Congress and the FCC should encourage e-care technologies by deploying “significant public resources to deliver broadband” to unserved areas, said Sen. Ron Wyden, D-Ore., at a Senate Special Aging Committee hearing Thursday. And rural healthcare providers should receive assistance to buy broadband services if they're not affordable in their area, said Wyden, who guest-chaired the hearing on the FCC’s National Broadband Plan. The senator later talked net neutrality, asking if health care should get a priority lane on wireless broadband.

In a surprise, CenturyLink agreed to buy Qwest in a $22.4 billion deal, including a $10.6 billion all-stock transaction and $11.8 billion debt, the companies said Thursday. The deal is expected to close in the first half of 2011. It’s likely to be approved by regulators within a year with attached conditions, such as an obligation to expand broadband access or to provide it at certain prices, analysts said.

The Illinois Commerce Commission conditionally approved the Frontier/Verizon wireline transaction, voting 5-0 Wednesday. Regulators demanded that Frontier improve service quality and expand broadband throughout its territory. “This grant of authority to Frontier will help to close the gap that still exists for many Illinoisans by giving them access to essential 21st century technologies,” Commissioner Erin O'Connell-Diaz said. West Virginia is the lone state where approval remains pending. The FCC also must approve.

Verizon Q1 profit plunged 75 percent from a year earlier to $409 million due to a $970 million one-time health care charge. The carrier added fewer postpaid customers but still expects growth in the postpaid market, Chief Financial Officer John Killian said on a conference call Thursday.

Recent claims from Artel, Globecomm Systems, CapRock and Spacenet that Intelsat engages in anticompetitive behavior were filed in the wrong FCC proceeding and should be dismissed, Intelsat said. Intelsat’s comments to the FCC responded to those filed there as part of the Open-Market Reorganization for the Betterment of International Telecommunications (ORBIT) Act, which requires the agency to provide annual reports to the House and Senate Commerce and Foreign Relations committees on the effect of the privatization of Intelsat and Inmarsat. CapRock, Artel, Globecomm and Spacenet complained Intelsat was using its size and access to its satellites to win contracts while stunting competition (CD April 12 p6). The FCC ORBIT Act report is due to Congress by June 15.

AT&T posted a Q1 profit of $2.48 billion, down 21 percent year-over-year partly due to a $1 billion charge attributed to the federal health care overhaul. The carrier is set to expand its wireless data reach, but limited capacity will affect prices, Chief Financial Officer Rick Lindner said on a conference call Wednesday.

Many aerospace officials consider Defense Secretary Robert Gates’ announcement of an overhaul of export control, to be led by the executive branch, the most significant development in years for what some consider a broken and antiquated system. But a full-fledged revamp has several steps to got to be a full fix, they said. Many in the space industry have said the International Traffic in Arms Regulations (ITAR), which restrict the movements and sales of satellites, caused lower international sales for U.S. satellite and component makers.

CableCARDs didn’t meet the goal of Congress in Section 629 of the Telecom Act because they failed to create much of a market for consumers to buy devices from retailers that they could use to get pay TV, all five FCC members agreed Wednesday. Some expressed hope that newer gateway devices letting cable, telco-TV and DBS subscribers get online and subscription video using devices other than set-top boxes will gin up the retail market while boosting broadband use. A rulemaking on fixes to CableCARDs and an inquiry on setting standards for gateway devices to be used by all pay-TV providers was approved at Wednesday’s meeting, where Commissioner Meredith Baker voted remotely to approve all six items because of a death in her family. (See obituary in this issue.)

It’s “somewhat optimistic” to say 95 percent of the U.S. is served by broadband, said House Communications Subcommittee Chairman Rick Boucher, D-Va. Boucher said at a hearing Wednesday he had “serious concerns about the accuracy of that number” in the National Broadband Plan “and the methodology that was employed in order to derive it.” Ranking Member Cliff Stearns, R-Fla., said the figure may show the U.S. can get ubiquitous broadband without government intervention. FCC Wireline Bureau Chief Sharon Gillett cautioned that availability estimates in the plan may paint a rosier-than-reality portrait of broadband access.

The FCC made a long-expected change to its automatic roaming rules Wednesday, eliminating the home roaming exclusion that had been approved as a surprise feature of the commission’s automatic roaming rules in 2007. The new order creates a presumption in favor of roaming even when a carrier owns a spectrum license in a market but has yet to build out its network there. A commission rulemaking also posed a series of questions on data roaming as recommended in the National Broadband Plan.