Tag: adelstein

700 MHz Endgame: Wholesale Open Access Down, But Not Quite Out.

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Yesterday, the House Commerce Committee held its FCC Oversight hearing. As expected, the 700 MHz auction attracted a great deal of attention. As I wrote in previous entries, this was make or break time for wholesale open access. If Commerce Committee Chair John Dingell (D-Michigan) and Telecom Subcommittee Chair Ed Markey (D-MA) voiced strong support, that might push Martin to adopt full wholesale open access in light of Google’s commitment to bid. OTOH, if the House Dems did not back wholesale, then Martin would be unlikely to budge.

Dingel and Markey did not back wholesale open access. Indeed, Dingell backed off slightly from his previous hard-line stance on even device open access (aka, “open access-lite” aka the “Martin plan”), asking for assurances that including such a condition would not hurt auction revenue or limit bidding. Markey, while enthusiastically supporting device open access and suggesting ways to improve it and make it effective, did not mention wholesale at all.

The biggest supporter of wholesale open access was Mike Doyle (D-PA), who gets a huge Sausage Factory cheer for stepping up to the challenge. You can see a clip of him asking the Commissioners where they stand on wholesale open access here. The good news is that Democratic Commissioners Michael Copps and Jonathon Adelstein remained staunch in their defense of wholesale open access as a means of encouraging competition and deployment. Intriguingly, Martin did not slam the idea, but said this was not the place to do it because he had concerns about the incentives for network build out of wholesalers. McDowell remained adamant against (as he did against even Martin’s device open access proposal), although McDowell praised the pending FCC proceeding to open the broadcast “white spaces” for unlicensed use (which I hope he remembers when the time comes). Tate did not answer Doyle’s question (no time), but elsewhere said she was keeping an “open mind” on device open access.

Republicans, with the exception of Pickering (R-Miss) slammed Martin hard for supporting even device open access. To his credit, Martin defended the idea that the auction was not about maximizing revenue but about getting the best policy. But the near-uniform opposition to any conditions on licenses by Republicans, combined with the silence of key Democrats on wholesale, puts Martin in a real bind.

So what happens now? Are there any cards left to play, rabbits to pull out of hats, or Corbemite maneuvers to run that could still save wholesale open access. Yes, but they are very long odds indeed. With the vote now scheduled for July 31, we are just after the two minute warning and down a touchdown and a field goal.

More analysis below . . . .

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700 MHz Endgame: Martin Antes. AT&T Raises. Google Calls. Does AT&T Fold or Call?

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So yesterday, AT&T was extolling the virtues of the Martin plan. Among its virtues, Jim Ciconni included:

In effect, Chairman Martin’s plan faces Google and others with a “put up or shut up” opportunity. If they are serious, they will be able to bid and test their model in the marketplace against the business models of companies already enjoying widespread consumer acceptance.

Critically, Ciconni was referring to the “reserve price” feature of the Martin plan. To protect himself against the threat that even his device only open access would depress auction revenues, if the 22 MHz “C” block did not fetch at least $4.6 billion in bids, the FCC would cancel that part of the auction, split the 22 MHz int two 11 MHz blocks, and reauction without conditions. (Reserve prices are not uncommon in spectrum auctions, although as far as I know they have never been tied to a specific condition.)

So today, Google’s Eric Schmidt called Ciconni’s raise. In a letter to Chairman Martin, Schmidt committed to bidding a minimum of $4.6 for the “C” Block — but only if the Commission adopts all “four opens” that Google demanded in its letter last week and endorsed by the public interest coalition, Frontline, and a bunch of others. That means not just real device attachment and open application rules, but also real wholesale obligations at non-discriminatory prices. (You can find Google’s blog post explaining their letter here.)

The fear that Google would not bid no matter what, or that only one or two companies would bid on a license with wholesale open access conditions, has been one of the central features of the debate. Even ardent believers in real open access like Commissioner Adelstein have expressed real concerns over this. And, as I have noted previously, AT&T and its various sock puppets and Republican subsidiaries have used the threat of messing with the revenues as a major weapon against wholesale open access.

In a stroke, the Google letter changes the nature of the game. Google has now guaranteed that the feds will make their auction projections — but only if they include real open access. Meanwhile, rumors swirl that it may be AT&T, rather than Google, that sits this auction out. Suddenly, we switch from “will including wholesale open access keep out bidders and lower the revenue” to “will not including wholesale open access keep out needed bidders and drive down revenue.”

Meanwhile, the clocks ticks toward deadline. What does it mean? What happens next? And will I ever get a vacation this summer?

See below . . . .

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Adelstein to Tech Sector & Frontline: Can You Hear Me Now?

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FCC Commissioner Jonathon Adelstein’s recent speech at the Wireles Communications Association (WCA) conference — and subsequent remarks to the press on the 700 MHz auction have caused quite a stir among those in the blogosphere following this issue. My fellow advocates of open access, such as Matt Stoller at Mydd.com, voiced considerable concern that Commissioner Adelstein (a long-time friend of the public interest) would come down against open-access proponent Frontline and against the position staked out by the Public Interest Spectrum Coalition, the 4G/Tech industry and others in support of larger license blocks. (Go take a look at my Impossibly Long Field Guide if you are lost on who these players are). OTOH, Publius over at Obsidian Wings has posted a defense of Adelstein, in which he also falls into the classic trap (as he does in his (much shorter than mine) auction guide for dummies) in believing that the telcos are the antichrist when, at least in my opinion, it’s a Hell of a lot more complicated. Yo, Netheads! You can hate other incumbents besides the Telcos! Really!

Anyway, to get back to the issue of the day: Adelstein’s speech and subsequent reactions. Matt and Publius raise good points, but neither sees the full picture here. But heck, that’s why folks need TotSF (or so I like to think), to fill in the blanks and provide the needed backstory for those not familiar with how life in the public policy sausage factory works (and its why the average TotSF post is about 4 single-spaced pages — yeah, I talk too much, I know).

Short version: Adelstein was not committing to a position or dissing a proposal. He was sending a signal to the tech guys and Frontline that if they want to get what they are asking for, they need to answer some very real and legitimate questions. Because Adelstein and McDowell are widely considered “swing votes” on critical questions (with Tate and Copps believed focused primarily on public safety), their public speeches (along with Chairman Martin’s of course) get particular scrutiny. Adelstein has not sold out (as feared by Stoller). Nor is Martin a “a wholly owned subsidiary of Verizon”, nor are 4G Coalition (or yr hmbl obdnt) “useful idiots,” as argued by Publius.

So what is going on (at least in my long-winded opinion)? See below….

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We Win Again On 3650-3700 MHz. So What Does It Mean?

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Back in 2004-05, a bunch of us fought to open up the 3650-3700 MHz band for unlicensed use (Sometimes refered to as 3.65 GHz rather than 3650 MHz). While we did not get “pure” unlicensed, the FCC’s “hybrid unlicensed” regime gave us pretty much everything we wanted.

In August 2005, a group of tech firms led by Intel filed a Petition for Reconsideration. This group, which I dubbed the “WiMax Posse,” wanted the Commission to reverse itself and optimize the band for WiMax operations. Notably, this meant adopting a licensing regime instead of the open spectrum rules we won in March 2005.

By this time, Powell had left and been replaced with Kevin Martin. Martin had earned the eternal scorn of Netheads by deregulating DSL (actually a process begun by Powell). And, unlike Powell, Martin had no record of support for open spectrum. So even though the WiMax Posse and the various licensed wireless providers who came in to support them raised no new arguments, no one knew whether Martin would reaffirm the 2005 rules or side with the licensed spectrum/WiMax posse.

So I let out a huge sigh of relief and felt a modest sense of accomplishment when the FCC issued an Order denying the WiMax Posse Recon Petition and basically reaffirming our March 2005 win. Commissioner Adelstein had a very nice concurring statement highlighting the important roll played by WISPs and Community Wireless Networks (CWNs) in getting wireless connectivity to rural and underserved urban communities.

So what does this mean for wireless deployment for WISPs, CWNs, and muni systems? How do I read the FCC tea leaves in light of last month’s FCC decision terminating two important open spectrum proceedings? See below . . . .

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NCMR Day 2: I collapse into an exhausted stupor

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First, I must report that Jen Howard, one of the amazing folks at Free Press (formerly one of my colleagues at MAP) was a touch disappointed in my review of the party Thursday night, which she planned. She also informs me that the company that handled the drinks had said that non-alcoholic drinks were free and they were definitely NOT, supposed to charge me $2 for a bottle of water. So I will conclude that Free Press (and Jen) are amazing at everything, including planning parties, and just got ripped off.

And so they proved on Friday Night. Or so I am told. It being Shabbos, I retreated to my room. Alas, I therefore missed the further inspirational remarks of Commissioners Copps and Adelstein. However, I urge all those benighted souls who, like me, missed it, to check them out in the video archive.

I do urge everyone to pay particular attention to Copps’ proposed New America Media Contract. I will have more analysis of this when the brain cells start workng again.

O.K., here is how Harold spent his day. It is a rather disjointed, personal approach that skipped most of the main events with the real news makers. Which is why I don’t call myself a “citizen journalist” (but more on that below).

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My Annual Shameless Self-Serving Plug for My Employer

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As you all know, I do this blog in my own time as a labor of love and the firm belief that the World Needs My Wisdom. During the day, I work as Senior Vice President of the Media Access Project (MAP). The views expressed here are entirely my own, and I keep a strenous “Chinese Firewall” between my MAP work and my blogging.

But I’m still gonna use my wholly independent space here to make a special end of year appeal for for folks to contribute to MAP. Because while I love my job, I can’t have two labors of love.

To keep from compromising our advocacy, MAP does not rely on industry money. We get funded primarily by grants and by individual contributions (and the occassional attorneys fee from those clients who can afford to make a contribution to our work and advocacy). In 2006, we had major wins in Network Neutrality, Media Ownership, Munibroadband, Spectrum Reform, and a personal shout out for our work on the Adelphia transaction from Commissioner Adelstein. And I will now include a gratuitous link to a recommendation from a friend this past fall.

For 35 years, MAP has been kicking ass and taking names to protect the public’s First Amendment right to speak and hear information from a diversity of sources in the electronic media. We’d like to keep at it for another 35. I know MAP is competing with a hundred other worthy causes, and that it is late in the year to make a pitch for that last contribution in 2006 (MAP is a 501(c)(3), so any donations are deductible). But I’m going to ask anyway. If you can make any kind of donation, we’d all really appreciate it.

Stay tuned . . . .

Big Win For Community Wireless At FCC

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The FCC released its long awaited decision resolving Continental Airline’s complaint that Massport cannot order it to shut down its free wifi access for Continental customers.

While supremely important for its ultimate holding, the case contains many positive and useful determinations for unlicensed generally. It also contains two outstanding concurring statementsfrom the Democratic Commissioners. You can see Copps’ concurence here, and Adelstein’s here.

That’s also very good news. Almost a year ago, I worried that, with the departure of Michael Powell and Ed Thomas from the FCC, and the departure of Michael Gallagher from NTIA no one would champion the cause of unlicensed spectrum. But as Copps and Adelstein have shown, both in this decision and in their actions in last month’s item on the broadcast white spaces, Copps and Adelstein ‘get it’ on unlicensed spectrum and why it is so important.

Further analysis below . . .

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The AT&T Merger Saga Continues . . .

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No one could mistake last week’s twists and turns in the proposed AT&T/BellSouth merger for the excitement, titilation and hijinks of the Foley Follies. But by the staid standards of telecom policy, last week’s swirl of activity constituted a veritable Telanovella of intrigue and power politics. Duelling Congressional Committees! Kevin Martin pushes for a showdown, but Dems Michael Copps and Jonathon Adelstein hang tough! Martin stages a “strategic withdrawal,” but schedules a new vote for November 3 after he returns from his long-planned trip to Asia. AT&T offers new concessions, kicking off a fresh round of public comment and criticism of the merger. And what will happen to the Notice of Inquiry on network neutrality that Martin offered the Dems as an incentive to approve the merger? Is it still on the table?

I’m all aflutter, I tells ya. For my continued speculation, as well as my thoughts on the proposed AT&T conditions and how you can still make a difference, see below….

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