Why broadband matters

By U.S. Sen. Olympia J. Snowe
(R-Maine)
    Without question, the Internet’s profound impact on our nation and the world is both monumental and undeniable.  Over the past decade we have seen a remarkable explosion of content, applications, and services that only a few years ago were surely unimaginable – and that exponential increase of extraordinary technology continues to this day and will only grow in the future. With this rapid advancement, there has been increased demand and investment in broadband – not to mention wireless broadband which is playing an increasingly significant role by providing valuable mobility, making the Internet portable.
    The advantages of broadband to communication, the economy, culture, and American competitiveness are well known and documented. According to PriceWaterhouseCoopers, workers with broadband are 270 percent more productive than workers using dial-up. A 2006 Department of Commerce report estimated that broadband added 1 to 1.4 percent to a community’s employment growth rate and .5 to 1.2 percent to a community’s new business establishment growth rate, from 1998-2002. In addition, a 2005 report by the research firm, Ovum, found that mobile wireless broadband services generated productivity gains to the U.S. economy worth $28 billion per year, and predicted that by 2016 the value of the combined mobile wireless voice and broadband productivity gains will reach $427 billion per year.
    Despite this, myriad challenges lie ahead, especially as we consider the issue of broadband spectrum use. Last year, I joined Senator John Kerry (D-Mass.) in introducing S.649, the Radio Spectrum Inventory Act – legislation requiring a thorough inventory of available radio spectrum managed by the National Telecommunications and Information Administration (NTIA) and the Federal Communications Commission (FCC). The bill represents a first step in developing proper spectrum policy reform in order to meet the future spectrum needs of all users – commercial, federal, and military. In order to free up additional spectrum, it is important that decision makers at the FCC, NTIA, and in Congress have a much clearer, more detailed, and up-to-date understanding of how spectrum is currently being used and by whom, which such inventory would provide.
    In fact, on January 5th I sent a letter to Federal Communications Commission Chairman Julius Genachowski urging the FCC to address pending spectrum policy rulemaking proceedings as part of its ongoing effort to establish a comprehensive, broadband plan for the nation. As a senior member of the Senate Committee on Commerce, Science, and Transportation, I believe that efficient spectrum use coupled with strong and effective spectrum management are essential to achieving the long-term telecommunication goals of the country.
    One of the more prominent issues involved in the FCC’s examination of spectrum policy is broadcasters’ use of spectrum. While I don’t disagree that all options should be on the table as the Commission evaluates spectrum policy, it is imperative that the FCC first clear the table of outstanding spectrum-related items that have lingered at the Commission before extensively exploring other avenues. Concluding these unresolved items could dictate what additional steps the FCC should investigate, as well as provide a much quicker time frame for rolling out additional spectrum for commercial wireless broadband services.
    The reallocation of spectrum alone will not solve the problem of a looming spectrum crisis. The solution will require a concerted effort by all decision makers and spectrum users – commercial and government – that includes spectrum reallocation, technical innovation such as MIMO [multiple-input and multiple-output], smart antennas, and cognitive radio, as well as robust spectrum management policy, which includes spectrum reuse and sharing, and fiber backhaul investment.
    One vital step in the process to create a national broadband plan, though, was announced in December by U.S. Department of Commerce Secretary Gary Locke, who outlined a new initiative that will provide $25.4 million in federal money from the American Recovery and Reinvestment Act to a Maine-based public-private consortium – which has plans to expand broadband coverage in Maine substantially. By installing 1,100 miles of fiber-optic Internet cable in predominantly rural areas of our state, the initiative will effectively create an information highway through more than 100 communities.
    The simple truth is that broadband empowers. Yet, too many households in Maine and across the country are unable to access broadband or are unaware of the incredible benefits to be reaped from it. A Pew Internet & American Life Project April 2008 survey found that some 62 percent of dial-up users said they weren’t interested in switching to broadband. That same survey also found that 33 percent of non-Internet users say they are not interested in using the Internet. This data indicates that we have a lot of educating to do – we must make sure the “digital divide” isn’t self-inflicted. Indeed, I look forward to working with my colleagues in Congress and the Administration to ensure all Americans have affordable, high-speed broadband available to them and understand the countless benefits it provides.