Big News on the Public Airwaves Front

http://www.openleft.com/showDiary.do?diaryId=113

Big News on the Public Airwaves Front
by: Matt Stoller
Thu Jul 12, 2007 at 11:22:54 AM EDT

I'm editing a video with Ben right now, but I'm not going to get it done for a few hours. Here's what's important to know about the iPhone hearing yesterday. Republican Chip Pickering of Mississippi and Democrat Ed Markey both came out for the principle of 'open access' and 'wireless carterphone'. It's hard to describe what a big deal this is in Congress and to the FCC, as both Pickering and Markey are respected in this area for very different reasons. It's the political equivalent of Chuck Hagel coming out on Iraq, or to frame it in right-wing terms, Al Wynn co-authoring the Bankruptcy Bill. FCC decision-makers come from both parties, so the bipartisan aggressive framing is a HUGE deal. Those words are a giant red flag to telecom and cable lobbyists, and a sign that they must begin to think about adjusting their business model to an open internet. Chairman John Dingell's aggressive presence at the hearing only underscored the point.

The way to think about the policy issues at hand is that the government's job is to use the public airwaves to create a healthy market. A healthy market has rights for both buyers and sellers. 'Wireless Carterphone' is the right for the buyers of the iPhone to port their devices anywhere they want, to use their property without needing to ask permission. 'Wholesale Open access' is the right for entrepreneurs to lease the public airwaves to innovate without having to spend billions to buy spectrum or ask permission from incumbents.

In other words, buyers need to be able to buy and use property, and sellers need to be able to access the market without monopolists in the way. That's the frame. And yesterday, at the iPhone hearing, at least one powerful member in both parties said loud and clear that this is what they want from the FCC.

I'm not sure how many people are prepared to pay full retail for the phone of their choice running on the wireless network of their choice. Its how we buy all our other electronics, but people may have gotten used to the free/deep discount model tied to a service contract.

with a 2 year contract. It just means that if you buy a $600 phone, you should have the choice of which carrier to use.

A number of years ago, I got a cell phone and when the contract was up, I signed with a different company. The cell phone was a good quality phone and I didn't want to give it up, so I took it in and they were able to change some settings so I could use the phone. Yes, it was a hassle for them, but I would still use that phone today, if I had cell phone service anymore.

zalinda