Federal Communications Commission FCC 22-93 Before the FEDERAL COMMUNICATIONS COMMISSION WASHINGTON, D.C. 20554 In the Matter of Establishing the Digital Opportunity Data Collection Modernizing the FCC Form 477 Data Program ) ) ) ) ) ) ) WC Docket No. 19-195 WC Docket No. 11-10 ORDER Adopted: December 9, 2022 Released: December 9, 2022 By the Commission: I. INTRODUCTION 1. In this Order, we take another step in our efforts to implement the Broadband Data Collection (BDC) The BDC was formerly known as the Digital Opportunity Data Collection, or DODC. and modernize the FCC Form 477 data program. Consistent with the Broadband Deployment Accuracy and Technological Availability Act (the Broadband DATA Act or the Act) and the Third Report and Order, we sunset the collection of broadband deployment data through FCC Form 477 effective upon publication of this Order in the Federal Register. Broadband Deployment Accuracy and Technological Availability Act, Pub. L. No. 116-130, 134 Stat. 228 (2020) (codified at 47 U.S.C. §§ 641-646) (Broadband DATA Act); Establishing the Digital Opportunity Data Collection; Modernizing the FCC Form 477 Data Program, WC Docket Nos. 19-195, 11-10, Third Report and Order, 36 FCC Rcd 1126 (2021) (Third Report and Order). We clarify that while the Form 477 system will remain open so that previous filers can file revisions to past submissions, broadband deployment data will no longer be filed through Form 477. We will continue to collect broadband and voice subscription data using the FCC Form 477, but filers will submit their data through the BDC system. We also delegate authority to various Commission staff to take other actions related to the collection and use of FCC Form 477 data. II. BACKGROUND 2. The Commission began collecting information about broadband deployment and local telephone competition through FCC Form 477 (Form 477) in 2000. See Local Competition and Broadband Reporting, CC Docket No. 99-301, Report and Order, 15 FCC Rcd 7717, 7719-20, para. 3 (2000); see also 47 U.S.C. § 1302(b) (requiring the Commission to determine and report annually on “whether advanced telecommunications capability is being deployed to all Americans in a reasonable and timely fashion”). Over time, the Form 477 data collection evolved, and in June 2013, the Commission adopted the current Form 477 requirement that facilities-based providers of fixed broadband service report the census blocks in which they provide broadband service to end-user customers. Modernizing the FCC Form 477 Data Program, WC Docket No. 11-10, Report and Order, 28 FCC Rcd 9887, 9902, para. 32 (2013); Form 477 Instructions at 17-18 (requiring a fixed service provider to report census blocks in which it “does, or could, within a service interval that is typical for that type of connection,” provide access to broadband connections to end-user premises). Census block-level fixed broadband reporting gave the Commission important data that it used in many of its proceedings. These data do not, however, reveal the number of discrete locations within a census block to which a provider makes fixed broadband service available. Facilities-based providers of mobile wireless services are required to report on mobile broadband deployment in Form 477 by submitting, for each available transmission technology, polygons in GIS mapping files that digitally represent the geographic areas in which users should expect to receive the minimum upload and download data speeds the mobile provider advertises for that area (or, if the provider does not advertise such speeds, the minimum upload and download data speeds that users should expect to receive within the polygon). Form 477 Instructions at 24-25. Fixed and mobile providers also report broadband and voice subscription information and information through Form 477. Form 477 Instructions at 18-24, 25-28. 3. In 2019, the Commission sought comment on sunsetting the collection of broadband deployment data through Form 477. Establishing the Digital Opportunity Data Collection; Modernizing the FCC Form 477 Data Program, WC Docket Nos. 19-195, 11-10, Report and Order and Second Further Notice of Proposed Rulemaking, 34 FCC Rcd 7505, 7559, para. 135 (2019) (2019 Order and Further Notice). At that time, the Commission indicated that over the long term it expected the new Digital Opportunity Data Collection to largely displace the Form 477 process, at least with respect to the collection of granular broadband deployment data. Id. The Commission sought comment on “discontinuing the broadband deployment data collection that is part of Form 477 at some point after the new collection has been established.” Id. The Commission asked commenters to address the conditions under which eliminating the collection of broadband deployment data under Form 477 would be appropriate and the appropriate timetable for sunsetting both the mobile and fixed Form 477 broadband data collections. Id. The Commission also asked whether there were other portions of the Form 477 collection that it should consider sunsetting. Id. 4. In response to the Second Further Notice, several commenters supported sunsetting the collection of broadband deployment data through Form 477 once the FCC implemented a new collection. Alaska Communications Sept. 23, 2019 Comments at 19; U.S. Cellular Sept. 23, 2019 Comments at 11; Microsoft Oct. 7, 2019 Reply at 7. Others expressed support for sunsetting the Form 477 data collection after the Commission determined that there were sufficient resources to implement a new broadband data collection and that the new collection produced reliable data, and that there was a period of transition to the new collection. Alexicon Sept. 23, 2019 Comments at 10; ACA Connects Sept. 23, 2019 Comments at 3. California PUC Sept. 24, 2019 Comments at 19; GVNW Consulting Sept. 23, 2019 Comments at 7; NCTA Sept. 23, 2019 Comments at 25; Broadband Mapping Coalition Sept. 23, 2019 Comments at 38; West Virginia Sept. 23, 2019 Comments at 5-6. One commenter expressed support for maintaining the Form 477 census-block broadband deployment data collection Free Press Sept. 23, 2019 Comments at 22-24. 5. In 2020, after the Commission adopted the 2019 Order and Second Further Notice, Congress passed the Broadband DATA Act which also recognized the need for the collection of more granular broadband data. The Act directed the Commission to collect more granular broadband availability data and to create a publicly accessible, nationwide map of where fixed and mobile broadband is available throughout the United States. 47 U.S.C. § 642(a)(1)(A), (c). The Broadband DATA Act directed the Commission to reform the Form 477 broadband deployment collection in a manner that achieves the purposes of the Act and that allows for the comparison of data produced before and after the implementation of the Broadband DATA Act. 47 U.S.C. § 642(b)(6)(A). The Broadband DATA Act directed the Commission to “continue to collect and publicly report subscription data that the Commission collected through the Form 477 broadband deployment service availability process, as in effect on July 1, 2019.” 47 U.S.C. § 642(b)(6)(B). 6. The Commission adopted rules implementing the requirements of the Broadband DATA Act in two orders in this proceeding. In its Second Report and Order and Third Further Notice, the Commission created broadband availability reporting requirements for fixed and mobile broadband service providers and proposed to “continue the current census-based deployment data collection under Form 477 for at least one reporting cycle after the new granular reporting collection commences.” Establishing the Digital Opportunity Data Collection; Modernizing the FCC Form 477 Data Program, WC Docket Nos. 19-195, 11-10, Second Report and Order and Third Further Notice of Proposed Rulemaking, 35 FCC Rcd 7460, 7529, para. 191 (Second Report and Order and Third Further Notice). The Commission sought comment on “sunsetting the census-block broadband deployment reporting in the FCC Form 477 and the timing of doing so.” Id. 7. In response to the Third Further Notice, commenters generally expressed support for sunsetting the collection of broadband deployment data through Form 477 but recommended different time periods for doing so. Some commenters urged that the Commission sunset the Form 477 broadband deployment data collection one year after the BDC commenced. See, e.g., ACA Connects Sept. 8, 2020 Comments at 5; NCTA Sept. 8, 2020 Comments at 9; Letter from B. Lynn Follansbee, Vice Pres. Policy and Advocacy, USTelecom to Marlene H. Dortch, Secretary, FCC, WC Docket No, 19-195 (filed Aug. 14, 2020). Others recommended that it sunset after one reporting cycle of the BDC availability data. See, e.g., AT&T Sept. 8, 2020 Comments at 14; US Telecom/WISPA Sept. 8, 2020 Comments at 23-24. Several other commenters did not suggest a specific timeframe but urged that the Commission not rush sunsetting the collection of broadband deployment data through Form 477. See, e.g., Connected2Fiber Sept. 8, 2020 Comments at 9; MDTC Sept. 8, 2020 Comments at 4-5; City of New York Sept. 8, 2020 at 3. 8. In its Third Report and Order, the Commission deferred sunsetting the Form 477 broadband deployment data collection until a later, to-be-determined date. Third Report and Order, 36 FCC Rcd at 1186, 1187-88, paras. 156, 160. The Commission stated that, for fixed providers, it would continue the “census-based deployment data collection under Form 477 for at least one reporting cycle after the new granular reporting collection commences.” Id. at 1187-88, para. 160. In the Third Report and Order, the Commission also indicated that it would require mobile service providers to report both voice and broadband subscription data under the rules in effect on July 1, 2019, for all future Form 477 submissions. Id. at 1186, 1187, paras. 156, 158. The Commission noted that, while it expected the BDC to provide improved data, it was a new collection and the Commission could not predict, before the collection had begun, when it would yield useful data. Id. at 1188, para. 160. 9. Since the beginning of 2021, Commission staff have worked to develop and implement the new systems and processes to collect broadband availability data in the manner required under the Broadband DATA Act and the Commission’s BDC orders. In January 2021, the Commission received funding to initiate the procurements necessary to implement the BDC as a part of the Consolidated Appropriations Act of 2021, enacted on December 27, 2020. Consolidated Appropriations Act, 2021, Pub. L. No. 116-260, H.R. 133, Div. E, Tit. V, Div. N, Tit. V, § 906(1) (Dec. 27, 2020). For a full list of all BDC releases, see https://www.fcc.gov/BroadbandData/resources. On February 22, 2022, the Commission’s Broadband Data Task Force (Task Force) and OEA announced the filing dates for the initial BDC availability data collection: data as of June 30, 2022, were due no later than September 1, 2022. See Broadband Data Task Force and Office of Economics and Analytics Announce Inaugural Broadband Data Collection Filing Dates, WC Docket Nos. 11-10, 19-195, Public Notice, DA 22-182, 2022 WL 565718 at *1, *9, paras. 3, 22 (OEA Feb. 22, 2022) (Initial BDC Filing Dates Public Notice). They indicated that the notice of the initial filing date for the BDC did not alter the obligation of service providers to submit the semiannual Form 477 filing and that, until the Commission announces a sunset date for the Form 477 broadband deployment collection, all service providers are required to continue to submit Form 477 data. Initial BDC Filing Dates Public Notice at *9, para. 29. III. DISCUSSION 10. Sunsetting the Collection of Broadband Deployment Data through Form 477. In this Order, we sunset the collection of broadband deployment data through Form 477 effective upon publication of this Order in the Federal Register. We clarify that while the Form 477 system will remain open so that previous filers can file revisions to past submissions, broadband deployment data will no longer be filed through Form 477. As noted above, the Commission sought comment on sunsetting the Form 477 broadband deployment data collection in 2019 and again in 2020, and indicated that it expected the new broadband data collection being developed would largely displace the Form 477 process, particularly with respect to the collection of more precise deployment data. 11. Since the 2019 Order and Second Further Notice and the Second Report and Order and Third Further Notice, the Commission has made significant efforts to improve the quality of the broadband deployment data it collects. As outlined above, the Broadband DATA Act was enacted in 2020 and required the Commission to take steps to develop more granular broadband maps. The Commission has implemented the Act by adopting orders establishing the BDC and requiring broadband providers to file broadband availability data based on standardized and precise parameters, developing the Fabric as a common dataset of all locations where fixed broadband services can be installed, and establishing processes for the verification of data submitted by filers and for members of the public and other entities to challenge the accuracy of providers’ data. See Second Report and Order; Third Report and Order; Establishing the Digital Opportunity Data Collection, WC Docket No. 19-195, Order, DA 22-241, 2022 WL 743185 (WTB/OEA/OET Mar. 9, 2022) (Mobile Technical Requirements Order); Broadband Data Task Force Announces the Availability of the Production Version of the Broadband Serviceable Location Fabric, WC Docket Nos. 11-10, 19-195, Public Notice, DA 22-668 (WCB/OEA June 23. 2022); Broadband Data Task Force Publishes Data Specification for Bulk Challenges of Broadband Serviceable Location Fabric Data and Provides Further Details on Fabric Locations Data, WC Docket Nos. 11-10, 19-195, DA 22-705 (WCB/OEA July 1. 2022); Broadband Data Task Force Establishes Process for Entities to Use Their Own Software and Hardware to Collect On-the-Ground Test Data as Part of the Mobile Broadband Data Collection, WC Docket No. 19-195, Public Notice, DA 22-962 (WTB/OEA/OET Sept. 15, 2022); Broadband Data Task Force Publishes Specifications for Bulk Fixed Availability Challenge and Crowdsource Data, WC Docket Nos. 11-10, 19-195, Public Notice, DA 22-961 (WCB/OEA Sept. 15, 2022). To implement these processes, the Commission has designed, developed, and launched the necessary information technology systems to support the BDC, including a new filing interface for BDC data, a BDC help center to provide technical assistance, and online video tutorials and webinars explaining, among other things, the BDC availability data and challenge submission processes. See generally the Broadband Data Collection Help Center, https://help.bdc.fcc.gov/hc/en-us. Based on this effort, the first broadband data collection under the BDC was launched on June 30, 2022 and, on September 1, 2022, the first filing window for the BDC closed. The FCC subsequently published the new data on November 18, 2022. At the same time, broadband providers were required to submit Form 477 data as of June 30, 2022 in the Form 477 filing interface which was also due no later than September 1, 2022. 12. We find that it is now appropriate to sunset the collection of broadband deployment data through Form 477. We have made significant progress in implementing the BDC, including the completion of the first BDC collection of broadband availability data and resulting publication of updated maps and data. We therefore now have a process in place for collecting more precise location-specific data from fixed broadband service providers and using more uniform standards for mobile broadband providers than the processes and standards used for the Form 477 process. Having to file concurrent Form 477 data in addition to their BDC data imposes significant burdens on providers, and we find it is unnecessary to have additional rounds of overlapping collections of BDC availability data and Form 477 deployment data. See, e.g., AT&T Sept. 8, 2020 Comments at 14 (stating that “[t]he Commission should sunset the census-based fixed deployment collection after no more than one reporting cycle under the new more granular data collection begins. In light of the significant burden dual reporting obligations will place on fixed providers, one overlapping collection period is sufficient for the Commission’s data collection program”); US Telecom/WISPA Sept. 8, 2020 Comments at 23-24 (stating that “[j]oint Commenters agree that there should be no more than two cycles (one year), and preferably one cycle of overlap, as the Commission proposes, between the new reporting regime and Form 477, at which time Form 477 should sunset automatically with respect to broadband reporting”). We disagree with those commenters who argue that a longer transition period is necessary to ensure that the BDC is well established and will provide useful data. See, e.g., MDTC Sept. 8, 2020 Comments at 4-5 (noting that “[i]n the Second Report and Order, the FCC suggests potentially sunsetting Form 477 reporting after just one polygon collection. That short timeframe may be too hasty to enable a full understanding of the polygon method’s accuracy and allow for resolution of appropriate challenges.”); NCTA Sept. 8, 2020 Comments at 9 (recommending a one year transition period to “remove the burdens of duplicative reporting on providers in a timely manner while easing the transition of data collection from the old process to the new. It will also allow the Commission adequate time to address any issues that may arise as the new reporting regime is implemented”). We note, with respect to MDTC’s concern about the accuracy of the polygon method, that, under the BDC, the Commission will not rely solely on the submission of polygons. Instead, the Commission will collect fixed broadband deployment information using either polygons or lists of addresses or locations that constitute providers’ service areas. 47 CFR § 1.7004(c)(1). Congress has provided funding and the Commission has implemented the complex technical systems necessary to support the BDC. In addition, we are confident, based on the detailed standards the Commission has established, and the newly released data, that we can now make available more granular and consistent broadband data through the BDC, and the new BDC maps. The BDC also incorporates verification and challenge processes that will help ensure that our broadband maps will improve over time based on input from various consumers, as well as state and Tribal governments and other stakeholders. We find that continuing the parallel collection of broadband deployment data through Form 477 based on parameters that we know lack sufficient detail is no longer necessary to support our objective of developing a more precise picture of broadband availability across the country. Sunsetting the collection of broadband deployment data through Form 477 will reduce burdens on providers by eliminating the need for concurrent filings in both the Form 477 and BDC systems. By removing the need to separately file deployment data in the Form 477 system, sunsetting the collection will also enable providers to devote more resources to the processes established to improve BDC data. In addition, sunsetting the collection of Form 477 deployment data will help ensure efficient use of Commission resources by allowing Commission staff to focus their analysis on the broadband deployment data submitted pursuant to the rules and processes required under the BDC. We also disagree with commenters who expressed support for maintaining the Form 477 census-based broadband deployment data collection. Free Press Sept. 23, 2019 Comments at 22-24 ( stating that “the use of Census-based geographies is invaluable for demographic and economic analysis of broadband deployment. This is the case not just in rural areas, but in urban areas where the digital divide is primarily driven by inadequate competition not inadequate deployment. The Commission must not throw out this valuable demography tool in the name of improving its data. Sunsetting the current Form 477 Census Block-based reporting and dissemination is completely unnecessary”). These comments were filed prior to the passage of the Broadband DATA Act, and we find that the standards and processes that the Commission has adopted to implement the requirements of the Act will ensure that we collect and make available to the public more useful broadband availability data than the data previously available through Form 477. 13. Although we sunset the collection of Form 477 broadband deployment data, providers must continue to submit the subscription data required under Form 477. See Form 477 Instructions at 18-24, 25-26, 27-28; see also 47 CFR § 1.7001(b). Going forward, however, the BDC system, rather than the Form 477 filing platform, will be used for the submission of both the subscription data collected for Form 477 and the availability data collected for the BDC. Therefore, beginning with data as of December 31, 2022, providers are required to submit the following data using the BDC filing system: fixed and mobile broadband and voice Form 477 subscription data, fixed and mobile BDC broadband availability data, BDC mobile voice availability data. See Form 477 Instructions at 26-27. Fixed voice-only service providers are not required to file voice availability data, only voice subscribership data. See Form 477 Instructions at 19-21. Service providers offering only fixed voice service will be required to submit their voice subscribership data in the subscribership module of the BDC system. The Form 477 filing system will no longer be used to collect new Form 477 submissions, and will remain open only for filers to make corrections to existing Form 477 filings for data as of June 30, 2022 and earlier. The Form 477 instructions will be updated to reflect the changes we adopt today. 14. Other Matters. We recognize that the Commission currently relies upon information from its Form 477 data collection in other contexts, including, among other things, to assess the deployment of broadband services and the state of competition in local telecommunications services. 2019 Order and Further Notice, 34 FCC Rcd at 7521, para. 35; Modernizing the FCC Form 477 Data Program, WC Docket No. 11-10, Report and Order, 28 FCC Rcd 9887, 9889, para. 7 (2013). We therefore delegate certain additional responsibilities related to transitioning away from reliance on Form 477 deployment data for other uses and purposes within the Commission. See 47 U.S.C. § 155(c); 47 CFR § 0.201(d) (providing that the Commission may delegate its functions by rule or order). These delegations of authority are rules of agency organization that do not require prior notice and comment. See 5 U.S.C. § 553(b)(A). We delegate authority and direct the Wireless Telecommunications Bureau (WTB) and the Office of Economics and Analytics (OEA) to provide instructions to mobile providers that participate in the Alaska Plan on how to submit coverage data after the sunsetting of the Form 477 broadband deployment data collection, including whether to use the BDC filing system for submission of data currently submitted using the Form 477 filing system that are specific to Alaska. See Connect America Fund; Universal Service Reform–Mobility Fund; Connect America Fund–Alaska Plan, WC Docket Nos. 10-90, 16-271, WT Docket No. 10-208, Report and Order and Further Notice of Proposed Rulemaking, 31 FCC Rcd 10139 (2016). We delegate to WTB authority to use the data collected through the BDC filing system (or any other mechanism WTB and OEA determine to use for collection of coverage data from Alaska Plan participants) in place of Form 477 data whenever Form 477 data would have been used for Alaska Plan purposes. See id. at 10173, para. 103 (“We will rely on participating carriers’ Form 477 submissions in determining whether each carrier’s five-year and 10-year milestones have been met.”); see also Connect America Fund–Alaska Plan, WC Docket No. 16-271, Order, 35 FCC Rcd 10373, 10376, para. 9 (WTB 2020) (relying on mobile-provider participants’ Form 477 coverage data as part of the determination of how many people are covered by the providers’ networks); Wireless Telecommunications Bureau Seeks Comment on Drive Test Parameters and Model for Alaska Plan Participants, WC Docket No. 16-271, Public Notice, 36 FCC Rcd 11279, 11290, Appx. B (WTB 2021) (proposing to rely on Form 477 data for frame construction); Letter from Christine O’Connor, Executive Director, Alaska Telecom Association, to Marlene H. Dortch, Secretary, FCC, WC Docket No. 16-271 (filed Oct. 12, 2021) (requesting the Commission rely on BDC instead of Form 477 for decisions that could affect high-cost distribution). We direct WCB, WTB, and OEA staff to include a copy of this Order in the respective dockets, WC Docket Nos. 10-90 and 16-271, in order to provide sufficient notice of this delegation of authority to interested parties. We delegate authority and direct the Wireline Competition Bureau (WCB) to provide instructions to providers that participate in either the Bringing Puerto Rico Together Fund or the Connect USVI Fund on how to submit coverage data that are specific to Puerto Rico and the U.S. Virgin Islands to comply with the requirements of those funding mechanisms. Carriers participating in the Bringing Puerto Rico Together Fund or the Connect USVI Fund must also submit coverage data consistent with the requirements for all carriers. Uniendo a Puerto Rico Fund and the Connect USVI Fund, Connect America Fund, ETC Annual Report and Certifications, WC Docket Nos. 18-143, 10-90, 14-58, Report and Order and Order on Reconsideration, 34 FCC Rcd 9109, 9173, para. 128 (2019). We direct WCB staff to include a copy of this Order in the respective dockets, WC Docket Nos. 18-143, 10-90, and 14-58, in order to provide sufficient notice of this delegation of authority to interested parties. For Business Data Services (BDS, also formerly known as Special Access services), we delegate to WCB and OEA the authority to conduct a rulemaking to determine the best way to implement the required competitive market tests using BDC instead of Form 477 data. See 47 CFR §§ 61.50(j), 69.803(c); Business Data Services in an Internet Protocol Environment et al., WC Docket Nos. 16-143, 05-25, GN Docket No. 13-5, RM-10593, Report and Order, 32 FCC Rcd 3459, 3527-29, paras. 145-52 (2017) (Price Cap BDS Order); Regulation of Business Data Services for Rate-of-Return Local Exchange Carriers et al., WC Docket Nos. 17-144, 16-143, 05-25, Report and Order, Second Further Notice of Proposed Rulemaking, and Further Notice of Proposed Rulemaking, 33 FCC Rcd 10403, 10439-40, paras. 103-04 (2018) (Rate-of-Return BDS Order). We direct WCB and OEA staff to include a copy of this Order in WC Docket Nos. 21-17 and 17-144, and GN Docket No. 13-5, in order to provide interested parties sufficient notice of this delegation of authority. Consistent with existing delegations, we delegate to WCB authority to develop broadband deployment obligations for Connect America Fund Broadband Loop Support recipients pursuant to section 54.308(a)(2), which currently specifies use of Form 477 data for certain calculations. See 47 CFR § 54.308(a)(2). This rulemaking authority is limited to the modification of existing rules and adoption of new rules as needed to facilitate the transition from the use of Form 477 data to the use of the BDC to conduct the triennial competitive market tests beginning with the 2026 triennial update. For the 2023 update, we instruct WCB and OEA to conduct the competitive market tests using the most recent Form 477 data available to them. We also delegate additional responsibilities to WCB, WTB, the International Bureau (IB), and OEA as may be necessary related to the collection and use of Form 477 deployment data for other similar such uses and purposes within the Commission. IV. PROCEDURAL MATTERS 15. Regulatory Flexibility Act. The Regulatory Flexibility Act of 1980, as amended (RFA), 5 U.S.C. §§ 601–612. The RFA has been amended by the Small Business Regulatory Enforcement Fairness Act of 1996 (SBREFA), Pub. L. No. 104-121, Title II, 110 Stat. 857 (1996). requires that an agency prepare a regulatory flexibility analysis for notice and comment rulemakings, unless the agency certifies that “the rule will not, if promulgated, have a significant economic impact on a substantial number of small entities.” 5 U.S.C. § 605(b). Accordingly, we have prepared a Final Regulatory Flexibility Analysis (FRFA) concerning the possible impact of the rule changes contained in this Order on small entities. The FRFA is set forth in the Appendix. 16. Paperwork Reduction Act. The rulemaking required under the Broadband DATA Act is exempt from review by OMB and from the requirements of the Paperwork Reduction Act of 1995 (PRA), Public Law 104-13.461. As a result, the Order will not be submitted to OMB for review under the PRA. 17. Congressional Review Act. The Commission will send a copy of this Order to Congress and the Government Accountability Office pursuant to the Congressional Review Act, see 5 U.S.C. § 801(a)(1)(A). 18. Contact Person. For further information about this proceeding, contact William Holloway, Assistant Counsel, Broadband Data Task Force, 45 L Street, NE., Washington, D.C., 20554, William.Holloway@fcc.gov. V. ORDERING CLAUSES 19. Accordingly, IT IS ORDERED that, pursuant to sections 1-4, 201, 301, 303, 319, 332, 642, and 1702 of the Communications Act of 1934, as amended, and section 706 of the Telecommunications Act of 1996, 47 U.S.C. §§ 151-154, 201, 301, 303, 319, 332, 642, 646, 1302, 1702, this Order IS ADOPTED. 20. IT IS FURTHER ORDERED that the Commission’s Consumer & Governmental Affairs Bureau, Reference Information Center, SHALL SEND a copy of the Order to Congress and the Government Accountability Office pursuant to the Congressional Review Act, see 5 U.S.C. § 801(a)(1)(A). 21. IT IS FURTHER ORDERED that the Commission’s Consumer & Governmental Affairs Bureau, Reference Information Center, SHALL SEND a copy of this Order, including the Final Regulatory Flexibility Analysis to the Chief Counsel for Advocacy of the Small Business Administration. 22. IT IS FURTHER ORDERED that the Order SHALL BE effective upon publication in the Federal Register. FEDERAL COMMUNICATIONS COMMISSION Marlene H. Dortch Secretary 2 Federal Communications Commission FCC 22-93 APPENDIX Final Regulatory Flexibility Analysis 1. As required by the Regulatory Flexibility Act of 1980, as amended (RFA), See 5 U.S.C. § 604. The RFA, 5 U.S.C. §§ 601–612, was amended by the Small Business Regulatory Enforcement Fairness Act of 1996 (SBREFA), Pub. L. No. 104-121, Title II, 110 Stat. 857 (1996). an Initial Regulatory Flexibility Analysis (IRFA) was incorporated in the 2019 Order and Second Further Notice released in August 2019 Establishing the Digital Opportunity Data Collection; Modernizing the FCC Form 477 Data Program, WC Docket Nos. 19-195, 11-10, Report and Order and Second Further Notice of Proposed Rulemaking, 34 FCC Rcd 7505 (2019) (2019 Order and Second Further Notice). and the Second Report and Order and Third Further Notice released in July 2020 Establishing the Digital Opportunity Data Collection; Modernizing the FCC Form 477 Data Program, WC Docket Nos. 19-195, 11-10, Second Report and Order and Third Further Notice of Proposed Rulemaking, 35 FCC Rcd 7460 (2020) (Second Report and Order and Third Further Notice). in this proceeding. The Commission sought written public comment on the proposals in the Second Further Notice and Third Further Notice including comments on the IRFA. No comments were filed addressing the IRFA. This Final Regulatory Flexibility Analysis (FRFA) conforms to the RFA. See 5 U.S.C. § 604. A. Need for, and Objectives of, the Order 2. The Order continues the Commission’s efforts to implement the Broadband Data Collection (BDC) The BDC was formerly known as the Digital Opportunity Data Collection, or DODC. and modernize the FCC Form 477 (Form 477) data program. Consistent with the Broadband Deployment Accuracy and Technological Availability Act (Broadband DATA Act) and the Third Report and Order, the Order sunsets the collection of broadband deployment data through Form 477. Broadband Deployment Accuracy and Technological Availability Act, Pub. L. No. 116-130, 134 Stat. 228 (2020) (codified at 47 U.S.C. §§ 641-646) (Broadband DATA Act); Establishing the Digital Opportunity Data Collection; Modernizing the FCC Form 477 Data Program, WC Docket Nos. 19-195, 11-10, Third Report and Order, 36 FCC Rcd 1126 (2021) (Third Report and Order). The Order also delegates authority to various Commission staff to take other actions related to the collection and use of Form 477 data involving the Alaska Plan, See Connect America Fund; Universal Service Reform–Mobility Fund; Connect America Fund–Alaska Plan, WC Docket Nos. 10-90, 16-271, WT Docket No. 10-208, Report and Order and Further Notice of Proposed Rulemaking, 31 FCC Rcd 10139 (2016). We delegate to WTB authority to use the data collected through the BDC filing system (or any other mechanism WTB and OEA determine to use for collection of coverage data from Alaska Plan participants) in place of Form 477 data whenever Form 477 data would have been used for Alaska Plan purposes. See id. at 10173, para. 103 (“We will rely on participating carriers’ Form 477 submissions in determining whether each carrier’s five-year and 10-year milestones have been met.”); see also Connect America Fund–Alaska Plan, WC Docket No. 16-271, Order, 35 FCC Rcd 10373, 10376, para. 9 (WTB 2020) (relying on mobile-provider participants’ Form 477 coverage data as part of the determination of how many people are covered by the providers’ networks); Wireless Telecommunications Bureau Seeks Comment on Drive Test Parameters and Model for Alaska Plan Participants, WC Docket No. 16-271, Public Notice, 36 FCC Rcd 11279, 11290, Appx. B (WTB 2021) (proposing to rely on Form 477 data for frame construction); Letter from Christine O’Connor, Executive Director, Alaska Telecom Association, to Marlene H. Dortch, Secretary, FCC, WC Docket No. 16-271 (filed Oct. 12, 2021) (requesting the Commission rely on BDC instead of Form 477 for decisions that could affect high-cost distribution). the Bringing Together Puerto Rico Fund or Connect USVI Fund Carriers participating in the Bringing Puerto Rico Together Fund or the Connect USVI Fund must also submit coverage data consistent with the requirements for all carriers. Uniendo a Puerto Rico Fund and the Connect USVI Fund, Connect America Fund, ETC Annual Report and Certifications, WC Docket Nos. 18-143, 10-90, 14-58, Report and Order and Order on Reconsideration, 34 FCC Rcd 9109, 9173, para. 128 (2019). and for Business Data Services (BDS, formerly known as Special Access services). See 47 CFR §§ 61.50(j), 69.803(c); Business Data Services in an Internet Protocol Environment et al., WC Docket Nos. 16-143, 05-25, GN Docket No. 13-5, RM-10593, Report and Order, 32 FCC Rcd 3459, 3527-29, paras. 145-52 (2017) (Price Cap BDS Order); Regulation of Business Data Services for Rate-of-Return Local Exchange Carriers et al., WC Docket Nos. 17-144, 16-143, 05-25, Report and Order, Second Further Notice of Proposed Rulemaking, and Further Notice of Proposed Rulemaking, 33 FCC Rcd 10403, 10439-40, paras. 103-04 (2018) (Rate-of-Return BDS Order). 3. The sunset of the collection of broadband data through Form 477 follows the Commission’s inquiries in this proceeding on the conditions under which it would be appropriate to sunset this data collection and the appropriate timetable to implement the sunset, since the Commission expected the Form 477 process, at least with respect to the collection of granular deployment data to be displaced by the BDC. 2019 Order and Second Further Notice, 34 FCC Rcd at 7559, para. 135. The Commission sought comment in the 2019 Order and Second Further Notice on discontinuing the broadband deployment data collection that is part of Form 477 at some point after the new collection has been established; the conditions and timetable for discontinuing the collection of broadband deployment data under Form 477 for both the mobile and fixed collections and whether there were other portions of the Form 477 collection that should be sunset. Id. 4. In the Second Report and Order and Third Further Notice, the Commission created broadband availability reporting requirements for fixed and mobile broadband service providers and proposed to “continue the current census-based deployment data collection under Form 477 for at least one reporting cycle after the new granular reporting collection commences.” Establishing the Digital Opportunity Data Collection; Modernizing the FCC Form 477 Data Program, WC Docket Nos. 19-195, 11-10, Second Report and Order and Third Further Notice of Proposed Rulemaking, 35 FCC Rcd 7460, 7529, para. 191 (Second Report and Order and Third Further Notice). The Commission sought comment on “sunsetting the census-block broadband deployment reporting in the FCC Form 477 and the timing of doing so.” Id. Thereafter, in the Third Report and Order, the Commission deferred the sunsetting of the Form 477 broadband deployment data collection to a later, to-be-determined date after further refining the availability data collection requirements, promulgating a framework for the challenge process requirements set out in the Broadband DATA Act and establishing the requirements for the collection and submission of verified availability data from governmental entities and other third parties. 5. On February 22, 2022, the Commission’s Broadband Data Task Force (Task Force) and OEA announced the filing dates for the initial BDC availability data collection (coverage data as of June 30, 2022, must have been submitted no later than September 1, 2022). See Broadband Data Task Force and Office of Economics and Analytics Announce Inaugural Broadband Data Collection Filing Dates, WC Docket Nos. 11-10, 19-195, Public Notice, DA 22-182, 2022 WL 565718 at *1, *9, paras. 3, 22 (OEA Feb. 22, 2022) (Initial BDC Filing Dates Public Notice). This notice of the initial filing date for the BDC did not alter the obligation of service providers to file the semiannual Form 477 filing. All service providers were still required to submit these data under Form 477. Initial BDC Filing Dates Public Notice at *9, para. 29. In light of the significant progress that the Commission has made in implementing the BDC and the conclusion of the first data collection into the BDC system, the Commission determined that it is now appropriate to sunset the collection of broadband deployment data through Form 477. B. Summary of Significant Issues Raised by Public Comments in Response to the IRFA 6. There were no comments filed that specifically addressed the proposed rules and policies presented in the IRFAs. C. Response to Comments by the Chief Counsel for Advocacy of the Small Business Administration 7. Pursuant to the Small Business Jobs Act of 2010, which amended the RFA, the Commission is required to respond to any comments filed by the Chief Counsel for Advocacy of the Small Business Administration (SBA), and to provide a detailed statement of any change made to the proposed rules as a result of those comments. 5 U.S.C. § 604(a)(3). 8. The Chief Counsel did not file comments in response to this proceeding. D. Description and Estimate of the Number of Small Entities to Which the Rules Will Apply 9. The RFA directs agencies to provide a description of and, where feasible, an estimate of the number of small entities that may be affected by the rules adopted herein. 5 U.S.C. § 604(a)(4). The RFA generally defines the term “small entity” as having the same meaning as the terms “small business,” “small organization,” and “small governmental jurisdiction.” 5 U.S.C. § 601(6). In addition, the term “small business” has the same meaning as the term “small-business concern” under the Small Business Act.” 5 U.S.C. § 601(3) (incorporating by reference the definition of “small-business concern” in the Small Business Act, 15 U.S.C. § 632). Pursuant to 5 U.S.C. § 601(3), the statutory definition of a small business applies “unless an agency, after consultation with the Office of Advocacy of the Small Business Administration and after opportunity for public comment, establishes one or more definitions of such term which are appropriate to the activities of the agency and publishes such definition(s) in the Federal Register.” A “small-business concern” is one which: (1) is independently owned and operated; (2) is not dominant in its field of operation; and (3) satisfies any additional criteria established by the SBA. 15 U.S.C. § 632. 10. Small Businesses, Small Organizations, Small Governmental Jurisdictions. Our actions, over time, may affect small entities that are not easily categorized at present. We therefore describe, at the outset, three broad groups of small entities that could be directly affected herein. See 5 U.S.C. § 601(3)-(6). First, while there are industry specific size standards for small businesses that are used in the regulatory flexibility analysis, according to data from the Small Business Administration’s (SBA) Office of Advocacy, in general a small business is an independent business having fewer than 500 employees. See SBA, Office of Advocacy, Frequently Asked Questions, “What is a small business?,” https://cdn.advocacy.sba.gov/wp-content/uploads/2021/11/03093005/Small-Business-FAQ-2021.pdf. (Nov 2021). These types of small businesses represent 99.9% of all businesses in the United States, which translates to 32.5 million businesses. Id. 11. Next, the type of small entity described as a “small organization” is generally “any not-for-profit enterprise which is independently owned and operated and is not dominant in its field.” See 5 U.S.C. § 601(4). The Internal Revenue Service (IRS) uses a revenue benchmark of $50,000 or less to delineate its annual electronic filing requirements for small exempt organizations. The IRS benchmark is similar to the population of less than 50,000 benchmark in 5 U.S.C § 601(5) that is used to define a small governmental jurisdiction. Therefore, the IRS benchmark has been used to estimate the number small organizations in this small entity description. See Annual Electronic Filing Requirement for Small Exempt Organizations – Form 990-N (e-Postcard), “Who must file,” https://www.irs.gov/charities-non-profits/annual-electronic-filing-requirement-for-small-exempt-organizations-form-990-n-e-postcard. We note that the IRS data does not provide information on whether a small exempt organization is independently owned and operated or dominant in its field. Nationwide, for tax year 2020, there were approximately 447,689 small exempt organizations in the U.S. reporting revenues of $50,000 or less according to the registration and tax data for exempt organizations available from the IRS. See Exempt Organizations Business Master File Extract (EO BMF), “CSV Files by Region,” https://www.irs.gov/charities-non-profits/exempt-organizations-business-master-file-extract-eo-bmf. The IRS Exempt Organization Business Master File (EO BMF) Extract provides information on all registered tax-exempt/non-profit organizations. The data utilized for purposes of this description was extracted from the IRS EO BMF data for businesses for the tax year 2020 with revenue less than or equal to $50,000 for Region 1-Northeast Area (58,577), Region 2-Mid-Atlantic and Great Lakes Areas (175,272), and Region 3-Gulf Coast and Pacific Coast Areas (213,840) that includes the continental U.S., Alaska, and Hawaii. This data does not include information for Puerto Rico. 12. Finally, the small entity described as a “small governmental jurisdiction” is defined generally as “governments of cities, counties, towns, townships, villages, school districts, or special districts, with a population of less than fifty thousand.” See 5 U.S.C. § 601(5). U.S. Census Bureau data from the 2017 Census of Governments See 13 U.S.C. § 161. The Census of Governments survey is conducted every five (5) years compiling data for years ending with “2” and “7”. See also Census of Governments, https://www.census.gov/programs-surveys/cog/about.html. indicate there were 90,075 local governmental jurisdictions consisting of general purpose governments and special purpose governments in the United States. See U.S. Census Bureau, 2017 Census of Governments – Organization Table 2. Local Governments by Type and State: 2017 [CG1700ORG02], https://www.census.gov/data/tables/2017/econ/gus/2017-governments.html. Local governmental jurisdictions are made up of general purpose governments (county, municipal and town or township) and special purpose governments (special districts and independent school districts). See also tbl.2. CG1700ORG02 Table Notes_Local Governments by Type and State_2017. Of this number, there were 36,931 general purpose governments (county, See id. at tbl.5. County Governments by Population-Size Group and State: 2017 [CG1700ORG05], https://www.census.gov/data/tables/2017/econ/gus/2017-governments.html. There were 2,105 county governments with populations less than 50,000. This category does not include subcounty (municipal and township) governments. municipal, and town or township See id. at tbl.6. Subcounty General-Purpose Governments by Population-Size Group and State: 2017 [CG1700ORG06], https://www.census.gov/data/tables/2017/econ/gus/2017-governments.html. There were 18,729 municipal and 16,097 town and township governments with populations less than 50,000. ) with populations of less than 50,000 and 12,040 special purpose governments—independent school districts See id. at tbl.10. Elementary and Secondary School Systems by Enrollment-Size Group and State: 2017 [CG1700ORG10], https://www.census.gov/data/tables/2017/econ/gus/2017-governments.html. There were 12,040 independent school districts with enrollment populations less than 50,000. See also tbl.4. Special-Purpose Local Governments by State Census Years 1942 to 2017 [CG1700ORG04], CG1700ORG04 Table Notes_Special Purpose Local Governments by State_Census Years 1942 to 2017. with enrollment populations of less than 50,000. While the special purpose governments category also includes local special district governments, the 2017 Census of Governments data does not provide data aggregated based on population size for the special purpose governments category. Therefore, only data from independent school districts is included in the special purpose governments category. Accordingly, based on the 2017 U.S. Census of Governments data, we estimate that at least 48,971 entities fall into the category of “small governmental jurisdictions.” This total is derived from the sum of the number of general purpose governments (county, municipal and town or township) with populations of less than 50,000 (36,931) and the number of special purpose governments - independent school districts with enrollment populations of less than 50,000 (12,040), from the 2017 Census of Governments - Organizations tbls.5, 6 & 10. 1. Broadband Internet Access Service Providers 13. Wired Broadband Internet Access Service Providers (Wired ISPs). Formerly included in the scope of the Internet Service Providers (Broadband), Wired Telecommunications Carriers and All Other Telecommunications small entity industry descriptions. Providers of wired broadband internet access service include various types of providers except dial-up internet access providers. Wireline service that terminates at an end user location or mobile device and enables the end user to receive information from and/or send information to the internet at information transfer rates exceeding 200 kilobits per second (kbps) in at least one direction is classified as a broadband connection under the Commission’s rules. See 47 CFR § 1.7001(a)(1). Wired broadband internet services fall in the Wired Telecommunications Carriers industry.. See U.S. Census Bureau, 2017 NAICS Definition, “517311 Wired Telecommunications Carriers,” https://www.census.gov/naics/?input=517311&year=2017&details=517311. The SBA small business size standard for this industry classifies firms having 1,500 or fewer employees as small. See 13 CFR § 121.201, NAICS Code 517311. U.S. Census Bureau data for 2017 show that there were 3,054 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517311, https://data.census.gov/cedsci/table?y=2017&n=517311&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,964 firms operated with fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. 14. Additionally, according to Commission data on internet access services as of December 31, 2018, nationwide there were approximately 2,700 providers of connections over 200 kbps in at least one direction using various wireline technologies. See IAS Status 2018, Fig. 30 (The technologies used by providers include aDSL, sDSL, Other Wireline, Cable Modem and FTTP). Other wireline includes: all copper-wire based technologies other than xDSL (such as Ethernet over copper, T-1/DS-1 and T3/DS-1) as well as power line technologies which are included in this category to maintain the confidentiality of the providers. The Commission does not collect data on the number of employees for providers of these services, therefore, at this time we are not able to estimate the number of providers that would qualify as small under the SBA’s small business size standard. However, in light of the general data on fixed technology service providers in the Commission’s 2020 Communications Marketplace Report, See Communications Marketplace Report, GN Docket No. 20-60, 2020 WL 8025117 at 44, paras. 34-35, Figs. II.B.2-4, 6. (2020) (2020 Communications Marketplace Report). we believe that the majority of wireline internet access service providers can be considered small entities. 15. Wireless Broadband Internet Access Service Providers (Wireless ISPs or WISPs). Formerly included in the scope of the Internet Service Providers (Broadband), Wireless Telecommunications Carriers (except Satellite) and All Other Telecommunications small entity industry descriptions. Providers of wireless broadband internet access service include fixed and mobile wireless providers. The Commission defines a WISP as “[a] company that provides end-users with wireless access to the Internet[.]” Federal Communications Commission, Internet Access Services: Status as of December 31, 2018 (IAS Status 2018), Industry Analysis Division, Office of Economics & Analytics (September 2020). The report can be accessed at https://www.fcc.gov/economics-analytics/industry-analysis-division/iad-data-statistical-reports. Wireless service that terminates at an end user location or mobile device and enables the end user to receive information from and/or send information to the internet at information transfer rates exceeding 200 kilobits per second (kbps) in at least one direction is classified as a broadband connection under the Commission’s rules. See 47 CFR § 1.7001(a)(1). Neither the SBA nor the Commission have developed a size standard specifically applicable to Wireless Broadband Internet Access Service Providers. The closest applicable industry with an SBA small business size standard is Wireless Telecommunications Carriers (except Satellite). See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. The SBA size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms in this industry that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of that number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. 16. Additionally, according to Commission data on internet access services as of December 31, 2018, nationwide there were approximately 1,209 fixed wireless and 71 mobile wireless providers of connections over 200 kbps in at least one direction. See IAS Status 2018, Fig. 30. The Commission does not collect data on the number of employees for providers of these services, therefore, at this time we are not able to estimate the number of providers that would qualify as small under the SBA’s small business size standard. However, based on data in the Commission’s 2020 Communications Marketplace Report on the small number of large mobile wireless nationwide and regional facilities-based providers, the dozens of small regional facilities-based providers and the number of wireless mobile virtual network providers in general, See Communications Marketplace Report, GN Docket No. 20-60, 2020 WL 8025117 at 4, paras. 9-13. (2020) (2020 Communications Marketplace Report). as well as on terrestrial fixed wireless broadband providers in general, Id. at para. 91. we believe that the majority of wireless internet access service providers can be considered small entities. 2. Wireline Providers 17. Wired Telecommunications Carriers. The U.S. Census Bureau defines this industry as establishments primarily engaged in operating and/or providing access to transmission facilities and infrastructure that they own and/or lease for the transmission of voice, data, text, sound, and video using wired communications networks. See U.S. Census Bureau, 2017 NAICS Definition, “517311 Wired Telecommunications Carriers,” https://www.census.gov/naics/?input=517311&year=2017&details=517311. Transmission facilities may be based on a single technology or a combination of technologies. Establishments in this industry use the wired telecommunications network facilities that they operate to provide a variety of services, such as wired telephony services, including VoIP services, wired (cable) audio and video programming distribution, and wired broadband internet services. Id. By exception, establishments providing satellite television distribution services using facilities and infrastructure that they operate are included in this industry. Id. Wired Telecommunications Carriers are also referred to as wireline carriers or fixed local service providers. Fixed Local Service Providers include the following types of providers: Incumbent Local Exchange Carriers (ILECs), Competitive Access Providers (CAPs) and Competitive Local Exchange Carriers (CLECs), Cable/Coax CLECs, Interconnected VOIP Providers, Non-Interconnected VOIP Providers, Shared-Tenant Service Providers, Audio Bridge Service Providers, and Other Local Service Providers. Local Resellers fall into another U.S. Census Bureau industry group and therefore data for these providers is not included in this industry. 18. The SBA small business size standard for Wired Telecommunications Carriers classifies firms having 1,500 or fewer employees as small. See 13 CFR § 121.201, NAICS Code 517311. U.S. Census Bureau data for 2017 show that there were 3,054 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517311, https://data.census.gov/cedsci/table?y=2017&n=517311&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,964 firms operated with fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 5,183 providers that reported they were engaged in the provision of fixed local services. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that 4,737 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, most of these providers can be considered small entities. 19. Local Exchange Carriers (LECs). Neither the Commission nor the SBA has developed a size standard for small businesses specifically applicable to local exchange services. Providers of these services include both incumbent and competitive local exchange service providers. Wired Telecommunications Carriers See U.S. Census Bureau, 2017 NAICS Definition, “517311 Wired Telecommunications Carriers,” https://www.census.gov/naics/?input=517311&year=2017&details=517311. is the closest industry with a SBA small business size standard. See 13 CFR § 121.201, NAICS Code 517311. Wired Telecommunications Carriers are also referred to as wireline carriers or fixed local service providers. Fixed Local Exchange Service Providers include the following types of providers: Incumbent Local Exchange Carriers (ILECs), Competitive Access Providers (CAPs) and Competitive Local Exchange Carriers (CLECs), Cable/Coax CLECs, Interconnected VOIP Providers, Non-Interconnected VOIP Providers, Shared-Tenant Service Providers, Audio Bridge Service Providers, Local Resellers, and Other Local Service Providers. The SBA small business size standard for Wired Telecommunications Carriers classifies firms having 1,500 or fewer employees as small. Id. U.S. Census Bureau data for 2017 show that there were 3,054 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517311, https://data.census.gov/cedsci/table?y=2017&n=517311&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,964 firms operated with fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 5,183 providers that reported they were fixed local exchange service providers. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that 4,737 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, most of these providers can be considered small entities. 20. Incumbent Local Exchange Carriers (Incumbent LECs). Neither the Commission nor the SBA have developed a small business size standard specifically for incumbent local exchange carriers. Wired Telecommunications Carriers See U.S. Census Bureau, 2017 NAICS Definition, “517311 Wired Telecommunications Carriers,” https://www.census.gov/naics/?input=517311&year=2017&details=517311. is the closest industry with a SBA small business size standard. See 13 CFR § 121.201, NAICS Code 517311. The SBA small business size standard for Wired Telecommunications Carriers classifies firms having 1,500 or fewer employees as small. Id. U.S. Census Bureau data for 2017 show that there were 3,054 firms in this industry that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517311, https://data.census.gov/cedsci/table?y=2017&n=517311&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,964 firms operated with fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 1,227 providers that reported they were incumbent local exchange service providers. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/public/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that 929 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, the Commission estimates that the majority of incumbent local exchange carriers can be considered small entities. 21. Competitive Local Exchange Carriers (LECs). Neither the Commission nor the SBA has developed a size standard for small businesses specifically applicable to local exchange services. Providers of these services include several types of competitive local exchange service providers. Competitive Local Exchange Service Providers include the following types of providers: Competitive Access Providers (CAPs) and Competitive Local Exchange Carriers (CLECs), Cable/Coax CLECs, Interconnected VOIP Providers, Non-Interconnected VOIP Providers, Shared-Tenant Service Providers, Audio Bridge Service Providers, Local Resellers, and Other Local Service Providers. Wired Telecommunications Carriers See U.S. Census Bureau, 2017 NAICS Definition, “517311 Wired Telecommunications Carriers,” https://www.census.gov/naics/?input=517311&year=2017&details=517311. is the closest industry with a SBA small business size standard. The SBA small business size standard for Wired Telecommunications Carriers classifies firms having 1,500 or fewer employees as small. See 13 CFR § 121.201, NAICS Code 517311. U.S. Census Bureau data for 2017 show that there were 3,054 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517311, https://data.census.gov/cedsci/table?y=2017&n=517311&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,964 firms operated with fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 3,956 providers that reported they were competitive local exchange service providers. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that 3,808 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, most of these providers can be considered small entities. 22. Interexchange Carriers (IXCs). Neither the Commission nor the SBA have developed a small business size standard specifically for Interexchange Carriers. Wired Telecommunications Carriers See U.S. Census Bureau, 2017 NAICS Definition, “517311 Wired Telecommunications Carriers,” https://www.census.gov/naics/?input=517311&year=2017&details=517311. is the closest industry with a SBA small business size standard. See 13 CFR § 121.201, NAICS Code 517311. The SBA small business size standard for Wired Telecommunications Carriers classifies firms having 1,500 or fewer employees as small. Id. U.S. Census Bureau data for 2017 show that there were 3,054 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517311, https://data.census.gov/cedsci/table?y=2017&n=517311&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,964 firms operated with fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 151 providers that reported they were engaged in the provision of interexchange services. Of these providers, the Commission estimates that 131 providers have 1,500 or fewer employees. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/public/attachments/DOC-379181A1.pdf. Consequently, using the SBA’s small business size standard, the Commission estimates that the majority of providers in this industry can be considered small entities. 23. Operator Service Providers (OSPs). Neither the Commission nor the SBA has developed a small business size standard specifically for operator service providers. The closest applicable industry with a SBA small business size standard is Wired Telecommunications Carriers. See U.S. Census Bureau, 2017 NAICS Definition, “517311 Wired Telecommunications Carriers,” https://www.census.gov/naics/?input=517311&year=2017&details=517311. The SBA small business size standard classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517311. U.S. Census Bureau data for 2017 show that there were 3,054 firms in this industry that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517311, https://data.census.gov/cedsci/table?y=2017&n=517311&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,964 firms operated with fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 32 providers that reported they were engaged in the provision of operator services. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that all 32 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, all of these providers can be considered small entities. 24. Other Toll Carriers. Neither the Commission nor the SBA has developed a definition for small businesses specifically applicable to Other Toll Carriers. This category includes toll carriers that do not fall within the categories of interexchange carriers, operator service providers, prepaid calling card providers, satellite service carriers, or toll resellers. Wired Telecommunications Carriers See U.S. Census Bureau, 2017 NAICS Definition, “517311 Wired Telecommunications Carriers,” https://www.census.gov/naics/?input=517311&year=2017&details=517311. is the closest industry with a SBA small business size standard. See 13 CFR § 121.201, NAICS Code 517311. The SBA small business size standard for Wired Telecommunications Carriers classifies firms having 1,500 or fewer employees as small. Id. U.S. Census Bureau data for 2017 show that there were 3,054 firms in this industry that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517311, https://data.census.gov/cedsci/table?y=2017&n=517311&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,964 firms operated with fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 115 providers that reported they were engaged in the provision of other toll services. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that 113 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, most of these providers can be considered small entities. 25. Internet Service Providers (Non-Broadband). Internet access service providers using client-supplied telecommunications connections (e.g., dial-up ISPs) as well as VoIP service providers using client-supplied telecommunications connections fall in the industry classification of All Other Telecommunications. See U.S. Census Bureau, 2017 NAICS Definition, “517919 All Other Telecommunications,” https://www.census.gov/naics/?input=517919&year=2017&details=517919. The SBA small business size standard for this industry classifies firms with annual receipts of $35 million or less as small. See 13 CFR § 121.201, NAICS Code 517919. For this industry, U.S. Census Bureau data for 2017 show that there were 1,079 firms in this industry that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Sales, Value of Shipments, or Revenue Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEREVFIRM, NAICS Code 517919, https://data.census.gov/cedsci/table?y=2017&n=517919&tid=ECNSIZE2017.EC1700SIZEREVFIRM&hidePreview=false. Of those firms, 1,039 had revenue of less than $25 million. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. We also note that according to the U.S. Census Bureau glossary, the terms receipts and revenues are used interchangeably, see https://www.census.gov/glossary/#term_ReceiptsRevenueServices. Consequently, under the SBA size standard a majority of firms in this industry can be considered small. 3. Wireless Providers—Fixed and Mobile 26. Wireless Telecommunications Carriers (except Satellite). This industry comprises establishments engaged in operating and maintaining switching and transmission facilities to provide communications via the airwaves. See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. Establishments in this industry have spectrum licenses and provide services using that spectrum, such as cellular services, paging services, wireless internet access, and wireless video services. Id. The SBA size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms in this industry that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of that number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 797 providers that reported they were engaged in the provision of wireless services. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that 715 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, most of these providers can be considered small entities. 27. Wireless Communications Services. Wireless Communications Services (WCS) can be used for a variety of fixed, mobile, radiolocation, and digital audio broadcasting satellite services. Wireless spectrum is made available and licensed for the provision of wireless communications services in several frequency bands subject to Part 27 of the Commission’s rules. See 47 CFR §§ 27.1 – 27.1607. Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. is the closest industry with a SBA small business size standard applicable to these services. The SBA small business size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 28. The Commission’s small business size standards with respect to WCS involve eligibility for bidding credits and installment payments in the auction of licenses for the various frequency bands included in WCS. When bidding credits are adopted for the auction of licenses in WCS frequency bands, such credits may be available to several types of small businesses based average gross revenues (small, very small and entrepreneur) pursuant to the competitive bidding rules adopted in conjunction with the requirements for the auction and/or as identified in the designated entities section in Part 27 of the Commission’s rules for the specific WCS frequency bands. See 47 CFR §§ 27.201 – 27.1601. The Designated entities sections in Subparts D – Q each contain the small business size standards adopted for the auction of the frequency band covered by that subpart. 29. In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, since the Commission does not collect data on the number of employees for licensees providing these services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 30. 1670–1675 MHz Services. These wireless communications services can be used for fixed and mobile uses, except aeronautical mobile. See 47 CFR § 27.902. Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. is the closest industry with a SBA small business size standard applicable to these services. The SBA size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 31. According to Commission data as of November 2021, there were three active licenses in this service. Based on a FCC Universal Licensing System search on November 8, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = BC; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. The Commission’s small business size standards with respect to 1670–1675 MHz Services involve eligibility for bidding credits and installment payments in the auction of licenses for these services. For licenses in the 1670-1675 MHz service band, a “small business” is defined as an entity that, together with its affiliates and controlling interests, has average gross revenues not exceeding $40 million for the preceding three years, and a “very small business” is defined as an entity that, together with its affiliates and controlling interests, has had average annual gross revenues not exceeding $15 million for the preceding three years. See 47 CFR § 27.906(a). The 1670-1675 MHz service band auction’s winning bidder did not claim small business status. See 1670–1675 MHz Band Auction Closes; Winning Bidder Announced; FCC Form 600s Due May 12,2003, Public Notice, DA-03-1472, Report No. AUC-03-46-H (Auction No.46) (May 2, 2003). 32. In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, since the Commission does not collect data on the number of employees for licensees providing these services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 33. Wireless Telephony. Wireless telephony includes cellular, personal communications services, and specialized mobile radio telephony carriers. The closest applicable industry with a SBA small business size standard is Wireless Telecommunications Carriers (except Satellite). See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. The size standard for this industry under SBA rules is that a business is small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. For this industry, U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 407 providers that reported they were engaged in the provision of cellular, personal communications services, and specialized mobile radio services. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that 333 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, most of these providers can be considered small entities. 34. Broadband Personal Communications Service. The broadband personal communications services (PCS) spectrum encompasses services in the 1850-1910 and 1930-1990 MHz bands. See 47 CFR § 24.200. The closest industry with a SBA small business size standard applicable to these services is Wireless Telecommunications Carriers (except Satellite). See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. The SBA small business size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 35. Based on Commission data as of November 2021, there were approximately 5,060 active licenses in the Broadband PCS service. Based on a FCC Universal Licensing System search on November 16, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = CW; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. The Commission’s small business size standards with respect to Broadband PCS involve eligibility for bidding credits and installment payments in the auction of licenses for these services. In auctions for these licenses, the Commission defined “small business” as an entity that, together with its affiliates and controlling interests, has average gross revenues not exceeding $40 million for the preceding three years, and a “very small business” as an entity that, together with its affiliates and controlling interests, has had average annual gross revenues not exceeding $15 million for the preceding three years. See 47 CFR § 24.720(b). Winning bidders claiming small business credits won Broadband PCS licenses in C, D, E, and F Blocks. See Federal Communications Commission, Office of Economics and Analytics, Auctions, Auctions 4, 5, 10, 11, 22, 35, 58, 71 and 78, https://www.fcc.gov/auctions. 36. In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, since the Commission does not collect data on the number of employees for licensees providing these, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 37. Specialized Mobile Radio Licenses. Special Mobile Radio (SMR) licenses allow licensees to provide land mobile communications services (other than radiolocation services) in the 800 MHz and 900 MHz spectrum bands on a commercial basis including but not limited to services used for voice and data communications, paging, and facsimile services, to individuals, Federal Government entities, and other entities licensed under Part 90 of the Commission’s rules. Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. is the closest industry with a SBA small business size standard applicable to these services. The SBA size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. For this industry, U.S. Census Bureau data for 2017 show that there were 2,893 firms in this industry that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 119 providers that reported they were of SMR (dispatch) providers. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of this number, the Commission estimates that all 119 providers have 1,500 or fewer employees. Id. Consequently, using the SBA’s small business size standard, these 119 SMR licensees can be considered small entities. We note that there were also SMR providers reporting in the “Cellular/PCS/SMR” classification, therefore there are maybe additional SMR providers that have not been accounted for in the SMR (dispatch) classification. 38. Based on Commission data as of December 2021, there were 3,924 active SMR licenses. Based on a FCC Universal Licensing System search on December 15, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match radio services within this group”, Radio Service = SMR; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. However, since the Commission does not collect data on the number of employees for licensees providing SMR services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. Nevertheless, for purposes of this analysis the Commission estimates that the majority of SMR licensees can be considered small entities using the SBA’s small business size standard. 39. Lower 700 MHz Band Licenses. The lower 700 MHz band encompasses spectrum in the 698-746 MHz frequency bands. Permissible operations in these bands include flexible fixed, mobile, and broadcast uses, including mobile and other digital new broadcast operation; fixed and mobile wireless commercial services (including FDD- and TDD-based services); as well as fixed and mobile wireless uses for private, internal radio needs, two-way interactive, cellular, and mobile television broadcasting services. See Federal Communications Commission, Economics and Analytics, Auctions, Auctions 44, 49, 60: Lower 700 MHz Band, Fact Sheet, Permissible Operations, https://www.fcc.gov/auction/44/factsheet, https://www.fcc.gov/auction/49/factsheet, https://www.fcc.gov/auction/60/factsheet. Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. is the closest industry with a SBA small business size standard applicable to licenses providing services in these bands. The SBA small business size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 40. According to Commission data as of December 2021, there were approximately 2,824 active Lower 700 MHz Band licenses. Based on a FCC Universal Licensing System search on December 14, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = WY, WZ; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. The Commission’s small business size standards with respect to Lower 700 MHz Band licensees involve eligibility for bidding credits and installment payments in the auction of licenses. For auctions of Lower 700 MHz Band licenses the Commission adopted criteria for three groups of small businesses. A very small business was defined as an entity that, together with its affiliates and controlling interests, has average annual gross revenues not exceeding $15 million for the preceding three years, a small business was defined as an entity that, together with its affiliates and controlling interests, has average gross revenues not exceeding $40 million for the preceding three years, and an entrepreneur was defined as an entity that, together with its affiliates and controlling interests, has average gross revenues not exceeding $3 million for the preceding three years. See 47 CFR § 27.702(a)(1)-(3). In auctions for Lower 700 MHz Band licenses seventy-two winning bidders claiming a small business classification won 329 licenses, See Federal Communications Commission, Economics and Analytics, Auctions, Auction 44: Lower 700 MHz Guard Bands, Summary, Closing Charts, Licenses by Bidder, https://www.fcc.gov/sites/default/files/wireless/auctions/44/charts/44cls2.pdf. twenty-six winning bidders claiming a small business classification won 214 licenses, See Federal Communications Commission, Economics and Analytics, Auctions, Auction 49: Lower 700 MHz Guard Bands, Summary, Closing Charts, Licenses by Bidder, https://www.fcc.gov/sites/default/files/wireless/auctions/49/charts/49cls2.pdf. and three winning bidders claiming a small business classification won all five auctioned licenses. See Federal Communications Commission, Economics and Analytics, Auctions, Auction 60: Lower 700 MHz Guard Bands, Summary, Closing Charts, Licenses by Bidder, https://www.fcc.gov/sites/default/files/wireless/auctions/60/charts/60cls2.pdf. 41. In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, since the Commission does not collect data on the number of employees for licensees providing these services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 42. Upper 700 MHz Band Licenses. The upper 700 MHz band encompasses spectrum in the 746-806 MHz bands. Upper 700 MHz D Block licenses are nationwide licenses associated with the 758-763 MHz and 788-793 MHz bands. See 47 CFR § 27.4. Permissible operations in these bands include flexible fixed, mobile, and broadcast uses, including mobile and other digital new broadcast operation; fixed and mobile wireless commercial services (including FDD- and TDD-based services); as well as fixed and mobile wireless uses for private, internal radio needs, two-way interactive, cellular, and mobile television broadcasting services. See Federal Communications Commission, Economics and Analytics, Auctions, Auction 73: 700 MHz Band, Fact Sheet, Permissible Operations, https://www.fcc.gov/auction/73/factsheet. We note that in Auction 73, Upper 700 MHz Band C and D Blocks as well as Lower 700 MHz Band A, B, and E Blocks were auctioned. Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. is the closest industry with a SBA small business size standard applicable to licenses providing services in these bands. The SBA small business size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of that number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus, under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 43. According to Commission data as of December 2021, there were approximately 152 active Upper 700 MHz Band licenses. Based on a FCC Universal Licensing System search on December 14, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = WP, WU; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. The Commission’s small business size standards with respect to Upper 700 MHz Band licensees involve eligibility for bidding credits and installment payments in the auction of licenses. For the auction of these licenses, the Commission defined a “small business” as an entity that, together with its affiliates and controlling principals, has average gross revenues not exceeding $40 million for the preceding three years, and a “very small business” an entity that, together with its affiliates and controlling principals, has average gross revenues that are not more than $15 million for the preceding three years. See 47 CFR § 27.502(a). Pursuant to these definitions, three winning bidders claiming very small business status won five of the twelve available licenses. See Auction of 700 MHz Band Licenses Closes; Winning Bidders Announced for Auction 73, Public Notice, DA-08-595, Attachment A, Report No. AUC-08-73-I (Auction 73) (March 20, 2008). The results for Upper 700 MHz Band C Block can be found on pp. 62-63. 44. 700 MHz Guard Band Licensees. The 700 MHz Guard Band encompasses spectrum in 746-747/776-777 MHz and 762-764/792-794 MHz frequency bands. Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. is the closest industry with a SBA small business size standard applicable to licenses providing services in these bands. The SBA small business size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 45. According to Commission data as of December 2021, there were approximately 224 active 700 MHz Guard Band licenses. Based on a FCC Universal Licensing System search on December 14, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = WX; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. The Commission’s small business size standards with respect to 700 MHz Guard Band licensees involve eligibility for bidding credits and installment payments in the auction of licenses. For the auction of these licenses, the Commission defined a “small business” as an entity that, together with its affiliates and controlling principals, has average gross revenues not exceeding $40 million for the preceding three years, and a “very small business” an entity that, together with its affiliates and controlling principals, has average gross revenues that are not more than $15 million for the preceding three years. See 47 CFR § 27.502(a). Pursuant to these definitions, five winning bidders claiming one of the small business status classifications won 26 licenses, and one winning bidder claiming small business won two licenses. See Federal Communications Commission, Economics and Analytics, Auctions, Auction 33: Upper 700 MHz Guard Bands, Summary, Closing Charts, Licenses by Bidder, https://www.fcc.gov/sites/default/files/wireless/auctions/33/charts/33cls2.pdf, Auction 38: Upper 700 MHz Guard Bands, Summary, Closing Charts, Licenses by Bidder, https://www.fcc.gov/sites/default/files/wireless/auctions/38/charts/38cls2.pdf. None of the winning bidders claiming a small business status classification in these 700 MHz Guard Band license auctions had an active license as of December 2021. Based on a FCC Universal Licensing System search on December 14, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = WX; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. 46. In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, since the Commission does not collect data on the number of employees for licensees providing these services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 47. Air-Ground Radiotelephone Service. Air-Ground Radiotelephone Service is a wireless service in which licensees are authorized to offer and provide radio telecommunications service for hire to subscribers in aircraft. 47 CFR § 22.99. A licensee may provide any type of air-ground service (i.e., voice telephony, broadband Internet, data, etc.) to aircraft of any type, and serve any or all aviation markets (commercial, government, and general). A licensee must provide service to aircraft and may not provide ancillary land mobile or fixed services in the 800 MHz air-ground spectrum. See Federal Communications Commission, Economics and Analytics, Auctions, Auction 65: 800 MHz Air-Ground Radiotelephone Service, Fact Sheet, Permissible Operations, https://www.fcc.gov/auction/65/factsheet. 48. The closest industry with a SBA small business size standard applicable to these services is Wireless Telecommunications Carriers (except Satellite). See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. The SBA small business size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 49. Based on Commission data as of December 2021, there were approximately four licensees with 110 active licenses in the Air-Ground Radiotelephone Service. Based on a FCC Universal Licensing System search on December 20, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = CG, CJ; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. The Commission’s small business size standards with respect to Air-Ground Radiotelephone Service involve eligibility for bidding credits and installment payments in the auction of licenses. For purposes of auctions, the Commission defined “small business” as an entity that, together with its affiliates and controlling interests, has average gross revenues not exceeding $40 million for the preceding three years, and a “very small business” as an entity that, together with its affiliates and controlling interests, has had average annual gross revenues not exceeding $15 million for the preceding three years. See 47 CFR § 22.223(b). In the auction of Air-Ground Radiotelephone Service licenses in the 800 MHz band, neither of the two winning bidders claimed small business status. See Federal Communications Commission, Economics and Analytics, Auctions, Auction 65: 800 MHz Air-Ground Radiotelephone Service, Summary, Closing Charts, Licenses by Bidder, https://www.fcc.gov/sites/default/files/wireless/auctions/65/charts/65cls2.pdf. 50. In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, the Commission does not collect data on the number of employees for licensees providing these services therefore, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 51. Advanced Wireless Services (AWS) - (1710–1755 MHz and 2110–2155 MHz bands (AWS-1); 1915–1920 MHz, 1995–2000 MHz, 2020–2025 MHz and 2175–2180 MHz bands (AWS-2); 2155–2175 MHz band (AWS-3); 2000-2020 MHz and 2180-2200 MHz (AWS-4)). Spectrum is made available and licensed in these bands for the provision of various wireless communications services. See 47 CFR § 27.1(b). Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. is the closest industry with a SBA small business size standard applicable to these services. The SBA small business size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus, under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 52. According to Commission data as December 2021, there were approximately 4,472 active AWS licenses. Based on a FCC Universal Licensing System search on December 10, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = AD, AH, AT, AW; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. The Commission’s small business size standards with respect to AWS involve eligibility for bidding credits and installment payments in the auction of licenses for these services. For the auction of AWS licenses, the Commission defined a “small business” as an entity with average annual gross revenues for the preceding three years not exceeding $40 million, and a “very small business” as an entity with average annual gross revenues for the preceding three years not exceeding $15 million. See 47 CFR §§ 27.1002, 27.1102, 27.1104, 27.1106. Pursuant to these definitions, 57 winning bidders claiming status as small or very small businesses won 215 of 1,087 licenses. See Federal Communications Commission, Economics and Analytics, Auctions, Auction 66: Advanced Wireless Services (AWS-1), Summary, Spreadsheets, https://www.fcc.gov/sites/default/files/wireless/auctions/66/charts/66cls2.pdf. In the most recent auction of AWS licenses 15 of 37 bidders qualifying for status as small or very small businesses won licenses. See Auction of Advanced Wireless Services (AWS-3) Licenses Closes; Winning Bidders Announced for Auction 97, Public Notice, DA-15-131, Attachments A-B, (Auction No. 97) (January 30, 2015). 53. In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, since the Commission does not collect data on the number of employees for licensees providing these services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard 54. 3650–3700 MHz band. Wireless broadband service licensing in the 3650-3700 MHz band provides for nationwide, non-exclusive licensing of terrestrial operations, utilizing contention-based technologies, in the 3650 MHz band (i.e., 3650–3700 MHz). See 47 CFR §§ 90.1305, 90.1307. Licensees are permitted to provide services on a non-common carrier and/or on a common carrier basis. See id. § 90.1309. Wireless broadband services in the 3650-3700 MHz band fall in the Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. industry with a SBA small business size standard that classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 55. The Commission has not developed a small business size standard applicable to 3650–3700 MHz band licensees. Based on the licenses that have been granted, however, we estimate that the majority of licensees in this service are small Internet Access Service Providers (ISPs). As of November 2021, Commission data shows that there were 902 active licenses in the 3650–3700 MHz band. Based on a FCC Universal Licensing System search on November 19, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service = NN; Authorization Type =All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. However, since the Commission does not collect data on the number of employees for licensees providing these services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 56. Fixed Microwave Services. Fixed microwave services include common carrier, See 47 CFR Part 101, Subparts C and I. private-operational fixed, See id. Subparts C and H. and broadcast auxiliary radio services. Auxiliary Microwave Service is governed by Part 74 of Title 47 of the Commission’s Rules. See 47 CFR Part 74. Available to licensees of broadcast stations and to broadcast and cable network entities, broadcast auxiliary microwave stations are used for relaying broadcast television signals from the studio to the transmitter, or between two points such as a main studio and an auxiliary studio. The service also includes mobile TV pickups, which relay signals from a remote location back to the studio. They also include the Upper Microwave Flexible Use Service (UMFUS), See 47 CFR Part 30. Millimeter Wave Service (70/80/90 GHz), See 47 CFR Part 101, Subpart Q. Local Multipoint Distribution Service (LMDS), See id. Subpart L. the Digital Electronic Message Service (DEMS), See id. Subpart G. 24 GHz Service, See id. Multiple Address Systems (MAS), See id. Subpart O. and Multichannel Video Distribution and Data Service (MVDDS), See id. Subpart P. where in some bands licensees can choose between common carrier and non-common carrier status. See 47 CFR §§ 101.533, 101.1017. Wireless Telecommunications Carriers (except Satellite) See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. is the closest industry with a SBA small business size standard applicable to these services. The SBA small size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of fixed microwave service licensees can be considered small. 57. The Commission’s small business size standards with respect to fixed microwave services involve eligibility for bidding credits and installment payments in the auction of licenses for the various frequency bands included in fixed microwave services. When bidding credits are adopted for the auction of licenses in fixed microwave services frequency bands, such credits may be available to several types of small businesses based average gross revenues (small, very small and entrepreneur) pursuant to the competitive bidding rules adopted in conjunction with the requirements for the auction and/or as identified in Part 101 of the Commission’s rules for the specific fixed microwave services frequency bands. See 47 CFR §§ 101.538(a)(1)-(3), 101.1112(b)-(d), 101.1319(a)(1)-(2), and 101.1429(a)(1)-(3). 58. In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, since the Commission does not collect data on the number of employees for licensees providing these services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 59. Broadband Radio Service and Educational Broadband Service. Broadband Radio Service systems, previously referred to as Multipoint Distribution Service (MDS) and Multichannel Multipoint Distribution Service (MMDS) systems, and “wireless cable,” The use of the term "wireless cable" does not imply that it constitutes cable television for statutory or regulatory purposes. transmit video programming to subscribers and provide two-way high speed data operations using the microwave frequencies of the Broadband Radio Service (BRS) and Educational Broadband Service (EBS) (previously referred to as the Instructional Television Fixed Service (ITFS)). See 47 CFR § 27.4; see also Amendment of Parts 21 and 74 of the Commission’s Rules with Regard to Filing Procedures in the Multipoint Distribution Service and in the Instructional Television Fixed Service and Implementation of Section 309(j) of the Communications Act—Competitive Bidding, Report and Order, 10 FCC Rcd 9589, 9593, para. 7 (1995). Wireless cable operators that use spectrum in the BRS often supplemented with leased channels from the EBS, provide a competitive alternative to wired cable and other multichannel video programming distributors. Wireless cable programming to subscribers resembles cable television, but instead of coaxial cable, wireless cable uses microwave channels. Generally, a wireless cable system may be described as a microwave station transmitting on a combination of BRS and EBS channels to numerous receivers with antennas, such as single-family residences, apartment complexes, hotels, educational institutions, business entities and governmental offices. The range of the transmission depends upon the transmitter power, the type of receiving antenna and the existence of a line-of-sight path between the transmitter or signal booster and the receiving antenna. 60. In light of the use of wireless frequencies by BRS and EBS services, the closest industry with a SBA small business size standard applicable to these services is Wireless Telecommunications Carriers (except Satellite). See U.S. Census Bureau, 2017 NAICS Definition, “517312 Wireless Telecommunications Carriers (except Satellite),” https://www.census.gov/naics/?input=517312&year=2017&details=517312. The SBA small business size standard for this industry classifies a business as small if it has 1,500 or fewer employees. See 13 CFR § 121.201, NAICS Code 517312. U.S. Census Bureau data for 2017 show that there were 2,893 firms that operated in this industry for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Employment Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEEMPFIRM, NAICS Code 517312, https://data.census.gov/cedsci/table?y=2017&n=517312&tid=ECNSIZE2017.EC1700SIZEEMPFIRM&hidePreview=false. Of this number, 2,837 firms employed fewer than 250 employees. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. Thus under the SBA size standard, the Commission estimates that a majority of licensees in this industry can be considered small. 61. According to Commission data as December 2021, there were approximately 5,869 active BRS and EBS licenses. Based on a FCC Universal Licensing System search on December 10, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service =BR, ED; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. The Commission’s small business size standards with respect to BRS involves eligibility for bidding credits and installment payments in the auction of licenses for these services. For the auction of BRS licenses, the Commission adopted criteria for three groups of small businesses. A very small business is an entity that, together with its affiliates and controlling interests, has average annual gross revenues exceed $3 million and did not exceed $15 million for the preceding three years, a small business is an entity that, together with its affiliates and controlling interests, has average gross revenues exceed $15 million and did not exceed $40 million for the preceding three years, and an entrepreneur is an entity that, together with its affiliates and controlling interests, has average gross revenues not exceeding $3 million for the preceding three years. See 47 CFR § 27.1218(a).  Of the ten winning bidders for BRS licenses, two bidders claiming the small business status won 4 licenses, one bidder claiming the very small business status won three licenses and two bidders claiming entrepreneur status won six licenses. See Federal Communications Commission, Economics and Analytics, Auctions, Auction 86: Broadband Radio Service, Summary, Reports, All Bidders, https://www.fcc.gov/sites/default/files/wireless/auctions/86/charts/86bidder.xls. One of the winning bidders claiming a small business status classification in the BRS license auction has an active licenses as of December 2021. Based on a FCC Universal Licensing System search on December 10, 2021, https://wireless2.fcc.gov/UlsApp/UlsSearch/searchAdvanced.jsp. Search parameters: Service Group = All, “Match only the following radio service(s)”, Radio Service =BR; Authorization Type = All; Status = Active. We note that the number of active licenses does not equate to the number of licensees. A licensee can have one or more licenses. 62. The Commission’s small business size standards for EBS define a small business as an entity that, together with its affiliates, its controlling interests and the affiliates of its controlling interests, has average gross revenues that are not more than $55 million for the preceding five (5) years, and a very small business is an entity that, together with its affiliates, its controlling interests and the affiliates of its controlling interests, has average gross revenues that are not more than $20 million for the preceding five (5) years. See 47 CFR § 27.1219(a).  In frequency bands where licenses were subject to auction, the Commission notes that as a general matter, the number of winning bidders that qualify as small businesses at the close of an auction does not necessarily represent the number of small businesses currently in service. Further, the Commission does not generally track subsequent business size unless, in the context of assignments or transfers, unjust enrichment issues are implicated. Additionally, since the Commission does not collect data on the number of employees for licensees providing these services, at this time we are not able to estimate the number of licensees with active licenses that would qualify as small under the SBA’s small business size standard. 4. Satellite Service Providers 63. Satellite Telecommunications. This industry comprises firms “primarily engaged in providing telecommunications services to other establishments in the telecommunications and broadcasting industries by forwarding and receiving communications signals via a system of satellites or reselling satellite telecommunications.” See U.S. Census Bureau, 2017 NAICS Definition, “517410 Satellite Telecommunications,” https://www.census.gov/naics/?input=517410&year=2017&details=517410. Satellite telecommunications service providers include satellite and earth station operators. The SBA small business size standard for this industry classifies a business with $38.5 million or less in annual receipts as small. See 13 CFR § 121.201, NAICS Code 517410. U.S. Census Bureau data for 2017 show that 275 firms in this industry operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Sales, Value of Shipments, or Revenue Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEREVFIRM, NAICS Code 517410, https://data.census.gov/cedsci/table?y=2017&n=517410&tid=ECNSIZE2017.EC1700SIZEREVFIRM&hidePreview=false. Of this number, 242 firms had revenue of less than $25 million. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. We also note that according to the U.S. Census Bureau glossary, the terms receipts and revenues are used interchangeably, see https://www.census.gov/glossary/#term_ReceiptsRevenueServices. Additionally, based on Commission data in the 2021 Universal Service Monitoring Report, as of December 31, 2020, there were 71 providers that reported they were engaged in the provision of satellite telecommunications services. Federal-State Joint Board on Universal Service, Universal Service Monitoring Report at 26, Table 1.12 (2021), https://docs.fcc.gov/pubId.lic/attachments/DOC-379181A1.pdf. Of these providers, the Commission estimates that approximately 48 providers have 1,500 or fewer employees. Id. Consequently using the SBA’s small business size standard, a little more than of these providers can be considered small entities. 64. All Other Telecommunications. This industry is comprised of establishments primarily engaged in providing specialized telecommunications services, such as satellite tracking, communications telemetry, and radar station operation. See U.S. Census Bureau, 2017 NAICS Definition, “517919 All Other Telecommunications,” https://www.census.gov/naics/?input=517919&year=2017&details=517919. This industry also includes establishments primarily engaged in providing satellite terminal stations and associated facilities connected with one or more terrestrial systems and capable of transmitting telecommunications to, and receiving telecommunications from, satellite systems. Id. Providers of Internet services (e.g. dial-up ISPs) or voice over Internet protocol (VoIP) services, via client-supplied telecommunications connections are also included in this industry. Id. The SBA small business size standard for this industry classifies firms with annual receipts of $35 million or less as small. See 13 CFR § 121.201, NAICS Code 517919. U.S. Census Bureau data for 2017 show that there were 1,079 firms in this industry that operated for the entire year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Sales, Value of Shipments, or Revenue Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEREVFIRM, NAICS Code 517919, https://data.census.gov/cedsci/table?y=2017&n=517919&tid=ECNSIZE2017.EC1700SIZEREVFIRM&hidePreview=false. Of those firms, 1,039 had revenue of less than $25 million. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. We also note that according to the U.S. Census Bureau glossary, the terms receipts and revenues are used interchangeably, see https://www.census.gov/glossary/#term_ReceiptsRevenueServices. Based on this data, the Commission estimates that the majority of “All Other Telecommunications” firms can be considered small. 5. Cable Service Providers 65. Because section 706 of the Act requires us to monitor the deployment of broadband using any technology, we anticipate that some broadband service providers may not provide telephone service. Accordingly, we describe below other types of firms that may provide broadband services, including cable companies, MDS providers, and utilities, among others. 66. Cable and Other Subscription Programming. The U.S. Census Bureau defines this industry as establishments primarily engaged in operating studios and facilities for the broadcasting of programs on a subscription or fee basis. See U.S. Census Bureau, 2017 NAICS Definition, “515210 Cable and Other Subscription Programming,” https://www.census.gov/naics/?input=515210&year=2017&details=515210. The broadcast programming is typically narrowcast in nature (e.g., limited format, such as news, sports, education, or youth-oriented). These establishments produce programming in their own facilities or acquire programming from external sources. Id. The programming material is usually delivered to a third party, such as cable systems or direct-to-home satellite systems, for transmission to viewers. Id. The SBA small business size standard for this industry classifies firms with annual receipts less than $41.5 million as small. See 13 CFR § 121.201, NAICS Code 515210. Based on U.S. Census Bureau data for 2017, 378 firms operated in this industry during that year. See U.S. Census Bureau, 2017 Economic Census of the United States, Selected Sectors: Sales, Value of Shipments, or Revenue Size of Firms for the U.S.: 2017, Table ID: EC1700SIZEREVFIRM, NAICS Code 515210, https://data.census.gov/cedsci/table?y=2017&n=515210&tid=ECNSIZE2017.EC1700SIZEREVFIRM&hidePreview=false. The US Census Bureau withheld publication of the number of firms that operated for the entire year to avoid disclosing data for individual companies (see Cell Notes for this category). Of that number, 149 firms operated with revenue of less than $25 million a year and 44 firms operated with revenue of $25 million or more. Id. The available U.S. Census Bureau data does not provide a more precise estimate of the number of firms that meet the SBA size standard. We note that the U.S. Census Bureau withheld publication of the number of firms that operated with sales/value of shipments/revenue in all categories of revenue less than $500,000 to avoid disclosing data for individual companies (see Cell Notes for the sales/value of shipments/revenue in these categories). Therefore, the number of firms with revenue that meet the SBA size standard would be higher than noted herein. We also note that according to the U.S. Census Bureau glossary, the terms receipts and revenues are used interchangeably, see https://www.census.gov/glossary/#term_ReceiptsRevenueServices. Based on this data, the Commission estimates that a majority of firms in this industry are small. 67. Cable Companies and Systems (Rate Regulation). The Commission has developed its own small business size standard for the purpose of cable rate regulation. Under the Commission’s rules, a “small cable company” is one serving 400,000 or fewer subscribers nationwide. 47 CFR § 76.901(d). Based on industry data, there are about 420 cable companies in the U.S. S&P Global Market Intelligence, S&P Capital IQ Pro, U.S. MediaCensus, Operator Subscribers by Geography (last visited May 26, 2022). Of these, only seven have more than 400,000 subscribers. S&P Global Market Intelligence, S&P Capital IQ Pro, Top Cable MSOs 12/21Q (last visited May 26, 2022); S&P Global Market Intelligence, Multichannel Video Subscriptions, Top 10 (April 2022). In addition, under the Commission’s rules, a “small system” is a cable system serving 15,000 or fewer subscribers. 47 CFR § 76.901(c). Based on industry data, there are about 4,139 cable systems (headends) in the U.S. S&P Global Market Intelligence, S&P Capital IQ Pro, U.S. MediaCensus, Operator Subscribers by Geography (last visited May 26, 2022). Of these, about 639 have more than 15,000 subscribers. S&P Global Market Intelligence, S&P Capital IQ Pro, Top Cable MSOs 12/21Q (last visited May 26, 2022). Accordingly, the Commission estimates that the majority of cable companies and cable systems are small. 68. Cable System Operators (Telecom Act Standard). The Communications Act of 1934, as amended, contains a size standard for a “small cable operator,” which is “a cable operator that, directly or through an affiliate, serves in the aggregate fewer than one percent of all subscribers in the United States and is not affiliated with any entity or entities whose gross annual revenues in the aggregate exceed $250,000,000.” 47 U.S.C. § 543(m)(2). For purposes of the Telecom Act Standard, the Commission determined that a cable system operator that serves fewer than 677,000 subscribers, either directly or through affiliates, will meet the definition of a small cable operator based on the cable subscriber count established in a 2001 Public Notice. FCC Announces New Subscriber Count for the Definition of Small Cable Operator, Public Notice, 16 FCC Rcd 2225 (CSB 2001) (2001 Subscriber Count PN). In this Public Notice, the Commission determined that there were approximately 67.7 million cable subscribers in the United States at that time using the most reliable source publicly available. Id. We recognize that the number of cable subscribers changed since then and that the Commission has recently estimated the number of cable subscribers to be approximately 58.1 million. See Communications Marketplace Report, GN Docket No. 20-60, 2020 Communications Marketplace Report, 36 FCC Rcd 2945, 3049, para. 156 (2020) (2020 Communications Marketplace Report). However, because the Commission has not issued a public notice subsequent to the 2001 Subscriber Count PN, the Commission still relies on the subscriber count threshold established by the 2001 Subscriber Count PN for purposes of this rule. See 47 CFR § 76.901(e)(1). Based on industry data, only six cable system operators have more than 677,000 subscribers. S&P Global Market Intelligence, S&P Capital IQ Pro, Top Cable MSOs 12/21Q (last visited May 26, 2022); S&P Global Market Intelligence, Multichannel Video Subscriptions, Top 10 (April 2022). Accordingly, the Commission estimates that the majority of cable system operators are small under this size standard. We note however, that the Commission neither requests nor collects information on whether cable system operators are affiliated with entities whose gross annual revenues exceed $250 million. The Commission does receive such information on a case-by-case basis if a cable operator appeals a local franchise authority’s finding that the operator does not qualify as a small cable operator pursuant to § 76.901(e) of the Commission’s rules. See 47 CFR § 76.910(b). Therefore, we are unable at this time to estimate with greater precision the number of cable system operators that would qualify as small cable operators under the definition in the Communications Act. E. Description of Projected Reporting, Recordkeeping, and Other Compliance Requirements for Small Entities 69. The Order will reduce reporting, recordkeeping, and other compliance requirements on small entities. The Order sunsets the collection of broadband deployment data through Form 477. Fixed and mobile broadband service providers who previously filed broadband deployment data through Form 477 will no longer be required to do so. Instead, providers will file their broadband availability data in the BDC system. By sunsetting the collection of broadband deployment data through Form 477 the Order reduces the reporting requirements for small providers and does not require small providers to hire professionals to comply or impose any compliance costs. Providers will be required to report broadband deployment data only in the BDC filing system rather than in both the BDC system and through Form 477. 70. Although the Order sunsets the collection of broadband deployment data, small and other providers are still required to submit the subscription data required under Form 477. Additionally, because our decision to sunset the collection of broadband deployment data through Form 477 may impact other areas where the Commission currently uses information from the Form 477 data collection we have directed the Wireline Communications Bureau (WCB), the Wireless Telecommunications Bureau (WTB), the International Bureau, and the Office of Economic Analysis (OEA) to address matters related to the collection and use of Form 477 deployment data for other uses and purposes within the Commission. 71. Small and other mobile providers that participate in the Alaska Plan will be informed by WTB and OEA how to submit coverage data after the sunsetting of the Form 477 broadband deployment data collection, including whether to use the BDC filing system for submission of data currently submitted using the Form 477 filing system that are specific to Alaska. WCB will provide small and other providers that participate in either the Bringing Puerto Rico Together Fund or the Connect USVI Fund instructions on how to submit coverage data that are specific to Puerto Rico and the U.S. Virgin Islands to comply with the requirements of those funding mechanisms. F. Steps Taken to Minimize the Significant Economic Impact on Small Entities and Significant Alternatives Considered 72. The RFA requires an agency to provide, “a description of the steps the agency has taken to minimize the significant economic impact on small entities…including a statement of the factual, policy, and legal reasons for selecting the alternative adopted in the final rule and why each one of the other significant alternatives to the rule considered by the agency which affect the impact on small entities was rejected.” 5 U.S.C. § 604(b)(6). 73. The Commission considered the comments in the record regarding the sunset of the Form 477 broadband deployment data collection and is mindful of the time and resources that small entities incur to file broadband data with the Commission. The Order concludes that sunsetting the Form 477 deployment data collection at this time will reduce burdens on small and other providers, by streamlining broadband reporting requirements so that providers have to file broadband deployment only in the BDC system rather than in both the BDC system and through Form 477. 74. In reaching our decision, we specifically considered sunsetting the collection of broadband deployment data through Form 477, (1) once a new collection was implemented; Alaska Communications Sept. 23, 2019 Comments on Further Notice at 19; U.S. Cellular Sept. 23, 2019 Comments on Further Notice at 11; Microsoft Oct. 7, 2019 Reply to Further Notice at 7. (2) after a period of transition following a Commission determination that there are sufficient resources to implement a new collection and that the new broadband data collection produced reliable data; Alexicon Sept. 23, 2019 Comments at 10; ACA Connects Sept. 23, 2019 Comments at 3. California PUC Sept. 24, 2019 Comments at 19; GVNW Consulting Sept. 23, 2019 Comments at 7; NCTA Sept. 23, 2019 Comments at 25; Broadband Mapping Coalition Sept. 23, 2019 Comments at 38; West Virginia Sept. 23, 2019 Comments at 5-6. (3) one year after the BDC commenced; ACA Connects Sept. 8, 2020 Comments at 5; NCTA Sept. 8, 2020 Comments at 9; Letter from B. Lynn Follansbee, Vice Pres. Policy and Advocacy, USTelecom to Marlene H. Dortch, Secretary, FCC, WC Docket No, 19-195 (filed Aug. 14, 2020). (4) after one reporting cycle of the BDC; AT&T Sept. 8. 2020 Comments at 14; US Telecom/WISPA Sept. 8, 2020 Comments at 23-24. and (5) after the BDC requirements were in place. NRECA Sept. 8, 2020 Comments at 8. We also considered comments advocating maintaining the Form 477 census-block broadband deployment data collection going forward. Free Press Sept. 23, 2019 Comments at 22-24. These comments were filed prior to the passage of the Broadband DATA Act, and the standards and processes that the Commission has adopted to implement the requirements of the Act will ensure that we collect and make available to the public more useful broadband availability data than the data previously available through Form 477. The Commission rejected proposals and alternative approaches suggested by commenters that would have required a longer transition period during which broadband providers would have been subject to the dual collection of deployment data. Limiting the duration of the transition period will reduce the burden and economic impact on small providers that would have been associated with maintaining the dual reporting obligation for a longer period of time. G. Report to Congress 75. The Commission will send a copy of the Order, including this FRFA, in a report to Congress pursuant to the Congressional Review Act. See 5 U.S.C. § 801(a)(1)(A). In addition, the Commission will send a copy of the Order, including this FRFA, to the Chief Counsel for Advocacy of the SBA. A copy of the Order and FRFA (or summaries thereof) will also be published in the Federal Register. See 5 U.S.C. § 604(b). 2