Thread: FCC: $9.95 broadband, $19 unlimited phone plan, cheap PCs

Cable cos. to offer $9.95 broadband for poor homes

By PETER SVENSSON - AP Technology Writer | AP – 19 mins ago...

NEW YORK (AP) — Cable companies said Wednesday that they will offer Internet service for $9.95 per month to homes with children that are eligible for free school lunches.

The offer will start next summer and is part of an initiative the Federal Communications Commission cobbled together to get more U.S. homes connected to broadband.

One third, or about 35 million homes, don't have broadband. That affects people's ability to educate themselves and find and apply for jobs, FCC Chairman Julius Genachowski said.

"The broadband adoption gap in the U.S. is very large, and the costs of digital exclusion are high and getting higher," Genachowski said.

The initiative, called Connect-to-Compete, also includes Microsoft Corp., which pledges to sell PCs with its Office software suite for $250 to low-income families. A firm called Redemtech is offering to sell refurbished computers for $150, including shipping.

For those who can't afford those prices, Morgan Stanley is pledging to develop a microfinance lending program for community-based financial institutions.

People are still signing up for broadband, but growth has slowed in recent years. For those who still haven't signed up, cost is a minor factor. Most say they're simply not interested or don't need it, according to a report by the Commerce Department based on Census Bureau data from last year.

To help address the lack of interest and computer skills, Best Buy Co., Microsoft and nonprofits such as America's Promise Alliance and United Way are promising to support the initiative with training.

All major cable companies are standing behind the $9.95 offer, which will be valid for two years. The price doesn't include taxes, but the companies are pledging to charge nothing for installation or modem rental.

The minimum download speed will be 1 megabit per second, less than one tenth of average cable speeds. Brian Dietz, a spokesman for the National Cable & Telecommunications Association, said it will be up to the individual cable companies to decide what speeds they provide.

The NCTA estimates that about 5.5 million homes that don't have broadband will be eligible for the offer. According to the Commerce Department study, 78 percent of households with school-age children already have broadband, making them far more likely to be connected than the average household.

The big broadband gap is between younger and older households: Only 45 percent of people older than 64 have broadband. Black and Hispanic households were less likely to have broadband, even when adjusting for income, according to the study.

Comcast Corp., the largest cable company and the country's largest Internet service provider, is already offering broadband to $9.95 to low-income families, with a 1.5 megabit per second download speed. It offered to do that to get regulators to approve its acquisition of NBC Universal approved.

http://news.yahoo.com/cable-cos-offer-9 ... 37713.html

New wifi-minded carrier offers unbelievable $19 unlimited phone plan

By Taylor Hatmaker, Tecca | Today in Tech – 20 hrs ago.. .

Republic Wireless could shake up phone plans in a big way, thanks to the wonders of wifi

When it comes to mobile carriers, consumers may have four major choices (for now), but they're all starting to look the same — and that isn't a good thing. But a new provider, Republic Wireless, headquartered in North Carolina, is shaking things up with a rather unbelievable $19 a month no-contract plan. That's $19 not just for unlimited calling and texting, but mobile data too.

Since more smartphones mean more strain on mobile network infrastructure, consumers watch 3G data prices rise on traditional carriers, even as a plan's data allotment is cut back. So what's the catch? Republic Wireless realizes that's a question so common it's actually included a subsection asking just that on its homepage. The company keeps costs down by routing as much of its network activity as possible over wifi internet connections, which are better equipped to handle data-intensive activities like streaming music and movies with no additional cost, assuming you don't max out your home bandwidth limits. This gives the carrier's 3G networks a little bandwidth breathing room, which translates into the $19 deal. As for traditional 3G mobile data, the carrier borrows Sprint's network; if your interest is piqued, it's worth looking into the quality of Sprint's service in your area.

But the wifi-minded carrier isn't for everyone. It employs a calculator called the Cellular Usage Index (CUI) to determine where you fall on the spectrum of mobile users. If you're a light or moderate user (one who won't put too much pressure on their networks), you're the ideal customer. But users who use up a disproportionate share of mobile bandwidth are subject to getting the boot (after a series of warnings) if they don't rein in their heavy voice and data usage.

The good news? The vast majority of mobile customers aren't data hogs. Even if you spend all day returning calls or refreshing your inbox from the palm of your hand, odds are that you fall somewhere on the middle of the spectrum. According to the carrier, "you could consume 550 minutes, send 150 texts, and download 300 megabytes of data without crossing the community's fair use threshold," and that's not even taking wifi — which has no associated cost — into account.

For now, Republic Wireless is limited to one handset: a tweaked version of the LG Optimus running Android 2.3. You can buy the no-contract phone for $99 through November 27 with the promo code "welcome19" before the price goes back up to a standard $199. That's not much choice as far as what you're toting around in your pocket, but it could be a small price to pay to break away from more traditional (and more expensive) carriers.

Ready to sign up? You'll need to have a wireless network to associate with your account, since that's what makes the deal go 'round, after all. The carrier's program is currently in a limited beta, so opt in sooner rather than later to get on board. And since you'll need to ditch your existing carrier, check out our early termination fee calculator so that jumping ship doesn't cost you an arm and a leg.

This article originally appeared on Tecca

http://news.yahoo.com/blogs/technology- ... 10215.html

Major FCC push: Cheap PCs, broadband

by Mike Snider and Roger Yu - Nov. 9, 2011 10:01 AM
USA Today

The federal government unveils on Wednesday a major escalation of its initiative to get low-cost computers and high-speed Internet service in the homes of low-income students and families.

Cox, Charter, Time Warner Cable and other Internet service providers plan to offer $9.95 monthly broadband service to households eligible for school-lunch aid, and PC refurbisher Redemtech will sell $150 laptops and desktop PCs with monitors.

The initiative is part of a stepped-up effort by the Federal Communications Commission to roll out fast Internet connections to an estimated 100 million Americans who don't have broadband and are in danger of falling behind in a technology-driven economy.

The percentage of Americans who use broadband Internet at home rose to 68% last year, but "a persistent digital divide" continues in rural communities and especially among low-income blacks and Hispanics, says a report from the Commerce Department's Economics and Statistics Administration (ESA) and National Telecommunications and Information Administration (NTIA).

As part of the FCC's Connect to Compete public-private initiative, Microsoft will develop $250 laptops and desktops aimed at low-income students and families, says FCC Chairman Julius Genachowski. Students and families can apply for micro loans to help with the cost. Morgan Stanley will develop a loan program that incorporates local lenders.

"In this difficult economy, we need everyone to be working together on solutions," Genachowski says. "Broadband is a key to economic and educational opportunity and these kinds of commitments to close the digital divide are powerful."

Last month, Genachowski detailed the initiative's plan to increase digital literacy with training at Best Buy stores and libraries, along with online learning provided by Microsoft and Web sites including Monster.com.

The low-cost broadband and PC availability is scheduled to kick off in spring 2012 in 10 to 15 pilot cities, with nationwide availability in fall 2012. The $9.95 monthly service (typical price $35-$40) is good for two years to families with at least one child in free lunch program. They must not have been a subscriber for 90 days and have no outstanding balance with the provider.SO

Redemtech's PCs will be specially designed for first-time users and include preloaded educational and careers content. Both the Redemtech and Microsoft PCs will have Windows 7 Home Premium operating system and Microsoft Office.

The NTIA study finds that only 55% of black households and 57% of Hispanics households use broadband Internet. By comparison, 72% of white households and more than 80% of Asian households do.

A lack of access to high-speed Internet is no longer a key reason why the digital divide persists, NTIA says, as broadband service is available to about 95% of households in the U.S.

Nearly half of those who didn't have broadband access said they have no interest or need for it, while about a quarter said they can't afford the service.

Karen Mossberger, a professor at the University of Illinois at Chicago who studies the issue, said the lack of interest may be a factor among senior citizens, but her studies have shown that low-income families cite high cost as as the principal barrier. "Cost is a really huge factor," she says. "Especially among African American and Hispanic groups."

Other findings from the report:

-About 80% of American households had at least one Internet user, though they may use it outside the home.

-Only 45% of older householders, particularly those ages 65 and older, have broadband at home.

-Utah (80%), New Hampshire (78%) and Washington (77%) have the highest rates of broadband adoption. Mississippi (52%), Arkansas (52%) and Alabama (56%) registered the lowest rates.

-Not surprisingly, income matters. Less than half, or 43%, of households with annual incomes below $25,000 had broadband access vs. 93% of households with incomes exceeding $100,000.

-Socio-economic differences don't explain the entire broadband adoption gap, NTIA says. Even after accounting for socio-economic and geographic factors, black and Hispanic households still lag white households in broadband adoption by 11 percentage points.

-Dial-up Internet service continues to wane. Only 3% of households relied on it in 2010, down from 5% in 2009.

http://www.azcentral.com/business/artic ... z1dEe9fQuB