Industry Groups Question Need For FCC to Expand Internet Openness Principles

Various industry groups and companies were quick to weigh in Monday on FCC Chairman Julius Genachowski's proposal to expand and codify FCC Internet openness principles. National Cable & Telecommunications Association President Kyle McSlarrow applauded the chairman's vision of "preserving an open Internet," but said the cable trade group "may have a different view about the state of competition and choices and benefits that flow to consumers from that competition." Comcast, which was the subject of the FCC's Aug. 20, 2008 finding that the company's broadband-network-management practices violated the FCC's Internet access principles, released a statement saying, in part, "we welcome the dialogue suggested by his comments. The chairman has made it clear that commission decisions must be based on hard facts and data, and we are committed to work with the chairman and the other commissioners in this proceeding. We also appreciate that the chairman recognized that networks need to be managed and that consumer disclosure of those techniques is important." Verizon director of Internet and Technology Policy David Young in a roundtable discussion at the Brookings Institute following the chairman's speech said he was pleased that the chairman said it would be driven by data and facts, but said he also wasn't sure he saw a problem that needed to be addressed with first-time regulations on the Internet. Randolph May of the free market think tank, The Free State Foundation, called it "regulatory hubris and immodesty." "Despite good intentions, the likelihood of error costs from overregulation - in an environment in which Genachowski says we cannot know what tomorrow holds for the Internet - are likely to be exceedingly high," said May. "The presumption that the FCC will know the point at which it has gotten regulation just right demonstrates an immodest approach that likely will dampen the successes that Genachowski acknowledges have taken place without the type of regulation he proposes."