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October 2017
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San Francisco, Seattle Tire of Comcast, Mull Building Citywide Fiber Networks

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It probably goes without saying that while improving in spots, American broadband isn't much to write home about. Americans pay more money for slower service and worse customer support than a long list of developed countries. Some of that's thanks to geography, but more of it's due to a lack of competition. That lack of competition is, by proxy, thanks to our refusal to address the stranglehold these giant companies have over our federal and state regulators and lawmakers. Instead of fixing this problem, current regulators seem more interested in weakening deployment definitions to help industry pretend the problem doesn't exist.In a growing number of towns and cities, residents have increasingly pushed to either build their own broadband networks, or strike public/private partnerships to help improve service quality and availability. Instead of trying to make these efforts irrelevant by offering better service at lower rates, incumbent ISPs have focused on paying often clueless lawmakers to help pass protectionist bills restricting what locals can and can't do with their own local infrastructure and taxpayer dollars. More than twenty states have now passed laws to this effect quite literally written by ISP lobbyists.Both San Francisco and Seattle have considered building their own broadband networks in a quest to end this duopoly logjam. In Seattle, Mayoral Candidate Cary Moon is promising to build a citywide fiber network if elected, something lobbying spending indicates is making regional ISPs Comcast and CenturyLink nervous. And in San Francisco, the city is now promising to build the biggest municipal broadband network yet, with a new report (pdf) indicating the cost to connect every home and business in the city would be somewhere around $1.9 billion.Unlike some projects where the city owns both the network and the service provided on top, San Francisco's model would be open access -- meaning any ISP -- small or large -- would be invited in to compete:

"Our approach is to create as much market competition as possible at both the dark fiber and lit services layers. In this approach, the City's concessionaires would not enter the internet business, but rather would enable robust private sector competition."
Back in 2009, an FCC study found that such open access models result in more competition and lower rates (pdf). But, overly-influenced by large ISPs terrified of competition, the FCC promptly put the study in a drawer and forgot about it. Isolated municipal broadband deployments still sometimes embrace the idea, however. Like in Ammon, Idaho, where the municipal network there lets consumers switch between multiple ISPs in a matter of seconds if they're dissatisfied with their carrier. Open access was the model Google Fiber originally promised it would pursue with its own gigabit fiber build before promptly backpedaling.Over at Wired, Harvard Law Professor Susan Crawford argues that the open access model provides a good balance to ISP worries that the government itself would somehow be a competitor incentivized to disadvantage private sector companies:
The city would not be in the business of competing with existing providers in this model, but would, instead, be providing basic infrastructure that any company could usethe connectivity equivalent of a city street grid. The cost to the public of borrowing the money to build this basic networkestimated at about $1.5 billion by CTCwould be significantly lowered by leasing revenue from advance arrangements with operators. The city would subsidize low-income residents wishing to subscribe for fiber services from those private operators. CTC sets forth a detailed timeline for getting all of this done.What's great about this suggestion is that it removes any political argument that the city is somehow undermining the private market for internet access services. At the same time, a dark fiber public-private partnership would dramatically lower the cost for the private market to do what it does best: directly serve customers in a competitive environment that, on its own, produces low costs and innovation.
Over the years big ISPs and their policy armies have worked tirelessly to demonize municipal broadband as inevitable taxpayer disasters. But again, municipal broadband isn't a panacea; like any business plan it depends on the proposal and implementation. But neither is municipal broadband an automatic boondoggle, and those that adhere to this over-simplistic absolutist thinking often like to ignore a few things.Like the fact that many of these networks struggle or fail because they're immediately met with either lawsuits or massive disinformation efforts bankrolled by ISPs, designed to kill many of these efforts before they've even gotten their footing. Also ignored is the fact that taxpayers have already spent billions upon billions on incumbent ISPs that consistently engage in outright fraud and waste, leaving citizens on the financial hook for fiber upgrades promised but never deployed. Most ignored however is the fact that these towns and cities wouldn't be considering such drastic measures if they were happy with existing broadband services.Again, none of this is to say municipal broadband is a silver bullet, either. But it should be clear to anybody that has spent more than ten seconds dealing with Comcast or their local telco that the industry is broken, and it's going to take some creativity to fix it. And whether to build and run a local broadband network should be left up to local residents, not ISP lobbyists and policy wonks, living half a world away, whose entire goal is simply to keep the dysfunctional but hugely profitable status quo intact.

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posted at: 12:00am on 27-Oct-2017
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Russian Site-Blocking Operation Embroiled In Corruption Scandal

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Rozcomnadzor has been featured in our pages often as of late. The Russian agency tasked with censoring the internet for any number of reasons including copyright, discussions about illicit behavior, and supposed security risks from anonymous speech, has actually proven itself to be far better at sweeping up innocent sites in its efforts in the kind of collateral damage normally reserved for cluster bombs. This was always going to be the case with a censorship operation such as this, with the only real question being whether it would be corruption or ineptitude that would take center stage.Thus far, ineptitude has been the order of the day. But that seems to be changing, with several people at the top of Rozcomnadzor coming under investigation for what would amount to fairly blatant corruption.

News that something was potentially amiss began leaking out two weeks ago, when Russian publication Vedomosti reported on a court process in which the initials of the defendants appeared to coincide with officials at Rozcomnadzor. The publication suspected that three men were involved; Roskomnadzor spokesman Vadim Ampelonsky, head of the legal department Boris Yedidin, and Alexander Veselchakov, who acts as an advisor to the head of the department monitoring radio frequencies.The prosecution’s case indicated that the defendants were involved in “fraud committed by an organized group either on an especially large scale or entailing the deprivation of citizen’s rights.” Indeed, no further details were made available, with the head of Rozcomnadzor Alexander Zharov claiming he knew nothing about a criminal case and refusing to answer questions.
You might be suspecting that the sort of corruption alleged here involves how the agency is whitelisting or blacklisting sites in its censorship duties. It's actually corruption in the opposite direction, however. The Russian government is alleging that these three agency executives created fake employees for the organization and then siphoned the government money for their salaries into their own pockets. Government corruption being something of a Russian national pastime, you would be forgiven for thinking this would induce nothing more than shrugs from the Russian government. Still, it appears you would be very, very wrong about that.Four employees of the agency ended up being charged with fraud after what looks to be a fairly deep investigation by Russian FSB.
It’s reported that FSB officers have been spying on Rozcomnadzor officials for six months, listening to their phone conversations, monitoring their bank accounts, and even watching the ATM machines they used.Local media reports indicate that the illegal salary scheme ran from 2012 until February 2017 and involved some 20 million rubles ($347,000) of illegal payments. These were allegedly used to retain ‘valuable’ employees when their regular salaries were not lucrative enough to keep them at the site-blocking body.
The obvious question should be this: if a censorship agency like Rozcomnadzor is willing to put these kinds of corrupt practices in place up the chain to the higher levels of government, is there any doubt at all that it would behave equally or more corrupt down the chain to those under its responsibilities?

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posted at: 12:00am on 27-Oct-2017
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