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Free Internet Access Plan Now Has Two Versions Free Internet Access Plan Now Has Two Versions
By Barry Levine
December 4, 2008 10:27AM

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A Federal Communications Commission plan for a free national Internet has become two versions in advance of the FCC's scheduled vote. The new version would let innovators step in if the spectrum purchaser fails to meet the goal. T-Mobile and other industry observers are objecting, but M2Z Networks appears ready to bid in the FCC auction.
 



A plan by Federal Communications Commission Chairman Kevin Martin to provide a free national Internet network Relevant Products/Services, up for a vote by the agency later this month, has turned into two versions, according to news reports.

One would require the company that won the auction for the offered frequencies to make at least 25 percent of the spectrum available for free to most of the country. The newer version would give free, unlicensed access to some of that spectrum to innovators, if the acquiring company doesn't fulfill its promise of a free national network.

Opposed By T-Mobile

The plans are not getting accolades from some in the cell-phone industry, who are protesting that offering free Internet is not a recipe for a viable business model. T-Mobile is also objecting to interference from the free Internet, since it owns spectrum next door to the proposed free network. However, FCC engineers say there would be no significant interference.

Additionally, free-speech advocates are objecting to part of the plan that would require a filter to remove adult material for under-18 users. Users over 18 could remove the filter.

There is also a comparable plan by a startup company, M2Z Networks. Backed by technology venture-capital firm Kleiner Perkins Caufield & Byers, M2Z is proposing that consumers buy a router that offers free, midrange DSL speeds, and then pay for an upgrade to faster speeds. The business model includes advertising for the free component, and the company has said it will bid in the FCC auction if either version of the Martin plan is approved.

The FCC's initiative is seen by some observers are a retread of an earlier plan submitted by M2Z, primarily for the 2155-2180-MHz band. The auction is intended for frequencies in the 2.1-GHz Advanced Wireless Services (AWS) spectrum, which includes 2155-2180 MHz.

An Idea That Refuses to Die?

Some industry watchers have suggested that this is one more round of an idea that refuses to die. They suggest it reminds them of municipal networks, which were to be free, ad-supported wireless networks set up by cities but which have been largely derailed by financial and logistical problems.

Some observers also cite an earlier effort by the FCC to auction off the so-called D Block of spectrum, which failed to find a buyer willing to put up the minimum amount. The D-Block winner would have been required to provide a national network for public agencies in case of emergencies.

But the issue of free or inexpensive broadband access, especially to underserved areas, is heating up as President-Elect Barack Obama's administration gets ready to take office and reports indicate the U.S. is falling behind other industrialized nations in the availability and speed of broadband networks.

On Tuesday, a group of companies and nonprofits called for a national broadband strategy that would make access more affordable to anyone in the U.S. The group includes AT&T Relevant Products/Services, Google, unions and public-interest groups.
 

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