FCC chiefs to work through outdated rules

[David Farber <dave () farber net>]

Begin forwarded message:

From: Dewayne Hendricks <dewayne () warpspeed com>
Date: October 14, 2004 4:15:13 PM GMT+01:00
To: Dewayne-Net Technology List <dewayne-net () warpspeed com>
Subject: [Dewayne-Net] FCC chiefs to work through outdated rules
Reply-To: dewayne () warpspeed com

FCC chiefs to work through outdated rules
Telecommunications Act leaves FCC with few tools to deal with new  
issues, commissioners say
By Stephen Lawson, IDG News Service
October 13, 2004 
<http://www.infoworld.com/article/04/10/13/HNtelecomfcc_1.html? 
source=rss&url=http://www.infoworld.com/article/04/10/13/ 
HNtelecomfcc_1.html>

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LAS VEGAS - Three U.S. Federal Communications Commissioners on 
Wednesday said laws governing telecommunications need to be revamped, 
but said the agency will do all it can under the current rules to 
encourage deployment of new technologies and services.

The Commission is faced with trying to regulate technologies that are 
not addressed in the Telecommunications Act of 1996, which gives it few 
tools to deal with new issues as they come up, said Commissioner 
Kathleen Abernathy, during a group appearance at the Telecom '04 show 
in Las Vegas. She would like to see Congress rework the law, especially 
to provide a better definition of "advanced services," essentially 
broadband services that accommodate voice, video and data.

 Another issue that needs more clarity is jurisdiction, as wireless 
communication is controlled by the federal government, cable mostly at 
the local level and telecommunications at both levels, she added. The 
overlapping layers of jurisdiction cause uncertainty for service 
providers and raise their costs with the need for more lawyers, she 
said. Abernathy expects the FCC to examine jurisdiction issues over the 
next few months.

 Michael Gallagher, assistant secretary of commerce for communications 
and information and head of the National Telecommunications and 
Information Administration, cautioned against letting the industry get 
tied up waiting for major new legislation, pointing out that 1996 Act 
took 12 years to complete. The danger is that telecommunications will 
end up like the electric power industry, with companies scared off by 
regulatory uncertainty from making investments, he said.

 Commissioner Kevin Martin said he is most proud of the Commission's 
work in defining how new fiber networks should be treated in terms of 
network sharing. The FCC last year issued its Triennial Review Order, 
which generally left the new infrastructure alone in terms of 
requirements to "unbundle" network elements for use by competitors at 
regulated rates.

 The details of that order have yet to be firmed up, according to some 
carriers, but the Commission is set on Thursday to consider requests by 
BellSouth Corp. and SureWest Communications Inc. for clarification on 
unbundling of FTTC (fiber to the curb) networks. An executive of SBC 
Communications Inc., another FTTC proponent, said Tuesday he expects 
that decision to be favorable to his company's plans. A Verizon 
Communications Inc. executive also said Tuesday he believes the FCC is 
prepared to clarify the rules in favor of that carrier's FTTH (fiber to 
the home) plans.

 The commissioners and Gallagher all said they want to see the industry 
form a consensus and come to the government with a unified position 
that can be used in reaching compromises on regulation. Other 
industries, such as aerospace and biotechnology, already have done 
this, Gallagher said.

 "They come together and the government responds, and there's a clear 
agenda that's put before them," Gallagher said. "In telecom, there's an 
urgent need for it."

 Carriers have already made strides in this direction, such as the 
Intercarrier Compensation Forum (ICF), said Commissioner Jonathan 
Adelstein. The ICF has proposed changes to the system of payments 
between carriers to complete calls. It's critical to resolve issues so 
investment can go ahead, Adelstein said.

 "We can't afford to continue to have this kind of uncertainty," he 
said.

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