Wireless competition continues to grow, as Cricket edges closer to 4G LTE. I’m losing track of how many 4G providers we’re starting to rack up. So yes, the people who tell you smaller and regional carriers are not an acceptable substitute for national carriers? They’re selling you something.
That something is an attack on federalism via the Sprint/Soros/Obama/Holder attack on AT&T and the rights of T-Mobile shareholders.
Which is why it’s bad news that these coordinated lawsuits are continuing. It’s ridiculous: both C Spire and Sprint are in better shape than iPhone-less T-Mobile.
At least there’s good news in new and continuing Republican efforts against previous power grabs.
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Sorry if you missed Tech at Night on Friday. I was under the weather. But I’m back, and with so much to review.
How about legislation, good and bad? Well, mostly bad.
- Senate Democrats continue to push for senseless regulation of 4G Internet speeds, hindering vital new technology to increase high-speed Internet competition in America. Worse, Democrat Anna Eshoo is piling on in the House.
- Mary Bono Mack continues her push on privacy and security even though I don’t really see a government role in that, at least when it comes to private sector data. High profile cases do not good models make.
- Joe Barton wants to harass Amazon now, once again proving we did the right thing in not letting him head up Energy and Commerce. Seriously: If you’re allying with a Massachusetts Democrat, reconsider.
- When government comes preaching fairness, watch out: the push for a nationally-enforced Internet sales tax continues, which of course is just the first step to a joint state-national sales tax akin to the Canadian Harmonized Sales Tax. It’ll start at just one percent, I’m telling you. “One penny, for the children,” or “for seniors,” or even “for the Global War on Terror.” And then it will grow.
- We’re deeply in debt and running a massive deficit, but it’s time for a new program on “distracted driving”!
- OK, one piece of good news: Kay Bailey Hutchison is pressing the issue in the budget supercommittee of all places. encouraging voluntary incentive auctions of spectrum is great news no matter what the context, as we need all we can get. Giving the D block, previously proven to be unwanted at auction, over to civil defense is also good news, I believe. We learned that on 9/11. Look, I’d be all for auctioning it… if we hadn’t already tried and failed.
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Oh for crying out loud. For all that Washington talks tough about getting Americans access to high speed Internet, the “supercommittee” wants to tax new spectrum licensees. That’s just what we need: make it more expensive to build out America’s wireless infrastructure in order to pay for the President and his Cabinet to hand out money to their friends and political supporters. Isn’t that special? Here’s a joint letter against it from a number of industry groups.
Then you’ve got Dick Blumenthal, Al Franken, and Amy Klobuchar, leading the charge for the Democrat-controlled Senate that hasn’t passed a budget in 900 days, but wants to get government involved on what can or can’t be called 4G wireless Internet. Great prioritization here.
Spectrum’s important, though. Merely having access to a solid Internet connection lets Americans ave lots of money every year. Not just from being able to buy online, but also from gathering information, and simply from being able to stay at home. IIA did the math and American families each can save thousands of dollars a year online. And we’re busy regulating, taxing, and harassing firms like Google and AT&T, instead of getting government out of the way of investment. Yes, I’m frustrated.
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Regulation, Regulation, Regulation. We’re faced with it, and now the regulators are going Presidential on us and claiming executive privilege at the FCC. You want to know how they’re coming up with their marching orders for America? Too bad. Just ask watchdog StimulatingBroadband.com.
You want a laugh? George Soros-funded front group Free Press is suing the FCC… because Net Neutrality isn’t enough of a power grab. Incredible.
Jay Rockefeller is defending Net Neutrality, meanwhile, against Kay Bailey Hutchison’s withering attacks, and push for a Congressional Review Act repeal of the regulations.
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Up late tonight. Spent the better part of the last 8 hours setting up my new computer*. Lots of data to transfer around and all that. But fortunately there aren’t many new developments lately to talk about, so let’s go.
I’m going to start with LightSquared. Out of the blue, it’s been repeatedly claimed that LightSquared is “the next Solyndra,” and that some nebulous form of corruption is somehow benefiting the company. Is it possible? Certainly. But I’d like to see some proof that LightSquared received actual benefits from the Obama administration, as Solyndra got free money from the government in the form of loan guarantees.
No, I won’t accept proof that Barack Obama is a bad guy as proof that LightSquared had something going on. I’m playing the role of skeptic on this particular issue, because I don’t want it to be true. I want America to get more spectrum used for 4G wireless Internet, and I want us to have more national networks supplying 4G wireless Interent. LightSquared coming online would give us both, as LightSquared CEO Sanjiv Ahuja has said.
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I’ve basically got three topics for tonight’s edition. It’s sad that two of them are government antitrust actions. I suppose elections do have consequences, and one key consequence of Barack Obama’s election is corporatist selection of winners and losers in the marketplace.
The third main topic: Alleged corruption. I’m still playing the role of skeptic on accusations that the Obama administration is playing favorites in favor of LightSquared, the firm that has been caught in a regulatory quagmire over GPS issues it may have found a workaround for.
I want more 4G competition, but I also welcome Darrell Issa giving the LightSquared/Obama matter some oversight. I’d love to have a clear answer to this question. I can’t support fake competition brought about by corruption. I reject Obama propping up Sprint Nextel and if it turns out that Obama is propping up LightSquared then I reject that as well.
Which brings us to the next topic: AT&T and T-Mobile against the Department of Justice.
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We’ve lost some battles lately. That’s what happens when we let a radical Democrat become President. We let Patrick Leahy’s America Invents Act pass, imposing on America a Euro-style patent system that rewards lawyering, not being the first to invent something. We let the FCC pass an illegal Net Neutrality power grab, and that will have to go to court soon.
We’re even seeing some nominally Republican-run states get on big government bandwagon against AT&T, sadly joining in the effort by the Obama administration and Sprint Nextel to hinder competition and pad Sprint’s bottom line. What are Ohio and Pennsylvania doing there? Come on.
But at least we’re on track to get meaningful 4G competition. Some question the firm’s ties with the Obama administration, but I welcome progress toward LightSquared launching its network. Unlike Obama and Holder, trying to prop up Sprint, I actually want competition and lower prices.
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Competition, growth, and innovation are all important for the American wireless Internet market. We need more, better, and cheaper service if we’re going to move in large numbers to wireless Internet, as some are predicting. This means competition and growth in the 4G sector is vital to our future economic health.
And that, in a nutshell, is why I think it’s essential that the government stay out of the way and allow the AT&T/T-Mobile deal to proceed. Obviously now it’s too late to prevent a lawsuit, since it’s already happened, but dropping the suit would be better than proceeding on the current anti-competitive path.
That’s the one fact that more and more evidence is bringing to light: stopping the merger is the anti-competitive act, not the merger itself. Both Sprint Nextel and the Department of Justice are threatening competition, hindering us from moving beyond the 4G duopoly of Verizon and Sprint Nextel.
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So much going on suddenly this week. Barack Obama and Eric Holder’s DoJ has decided to come after AT&T for its plans to merge with T-Mobile, possibly doing the bidding of donors while hindering jobs growth in America as well as nationwide 4G wireless Internet competition. Sprint’s not doing much to keep Verizon in check; we need AT&T to have the spectrum needed to do that.
So Holder wants to drive Gibson manufacturing out of the US, and to keep T-Mobile in German hands, and prevent AT&T from bringing jobs back to America. Do I have that right? It’s no wonder people rate the Internet and Telephone industries much higher than they rate the government.
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