CMCSA Comcast Corporation

By John McKinnon 

Federal Communications Commission Chairman Tom Wheeler said he would step down from the agency on Jan. 20, in a move that opens the door to Republicans taking control of the agency.

GOP control of the agency -- starting in late January -- likely will mean a retreat from the activist approach Mr. Wheeler pursued. It could lead to reconsideration or rollback of some of his initiatives, including several restricting operations of internet service providers such as Comcast Corp. and AT&T Inc.

Mr. Wheeler was widely considered to be one of the more consequential recent FCC chairmen. He pushed through the Obama administration's sweeping net-neutrality rules, and championed other far-reaching initiatives, including new consumer privacy rules and an unsuccessful effort to open up the market for pay-TV set top boxes. He also was criticized for being polarizing and partisan, and at times even alienated fellow Democrats on the commission and on Capitol Hill.

At his final FCC meeting on Thursday, Mr. Wheeler acknowledged "differences" at times with fellow commissioners, but said that "together we accomplished a lot."

He said in a statement: "It has been a privilege to work with my fellow Commissioners to help protect consumers, strengthen public safety and cybersecurity, and ensure fast, fair and open networks for all Americans."

At a news conference, he also offered warnings to the incoming Trump administration, saying that a deregulatory approach could be "highly dangerous," particularly at a time when telecommunications have become so important to the economy.

Some of his signature achievements, such as the net-neutrality rules, could come under threat in the new administration. President-elect Donald Trump has expressed doubts about the net-neutrality rules, which telecommunications firms also have opposed as regulatory overreach.

Aimed at ensuring a level playing field online, the net-neutrality rules require broadband-access providers to treat all content coming across their networks equally, without blocking or slowing competitors or speeding up the content of those who pay more.

But simply repealing the net-neutrality rules could be legally challenging, some industry observers say. Some telecommunications firms have called openly for Congress to scale them back.

Still, Mr. Wheeler's departure could give Republicans an early opening to begin the process of dismantling Mr. Wheeler's legacy. It is expected to leave Republicans with a 2-1 majority on the five-member panel, because Democratic Commissioner Jessica Rosenworcel wasn't reconfirmed by the Senate.

Senate Minority Leader Harry Reid (D., Nev.) called Thursday for Ms. Rosenworcel to be renominated and reconfirmed, although prospects for that remained uncertain.

Mr. Wheeler, a former head of telecommunications associations and an entrepreneur, would have been replaced as chairman by Mr. Trump after Jan. 20 anyway. Mr. Trump hasn't yet indicated who will replace Mr. Wheeler, although some telecommunications observers believe current GOP Commissioner Ajit Pai, a former Senate staffer, has the edge.

Write to John McKinnon at john.mckinnon@wsj.com

(END) Dow Jones Newswires

December 15, 2016 13:35 ET (18:35 GMT)

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