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Despite QRA’s Demise, Uncertainty Still Impacts RLECs

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While the FCC’s recent decision to eliminate the Quantile Regression Analysis (QRA) as a means of determining USF support has removed a significant source of uncertainty impacting NTCA member companies, the question of what will take the place of QRA continues to shape their investment decisions.

According to NTCA’s recently released 2013 Broadband/Internet Availability Survey Report, 80% of survey respondents indicated that regulatory uncertainty remains a barrier to fiber deployment, second only to cost (92%).

The overall broadband take rate for survey respondents was 72%. The most popular speed tier offered was 3.0 to 4.0 Mbps, the choice of 34% of responding companies’ customers.

Forty-six percent of respondents serve their broadband customers via digital copper loop, while 29% utilize Fiber to the Home (FTTH) and 12% Fiber to the Node (FTTN).

More than half of all respondents—53%—offer “stand alone” DSL service. Nineteen percent of respondents currently offer Voice over Internet Protocol (VoIP), and an additional 62% plan to do so in the foreseeable future.

Seventy-seven percent of respondents currently offer video, while an additional 2% plan to do so by year-end 2016.

Twenty-seven percent of NTCA’s member companies participated in the annual survey, which was conducted in late 2013.


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