Rural Library Hotspot Lending Programs Brian Whitacre, Oklahoma State University Department of Agricultural Economics

Agenda Background on the Digital Divide What We are Trying to Do Hotspot Lending Program Basics Program Overview Findings from KS Challenges of the Program Pilot OK Program

Background on the Digital Divide Rural broadband adoption rates persistently lag those in urban areas Source: Current Population Survey Internet Use Supplements, 2001-2015 Low-income households have only ~50% adoption (compared to 95% for high-income) Income-based digital divide has actually increased over time Source: Lee and Whitacre, 2017

What We Are Trying to Do Help households without a consistent high-speed connection to the Internet Households without a high-speed connection to the Internet are increasingly at a disadvantage (Horrigan and Duggan, 2015) Increase use of broadband in rural OK Studies have shown that it is broadband ADOPTION (not simply having availability) that matters for changes to rural economies.

Why Hotspot Lending Programs? Rural libraries are uniquely positioned to impact the digital environment of their communities Specific possibilities: Shrinking the “homework gap” Helping patrons search for employment / job opportunities Keeping in touch with family / friends Accessing health information Offering connectivity at community-wide events

Hotspot Lending Program Basics Connects via a cellular (wireless) service provider (i.e. AT&T, Verizon, Sprint) Area must have coverage for the device to work! Emits a Wi-Fi signal that users can connect their personal devices to (laptop, tablet, smart phone) Can connect 8-10 devices at once Mobile – works wherever the service provider has coverage Speeds based on provider signal (4G LTE is best) Similar to data plan of cell phone Unlimited plans available (but more expensive)

Library Hotspots Library hotspot lending started out as an urban idea but is quickly gaining traction in rural locations In 2015, New York Public library started a hotspot lending program for NY residents without broadband at home Lent out 10,000 devices (for a full year!) with over $1M in support from Google and others NYPL partnered with 24 rural libraries in KS and ME to see how the program might be different in more remote areas

Kansas Locations 4-8 devices per location 1 week checkouts Pop. 4,500

Early Findings from Kansas # of devices loaned varied greatly

Early Findings from KS How likely are you to recommend checking out the library’s MiFi router, to a friend or colleague? 1=highly unlikely; 10=very likely

Early Findings From KS Your Child’s Ability Your Own Ability Since checking out a device, how confident are you in your own (or your child’s) ability to use the Internet? Your Own Ability Your Child’s Ability 35% with MORE confidence 35% with MORE confidence

“How-to-Hotspot” Guide for Libraries English and Spanish Versions available online Hotspot Basics Monthly Bill Implementation Outreach Challenges Hot-To-Hotspot Guide

The Biggest Challenge: COST Need to work with local / national providers Verizon / US Cellular: $40 / device / month = $480 / year This is problematic for most rural libraries A great option: PCs for People / Mobile Beacon! $200 / year / device for unlimited data Only $120 after 1st year! Limited to Sprint Network

Another Big Challenge: AVAILABILITY Sprint Coverage in Oklahoma:

Other Challenges Throttling Loss / Theft / Damage Waitlist Marketing If you don’t have an unlimited plan, users may be “throttled” Maine program had 2 GB limit KS program initially had 5 GB limit, moved to unlimited Loss / Theft / Damage User agreement / checkout policies vital Determining if / when to call police Waitlist Reached several months in some cases Some explored implementing a sharable calendar to allow specific checkout dates Marketing Not really a problem for most communities Social media, newspaper, radio, word of mouth, events

User Focus Groups (3 to date) COST is biggest reason why users do not have their own household connections Used the devices for home schooling, feeling more connected, communicate with family, entertainment, getting information (local events, healthcare, continuing education) Connected the hotspot to a variety of devices (phones, tablets, laptops, even TVs) Most saw it as the same if not better than a wired connection Felt loan period was too short but understood why

Pilot OK Program (Spring 2017-18) Perkins Haskell 4 libraries, 4 devices each Seminole Elgin Broadband Adoption data from Dec. 2015 (FCC) Site Population (2015) % Poverty (2011-15) MHI (2011-15) Household BB (200k) Adoption Household BB (10 MB) Adoption Elgin 2,700 7.9% $65,625 60-80% 20-40% Perkins 2,800 21.6% $40,861 Seminole 7,500 24.6% $32,594 0-20% Haskell 1,900 28.3% $32,244

Newspaper Attention

OK Pilot Program – 1 month summary Extremely well received! 4 devices each; high demand even without significant amount of marketing Texts sent out when devices are ready – being picked up within 60 minutes! Immediately request being put on waiting list upon return Surveys reveal most are being used in conjunction with smartphones / tablets Most use by lower-income households, likely to purchase home broadband service for $10 / month (but not $30)