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Genachowski Addresses Economic Club of Washington

WASHINGTON April 21, 2011- Federal Communications Commission Chairman Julius Genachowski visited the Economic Club of Washington Wednesday to answer questions that covered spectrum auctions and the impending merger between AT&T and T-Mobile.

“To continue our growth in mobile broadband we need to free up more spectrum,” Genachowski said. “Spectrum is the oxygen of the mobile world and without more it will be stifled.”

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WASHINGTON April 21, 2011- Federal Communications Commission Chairman Julius Genachowski visited the Economic Club of Washington Wednesday to answer questions that covered spectrum auctions and the impending merger between AT&T and T-Mobile.

“To continue our growth in mobile broadband we need to free up more spectrum,” Genachowski said. “Spectrum is the oxygen of the mobile world and without more it will be stifled.”

The Chairman then explained to the audience how as mobile devices become more complex they use increasing amounts of spectrum. Currently, smartphones use 25 times more spectrum than older feature phones, and tablets use 145 times as much spectrum.

To obtain more spectrum Genachowski promoted the idea of voluntary incentive auctions. These auctions would sell off some licensees’ unused spectrum and give some of the profits from the auction back to the previous license holder. The rest would go to the U.S. Treasury.

“Recently a group of 112 economists from both parties and a number of Nobel Prize winners have supported the idea,” he went on. “Our estimates show that these auctions would generate between $25-30 billion in revenue which could be used for deficit reduction.”

When asked about the likelihood that the impending merger between AT&T and T-Mobile would be approved, the Chairman declined to comment, but he did say that the Commission takes every merger seriously and is looking to streamline the process.

“There are generally a number of agencies and states which have to review these mergers and it can take months to complete,” Genachowski said. “To speed up the process [the FCC is] increasingly working with the Department of Justice and Federal Trade Commission to conduct the review concurrently.”

Genachowski went on to explain that while the agency promotes the expansion of eGoverment services, until more citizens have access to the internet the government must run two infrastructures – one to process documents digitally another for paper.

“Right now about 10 percent of Americans do not have access while nearly one third are not online,” He said.

When asked by an audience member about the safety of cellphones, Genchowski said that he is not worried about the health effects. “The FCC sets standards for radiation emission based on recommendations we receive from the Food and Drug Administration and the World Health Organization.”

Rahul Gaitonde has been writing for BroadbandBreakfast.com since the fall of 2009, and in May of 2010 he became Deputy Editor. He was a fellow at George Mason University’s Long Term Governance Project, a researcher at the International Center for Applied Studies in Information Technology and worked at the National Telecommunications and Information Administration. He holds a Masters of Public Policy from George Mason University, where his research focused on the economic and social benefits of broadband expansion. He has written extensively about Universal Service Fund reform, the Broadband Technology Opportunities Program and the Broadband Data Improvement Act

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FCC

FCC Proposed Rules Will Harm Legitimate Text Messages, Say Commenters

The rules would ban the practice of marketers purporting to have written consent for numerous parties to contact a consumer.

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Photo from robotext lawsuit

WASHINGTON, June 6, 2023 – Commenters claim that the Federal Communications Commission’s proposed rules that would require mobile wireless providers to ban marketers from contacting a consumer multiple times based on one consent will harm legitimate communications. 

The new rules will set additional protections that would require the terminating provider to block texts after notification from the FCC that the text is illegal, to extend the National Do-Not-Call Registry’s protections to text messages, and to ban the practice of marketers purporting to have written consent for numerous parties to contact a consumer based on one consent. Comments on the proposal were due in May and reply comments on June 6.

“Robocall campaigns often rely on flimsy claims of consent where a consumer interested in job listings, a potential reward, or a mortgage quote, unknowingly and unwillingly ‘consents’ to telemarketing calls from dozens – or hundreds or thousands – of unaffiliated entities about anything and everything,” read the comments from USTelecom trade association.  

Wireless trade association CTIA cited that Medicaid text messages that alert customers to critical health updates may be blocked by the ruling despite the FCC’s acknowledgement that these texts are critical. Many providers are unbending in enforcing robotext policies that mandate agencies must “satisfactorily demonstrate they receive prior express consent from enrollees to contact them.” 

CTIA’s comments claimed that the proposed rules would “do little to enhance existing industry efforts to reduce text spam or protect consumers.” 

Competitive networks trade association INCOMPAS claimed that the current framework is not well suited to allow the industry to universally resolve text messaging issues. “In the absence of standardized, competitively neutral rules, the current dynamics create perverse incentives that allow gamesmanship and arbitrage schemes as well as fraudulent behaviors to thrive.” 

USTelecom commended the FCC for taking these steps and suggested that it expressly ban the practice of obtaining single consumer consent as grounds for delivering calls to multiple receivers by issuing a decisive declaration rather than a rule change. Providing clear guidance will deprive aggressive telemarketers of the plausible deniability they rely on to put calls through, it said. 

The new language proposed in the notice is unnecessary and runs the risk of introducing new ambiguity by not eliminating perceived loopholes through a decisive declaration, read its comments. 

The Retail Industry Leaders Association claimed that the notice would “primarily and negatively impact those who send legitimate text message solicitations, not scam senders and bad actors.” The well-intentioned measures will sweep in legitimate text communications, it claimed, by reducing consumer control and making assumptions on their behalf. 

“Consumers use the DNC list to prevent unwanted telephone call solicitations. They do not expect that the DNC List will prevent normal and desired communications from legitimate businesses like RILA members,” it wrote.

In the event the FCC moves forward with the proposed rules, the RILA urged that the rules include “clear carve-outs or safe harbors” for legitimate solicitations. 

This comes as the FCC considers additional proposed rules that will strengthen consumer consent for robocalls and robotexts by allowing consumers to decide which robocalls and texts they wish to receive.

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Proposed Rules to Limit Unwanted Calls Will Not Protect Consumers, Says CTIA

The proposed rules will not protect consumers and will limit consumer’s ability to receive important messages from carriers.

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Image from DFT Communications

WASHINGTON, June 5, 2023 – Wireless trade association CTIA expressed concerns with provisions in the Federal Communications Commission’s Notice of Proposed Rulemaking released in May that would strengthen consumer consent for robocalls and robotexts by allowing consumers to decide which robocalls and texts they wish to receive.  

The draft proposals will not protect consumers and instead will “limit the ability of consumers to receive important, time-sensitive information about their wireless service,” said CTIA. These time-sensitive messages can include bill reminders, international roaming alerts, and fraud alerts, among others.  

The notice as currently written does not acknowledge any record support, policy reason or benefits that the proposed limitations to the current framework would deliver, read the report by CTIA. 

CTIA urged the FCC to add questions to the notice to clarify the unique relationship between wireless service providers and their consumers and the substantial consumer benefits that have resulted under the current framework. 

The action is a response to the rising number of telemarketing and robocalls, stated the Notice. “We believe the rules the commission adopts here strike an appropriate balance between maximizing consumer privacy protections and avoiding imposing undue burdens on telemarketers,” read the Notice. 

The Notice seeks to revise the current Telephone Consumer Protection Act rules and adopt new ones that would provide consumers with options for avoiding unwanted telephone solicitations. The ruling would include a national do-not-call registry for all telemarketing calls. 

 

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FCC

Former FCC Commissioner Says FCC Not Best Suited to Distribute Affordable Connectivity Program Funds

The FCC’s expertise does not translate to a social distribution mechanism.

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Photo of Michael O'Rielly, former FCC Commissioner

WASHINGTON, June 5, 2023 – The Federal Communications Commission is not well suited for distributing the funds in the Affordable Connectivity Program, said former FCC Commissioner Michael O’Rielly at a Brookings Institution event Monday. 

The ACP is currently subsidizing broadband access for over 17 million Americans with a discount of up to $30 and $75 a month for low-income and tribal households.

Although O’Rielly did not suggest an alternative solution, he indicated that social service offices could be better suited to distributing ACP funds than the FCC. 

The FCC can and should provide technical advice and insight on technical components of the program, he said, but it is “not well suited” to act as a social distribution mechanism. The FCC should participate in the umbrella structure of the ACP program provided another entity deals with the distribution process, he said. He assured the panel that doing so will not reduce the quality of broadband products to the end user. 

The FCC is responsible for managing the ACP Outreach Grant Program that provides funding to increase awareness of and participation in the ACP among eligible households. The program is made up of four grant programs: the National Competitive Outreach Program, the Tribal Competitive Outreach Program, the Your Home Your Internet Pilot Program and the ACP Navigator Pilot Program.  

A total of $70 million is available for the NCOP and TCOP grant programs. Grants through the YHYI and ACP Navigator program will offer up to $5 million in grants. The FCC has awarded $66 million in grants to date. 

Some of the large telecommunications companies have urged Congress to extend the ACP for the long-term, as they say there is a real concern that the $14-billion program could run out of funds by the first quarter of next year.

O’Rielly praised the ACP program as the “best structure we have to date” to achieve digital adoption goals. He expressed his support that the program be funded through congressional appropriations, which increases the level of control Congress has on the program.  

“Congress being involved is the only way to ensure the program is sustainable,” he said.  

In response to concerns that congressional appropriations will not support the program in the face of looming debts and the recent debt ceiling deal, O’Rielly said that the ACP program deserves appropriate scrutiny on its effectiveness but that it “can be defended” and “deserves additional funding.” 

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