January 2017

New FCC boss seen as friend to business, not so much to consumers

[Commentary] President Donald Trump named Ajit Pai to take over as chairman of the Federal Communications Commission. Chairman Pai, a Republican, has served on the five-member commission since 2012, and no one questions his smarts or his grasp of complex telecom issues. Unlike some other Trump appointees, this one knows his stuff.

That said, Chairman Pai has a solid track record of favoring deregulation of phone, cable and broadband companies. It’s a sure bet he’ll adopt a more hands-off approach to overseeing the telecom industry than his Democratic predecessor, Tom Wheeler, who believed government regulators have an important role to play in consumer protection. “Pai is the anti-Wheeler,” said Harold Feld, senior vice president of Public Knowledge. “Anything Wheeler tried to do, Pai would be the first to say it went too far.” For consumers, Feld said, a key change will be Chairman Pai renouncing Wheeler’s position that phone rules apply to broadband services — a stance that gave the FCC sweeping authority over high-speed Internet providers. It may sound wonky, but it’s a very big deal.

Sean Spicer, Trump’s Press Secretary, Reboots His Relationship With the Press

The Trump White House sent a message to the media: Be nice.

At his first formal briefing on Jan 23, Sean Spicer, the new White House press secretary, told reporters that the Administration sometimes does “the right thing,” adding: “And it would be nice, once in a while, for someone just to report it straight up.” It was an oddly plaintive appeal from an Administration that tends to attack the press, not bemoan it. And it was a sharp contrast from Spicer’s appearance 48 hours prior, when he blasted the news media as “shameful,” made false claims about the attendance for Trump’s inaugural and prompted speculation that his relationship with the White House press corps had been irreparably damaged after a single day.

Big Telecoms Keep Investors on Hold

A saturated wireless market has hindered giants Verizon Communications and AT&T even as competition from smaller rivals exerts a drag on subscriber and revenue growth. The carriers’ earnings reports are unlikely to offer much encouragement.