WASHINGTON — The Federal Communications Commission is launching a sweeping review aimed at promoting deployment of high-speed broadband services. Responding to industry calls for regulatory certainty on a host of deployment issues, the FCC said a key goal of the review is to promote "competition across different platforms for broadband services." Another goal will be ensuring that "broadband services exist in a minimal regulatory environment that promotes investment and innovation," the FCC said.
The review, called a notice of proposed rule making, will focus on resolving regulatory issues surrounding broadband telephone-based Internet access services. Those services are currently regulated under common-carrier rules, while cable modem and other services are not. Phone companies have been seeking regulatory relief from Congress and the FCC to provide high-speed access over new and existing networks.
Telecommunications and computer industry groups like TechNet and the Computer Systems Policy Project have been lobbying policymakers to help speed deployment of a U.S. broadband network infrastructure. The latter group's goal is boosting U.S. broadband capacity to 100 Mbits/second to 100 million households and small businesses by 2010.
The industry groups have also called for close government-industry cooperation on research and development. However, FCC officials signaled that the government could offer little more than lowering the costs of regulation.
"As we policymakers transform our words into action, we are faced with the grim reality that the government likely will not, and probably cannot, cover much of the hefty price tag associated with building out one or more broadband networks," said FCC chairman Michael Powell. "Thus, our greatest challenge in promoting broadband is deciding how best to stimulate enormous private-sector investment."
Powell said state and federal regulators, who must still work out jurisdictional issues related to broadband deployment, must clarify rules such as access to facilities and rights-of-way. Another issue is whether broadband providers previously not required to contribute to the government's universal service fund, which subsidizes telecommunications services in underserved areas, would eventually be made to do so.
Dissenting voice
The FCC was not unanimous in launching its inquiry. At least one member said the agency may be overstepping its bounds. "Setting competition policy is the jurisdiction of Congress," said FCC commissioner Michael Copps.
The main congressional initiative on broadband services, known as the Tauzin-Dingell bill, would allow regional phone companies into the broadband data business without first opening their facilities to competitors. Opponents argue the legislation undermines provisions of the 1996 Telecommunications Act designed to open up the local loop to competition.
The floor vote on the House legislation has yet to be scheduled, and Senate opponents have said they won't even take up the legislation.
