American Cable Association Asks Congress for Rural Internet Funds

February 11, 2009

By Mike Peters

The American Cable Association (ACA) has, in separate letters, urged Senator Jay Rockefeller (D-West Virginia) and Representative Henry Waxman (D-California) to make federal assistance available to cable providers as part of the economic stimulus package in order to deliver high speed broadband service to millions of Americans in smaller markets and rural areas.

Federal Funding Could Result in Broadband Speeds up to 10 Times Faster

The ACA stated that with minimal investment, the federal government can bring faster broadband speeds to thousands of smaller markets and rural areas across the country. By making grants and loans accessible to local operators to build higher-capacity connections to the national fiber network, broadband speed would be increased by as much as 10 times. Operators in these areas have the infrastructure in place to offer faster broadband speeds right now, but cannot maximize their systems' capabilities because they cannot afford to connect to the Internet backbone which runs past rather than through their communities. As a result, these broadband providers must connect to the national fiber network through existing lower-capacity connections which slow speeds for their users.

ACA Says Smaller Cable Operators Ready to Provide Networks with Higher Capacity

"Small and medium-sized cable operators are ready and able to provide faster Internet speeds into smaller markets and rural areas," said ACA president and CEO Matthew M. Polka. "With government assistance, these broadband providers could pull the trigger on thousands of shovel-ready projects over the next 18 months that would create new jobs in this economy, and provide Main Street America faster Internet speeds. Building higher capacity backhaul connections to the national fiber network is an open and technology-neutral solution that will keep smaller markets connected to the world around them."

Polka added, "Connections to the Internet backbone with higher-speed throughputs will be invaluable to local schools, hospitals, businesses, and government. Connecting high-capacity pipes to these communities would enable them to deliver needed services, such as distance learning and tele-medicine, and compete in the global economy. Helping to fund these projects in small markets and rural areas will strengthen the economy, both locally and nationwide, and ensure that all communities have the opportunities they deserve."