[opendtv] AT&T's Stephenson: Title II Puts Damper On Fiber Builds | Multichannel

  • From: Craig Birkmaier <craig@xxxxxxxxxxxxx>
  • To: OpenDTV Mail List <opendtv@xxxxxxxxxxxxx>
  • Date: Thu, 13 Nov 2014 13:19:36 -0500

http://www.multichannel.com/news/technology/atts-stephenson-title-ii-puts-damper-fiber-builds/385501

AT&T's Stephenson: Title II Puts Damper On Fiber Builds

AT&T Chairman Randall Stephenson warned at a Wells Fargo Securities analyst 
conference Wednesday that its plans to deploy fiber to 100 cities are in hold 
mode as the company figures out how broadband is going to be regulated.

"So, you're doing multi-billion-dollar investments and you really have no 
clarity in terms of how those investments will be regulated," he said. "That 
can have no effect other than to cause one to pause."

He said AT&T would deliver on its promise in the DirecTV merger proposal to 
build out fiber to 2 million additional homes if that deal is approved, but 
beyond that the picture was cloudier.

Stephenson said that whichever way the rules go, they are going to court, and 
sees that taking at least a couple of years to resolve. He suggested Wheeler's 
initial effort to restore rules without reclassifying under Title II might be a 
swifter resolution of the issue, and could still provide the prophylactic 
prohibitions on slow lanes and paid prioritization the President was looking 
for.

Comcast EVP David Cohen blogged Tuesday that Comcast agreed with the president 
on not throttling and no paid prioritization, but, like Stephenson, says it can 
be done short of Title II.

Stephenson has already made the point to FCC Chairman Tom Wheeler about the 
threat to infrastructure investment and the build-out of high speed that is 
high on the chairman's to-do list.

Last week, Stephenson met with Wheeler about the issue, arguing that the FCC 
has authority under its Sec. 706 authority to prohibit paid prioritization 
"which harms consumers or competition," and that regulating the Internet under 
Title II could do a number on Wheeler's top priority of extending high-speed 
broadband.

According to an ex parte filing on the conversations, Stephenson told Wheeler 
Title II "is not only contrary to Commission precedent but would negatively 
impact broadband infrastructure investment in a manner that would be 
counterproductive to the Commission’s and Administration’s goal of making high 
speed broadband universally available in the United States."

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