Powell outlines FCC deregulation ideas

(Telephony) New Federal Communications Commission Chairman Michael K. Powell could have summed up his first press conference in two words: Hands off.

Powell, a Republican tapped by President George W. Bush last month to head the FCC, articulated his free-market approach toward regulation today during an hour-long meeting with the media at the FCC's Washington headquarters. He spent as much time describing what the FCC won't do as well as what it will.

For example, soaring cable-television rates don't justify reregulation of the industry, according to Powell. Likewise, the recent problems of independent DSL companies won't prompt the FCC to shore up that segment's competition against incumbent carriers. And there's no need to delve much into the "digital divide" debate.

"I'm not a fan of industrial policy," Powell said. "The priorities will flow from operations…and what's brought to us."

At the same time, the new chairman said he would take an active role in trying to speed up the FCC's review of mergers, which many have criticized as too slow, and in restructuring the agency to meet the demands of technological convergence and "Internet time." However, Powell offered no details about his strategies to achieve these goals.

FCC "reform," a topic much loved by some lawmakers in Congress, isn't likely to come soon. "Restructuring is disruptive and has to be the product of a systematic review" involving Congress, federal personnel administrators and labor unions, Powell said.