FCC to consider free Internet, cable issues

The Federal Communications Commission will -- tentatively, of course -- consider a controversial spectrum auction plan for free Internet and new rules governing disputes between cable operators and programmers at its December meeting. FCC Chairman Kevin Martin is proposing that the agency auction off some airwaves, with a mandate that 25 percent be set aside for free Internet. To address concerns that finding the financing to build out the spectrum in a tough economic environment would be challenging, the plan includes a provision requiring the winning bidder to meet benchmarks by five years, or have the spectrum reclaimed by the agency. The plan also contains a provision to be voted on by the five-member FCC that any spectrum portion reclaimed be opened up for unlicensed use. The cable rules to be considered come as the FCC arbitrates several disputes between cable companies Time Warner and Comcast, and content providers such as the NFL Network. The disputes involve what tier of service a content provider such as NFL Networks gets on a cable system and whether there is discrimination in that process based on other content the cable operator controls. The proposal would set up a resolution process for such disputes, giving the FCC six months to evaluate the claims and setting legal standards for when a programmer can reasonably claim discrimination by a cable company. Consumers groups lauded that idea.