Strategic Strategic OverviewOverview

Condition of approval of 2005 mergers of SBC-AT&T and Verizon-MCI.

Mission: Improve access to Broadband in underserved communities.

Established as a non-profit public benefit corporation.

$60 M over 5 years ($45 M from AT&T and $15 M from Verizon) with > $5 M for telemedicine.

BROADBAND IN CALIFORNIABROADBAND IN CALIFORNIAFOUNDATION FOR 21FOUNDATION FOR 21STST CENTURY CENTURY

ECONOMYECONOMY

California ranks 10th globally (US 15th OECD).

US economic productivity gains $28 B in 2005 (estimated $860 B over next decade).

96% of residences have access, but only half at speeds greater than 10 Mbps.

4% (1.4 M rural residents) lack access. Adoption of broadband is about 56%. Broadband is “green” technology.

Source: PPIC analysis of Forrester data

CETF MISSIONCETF MISSION

Provide leadership statewide to minimize the Digital Divide by accelerating the

deployment and adoption of broadband and other advanced communication services to unserved and underserved communities. Ensure that California is a global leader in

the availability and use of broadband technology.

CETF STRATEGIC ACTION PLANCETF STRATEGIC ACTION PLANOVERALL PERSPECTIVEOVERALL PERSPECTIVE

Public-Purpose “Venture Capital” Fund. Be pro-active in identifying

investments. Invest in both ideas and people. Help build capacity.

Market-Based Strategies. Underserved Seen as Emerging

Markets. Seed Funding Leveraged Four-Fold.

CALIFORNIA EMERGING TECHNOLOGY CALIFORNIA EMERGING TECHNOLOGY FUNDFUND

PARTNERS IN INVESTMENTSPARTNERS IN INVESTMENTS

CETF STRATEGIC ACTION PLANCETF STRATEGIC ACTION PLANMETRICS FOR PROGRESSMETRICS FOR PROGRESS

Supply-Side Methodology and Metrics Report on Availability: Technology, Speed,

Affordability (CPUC, CETF and BTH) Comparison to Other States and Countries

(Index) Economic Impact Universal Design Adoption

Demand-Side Methodology and Metrics Annual Survey of Use by Socio-Economic

Groups Assessment of Accessibility Self-Assessment Tools Focused Consumer Surveys

AAccess

ffordability pplications

== AdoptionAdoptionccessibility

THE 5 A’S OF DIGITAL INCLUSION THE 5 A’S OF DIGITAL INCLUSION

ssistance

CETF STRATEGIC ACTION PLANCETF STRATEGIC ACTION PLANBASIC APPROACHBASIC APPROACH

Identify best practices and models. Consult experts and stakeholders. Seek out prospective investments. Facilitate collaboration among CBOs. Develop regional strategies. Encourage public-private

partnerships. Hold investments accountable for

performance and outcomes. Measure progress quantitatively.

CETF STRATEGIC ACTION PLANCETF STRATEGIC ACTION PLANWORKING APPROACH FOR RURAL AREASWORKING APPROACH FOR RURAL AREAS

Aggregate demand. Identify and map public-purpose

networks. Explore joint ventures with existing and

new providers. Deploy broadband in conjunction with all

major infrastructure projects. Pursue telemedicine as a leading

strategy: California Telehealth Network.

CETF STRATEGIC ACTION PLANCETF STRATEGIC ACTION PLANWORKING APPROACH FOR URBAN WORKING APPROACH FOR URBAN

NEIGHBORHOODSNEIGHBORHOODS Identify successful programs and

invest in expansion and replication. Invest in technology as part of

integrated programs to transform communities.

Engage youth as gateway to families. Promote smart housing . Expand California Telehealth Network

to urban communities. Promote regional economic

strategies.

CETF STRATEGIC ACTION PLANCETF STRATEGIC ACTION PLANWORKING APPROACH FOR PEOPLE WITH WORKING APPROACH FOR PEOPLE WITH

DISABILITIESDISABILITIES Integrate universal design and

accessibility into all investments and grants.

Provide technical assistance to grantees. Work with industry to improve

accessibility of hardware, software, and websites.

Identify successful models and expand or replicate.

Explore feasibility of revolving loan program for accessible technology.

45%55%

Regional Breakdown

Northern CA Southern CA

28%

63%

9%

Customer Prioritiy Communities

RuralUrbanPeople with Disabilities

DISTRIBUTION OF GRANTS 2008DISTRIBUTION OF GRANTS 2008

25%

9%

13%

39%

13%5 As' Breakdown

Access

Accessibility

Affordability

Applications

Assistance

DISTRIBUTION OF DISTRIBUTION OF GRANTS 2008GRANTS 2008

CETF STRATEGIC ACTION PLANCETF STRATEGIC ACTION PLANPROMOTE DIGITAL LITERACYPROMOTE DIGITAL LITERACY

Convene ICT Digital Literacy Leadership Roundtable to reach consensus on California Initiative and Action Plan.

Promote adoption of California Policy that it is a goal for students and workforce to gain ICT Digital Literacy skills.

Assist State in recognizing and accepting assessment frameworks and curricula.

Mobilize to provide computers and broadband to all middle school students.

REGIONAL ROUNDTABLESREGIONAL ROUNDTABLESPROSPECTIVE REGIONAL ECONOMIC PROSPECTIVE REGIONAL ECONOMIC

STRATEGIESSTRATEGIES Public Awareness and Civic Leadership Economic Prosperity Strategic Plans Land Use and Infrastructure Policies eGovernment Libraries and Public Access Education and Workforce Development Smart Affordable Housing Telehealth and Telemedicine Employers and Telecommuting

5 Third Street, Suite 5205 Third Street, Suite 520San Francisco, CA 94103San Francisco, CA 94103415.744.2383 415.744.2383

1000 N. Alameda Street, 1000 N. Alameda Street, Suite 240Suite 240

Los Angeles, CA 90012Los Angeles, CA 90012213.346.3222 213.346.3222

www.cetfund.orwww.cetfund.orgg