RCA Urges NTIA and RUS to Fund the Future of Wireless

Washington, DC – Today, the House Subcommittee on Communications, Technology and the Internet held a hearing to examine the implementation of the broadband programs created by the American Recovery and Reinvestment Act. Testimonies were given by Larry Strickling on behalf of NTIA and by RUS Administrator Jonathan Adelstein. RCA thanks the Subcommittee and Chairman Boucher for their continued work in overseeing the Administration’s implementation of broadband programs and urges RUS and NTIA to allocate funds on a technology neutral basis as it continues to award stimulus funding.

As NTIA and RUS announce awards for Round 1, the current trend has shown that more awards have been given to wireline projects than wireless projects, and the wireline projects also have received larger amounts of funding in almost every instance. This pattern defies Federal Communications Chairman Genachowski’s recent statement that, “It is growing clearer every day that broadband is the future of mobile and mobile is the future of broadband.” Not only are more and more consumers making the switch from wireline to wireless, but wireless technologies have also proven to be much more cost effective than the outdated wireline, particularly in rural areas. NTIA and RUS should aim to allocate funds on a technology neutral basis so as to more efficiently distribute stimulus funds, and ensure that funding awards in the second round maximize the use of taxpayer dollars and provide broadband to as many as possible.

In reaction to the Round 1 funding announcements, RCA CEO Steven K. Berry said, “I completely agree with Chairman Genachowski that wireless is the future. NTIA and RUS should look to fund the future of wireless with the lower cost efficient solution consumers want - wireless broadband. Granting less funding to wireless projects also discourages wireless projects from applying and leaves highly efficient low-cost wireless from being deployed in rural markets where consumers need broadband solutions most.”