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AT&T: Subsidies for Us Are Good, But Community Broadband is Bad

Some Tennessee residents and lawmakers want to know why it's ok for AT&T to take billions in government subsidies, while simultaneously fighting expansion of taxpayer-assisted community broadband efforts in the State. According to the Times Free Press, AT&T is taking increased heat in the state for its ability to quite literally write and buy a state law that prohibits towns and cities from building their own broadband networks -- even in instances where AT&T refuses to serve them. Similar laws have been passed in twenty states.

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In Tennessee, Chattanooga's EPB has been urging lawmakers to retract the law, which blocks the gigabit fiber provider from expanding into new territory and more intensely competing with AT&T. State lawmakers, heavily influenced by AT&T lobbyists, have ignored these requests for years.

But last year the FCC decided to jump into the debate and try to dismantle AT&T's protectionist law, saying it conflicted with the FCC's goal of ensuring timely broadband deployment. Nudged by AT&T, Tennessee quickly sued the FCC, claiming the agency was violating states' rights (that AT&T is allowed to write state laws and ignore citizen rights is apparently ok).

The national attention from the FCC's assault has AT&T on its heels. To the point where people are starting to realize that this isn't really a partisan issue, it's solely about AT&T passing awful laws that strip away local rights and only benefit AT&T. One Republican lawmaker was reduced to calling AT&T a villain during debate this week over a law that would end AT&T's protectionism:

quote:
"We're talking about AT&T," Sen. Todd Gardenhire, R-Chattanooga, bluntly told a rally of business owners, families and local officials gathered in the state Capitol. "They're the most powerful lobbying organization in this state by far." "Don't fall for the argument that this is a free market versus government battle," Gardenhire said. "It is not. AT&T is the villain here, and so are the other people and cable."
And while that attack may seem like hyperbole, what else would you call a company that buys state laws to ensure its broadband service can remain expensive and slow indefinitely? Laws that strip away the voting rights of a local community to decide for itself when it comes to issues of local infrastructure policy?

AT&T was quick to try and argue that it's ok for AT&T to take taxpayer money, but it's not ok for municipal broadband networks to do the same. The company also tried to argue that communities stepping up and improving broadband when AT&T refuses to is bad -- because AT&T's done such a great job with fixed-line broadband:

quote:
AT&T spokesman Daniel Hayes said in an email "it is incorrect to equate the common practice of government providing incentives to encourage private-sector behavior with the concept of direct government competition."

"Generating significant amounts of public debt to sustain municipal networks is a different animal," Hayes added. "Taxpayer money should not be used to over-build or compete with the private sector, which has a proven history of funding, building, operating and upgrading broadband networks. Policies that discourage private-sector investment put at risk the world-class broadband infrastructure American consumers deserve and enjoy today."
For fifteen years these protectionist laws were passed without much fanfare, ISPs like AT&T, Time Warner Cable, Comcast and CenturyLink using partisan politics to bog communities down in bickering, while campaign contributions kept politicians inline. But with many of these states some of the least broadband connected in the nation, people are slowly but surely realizing they've been had. These state laws, people have finally realized, have nothing to do with partisan politics, and are solely about protecting AT&T revenues at the cost of all else.

Most recommended from 29 comments



karlmarx
join:2006-09-18
Moscow, ID

37 recommendations

karlmarx

Member

I'm very familiar with this

I have EPB, and I can say, with zero doubt, it's by far the best ISP I've ever had. Prior to EPB, I had comcast, which charged $80.00 for 50/5, and Brighthouse, which charged $90.00 for 50/10. Right now I pay $70.00 for 1gb/1gb.
AT&T LIES. Period. The quote "Taxpayer money should not be used to over-build or compete with the private sector, which has a proven history of funding, building, operating and upgrading broadband networks.". Guess what asshole, if AT&T actually BUILT their network, and priced it similar to EPB 10 years ago, EPB would never have come into existence. But AT&T, the short sighted greedy assholes they are, decided it would be cheaper to just try and prevent muni broadband, since buying off a politician is a LOT cheaper than actually, you know, improving your network. The technology to do this has been around for 20 years, and the cost to provide FTTH has fallen almost 90% from 2005, when FIOS started.
But AT&T is a stupid lying corp, like almost all of them. I don''t blame them, they are like the scorpion and the frog. The frog being the people, who bought AT&T lies all these years, and AT&T/Comcast/etc, just doing what nature intended corporations to do.
Guess what AT&T, people have SEEN how a great muni network can be run, people have SEEN the super happy people like myself who have decided not to be raped by comcast, to get 100 times better speeds, 10,000% better customer service, all at a great price.
AT&T's lies, like the scorpion are coming back to bite them in the ass. But unlike the frog this time, the majority won't fall for it anymore.

TIGERON
join:2008-03-11
Boston, MA
Motorola MG7550

26 recommendations

TIGERON

Member

where CAF II funding ACTUALLY goes.

this is where you tax dollars are actually going (and notice that #1, AT&T CEO Randall Stephenson has been at the company since 1982). THINK.
ke4pym
Premium Member
join:2004-07-24
Charlotte, NC

20 recommendations

ke4pym

Premium Member

End Subsidies

It's time to end the subsidies to AT&T, TWC and other communications providers.

Like what's being done with solar - "if it can't stand on its own..."
sandman_1
join:2011-04-23
11111

17 recommendations

sandman_1

Member

Oh really?

quote:
"Generating significant amounts of public debt to sustain municipal networks is a different animal," Hayes added.

I love just how much they are worried about the public debt. They could give two flips about the public debt these lying sacks of you know you what. In NC, they have passed these laws thanks to AT&T and TWC. They tried about 5 times and finally got it passed through. Corporations are not people and shouldn't be allowed to lobby period. How can a regular Joe compete with a corporation that has an immense amount of money at their disposal? They can't, period. And guess who the legislators are going to listen to more. I'll give you a hint, not you. Thank you Supreme Court for screwing us!

OldschoolDSL
Premium Member
join:2006-02-23
Indian Orchard, MA

16 recommendations

OldschoolDSL

Premium Member

America is waking up

For the longest time since I can remember (I'm 34), companies such as ATT have claimed they give back to the people and that is why they should be given special status. The only special going on though is they keep giving themselves a raise and we keep taking it up the backside.

It's taken a long time for enough people to finally come to terms & not believe the lie. America is waking up.
decifal7
join:2007-03-10
Bon Aqua, TN

11 recommendations

decifal7

Member

false

Fake capitalism sucks... It's what we have in this country atm.. Otherwise ATT wouldn't have a say on the matter.. In fact.. This whole situation would likely not even be brought up as the need for service/coverage would have been taken care of in a true free market... But thanks to laws written by att and friends its hell for a startup to get traction in this country any more.

We should be ashamed of ourselves as a country to continue pretending we are free and that we are a capitalist country when in fact we are not.. If anything we are a corporation

davidc502
join:2002-03-06
Mount Juliet, TN

9 recommendations

davidc502

Member

Have the republicans woken up finally?

That remains to be seen, but it is good to hear some of the comments they are making.