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Join us as we gather around the hedge,

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where we dig into technology,

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business, and culture with the finest minds in

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computer networking.

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Hello, Tom.

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Iris.

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The plant made it back from the hospital.

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I'm so happy

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for the plant. I I was very

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I have been worried about the plant for

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weeks.

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I think you I think you love the

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plant more than I do. Well,

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I don't know. It's something entertaining to look

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at Yeah. On online. I didn't know if

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it was a plant hospital, but

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did she buy health insurance, or did she

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pay out of pocket?

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So, that's Henning, and I don't know how

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to pronounce your last name, Henning, so I'm

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not I'm not gonna try.

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So it's Winnie, but

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Henning will do.

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So, where are you, Henning, physically?

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I'm physically located,

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in New York City.

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I I work currently at Columbia University, so

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I'm sitting in my my Columbia office on

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Okay.

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The Upper West Side of,

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Manhattan.

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Cool. I used to work at

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the United Engineering Center when it existed

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for, I don't know, just a couple of

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years. I worked at the United Engineering Center.

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I say a couple of years. I don't

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know. Maybe it was three or four, but

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whatever,

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which is was used to be directly across

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the street from the UN Building.

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Oh, okay. It it's gone now. The the

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building is gone now. It was torn down

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and replaced with condos or whatever they did.

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But, originally,

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the I triple e, the I the I

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triple e, the

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American Society of Mechanical Engineers, the American Society

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of Chemical Engineers,

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all had floors

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in that building. So it was the headquarters

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for, like,

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all of these different,

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standards bodies.

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Not not the IETF because, of course, the

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IETF is not like not like that kind

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of a standard body,

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but a lot of the other ones. So

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so I know that area pretty well, the,

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the Upper West Side Of Manhattan.

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Everything

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from Penn Station, New York over to the

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UN Building

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is very familiar territory for me from all

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the years I worked there and walked back

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and forth. I don't know about you, but

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I I never take taxis

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or public transportation across town. Like, if I

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have to go a long way, like uptown

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or downtown,

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yeah, that's one thing. But, like, 30 blocks

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across town, they're the short blocks.

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Yeah. And, like, it's it's not,

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you know, it's just not far enough of

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a walk or it's not far enough to

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be bothered with a cab or or or

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whatever else. So yeah.

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Alright. Cool. So today, we are talking

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about the NTIA,

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which is the National Telecommunications

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and Information Administration

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Mhmm. Which is part of the Department of

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Commerce,

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which is

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an interesting

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little

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I shouldn't say little because I don't know

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how big it is,

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which is an interesting subsection of the US

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government

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that not a lot of people seem to

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know about. It's very like, a lot of

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people know about

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wherever Doug Martin and NIST and all these

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other places

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that do standards.

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But the NTIA is different from all of

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that. And they everybody knows about the FCC.

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Right?

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But that's this is different from all of

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that.

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So,

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you know, can you, like, explain to us

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what the NTIA does for those who aren't

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familiar?

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So NTIA, as you said, is

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part of the Department of Commerce, which actually

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also

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hosts,

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NIST as one of the more familiar entities

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in tech space.

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It it hosts very patent office. So NTA

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is

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one of about a dozen entities that all

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vaguely related to

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commerce, the economy,

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and they are

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housed under the secretary of commerce or a

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cabinet level

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department

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unlike the FCC, which is an independent regulatory

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entity

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established by Congress

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and,

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is not a

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executive branch agency.

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So NTIA

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is,

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technologically,

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mandated.

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So I was I mean, mandate is, broadly

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speaking,

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telecommunication

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and other technologies. So we dabble in AI,

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for example,

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that provides advice and administrative functions to the

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federal government.

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So, traditionally,

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until fairly recently,

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it was a very small,

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part of commerce, probably one of the smaller

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parts.

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And it had

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two

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key functions.

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Namely,

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one is it

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was responsible

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for the US government Spectrum Administration.

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So as listeners may know, is in The

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US, Spectrum is managed at licensed Spectrum is

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managed by two entities.

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So we we think of Spectrum like being

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the FCC because we manage the more

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visible, so to say, Spectrum that cell phone

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carriers and radio stations and TV stations and,

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Wi Fi users.

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But

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for

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hundred years or so, I

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the US government has also used wide swaths

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of the spectrum for their needs, anything from

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the military, as you might imagine, to

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public safety,

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to earth observation,

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anything which is won indirectly or directly by,

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federal, state, and local government. In that state,

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local, more complicated, but all, so it's primarily

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federal.

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And so they are

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the allocator of that spectrum, coordinator of that

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spectrum within the federal government

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usage.

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And they also,

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coordinate with the FCC about that spectrum because

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obviously, particularly last few years, spectrum has been

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kind of a scarce commodity that they don't

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make any more of it.

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And so,

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a lot of

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the,

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spectrum that does become available

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typically

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was used by government users before because all

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the other spectrum that is

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available has already been

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doled out to some typically commercial entity. So

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that's probably the highest impact entity. Go ahead.

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Okay. So so that spectrum that's handed out

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to commercial entities is done via reverse auctions,

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right, most of the time?

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And

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not quite. So Okay. I

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so clearly, NTIA for government spectrum, they don't

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auction anything because that would be peculiar.

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For the commercial side,

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I

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the commercial spectrum is

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auctioned.

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That's for high profile billion dollar stuff. But

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a significant fraction of the spectrum,

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even on the commercial side,

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is either allocated in some administrative function

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or

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by industry coordination. So for example, a lot

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of a microwave spectrum is not auctioned off.

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It is just as a coordinated spectrum coordinator,

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because it's largely

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geographic separation, and so you don't really need

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an auction for that. But, yes, generally speaking,

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highest profile spectrum recently

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that's been allocated on the FCC side has

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been by,

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auction.

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Not reverse auction. That's typically that was really

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only one auction. Oh, okay. Okay. That was

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for TV spectrum

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that you may have heard about a few

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years ago,

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where

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they got a, the TV stations got paid

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to relinquish,

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all a part of the spectrum, which is

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sold to,

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cell providers.

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Okay.

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Cool. So that

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so the NTIA then

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looks like the internal regulator

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for spectrum usage.

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It's the same thing as,

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say, the military has an internal regulator for

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spectrum usage that's allocated to military use.

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And

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a TV station might have an internal regulator

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or a cell phone company

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might have an internal regulator

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for, like, we've been allocated this. We need

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to make sure we put it on the

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right towers in the right place and stuff

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like that. So it's that kind of a

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position

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within Yes. But but facing

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government entities, which I assume includes

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FBI, CIA.

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I assume it includes

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air traffic control, ATC.

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All of that stuff is all included, I

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would I would assume. Yes. This is all

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included. So some of it is obviously classified

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stuff. Most of it is

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unclassified

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at least in terms of the

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who has it.

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I and so it's anything from military radars

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to traditionally voice communication

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to microwave links to,

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links to,

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by NASA or our NOAA,

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I radars,

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Weber radar type system. So

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any of that stuff. But, traditionally, it's been

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largely

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kind of the equivalent of a county courthouse

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that has a

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thick leather binder with all the households' assignment

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in it. So it was

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important

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but largely

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administrative

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as in,

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it was coordination

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to make sure that people don't didn't step

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on each other and that people knew what

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the other agencies were doing in,

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a particular spectrum bands. Alright. But it was

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well a totally small staff and

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largely sort of say inward looking.

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The second function that NTIA has traditionally had

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is had that it represents

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the US federal government in

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international

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organizations

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that deal with telecommunications.

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And we have traditionally, for example,

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manage

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organizations such as ICANN,

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as in the Internet space.

288
00:10:50,090 --> 00:10:52,429
So, for example, they are responsible

289
00:10:54,014 --> 00:10:56,115
in some vague way for

290
00:10:56,815 --> 00:10:57,955
a .com allocation,

291
00:10:58,735 --> 00:11:02,175
administration when that went or for .US most

292
00:11:02,175 --> 00:11:04,434
recently and that. So they have

293
00:11:05,134 --> 00:11:05,634
inverse

294
00:11:06,095 --> 00:11:09,154
non spectrum band issues. They have

295
00:11:09,809 --> 00:11:12,149
administrative and policy functions

296
00:11:12,690 --> 00:11:13,509
for these,

297
00:11:14,129 --> 00:11:17,009
things where the US government historically has had

298
00:11:17,009 --> 00:11:19,110
a wall and even in the Internet space.

299
00:11:20,370 --> 00:11:20,870
Okay.

300
00:11:21,605 --> 00:11:24,165
Alright. Cool. So that's kind of explains. But

301
00:11:24,165 --> 00:11:27,065
there's other things that NTIA does besides just

302
00:11:28,404 --> 00:11:28,904
managing

303
00:11:29,445 --> 00:11:30,904
federal spectrum. Right?

304
00:11:31,605 --> 00:11:34,559
Just normally in its normal business, even before

305
00:11:34,559 --> 00:11:36,959
what we're gonna talk about being added a

306
00:11:36,959 --> 00:11:38,899
few years ago. Right? Yes.

307
00:11:39,519 --> 00:11:40,019
So

308
00:11:40,399 --> 00:11:43,440
NTIA also has had I'd I, you know,

309
00:11:43,440 --> 00:11:45,379
and I don't know if the audience remembers

310
00:11:45,440 --> 00:11:46,419
that there was

311
00:11:46,835 --> 00:11:48,215
some number of years ago,

312
00:11:48,835 --> 00:11:50,215
a program called BTOP,

313
00:11:50,674 --> 00:11:54,054
which was a broadband deployment program that was

314
00:11:54,355 --> 00:11:55,495
one of the early

315
00:11:56,274 --> 00:11:59,495
efforts to bring broadband to underserved

316
00:11:59,970 --> 00:12:02,629
communities. And Adeboye is relatively small,

317
00:12:04,289 --> 00:12:05,509
and time limited,

318
00:12:06,129 --> 00:12:07,669
in that. So

319
00:12:08,370 --> 00:12:10,309
Pentium has had

320
00:12:10,850 --> 00:12:11,990
a kind of

321
00:12:12,945 --> 00:12:14,884
a small role, but not recently

322
00:12:15,264 --> 00:12:18,004
in broadband deployment. But Congress decided,

323
00:12:18,705 --> 00:12:20,705
I as part of the Infrastructure and Jobs

324
00:12:20,705 --> 00:12:21,205
Act,

325
00:12:21,585 --> 00:12:22,404
to allocate

326
00:12:23,264 --> 00:12:25,845
roughly 42 and a half billion dollars

327
00:12:26,705 --> 00:12:27,445
to NTIA

328
00:12:29,200 --> 00:12:29,860
to deploy

329
00:12:30,559 --> 00:12:31,700
a high speed Internet,

330
00:12:32,480 --> 00:12:34,660
generally used term used broadband,

331
00:12:35,120 --> 00:12:35,620
to,

332
00:12:36,080 --> 00:12:37,059
put primarily

333
00:12:37,440 --> 00:12:38,259
rural locations

334
00:12:38,639 --> 00:12:40,019
in The United States.

335
00:12:40,575 --> 00:12:43,054
They also allocated some additional funds, which I

336
00:12:43,054 --> 00:12:44,915
probably won't be talking about today,

337
00:12:45,774 --> 00:12:48,434
to other programs that were not infrastructure,

338
00:12:48,815 --> 00:12:50,434
that are more education

339
00:12:50,735 --> 00:12:52,975
outreach, and so on, which is generally known

340
00:12:52,975 --> 00:12:54,514
as digital equity programs.

341
00:12:55,215 --> 00:12:55,455
And,

342
00:12:56,120 --> 00:12:56,940
but the biggest program

343
00:12:57,399 --> 00:12:58,779
by dollar number

344
00:12:59,480 --> 00:12:59,980
was

345
00:13:00,679 --> 00:13:04,139
this program of Broadband Equity Action Deployment Program

346
00:13:04,199 --> 00:13:05,259
on this speed.

347
00:13:05,639 --> 00:13:06,379
I thought

348
00:13:06,759 --> 00:13:07,740
I was allocated,

349
00:13:08,934 --> 00:13:09,434
to

350
00:13:09,815 --> 00:13:11,115
fulfill essentially

351
00:13:11,654 --> 00:13:13,274
the broadband access mission

352
00:13:13,654 --> 00:13:14,875
of the US government.

353
00:13:15,414 --> 00:13:17,735
Okay. So there's a couple of questions that

354
00:13:17,735 --> 00:13:19,995
immediately come up when we talk about Bead

355
00:13:20,054 --> 00:13:21,414
from what I've read about it in the

356
00:13:21,414 --> 00:13:21,779
past.

357
00:13:22,340 --> 00:13:25,240
The first is, how is broadband defined?

358
00:13:25,620 --> 00:13:27,160
Like, what what is,

359
00:13:27,540 --> 00:13:29,620
like because I know there's a lot a

360
00:13:29,620 --> 00:13:30,759
lot of disagreement.

361
00:13:31,300 --> 00:13:33,399
I mean, a lot of disagreement

362
00:13:33,940 --> 00:13:35,320
over what the word

363
00:13:35,945 --> 00:13:37,245
broadband means.

364
00:13:37,625 --> 00:13:40,125
Yes. And so it is helpful,

365
00:13:41,544 --> 00:13:43,644
if one wants to follow this discussion

366
00:13:44,345 --> 00:13:45,245
to know,

367
00:13:46,024 --> 00:13:47,865
four terms, and I will be using those.

368
00:13:47,865 --> 00:13:49,804
So let me try to define those.

369
00:13:50,129 --> 00:13:52,049
So to get to your first part is

370
00:13:52,049 --> 00:13:53,110
broadband itself.

371
00:13:53,889 --> 00:13:54,389
So

372
00:13:54,850 --> 00:13:58,389
the FCC has defined for its deployment purposes

373
00:13:58,529 --> 00:13:59,429
what qualifies

374
00:13:59,970 --> 00:14:00,710
as broadband.

375
00:14:01,730 --> 00:14:03,509
Deployment for many years,

376
00:14:04,375 --> 00:14:05,115
recent relatively

377
00:14:05,495 --> 00:14:05,995
recently,

378
00:14:07,174 --> 00:14:08,954
changed the definition that,

379
00:14:09,414 --> 00:14:13,654
required 25 megabits download and three megabit upload

380
00:14:13,654 --> 00:14:17,574
speed to 100 megabits download and 20 megabit

381
00:14:17,574 --> 00:14:18,074
download.

382
00:14:18,509 --> 00:14:20,990
That, however, is an FCC definition that is

383
00:14:20,990 --> 00:14:23,490
primarily used for statistical purposes,

384
00:14:24,429 --> 00:14:25,170
not necessarily

385
00:14:26,429 --> 00:14:29,470
is not binding on and, yeah, as it

386
00:14:29,470 --> 00:14:32,514
happens and causality was reversed, it was because

387
00:14:32,514 --> 00:14:36,195
of the law. The law that Congress passed

388
00:14:36,195 --> 00:14:37,414
said that

389
00:14:37,955 --> 00:14:38,774
what qualifies

390
00:14:39,075 --> 00:14:39,575
as

391
00:14:40,514 --> 00:14:42,054
high speed Internet broadband

392
00:14:42,434 --> 00:14:44,134
for NTIA funding purposes

393
00:14:44,674 --> 00:14:46,375
is 100 megabit,

394
00:14:46,879 --> 00:14:49,200
over 20. So a hundred up, a hundred

395
00:14:49,200 --> 00:14:51,860
down, 20 up, I and up.

396
00:14:52,320 --> 00:14:52,820
So

397
00:14:54,159 --> 00:14:55,860
the law defined basically

398
00:14:56,240 --> 00:14:59,440
two types of locations that could receive funding.

399
00:14:59,440 --> 00:14:59,940
Namely,

400
00:15:00,934 --> 00:15:01,995
so called unserved

401
00:15:02,534 --> 00:15:04,695
locations. And this goes to your kind of

402
00:15:04,695 --> 00:15:07,514
definition that we have many of those. Unserved

403
00:15:08,294 --> 00:15:10,454
locations of those that did not have or

404
00:15:10,454 --> 00:15:12,475
do not have 25 megabits,

405
00:15:13,254 --> 00:15:13,754
down,

406
00:15:14,375 --> 00:15:16,169
five, three megabits up.

407
00:15:17,129 --> 00:15:19,929
And underserved locations are those that do not

408
00:15:19,929 --> 00:15:21,389
have hundred slash 20

409
00:15:21,690 --> 00:15:24,190
in that. So those two types of locations,

410
00:15:24,809 --> 00:15:27,470
according to the law, are eligible for funding

411
00:15:27,610 --> 00:15:28,429
under BEED.

412
00:15:30,004 --> 00:15:32,504
The law finally also made a distinction,

413
00:15:33,684 --> 00:15:34,184
that

414
00:15:35,524 --> 00:15:36,024
mattered,

415
00:15:36,565 --> 00:15:39,285
in that because one argument you could make

416
00:15:39,285 --> 00:15:42,485
is that many of the locations, particularly most

417
00:15:42,485 --> 00:15:45,470
recently, actually already have 100 megabit,

418
00:15:46,169 --> 00:15:47,470
download speed in particular,

419
00:15:48,250 --> 00:15:51,870
often provided either by unlicensed fixed wireless or

420
00:15:51,929 --> 00:15:52,909
satellite services.

421
00:15:53,610 --> 00:15:56,090
And so the law defined that,

422
00:15:57,144 --> 00:16:00,284
NTIA should define a term called reliable broadband.

423
00:16:00,825 --> 00:16:02,904
So that's a term of art. And that

424
00:16:02,904 --> 00:16:03,964
doesn't mean what

425
00:16:04,345 --> 00:16:05,865
kind of it doesn't mean that your broadband

426
00:16:05,865 --> 00:16:06,664
doesn't go down.

427
00:16:07,464 --> 00:16:10,125
But it means under the current definition,

428
00:16:11,759 --> 00:16:13,860
broadband that is delivered using

429
00:16:14,480 --> 00:16:16,820
terrestrial services or not satellite.

430
00:16:17,360 --> 00:16:20,019
I and either using fiber,

431
00:16:20,559 --> 00:16:22,340
a coax or cable, HFC,

432
00:16:23,190 --> 00:16:24,100
I DSL,

433
00:16:25,004 --> 00:16:29,004
or on fixed wireless using licensed spectrum. So

434
00:16:29,004 --> 00:16:31,504
typically, that would be provided either by,

435
00:16:32,045 --> 00:16:34,945
the cell companies on their licensed spectrum or

436
00:16:35,085 --> 00:16:35,565
using,

437
00:16:36,445 --> 00:16:38,945
CBRS with 3.5 gigahertz spectrum.

438
00:16:39,379 --> 00:16:41,139
Right. Which would be a wireless Internet service

439
00:16:41,139 --> 00:16:43,620
provider, WISP. Local WISP is what I would

440
00:16:43,620 --> 00:16:45,059
think that's So it could be a WISP

441
00:16:45,059 --> 00:16:47,559
or a ASAL company. Yes. Yeah. Okay.

442
00:16:47,940 --> 00:16:48,440
So

443
00:16:49,379 --> 00:16:50,200
dot meant,

444
00:16:50,580 --> 00:16:52,519
just to give you kind of a flavor

445
00:16:52,659 --> 00:16:54,200
of the numbers, is,

446
00:16:54,815 --> 00:16:56,514
in 2022,

447
00:16:57,054 --> 00:16:58,514
roughly 10%

448
00:16:58,654 --> 00:16:59,715
of US

449
00:17:00,335 --> 00:17:00,835
locations,

450
00:17:02,495 --> 00:17:04,894
so locations, think homes, but it's a little

451
00:17:04,894 --> 00:17:05,634
more general,

452
00:17:06,335 --> 00:17:08,275
did not have access to

453
00:17:08,815 --> 00:17:10,115
hundred megabit broadband.

454
00:17:10,470 --> 00:17:12,950
So right. Most most of those locations are

455
00:17:12,950 --> 00:17:15,130
obviously gonna be in rural areas,

456
00:17:15,750 --> 00:17:16,250
but

457
00:17:16,630 --> 00:17:17,450
not exclusively.

458
00:17:18,150 --> 00:17:19,750
Yeah. Well, a lot of them will also

459
00:17:19,750 --> 00:17:20,730
be actually

460
00:17:21,589 --> 00:17:23,369
neighborhoods with older homes.

461
00:17:24,965 --> 00:17:26,884
Some of them, at least, will be neighborhoods

462
00:17:26,884 --> 00:17:29,065
with older homes in downtown areas

463
00:17:29,684 --> 00:17:32,725
where it's very difficult to dig cable. It's

464
00:17:32,725 --> 00:17:34,965
very difficult to do wire to do fixed

465
00:17:34,965 --> 00:17:36,985
Wi Fi or fixed wireless

466
00:17:37,399 --> 00:17:39,240
because of the buildings and because of just

467
00:17:39,240 --> 00:17:39,980
the terrain.

468
00:17:40,519 --> 00:17:41,019
And

469
00:17:41,559 --> 00:17:42,059
they're

470
00:17:42,440 --> 00:17:44,539
not necessarily wealthy neighborhoods

471
00:17:45,319 --> 00:17:46,140
per se

472
00:17:46,519 --> 00:17:48,059
in downtownish areas.

473
00:17:48,440 --> 00:17:50,279
Or the other thing I could see that

474
00:17:50,279 --> 00:17:51,740
being a lot of would be

475
00:17:52,224 --> 00:17:53,444
multi housing units.

476
00:17:53,984 --> 00:17:55,904
I don't know what they're officially called, like,

477
00:17:55,904 --> 00:17:56,404
but

478
00:17:56,944 --> 00:17:58,244
but apartment complexes

479
00:17:58,625 --> 00:17:59,365
that are

480
00:17:59,984 --> 00:18:02,304
twenty, thirty years old, that were built twenty,

481
00:18:02,304 --> 00:18:02,944
thirty years old

482
00:18:03,585 --> 00:18:04,325
years ago,

483
00:18:05,039 --> 00:18:07,680
and even converted hotels. Hotels have been converted

484
00:18:07,680 --> 00:18:08,259
to housing.

485
00:18:08,559 --> 00:18:09,460
And they just

486
00:18:10,000 --> 00:18:11,380
they're concrete wall.

487
00:18:11,680 --> 00:18:12,180
They're

488
00:18:12,720 --> 00:18:16,080
thick wall. You really can't use fixed wireless

489
00:18:16,080 --> 00:18:17,380
access in these places.

490
00:18:18,194 --> 00:18:21,335
Putting cable through the wall is, like, prohibitively

491
00:18:21,554 --> 00:18:22,054
expensive.

492
00:18:23,474 --> 00:18:25,174
So, in fact, I remember

493
00:18:25,554 --> 00:18:27,414
many years ago when I first got networking,

494
00:18:27,634 --> 00:18:30,294
we were working at a lawyer's office, and

495
00:18:30,619 --> 00:18:33,100
they wanted Ethernet they wanted network in all

496
00:18:33,100 --> 00:18:33,759
their rooms.

497
00:18:34,059 --> 00:18:36,059
And so all these other contractors came in

498
00:18:36,059 --> 00:18:38,220
and said, we'll we'll dig out all your

499
00:18:38,220 --> 00:18:40,140
walls, and we'll put in we'll put in,

500
00:18:40,140 --> 00:18:42,160
you know, cat cat three at the time.

501
00:18:42,859 --> 00:18:45,224
And they said, well, we have asbestos in

502
00:18:45,224 --> 00:18:47,005
the walls. It's gotta be abated.

503
00:18:47,625 --> 00:18:49,065
And they started looking at the cost of

504
00:18:49,065 --> 00:18:51,785
asbestos abatement, and they were like, we just

505
00:18:51,785 --> 00:18:54,204
can't afford to do this. Like, it's just

506
00:18:54,424 --> 00:18:56,950
too much money to run cat three. And

507
00:18:56,950 --> 00:18:58,630
the walls are lath and plaster. It doesn't

508
00:18:58,630 --> 00:19:00,710
work really well with Wi Fi at that

509
00:19:00,710 --> 00:19:02,630
time. I suppose it might be better now,

510
00:19:02,630 --> 00:19:03,610
but back then.

511
00:19:05,430 --> 00:19:07,830
And so my company, not that I owned

512
00:19:07,830 --> 00:19:09,190
it or anything, but the company I worked

513
00:19:09,190 --> 00:19:11,210
for said, we're gonna use

514
00:19:11,815 --> 00:19:12,315
ARCHANET

515
00:19:13,575 --> 00:19:15,515
because it runs over CAT one,

516
00:19:16,695 --> 00:19:18,934
and there's CAT one in the walls for

517
00:19:18,934 --> 00:19:19,434
telco.

518
00:19:20,134 --> 00:19:22,375
And so we're just gonna consume the telco

519
00:19:22,375 --> 00:19:24,555
cables, 50% of the telco cables,

520
00:19:25,309 --> 00:19:27,710
and we'll give you IP. And I only

521
00:19:27,710 --> 00:19:29,549
think it was five meg or I don't

522
00:19:29,549 --> 00:19:31,789
I don't even know. ArcNET is really slow.

523
00:19:31,789 --> 00:19:33,549
So but that's the kind of situation you

524
00:19:33,549 --> 00:19:35,869
run into with these things that that kind

525
00:19:35,869 --> 00:19:36,769
of make it

526
00:19:37,230 --> 00:19:39,410
really hard to get high speed Internet

527
00:19:39,765 --> 00:19:41,224
into some of these locations.

528
00:19:42,164 --> 00:19:43,305
Yes. So

529
00:19:44,644 --> 00:19:45,305
at least

530
00:19:46,724 --> 00:19:48,984
based on so, the availability

531
00:19:49,365 --> 00:19:50,825
was based on

532
00:19:52,130 --> 00:19:54,069
claims by the service providers,

533
00:19:54,929 --> 00:19:57,909
and not so that by necessity.

534
00:19:58,210 --> 00:19:59,349
So maybe as

535
00:20:00,769 --> 00:20:01,589
a a backstop

536
00:20:02,049 --> 00:20:03,190
or as a background,

537
00:20:04,445 --> 00:20:05,505
one of the fundamental

538
00:20:06,045 --> 00:20:07,184
questions that

539
00:20:07,884 --> 00:20:10,445
if somebody hears about, like, oh, yeah. We

540
00:20:10,445 --> 00:20:12,765
want to deploy broadband to all locations that

541
00:20:12,765 --> 00:20:16,125
don't have hundred megabit broadband, say, is the

542
00:20:16,125 --> 00:20:17,664
next natural questions.

543
00:20:18,160 --> 00:20:20,660
How do you know which locations those are?

544
00:20:20,720 --> 00:20:21,220
And

545
00:20:22,480 --> 00:20:25,140
that actually turned out to be a critical

546
00:20:25,200 --> 00:20:25,700
issue

547
00:20:26,160 --> 00:20:27,140
simply because

548
00:20:28,640 --> 00:20:29,380
you have,

549
00:20:30,000 --> 00:20:30,819
two choices.

550
00:20:31,200 --> 00:20:33,779
Namely, one is you just have the government

551
00:20:33,994 --> 00:20:36,154
decide these other locations that don't have it,

552
00:20:36,154 --> 00:20:38,575
but how would they know? I or,

553
00:20:39,275 --> 00:20:42,414
you use a reporting mechanism where the providers

554
00:20:42,634 --> 00:20:45,355
report where they believe or where they are

555
00:20:45,355 --> 00:20:46,414
currently offering,

556
00:20:47,480 --> 00:20:48,859
different speeds of broadband.

557
00:20:49,559 --> 00:20:51,580
So generally speaking,

558
00:20:52,119 --> 00:20:55,960
is that in more urban, multi dwelling units,

559
00:20:55,960 --> 00:20:56,859
apartment buildings

560
00:20:57,240 --> 00:20:59,180
is in recent years,

561
00:20:59,494 --> 00:21:02,375
at least the cable companies claim, it's primarily

562
00:21:02,375 --> 00:21:03,515
been the cable companies,

563
00:21:04,295 --> 00:21:07,335
they can provide a hundred megabit download and

564
00:21:07,335 --> 00:21:09,275
20 megabit upload speed.

565
00:21:09,654 --> 00:21:12,315
Whether that is always truly the case

566
00:21:13,409 --> 00:21:16,149
is up for debate. We can probably discuss

567
00:21:16,450 --> 00:21:18,369
one aspect of that a little bit later

568
00:21:18,369 --> 00:21:20,049
as part of what's known as the challenge

569
00:21:20,049 --> 00:21:20,549
process.

570
00:21:21,329 --> 00:21:22,470
But in general,

571
00:21:23,089 --> 00:21:23,750
the availability

572
00:21:24,914 --> 00:21:28,515
determination on first cut was based on the

573
00:21:28,515 --> 00:21:30,055
declared service availability,

574
00:21:31,154 --> 00:21:31,654
in,

575
00:21:32,515 --> 00:21:33,015
MDUs,

576
00:21:34,035 --> 00:21:37,095
apartment buildings, or in homes or small businesses.

577
00:21:37,740 --> 00:21:40,480
You know, not on necessarily

578
00:21:40,859 --> 00:21:41,759
actual availability,

579
00:21:42,700 --> 00:21:44,859
you're not and as you pointed out, in

580
00:21:44,859 --> 00:21:46,079
many older buildings,

581
00:21:47,820 --> 00:21:51,200
infrastructure the wired infrastructure is often very old,

582
00:21:51,339 --> 00:21:53,615
very hard to replace. And because of a

583
00:21:53,615 --> 00:21:56,575
construction, particularly in, in big cities where you

584
00:21:56,575 --> 00:21:57,954
don't have wood construction,

585
00:21:58,815 --> 00:22:01,474
even installing Wi Fi is challenging

586
00:22:01,934 --> 00:22:04,355
because of wiring or because of propagation.

587
00:22:06,789 --> 00:22:09,269
Yeah. Yeah. And this is this is a

588
00:22:09,269 --> 00:22:10,730
very, like, you know,

589
00:22:12,549 --> 00:22:14,630
this is very contentious. Again, this is another

590
00:22:14,630 --> 00:22:17,289
contentious part of it. Is is the mapping

591
00:22:18,070 --> 00:22:20,150
can the mapping be trusted? What does it

592
00:22:20,150 --> 00:22:21,924
really mean? I know

593
00:22:22,304 --> 00:22:25,204
for WISP, for for for fixed Wi Fi

594
00:22:25,265 --> 00:22:27,525
or for fixed wireless access, FWA,

595
00:22:28,065 --> 00:22:29,585
I know the other problem we run into

596
00:22:29,585 --> 00:22:30,644
a lot of times is

597
00:22:31,345 --> 00:22:31,845
FWA

598
00:22:32,224 --> 00:22:32,724
drops

599
00:22:33,505 --> 00:22:34,644
in terms of

600
00:22:35,789 --> 00:22:38,509
the bandwidth available the further you get away

601
00:22:38,509 --> 00:22:39,330
from the tower.

602
00:22:40,430 --> 00:22:41,890
And so so

603
00:22:42,269 --> 00:22:44,269
they say, we have a tower that serves

604
00:22:44,269 --> 00:22:47,150
a five mile radius around the tower. But

605
00:22:47,150 --> 00:22:49,309
in reality, the people at five miles out

606
00:22:49,309 --> 00:22:51,005
are getting, like, you

607
00:22:52,184 --> 00:22:53,484
know, very low bandwidth.

608
00:22:53,785 --> 00:22:55,625
And the people right up against the tower

609
00:22:55,625 --> 00:22:58,345
are getting great bandwidth. And they say, well,

610
00:22:58,345 --> 00:22:59,805
but it's an even dispersion.

611
00:23:00,664 --> 00:23:02,204
Well, not really.

612
00:23:02,904 --> 00:23:03,404
And

613
00:23:04,664 --> 00:23:06,045
that's certainly been

614
00:23:06,430 --> 00:23:07,789
a concern. I

615
00:23:09,630 --> 00:23:11,009
and so fixed wireless

616
00:23:12,349 --> 00:23:14,909
raises its own set of concerns and particularly

617
00:23:15,230 --> 00:23:17,330
so maybe just a little bit of background.

618
00:23:17,950 --> 00:23:19,890
Until relatively recently,

619
00:23:20,430 --> 00:23:22,694
the Federal Communications Commission, Commission, since we talked

620
00:23:22,694 --> 00:23:23,994
about them early on,

621
00:23:24,295 --> 00:23:27,275
on its job was to catalog

622
00:23:27,815 --> 00:23:29,194
availability of broadband.

623
00:23:30,134 --> 00:23:31,595
They have been doing this for

624
00:23:32,134 --> 00:23:33,355
ten plus years,

625
00:23:33,734 --> 00:23:37,390
and they had a data collection, I dot

626
00:23:37,390 --> 00:23:38,529
catalog broadband

627
00:23:39,390 --> 00:23:40,210
at the level

628
00:23:40,589 --> 00:23:43,549
of the census block. So they basically said,

629
00:23:43,549 --> 00:23:44,529
hey, providers,

630
00:23:45,309 --> 00:23:48,269
twice a year, you have to submit a

631
00:23:48,269 --> 00:23:48,769
form,

632
00:23:49,150 --> 00:23:51,424
which was known as form four seventy seven.

633
00:23:51,424 --> 00:23:54,164
That's why you see that often listed on

634
00:23:54,305 --> 00:23:55,285
FCC website

635
00:23:55,664 --> 00:23:56,164
that

636
00:23:56,625 --> 00:23:59,105
we're able to yep. We offer this is

637
00:23:59,105 --> 00:24:01,105
our highest speed that we offer in that

638
00:24:01,105 --> 00:24:02,565
particular census block.

639
00:24:03,265 --> 00:24:03,505
I'm

640
00:24:05,090 --> 00:24:06,850
that data has been collected for a while

641
00:24:06,850 --> 00:24:08,289
and has been used for a number of

642
00:24:08,289 --> 00:24:09,590
broadband funding programs.

643
00:24:10,930 --> 00:24:12,630
Then it became clear

644
00:24:12,930 --> 00:24:14,309
as more locations

645
00:24:14,690 --> 00:24:18,070
be, were indeed served by higher speed broadband

646
00:24:18,335 --> 00:24:19,234
that that granularity,

647
00:24:20,015 --> 00:24:22,194
that's several hundred homes in many cases,

648
00:24:22,494 --> 00:24:24,894
I it's just not sufficient. So often what

649
00:24:24,894 --> 00:24:27,134
would happen is, you would have a few

650
00:24:27,134 --> 00:24:30,355
homes that actually did have that speed, but

651
00:24:30,829 --> 00:24:31,569
the majority

652
00:24:31,869 --> 00:24:33,410
or a significant fraction

653
00:24:33,950 --> 00:24:36,750
of that census block did not have the

654
00:24:36,750 --> 00:24:38,589
actual speed because it was at the edge

655
00:24:38,589 --> 00:24:39,730
of a service territory.

656
00:24:40,029 --> 00:24:42,130
So it overstated broadband availability.

657
00:24:43,085 --> 00:24:43,585
So

658
00:24:44,125 --> 00:24:44,704
Congress mandated

659
00:24:45,724 --> 00:24:47,984
in some corporate data act that

660
00:24:48,445 --> 00:24:51,744
the FCC actually had to collect broadband availability

661
00:24:52,445 --> 00:24:54,384
at every single individual

662
00:24:54,845 --> 00:24:55,664
street address,

663
00:24:56,125 --> 00:24:56,625
that

664
00:24:58,160 --> 00:25:00,640
could be served by broadband as in there

665
00:25:00,640 --> 00:25:03,279
was an actual building there, I thought, would

666
00:25:03,279 --> 00:25:05,359
subscribe to it, and and not not just

667
00:25:05,359 --> 00:25:06,339
a plot of land.

668
00:25:06,720 --> 00:25:07,220
And

669
00:25:07,920 --> 00:25:08,079
they

670
00:25:09,484 --> 00:25:12,005
for the first time in the early, I

671
00:25:12,125 --> 00:25:14,924
well, a few years ago, started putting out

672
00:25:14,924 --> 00:25:18,065
in the first map was published in 2022.

673
00:25:18,365 --> 00:25:21,244
I we have a created a map of

674
00:25:21,244 --> 00:25:22,144
every single,

675
00:25:23,000 --> 00:25:24,860
residential and small business location

676
00:25:25,480 --> 00:25:26,380
with a contractor,

677
00:25:27,000 --> 00:25:28,299
that would do that.

678
00:25:28,920 --> 00:25:31,180
That clearly is quite challenging because

679
00:25:32,200 --> 00:25:35,095
there is no single registry of even street

680
00:25:35,095 --> 00:25:37,274
addresses, let alone broadband availability

681
00:25:37,575 --> 00:25:39,575
in The United States. It is not like

682
00:25:39,575 --> 00:25:40,075
a,

683
00:25:41,335 --> 00:25:44,615
US geological survey or the census or the

684
00:25:44,615 --> 00:25:46,634
postal the postal service.

685
00:25:46,980 --> 00:25:49,880
They don't have, like, a master address list

686
00:25:50,179 --> 00:25:53,640
of every single location, particularly in rural areas

687
00:25:54,179 --> 00:25:56,339
of where houses may not actually have a

688
00:25:56,339 --> 00:25:57,079
street address.

689
00:25:57,700 --> 00:25:59,380
Or the street address might be on the

690
00:25:59,380 --> 00:26:01,460
house as in somebody painted and made up

691
00:26:01,460 --> 00:26:03,865
a number, but it's not registered anywhere.

692
00:26:04,644 --> 00:26:06,585
Or where plots get subdivided

693
00:26:06,884 --> 00:26:09,765
into two units where you have suddenly oh,

694
00:26:09,765 --> 00:26:11,865
you have an old house and, right,

695
00:26:12,244 --> 00:26:14,164
kids buy it, build a new house on

696
00:26:14,164 --> 00:26:15,065
the large property.

697
00:26:15,444 --> 00:26:15,944
And

698
00:26:17,549 --> 00:26:19,630
nobody really knows about it in any formal

699
00:26:19,630 --> 00:26:22,690
way beyond maybe the local tax assessor. I

700
00:26:23,309 --> 00:26:25,250
who Yeah. Keeps track of that.

701
00:26:26,029 --> 00:26:28,830
Or or or accessory units as they're called

702
00:26:28,830 --> 00:26:31,309
now. Rental units built on your same property.

703
00:26:31,309 --> 00:26:33,005
Right? So you build a unit to rent

704
00:26:33,005 --> 00:26:35,644
out for Airbnb or Vrbo or whatever, you

705
00:26:35,644 --> 00:26:38,044
know, all these various services they have. And

706
00:26:38,044 --> 00:26:40,605
nobody actually tracks that in some areas. It's

707
00:26:40,605 --> 00:26:41,904
just it's just built.

708
00:26:42,444 --> 00:26:44,525
And, like, you get permits on it and

709
00:26:44,525 --> 00:26:45,664
stuff like that, but,

710
00:26:46,019 --> 00:26:48,519
like, there's no high speed Internet

711
00:26:49,140 --> 00:26:51,320
necessarily or broadband to that

712
00:26:51,700 --> 00:26:52,359
at all.

713
00:26:52,740 --> 00:26:54,500
So, you know, then you have to think

714
00:26:54,500 --> 00:26:56,580
about how do you classify that? Does it

715
00:26:56,580 --> 00:26:59,240
need it? Like, it's a rental unit.

716
00:26:59,585 --> 00:27:01,825
Does do people care? I don't know. You

717
00:27:01,825 --> 00:27:03,505
know? There's, like, all these questions that come

718
00:27:03,505 --> 00:27:05,744
in to So we had lots of discussions

719
00:27:05,744 --> 00:27:06,244
on

720
00:27:07,825 --> 00:27:08,325
surveys.

721
00:27:08,865 --> 00:27:10,944
Come on. In the vast majority of cases,

722
00:27:10,944 --> 00:27:12,325
it's relatively straightforward.

723
00:27:12,625 --> 00:27:15,179
It's a unit. If it's rental or even

724
00:27:15,179 --> 00:27:17,839
a mobile home, type of, unit

725
00:27:18,220 --> 00:27:20,240
where people live more or less permanently

726
00:27:20,859 --> 00:27:21,519
and if

727
00:27:22,059 --> 00:27:25,519
available, then some fraction might subscribe to services.

728
00:27:26,139 --> 00:27:27,279
But there are

729
00:27:28,304 --> 00:27:28,804
areas

730
00:27:29,105 --> 00:27:29,764
or locations

731
00:27:30,065 --> 00:27:30,565
that,

732
00:27:31,024 --> 00:27:31,764
for example,

733
00:27:32,625 --> 00:27:33,924
are vacation homes,

734
00:27:34,784 --> 00:27:35,684
hunting lodgers.

735
00:27:36,384 --> 00:27:37,044
And that

736
00:27:37,504 --> 00:27:39,444
that look from a satellite perspective,

737
00:27:39,984 --> 00:27:41,825
I'd like a home as in it's an

738
00:27:41,825 --> 00:27:44,009
enclosed building. It's not just a shed.

739
00:27:44,730 --> 00:27:48,170
And somebody could actually live there. But maybe

740
00:27:48,170 --> 00:27:50,890
they don't, to your point, don't expect to

741
00:27:50,890 --> 00:27:51,390
actually

742
00:27:52,009 --> 00:27:55,470
subscribe to Internet service because they're only spending,

743
00:27:55,849 --> 00:27:59,025
like, the fall hunting season there. And five

744
00:27:59,025 --> 00:28:01,345
would they subscribe to broadband there. If we're

745
00:28:01,345 --> 00:28:03,445
lucky, they have cell phone service there.

746
00:28:04,144 --> 00:28:04,644
So

747
00:28:05,105 --> 00:28:06,805
there's some of that. I've

748
00:28:07,424 --> 00:28:10,705
and you also have as actually has been

749
00:28:10,705 --> 00:28:13,505
a problem, like in, you have homes that

750
00:28:13,505 --> 00:28:14,700
are no longer occupied.

751
00:28:15,500 --> 00:28:17,759
But that didn't turn out to

752
00:28:19,500 --> 00:28:22,700
be, percentage wise, is not as larger problem.

753
00:28:22,700 --> 00:28:23,759
It's at the margins.

754
00:28:24,139 --> 00:28:25,440
Just simply cataloging

755
00:28:25,980 --> 00:28:26,880
all the locations

756
00:28:27,899 --> 00:28:28,399
and

757
00:28:28,924 --> 00:28:31,105
making sure that with service providers,

758
00:28:32,044 --> 00:28:34,625
we port service at that location.

759
00:28:35,244 --> 00:28:36,224
Just as a

760
00:28:36,525 --> 00:28:37,345
for example,

761
00:28:37,644 --> 00:28:40,684
is because many of these locations don't have

762
00:28:40,684 --> 00:28:43,559
an agreed upon street address as in they

763
00:28:43,559 --> 00:28:45,099
might be listed as,

764
00:28:45,720 --> 00:28:46,220
whatever,

765
00:28:47,079 --> 00:28:47,899
12000,

766
00:28:48,359 --> 00:28:50,139
County Highway 95,

767
00:28:50,519 --> 00:28:52,539
and they might have a name on it.

768
00:28:53,159 --> 00:28:55,000
And they may have some other street name

769
00:28:55,000 --> 00:28:56,139
based on some historical,

770
00:28:56,919 --> 00:28:59,079
name that was used when based,

771
00:28:59,535 --> 00:29:00,755
houses were built.

772
00:29:01,134 --> 00:29:03,315
They may have only a rural route number

773
00:29:03,375 --> 00:29:05,615
in some cases because they don't get mail

774
00:29:05,615 --> 00:29:06,115
delivery.

775
00:29:06,734 --> 00:29:08,674
And so they have a,

776
00:29:09,934 --> 00:29:12,894
the service provider might actually have the billing

777
00:29:12,894 --> 00:29:14,275
record for that location

778
00:29:14,819 --> 00:29:17,640
under a different street address than the homeowner

779
00:29:17,700 --> 00:29:20,039
gets mail delivered or that It's

780
00:29:20,339 --> 00:29:21,399
not packages for.

781
00:29:22,259 --> 00:29:24,659
What is what is bead what's the objective?

782
00:29:24,659 --> 00:29:26,099
I mean, there's it sounds like there's lots

783
00:29:26,099 --> 00:29:27,859
of ways to count houses and whatnot, but

784
00:29:27,859 --> 00:29:29,299
what what is bead's on top of this?

785
00:29:29,299 --> 00:29:29,880
The objective

786
00:29:30,944 --> 00:29:32,345
is very simple in one sentence. Tom's trying

787
00:29:32,345 --> 00:29:33,845
to bring us back to reality.

788
00:29:35,345 --> 00:29:36,884
The objective is to get,

789
00:29:38,065 --> 00:29:41,424
hundred megabit broadband to every single location that

790
00:29:41,424 --> 00:29:43,825
currently does not have it. That's the one

791
00:29:43,825 --> 00:29:44,804
sentence objective.

792
00:29:45,169 --> 00:29:47,409
So for that, you have to basically do

793
00:29:47,409 --> 00:29:49,490
two things, then we decide who didn't have

794
00:29:49,490 --> 00:29:51,730
it. That's all all of our discussion about

795
00:29:51,730 --> 00:29:52,230
houses.

796
00:29:53,089 --> 00:29:54,549
And you have to decide

797
00:29:55,329 --> 00:29:55,829
who

798
00:29:56,210 --> 00:29:59,424
is gonna deploy broadband how to those locations

799
00:29:59,644 --> 00:30:00,865
because some of those,

800
00:30:01,884 --> 00:30:03,664
think Alaska or Wyoming

801
00:30:04,045 --> 00:30:05,184
or Puerto Rico

802
00:30:05,565 --> 00:30:06,065
are

803
00:30:06,765 --> 00:30:10,045
challenging in a variety of ways. I as

804
00:30:10,045 --> 00:30:12,144
in they may be on an,

805
00:30:12,470 --> 00:30:14,410
Indian reservation. They may be,

806
00:30:14,869 --> 00:30:15,369
in

807
00:30:15,830 --> 00:30:17,690
remote areas that don't even have roads,

808
00:30:18,150 --> 00:30:18,809
like Alaska.

809
00:30:19,190 --> 00:30:20,970
I or they may be in,

810
00:30:21,910 --> 00:30:24,490
not a state, but a territory like Puerto

811
00:30:24,630 --> 00:30:26,650
Rico. And so you have

812
00:30:27,815 --> 00:30:30,934
those two issues. But the basic goal is

813
00:30:30,934 --> 00:30:32,394
where possible, again,

814
00:30:32,775 --> 00:30:33,515
money availability

815
00:30:34,055 --> 00:30:36,075
may make that infeasible

816
00:30:36,694 --> 00:30:39,095
on every location that currently does not have

817
00:30:39,095 --> 00:30:40,315
it. With 10%

818
00:30:40,570 --> 00:30:41,390
starting out,

819
00:30:41,690 --> 00:30:44,029
you should get at least a hundred megabits,

820
00:30:44,090 --> 00:30:45,230
preferably more.

821
00:30:46,090 --> 00:30:48,570
So how do how does how does Bede

822
00:30:48,570 --> 00:30:50,650
keep this just from being a piggy bank

823
00:30:50,650 --> 00:30:51,630
for the largest,

824
00:30:52,009 --> 00:30:54,654
telcos and just, free money for them?

825
00:30:55,035 --> 00:30:56,015
Yes. So,

826
00:30:57,195 --> 00:30:58,734
a bid is and that's,

827
00:30:59,674 --> 00:31:02,154
That that's another huge area of argument, by

828
00:31:02,154 --> 00:31:03,115
the way, Tom. So

829
00:31:03,755 --> 00:31:05,295
yeah. I know. I know. And

830
00:31:06,555 --> 00:31:07,055
so

831
00:31:07,460 --> 00:31:08,900
a simple question, a,

832
00:31:10,019 --> 00:31:10,759
a longer

833
00:31:11,059 --> 00:31:13,000
answer is so

834
00:31:13,299 --> 00:31:13,380
I

835
00:31:15,619 --> 00:31:16,200
unlike previous,

836
00:31:17,380 --> 00:31:20,845
federal programs, so as your your listeners probably

837
00:31:20,845 --> 00:31:23,265
know, is the FCC in particular, but also,

838
00:31:23,724 --> 00:31:25,964
US Department of Agriculture and a bunch of

839
00:31:25,964 --> 00:31:27,904
other federal agency during COVID.

840
00:31:28,204 --> 00:31:29,345
I have

841
00:31:29,964 --> 00:31:31,265
tried to cover

842
00:31:31,644 --> 00:31:33,265
these locations that I mentioned,

843
00:31:33,644 --> 00:31:34,440
and not.

844
00:31:35,319 --> 00:31:36,940
Generally, in both cases,

845
00:31:38,119 --> 00:31:38,619
primarily

846
00:31:39,079 --> 00:31:41,559
agriculture and the FCC had a central bidding

847
00:31:41,559 --> 00:31:44,359
mechanism where the companies typically lodge, but not

848
00:31:44,359 --> 00:31:44,859
necessarily,

849
00:31:45,559 --> 00:31:47,899
would bid on locations or areas,

850
00:31:48,535 --> 00:31:50,855
and then get funding to build out those

851
00:31:50,855 --> 00:31:51,355
locations.

852
00:31:52,214 --> 00:31:53,434
I forbid

853
00:31:54,535 --> 00:31:55,275
the mechanism

854
00:31:55,815 --> 00:31:56,315
because

855
00:31:56,695 --> 00:31:57,195
of

856
00:31:58,295 --> 00:31:59,634
the experience that,

857
00:32:00,134 --> 00:32:02,214
during some of his grant programs states had

858
00:32:02,214 --> 00:32:05,109
that let them to try something else

859
00:32:05,490 --> 00:32:07,890
is actually delegated down to the states. So

860
00:32:07,890 --> 00:32:09,509
every state and territory

861
00:32:10,369 --> 00:32:10,869
has

862
00:32:12,289 --> 00:32:14,450
a role to determine who is gonna get

863
00:32:14,450 --> 00:32:16,230
that money, and they can impose

864
00:32:16,865 --> 00:32:19,505
conditions on that. They can't exclude somebody. As

865
00:32:19,505 --> 00:32:21,505
I said, you're too big. We can't we

866
00:32:21,505 --> 00:32:22,725
won't let you bid.

867
00:32:24,225 --> 00:32:25,365
But they can certainly

868
00:32:26,625 --> 00:32:27,125
include

869
00:32:28,799 --> 00:32:30,180
providers that are

870
00:32:30,480 --> 00:32:32,820
not big. Actually, as it turns out,

871
00:32:33,440 --> 00:32:35,539
for many of those rural areas,

872
00:32:36,880 --> 00:32:39,600
the neighbor provider is like one of the

873
00:32:39,600 --> 00:32:40,400
West that,

874
00:32:40,720 --> 00:32:42,100
Wes was talking about,

875
00:32:43,039 --> 00:32:43,539
or

876
00:32:43,945 --> 00:32:47,164
more recently because of other earlier funding programs

877
00:32:47,625 --> 00:32:48,765
is your local,

878
00:32:49,865 --> 00:32:52,184
co op electric utilities, what are called rural

879
00:32:52,184 --> 00:32:55,144
electric co ops that, provide electric service or

880
00:32:55,305 --> 00:32:57,785
and have provided electric service since the nineteen

881
00:32:57,785 --> 00:32:59,164
thirties and nineteen forties.

882
00:32:59,759 --> 00:33:00,259
I

883
00:33:00,640 --> 00:33:03,619
and many of those earlier programs have actually

884
00:33:03,680 --> 00:33:06,080
started to dole out money to that. And

885
00:33:06,080 --> 00:33:06,580
as

886
00:33:07,200 --> 00:33:09,680
early indications are, where we are in BEED

887
00:33:09,680 --> 00:33:10,799
right now, is,

888
00:33:11,279 --> 00:33:14,240
many of our smaller providers actually are bidding

889
00:33:14,240 --> 00:33:14,714
on it

890
00:33:15,194 --> 00:33:15,694
because

891
00:33:15,994 --> 00:33:18,474
we are already in that county or we

892
00:33:18,474 --> 00:33:20,634
are at least closer by, and they have

893
00:33:20,794 --> 00:33:23,934
their business model is more attractive even with

894
00:33:23,994 --> 00:33:26,154
subsidy than for the large ones. So

895
00:33:26,634 --> 00:33:27,134
Yeah.

896
00:33:27,950 --> 00:33:30,349
But states And and people do startups. I'm

897
00:33:30,349 --> 00:33:32,750
sorry? Yeah. And people do startups in this

898
00:33:32,750 --> 00:33:35,470
space as well. People people actually look at

899
00:33:35,470 --> 00:33:37,309
the grant and say there's enough grant money

900
00:33:37,309 --> 00:33:38,529
for me to get started

901
00:33:39,549 --> 00:33:40,269
digging enough

902
00:33:40,670 --> 00:33:41,890
getting enough passings

903
00:33:43,445 --> 00:33:45,845
to get a business started to all start.

904
00:33:45,845 --> 00:33:47,605
Yeah. Right. So Kind of a So I'm

905
00:33:47,605 --> 00:33:48,085
curious.

906
00:33:48,644 --> 00:33:50,005
There's been a number of people in the

907
00:33:50,005 --> 00:33:51,785
network engineering community who have,

908
00:33:52,244 --> 00:33:54,484
basically started their own provider just so they

909
00:33:54,484 --> 00:33:55,765
can get their own service. They're out in

910
00:33:55,765 --> 00:33:56,730
the middle of nowhere.

911
00:33:57,369 --> 00:33:59,529
What's the feasibility of using a program like

912
00:33:59,529 --> 00:34:01,769
this? Say you buy some farmland in Missouri

913
00:34:01,769 --> 00:34:03,609
and you can get a few people to

914
00:34:03,609 --> 00:34:05,450
kind of band with you. Is that money

915
00:34:05,450 --> 00:34:07,450
available for someone who wants to do something

916
00:34:07,450 --> 00:34:09,070
like that? Yes. So

917
00:34:11,154 --> 00:34:11,894
the constraints

918
00:34:12,355 --> 00:34:15,894
are really in two dimensions. Namely, one is

919
00:34:17,394 --> 00:34:20,034
the areas that you bid on is in

920
00:34:20,034 --> 00:34:23,174
many states, about half of states really, are

921
00:34:23,394 --> 00:34:23,894
in

922
00:34:24,849 --> 00:34:27,409
chunks of area as opposed to individual locations.

923
00:34:27,409 --> 00:34:29,409
So you can't just have one location or

924
00:34:29,409 --> 00:34:31,969
10. You probably have to serve at least

925
00:34:31,969 --> 00:34:33,489
in most states, I would say a few

926
00:34:33,489 --> 00:34:34,949
hundred in most cases.

927
00:34:35,409 --> 00:34:38,130
So your super micro startup that is just

928
00:34:38,130 --> 00:34:39,109
serving a neighborhood

929
00:34:39,650 --> 00:34:41,945
might have trouble if they don't want to

930
00:34:41,945 --> 00:34:42,445
professionalize

931
00:34:42,744 --> 00:34:44,364
sort of side to do that.

932
00:34:44,905 --> 00:34:46,605
The second part is

933
00:34:46,905 --> 00:34:47,545
so that's

934
00:34:48,184 --> 00:34:50,364
it probably doesn't make sense to apply

935
00:34:50,664 --> 00:34:53,224
for just a few location unless you're already

936
00:34:53,224 --> 00:34:54,765
in the business, like,

937
00:34:55,610 --> 00:34:56,829
for other reasons.

938
00:34:57,210 --> 00:34:59,369
You can extend that. And indeed, there have

939
00:34:59,369 --> 00:35:02,409
been winners in the early grant cycles that

940
00:35:02,409 --> 00:35:03,469
have already concluded,

941
00:35:04,170 --> 00:35:06,809
like in Nevada and Louisiana, which are two

942
00:35:06,809 --> 00:35:10,250
states, fairly rural states, where the process has

943
00:35:10,250 --> 00:35:11,144
already finished,

944
00:35:11,545 --> 00:35:12,765
the allocation process,

945
00:35:13,144 --> 00:35:15,144
is that you actually had windows that only

946
00:35:15,144 --> 00:35:18,125
had, like, 50 locations because they were units

947
00:35:18,184 --> 00:35:18,844
that small.

948
00:35:19,704 --> 00:35:20,844
The second one,

949
00:35:21,545 --> 00:35:23,485
which is somewhat state specific

950
00:35:24,184 --> 00:35:24,684
is

951
00:35:25,380 --> 00:35:27,079
that states have the obligation

952
00:35:27,460 --> 00:35:29,559
to ensure that any bidder

953
00:35:29,940 --> 00:35:33,799
is actually financially and technically capable of delivering

954
00:35:34,099 --> 00:35:34,839
on their

955
00:35:35,779 --> 00:35:36,279
bid

956
00:35:36,819 --> 00:35:37,319
because

957
00:35:38,204 --> 00:35:41,405
of bad experiences in previous grand rounds that

958
00:35:41,405 --> 00:35:43,325
were done by the FCC and other in

959
00:35:43,325 --> 00:35:45,265
state entities and USDA.

960
00:35:46,605 --> 00:35:48,864
You had entities that took the money

961
00:35:49,244 --> 00:35:50,785
and let's say let's be

962
00:35:51,230 --> 00:35:54,530
charitable. They believed that they actually could deliver

963
00:35:55,150 --> 00:35:56,130
and then discovered

964
00:35:56,429 --> 00:35:58,289
that was harder than they thought.

965
00:35:58,829 --> 00:35:59,489
As in,

966
00:36:00,829 --> 00:36:03,309
their business model didn't quite work out or

967
00:36:03,309 --> 00:36:04,609
they couldn't get financing

968
00:36:05,069 --> 00:36:05,569
or

969
00:36:06,074 --> 00:36:08,094
they didn't have a technology capability

970
00:36:08,394 --> 00:36:09,214
or people

971
00:36:09,755 --> 00:36:12,974
all started started more recently subscribing to Starlink

972
00:36:13,034 --> 00:36:15,275
instead. So they didn't get the customers and

973
00:36:15,275 --> 00:36:16,574
so they had to

974
00:36:17,034 --> 00:36:20,170
close down the business overall or whatever it

975
00:36:20,170 --> 00:36:22,250
happened to be. There's been a number of

976
00:36:22,250 --> 00:36:23,309
companies, unfortunately.

977
00:36:24,250 --> 00:36:24,750
I

978
00:36:25,769 --> 00:36:26,269
both

979
00:36:26,890 --> 00:36:29,710
parts of big companies that took lands and,

980
00:36:30,090 --> 00:36:31,550
a number of smaller companies

981
00:36:31,849 --> 00:36:33,735
where one company that's got,

982
00:36:35,735 --> 00:36:36,795
his name is,

983
00:36:37,255 --> 00:36:39,355
cited quite often as kind of a

984
00:36:39,974 --> 00:36:42,075
glowing example called LTD.

985
00:36:42,695 --> 00:36:45,114
And, to bid on a lot of FCC

986
00:36:45,175 --> 00:36:46,795
funds and ended up,

987
00:36:47,900 --> 00:36:51,099
not getting those NBN because the perception was

988
00:36:51,099 --> 00:36:53,260
it just couldn't deliver it. And others who

989
00:36:53,260 --> 00:36:56,000
have defaulted, others smaller to midsize providers

990
00:36:56,780 --> 00:36:59,420
who have defaulted on their early obligations. So

991
00:36:59,420 --> 00:37:01,905
your hypothetical neighborhood association

992
00:37:02,684 --> 00:37:05,184
would have to show to the satisfaction

993
00:37:05,484 --> 00:37:06,304
of a state

994
00:37:06,844 --> 00:37:09,505
that they are capable financially and technically

995
00:37:10,045 --> 00:37:10,784
to deliver

996
00:37:11,244 --> 00:37:12,304
service because

997
00:37:13,405 --> 00:37:14,065
you don't,

998
00:37:14,650 --> 00:37:16,889
a, there's a fraud risk. People will take

999
00:37:16,889 --> 00:37:19,369
money and run, but there's also a risk

1000
00:37:19,369 --> 00:37:21,710
since this is a one time program.

1001
00:37:22,489 --> 00:37:24,329
If you find yourself, you bid it out

1002
00:37:24,329 --> 00:37:26,670
to a promising looking neighborhood association,

1003
00:37:27,965 --> 00:37:30,364
that didn't quite get back together, then all

1004
00:37:30,364 --> 00:37:32,684
those locations in year two and three when

1005
00:37:32,684 --> 00:37:34,704
it's obvious that they're not gonna deliver,

1006
00:37:35,485 --> 00:37:37,405
and they say, sorry. It didn't work out.

1007
00:37:37,405 --> 00:37:39,644
We tried, but, man, it didn't quite we

1008
00:37:39,644 --> 00:37:40,545
can't do it.

1009
00:37:40,844 --> 00:37:42,525
Then what are you gonna do with those

1010
00:37:42,525 --> 00:37:43,025
locations?

1011
00:37:43,380 --> 00:37:45,000
Because the program is over.

1012
00:37:46,260 --> 00:37:48,260
You may not have money left to do

1013
00:37:48,260 --> 00:37:50,839
it, and there's no obvious way to reallocate

1014
00:37:50,900 --> 00:37:53,000
the money for whatever reasons. So,

1015
00:37:53,779 --> 00:37:54,839
you have a

1016
00:37:55,380 --> 00:37:56,819
a bit of a risk that the state

1017
00:37:56,819 --> 00:37:57,960
takes at that point.

1018
00:37:58,994 --> 00:37:59,494
Cool.

1019
00:37:59,795 --> 00:38:01,315
Well, we actually need to wrap up. This

1020
00:38:01,315 --> 00:38:03,554
is a very fascinating topic, though. And I

1021
00:38:03,554 --> 00:38:05,894
don't think a lot of network engineers know

1022
00:38:06,355 --> 00:38:09,014
about all of the side revenue or side

1023
00:38:09,474 --> 00:38:11,815
avenues to go into to think about

1024
00:38:12,190 --> 00:38:14,510
starting a WISP or, you know, starting a

1025
00:38:14,510 --> 00:38:16,210
small business doing this or,

1026
00:38:16,909 --> 00:38:19,230
just, you know, all these little providers that

1027
00:38:19,230 --> 00:38:20,929
might be out there doing stuff.

1028
00:38:22,349 --> 00:38:23,730
So, yeah, I don't know.

1029
00:38:24,349 --> 00:38:26,190
Any more comments before we wrap up? Because

1030
00:38:26,190 --> 00:38:27,630
I know it's, like, we got, like, two

1031
00:38:27,630 --> 00:38:28,984
minutes, so we need to wrap

1032
00:38:30,884 --> 00:38:34,005
up. So anything hinting, before we wrap up?

1033
00:38:34,005 --> 00:38:36,565
And we we can continue the conversation later

1034
00:38:36,565 --> 00:38:37,605
if you want to if you want to

1035
00:38:37,605 --> 00:38:40,484
create another do another recording. But Yeah. We

1036
00:38:40,484 --> 00:38:43,579
can do that. Because I started at the,

1037
00:38:45,099 --> 00:38:47,260
kind of a beginning where we are it's

1038
00:38:47,260 --> 00:38:49,599
just to kind of give a a snapshot

1039
00:38:50,219 --> 00:38:52,960
of wherever a program is. So currently,

1040
00:38:53,500 --> 00:38:54,000
on

1041
00:38:54,380 --> 00:38:57,325
most states have completed what is known as

1042
00:38:57,325 --> 00:38:59,905
the challenge process where community organizations

1043
00:39:00,285 --> 00:39:00,785
could

1044
00:39:01,244 --> 00:39:02,945
collect the maps that the FCC

1045
00:39:03,244 --> 00:39:05,345
based on provider input provided,

1046
00:39:07,325 --> 00:39:08,590
which then,

1047
00:39:09,130 --> 00:39:12,590
made additional locations available or removed some locations

1048
00:39:12,730 --> 00:39:13,550
from consideration.

1049
00:39:14,250 --> 00:39:14,750
And

1050
00:39:15,050 --> 00:39:17,530
then states will be in the allocation phase,

1051
00:39:17,530 --> 00:39:20,010
which will be taking place assuming when your

1052
00:39:20,010 --> 00:39:20,510
administration

1053
00:39:20,969 --> 00:39:22,730
doesn't change its mind. I'm on all of

1054
00:39:22,730 --> 00:39:23,050
that,

1055
00:39:24,224 --> 00:39:26,164
this year largely. And then,

1056
00:39:26,945 --> 00:39:29,985
service providers have four years to build out

1057
00:39:29,985 --> 00:39:31,365
service. So we're talking

1058
00:39:31,825 --> 00:39:33,345
starting in 2026

1059
00:39:33,345 --> 00:39:36,780
largely. I know I'm on reasonable prediction. Like

1060
00:39:36,780 --> 00:39:38,160
I said, three states,

1061
00:39:39,099 --> 00:39:41,420
have already completed that. They have they can

1062
00:39:41,420 --> 00:39:42,239
start now.

1063
00:39:42,539 --> 00:39:43,440
But we have a,

1064
00:39:44,059 --> 00:39:47,980
53 entities, states, and territories will probably start

1065
00:39:47,980 --> 00:39:49,920
building in 2026.

1066
00:39:50,954 --> 00:39:52,954
Cool. Awesome. Well, let's do another show on

1067
00:39:52,954 --> 00:39:54,474
this because this is interesting, but we do

1068
00:39:54,474 --> 00:39:57,114
need to wrap up. So Henning, where can

1069
00:39:57,114 --> 00:39:59,775
people find you or follow you if they

1070
00:40:00,075 --> 00:40:02,255
want to? I I assume

1071
00:40:02,715 --> 00:40:04,555
you might you might blog or at least

1072
00:40:04,555 --> 00:40:05,934
LinkedIn or something. Right?

1073
00:40:06,849 --> 00:40:08,630
Excuse me. I'm not currently blogging.

1074
00:40:09,809 --> 00:40:10,309
Okay.

1075
00:40:10,769 --> 00:40:12,070
So I'm on,

1076
00:40:12,690 --> 00:40:13,409
Blue Sky,

1077
00:40:13,889 --> 00:40:15,670
so they can follow me then.

1078
00:40:16,050 --> 00:40:18,690
And my last name is officially unique. You

1079
00:40:18,690 --> 00:40:20,550
probably won't have difficulty finding

1080
00:40:21,474 --> 00:40:22,835
it. Okay. We'll put that in the show

1081
00:40:22,835 --> 00:40:25,574
notes. Alright. Tom, where can people find you?

1082
00:40:25,875 --> 00:40:26,375
LinkedIn.

1083
00:40:27,635 --> 00:40:30,114
So, so easy. Alright. I'm Russ White. You

1084
00:40:30,114 --> 00:40:31,574
can find me here on the hedge

1085
00:40:31,954 --> 00:40:34,599
at rule 11 Tech. You can find me

1086
00:40:34,599 --> 00:40:37,579
on LinkedIn and on x as routing geek.

1087
00:40:38,039 --> 00:40:40,119
And I don't know. I'm I'm not on

1088
00:40:40,119 --> 00:40:41,639
all those places all the time, but I'm

1089
00:40:41,639 --> 00:40:43,159
fairly easy to find. So if you wanna

1090
00:40:43,159 --> 00:40:45,320
find me, make suggestions for the show or

1091
00:40:45,320 --> 00:40:45,820
whatever,

1092
00:40:46,760 --> 00:40:48,599
we thank you very much for listening all

1093
00:40:48,599 --> 00:40:49,454
the way to the

1094
00:40:50,015 --> 00:40:52,515
bitter end of this episode of The Hedge.

1095
00:40:53,135 --> 00:40:54,414
We know that we live in an attention

1096
00:40:54,414 --> 00:40:56,515
driven economy, and we do thank you for

1097
00:40:56,575 --> 00:40:58,414
spending the time listening to us. Thank you

1098
00:40:58,414 --> 00:41:00,894
for handing hinting for coming on, and we

1099
00:41:00,894 --> 00:41:01,469
will catch

1100
00:41:03,469 --> 00:41:03,969
you

1101
00:41:05,150 --> 00:41:05,900
next time.