Trump set sights on spectrum strategy

US President Donald Trump has unveiled plans to create a National Spectrum Strategy to prepare the country prepare for the introduction of 5G wireless networks.

The presidential memorandum, which was signed last week, directs the Secretary of Commerce to work with agencies and policy makers on all levels to develop a National Spectrum Strategy. As part of the strategy, the Secretary of the department will report annually to the President on efforts to repurpose spectrum, while a Spectrum Strategy Task Force will also be created which, including representatives from the Office of Management and Budget, the Office of Science and Technology Policy (OSTP), the National Security Council, the National Space Council, and the Council of Economic Advisers.

“American companies and institutions rely heavily on high-speed wireless connections, with increasing demands on both speed and capacity,” the memorandum states. “Wireless technologies are helping to bring broadband to rural, unserved, and underserved parts of America. Spectrum-dependent systems also are indispensable to the performance of many important United States Government missions. And as a Nation, our dependence on these airwaves is likely to continue to grow.”

Within 180 days, executive departments and agencies are required to report to the Secretary of Commerce on their anticipated future spectrum requirements, while the OSTP shall submit a report to the President on emerging technologies and the expected impact on spectrum demand. Once these reports have been submitted and assessed, the Secretary of Commerce will have to brief the White House on the status of existing efforts and planned near- to mid-term spectrum repurposing initiatives, as well as a long-term National Spectrum Strategy that includes legislative, regulatory, or other policy recommendations to rework the approach to spectrum management.

While work on spectrum has been underway for some time, this intervention from the White House demonstrates the importance of 5G to the US economy, and perhaps its long-standing battle with the Chinese to maintain control of the global economy.  Although Silicon Valley still maintains the leadership position on the worldwide technology and telecommunications industry, this grip is not quite as ironclad as it was in previous years. With digital taking over in the cockpit as the driver for almost every ‘developed’ economy around the world, a flexible, future-proofed spectrum policy is critical.

“We commend the administration for recognizing the importance of establishing a national spectrum strategy,” said CTIA President Meredith Baker. “With the right approach based on licensed wireless spectrum, America’s wireless carriers will invest hundreds of billions of dollars and create millions of jobs to deploy next-generation networks and win the global 5G race.”

“Spectrum has become one of the most critical inputs for the communications and information technologies that are driving America’s economic growth,” a statement from the NCTA reads. “The services that rely on unlicensed spectrum alone generated more than $525 billion in value for the U.S. economy in 2017. We look forward to engaging in constructive dialogue with the White House, NTIA, and the FCC on the development of a balanced national spectrum policy that will meet the growing need for both licensed and unlicensed spectrum to support next-generation wireless technologies.”

The attention from the White House will certainly be welcomed by the industry, though some have questioned why it has taken so long. With the Trump administration focusing on other areas, in particular looking outwards, some critics have questioned why it has taken so long for the White House to take a firm position in the 5G world. Democrat FCC Commissioner Jessica Rosenworcel is one who has questioned the sluggish nature of the administration, particularly focused on reports and action, suggesting it has allowed other countries such as China and Korea to steal valuable yards in the 5G race.

While specifics are relatively thin for the moment, the spectrum strategy might go some way to settle bickering in the industry. A good example is the battle between the autonomous vehicles camp, which is currently guarding largely unused spectrum reserved to allow vehicles to communicate, and telcos who want the assets opened up for wifi. This is only one example, but without a comprehensive, forward-looking, strategy in place, these arguments will not be settled.

Such a policy will provide much needed clarity in the industry, though six months is a long-time to wait with the 5G world fast approaching.

Trump takes next step in Chinese trade war

The United States Trade Representative will place a second round of tariffs on roughly $200 billion of imports from China, effective September 24, though it looks like Apple is passing through unscathed for the moment.

The 10% tariffs will be introduced on September 24, rising to 25% on January 1. Should China take retaliatory action, President Trump has promised to move onto phase three of the strategy, placing tariffs on an additional $267 billion of imports. While these tariffs are thought to spread to consumer goods, it seems some tech companies will escape any financial burdens, at least for the moment.

“After a thorough study, the USTR concluded that China is engaged in numerous unfair policies and practices relating to United States technology and intellectual property – such as forcing United States companies to transfer technology to Chinese counterparts,” said Trump. “These practices plainly constitute a grave threat to the long-term health and prosperity of the United States economy.”

While the White House has attempted to shield the consumer from the negative impacts of the tariff strategy, it was only going to be a matter of time. Not only would the domino effect of the initial tariffs eventually spread through various ecosystems, the US only imports so much from China. Two rounds of tariffs worth $250 billion was bound to hit the consumer pocket before too long. That said, certain products feature on the 300-list of exempt products.

You can see the full list of products on the tariff list here. It is of course incredibly wide ranging, it’s 192 pages long, though the consumer’s back pocket will almost certainly be hit. Seafood features heavily to start, and fans of frogs legs will also suffer. Vegetables are there, as is vinegar. Suitcases, golf bags, baseball mitts, bible paper, carpets, hats and car seats will also be included.

Looking at the technology industry, smart watches, wireless headphones and smart speakers are believed to be on an exempt list, though this is only from the US side. US heavyweights such as Apple might be largely free of collateral damage for the moment, though China will hit back before too long.

Trump might be looking to protect industries and consumers which will largely be in his support camp, though this is not to say Beijing won’t look to inflict damage here. In response to the tariffs imposed in June, China hit back against the farmers, and while iLifers might have been protected thus far it would certainly be a big scalp to claim. Considering the reliance Apple has on China, this would certainly be an effective move.

So far the consumer may not be that concerned about the escalating trade war, as the short-term benefits are a PR win for Trump. Presidential speeches can focus on driving more jobs back onto US shores and the bank accounts are bulging thanks to the tariffs. But this round of tariffs will certainly make life more expensive day to day.

In excluding certain products from tariffs, the Trump administration has simply pointed towards products which it believes could cause political damage. With such an open goal, we imagine the Chinese government will take an incredibly long run up at the consumer technology industry. Look out Apple, Beijing might be eying you up.

White House looks to get ahead of AI

The White House is set to host a conference with Silicon Valley’s best and brightest to learn how laws and regulations should be adapted to fuel the growth of artificial intelligence in years to come.

Google, Amazon and Intel are among the big names to be invited to Washington as the US government tries to get ahead of the trends, according to the Huffington Post. While building a framework which grants flexibility for innovation, rigidness for accountability and protections for the livelihoods of citizens is a complicated task, the White House is follows trends from around the world as rule makers aim to prove themselves relevant.

Over in Europe numerous countries have been attempting to tackle the upcoming wave of algorithms and swell of data, as has the European Commission. While it is critical for governments and bureaucracies to ensure developments do not negatively impact the day-to-day lives of citizens, the White House might also be concerned with progress being made over in China.

For many industry commentators artificial intelligence might be the defining factor of the digital era. 5G is claiming the headlines for the moment, but this infrastructure is nothing more than the foundations; it gives companies and entrepreneurs the opportunity to be innovative and explore new ideas. One of these ideas is AI, which already promises to be an integral part of every technological breakthrough in the pipeline from personalised healthcare to autonomous vehicles, and the management of smart cities.

Looking across the Pacific to China, the US government might be seeing progress and investments made by the Chinese government as a worrying trend. The country has already produced some of the most powerful companies in the technology industry, and looks to be fuelling another horde with money continued to be directed at next-gen technologies. The US might be home to the technology leaders of today, but should the country not create a suitable environment for the development of AI it won’t be too long before China dominates the technology world.

AI will be a critical component of the digital economy, and the importance of this conference should not be underplayed. Executives heading across to Washington will have to do their best to encourage an update of laws and regulations, but also ensure the government is being kept at arm’s length; the red tape is being prepped.