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Exhibit CC 12-06-2016 Item No. 1 Study Session on Wireless Facilities within the Public Right of Way PresentationCC 12-06-2016 Regular Meeting Item # 1 Bridging the Gap w/ Wireless Prepared for City of Cupertino David Witkowski, Executive Director davidw@jointventure.org 408-298-9333 1 My Background • Career focus on communications -30+ years in industry -US Coast Guard (radio, radar, cryptography) - Cellular, Public Safety -Wired & Fiber Telecom -Author, Speaker Bridging the Gap S!PTE¥UR2016 CC 12-6-16 Special Meeting Item #2 • Academia -Carnegie Institute of Technology, Dean's Council -UC Davis, Industrial Affiliates Council • Industry -CTIA Innovation Council -GSMA Industry Council • Senior Member -IEEE -Radio Club of America --- JointVenture i g ~."'""'.""" : • Written for municipal leaders • Focus on current and near-term technologies • 4G, Heterogeneous Networks, Wi-Fi, Dark Fiber, FCC Shot Clocks & AB-57 law • Free PDF, or Amazon print-on-demand 1'!'1 ------·, JoincVenture ! Sll l CO N Y ~ 2 CC 12-6-16 Special Meeting Item #2 Voice Coverage •::• ROOTMw«· Data Coverage u--.-1 8 2'3/lG .,o ... lll. (1) u,,-.-.., •lG/X, •JG-•m CD 3 Mobile Data ..... """' "'·"" ------------ Wireless-Only Percentag es of adults and c hildren llvl ng In ho u se holds w ith o nly w ireless telephone se rvice: United Sta tes, 20 03-2015 Percent 60 50 40 30 20 10 wireless service only 57.7 ot.,_._~~~~~~~~~~~~ Jail-Jun Jul-Dec Jan-Jun Jul-Dec Jan-Jun Jul-Dec Jan-Jun Jul-Dec Jut-Dec 2003 2004 2006 2007 2009 20 10 20 12 2013 20 15 NOTE:AO.ftl .ar, as;,ect ,a ~-.chidfenare lntW • 1a. DATA SOURCE NCHS,Natior\al lle.llth~Survoy CC 12-6-16 Special Meeting Item #2 • Data in North Amer. -1.3 EB/month in 2015 -9.1 EB/month in 2021 • Usage per Phone -3.7 GB/month in 2015 -22 GB/month in 2021 {Per Cis co VNI, Eri css on Mobility Report, Mobile Exp erts LLC, etc.) • CDC Wireless Substitution report -Bi-annual, June 2016 • Wireless-only Renters: 68.8% Shared Housing: 78.8% Poverty: 64.3% Hispanic: 60.5% Similar for young people, disabled, etc. -S ll l COHY4lllY ~---···--·-·--··1 Jo in t Venture ~-----' 4 Wireless-Only World-Wld• Smartphone Sales (%) ,.. ~ --- "" ~~~ I °" -' ....---. . -. . ' . aa aa aaaoaaaoao ao a oao aa a~aaao ni~~~n~~~~~~~u~~~~~~~~~~~ ""'" CC 12-6-16 Special Meeting Item #2 • NTIA Census Analysis -McHenry, 2016 • Wireless by Income - < $2Sk: 29% -$2Sk -< $50k : 24% • Smartphone-only Users -14% in CA (per Field Poll, 2016) -< $22k: 25% Broadband Employment ((:~-j \ j~~-------;\ .. , ·--.. :··----~ / -·•11 : ~ : 1 .··· ···. -t···· ··t ... ··-J . . / ...... \ <-~-----------! __________ .. ;:·.. 1111 . :-~ : ,:· .. ~---···)·:-. • White House Council -Sharing Economy -Gig or Contract Economy • Re-employment, 1-year -w/o internet : 30% -w/ internet : 50% -JointVenture ] ~ S lll CON YAlllt I 5 CC 12-6-16 Special Meeting Item #2 User Profiles Basic Requirement of 21 st Century Life 6 Current Drivers 80,000,000 70,000,000 60,000,000 50,000,000 40,000,000 30,000,000 20,000,000 10,000,000 2013 2015 2017 2019 202 1 2023 2025 IAulomolive .Communications ,Computers Consumer •Industrial •Medical •Military & Aerospace -Total loT Device Installed Base Carrier Challenges More capacity requires more spectrum, and also more sites ... Wide Area •••• ••• CC 12-6-16 Special Meeting Item #2 • Data Demand from: -Mobile/App Economy -Sharing Economy -Contractor/Gig Economy • Limited Spectrum • Framework for loT & Smart Cities • The Road to SG .... -Join t\'~ I.a.I_: $1l1CON VALLEY j • Limited Spectrum -Densification w/ HetNet -Offload • Spectrum cost - $ per MHz-Pop • Backhaul -Fiber or Wireless • Deployment Costs • Carrier competition means lower revenue 7 Muni Challenges The road to SG Macro Tower Coverage Small Cell/DAS Coverage CC 12-6-16 Special Meeting Item #2 • Is wireless a revenue source, or an economic driver? • Complex Application Processes • FCC Shot Clocks • Sections 332/6409, & California's AB-57 CIJointVenc~l SILICO N V 4 U(Y I ---~-------·-··-··· • Example: Densification -Numerous sites to augment larger macro sites -Allows spectrum re -use -Number of site: • 4G : Hundreds • SG : Thousands • Challenge: Permitting processes were designed for macros -J~intVenture I I.a.ii: SILICON VA U ft I 8 Models Resistance CC 12-6-16 Special Meeting Item #2 • Lease of city-owned poles for attachment (single or multiple occupancy) • New LED poles, lease to pay off debt, transfer • City-owned equipment w/ carrier attachment J o incVenture I a -. JlllCOlfVo\lll~ • 1879: Light bulb patent filed, commercial electricity service begins ... • 1920: 41 years later, what percentage of households had electric service? 9 100 0.1 Resistance EMF Safety Facts AM 0.1 1 10 radio frcqu c 111..·y. Ml-It ,vFH lV 100 1,000 10,000 100,000 Image Credit : Hammett & Edison CC 12-6-16 Special Meeting Item #2 • People feared electricity -despite the risk of fire from gas and oil lamps • Doctors and "experts" insisted electric light would cause blindness • Federal guidelines are constantly being validated by studies Myth : FCC's guidance is "16 years old" FCC guidelines are equivalent to the International Commission on Non -Ionizing Radiation Protection {ICNIRP) guidelines first published in 1998, then updated in 2009. FCC also follows the IEEE International Committee on Electromagnetic Safety (SCC39) guidelines published in 2005. Reviews of these guidelines are done periodically. For example, the IEEE International Comm ittee on Electromagnetic Safety's {IEEE ICES) published comments on the Scientific Committee on Emerging and Newly Identified Health Risks (SCENIHR) 2013 report that includes reviews of new studies published from 2009 to 2013. Fact: FCC guidance continues to be validated ---·-;-·------·""' .. , lf'T~ JomtVenture 1 _____ ,.._,co~~~ 10 Suggestions CC 12-6-16 Special Meeting Item #2 • Read the Handbook • Create a HetNet process • Inventory your assets (poles, conduit, etc.) • Reach out to utilities • Educate community • Update your fiber infrastructure policies (Micro-trenching, Dig Once, etc.) 11 CC 12-6-16 Special Meeting Item #2 Council Study Session December 6, 2016 CUPERTINO GREE N Proposed Concept and Goals • Wireless Providers: Small Cell Facilities on City street lights • The City: Ensure fair and systematic buildout Minimize visual impacts • Both: Adequate wireless service for residents and visitors. 12 CC 12-6-16 Special Meeting Item #2 Interested Providers City has been approached by: • Verizon • Mobilitie • Crown Castle • AT&T (expressed interest) Requirements Facilities on City Street Lights would be subject to: • City lease rates & agreement terms • Federal safety limits • Aesthetic standards • City permitting conditions • Notification requirements 13 CC 12-6-16 Special Meeting Item #2 Work Group Other Public Agencies: • City of Campbell • City of Fremont • City of Hayward • City of Los Gatos • City of Mountain View • City of San Jose • City of Santa Cruz • City of Sunnyvale Regulations Federal law states Cities cannot prohibit wireless service. Cities CANNOT regulate location: • If location eliminates demonstrated service gaps • If facilities comply with the FCC regulations City can regulate the "time, place, and manner" of the installations along with aesthetic issues, including height and setback . 14 CC 12-6-16 Special Meeting Item #2 Alternatives Next Steps ~ Finalize Terms for Right of Way Use: o Lease Rates o Term Limits o Permit Requirements ~ Work with Providers to: o Establish Aesthetic Standards o Plan Buildouts Systematically o Prepare for 5G 15 CC 12-6-16 Special Meeting Item #2 Questions? 16