SubscribeProviding computers in income-challenged neighborhoods and free access to wireless Internet for Philadelphia’s poorest neighborhoods simply won’t do in Comcast’s home city. The cable giant has filed objections to a proposal to bring access to those who would never be able to afford Comcast’s asking price for broadband.
Comcast Center in Philadelphia
Comcast executive vice president David Cohen made it all too clear in a story from Bloomberg News:
“Those applications don’t qualify for funding primarily because they are applications to provide service in areas where there is already broadband service,” Cohen said. He didn’t provide an estimate of how many applications would be implicated, and said Comcast would point out only applications that would serve areas where it provides Internet service.
“We would mostly care if it goes to an area where we’re the broadband provider,” Cohen said.
Comcast has concerns about tax dollars and other benefits going to projects that could compete with Comcast’s offerings. But Comcast’s rank hypocrisy is on full display when one considers public funding is a-okay when it is directed towards Comcast:
Comcast executives lobbied the state government for financial assistance to build their new Center City headquarters. The firm unsuccessfully sought a Keystone Opportunity Zone (KOZ) designation for its building, which would have provided local and state tax relief. Despite the fact that KOZs are intended to spur development in areas of blight, not prosperous Center City locations, the $30 billion company almost succeeded with the help of Gov. Rendell. Had the Comcast effort prevailed, the company would have been exempt from state and local business taxes until 2015.
The Pennsylvania Legislature defeated Comcast’s and the governor’s efforts. The governor then made an end-run around the legislature, funneling nearly $43 million in taxpayer money to aid Comcast and pay for infrastructure near the Comcast building, prompting outrage from many. Comcast’s direct incentives were nearly $13 million. The economic development funds equated to roughly 10 percent of the building’s cost.
Rival office landlords complained bitterly about the public subsidies, fearing that Comcast Center will lead to a glut of downtown office space and lure away their corporate tenants.
Isn’t that a familiar argument. The state of Pennsylvania didn’t help matters when it didn’t include the project on a list of “recommended projects” it sent to federal officials.
Coming up…
“We would mostly care if it goes to an area where we’re the broadband provider,”
“THE” being the operative word
True. However let’s fix what’s broken (1.5/512 with decent latency to common websites for <= $50 per month) before amping up competition in markets where 12/2 is available for $55 right now. Trust me; I straddle the digital divide. I'm on Comcast in my apartment because Qwest is slow. Back home we just got Verizon DSL at 1.5/384. We're pretty much at the end of the road for that kind of service; the subdivision next to us has to use cellular or the local WISP for 'net access. Slow, unreliable or expensive, pick at least one. Pick two if you… Read more »