The FCC Closes a Window to an Open Internet

August 1st, 2007 by tkarr

Too often in the give and take of media policymaking it’s government officials that are giving, corporate giants that are taking, and the public that’s left with little in the exchange.

This was the case yesterday as the Federal Communications Commission decided to sell off licenses to an invaluable chunk of public airwaves with few conditions to ensure that Americans gain from the deal.

FCC

FCC Commissioners

The spectrum in question — the 700 MHz band – will be returned to Americans after TV broadcasters shift from an analog (and spectrum hogging) format to a more compressed digital signal.

Closing the Gap

These airwaves represent our last best chance to connect tens of millions of Americans to an open and affordable Internet. They can carry a wireless Internet signal through concrete buildings and over mountains – a signal that can single-handedly close the digital divide for people in both rural and urban America, who are now being bypassed by the likes of AT&T, Verizon and Comcast.

With the agency’s decision, however, it’s more likely that this same phone and cable cartel will use their political and financial muscle to further consolidate its control over wireless Internet access in the country. The same companies already dictate “wired” broadband access for more than 96% of residential users.

These politically-connected corporations don’t see this new spectrum as a chance to blow open the marketplace. They see it as a threat to the status quo — an Internet business model where they dole out access at higher prices for slower speeds compared to services in many Western European and Asian countries.

The FCC had the opportunity to change this. Had the agency attached conditions to open the 700 MHz band, they would have unleashed the creative forces of the marketplace onto an Internet that is now suffocating under the weight of the providers.

More than a quarter-million citizens filed comments to the FCC urging the agency to inject such broadband competition into the marketplace by creating a so-called “third pipe,” a national wireless Internet network to compete head-to-head with DSL and cable.

A proposal put before the agency by public advocates, consumer organizations and technology companies would have helped make this “third pipe” a reality. Their solution: create one nationwide wireless Internet license that would be offered to new competitors on a wholesale basis – a model known as “open access” that has proven immensely successful for European nations.

Repercussions from a Bad Decision

In America, open access would pry open the market to new businesses, start ups, entrepreneurs and providers, spurring competition and innovation while driving down costs to the consumer. It would be a boon for the mobile Internet, at a time when a flurry of new devices such as the iPhone are coming available to users.

Instead the FCC chose a course that will keep us behind the pace of countries that have embraced open networks.

Our last, best chance to propel us into an era of Internet innovation and creativity was squandered by an agency that too often confuses corporate welfare with public service.

The FCC decision should be a call to arms for consumer advocates, public interest groups, Internet entrepreneurs and concerned citizens across the country. Unless we amplify calls for true open access, the repercussions of this sell off of the airwaves will be felt for generations to come.

7 Responses to “The FCC Closes a Window to an Open Internet”

  1. directorblue Says:

    You are absolutely right. This Business Week article describes what happened when France unbundled its access to ensure that France Telecom (the incumbent) couldn’t lock out other vendors from wholesaling offerings.

    http://www.businessweek.com/globalbiz/content/jul2007/gb20070718_387052.htm?chan=rss_topStories_ssi_5

    The result? An unprecedented wave of innovation that has touched off deployment of new fiber (unsubsidized by taxpayers, by the way) and amazing new services.

    Rather than evaluate the short-term gains from the auction, the FCC should have been concerned with long-term ROI (return-on-investment) to the economy. That only comes about by preventing the telcos, their lawyers and lobbyists from hamstringing competition.

    Instead, we get more of the same, with a couple of giant telcos protecting their turf. The result is that America will become a technological backwater for mobile development.

    Thanks, FCC!

  2. And That’s The Way It Is… Says:

    […] Repercussions from a Bad Decision […]

  3. Citizens Utility Board Blog » Blog Archive » Says:

    […] Read more from Free Press and Save the Internet. […]

  4. The Rugged Notebooks Blog Says:

    […] April 2007 FCC May Enforce Open Access on 700 MHz Spectrum Sunday August 05th 2007, 9:01 pm Filed under: Wireless Technology News, Editorial Opinion Depending on what news sources you read and which side of the issue has authored such, it seems there may be some headway on the Open Access issue. For some maybe this issue a sleeper, but if you are a proponent of wireless, you know how important this could be to the future growth of the mobility market. […]

  5. “How about Fantasyland?” « I AM TELEVISION! Says:

    […] a free, public Internet would be the ultimate form of public access. The FCC nixed that, and I guarantee they’ll be complicit in turning it over to big media. Once that happens, […]

  6. Who Owns the Media and How the People Can Take It Back - CommonDreams.org Says:

    […] the major corporations another gem to add to their crown. Shortly after the FCC’s decision, Free Press’s Timothy Karr responded with a grimace, “Allowing third parties access to the network as wholesalers is the only way to break up the […]

  7. Fallowsteam.Com » The FCC Closes a Window to an Open Internet Says:

    […] wrote an interesting post today on The FCC Closes a Window to an Open InternetHere’s a quick […]

Leave a Reply

You must be logged in to post a comment.

Creative Commons License
Contact Us
Privacy Policy

No corporation, trade group or political party funds the SavetheInternet.com campaign.
Site designed and maintained by Free Press Action Fund | Hosting by SingleHop