[IP] $6 billion in subsidies?

[David Farber <dave@farber.net>]

Begin forwarded message:

From: dewayne@warpspeed.com (Dewayne Hendricks)
Date: June 3, 2008 6:34:43 PM EDT
To: Dewayne-Net Technology List <xyzzy@warpspeed.com>
Subject: [Dewayne-Net] $6 billion in subsidies?

[Note:  This item comes from reader Tom Poe.  DLH]

From: Tom Poe <tompoe@fngi.net>
Date: June 3, 2008 2:07:13 PM PDT
To: KJMWEB@fcc.gov, Michael.Copps@fcc.gov,  
Jonathan.Adelstein@fcc.gov,  dtaylortateweb@fcc.gov, Robert.McDowell@fcc.gov
Cc: dewayne@warpspeed.com
Subject: $6 billion in subsidies?

Somewhere between May 27th and May 29th of 2008, Kevin Martin  
apparently made the following reference, to effect:
"You have to look at this in context: demographics, geography,  
complexity. There are two issues: one if penetration, the other is the  
speed of broadband. The speed: people like Verizon are trying to  
upgrade, and we have proposed legislation to help that, and change the  
definition of what broadband is...We also need to change our  
subsidization system...we spend about $6 billion a year in subsidies  
to telecom companies. They are competing for subsidies and not for  
service.”

I would like to learn more about this $6 billion number. What does it  
represent, exactly? Please point me to the source of the figure quoted  
by the Chairman.

I live in north-central Iowa. I am held hostage to the duopoly, and my  
income is far enough below the poverty line to qualify for universal  
lifeline help (or whatever it's called). I pay the minimum, and get  
DSL service (questionable). My monthly fee for landline and DSL (not  
counting a $15 per month fee to an "approved" ISP) of $38.80, payable  
to Qwest, does not indicate what additional charges are made to the  
U.S. Treasury by Qwest for providing my telecommunications services. I  
would like to pin that figure down through independent sources. Calls  
to Qwest lead me to believe I'm not getting accurate information from  
them, nor do I have any trust in what they tell me.

Respectfully,
Tom Poe, Charles City, Iowa



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