June 2011

[Commentary] Our critique of the National Broadband Map, "Map to Nowhere," has caused quite a stir over at the Federal Communications Commission (FCC) and the National Telecommunications and Information Administration (NTIA). Yet the response from Steven Rosenberg, chief data officer with the FCC's Wireline Competition Bureau, offers PR spin and damage control rather than substantive ideas. Rosenberg begins by saying that we "miss almost entirely the real story regarding broadband data and the FCC [and that] the National Broadband Map is the largest and most detailed map of broadband ever created." However, Mr. Rosenberg sidesteps our fundamental critique -- if the map contains wrong data or excludes key information (for example, price), then it doesn't matter how large it is—a massive number of inaccurate details is no more helpful than a more modest heap of misinformation. While the map did get some things right, our critique is that the map is ineffective as a meaningful resource for U.S. residents.

[Sascha Meinrath is is the Director of the New America Foundation's Open Technology Initiative]

The Federal Communications Commission issued a ruling that essentially requires rural telcos to interconnect with telecompetitors.

"Our decision will promote competition and spur investment in communications networks and services, particularly in rural areas, by encouraging the deployment of facilities-based voice services," said the FCC in its decision. “The decision will also give competitors the opportunity to offer ‘triple-play’ services (voice, video and data) by providing interconnection with incumbent carriers in the same area.” The move came in response to a request made by Time Warner Cable and its wholesale provider CRC Communications. Those companies asked the FCC to pre-empt a decision made by the Maine Public Utilities Commission which exempted Oklahoma Western Telephone Company, a rural carrier operating in the state, from interconnecting with the competitors.

Analysts at an influential financial counseling firm say there were few surprises in petitions filed at the Federal Communications Commission asking the agency to block AT&T's proposed takeover of T-Mobile.

"The opposition filings largely amplify arguments that were previewed in the press and congressional testimony, with an emphasis on arguing that the merger would create a tipping point for a wireless duopoly and challenging AT&T's core claim that they need to acquire T-Mobile in order to resolve capacity constraints," researchers for Baltimore-based Stifel, Nicolaus & Company wrote in an analysis. The firm identified a series of demands made by critics of the merger, including a need for spectrum divestitures, regulation of wireless roaming, special access, and handset access.

The Public Service Commission of the State of New York has filed a Petition to Deny AT&T's acquisition of T-Mobile.

In this case, both the market concentration and spectrum aggregation screening tools indicate the proposed merger may have anticompetitive impacts, and that these anticompetitive impacts will be felt, in particular, in New York State. More significantly, the proposed merger will materially increase the level of market concentration in the New York City Metropolitan Area. Therefore, the Federal Communications Commission should carefully scrutinize the potential impacts of the proposed merger on New York State's wireless voice and broadband markets. The PSC also urges the FCC to allow additional process, including opportunities for further review and comment, as the FCC moves forward in its review. This is particularly important in states, such as New York, where anticompetitive impacts would be felt disproportionately. The New York State Public Service Commission is continuing its review of this proposed merger, and more work must be done to evaluate potential adverse impacts and, where necessary, eliminate or mitigate such impacts.