Bill Overview
Title: FAIR Contributions Act
Description: This bill requires the Federal Communications Commission to study and report on the feasibility of funding the Universal Service Fund through contributions from edge providers (i.e., providers of online content or services, such as search engines).
Sponsors: Sen. Wicker, Roger F. [R-MS]
Target Audience
Population: Internet Users
Estimated Size: 300000000
- The bill proposes a study for funding the Universal Service Fund through contributions from online content or service providers, which includes major companies like Google, Facebook, and Netflix.
- Edge providers have global reach, affecting both domestic and international users who rely on these services for accessing online content.
- If these companies face increased operational costs, they might pass these costs onto consumers, impacting internet users worldwide.
- The Universal Service Fund aims to ensure affordable telecommunications services, including internet access, for lower-income individuals, rural areas, and others in need.
Reasoning
- The policy is currently in a study phase and does not directly involve program rollouts, limiting its immediate impact.
- The policy might not lead to direct changes in service fees or internet prices within the first few years, given its exploratory nature.
- Impacts could arise if edge providers adjust their business strategies or pricing models in response to potential future funding obligations.
- The study may pave the way for reforms targeting underserved communities, hence affecting societal wellbeing positively in the medium to long term.
- The effects on individual wellbeing are expected to vary based on each person's reliance on internet services and their socio-economic status.
- Given the focus on the feasibility study, the immediate impact is low except for the anticipation of changes among stakeholders.
Simulated Interviews
freelance content creator (Brooklyn, NY)
Age: 34 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 8/20
Statement of Opinion:
- I'm all for fair contributions if it improves internet access broader across different communities.
- Though, if larger platforms begin charging edge users like myself more, it might affect my business.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
small business owner (Dallas, TX)
Age: 45 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 10/20
Statement of Opinion:
- There's potential here for expanding internet coverage, which might benefit more remote parts of the state.
- If costs rise, I'll need to reconsider my online ad spending.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 9 | 6 |
software engineer (Los Angeles, CA)
Age: 25 | Gender: other
Wellbeing Before Policy: 8
Duration of Impact: 3.0 years
Commonness: 7/20
Statement of Opinion:
- The company might shift some priorities if this study leads to new funding mechanisms we must follow.
- While I believe in equitable internet access, I also think there could be some internal job restructuring.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 7 | 8 |
| Year 5 | 7 | 9 |
| Year 10 | 8 | 9 |
| Year 20 | 9 | 9 |
retired (Rural Iowa)
Age: 60 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- If this funding can improve rural internet access, it would mean a lot to our community.
- I'm not heavily reliant on the internet daily, but more access would be nice for times when I do need it.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 7 | 5 |
| Year 10 | 8 | 5 |
| Year 20 | 8 | 5 |
college student (Philadelphia, PA)
Age: 19 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 4.0 years
Commonness: 9/20
Statement of Opinion:
- I'm concerned that if companies pass costs forward, my internet bill could go up.
- But more funding to universal access might give my peers who struggle with costs easier access.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
internet service provider executive (San Francisco, CA)
Age: 50 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 3/20
Statement of Opinion:
- Any new funding rule could impact our business model; however, I'm optimistic it will lead to positive sector reform.
- This could open up new market opportunities by expanding service coverage areas.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 7 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 6 |
journalist (Chicago, IL)
Age: 28 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 2.0 years
Commonness: 8/20
Statement of Opinion:
- It's crucial to monitor if edge providers plan to transfer operational costs to consumers.
- The policy presents a chance to address internet equity, which is an ongoing narrative I report on.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 7 | 6 |
digital marketing specialist (Miami, FL)
Age: 42 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 3.0 years
Commonness: 6/20
Statement of Opinion:
- Access to affordable internet across all areas could resolve some digital divide issues.
- But if online platforms become costly, I might need to reallocate budget spending.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
remote software developer (Portland, OR)
Age: 38 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 0.0 years
Commonness: 5/20
Statement of Opinion:
- Policy initiatives like this ensure that everyone can stay connected, a necessity reflected in my work environment.
- Any cost hikes by edge providers could affect my household's budget minimally.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 9 | 9 |
community organizer (Anchorage, AK)
Age: 55 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 2/20
Statement of Opinion:
- Internet service can be inconsistent and expensive up here—anything to facilitate better access is welcome.
- It's a waiting game; how the edge providers will participate remains unclear.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 9 | 6 |
| Year 20 | 9 | 6 |
Cost Estimates
Year 1: $5000000 (Low: $3000000, High: $8000000)
Year 2: $1000000 (Low: $500000, High: $1500000)
Year 3: $1000000 (Low: $500000, High: $1500000)
Year 5: $1000000 (Low: $500000, High: $1500000)
Year 10: $1000000 (Low: $500000, High: $1500000)
Year 100: $1000000 (Low: $500000, High: $1500000)
Key Considerations
- The feasibility study must assess how different contribution models could be implemented without adverse effects on internet service pricing.
- Understanding the digital market dynamics and potential consumer cost pass-through is crucial.
- Evaluating partnerships and synergies between edge providers and telecommunication providers could reveal cost-saving strategies.