FCC Questioned on Motive Behind Net Neutrality

Federal Communications Commission (FCC (News - Alert)) Chairman Julius Genachowski defended his agency’s decisions in front of Congress today. The topic at hand was the agency’s move to pass the first-ever government regulation rule on the Internet.

The policy, known as “net neutrality” requires Internet providers to allow content providers equal access to networks. This topic has been surrounded by hot debate on both sides. Advocates want to ensure that industry giants can’t dominate the industry, while opponents don’t believe the government should be the policing party.

FCC commissioners, including Michael Copps, Robert McDowell (News - Alert), Mignon Clyburn and Meredith Attwell Baker, were questioned by a number of Republicans from the a House Communications and Internet Subcommittee who were seeking information on what the new proposal means for innovation and competition.

Along with the four other members of the FCC, Genachowski responded that the new policy is "pro-job and pro-investment" for the economy.

An amendment was filed yesterday by subcommittee Chairman Greg Walden (R-OR) that bars the FCC from using any allotted funds to implement the network neutrality rule. Walden also shared his concerns that the FCC’s mandate could extend past this ruling and would allow the agency to regulate any matter in discussed in the national broadband plan.

In other FCC news, TMCnet recently reported that the agency wants the $8 billion now spent on phone subsidies should be redirected to high-speed Internet service. "We see some money, frankly, being wasted right in sight of the need for funds in unserved areas," FCC Commissioner Michael Copps (News - Alert) said in a statement quoted by The Wall Street Journal.

The agency recently approved Cable Operations and Licensing System "COALS" application to provide cable services to the residents of Palm Coast, Fla. COALS, the Media Bureau's Internet based system, provides the public a means to electronically file with the bureau and to provide access to cable services information.

The FCC’s actions around the Universal Service Fund and intercarrier compensation are likely to change the communications industry forever, as discussed in a TMCnet posting earlier last week. As more subscribers embrace VoIP and legal complaints pile up, pressure has been mounting on the FCC to address this issue.

Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com. To read more of Susan’s articles, please visit her columnist page.

Edited by Janice McDuffee