Before
the
Federal
Communications Commission
Washington,
D.C. 20554
In the Matter of
Technological Transition of the Nation’s
Communications Infrastructure
GN Docket No. 12-353
REPLY COMMENTS OF PUBLIC KNOWLEDGE
Summary
In this proceeding, the Commission has
already seen many stakeholders come forward with their various wish lists for
rules to include or not include in the post-transition PSTN regulatory
structure. It is now evident that the Commission must use this opportunity to
establish a principled framework to guide the transition of the PSTN. This
nation’s phone system became the envy of the world due to a steadfast
commitment to serving certain fundamental social needs and goals. Moving
forward, the Commission must build upon these basic values to ensure that the
phone network continues to provide vital communications services to users
across the country.
The Commission must move forward with a
principled framework to ensure that its decisions and actions are all part of
one coherent plan and remain focused on achieving the most fundamental goals
for our communications network. A framework can serve as a checklist by which
to evaluate every proposal. Many ideas that are focused on one issue will have
consequences in other areas, and the Commission must make sure that any
trade-offs it accepts between priorities are made deliberately and
thoughtfully. A principled framework can also absorb and handle the inevitable unexpected
complications that will arise as carriers transition their technology. The
recent rural call completion problems that developed as a result of the
transition to IP serve as a stark reminder that the issues that stem from this
transition will not always be simple or easy to fix, and the Commission’s
fundamental principles will guide how it responds to each new problem.
Building from a set of fundamental
principles will also prevent the Commission from simply arbitrating between the
many wish lists of various parties in this proceeding. Comcast, for example,
puts forward no actual principles in its comments, but instead advocates for
total deregulation of the phone system. In light of Comcast’s central role in
our national communications infrastructure, this cannot be dismissed as simply
a starting bid for negotiations. Comcast’s refusal to join the conversation
about the future of our communications systems entirely, on the grounds that it
can fend for itself with no interconnection or competition policies and what
happens to others is of no concern to Comcast, demonstrates exactly why those
policies are so important to the network as a whole.
When the Commission receives comments
like Comcast’s, the Commission must remember that it is making policy for the
entire phone network, not just for any one carrier, and that policies that
impact the entire network must be based on principled, fundamental goals that
ensure the nation’s communications needs are met throughout and after the PSTN
transition. The technology of the network may change with time, but users’
needs will stay the same and the Commission’s goals should not waver.
Argument
I.
The Commission Must Set the Appropriate Framework by
Which to Evaluate Proposals.
As
the leading federal authority over the phone network, it is incumbent on the
Commission to establish a framework that unifies the Commission’s most fundamental
priorities for the phone network and guides the Commission’s evaluation of the many
regulatory and deregulatory proposals submitted thus far. At this early stage,
the Commission should not engage in simply arbitrating between the wish lists
of the many parties that have submitted comments in this proceeding. The
Commission must guide this transition based on basic principles, from which the
Commission can evaluate the impact of parties’ proposals.[1]
The
comments filed in this docket already demonstrate an amazingly complex proceeding.
Even at this very early stage, unexpected issues have surfaced. For example,
Harris Corporation has noted that service providers to the Federal Aviation
Administration currently use TDM-based services for air traffic operations, and
several consumer groups have explained how the Commission must preserve and
foster accessibility for users with disabilities throughout and after the
transition.[2]
The Commission will also discover all kinds of communities and stakeholders
that have relied upon the infrastructure of the existing network and rules in
particular ways that have until now flown under the radar, which is again why
the Commission must have a framework ready that can absorb and account for
those surprises. For instance, many individuals and businesses depend in one
way or another on alarm systems currently tied to the existing infrastructure.[3]
As the transition continues to unfold, there will surely be more examples to
come.
Other
proceedings also demonstrate how the transition to IP-based technologies will
inevitably lead to unexpected complications for existing issues before the
Commission. The Commission will need a principled
framework to handle these unanticipated problems. For example, when the
transition to IP led to rural call completion problems, the Commission
responded by proposing reporting requirements for providers of both TDM- and
IP-based voice services to understand and solve the problem.[4]
The Commission’s motivation to take this problem so seriously is based on the
fundamental premise that achieving service for all Americans is a top priority.
Going forward, the Commission must continue to evaluate issues that arise in
this transition according to the same fundamental principles. Which principles
the Commission uses to frame its approach will guide how it responds to each
particular issue that arises.
Every
answer to each unforeseen problem that arises may impact multiple aspects of
the basic principles underlying the phone network. For example, geo-location
technology in mobile phones aids emergency response to 9-1-1 calls, but also
impacts consumer privacy. Using a set of fundamental principles as a guide, the
Commission could identify as many of the likely impacts of a new practice or
rule as possible, and can thoughtfully and deliberately handle any trade-offs
that are necessary.
PK
proposes that the Commission adopt the Five Fundamental principles PK has laid
out in its Comments as the framework for guiding the PSTN transition, ensuring
that the post-transition phone network will still seek to provide service to
all Americans, ensure interconnection and competition, protect consumers,
guarantee network reliability, and provide key public safety capabilities.[5]
First, the Commission must continue to pursue service for all Americans, which
also entails carrier of last resort and disabilities access policies. The
Commission must ensure that its policies continue to guarantee interconnection
and competition in the market, both to preserve call quality across the country
and to promote a robust competitive environment for voice services. The transition
of the PSTN must also preserve consumer protections that users currently rely upon,
including privacy, truth-in-billing, slamming, and cramming rules, and
effective recourse for the timely resolution of complaints. The PSTN must be
able to guarantee that the basic mechanisms of the phone network will work
consistently and reliably, on every network. Finally, the Commission must
continue to ensure that users can use the phone system to call for emergency
services. The Commission is already considering this issue with the Next
Generation 9-1-1 transition, but the public safety element of the PSTN
transition should also be considered in context with the rest of the elements
of the network upgrade.
The
transition of the PSTN is an opportunity for the Commission to reexamine and
set the framework by which it measures and sets policy for phone service in the
United States. The Five Fundamentals serve as a metric by which to evaluate the
various proposals already made in this docket according to how well they serve
basic principles, rather than simply arbitrating between parties’ regulatory
wish lists.
II.
Comcast’s Comments Only Underscore
the Critical Importance of Competition and Interconnection Rules.
A
review of the comments submitted in this proceeding reveals one startling fact:
Comcast is the sole submitting party that opposes a regulatory structure for
the phone network of any kind.[6]
Every other party has at least given nominal support to the idea that the phone
network should not be a regulation-free zone.[7]
Almost all commenters have acknowledged that the phone system is far too
extensive, complicated, and essential to users’ lives to function without at
least some backstop mechanisms to ensure that problems and complications do not
unravel the network as a whole. Even free market advocates such as TechFreedom[8]
and the Free State Foundation,[9]
as well as dominant carriers like AT&T,[10]
acknowledge that there must be some sort of regulatory framework to shore up
the phone network we all depend upon.
But
Comcast, and Comcast alone, suggests that the phone network should function
without any regulatory oversight whatsoever. It is unclear whether Comcast
takes this position simply because it plans to rely on its sheer size to
require all other carriers to deal with it, but it is frightening to think that
Comcast—one of the largest residential phone service providers and the largest
residential broadband provider in the United States—could so wildly
miscalculate the nation’s regulatory needs for a functioning phone system.
For
one thing, Comcast’s position refuses to recognize that the entire phone network must operate
reliably—including regions that Comcast shows no interest in ever serving.
Emergency 9-1-1 services, business communications, and important personal calls
are all dependent on a coherently functioning phone network. It is easy to take
these vital activities for granted, but it is precisely these uses of the phone
network that would be threatened were Comcast to attempt to treat the phone
system as it does the video marketplace.
Beyond
being crucially important to the fabric of American communications and
commerce, the phone system is also an extremely complex intersection of
technologies, business models, and regulatory structures. These have all developed
under the assumption that a stable foundation will keep the network operating
reliably. Unlike the internet, which developed in a “best efforts” environment,
the phone network has historically depended on bedrock assumptions that the
system will deliver a basic level of reliability. Comcast may think that it
alone can make it by without guarantees of network reliability, but the
Commission should not make policy for the entire phone system based on Comcast’s
ambitions to control what portions of the network it can based on pure market
leverage.
It
is true that the transition of the PSTN will necessitate a review of the
current rules, many of which specifically contemplate a TDM-based phone
network.[11]
But this does not mean that the social needs and goals underlying those rules
have changed. Comcast’s dismissal of concerns regarding the impact of the
transition on core principles underlying our phone network, like service to all
Americans, as “premature” takes exactly the wrong approach to understanding and
guiding the PSTN transition.[12]
First of all, the Commission must not wait for failures in the market for voice
services before it establishes the basic principles undergirding the network.
Voice service is simply too important and too critical to emergency
communications across the nation for the Commission to wait for disaster to
strike before it takes action. And more fundamentally, the Commission must
establish foundational principles by which to guide its work before it can even begin sifting through
wish lists like Comcast’s request for complete deregulation. At this early
stage, the Commission is not expected to have hammered out exactly how the
regulatory regime for IP-to-IP interconnection will operate,[13]
but the Commission must at this point establish its authority to achieve the
overall goal of competition and interconnection in the marketplace, and then
evaluate regulatory proposals based on their ability to accomplish that goal.
Despite
Comcast’s apparent plan to fend for itself without any regulatory backstops for
the phone system, it is far from clear that even Comcast has the power and
foresight to keep the phone network running in the case of failures in other
parts of the network. So when, as discussed above, the transition to IP-based
technologies creates rural call completion problems, the exact causes of which
are unclear, Comcast’s argument would dictate that the Commission should stand
idly by while customers in rural areas are unable to depend on their phone
service to always deliver and receive calls. In contrast, the Commission has in
fact issued a Notice of Proposed Rulemaking to more fully understand the causes
and prevalence of rural call completion failures.[14]
Moreover, the Commission’s action has shown that it will defend the fundamental
principle that it is one of the most basic responsibilities of the Commission
to ensure that phone calls go through. It is all the more important that the
Commission take a stand on issues like rural call completion, where carriers
simply do not have the necessary cost incentive to voluntarily ensure that even
rural Americans have a consistently functioning phone service. This leaves it
to the Commission to maintain its jurisdiction over issues like rural call
completion—whether delivered by TDM-based or IP-based services—or risk that
rural customers and other marginalized market segments will simply become
collateral damage to the bottom of lines of the most powerful carriers in the
country.
Moreover,
it is unclear how even Comcast could function smoothly in a completely
deregulated post-transition PSTN. For example, how would Comcast or any other
managed VoIP provider obtain phone numbers if the Commission’s administration
of the North American Numbering Plan is called into question when no more
TDM-based providers exist?[15]
Even Comcast cannot replicate the basic administrative functions that the
industry relies on the Commission to maintain and operate smoothly. If Comcast
got its wish for total deregulation, it is unclear whether even one of the most
powerful telecommunications carriers in the country would find itself satisfied
with the results.
Looking
to the current markets for IP interconnection and cable video service provide
cold comfort to those worrying about the consequences of a completely deregulated
phone network for subscribers. Peering, program access, or program carriage
disputes impose significant inconvenience on consumers who may experience more
latency or temporarily lose access to their video services. But when Comcast
gets into an interconnection dispute with another carrier over basic phone
service, millions of customers will find themselves unable to call 9-1-1,
contact loved ones, or conduct business. The stakes are much higher in the
world of phone service—and far too high to be subject to gamesmanship between
bickering carriers.
The
fact that Comcast is willing to throw total deregulation out as its opening
position in this proceeding is a sobering reminder that these worst-case
scenarios could become very real. Indeed, the fact that Comcast, and Comcast
alone, feels comfortable fighting for itself in a regime completely devoid of
rules is itself a tremendously convincing argument for why rules are needed.
The Commission must fight any inclination to simply adopt Comcast’s or any other
stakeholders’ wish lists outright, and must instead focus on a solid,
principled framework within which to evaluate each proposal on its own merits.
Conclusion
The complexity and diversity of requests
in this docket demonstrate that the Commission must establish certain basic
principles on which to move forward with the PSTN transition. Without a strong framework
to guide the transition, the Commission will only find itself arbitrating
between individual wish lists without any guidance as to what goals to achieve.
Success is not measured by number of regulations eliminated or preserved. The
Commission must resolve to guide and steer the PSTN transition according to
fundamental principles that ensure a functioning, competitive,
consumer-friendly market for phone service.
Respectfully
submitted,
Public Knowledge
February 25,
2013
[1] Public Knowledge is encouraged by signs
that the Commission may adopt just such a framework for the PSTN transition. See Zachary Katz, Policymaking in a Time of Technology Transitions, Official FCC Blog (Feb. 22, 2013),
http://www.fcc.gov/blog/policymaking-time-technology-transitions.
[2] See
Comments of Harris Corporation, Comment
Sought on the Technological Transition of the Nation’s Communications
Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013); Comments of
Telecommunications for the Deaf and Hard of Hearing, Inc. et al., Comment Sought on the Technological
Transition of the Nation’s Communications Infrastructure, GN Docket No.
12-353 (Jan. 28, 2013).
[3] See
Comments of AARP, Comment Sought on the
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353 (Jan. 28, 2013).
[4] Rural
Call Completion, Notice of Proposed Rulemaking, WC Docket No. 13-39 (rel.
Feb. 7, 2013).
[5] See
Comments of Public Knowledge, Comment
Sought on the Technological Transition of the Nation’s Communications
Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013), available at http://apps.fcc.gov/ecfs/comment/view?id=6017160627.
[6] See
Comments of Comcast Corporation, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353, at 2 (Jan. 28, 2013).
[7] See,
e.g., Telecommunication Services
Competitive Position in the United States: IP Transition Looming with
Questions, Fears, Sector Enthusiasm, NARUC Meeting Shows, Warren Communications News, Inc. (Nov.
14, 2012), http://www.reportlinker-news.com/n054455777/IP-Transition-Looming-with-Questions-Fears-Industry-Enthusiasm-NARUC-Meeting-Shows.html.
[8] Comments of TechFreedom: Toward Modern,
Modest Regulation for the IP Transition, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353 (Jan. 28, 2013).
[9] Comments of The Free State Foundation, The Technological Transition of the Nation’s
Communications Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013).
[10] Comments of AT&T, The Technological Transition of the Nation’s
Communications Infrastructure, GN Docket No. 12-353, at 10-11 (Jan. 28, 2013)
(“[T]his experiment will give the Commission the empirical insights it needs to
make informed judgments about what regulations are necessary for the longer
term. And it will enable the Commission to fashion the right regulatory
framework from the ground up . . . .”).
[11] FCC
Chairman Julius Genachowski Announces Formation of ‘Technology Transitions
Policy Task Force’, News Release, at 1 (rel. Dec. 10, 2012), available at
http://transition.fcc.gov/Daily_Releases/Daily_Business/2012/db1210/DOC-317837A1.pdf.
[12] See
Comments of Comcast Corporation, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353, at 6 (Jan. 28, 2013).
[13] Contra
id.
[14] Rural
Call Completion, Notice of Proposed Rulemaking, WC Docket No. 13-39 (rel.
Feb. 7, 2013).
[15] 47 U.S.C. § 251(e)(1).
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Before
the
Federal
Communications Commission
Washington,
D.C. 20554
In the Matter of
Technological Transition of the Nation’s
Communications Infrastructure
GN Docket No. 12-353
REPLY COMMENTS OF PUBLIC KNOWLEDGE
Summary
In this proceeding, the Commission has
already seen many stakeholders come forward with their various wish lists for
rules to include or not include in the post-transition PSTN regulatory
structure. It is now evident that the Commission must use this opportunity to
establish a principled framework to guide the transition of the PSTN. This
nation’s phone system became the envy of the world due to a steadfast
commitment to serving certain fundamental social needs and goals. Moving
forward, the Commission must build upon these basic values to ensure that the
phone network continues to provide vital communications services to users
across the country.
The Commission must move forward with a
principled framework to ensure that its decisions and actions are all part of
one coherent plan and remain focused on achieving the most fundamental goals
for our communications network. A framework can serve as a checklist by which
to evaluate every proposal. Many ideas that are focused on one issue will have
consequences in other areas, and the Commission must make sure that any
trade-offs it accepts between priorities are made deliberately and
thoughtfully. A principled framework can also absorb and handle the inevitable unexpected
complications that will arise as carriers transition their technology. The
recent rural call completion problems that developed as a result of the
transition to IP serve as a stark reminder that the issues that stem from this
transition will not always be simple or easy to fix, and the Commission’s
fundamental principles will guide how it responds to each new problem.
Building from a set of fundamental
principles will also prevent the Commission from simply arbitrating between the
many wish lists of various parties in this proceeding. Comcast, for example,
puts forward no actual principles in its comments, but instead advocates for
total deregulation of the phone system. In light of Comcast’s central role in
our national communications infrastructure, this cannot be dismissed as simply
a starting bid for negotiations. Comcast’s refusal to join the conversation
about the future of our communications systems entirely, on the grounds that it
can fend for itself with no interconnection or competition policies and what
happens to others is of no concern to Comcast, demonstrates exactly why those
policies are so important to the network as a whole.
When the Commission receives comments
like Comcast’s, the Commission must remember that it is making policy for the
entire phone network, not just for any one carrier, and that policies that
impact the entire network must be based on principled, fundamental goals that
ensure the nation’s communications needs are met throughout and after the PSTN
transition. The technology of the network may change with time, but users’
needs will stay the same and the Commission’s goals should not waver.
Argument
I.
The Commission Must Set the Appropriate Framework by
Which to Evaluate Proposals.
As
the leading federal authority over the phone network, it is incumbent on the
Commission to establish a framework that unifies the Commission’s most fundamental
priorities for the phone network and guides the Commission’s evaluation of the many
regulatory and deregulatory proposals submitted thus far. At this early stage,
the Commission should not engage in simply arbitrating between the wish lists
of the many parties that have submitted comments in this proceeding. The
Commission must guide this transition based on basic principles, from which the
Commission can evaluate the impact of parties’ proposals.[1]
The
comments filed in this docket already demonstrate an amazingly complex proceeding.
Even at this very early stage, unexpected issues have surfaced. For example,
Harris Corporation has noted that service providers to the Federal Aviation
Administration currently use TDM-based services for air traffic operations, and
several consumer groups have explained how the Commission must preserve and
foster accessibility for users with disabilities throughout and after the
transition.[2]
The Commission will also discover all kinds of communities and stakeholders
that have relied upon the infrastructure of the existing network and rules in
particular ways that have until now flown under the radar, which is again why
the Commission must have a framework ready that can absorb and account for
those surprises. For instance, many individuals and businesses depend in one
way or another on alarm systems currently tied to the existing infrastructure.[3]
As the transition continues to unfold, there will surely be more examples to
come.
Other
proceedings also demonstrate how the transition to IP-based technologies will
inevitably lead to unexpected complications for existing issues before the
Commission. The Commission will need a principled
framework to handle these unanticipated problems. For example, when the
transition to IP led to rural call completion problems, the Commission
responded by proposing reporting requirements for providers of both TDM- and
IP-based voice services to understand and solve the problem.[4]
The Commission’s motivation to take this problem so seriously is based on the
fundamental premise that achieving service for all Americans is a top priority.
Going forward, the Commission must continue to evaluate issues that arise in
this transition according to the same fundamental principles. Which principles
the Commission uses to frame its approach will guide how it responds to each
particular issue that arises.
Every
answer to each unforeseen problem that arises may impact multiple aspects of
the basic principles underlying the phone network. For example, geo-location
technology in mobile phones aids emergency response to 9-1-1 calls, but also
impacts consumer privacy. Using a set of fundamental principles as a guide, the
Commission could identify as many of the likely impacts of a new practice or
rule as possible, and can thoughtfully and deliberately handle any trade-offs
that are necessary.
PK
proposes that the Commission adopt the Five Fundamental principles PK has laid
out in its Comments as the framework for guiding the PSTN transition, ensuring
that the post-transition phone network will still seek to provide service to
all Americans, ensure interconnection and competition, protect consumers,
guarantee network reliability, and provide key public safety capabilities.[5]
First, the Commission must continue to pursue service for all Americans, which
also entails carrier of last resort and disabilities access policies. The
Commission must ensure that its policies continue to guarantee interconnection
and competition in the market, both to preserve call quality across the country
and to promote a robust competitive environment for voice services. The transition
of the PSTN must also preserve consumer protections that users currently rely upon,
including privacy, truth-in-billing, slamming, and cramming rules, and
effective recourse for the timely resolution of complaints. The PSTN must be
able to guarantee that the basic mechanisms of the phone network will work
consistently and reliably, on every network. Finally, the Commission must
continue to ensure that users can use the phone system to call for emergency
services. The Commission is already considering this issue with the Next
Generation 9-1-1 transition, but the public safety element of the PSTN
transition should also be considered in context with the rest of the elements
of the network upgrade.
The
transition of the PSTN is an opportunity for the Commission to reexamine and
set the framework by which it measures and sets policy for phone service in the
United States. The Five Fundamentals serve as a metric by which to evaluate the
various proposals already made in this docket according to how well they serve
basic principles, rather than simply arbitrating between parties’ regulatory
wish lists.
II.
Comcast’s Comments Only Underscore
the Critical Importance of Competition and Interconnection Rules.
A
review of the comments submitted in this proceeding reveals one startling fact:
Comcast is the sole submitting party that opposes a regulatory structure for
the phone network of any kind.[6]
Every other party has at least given nominal support to the idea that the phone
network should not be a regulation-free zone.[7]
Almost all commenters have acknowledged that the phone system is far too
extensive, complicated, and essential to users’ lives to function without at
least some backstop mechanisms to ensure that problems and complications do not
unravel the network as a whole. Even free market advocates such as TechFreedom[8]
and the Free State Foundation,[9]
as well as dominant carriers like AT&T,[10]
acknowledge that there must be some sort of regulatory framework to shore up
the phone network we all depend upon.
But
Comcast, and Comcast alone, suggests that the phone network should function
without any regulatory oversight whatsoever. It is unclear whether Comcast
takes this position simply because it plans to rely on its sheer size to
require all other carriers to deal with it, but it is frightening to think that
Comcast—one of the largest residential phone service providers and the largest
residential broadband provider in the United States—could so wildly
miscalculate the nation’s regulatory needs for a functioning phone system.
For
one thing, Comcast’s position refuses to recognize that the entire phone network must operate
reliably—including regions that Comcast shows no interest in ever serving.
Emergency 9-1-1 services, business communications, and important personal calls
are all dependent on a coherently functioning phone network. It is easy to take
these vital activities for granted, but it is precisely these uses of the phone
network that would be threatened were Comcast to attempt to treat the phone
system as it does the video marketplace.
Beyond
being crucially important to the fabric of American communications and
commerce, the phone system is also an extremely complex intersection of
technologies, business models, and regulatory structures. These have all developed
under the assumption that a stable foundation will keep the network operating
reliably. Unlike the internet, which developed in a “best efforts” environment,
the phone network has historically depended on bedrock assumptions that the
system will deliver a basic level of reliability. Comcast may think that it
alone can make it by without guarantees of network reliability, but the
Commission should not make policy for the entire phone system based on Comcast’s
ambitions to control what portions of the network it can based on pure market
leverage.
It
is true that the transition of the PSTN will necessitate a review of the
current rules, many of which specifically contemplate a TDM-based phone
network.[11]
But this does not mean that the social needs and goals underlying those rules
have changed. Comcast’s dismissal of concerns regarding the impact of the
transition on core principles underlying our phone network, like service to all
Americans, as “premature” takes exactly the wrong approach to understanding and
guiding the PSTN transition.[12]
First of all, the Commission must not wait for failures in the market for voice
services before it establishes the basic principles undergirding the network.
Voice service is simply too important and too critical to emergency
communications across the nation for the Commission to wait for disaster to
strike before it takes action. And more fundamentally, the Commission must
establish foundational principles by which to guide its work before it can even begin sifting through
wish lists like Comcast’s request for complete deregulation. At this early
stage, the Commission is not expected to have hammered out exactly how the
regulatory regime for IP-to-IP interconnection will operate,[13]
but the Commission must at this point establish its authority to achieve the
overall goal of competition and interconnection in the marketplace, and then
evaluate regulatory proposals based on their ability to accomplish that goal.
Despite
Comcast’s apparent plan to fend for itself without any regulatory backstops for
the phone system, it is far from clear that even Comcast has the power and
foresight to keep the phone network running in the case of failures in other
parts of the network. So when, as discussed above, the transition to IP-based
technologies creates rural call completion problems, the exact causes of which
are unclear, Comcast’s argument would dictate that the Commission should stand
idly by while customers in rural areas are unable to depend on their phone
service to always deliver and receive calls. In contrast, the Commission has in
fact issued a Notice of Proposed Rulemaking to more fully understand the causes
and prevalence of rural call completion failures.[14]
Moreover, the Commission’s action has shown that it will defend the fundamental
principle that it is one of the most basic responsibilities of the Commission
to ensure that phone calls go through. It is all the more important that the
Commission take a stand on issues like rural call completion, where carriers
simply do not have the necessary cost incentive to voluntarily ensure that even
rural Americans have a consistently functioning phone service. This leaves it
to the Commission to maintain its jurisdiction over issues like rural call
completion—whether delivered by TDM-based or IP-based services—or risk that
rural customers and other marginalized market segments will simply become
collateral damage to the bottom of lines of the most powerful carriers in the
country.
Moreover,
it is unclear how even Comcast could function smoothly in a completely
deregulated post-transition PSTN. For example, how would Comcast or any other
managed VoIP provider obtain phone numbers if the Commission’s administration
of the North American Numbering Plan is called into question when no more
TDM-based providers exist?[15]
Even Comcast cannot replicate the basic administrative functions that the
industry relies on the Commission to maintain and operate smoothly. If Comcast
got its wish for total deregulation, it is unclear whether even one of the most
powerful telecommunications carriers in the country would find itself satisfied
with the results.
Looking
to the current markets for IP interconnection and cable video service provide
cold comfort to those worrying about the consequences of a completely deregulated
phone network for subscribers. Peering, program access, or program carriage
disputes impose significant inconvenience on consumers who may experience more
latency or temporarily lose access to their video services. But when Comcast
gets into an interconnection dispute with another carrier over basic phone
service, millions of customers will find themselves unable to call 9-1-1,
contact loved ones, or conduct business. The stakes are much higher in the
world of phone service—and far too high to be subject to gamesmanship between
bickering carriers.
The
fact that Comcast is willing to throw total deregulation out as its opening
position in this proceeding is a sobering reminder that these worst-case
scenarios could become very real. Indeed, the fact that Comcast, and Comcast
alone, feels comfortable fighting for itself in a regime completely devoid of
rules is itself a tremendously convincing argument for why rules are needed.
The Commission must fight any inclination to simply adopt Comcast’s or any other
stakeholders’ wish lists outright, and must instead focus on a solid,
principled framework within which to evaluate each proposal on its own merits.
Conclusion
The complexity and diversity of requests
in this docket demonstrate that the Commission must establish certain basic
principles on which to move forward with the PSTN transition. Without a strong framework
to guide the transition, the Commission will only find itself arbitrating
between individual wish lists without any guidance as to what goals to achieve.
Success is not measured by number of regulations eliminated or preserved. The
Commission must resolve to guide and steer the PSTN transition according to
fundamental principles that ensure a functioning, competitive,
consumer-friendly market for phone service.
Respectfully
submitted,
Public Knowledge
February 25,
2013
[1] Public Knowledge is encouraged by signs
that the Commission may adopt just such a framework for the PSTN transition. See Zachary Katz, Policymaking in a Time of Technology Transitions, Official FCC Blog (Feb. 22, 2013),
http://www.fcc.gov/blog/policymaking-time-technology-transitions.
[2] See
Comments of Harris Corporation, Comment
Sought on the Technological Transition of the Nation’s Communications
Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013); Comments of
Telecommunications for the Deaf and Hard of Hearing, Inc. et al., Comment Sought on the Technological
Transition of the Nation’s Communications Infrastructure, GN Docket No.
12-353 (Jan. 28, 2013).
[3] See
Comments of AARP, Comment Sought on the
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353 (Jan. 28, 2013).
[4] Rural
Call Completion, Notice of Proposed Rulemaking, WC Docket No. 13-39 (rel.
Feb. 7, 2013).
[5] See
Comments of Public Knowledge, Comment
Sought on the Technological Transition of the Nation’s Communications
Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013), available at http://apps.fcc.gov/ecfs/comment/view?id=6017160627.
[6] See
Comments of Comcast Corporation, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353, at 2 (Jan. 28, 2013).
[7] See,
e.g., Telecommunication Services
Competitive Position in the United States: IP Transition Looming with
Questions, Fears, Sector Enthusiasm, NARUC Meeting Shows, Warren Communications News, Inc. (Nov.
14, 2012), http://www.reportlinker-news.com/n054455777/IP-Transition-Looming-with-Questions-Fears-Industry-Enthusiasm-NARUC-Meeting-Shows.html.
[8] Comments of TechFreedom: Toward Modern,
Modest Regulation for the IP Transition, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353 (Jan. 28, 2013).
[9] Comments of The Free State Foundation, The Technological Transition of the Nation’s
Communications Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013).
[10] Comments of AT&T, The Technological Transition of the Nation’s
Communications Infrastructure, GN Docket No. 12-353, at 10-11 (Jan. 28, 2013)
(“[T]his experiment will give the Commission the empirical insights it needs to
make informed judgments about what regulations are necessary for the longer
term. And it will enable the Commission to fashion the right regulatory
framework from the ground up . . . .”).
[11] FCC
Chairman Julius Genachowski Announces Formation of ‘Technology Transitions
Policy Task Force’, News Release, at 1 (rel. Dec. 10, 2012), available at
http://transition.fcc.gov/Daily_Releases/Daily_Business/2012/db1210/DOC-317837A1.pdf.
[12] See
Comments of Comcast Corporation, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353, at 6 (Jan. 28, 2013).
[13] Contra
id.
[14] Rural
Call Completion, Notice of Proposed Rulemaking, WC Docket No. 13-39 (rel.
Feb. 7, 2013).
[15] 47 U.S.C. § 251(e)(1).
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[#value] => Before
the
Federal
Communications Commission
Washington,
D.C. 20554
In the Matter of
Technological Transition of the Nation’s
Communications Infrastructure
GN Docket No. 12-353
REPLY COMMENTS OF PUBLIC KNOWLEDGE
Summary
In this proceeding, the Commission has
already seen many stakeholders come forward with their various wish lists for
rules to include or not include in the post-transition PSTN regulatory
structure. It is now evident that the Commission must use this opportunity to
establish a principled framework to guide the transition of the PSTN. This
nation’s phone system became the envy of the world due to a steadfast
commitment to serving certain fundamental social needs and goals. Moving
forward, the Commission must build upon these basic values to ensure that the
phone network continues to provide vital communications services to users
across the country.
The Commission must move forward with a
principled framework to ensure that its decisions and actions are all part of
one coherent plan and remain focused on achieving the most fundamental goals
for our communications network. A framework can serve as a checklist by which
to evaluate every proposal. Many ideas that are focused on one issue will have
consequences in other areas, and the Commission must make sure that any
trade-offs it accepts between priorities are made deliberately and
thoughtfully. A principled framework can also absorb and handle the inevitable unexpected
complications that will arise as carriers transition their technology. The
recent rural call completion problems that developed as a result of the
transition to IP serve as a stark reminder that the issues that stem from this
transition will not always be simple or easy to fix, and the Commission’s
fundamental principles will guide how it responds to each new problem.
Building from a set of fundamental
principles will also prevent the Commission from simply arbitrating between the
many wish lists of various parties in this proceeding. Comcast, for example,
puts forward no actual principles in its comments, but instead advocates for
total deregulation of the phone system. In light of Comcast’s central role in
our national communications infrastructure, this cannot be dismissed as simply
a starting bid for negotiations. Comcast’s refusal to join the conversation
about the future of our communications systems entirely, on the grounds that it
can fend for itself with no interconnection or competition policies and what
happens to others is of no concern to Comcast, demonstrates exactly why those
policies are so important to the network as a whole.
When the Commission receives comments
like Comcast’s, the Commission must remember that it is making policy for the
entire phone network, not just for any one carrier, and that policies that
impact the entire network must be based on principled, fundamental goals that
ensure the nation’s communications needs are met throughout and after the PSTN
transition. The technology of the network may change with time, but users’
needs will stay the same and the Commission’s goals should not waver.
Argument
I.
The Commission Must Set the Appropriate Framework by
Which to Evaluate Proposals.
As
the leading federal authority over the phone network, it is incumbent on the
Commission to establish a framework that unifies the Commission’s most fundamental
priorities for the phone network and guides the Commission’s evaluation of the many
regulatory and deregulatory proposals submitted thus far. At this early stage,
the Commission should not engage in simply arbitrating between the wish lists
of the many parties that have submitted comments in this proceeding. The
Commission must guide this transition based on basic principles, from which the
Commission can evaluate the impact of parties’ proposals.[1]
The
comments filed in this docket already demonstrate an amazingly complex proceeding.
Even at this very early stage, unexpected issues have surfaced. For example,
Harris Corporation has noted that service providers to the Federal Aviation
Administration currently use TDM-based services for air traffic operations, and
several consumer groups have explained how the Commission must preserve and
foster accessibility for users with disabilities throughout and after the
transition.[2]
The Commission will also discover all kinds of communities and stakeholders
that have relied upon the infrastructure of the existing network and rules in
particular ways that have until now flown under the radar, which is again why
the Commission must have a framework ready that can absorb and account for
those surprises. For instance, many individuals and businesses depend in one
way or another on alarm systems currently tied to the existing infrastructure.[3]
As the transition continues to unfold, there will surely be more examples to
come.
Other
proceedings also demonstrate how the transition to IP-based technologies will
inevitably lead to unexpected complications for existing issues before the
Commission. The Commission will need a principled
framework to handle these unanticipated problems. For example, when the
transition to IP led to rural call completion problems, the Commission
responded by proposing reporting requirements for providers of both TDM- and
IP-based voice services to understand and solve the problem.[4]
The Commission’s motivation to take this problem so seriously is based on the
fundamental premise that achieving service for all Americans is a top priority.
Going forward, the Commission must continue to evaluate issues that arise in
this transition according to the same fundamental principles. Which principles
the Commission uses to frame its approach will guide how it responds to each
particular issue that arises.
Every
answer to each unforeseen problem that arises may impact multiple aspects of
the basic principles underlying the phone network. For example, geo-location
technology in mobile phones aids emergency response to 9-1-1 calls, but also
impacts consumer privacy. Using a set of fundamental principles as a guide, the
Commission could identify as many of the likely impacts of a new practice or
rule as possible, and can thoughtfully and deliberately handle any trade-offs
that are necessary.
PK
proposes that the Commission adopt the Five Fundamental principles PK has laid
out in its Comments as the framework for guiding the PSTN transition, ensuring
that the post-transition phone network will still seek to provide service to
all Americans, ensure interconnection and competition, protect consumers,
guarantee network reliability, and provide key public safety capabilities.[5]
First, the Commission must continue to pursue service for all Americans, which
also entails carrier of last resort and disabilities access policies. The
Commission must ensure that its policies continue to guarantee interconnection
and competition in the market, both to preserve call quality across the country
and to promote a robust competitive environment for voice services. The transition
of the PSTN must also preserve consumer protections that users currently rely upon,
including privacy, truth-in-billing, slamming, and cramming rules, and
effective recourse for the timely resolution of complaints. The PSTN must be
able to guarantee that the basic mechanisms of the phone network will work
consistently and reliably, on every network. Finally, the Commission must
continue to ensure that users can use the phone system to call for emergency
services. The Commission is already considering this issue with the Next
Generation 9-1-1 transition, but the public safety element of the PSTN
transition should also be considered in context with the rest of the elements
of the network upgrade.
The
transition of the PSTN is an opportunity for the Commission to reexamine and
set the framework by which it measures and sets policy for phone service in the
United States. The Five Fundamentals serve as a metric by which to evaluate the
various proposals already made in this docket according to how well they serve
basic principles, rather than simply arbitrating between parties’ regulatory
wish lists.
II.
Comcast’s Comments Only Underscore
the Critical Importance of Competition and Interconnection Rules.
A
review of the comments submitted in this proceeding reveals one startling fact:
Comcast is the sole submitting party that opposes a regulatory structure for
the phone network of any kind.[6]
Every other party has at least given nominal support to the idea that the phone
network should not be a regulation-free zone.[7]
Almost all commenters have acknowledged that the phone system is far too
extensive, complicated, and essential to users’ lives to function without at
least some backstop mechanisms to ensure that problems and complications do not
unravel the network as a whole. Even free market advocates such as TechFreedom[8]
and the Free State Foundation,[9]
as well as dominant carriers like AT&T,[10]
acknowledge that there must be some sort of regulatory framework to shore up
the phone network we all depend upon.
But
Comcast, and Comcast alone, suggests that the phone network should function
without any regulatory oversight whatsoever. It is unclear whether Comcast
takes this position simply because it plans to rely on its sheer size to
require all other carriers to deal with it, but it is frightening to think that
Comcast—one of the largest residential phone service providers and the largest
residential broadband provider in the United States—could so wildly
miscalculate the nation’s regulatory needs for a functioning phone system.
For
one thing, Comcast’s position refuses to recognize that the entire phone network must operate
reliably—including regions that Comcast shows no interest in ever serving.
Emergency 9-1-1 services, business communications, and important personal calls
are all dependent on a coherently functioning phone network. It is easy to take
these vital activities for granted, but it is precisely these uses of the phone
network that would be threatened were Comcast to attempt to treat the phone
system as it does the video marketplace.
Beyond
being crucially important to the fabric of American communications and
commerce, the phone system is also an extremely complex intersection of
technologies, business models, and regulatory structures. These have all developed
under the assumption that a stable foundation will keep the network operating
reliably. Unlike the internet, which developed in a “best efforts” environment,
the phone network has historically depended on bedrock assumptions that the
system will deliver a basic level of reliability. Comcast may think that it
alone can make it by without guarantees of network reliability, but the
Commission should not make policy for the entire phone system based on Comcast’s
ambitions to control what portions of the network it can based on pure market
leverage.
It
is true that the transition of the PSTN will necessitate a review of the
current rules, many of which specifically contemplate a TDM-based phone
network.[11]
But this does not mean that the social needs and goals underlying those rules
have changed. Comcast’s dismissal of concerns regarding the impact of the
transition on core principles underlying our phone network, like service to all
Americans, as “premature” takes exactly the wrong approach to understanding and
guiding the PSTN transition.[12]
First of all, the Commission must not wait for failures in the market for voice
services before it establishes the basic principles undergirding the network.
Voice service is simply too important and too critical to emergency
communications across the nation for the Commission to wait for disaster to
strike before it takes action. And more fundamentally, the Commission must
establish foundational principles by which to guide its work before it can even begin sifting through
wish lists like Comcast’s request for complete deregulation. At this early
stage, the Commission is not expected to have hammered out exactly how the
regulatory regime for IP-to-IP interconnection will operate,[13]
but the Commission must at this point establish its authority to achieve the
overall goal of competition and interconnection in the marketplace, and then
evaluate regulatory proposals based on their ability to accomplish that goal.
Despite
Comcast’s apparent plan to fend for itself without any regulatory backstops for
the phone system, it is far from clear that even Comcast has the power and
foresight to keep the phone network running in the case of failures in other
parts of the network. So when, as discussed above, the transition to IP-based
technologies creates rural call completion problems, the exact causes of which
are unclear, Comcast’s argument would dictate that the Commission should stand
idly by while customers in rural areas are unable to depend on their phone
service to always deliver and receive calls. In contrast, the Commission has in
fact issued a Notice of Proposed Rulemaking to more fully understand the causes
and prevalence of rural call completion failures.[14]
Moreover, the Commission’s action has shown that it will defend the fundamental
principle that it is one of the most basic responsibilities of the Commission
to ensure that phone calls go through. It is all the more important that the
Commission take a stand on issues like rural call completion, where carriers
simply do not have the necessary cost incentive to voluntarily ensure that even
rural Americans have a consistently functioning phone service. This leaves it
to the Commission to maintain its jurisdiction over issues like rural call
completion—whether delivered by TDM-based or IP-based services—or risk that
rural customers and other marginalized market segments will simply become
collateral damage to the bottom of lines of the most powerful carriers in the
country.
Moreover,
it is unclear how even Comcast could function smoothly in a completely
deregulated post-transition PSTN. For example, how would Comcast or any other
managed VoIP provider obtain phone numbers if the Commission’s administration
of the North American Numbering Plan is called into question when no more
TDM-based providers exist?[15]
Even Comcast cannot replicate the basic administrative functions that the
industry relies on the Commission to maintain and operate smoothly. If Comcast
got its wish for total deregulation, it is unclear whether even one of the most
powerful telecommunications carriers in the country would find itself satisfied
with the results.
Looking
to the current markets for IP interconnection and cable video service provide
cold comfort to those worrying about the consequences of a completely deregulated
phone network for subscribers. Peering, program access, or program carriage
disputes impose significant inconvenience on consumers who may experience more
latency or temporarily lose access to their video services. But when Comcast
gets into an interconnection dispute with another carrier over basic phone
service, millions of customers will find themselves unable to call 9-1-1,
contact loved ones, or conduct business. The stakes are much higher in the
world of phone service—and far too high to be subject to gamesmanship between
bickering carriers.
The
fact that Comcast is willing to throw total deregulation out as its opening
position in this proceeding is a sobering reminder that these worst-case
scenarios could become very real. Indeed, the fact that Comcast, and Comcast
alone, feels comfortable fighting for itself in a regime completely devoid of
rules is itself a tremendously convincing argument for why rules are needed.
The Commission must fight any inclination to simply adopt Comcast’s or any other
stakeholders’ wish lists outright, and must instead focus on a solid,
principled framework within which to evaluate each proposal on its own merits.
Conclusion
The complexity and diversity of requests
in this docket demonstrate that the Commission must establish certain basic
principles on which to move forward with the PSTN transition. Without a strong framework
to guide the transition, the Commission will only find itself arbitrating
between individual wish lists without any guidance as to what goals to achieve.
Success is not measured by number of regulations eliminated or preserved. The
Commission must resolve to guide and steer the PSTN transition according to
fundamental principles that ensure a functioning, competitive,
consumer-friendly market for phone service.
Respectfully
submitted,
Public Knowledge
February 25,
2013
[1] Public Knowledge is encouraged by signs
that the Commission may adopt just such a framework for the PSTN transition. See Zachary Katz, Policymaking in a Time of Technology Transitions, Official FCC Blog (Feb. 22, 2013),
http://www.fcc.gov/blog/policymaking-time-technology-transitions.
[2] See
Comments of Harris Corporation, Comment
Sought on the Technological Transition of the Nation’s Communications
Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013); Comments of
Telecommunications for the Deaf and Hard of Hearing, Inc. et al., Comment Sought on the Technological
Transition of the Nation’s Communications Infrastructure, GN Docket No.
12-353 (Jan. 28, 2013).
[3] See
Comments of AARP, Comment Sought on the
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353 (Jan. 28, 2013).
[4] Rural
Call Completion, Notice of Proposed Rulemaking, WC Docket No. 13-39 (rel.
Feb. 7, 2013).
[5] See
Comments of Public Knowledge, Comment
Sought on the Technological Transition of the Nation’s Communications
Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013), available at http://apps.fcc.gov/ecfs/comment/view?id=6017160627.
[6] See
Comments of Comcast Corporation, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353, at 2 (Jan. 28, 2013).
[7] See,
e.g., Telecommunication Services
Competitive Position in the United States: IP Transition Looming with
Questions, Fears, Sector Enthusiasm, NARUC Meeting Shows, Warren Communications News, Inc. (Nov.
14, 2012), http://www.reportlinker-news.com/n054455777/IP-Transition-Looming-with-Questions-Fears-Industry-Enthusiasm-NARUC-Meeting-Shows.html.
[8] Comments of TechFreedom: Toward Modern,
Modest Regulation for the IP Transition, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353 (Jan. 28, 2013).
[9] Comments of The Free State Foundation, The Technological Transition of the Nation’s
Communications Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013).
[10] Comments of AT&T, The Technological Transition of the Nation’s
Communications Infrastructure, GN Docket No. 12-353, at 10-11 (Jan. 28, 2013)
(“[T]his experiment will give the Commission the empirical insights it needs to
make informed judgments about what regulations are necessary for the longer
term. And it will enable the Commission to fashion the right regulatory
framework from the ground up . . . .”).
[11] FCC
Chairman Julius Genachowski Announces Formation of ‘Technology Transitions
Policy Task Force’, News Release, at 1 (rel. Dec. 10, 2012), available at
http://transition.fcc.gov/Daily_Releases/Daily_Business/2012/db1210/DOC-317837A1.pdf.
[12] See
Comments of Comcast Corporation, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353, at 6 (Jan. 28, 2013).
[13] Contra
id.
[14] Rural
Call Completion, Notice of Proposed Rulemaking, WC Docket No. 13-39 (rel.
Feb. 7, 2013).
[15] 47 U.S.C. § 251(e)(1).
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the
Federal
Communications Commission
Washington,
D.C. 20554
In the Matter of
Technological Transition of the Nation’s
Communications Infrastructure
GN Docket No. 12-353
REPLY COMMENTS OF PUBLIC KNOWLEDGE
Summary
In this proceeding, the Commission has
already seen many stakeholders come forward with their various wish lists for
rules to include or not include in the post-transition PSTN regulatory
structure. It is now evident that the Commission must use this opportunity to
establish a principled framework to guide the transition of the PSTN. This
nation’s phone system became the envy of the world due to a steadfast
commitment to serving certain fundamental social needs and goals. Moving
forward, the Commission must build upon these basic values to ensure that the
phone network continues to provide vital communications services to users
across the country.
The Commission must move forward with a
principled framework to ensure that its decisions and actions are all part of
one coherent plan and remain focused on achieving the most fundamental goals
for our communications network. A framework can serve as a checklist by which
to evaluate every proposal. Many ideas that are focused on one issue will have
consequences in other areas, and the Commission must make sure that any
trade-offs it accepts between priorities are made deliberately and
thoughtfully. A principled framework can also absorb and handle the inevitable unexpected
complications that will arise as carriers transition their technology. The
recent rural call completion problems that developed as a result of the
transition to IP serve as a stark reminder that the issues that stem from this
transition will not always be simple or easy to fix, and the Commission’s
fundamental principles will guide how it responds to each new problem.
Building from a set of fundamental
principles will also prevent the Commission from simply arbitrating between the
many wish lists of various parties in this proceeding. Comcast, for example,
puts forward no actual principles in its comments, but instead advocates for
total deregulation of the phone system. In light of Comcast’s central role in
our national communications infrastructure, this cannot be dismissed as simply
a starting bid for negotiations. Comcast’s refusal to join the conversation
about the future of our communications systems entirely, on the grounds that it
can fend for itself with no interconnection or competition policies and what
happens to others is of no concern to Comcast, demonstrates exactly why those
policies are so important to the network as a whole.
When the Commission receives comments
like Comcast’s, the Commission must remember that it is making policy for the
entire phone network, not just for any one carrier, and that policies that
impact the entire network must be based on principled, fundamental goals that
ensure the nation’s communications needs are met throughout and after the PSTN
transition. The technology of the network may change with time, but users’
needs will stay the same and the Commission’s goals should not waver.
Argument
I.
The Commission Must Set the Appropriate Framework by
Which to Evaluate Proposals.
As
the leading federal authority over the phone network, it is incumbent on the
Commission to establish a framework that unifies the Commission’s most fundamental
priorities for the phone network and guides the Commission’s evaluation of the many
regulatory and deregulatory proposals submitted thus far. At this early stage,
the Commission should not engage in simply arbitrating between the wish lists
of the many parties that have submitted comments in this proceeding. The
Commission must guide this transition based on basic principles, from which the
Commission can evaluate the impact of parties’ proposals.[1]
The
comments filed in this docket already demonstrate an amazingly complex proceeding.
Even at this very early stage, unexpected issues have surfaced. For example,
Harris Corporation has noted that service providers to the Federal Aviation
Administration currently use TDM-based services for air traffic operations, and
several consumer groups have explained how the Commission must preserve and
foster accessibility for users with disabilities throughout and after the
transition.[2]
The Commission will also discover all kinds of communities and stakeholders
that have relied upon the infrastructure of the existing network and rules in
particular ways that have until now flown under the radar, which is again why
the Commission must have a framework ready that can absorb and account for
those surprises. For instance, many individuals and businesses depend in one
way or another on alarm systems currently tied to the existing infrastructure.[3]
As the transition continues to unfold, there will surely be more examples to
come.
Other
proceedings also demonstrate how the transition to IP-based technologies will
inevitably lead to unexpected complications for existing issues before the
Commission. The Commission will need a principled
framework to handle these unanticipated problems. For example, when the
transition to IP led to rural call completion problems, the Commission
responded by proposing reporting requirements for providers of both TDM- and
IP-based voice services to understand and solve the problem.[4]
The Commission’s motivation to take this problem so seriously is based on the
fundamental premise that achieving service for all Americans is a top priority.
Going forward, the Commission must continue to evaluate issues that arise in
this transition according to the same fundamental principles. Which principles
the Commission uses to frame its approach will guide how it responds to each
particular issue that arises.
Every
answer to each unforeseen problem that arises may impact multiple aspects of
the basic principles underlying the phone network. For example, geo-location
technology in mobile phones aids emergency response to 9-1-1 calls, but also
impacts consumer privacy. Using a set of fundamental principles as a guide, the
Commission could identify as many of the likely impacts of a new practice or
rule as possible, and can thoughtfully and deliberately handle any trade-offs
that are necessary.
PK
proposes that the Commission adopt the Five Fundamental principles PK has laid
out in its Comments as the framework for guiding the PSTN transition, ensuring
that the post-transition phone network will still seek to provide service to
all Americans, ensure interconnection and competition, protect consumers,
guarantee network reliability, and provide key public safety capabilities.[5]
First, the Commission must continue to pursue service for all Americans, which
also entails carrier of last resort and disabilities access policies. The
Commission must ensure that its policies continue to guarantee interconnection
and competition in the market, both to preserve call quality across the country
and to promote a robust competitive environment for voice services. The transition
of the PSTN must also preserve consumer protections that users currently rely upon,
including privacy, truth-in-billing, slamming, and cramming rules, and
effective recourse for the timely resolution of complaints. The PSTN must be
able to guarantee that the basic mechanisms of the phone network will work
consistently and reliably, on every network. Finally, the Commission must
continue to ensure that users can use the phone system to call for emergency
services. The Commission is already considering this issue with the Next
Generation 9-1-1 transition, but the public safety element of the PSTN
transition should also be considered in context with the rest of the elements
of the network upgrade.
The
transition of the PSTN is an opportunity for the Commission to reexamine and
set the framework by which it measures and sets policy for phone service in the
United States. The Five Fundamentals serve as a metric by which to evaluate the
various proposals already made in this docket according to how well they serve
basic principles, rather than simply arbitrating between parties’ regulatory
wish lists.
II.
Comcast’s Comments Only Underscore
the Critical Importance of Competition and Interconnection Rules.
A
review of the comments submitted in this proceeding reveals one startling fact:
Comcast is the sole submitting party that opposes a regulatory structure for
the phone network of any kind.[6]
Every other party has at least given nominal support to the idea that the phone
network should not be a regulation-free zone.[7]
Almost all commenters have acknowledged that the phone system is far too
extensive, complicated, and essential to users’ lives to function without at
least some backstop mechanisms to ensure that problems and complications do not
unravel the network as a whole. Even free market advocates such as TechFreedom[8]
and the Free State Foundation,[9]
as well as dominant carriers like AT&T,[10]
acknowledge that there must be some sort of regulatory framework to shore up
the phone network we all depend upon.
But
Comcast, and Comcast alone, suggests that the phone network should function
without any regulatory oversight whatsoever. It is unclear whether Comcast
takes this position simply because it plans to rely on its sheer size to
require all other carriers to deal with it, but it is frightening to think that
Comcast—one of the largest residential phone service providers and the largest
residential broadband provider in the United States—could so wildly
miscalculate the nation’s regulatory needs for a functioning phone system.
For
one thing, Comcast’s position refuses to recognize that the entire phone network must operate
reliably—including regions that Comcast shows no interest in ever serving.
Emergency 9-1-1 services, business communications, and important personal calls
are all dependent on a coherently functioning phone network. It is easy to take
these vital activities for granted, but it is precisely these uses of the phone
network that would be threatened were Comcast to attempt to treat the phone
system as it does the video marketplace.
Beyond
being crucially important to the fabric of American communications and
commerce, the phone system is also an extremely complex intersection of
technologies, business models, and regulatory structures. These have all developed
under the assumption that a stable foundation will keep the network operating
reliably. Unlike the internet, which developed in a “best efforts” environment,
the phone network has historically depended on bedrock assumptions that the
system will deliver a basic level of reliability. Comcast may think that it
alone can make it by without guarantees of network reliability, but the
Commission should not make policy for the entire phone system based on Comcast’s
ambitions to control what portions of the network it can based on pure market
leverage.
It
is true that the transition of the PSTN will necessitate a review of the
current rules, many of which specifically contemplate a TDM-based phone
network.[11]
But this does not mean that the social needs and goals underlying those rules
have changed. Comcast’s dismissal of concerns regarding the impact of the
transition on core principles underlying our phone network, like service to all
Americans, as “premature” takes exactly the wrong approach to understanding and
guiding the PSTN transition.[12]
First of all, the Commission must not wait for failures in the market for voice
services before it establishes the basic principles undergirding the network.
Voice service is simply too important and too critical to emergency
communications across the nation for the Commission to wait for disaster to
strike before it takes action. And more fundamentally, the Commission must
establish foundational principles by which to guide its work before it can even begin sifting through
wish lists like Comcast’s request for complete deregulation. At this early
stage, the Commission is not expected to have hammered out exactly how the
regulatory regime for IP-to-IP interconnection will operate,[13]
but the Commission must at this point establish its authority to achieve the
overall goal of competition and interconnection in the marketplace, and then
evaluate regulatory proposals based on their ability to accomplish that goal.
Despite
Comcast’s apparent plan to fend for itself without any regulatory backstops for
the phone system, it is far from clear that even Comcast has the power and
foresight to keep the phone network running in the case of failures in other
parts of the network. So when, as discussed above, the transition to IP-based
technologies creates rural call completion problems, the exact causes of which
are unclear, Comcast’s argument would dictate that the Commission should stand
idly by while customers in rural areas are unable to depend on their phone
service to always deliver and receive calls. In contrast, the Commission has in
fact issued a Notice of Proposed Rulemaking to more fully understand the causes
and prevalence of rural call completion failures.[14]
Moreover, the Commission’s action has shown that it will defend the fundamental
principle that it is one of the most basic responsibilities of the Commission
to ensure that phone calls go through. It is all the more important that the
Commission take a stand on issues like rural call completion, where carriers
simply do not have the necessary cost incentive to voluntarily ensure that even
rural Americans have a consistently functioning phone service. This leaves it
to the Commission to maintain its jurisdiction over issues like rural call
completion—whether delivered by TDM-based or IP-based services—or risk that
rural customers and other marginalized market segments will simply become
collateral damage to the bottom of lines of the most powerful carriers in the
country.
Moreover,
it is unclear how even Comcast could function smoothly in a completely
deregulated post-transition PSTN. For example, how would Comcast or any other
managed VoIP provider obtain phone numbers if the Commission’s administration
of the North American Numbering Plan is called into question when no more
TDM-based providers exist?[15]
Even Comcast cannot replicate the basic administrative functions that the
industry relies on the Commission to maintain and operate smoothly. If Comcast
got its wish for total deregulation, it is unclear whether even one of the most
powerful telecommunications carriers in the country would find itself satisfied
with the results.
Looking
to the current markets for IP interconnection and cable video service provide
cold comfort to those worrying about the consequences of a completely deregulated
phone network for subscribers. Peering, program access, or program carriage
disputes impose significant inconvenience on consumers who may experience more
latency or temporarily lose access to their video services. But when Comcast
gets into an interconnection dispute with another carrier over basic phone
service, millions of customers will find themselves unable to call 9-1-1,
contact loved ones, or conduct business. The stakes are much higher in the
world of phone service—and far too high to be subject to gamesmanship between
bickering carriers.
The
fact that Comcast is willing to throw total deregulation out as its opening
position in this proceeding is a sobering reminder that these worst-case
scenarios could become very real. Indeed, the fact that Comcast, and Comcast
alone, feels comfortable fighting for itself in a regime completely devoid of
rules is itself a tremendously convincing argument for why rules are needed.
The Commission must fight any inclination to simply adopt Comcast’s or any other
stakeholders’ wish lists outright, and must instead focus on a solid,
principled framework within which to evaluate each proposal on its own merits.
Conclusion
The complexity and diversity of requests
in this docket demonstrate that the Commission must establish certain basic
principles on which to move forward with the PSTN transition. Without a strong framework
to guide the transition, the Commission will only find itself arbitrating
between individual wish lists without any guidance as to what goals to achieve.
Success is not measured by number of regulations eliminated or preserved. The
Commission must resolve to guide and steer the PSTN transition according to
fundamental principles that ensure a functioning, competitive,
consumer-friendly market for phone service.
Respectfully
submitted,
Public Knowledge
February 25,
2013
[1] Public Knowledge is encouraged by signs
that the Commission may adopt just such a framework for the PSTN transition. See Zachary Katz, Policymaking in a Time of Technology Transitions, Official FCC Blog (Feb. 22, 2013),
http://www.fcc.gov/blog/policymaking-time-technology-transitions.
[2] See
Comments of Harris Corporation, Comment
Sought on the Technological Transition of the Nation’s Communications
Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013); Comments of
Telecommunications for the Deaf and Hard of Hearing, Inc. et al., Comment Sought on the Technological
Transition of the Nation’s Communications Infrastructure, GN Docket No.
12-353 (Jan. 28, 2013).
[3] See
Comments of AARP, Comment Sought on the
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353 (Jan. 28, 2013).
[4] Rural
Call Completion, Notice of Proposed Rulemaking, WC Docket No. 13-39 (rel.
Feb. 7, 2013).
[5] See
Comments of Public Knowledge, Comment
Sought on the Technological Transition of the Nation’s Communications
Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013), available at http://apps.fcc.gov/ecfs/comment/view?id=6017160627.
[6] See
Comments of Comcast Corporation, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353, at 2 (Jan. 28, 2013).
[7] See,
e.g., Telecommunication Services
Competitive Position in the United States: IP Transition Looming with
Questions, Fears, Sector Enthusiasm, NARUC Meeting Shows, Warren Communications News, Inc. (Nov.
14, 2012), http://www.reportlinker-news.com/n054455777/IP-Transition-Looming-with-Questions-Fears-Industry-Enthusiasm-NARUC-Meeting-Shows.html.
[8] Comments of TechFreedom: Toward Modern,
Modest Regulation for the IP Transition, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353 (Jan. 28, 2013).
[9] Comments of The Free State Foundation, The Technological Transition of the Nation’s
Communications Infrastructure, GN Docket No. 12-353 (Jan. 28, 2013).
[10] Comments of AT&T, The Technological Transition of the Nation’s
Communications Infrastructure, GN Docket No. 12-353, at 10-11 (Jan. 28, 2013)
(“[T]his experiment will give the Commission the empirical insights it needs to
make informed judgments about what regulations are necessary for the longer
term. And it will enable the Commission to fashion the right regulatory
framework from the ground up . . . .”).
[11] FCC
Chairman Julius Genachowski Announces Formation of ‘Technology Transitions
Policy Task Force’, News Release, at 1 (rel. Dec. 10, 2012), available at
http://transition.fcc.gov/Daily_Releases/Daily_Business/2012/db1210/DOC-317837A1.pdf.
[12] See
Comments of Comcast Corporation, The
Technological Transition of the Nation’s Communications Infrastructure, GN
Docket No. 12-353, at 6 (Jan. 28, 2013).
[13] Contra
id.
[14] Rural
Call Completion, Notice of Proposed Rulemaking, WC Docket No. 13-39 (rel.
Feb. 7, 2013).
[15] 47 U.S.C. § 251(e)(1).
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