Award Winning Blog

Showing posts with label partisanship at the FCC. Show all posts
Showing posts with label partisanship at the FCC. Show all posts

Thursday, November 16, 2017

The Ambivalently Federalist FCC

            With all this talk about draining the Washington, D.C. swamp and its entrenched federal government occupants, the FCC remains quite enamored with federal preemption of state and local initiatives. I cannot see a coherent rationale for depriving non-federal actors of their role as laboratories for innovative regulation and better, on-site agents.  Instead, the FCC--with increasing frequency--seems to embrace preemption more often than deference to states and municipalities.

            On the federalist side, Chairman Ajit Pai fiercely endorsed the right of states to regulate inmate intrastate calling rates, even if the rates reach extortionate levels.  The Chairman gladly defers to states that have enacted barriers or prohibitions on municipal Wi-Fi and fiber optic networks.  

            On the federal preemption side, both Democratic and Republican majorities at the FCC frequently foreclose state and local initiatives.  Sometimes preemption prevents extortionate behavior, such as when cities delay or condition market entry.  But other times, I wonder if the FCC takes a partisan stance rather than a principled one.

            I am onboard when the FCC attempts to expedite state and local administrative procedures in granting franchises, access to rights of way and necessary permits.  However, the FCC also wants to constrain, if not prohibit, non-federal involvement in such diverse matters as privacy, universal service funding and tower siting.  


            If state and local regulators are closer to the people and perhaps better versed in the issues, why is the FCC so keen on preventing them for serving?

Sunday, November 27, 2016

Reform the FCC!

In this volatile and contentious time, it has become even more likely that any advocacy position may trigger misperception, intentional or not.  Recently, one of the two FCC transition managers for the incoming Trump administration, has been characterized as calling for the agency’s closure.  See http://www.techpolicydaily.com/communications/do-we-need-the-fcc/.

 
I do not read Dr. Mark A. Jamison as advocating a torch to the very agency he will help staff with senior managers.  Instead, I get a strong message with which I agree: the FCC has become far too partisan and political on matters that do not typically cleave on a Democrat/Republican fulcrum.  For decades, FCC Commissioners did not split on party lines.

Why now?

 
I attribute the polarization of the agency as directly resulting from Commissioner appointments of congressional staffers who in turn hire the same type of professional to serve as their senior staff.  Rather than consider major regulatory issues in terms of the national interest, it appears that baser, political motivations predominate.  We really, really, really need an independent, expert regulatory agency that does not allow its work product to be molded by politics.

 
This is a two-party problem: if Democratic FCC senior management allowed President Obama to lobby for a preferred network neutrality policy to rousing Republican indignation, then these very same folks should resist efforts by President Trump to direct a preferred agency decision on, for example, the proposed merger of Time Warner and AT&T.  Science, or as close to dispassionate scientific analysis, should apply, regardless of what that analysis generates.  Economic analysis does matter, and for the Commission’s part, it must be free of results-driven assumptions and strategies.


Making the FCC apolitical, requires fortitude and the commitment to empirical analysis, rather than the lazy and convenient reliance on sponsored research used in advocacy documents by stakeholders.


We do need to replace the current partisan FCC with an honest broker ready, willing and able to apply science and empiricism.

           

Thursday, May 12, 2016

Conservatives Playing the Victim Card


            The last few weeks has had a remarkable glut of instances where conservatives bemoan their victimhood in the Internet ecosystem.  With much snark and righteous indignation, conservative Senators, FCC Commissioners and of course incumbent operators, rail against various instances where the deck is stacked against them.

            Senator Thune of South Dakota wants to investigate alleged bias in Facebook’s compilation of current trending news.  See http://www.nytimes.com/2016/05/11/technology/facebook-thune-conservative.html; and http://www.nytimes.com/2016/05/10/technology/conservatives-accuse-facebook-of-political-bias.html?partner=rss&emc=rss&_r=0.  The Wall Street Journal suggests Facebook should explain how its algorithms work in the spirit of “transparency;” see http://www.wsj.com/articles/share-this-on-facebook-146292180.  Of course, you don’t hear a similar expectation that Fox News explain how it lives up to its tag line: “Fair and Balanced.”

            Did Senator Thune call for a network neutrality mandate for Facebook, or worse yet, a government mandated “Fairness Doctrine”? 

            The two FCC Republican Commissioners go farther alone the victim trail.  They start with a knee jerk bias supporting incumbent stakeholders no matter how bad that favoritism hurts consumers.  Based on this logic, there is nothing the FCC could or should do to promote set top box competition.  Ask just about any cable television subscriber how they feel about compulsory set top box rentals and you will get an earful.  Commissioner Pai wants the elimination of a set top box requirement, yet he remains oblivious to decades of efforts by the cable industry to prevent a return to “cable ready” television sets.  How can Commissioner Pai not know that the cable industry has worked tirelessness to prevent the CableCard option from working and providing an alternative to monthly rentals of the cable television operator’s box?

            Both Commissioners seem adverse to the FCC releasing congressionally mandated reports, especially ones that reach negative conclusions about the state of actual competition, or release inconvenient statistics.  For example, the recently released 17th Report on Video Competition (see http://www.wsj.com/articles/share-this-on-facebook-1462921801) offers damning statistics about cable television market concentration and the remarkable lack of CableCard use in set top boxes and video recorders not supplied by cable operators. While 99% of the United States has access to 3 MVPDs (2 DBS and 1 cable television), 36% have access to a fourth option provided by a telephone company. Operator-supplied set-top boxes used 53 million CableCards versus 613,000 in retail devices not supplied by the service provider.

            Despite damning statistics, the Democrat majority joined with the Republican minority in approving mergers that further consolidate the industry.  Rather than applaud this, FCC Commissioner Pai rants about the “"ideologically inspired extortion[ate]” nature of conditions designed to prevent ever larger firms, which by the way control most of the broadband market, from unfairly exploiting they market power.

            News flash: the FCC approved the merger despite generating 100s pages of evidence why it’s a bad deal for consumers.  To quote Shakespeare Commissioner Pai “doth protest too much.”

            From my perspective conservatives protest too much.  Apparently few conservatives get collegiate teaching opportunities in the U.S. Yet I see a bias in their favor in terms of access to sponsored research dollars, conferences and publications.  There are far more conservative foundations out there ready to nurture and fund like-minded researchers.  There are times where my unsponsored, independent work gets crowded out, not by better work, but by work that more closely aligns with the conservative agenda.

            Bottom line: conservative ideology—particularly that with a market orientation—has become mainstream.  Fox News rules the airwaves.  Even as their first mover market advantage should wane, incumbents benefit from conservative FCC Commissioners who ignore rent seeking tactics and support them. 


            I thought conservatives abstained from selecting market winners and losers.