Politicians and reporters row over free broadband plans
Both Republicans and Democrats have voiced their opposition to separate aspects of the FCC plans for auctioning off airwaves for wireless services. The White House is rowing with the Federal Communications Commission about whether regulation or the free market is the best way to ensure consumer needs are met.
The FCC plan involves the auction of airwaves, which will be freed up when TV broadcasters switch to an all-digital signal in February. The Commission wants to impose a condition on one section of the airwaves which would require the winner to offer a free nationwide wireless broadband system using 25 percent of the capacity, with the rest used for a higher speed paid service. The proposal would also require the free system to block pornographic content.
Carlos M Guiterrez, George Bush’s commerce secretary, wrote this week to the FCC to condemn the plan. He called for an auction without any restrictions, arguing:
…the potential for problems increases in instances where licensing is overly prescriptive or designed around unproven business models…. The FCC should rely on market forces to determine the best use of spectrum…
A spokesman for the commission backed the principle of market forces but said the requirement was necessary to benefit consumers.
The plan has also come under criticism from the Wall Street Journal which outright accuses FCC chairman Kevin Martin of using the requirement to rig the auction. The newspaper claims only one firm, M2Z, can run with the proposed business model, though it doesn’t make explicitly clear why Martin would favor this firm.
Meanwhile Democrat Jay Rockefeller, who is expected to head the Senate Commerce Committee in the new session of Congress, wants the entire series of auctions delayed. While it appears Rockefeller and colleagues back the free wireless Internet requirement, he believes the FCC needs to concentrate its efforts on the digital switchover right now rather than be distracted by the auction process.
The FCC is scheduled to vote on the plans in an open meeting next Thursday (Dec. 18).
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