WASHINGTON, Aug. 2, 2016 /PRNewswire-USNewswire/ -- A
group of nine U.S. senators from rural states today urged the
Federal Communications Commission (FCC) to use the most up-to-date
data in its analysis of competition in the business broadband
market, noting that new regulation will only serve the public
interest if the commission relies on the most accurate
information.
"For states with significant rural areas like ours, it is
especially important for the Commission to use all the available
data, including the data submitted earlier this year by the major
cable operators, to both measure competitive markets accurately and
ensure that the regulations for noncompetitive markets are based on
the real cost to provide service, especially in low-density, high
cost rural markets," the group of senators, led by Jon Tester, D-Mont., wrote in a letter to FCC Chairman
Tom Wheeler.
In addition to Sen. Tester, other signers include: Maria Cantwell (D-WA), Patty Murray (D-WA), Heidi Heitkamp (D-ND), Michael Bennet (D-CO), Amy Klobuchar (D-MN), Bob Casey (D-PA), Angus
King Jr. (D-ME), and Tammy
Baldwin (D-WI).
Meanwhile, Washington State
Gov. Jay Inslee added his voice to
the concerns about the data in a separate letter to Wheeler.
"In particular, I share the concerns expressed to you in the
recent letter, submitted by the Washington Utilities and
Transportation Commission (UTC), that the Commission should use all
the available data, including the data submitted earlier this year
by major cable operators, to both measure competitive markets
accurately and ensure that potential regulations in less
competitive markets properly reflect marketplace conditions," wrote
Inslee, a Democrat.
The FCC suggested its proposed rule in hopes of advancing
competition in the business broadband market, in which companies
provide dedicated connections to competitors who need to reach
fiber networks to market competing telecom services, and to
enterprises that buy service in bulk.
However, a number of providers have argued the proposal is an
overreach and will actually stifle investment in fiber
infrastructure. This month, five U.S. network infrastructure
providers formed the Invest in Broadband for America
coalition to urge the FCC to get the facts right before issuing new
regulations that would wrench billions of investment out of the
market and discourage competition. The coalition members say that
the FCC proposal is based on flawed analysis because it didn't use
the most up-to-date data filed with the agency by major cable
providers, which show there is far more competition in the business
broadband market than the FCC acknowledges.
The senators' concerns are well-founded, said John Jones, Senior Vice President, Public Policy
and Government Relations for CenturyLink, a member of the
coalition. If infrastructure providers are forced to cut their
rates because of the proposed FCC rule, he noted, expansion of
broadband to Rural America would be most endangered.
"The fact is that rural communities have been the last to
benefit from the growth of high speed internet and this proposal
will only exasperate the situation when investment evaporates,"
Jones said.
Michael Shultz, Vice President of
Regulatory & Public Policy at Consolidated Communications,
another member of the coalition, noted the bipartisan support of
senators who are urging the FCC to get this right.
"We are particularly gratified to have the engagement of someone
in the Democratic leadership in Sen. Tester," he said. "For nearly
a decade he has led the charge for rural broadband access and his
views are widely respected on Capitol Hill."
In their letter, the senators wrote that rural communities
"depend on robust investments in business data services to connect
small business and anchor institutions, support wireless data
service, and enable economic development. Without it, the
consequences for our constituents would be real and serious."
The full text of the senators' letter is below:
Dear Chairman Wheeler:
Thank you for your continuing efforts to improve both wireline
and wireless broadband access in rural America and to promote
competitive broadband markets. Today, we write to emphasize
the importance of ensuring that the final rule in the Commission's
Further Notice of Proposed Rulemaking (FNPRM) on business data
service is based on accurate industry data and promotes strong
continued investment broadband infrastructure.
We appreciate the goals the Commission must balance in this
proceeding, including incentives for providers to build and invest
in networks and policies to enhance competition among the various
providers of business data services. For states with
significant rural areas like ours, it is especially important for
the Commission to use all the available data, including the data
submitted earlier this year by the major cable operators, to both
measure competitive markets accurately and ensure that the
regulations for noncompetitive markets are based on the real cost
to provide service, especially in low-density, high cost rural
markets. Rural communities depend on robust investments in
business data services to connect small business and anchor
institutions, support wireless data service, and enable economic
development. Without it, the consequences for our
constituents would be real and serious.
We strongly believe that good decisions can be made with good
information. This is an important rule that will serve the public's
interest if it can be completed using the most accurate data and a
thorough, defensible analysis of that data. Thank you for
your consideration.
Sincerely,
(NAMES OF SIGNERS)
The "Invest in Broadband for America" coalition
(investinbroadband.org) is made up of CenturyLink, Inc.
(NYSE: CTL), Cincinnati Bell, Inc. (NYSE: CBB), Consolidated
Communications, Inc. (NASDAQ: CNSL), FairPoint Communications, Inc.
(NASDAQ: FRP) and Frontier Communications (NASDAQ: FTR).
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SOURCE Invest in Broadband for America