Last updated: April 5, 2012 - 3:37am
Local officials in five cities told the Federal Communications Commission (FCC) that Verizon's proposed collaboration with Comcast and other cable TV players could discourage Verizon from expanding its own FiOS cable network to their communities.
The deal allows Verizon to buy airwaves, known as spectrum, from cable companies including Comcast, Time Warner and Bright House Networks. Under a separate deal announced simultaneously, Verizon and the cable companies agreed to cross-sell each other’s services. While Verizon has built out its FiOS network in communities across the country, it has focused much of its investment on suburban areas, where it is easier to deploy physical infrastructure. The officials and community groups from Albany (NY), Baltimore (MD), Boston (MA), Buffalo (NY), and Syracuse (NY) told the FCC that the deal would deprive their cities of the benefits of competition.
"This is a step backwards in bridging the digital divide," said Albany Common Council President Carolyn McLaughlin, adding that the deal would build "an additional socio-economic barrier."
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