Sohn Applauds New York Broadband Expansion Program, Stands Firm on FCC Muni Broadband Ruling
Gigi Sohn, counselor to FCC Chairman Tom Wheeler, commended New York for the state's billion-dollar rural broadband expansion program, during a speech Thursday at the New York State Broadband Summit. The digital divide is "shrinking" but is still an issue…
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for millions of Americans, which is why the "New NY Broadband Program" is "such a big deal," Sohn said according to written remarks. The program, a $500 million investment by the state with a 50 percent provider match, is designed to help pay for broadband to reach the state's "underserved and unserved" populations, its website said. Sohn touted the commission's recently updated broadband standard (see 1501290043) and said it would provide faster and better broadband to customers who will be reached by New York's new broadband program. Sohn also spoke on the FCC ruling to pre-empt municipal broadband laws in North Carolina, which she said prevented community broadband networks from expanding to surrounding areas. North Carolina has filed a lawsuit in the 6th Circuit Court of Appeals against the FCC (see 1505150043). Sohn told the audience that the commission "will not be afraid to act" when state laws directly conflict with federal laws and policy, and "sent a clear message" to Americans by ruling for municipal broadband. She expressed concerns about the lack of competition in the broadband market -- which one analyst said doesn't bode well for Charter's planned buy of Time Warner Cable. Sohn said traditional DSL has "not kept pace with the needs of today's consumers" and is "no longer a real alternative to faster cable and fiber networks," which has resulted in a lack of competition. BTIG's Richard Greenfield said in a blog post that Sohn's comments reinforce his views that the deal "faces a very challenging regulatory path." Sohn said that the FCC and the Department of Justice have worked to "discourage transactions that we believed would reduce competition." Greenfield noted that "new" Charter would be almost as large as Comcast -- which dropped its planned buy of TWC after facing potential regulatory challenges.