USTA Proposes Legislation to Deregulate Broadband

The United States Telecom Association interim president and CEO Gary Lytle says that the FCC's approval of the AOL-Time Warner merger may be another step toward open access, but it leaves the industry facing a "crazy patchwork of broadband regulation." Regulations will vary depending on where consumers live and whether they choose high-speed access from a cable or telephone company, Lytle says.

AT&T is currently the largest cable operator and the dominant provider of cable broadband access through its ownership of Excite@Home, Lytle says. However, AT&T does not have an enforced requirement to allow consumers to choose their own Internet service provider. AT&T does not provide commercial access to independent Internet service providers, Lytle says. According to the association, federal law requires telephone companies that offer DSL high-speed service to provide access to independent Internet service providers. Telephone companies must make portions of the their facilities available at below-cost prices so their competitors may offer competing services.

In nine western states, cable broadband access is considered telecommunications, and cable companies are required to provide non-discriminatory service to independent Internet service providers, Lytle says. The approved merger reinforces the need for legislation from Congress to prevent problems with the development of Internet-related industries, Lytle says.