National Broadband Plan:
National Purposes Update
Commission Meeting
February 18, 2010
27 days until Plan is due
The National Purposes mandate
American Recovery and
Reinvestment Act,
§6001(k)(2)(D):
“a plan for use of broadband
infrastructure and services in:
- advancing consumer welfare
- civic participation
- public safety and homeland
security
- community development
- health care delivery
- energy independence and
efficiency
- education
- worker training
- private sector investment
- entrepreneurial activity
- job creation and economic
growth
- and other national
purposes.”
2
The National Purposes mandate
American Recovery and
Reinvestment Act,
§6001(k)(2)(D):
“a plan for use of broadband
Discussed in:
infrastructure and services in:
- advancing consumer welfare
Innovation and
- civic participation
Investment
- public safety and homeland
security
- community development
Inclusion
- health care delivery
- energy independence and
efficiency
- education
- worker training
- private sector investment
- entrepreneurial activity
- job creation and economic
growth
- and other national
purposes.”
3
The National Purposes mandate
American Recovery and
Reinvestment Act,
Healthcare
§6001(k)(2)(D):
“a plan for use of broadband
infrastructure and services in:
- advancing consumer welfare
Education
- civic participation
- public safety and homeland
security
Energy and
- community development
the environment
- health care delivery
- energy independence and
Government performance
efficiency
and civic engagement
- education
- worker training
Public safety and
- private sector investment
homeland security
- entrepreneurial activity
- job creation and economic
growth
Economic opportunity
- and other national
purposes.”
4
A vision for “high performance America”
• Make government more effective, efficient, and
transparent
• Ensure that public investments are aligned and
forward-thinking
• Create the conditions for innovation and America’s
competitive advantage in key strategic areas
• Unlock the value of data for new applications and
research
5
Healthcare
6
Healthcare
As a platform for innovation and information exchange,
broadband helps improve health outcomes
7
Source: AirStrip Technologies, Intel, Medtronic, CardioNet, Corventis
Healthcare
E-care could result in significant cost savings
Possible savings from
Possible savings from
implementation of electronic
implementation of remote
health records over 15 years
monitoring over 25 years
$Billions
$Billions
513
142
$700B in
371
potential
net
197
savings
16
24
over 15-
25 years
55
102
Hospitals Physician
Total
Heart
DiabetesPulmonary Skin
Total
practices
disease
disease
disease
8
Source: Health Affairs; Robert Litan
Healthcare
The U.S. ranks in the bottom half among developed countries on
every metric used to measure health IT adoption
Gaps
Issues
• Providers bear the implementation costs but do not receive
Misaligned economic
proportionate benefits
incentives
• CMS reimburses about $2 million in telehealth from a
$300B+ budget
Outdated regulations
• Access to care is hindered by rules that limit where and how
physicians can practice
• Innovation is threatened by regulatory grey area
Lack of data and information
• Data are often held in proprietary systems that make
aggregation and exchange difficult
access
• Regulations limit consumer access to personal health data
Insufficient broadband
• At least 3,600 small providers face a connectivity gap
connectivity
• Providers face dramatic price differentials for connectivity
• About 90% of Indian Health Services sites have no more
than a T1 line
Source: The Commonwealth Fund; Federal Register (CMS), CMS; OBI team analysis
9
Healthcare
Framework for recommendations
Creating the incentives for broader health IT
1
adoption and innovation
Modernizing regulations to increase access to care
2
and enable health IT adoption
Driving innovative applications and advanced
3
analytics
Ensuring all providers have access
4
to affordable broadband
10
Healthcare
Creating the conditions for broader adoption and
1
innovation
Create incentives for adoption of e-care technologies
- Increase e-care pilots that evaluate cost savings & clinical
outcomes
- Expand reimbursement for e-care under current fee-for-service
model where outcomes are proven
- Provide Congress with a plan to realize the value of e-care
11
Healthcare
Reducing regulatory barriers to increase access to
2
care and maximize value
• Revise credentialing, privileging and state licensing
requirements to enable e-care
• Clarify regulatory requirements and the approval
process for converged communications and
healthcare devices
12
Healthcare
Improving the utilization of health data to drive
3
innovative applications and advanced analytics
• Create next-generation interoperability across clinical,
research and administrative data
• Ensure patients have access to and control over their
health data
13
Healthcare
Ensuring all providers have access to affordable
4
broadband
• Transform the Rural Healthcare Program
- Subsidize ongoing broadband costs for delivery locations
- Subsidize network deployment to delivery locations where
existing networks are insufficient
- Expand the definition of eligible providers
- Require participating institutions to meet outcomes-based
performance measures
• Upgrade Indian Health Service broadband service
• Track and publish progress on broadband connectivity in
healthcare facilities
14
Education
15
Education
As a platform for information exchange, broadband helps
personalize instruction so students learn more
Source: National Radio Astronomy Observatory (NRAO) and NASA; John Lang; Hubert Lee
16
Education
Online instruction pilots reveal significant opportunity to
advance achievement
Comparison of results between traditional
Comparison of Advanced Placement scores at
and hybrid instruction models
Florida Virtual School and traditional instructional
Percentages
models
Advanced Placement Scores, 1-5 Scale
Traditional
Hybrid
100%
99%
3.05
84% 85%
2.49
2.56
50%
41%
Outcomes
Effort/Hours
Completion
FLVS students
Public school
State average (al
students
students)
Sources: Carnegie Mellon, Open Learning Initiative, Lovett et al., and Joel Smith testimony to FCC, Florida
Tax Watch
17
Education
Gaps prevent education from taking full advantage of
broadband
Gaps
Issues
Insufficient connectivity
• School and classroom bandwidth demands to rise
dramatically over the next few years
• 16% of public community college campuses have high
speed broadband v. 91% of research universities
Limitations on online
• Regulations inhibit online learning: teachers often cannot
teach across state lines; course accreditation is often based
learning systems and
on “seat time”, not outcomes
content
• Limited supply of high quality online learning systems and
digital content
• Limited digital literacy skills among teachers and students
Limited data access &
• Only 37% of teachers have electronic access to
lack of transparency
achievement data for their students
• Data integration is one of the most challenging problems
facing schools
Source: Educause, US Department of Education
18
Education
Framework for recommendations
1
Upgrading E-rate
2
Supporting and promoting online learning
Unlocking the power of data to personalize
3
learning and improve decision-making
19
Education
1
Upgrading E-rate
• Increase flexibility and bandwidth
- Permit off-hours community use
- Set goals for school and library connectivity
- Support more flexibility in infrastructure development
- Support more internal connections
• Improve program efficiency
- Streamline application process
- Improve cost efficiency and data collection
- Collect better data
- Index cap to inflation
• Foster innovation with pilot programs
- Support wireless connectivity to devices on and off-campus
- Award some funds competitively
• Improve connectivity of community colleges
20
Education
2
Supporting and promoting online learning
• Increase supply of digital content
- Develop standards for government-generated content
- Make federal content digital
- Provide incentives for publishers
- Simplify copyright regime to encourage contributions
• Promote digital literacy
- Support standards for digital skills
- Fund integration of digital literacy and STEM into curriculum
• Expand online learning solutions
- Remove regulatory barriers
- Fund research & development and investment
- Consider open license as option for federal investments
21
Education
Unlocking the power of data to personalize learning and
3
improve decision-making
• Foster adoption of Electronic Educational Records
• Develop standards for financial data transparency
• Create an online RFP broadcast service to increase
market information
22
Energy and the environment
23
Energy and the
environment
As a platform for innovation, broadband helps consumers
understand and manage their energy use
24
Energy and the
environment
A smarter grid and smarter homes can have significant
impact on carbon emissions and customer bills
A Smarter Grid and Smarter
Buildings offer significant emissions
savings opportunities
• Providing consumers
energy information could
Annual emissions savings,
reduce consumption by 5-
MM tons CO2
15% (a $60-$180 annual
480
500
savings per home)
440
450
400
360
360
350
340
• Dynamic pricing and
320
smart home technologies
300
can reduce peak demand
250
270
by 27%-44%
240
200
230
130
150
100
100
50
70
0
Smart Grid
Road
Smart
Travel
Transportation
Buildings
Substitution
Sources: "Smart 2020: Enabling the Low Carbon Economy in the Information Age. United
States Report Addendum“, GESI and BCG, Nov. 2008; Google; Faraqui and Sergici
25
Energy and the
environment
Broadband and national energy challenges
Gaps
Issues
Lack of broadband to the
• Utilities’ private networks are often narrowband solutions
smart grid
that can’t support growing number of endpoints
• Unlicensed spectrum solutions may be suboptimal for
mission-critical control applications
• Commercial data networks are not ubiquitous or universally
reliable during emergencies
Limited consumer access
• Less than 1% of customers have real-time access to their
to energy data
digital energy consumption data
• Of 17 million smart meters to be deployed, only ~35% will
provide customers energy data access
Inefficient energy use in
• Emissions from ICT growing 3x faster than rest of economy
ICT
• Data centers’ electricity use to double by 2011
Distracted driving; lack
• Increased potential for distracted driving with broadband
applications in the car
of intelligent
transportation systems
• Intelligent transportation systems can help prevent accidents
and save lives
Source: Google; eMeter; GE; Smart 2020; EPA; Smart 2020
26
Energy and the
environment
Framework for recommendations
1
Integrating broadband into the smart grid
Expanding consumer access
2
to energy information
Seeking opportunities to lead
3
in data center efficiency
Making transportation safer, smarter, and
4
cleaner
27
Energy and the
environment
Integrating mission-critical broadband into the smart
1
grid
Pursue three paths for providing connectivity:
• Commercial networks
- Investigate reliability and resiliency of commercial networks as
part of a smart grid
- Reduce impediments and financial disincentives to use
• Public safety networks
- Enable utilities to have secondary access to proposed public
safety broadband network
• Private networks
- Consider smart grid requirements in identifying new uses for
spectrum
28
Energy and the
environment
2
Expanding consumer access to energy information
• Ensure customers have access to their digital energy
information
- Real-time information
- Historical consumption, price, and bill data
• Ensure customer access to and privacy of their digital
energy information
- Allow customer-authorized 3rd party access
29
Energy and the
environment
3
Seeking opportunities to lead in data center efficiency
Set energy efficiency goals for federal data centers
• Meter to get baseline data on energy use
• Incorporate Energy Star rating program
30
Energy and the
environment
4
Making roads and highways safer, smarter, and cleaner
• Focus on methods to reduce distracted driving
- Consumer outreach
- Working with industry on next generation of in-vehicle
communications technology
• Deploy vehicle-to-vehicle intelligent transportation
technology to help prevent accidents and potentially
save energy
31
Government performance and
civic engagement
32
Government
performance
The value of broadband in mobilizing government and
citizens to help society
Source: Mashable, US Department of State DipNote
33
Government
performance
Significant opportunities exist for cost savings through
broadband for government performance
Comparison of costs
Comparison of filers
of processing tax
by hand v. e-file
returns
Percentage
$ per user
$2.87
Paper
$333M in
savings
42%
over 5
58%
years
$0.35
Electronic
Electronic
Paper
Source: IRS Inspector General
34
Government
performance
Gaps persist in government adoption and deployment of
broadband
Gaps
Issues
Inefficient service
• Government lags in adoption of Internet technologies
delivery
compared with private sector, hindering quality of service
• Government often fails to share information across silos in
ways that improve service delivery
Limited access to
• Data is often not sufficiently accessible online
information and tools for
• Government fails to fully engage citizens using broadband-
civic engagement
enabled technologies
• Overseas military more than twice as likely to experience voter
registration problems as general public
Limited leverage of
• State and local governments can’t take advantage of
government resources
savings in federal communications contracts
for broadband
• Federal grants encourage the development of
duplicative, stove-piped broadband networks
Source: OMB; Pew Center on the States
35
Government
performance
Framework for recommendations
1
Transforming government service delivery
Increasing the quantity and quality
2
of civic engagement
Using government assets
3
to improve broadband deployment
36
Government
performance
1
Transforming government service delivery
• Improving government efficiency and productivity
- Explore use of cloud computing to reduce costs
- Use competitions to gather ideas for improving quality and
efficiency using broadband
- Encourage greater use of social media
• Enable citizen-centric online services
- Enhance authentication for online services
- Enable individuals to access and verify their personal data held
by government agencies
- Expand efforts to provide integrated benefits online
37
Government
performance
2
Increasing the quantity and quality of civic engagement
• Make the federal government more open and transparent
- Release more government data and information on digital platforms
• Create a more robust digital public media ecosystem
- Support public media’s transition to digital platforms for content and delivery
• Engage citizens using online and social media channels
- Implement broadband-enabled tools to increase civic participation
• Engage citizens to increase innovation in government
• Modernize democratic processes
38
Government
performance
3
Using government to improve broadband deployment
• Improve ability of federal buildings serve as anchor
tenants for unserved and underserved communities
• Open federal NETWORX contracts to state and local
governments
• Encourage greater review and coordination of
broadband grants
• Target federal funding to areas where broadband
solutions are outcomes-oriented and holistic
39
Public safety and homeland
security
40
Public Safety
As a platform for efficient information flow, broadband can
change the future of public safety communications
Current State
Future goal
41
Public Safety
Gaps persist in fully utilizing broadband for public safety
and homeland security purposes
Gaps
Issues
No nationwide public safety
• No nationwide, interoperable broadband wireless
network that is ubiquitous, redundant, and resilient
network
• Few public safety agencies have access to commercial
wireless mobile broadband
• Commercial broadband does not support public safety
requirements and is not cost effective
Outmoded 9-1-1 system
• 9-1-1 services utilize varied legacy communications
networks
• Few public safety agencies have access to broadband
services to support next-generation 9-1-1
Outmoded alerting system
• Current distribution technology limits amount of
audio/visual to Americans over broadcast channels
• FEMA has taken steps to develop IPAWS but clear
implementation milestones are needed
Critical infrastructure
• Companies reported $265M+ in cyber crime-related losses
vulnerabilities
• Communications providers subject to frequent attacks on
critical IP-based infrastructure
• Insufficient incentives and safeguards for security of critical
communications assets
Source: Internet Crime Complaint Center
42
Public Safety
Framework for recommendations
Creating a nationwide interoperable broadband
1
wireless public safety network
2
Transitioning to a next-generation 9-1-1 system
Developing a comprehensive next-generation
3
alerting system
Enhancing security measures
4
to safeguard networks and core infrastructure
43
Public Safety
Creating a nationwide interoperable broadband wireless
1
public safety network
• Ensure network capacity and resiliency
• Leverage commercial technologies to capture economies
of scale
• Create an Emergency Response Interoperability Center
to ensure interoperability nationwide
• Fund network construction, operation, and evolution
44
Public Safety
2
Transitioning to a next-generation 9-1-1 system
• Identify costs and recommend congressional
appropriations
• Enact a federal regulatory framework to ensure
nationwide standards
• Conduct proceedings to address IP-based
communications devices, applications and services for
next-generation 9-1-1
45
Public Safety
Developing a comprehensive next-generation alerting
3
system
• Examine all issues associated with a next-generation
alerting system
• Ensure coordination between agencies that have
overlapping jurisdictions over alerting
46
Public Safety
Enhancing security measures to safeguard networks and
4
core infrastructure
Cyber security
• Examine creating voluntary cyber security certification program for
communications services providers
• Explore extending outage reporting to broadband service providers
• Create a cyber security information reporting system
Critical infrastructure
• Ensure survivability of critical infrastructure
- Understand capacity and vulnerabilities of core infrastructure
- Address networks’ preparedness to deal with pandemics or incidents of
high network stress/overload
- Develop priority network access and routing rules
- Understand reliability and resiliency issues in broadband networks
47
Economic opportunity
48
Economic
opportunity
Broadband brings economic opportunity to job seekers,
small businesses, and communities
Source: Denton Public Library, Louisiana State University, ScienceRoll
49
Economic
opportunity
Broadband can improve productivity and relieve
pressures felt in workforce development system
Survey results of small businesses after
Unemployed population per one-stop in major
implementing web-based technology
metro areas, 20081
tools
People
Percentage of users
60
,
0
54
68%
9
22
54%
955
52%
8,
41,
3
70
59
,
2
,
0
29
31
31
,
7
28
47
,
2
Average
22
# of
106
people
4,
1
3,379
served
in each
one-stop
i
per year
Increased
Reduced
Increased
o
i
t
s
LA
SF
m
a
t
a
n
g
NY
lla
(est.)
speed of communication marketing
t
r
o
a
Mi
l
a
i
c
a
De
D
access to
costs
effectiveness
At
Ch
knowledge
Source: McKinsey Quarterly; Department of Labor,
http://www.careeronestop.org , FCC analysis
50
Economic
opportunity
Gaps persist in fully utilizing broadband to open up new
economic opportunities for Americans
Gaps
Issues
Under-skilled workforce;
• Over 50% of today’s workforce lacks a post-secondary
fragmented system
education, which many jobs require
• Workforce support system is a “confusing maze…programs
spread across…agencies”
• Career Centers are overtaxed, each serving an average of
3,000 people in cities with high unemployment rates
Limitations on telework
• Tax and regulatory barriers prevent some employees from
teleworking
• Limited standards, policies, and infrastructure for teleworking
in the federal government
Sub-optimal broadband
• Almost all businesses use broadband, but only 32% use their
websites to sell products
utilization among small
• Small businesses are less likely to adopt key applications such
businesses
as e-commerce, CRM, and video conferencing
Lack of scale in economic
• Federal economic development funding is fragmented: $76B
development efforts
spread across 14 agencies and 250 programs
• 57% of all federal support for R&D happens in only 50
colleges and universities
Source: Council of Economic Advisors; Workforce Alliance; SBA; Initiative for a Competitive Inner City; FCC
51
Business Adoption survey; Brookings Institution; NSF
Economic
opportunity
Framework for recommendations
Creating a robust national
1
employment assistance platform
2
Promoting telework through federal policy
Expanding efforts to train and equip
3
SMEs with broadband applications
Utilizing broadband to enhance economic
4
development tools and planning
52
Economic
opportunity
Creating a robust national employment assistance
1
platform
• Deliver employment assistance programs on a scalable
online platform
• Provide workforce with anytime, anywhere e-learning
tools to drive enrollment in post-secondary education
and job training programs
• Guide users to pursue individualized job training and
long-term career paths
53
Economic
opportunity
2
Promoting telework through federal policy
• Remove current tax and regulatory barriers for telework
• Make the federal government a leader in telework policy
• Deploy next-generation communications technology
throughout federal government to make telework easier
54
Economic
opportunity
Expanding efforts to train and equip SMEs with
3
broadband applications
• Expand current efforts to train small businesses on key
IT applications
• Launch public-private partnership to provide
technology training for small disadvantaged businesses
and small businesses in low-income areas
• Support entrepreneurial development programs with
broadband tools and training
• Use broadband to bring greater scale and effectiveness
to existing federal support programs for small
businesses
55
Economic
opportunity
Utilizing broadband to enhance economic development
4
tools and planning
• Integrate broadband assessments into economic
development grant programs
- EDA’s regional development planning process
- Enterprise Community/Empowerment Zone programs
• Create a national data warehouse & knowledge
management tool
- Integrate federal sources of economic data, available federal
grants, and knowledge management tools
• Support development of regional technology transfer
centers
56
Document Outline
