Sen. Richard Blumenthal of Connecticut led a Thursday push with 23 other Democrats for the FCC to “take immediate steps to open” Lifeline program “assistance to more households, and ensure that its services meet the pressing needs of families during” the COVID-19 pandemic. House Commerce Committee Democrats also pressed for Lifeline improvements (see 2008130053). “We are alarmed that as students head back to class … there is still no national plan from the FCC to secure families’ access to their educational future,” Blumenthal and the other senators said in a letter to FCC Chairman Ajit Pai. The FCC under Pai “actively worked to undermine and destabilize the Lifeline program, which has left more families vulnerable during the pandemic.” A draft order Pai circulated last month would reduce a Dec. 1 increase of Lifeline’s minimum service standard for mobile broadband (see 2007300064). “We appreciate that the FCC issued and extended the temporary waivers in response to the pandemic to pause usage and subscriber documentation requirements,” but “by the benchmark established during previous crises, such as Hurricane Katrina, the FCC response falls far short,” the senators said. They urged the FCC to extend all current Lifeline waivers until at least August 2021 and “provide additional financial support to Lifeline providers” to support recipients’ access to unlimited mobile data and voice minutes during the pandemic. Other signers included Democratic vice presidential nominee Sen. Kamala Harris of California and Senate Communications Subcommittee ranking member Brian Schatz of Hawaii. Pai “for months has made clear that Congress needs to step up to the plate and make more funding available for connectivity during the COVID-19 pandemic,” a spokesperson emailed. “It’s therefore disappointing that Senate Democrats have failed to do their job and are refusing to find common ground with the Administration and Senate Republicans on broadband funding and other core national priorities unless they get their demand for special-interest giveaways that have nothing to do with the pandemic.” Some lawmakers and advocates believe Capitol Hill’s inability to agree on an additional COVID-19 aid bill that includes broadband funding presents an opening for the issue to become a focus during the presidential and congressional campaigns this fall (see 2008210001).
Sen. Richard Blumenthal of Connecticut led a Thursday push with 23 other Democrats for the FCC to “take immediate steps to open” Lifeline program “assistance to more households, and ensure that its services meet the pressing needs of families during” the COVID-19 pandemic. House Commerce Committee Democrats also pressed for Lifeline improvements (see 2008130053). “We are alarmed that as students head back to class … there is still no national plan from the FCC to secure families’ access to their educational future,” Blumenthal and the other senators said in a letter to FCC Chairman Ajit Pai. The FCC under Pai “actively worked to undermine and destabilize the Lifeline program, which has left more families vulnerable during the pandemic.” A draft order Pai circulated last month would reduce a Dec. 1 increase of Lifeline’s minimum service standard for mobile broadband (see 2007300064). “We appreciate that the FCC issued and extended the temporary waivers in response to the pandemic to pause usage and subscriber documentation requirements,” but “by the benchmark established during previous crises, such as Hurricane Katrina, the FCC response falls far short,” the senators said. They urged the FCC to extend all current Lifeline waivers until at least August 2021 and “provide additional financial support to Lifeline providers” to support recipients’ access to unlimited mobile data and voice minutes during the pandemic. Other signers included Democratic vice presidential nominee Sen. Kamala Harris of California and Senate Communications Subcommittee ranking member Brian Schatz of Hawaii. Pai “for months has made clear that Congress needs to step up to the plate and make more funding available for connectivity during the COVID-19 pandemic,” a spokesperson emailed. “It’s therefore disappointing that Senate Democrats have failed to do their job and are refusing to find common ground with the Administration and Senate Republicans on broadband funding and other core national priorities unless they get their demand for special-interest giveaways that have nothing to do with the pandemic.” Some lawmakers and advocates believe Capitol Hill’s inability to agree on an additional COVID-19 aid bill that includes broadband funding presents an opening for the issue to become a focus during the presidential and congressional campaigns this fall (see 2008210001).
Lifeline providers are looking to FCC Commissioner Mike O’Rielly as a potential avenue for shifting a draft order circulated last month (see 2007300064) that would change the formula setting the minimum service standard to produce an MSS of 4.5 GB per month, said an industry attorney and an FCC official. That’s lower than the 11.75 GB the MSS will require starting in December without FCC action but higher than the freeze at the current 3 GB requested by virtually all Lifeline docket commenters. “We want them to do something, but we want it to be something that won’t harm Lifeline subscribers," said Public Knowledge Senior Policy Counsel Jenna Leventoff. “Vulnerable low-income Americans shouldn’t be left behind during this COVID-19 pandemic,” said attorney Judson Hill, who represents Lifeline provider TruConnect.
Target shares reached a 52-week high Wednesday closing 12.7% higher at $154.22 after its strongest-ever quarter of same-store sales growth. Q2 comparable sales jumped 24.3% for the quarter ended Aug. 1. Stores fulfilled more than 90% of sales in the quarter, said CEO Brian Cornell. It had market share gains of $5 billion in the first half, with “unusually strong” gains across all five core categories. Cornell credited a differentiated merchandising assortment and convenient fulfillment options, on a Wednesday earnings call. Same-day services, including order pickup, drive up and Shipt, grew 273%, accounting for 6 points of comp sales growth. Store comps rose 10.9%, while digital comp sales surged 195%, comprising 13.4 points of total comp sales growth. Drive-up fulfillment grew fastest at 734%. To meet demand, Target is adding extra drive-up slots sooner than expected, from two to 12 additional parking lot spots, depending on stores’ needs, said Chief Operating Officer John Mulligan. Electronics sales shot up 70% due to increased shopping in office equipment, home electronics and gaming, said Cornell. Despite solid Q2 performance, Target is being cautious and “flexible” about back-to-school (BTS) and holiday season plans, he said. It announced plans to close on Thanksgiving for social distancing and safety, and to begin holiday promotions in October, he said. Target is extending BTS because 60% of students are learning remotely, and it’s not clear whether they will return to classrooms this fall or in January, Cornell said. At some point those students will need school supplies, he said, “so we’ve made the decision to be flexible." Despite strong Q2 results, volatility continues to be “elevated,” said Chief Financial Officer Michael Fiddelke. May was “by far the strongest month” with 33% comp growth, followed by June at 21%, and July at about 20%, he said. August month-to-date comp sales have been running in the low double digits, strong historically but an “incredibly wide swing within a few months,” he said. That’s an indicator of how difficult it is to forecast in the current climate, said Fiddelke: “Given that our Q1 performance was not a good predictor of our second quarter results, our Q2 results should not be viewed as a predictor of our performance going forward.” He didn’t provide Q3 or full-year guidance. Target paused new store openings in March but resumed construction, with plans to open 27 more stores this year. Nine are scheduled to open this month, 16-18 in October, said Mulligan.
Target shares reached a 52-week high Wednesday closing 12.7% higher at $154.22 after its strongest-ever quarter of same-store sales growth. Q2 comparable sales jumped 24.3% for the quarter ended Aug. 1. Stores fulfilled more than 90% of sales in the quarter, said CEO Brian Cornell. It had market share gains of $5 billion in the first half, with “unusually strong” gains across all five core categories. Cornell credited a differentiated merchandising assortment and convenient fulfillment options, on a Wednesday earnings call. Same-day services, including order pickup, drive up and Shipt, grew 273%, accounting for 6 points of comp sales growth. Store comps rose 10.9%, while digital comp sales surged 195%, comprising 13.4 points of total comp sales growth. Drive-up fulfillment grew fastest at 734%. To meet demand, Target is adding extra drive-up slots sooner than expected, from two to 12 additional parking lot spots, depending on stores’ needs, said Chief Operating Officer John Mulligan. Electronics sales shot up 70% due to increased shopping in office equipment, home electronics and gaming, said Cornell. Despite solid Q2 performance, Target is being cautious and “flexible” about back-to-school (BTS) and holiday season plans, he said. It announced plans to close on Thanksgiving for social distancing and safety, and to begin holiday promotions in October, he said. Target is extending BTS because 60% of students are learning remotely, and it’s not clear whether they will return to classrooms this fall or in January, Cornell said. At some point those students will need school supplies, he said, “so we’ve made the decision to be flexible." Despite strong Q2 results, volatility continues to be “elevated,” said Chief Financial Officer Michael Fiddelke. May was “by far the strongest month” with 33% comp growth, followed by June at 21%, and July at about 20%, he said. August month-to-date comp sales have been running in the low double digits, strong historically but an “incredibly wide swing within a few months,” he said. That’s an indicator of how difficult it is to forecast in the current climate, said Fiddelke: “Given that our Q1 performance was not a good predictor of our second quarter results, our Q2 results should not be viewed as a predictor of our performance going forward.” He didn’t provide Q3 or full-year guidance. Target paused new store openings in March but resumed construction, with plans to open 27 more stores this year. Nine are scheduled to open this month, 16-18 in October, said Mulligan.
Target shares reached a 52-week high Wednesday as the stock closed 12.7% higher at $154.22 after its strongest-ever quarter of same-store sales growth. Q2 comparable sales jumped 24.3% for the quarter ended Aug. 1. Stores fulfilled more than 90% of sales in the quarter, said CEO Brian Cornell. The retailer had market share gains of $5 billion in the first half, with “unusually strong” gains across all five core categories. Cornell credited a differentiated merchandising assortment and convenient fulfillment options, on a Wednesday earnings call.
House Commerce Committee Chairman Frank Pallone of New Jersey and 14 other committee Democrats urged the FCC Thursday to “provide unlimited voice minutes and unlimited mobile data to Lifeline recipients for the duration” of the COVID-19 pandemic, and increase “the basic support amount to cover the incidental costs of such increased benefit.” Talks between Congress and President Donald Trump’s administration on a compromise for the next pandemic aid bill appeared Thursday to be on pause until after Labor Day, as Senate leaders scheduled their next votes for Sept. 8. The House is already on recess and isn’t expected to return until Sept. 14. “We will have our regular pro forma meetings” and if Hill Democratic leaders “decide to finally let another package move forward … it would take bipartisan consent to meet for legislative business sooner than scheduled,” Senate Majority Leader Mitch McConnell, R-Ky., told reporters. Senate Republicans’ proposal last month for the next aid measure contained few telecom and tech provisions (see 2007280059). House Democrats had more tech and telecom language in their Health and Economic Recovery Omnibus Emergency Solutions Act (HR-6800), including broadband funding (see 2005130059). The FCC “has taken some small steps since March to tweak the Lifeline program’s rules, much bolder action is necessary,” House Commerce Democrats said in their letter to FCC Chairman Ajit Pai. “Regrettably, the Senate has yet to consider any meaningful action to assist low-income consumers in affording broadband during this pandemic,” so it’s “all the more critical that the FCC use all of its authorities to ensure that the American people have access to internet services at an affordable cost.” The lawmakers also faulted Pai’s draft order to reduce a Dec. 1 increase of Lifeline’s minimum service standard for mobile broadband (see 2007300064). The proposal appears “to ignore the fact that coronavirus cases continue to rise, and the country has experienced nineteen consecutive weeks of over one million unemployment claims,” the Democrats said. Other signers included House Commerce Vice Chair Yvette Clarke, D-N.Y., Communications Subcommittee Chairman Mike Doyle, D-Pa., and subpanel Vice Chair Doris Matsui, D-Calif. Pai “for months has made clear that Congress needs to step up to the plate and make more funding available for connectivity during” the epidemic, a spokesperson emailed. “It’s therefore disappointing that House Democrats have failed to do their job and are refusing to find common ground with the Administration and congressional Republicans on broadband funding and other core national priorities unless they get their demand for special-interest giveaways that have nothing to do with the pandemic, like tax cuts for the rich in states like New York, New Jersey, and California.”
House Commerce Committee Chairman Frank Pallone of New Jersey and 14 other committee Democrats urged the FCC Thursday to “provide unlimited voice minutes and unlimited mobile data to Lifeline recipients for the duration” of the COVID-19 pandemic, and increase “the basic support amount to cover the incidental costs of such increased benefit.” Talks between Congress and President Donald Trump’s administration on a compromise for the next pandemic aid bill appeared Thursday to be on pause until after Labor Day, as Senate leaders scheduled their next votes for Sept. 8. The House is already on recess and isn’t expected to return until Sept. 14. “We will have our regular pro forma meetings” and if Hill Democratic leaders “decide to finally let another package move forward … it would take bipartisan consent to meet for legislative business sooner than scheduled,” Senate Majority Leader Mitch McConnell, R-Ky., told reporters. Senate Republicans’ proposal last month for the next aid measure contained few telecom and tech provisions (see 2007280059). House Democrats had more tech and telecom language in their Health and Economic Recovery Omnibus Emergency Solutions Act (HR-6800), including broadband funding (see 2005130059). The FCC “has taken some small steps since March to tweak the Lifeline program’s rules, much bolder action is necessary,” House Commerce Democrats said in their letter to FCC Chairman Ajit Pai. “Regrettably, the Senate has yet to consider any meaningful action to assist low-income consumers in affording broadband during this pandemic,” so it’s “all the more critical that the FCC use all of its authorities to ensure that the American people have access to internet services at an affordable cost.” The lawmakers also faulted Pai’s draft order to reduce a Dec. 1 increase of Lifeline’s minimum service standard for mobile broadband (see 2007300064). The proposal appears “to ignore the fact that coronavirus cases continue to rise, and the country has experienced nineteen consecutive weeks of over one million unemployment claims,” the Democrats said. Other signers included House Commerce Vice Chair Yvette Clarke, D-N.Y., Communications Subcommittee Chairman Mike Doyle, D-Pa., and subpanel Vice Chair Doris Matsui, D-Calif. Pai “for months has made clear that Congress needs to step up to the plate and make more funding available for connectivity during” the epidemic, a spokesperson emailed. “It’s therefore disappointing that House Democrats have failed to do their job and are refusing to find common ground with the Administration and congressional Republicans on broadband funding and other core national priorities unless they get their demand for special-interest giveaways that have nothing to do with the pandemic, like tax cuts for the rich in states like New York, New Jersey, and California.”
“Sell-in” demand in the computing segment at Alpha & Omega Semiconductor (AOS) was “OK” for fiscal Q4 ended June 30, said Executive Vice President Stephen Chang on a Tuesday investor call. But the increased PC sell-through was “quite dramatic,” due to widespread COVID-19 work-from-home and remote-learning, he said. AOS supplies power semiconductors for laptops, LCD TVs, smartphones and other applications and can be a bellwether of consumer tech demand. Many AOS customers that paused production in calendar Q1 through the pandemic’s factory lockdowns “were catching up in the June quarter,” said Chang. “End demand” in computing remained strong through the quarter, “and we were able to meet it with ramping supply” from the fab in Chongqing, China, he said. Revenue in the consumer segment increased 37.5% sequentially and 31.7% year over year, said Chang. “COVID-driven home-sheltering boosted sales of gaming, TVs and home appliances, enabling those segments to achieve healthy growth,” he said. AOS expects double-digit growth in its consumer segment for the September quarter, “driven by home entertainment, gaming and TVs,” said Chang. COVID-19 robbed 2020 of much of its “normal seasonality,” said Chang. Work-from-home and remote-learning mandates are putting the computing segment on a “very healthy” track for the September quarter, said Chang. “We really need to wait and see how demand changes, but right now, it still looks strong.” Smartphone OEMs didn't “pull back production until the June quarter,” said Chang. “But then coming into the September quarter, they're actually starting up production pretty heavily again in anticipation of possibly another factory shutdown” for the next wave of COVID-19 cases in the fall, he said. The stock closed 21.4% higher Wednesday at $13.88.
“Sell-in” demand in the computing segment at Alpha & Omega Semiconductor (AOS) was “OK” for fiscal Q4 ended June 30, said Executive Vice President Stephen Chang on a Tuesday investor call. But the increased PC sell-through was “quite dramatic,” due to widespread COVID-19 work-from-home and remote-learning, he said. AOS supplies power semiconductors for laptops, LCD TVs, smartphones and other applications and can be a bellwether of consumer tech demand. Many AOS customers that paused production in calendar Q1 through the pandemic’s factory lockdowns “were catching up in the June quarter,” said Chang. “End demand” in computing remained strong through the quarter, “and we were able to meet it with ramping supply” from the fab in Chongqing, China, he said. Revenue in the consumer segment increased 37.5% sequentially and 31.7% year over year, said Chang. “COVID-driven home-sheltering boosted sales of gaming, TVs and home appliances, enabling those segments to achieve healthy growth,” he said. AOS expects double-digit growth in its consumer segment for the September quarter, “driven by home entertainment, gaming and TVs,” said Chang. COVID-19 robbed 2020 of much of its “normal seasonality,” said Chang. Work-from-home and remote-learning mandates are putting the computing segment on a “very healthy” track for the September quarter, said Chang. “We really need to wait and see how demand changes, but right now, it still looks strong.” Smartphone OEMs didn't “pull back production until the June quarter,” said Chang. “But then coming into the September quarter, they're actually starting up production pretty heavily again in anticipation of possibly another factory shutdown” for the next wave of COVID-19 cases in the fall, he said. The stock closed 21.4% higher Wednesday at $13.88.