Friday, Friday, Friday. Black Friday? Net Neutrality rules have become one step closer to official as the FCC finally delivered something to the OMB after months of stalling. Verizon, MetroPCS, Virginia AG Ken Cuccinelli, and others ended up unable sue to throw out the illegal power grab until it’s published, so the longer the FCC waited, the longer everyone else had to wait to begin to defeat rules that will harm innovation, investment, and jobs, say Fred Upton and Greg Walden.
It’ll be 90 more days at least before the rules hit the Federal Register and the rush to the courthouse begins.
Meanwhile the FCC’s bad run in the courts continues as it lost another case. Of course, this was actually a Bush-era rule, being thrown out on a technicality. But the Obama FCC continued its defense, and lost.
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This week I already called upon Rick Perry to veto the Texas Amazon Tax, and now I’m left to hope that California Democrats will be less stupid than Joe Straus. Sigh.
Meanwhile the posturing around the AT&T/T-Mobile deal continues. We find from a press conference with COMPTEL CEO Jerry James that the Rural Cellular Alliance is joining with radical left, George Soros/OSI-funded group Public Knowledge to favor government intervention. If only they realized Soros will turn on them as soon as they’re no longer needed to pursue their socialist agenda.
The Wall Street Journal has also looked into the unholy alliance against AT&T. The leading members are of course direct competitors: Leap Wireless, MetroPCS, Sprint. Verizon is also mentioned, but the WSJ lists good reasons Verizon really wouldn’t mind either way. I also see one good reason for Verizon to want to see AT&T and T-Mobile win this: Anything that happens to AT&T now can also happen to Verizon, and Verizon becomes public enemy number one if it’s the undisputed leader of the industry. Sprint, meanwhile, doesn’t have to worry about being #1 because Sprint these days literally has to mooch off its competitors with things like the FCC Data Roaming order just to service its customers, so relatively little does it invest in its network anymore.
John Conyers and Edward Markey are also pressing for big government here. Look, even if you’re the biggest T-Mobile fan, the writing is on the wall regarding the fans of government intervention here. Everyone who is opposing this deal is self-interested, socialist, or both.
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House pressure on the FCC continues, with Friday’s hearings on FCC process reform, including testimony from all four active FCC Commissioners (Republican Commissioner Meredith Baker has quit the FCC). I associate myself with the remarks of Seton Motley on the preferred outcome of FCC Process Reform: “FCC ‘Process Reform’ Should Be About Reducing FCC Power. Oh, and making them obey the law.”
Meanwhile, as much as we talk about what’s wrong with the FCC and other issues, it’s good when I get to report on people getting ready to fight back. Jim DeMint is questioning the plans for the new National Emergency Alert System, while Verizon’s fighting back on the ridiculous FCC price controls on data roaming designed to help Sprint compete without actually investing in a better network.
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In the fast-paced, highly-competitive market of wireless phone and Internet access, this announcement stands out. The wireless carrier with the second-most subscribers, AT&T, is to acquire the number four carrier, T-Mobile USA. Some would say that this is a grave threat to competitiveness, risks reducing competition and increasing prices on everyone, and so should be stopped by the benevolent masters of the Obama administration. I disagree.
This is a young and vibrant market, with many competitors already out there, and more yet to come. The acquisition of a lagging company by the #2 company only puts pressure on the #1 firm, Verizon Wireless. Not only that, but existing regulations are plenty strong, and will almost surely result in resources being made available to lesser firms, reshaping the market without reducing choice.
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Sorry but Monday night I plain forgot to post. So I just have twice as much stuff to discuss tonight is all.
Arguably the big story right now is what to do with the D Block. The D block is one of five pieces of the old television spectrum that is now freed up for new uses since we’ve gotten television broadcasts moved into a new, narrower range. However back in 2008 we tried to auction it off, but got no takers. I agree with the plan to give it to public safety groups, learning from the lessons of 9/11.
One interesting aspect of the issue is how it all relates the the FCC. If we move forward with the D Block resolution through legislation, then we take it away from the regulators. We can likely get broad bipartisan support for that even, because who wants to argue against first responders and post-9/11 recommendations? The FCC recognizes this threat, too, which is why the FCC on the 25th strained its arm patting itself on the back in some press releases.
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