Washington, d. C. And around the country so you can make up your own mind. Created by cable in 1979, cspan is brought to you by your local cable or satellite provider. Cspan, your unfiltered view of government. Host this week on the communicators we want to introduce you to a new guest. His name is bob udell, ceo of the consolidated communications and joining us as the guest report is matt daneman of communications daily. Mr. Udell before we get into some of the issues that we will explore with you, tell us a little bit about consolidated communications. Guest thank you for having me today. Consolidated communications is a Broadband Service provider that Services Mostly rural areas. Were passionate about bringing Broadband Services to our customers. Our territories extend from the Northern Areas of the midwest all the way down to east Central Texas and from the outskirts of sacramento up into the most Northern Areas of northern new england. Host what exactly is at the service you provide . Guest we provide Broadband Services to consumers, commercial customers and even back call or connections to wireless towers. So we Service Everyone in the community and leverage those, assets to help Rural Communities connect with the internet. And really we are passionate about living, working, playing in those communities and racing the Economic Development prospects. Host who are your competitors . Guest typically the Cable Tv Companies but often we serve places where they dont go. You will see Wireless Service providers, which is technology we employ to extend our fiber footprints but thats the competition we seek. Host mr. Udell, the somebody who has your service right write out a check to consolidated communications or send money to consolidate every month . Guest they do. We are not on the radar as much as an at t or verizon or xfinity or comcast, but in the communities in which we serve we are. We are very involved with the community because we dont like big brand advertising because were not in the in the film markets from the outskirts but we are involved in the community we serve, involvement hospitals, involved with the government institutions. We are very focused in closing this Digital Divide that we talk about in terms of Rural America. Host how many customers and how many employees . Guest we have roughly 1. 2 million customers and access to over 2 million addresses. And so we are constantly expanding our network. Roughly 3600 employees spread across those 23 states. Host and revenues . Guest revenues in excess of 1. 3 billion annually. Host two of us explore some of the issues that you deal with as a smaller isp is matt daneman of communications daily. Im glad you broached the term Digital Divide. The numerous americans who dont have access to highspeed broadband. Fiber is often looked at as the solution to that for a lot of those communities. From your standpoint is, as a Broadband Company what to going to take to get fiber across america to those harder to reach last reach places, whats the barrier to a the fiber . Guest fiber is the backbone of communication services, and so we are intent on expanding that network for any reason we can find and we use both the deployment of additional cell towers, and think 5g will drive additional Fiber Deployment but we think serving the enduser could be a mix of technology. We in many cases implore wireless frequencies in order to get to the last mile. Its a mix of technologies that solve the connection challenge in Rural America but we think what also makes sense is that you look at this opportunity as really an opportunity for the new frontier of america, to raise the economic tilt prospects of these communities we think is really critically important and were passionate about it. Like we had the electrification act, he met the telecom act of 1934, this is one of those points where the right Publicprivate Partnerships can advance deployment across the u. S. Weve been investing in those. When you talk about Publicprivate Partnership i assume one of the things things like connect america and that the fcc has proposed world Digital Opportunities fund, 20. 4 billion is a price tag. Are those good ways to getting you and your pure companies to be more involved and to be expanding your footprint, is that what is required to reach those hard to reach areas of arkansas, alaska, native territories that are not getting the highspeed access that you and i enjoy, in more wired aries . Guest we believe that the connect america fund and the World Digital Opportunity Fund that is recently been announced in april are key components that help that process. We also seek Publicprivate Partnerships at a state, in a city level. We Just Announced recently an example in chesterfield New Hampshire where we are partnering with the city to connect 2500 passings to broadband and it was speed in excess of 25 25 meg per second. Its a really great opportunity on multiple levels that we continue to pursue and make america fund help jumpstart that, and the World Digital Opportunity Fund as the auction process gets defined we work hard to make sure that it enables a very accurate deployment of services, Broadband Services to those that are underserved or uncertainty. Host this is a federal investment in broadband. What about consolidated communications, are you also making that private investment . Guest we are. Just this last you we upgraded another 500,000 addresses across our footprint. Each year we are extending our Fiber Network reach, and with new technology that were constantly investing in and out of pure companies are within associations, where extending our Fiber Networks and using wireless for the last mile. Which is not costeffective to build the wire. All the signals, wireless or while in, need to get back to fiber core network to connect with you in the world. Host your 37,000 or so miles of fiber optic cable. What exactly is that transit its everywhere. Its in the ground, in the air, in the kennedys and which we serve. I mentioned this 23 states. Its typically outside of the urban markets, and in the largest towns that we are in the downtown area of places like portland, maine, or roseville california. Those are the places where we have Fiber Networks in every street, extensions of those facilities in every neighborhood, on the polls and connecting directly to the customers. Host whats the process and how thick is that fiber . Whats the process of getting it laid . Guest it takes a lot of project management, investment of course to get all the equipment, tools and people online. Its like any other infrastructure projects. We are very focused on putting that infrastructure in place we can be sustainable, easy to repair, and survivable for many years to come. Its construction, plowing, technicians, connections, splicing equipment, all those things have to be a bind and weve been good at that through history. Host how thick is that fiber . Guest fiber can be anywhere from two or three inches thick with it is over 1180th fiber count. If you have over 1005 account and some cables down to the smallest 144 fiber that might be an inch thick. How much, or a lot of the debate about where to put federal and state money has revolved around the you should not having good maps to know whether our services being provided or not. The fcc has updated the process about broadband mapping will be done in the u. S. As you look at that, is the new mapping regime that the sec is laid out, is that going to be effective . Does the u. S. Finally on past having effective broadband maps that will tell us where the services are at or not being provided of what still needs to happen . Guest im glad you mentioned that because we believe the mapping are critical to the success of the next auction or allocation of federal funds. Heres the deal. In the past we have used a General Number of addresses for a census block area, and thats how specific these allocations of funds have become. But we find the census block accounts are in accurate, in the mapping based on the technology with access today gives you specific address location longitude and latitude on those uncertain locations. We think getting that process done, the files created is critical to success of the World Digital Opportunity Fund. So we dont use the in accurate estimate of the past that were good for Getting Started but not good for ensuring that actual addresses get served in the final analysis. So world Digital Opportunities fund money, that should not be released to Companies Like consolidated into we had that mapping regime in place. One has to follow the other to be effective . Guest we believe that to be the case and we really think that that is a long pole we can get, we can Work Together as an industry with a neutral party, thirdparty which is been tested already for a number of states, and give the process going very quickly so that the funds can still be allocated and we can begin the process of actually building out to those uncertain locations. Host what kind of regulation and come to the company like consolidated face. Guest we pay some regulatory, that is a bit of carryover from history. Whats happened to history is the Regulatory Environment was built around 1934 act, and subsequently weve had different pieces of legislation, one in 1984 that broke up the bell system and another 1996 that involved competitive, creating a competitive environment. Those regulations are stale and while they have been increasing over time, there are still some that are out of date that are related to responsibility for providing Telephone Service in the old sense. We think that should be updated, and if theres going to be an auction for the support in these rural areas which was initially based on a 1934 act, and begin transitioning to internet focused most recently to the connect america fund, we think the last provider, carrier of last resort responsible should go away or transition with webber wins those funds. We just want an even Playing Field for the advancement of broadband in rural areas. Host you say and even Playing Field. Are the larger companies, xfinity, verizon, et cetera, do they have an unfair advantage come in your view . Guest its not necessarily based on size. Its really based on the origin of the business. The cable tv providers were not really ever regulated the way the has to work at t, verizon and Companies Like ours were regulated because of the 34 act, 19341934 act to advance telecom services. Listen, that debate can be something that distracts us from the actual investment. We think that you can do a rural Digital Opportunity fund and start to subdue that kerry of last resort obligations by how that process is implemented and advance the broadband connections in Rural America and thats what were supportive up. You to a Bright Service including voice. Theres an issue called robocalls no one complains about. Guest really . Im sure youre a lot from customers. Im curious, the fcc again has made a lot of efforts in terms of regulatory forms to tackle illegal robocalls. Theres Technology Like the shaken stir authentication process coming online. Whats it going to take to make a dent in the volume of robocalls that you, i estimate of the people get on regular basis . What will have to happen for us to get rid of robocalls . Guest we are actively involved in this and i come at many of these issues from our customers perspective because what were passionate about his protecting our customers,. We are actively involved with i guess you would call it the attorney generals from across the u. S. Theres 51 ags that is signed with us and the of other associations a set of principles that i think we announced in the third week of august that we are adopting, using that to guide our suppliers, technology suppliers, what criterion we need in order to implement shake and stir to ensure that we can deflect or turn back and identify those, preventing thm as was identifying causes and were making great progress. I think 202020 you begin to see those solutions be implemented because we are in trial with a number of our suppliers. Im curious from a telecommunications standpoint, you compete with 5g, at least in urban and more developed areas. Thats going to be a competition to your service. Are you concerned about 5g . You provide backhaul for but at the same time its going to be competing for customers. How challenging is 5g going to be . Guest in the markets we serve, again they are more rural and less densely populated. We dont see 5g as a threat. We see it as an opportunity. We see ourselves as a Solutions Provider for the wireless companies, and in place of where its just not costeffective to deploy the Technology Goes up f the number of cell sites, we work hard to be as turnkey for emmis possible because in the end it enhances broadband, advances deployment of our Fiber Networks. We passed more cities and towns in our markets that we serve in the states we serve, while at the same time using the 5g frequencies then to bring endusers, broadband that otherwise could not have access. We see it as apartment opportunity. Host how much have you spent so far on the development of 5g . Guest thats Company Information that i probably wont answer. But i will tell you its a natural evolution. When we look at the densification that have to happen first in our markets, we are seeing an uptick in the number of towers being deployed and we have an excellent history of watching out for our customers, including our large carrier like customers. We do a a very good job at prot management, a good job at prioritizing the traffic when they buy bandwidth from his voice and facetime elbows things are prioritized higher. Were in a good position as regasify, even some of the role markets that will continue to put more fiber and be in a position to work with him to do blood areas where we dont see it costeffective to run fiber. Host so there is at times where you work with at t and verizon, et cetera, et cetera . Guest we are working hard to create more of those opportunities, absolutely. Speaking of the competitive landscape, you referenced earlier about cable being a chief competitor. A number of the biggest players, comcast and charter will offer now mobile service in the process of offering mobile service. Is that something that is a goal, and a two consolidated or to your peers . Will this be something everybody will be doing this at some point or is this not part of the future plans for consolidated . Guest we see the device let me back up. We want to make technology a simple to use for our customers as possible. Right now that includes making any carriers network or any carriers devices that they offer userfriendly for our customers, whether its in the home or into business over wifi, or in terms of watching content they might want to digest, not only voice traffic. So at this point we want to enable the mobile services. We dont see that as a highmargin business or a necessity for our endusers but we always watch that carefully, and when and if it makes sense to take on a Partner Company specific partner for our endusers, and we think thats a critical advantage, then we will do it but at this stage we are planning to watch in seeking. Host why are you in d. C. . Guest im here to represent the subscribers in the communities and our customers that we serve. My priority is to advance broadband deployment, and as the rep of the companies that we align ourselves with, i feel that this is a great opportunity to make sure that if were going to spend government money across the country in on a federal program, that we get it right. So making sure the unserved addresses are really what we are finding is important to me, a transition from this is the first time will have offered funding from a federal perspective in areas where we had the cat program already. So its a step up for those markets. We want to make sure that money is appropriately used and that before its granted, not only to get accurate but we have a transition plan that includes getting rid of some of the regulations if we dont end up the successful bidder. The third is we want to make sure any program enables 5g. As i mentioned earlier while some view in urban areas as asa threat, we do it as an opportunity. Thats my purpose to watch out for our customers and market. Host so your meeting with members of congress, the fcc . Guest correct. What is your message to the energy and Commerce Committee particularly, if thats who you are meeting with . Guest the message is really this. Help support the fcc in this noble effort to get this right. Lets take what this fcc chairman so graciously did and launch the real Digital Opportunity fund and give him the tools to ensure that the money gets to the places where it wi