit and more, mobile Across these categories, this plan offers recommendations services and technologies are driving innovation and playing for the Federal Communications Commission (FCC), the an increasingly important role in our lives and our economy. Executive Branch, Congress, states and other parties. But to Mobile broadband is the next great challenge and opportunity ensure we are on the right path, the country should set long- for the United States. It is a nascent market in which the United term goals and benchmarks to chart our progress. The plan States should lead. recommends that the country set the following six goals for Spectrum policy is the most important lever government has 2020 to serve as a compass over the next decade. to help ensure wireless and mobile broadband thrive. Efficient Federal communications commission | national br oadb and Pl an 9
  • 26. a m e r i ca’ s P l a n c H a P t e r 2 allocation of spectrum consistent with the public interest will access to relevant, age-appropriate digital literacy education, maximize its value to society. It will lower network deployment for free, in whatever language they speak, and we neeed to cre- costs, making it easier for new companies to compete and en- ate a Digital Literacy Corps. abling lower prices, more investment and better performance. Achieving this goal will likely lead to an adoption rate higher Today, the FCC has only 50 megahertz of spectrum in the than 90% by 2020 and reduced differences in broadband adop- pipeline that it can assign for broadband use, just a fraction of tion among demographic groups. the amount that will be necessary to match growing demand. As To the end, government can make broadband more acces- a result, companies representing 5% of the U.S. economy asked sible to people with disabilities. It can also work with Tribal the FCC to make more spectrum available for mobile broad- governments to finally improve broadband deployment and band, saying that “without more spectrum, America’s global adoption on Tribal lands.3 And it can ensure small businesses— leadership in innovation and technology is threatened.”1 many of which are owned by women and minorities—have the To achieve this goal of leading the world in mobile broad- opportunity to purchase broadband service at reasonable rates. band, the plan recommends making 500 megahertz of spectrum newly available for broadband by 2020, with a bench- GoaL No. 4: every american community should have af- mark of making 300 megahertz available by 2015. In addition, fordable access to at least 1 gigabit per second broadband we should ensure greater transparency in spectrum allocation service to anchor institutions such as schools, hospitals and and utilization, reserve spectrum for unlicensed use and make government buildings. more spectrum available for opportunistic and secondary uses. Schools, libraries and health care facilities must all have the connectivity they need to achieve their purposes. This connec- GoaL No. 3: every american should have affordable access tivity can unleash innovation that improves the way we learn, to robust broadband service, and the means and skills to stay healthy and interact with government. subscribe if they so choose. If this plan succeeds, every American community will have Not having access to broadband applications limits an affordable access to far better broadband performance than individual’s ability to participate in 21st century American they enjoy today. To do so, the plan makes recommendations life. Health care, education and other important aspects of about reforming the E-rate and the Rural Health Care support American life are moving online. What’s more, government programs. Second, non-profit and public institutions should services and democratic participation are shifting to digital be able to find efficient alternatives for greater connectivity platforms. This plan recommends government use the Internet through aggregated efforts. to increase its own transparency and make more of its data What’s more, unleashing the power of new broadband appli- available online. Getting everyone online will improve civic cations to solve previously intractable problems will drive new engagement—a topic this plan also addresses by recommending connectivity demands. The plan makes numerous recommen- a more robust digital public ecosystem. dations, including reforming incentive structures, licensing and Three requirements must be satisfied to ensure every data interoperability, to ensure public priorities take advantage American can take advantage of broadband. First, every American of the benefits broadband networks, applications and devices home must have access to network services. Second, every house- offer. If they are implemented, demand for connectivity in hos- hold should be able to afford that service. Third, every American pitals, schools, libraries and government buildings will soar. should have the opportunity to develop digital skills. In some communities, gigabit connectivity may not be The plan recommends reforming existing support mecha- limited to anchor institutions. Certain applications could nisms to foster deployment of broadband in high-cost areas: also require ultra-high-speed connectivity at home. And once specifically, the Universal Service Fund and intercarrier community anchors are connected to gigabit speeds, it would compensation. The plan outlines a 10-year, three-stage course presumably become less expensive and more practical to get of action to transform these programs to connect those who do the same speeds to homes. not have access to adequate broadband infrastructure.2 Rather than add new burdens to the already strained contribution GoaL No. 5: to ensure the safety of the american people, base, we must make the tough choice to shift existing support every first responder should have access to a nationwide, that is not advancing public policy goals in order to directly wireless, interoperable broadband public safety network. focus those resources on communities unserved by broadband. In June 2004, the 9/11 Commission released its final report To promote affordability, this plan also proposes extending about events of September 11, 2001. The report found that “the the Lifeline and Link-Up programs to support broadband. To inability to communicate was a critical element” at each of the promote digital skills, we need to ensure every American has 10 F e d e r a l c o m m u n i c at i o n s c o m m i s s i o n | w w w. b r o a d b a n d.g o v