Public Knowledge
Small but Powerful: Despite Objections, Small ISPs Need Net Neutrality Too
As we gear up to defend and protect the net neutrality rules, parties on both sides are speaking up. One particular group, small Internet Service Providers, claim that the Federal Communication Commission’s 2015 Open Internet Order has been a death sentence for them, hindering their ability to invest and compete in the market. These small ISPs have taken to advocating against net neutrality rules but there is something missing from their claims: substance.
Usually represented by trade groups like the Competitive Carriers Association, US Telecom Association, and the American Cable Association, to name a few, small ISPs generally serve a customer base in the hundreds or thousands. Compare that to the likes of Comcast, Verizon, Charter, and AT&T, which control 70 percent of the market, with consumer counts in the millions. Given their comparatively small size, these small ISPs don’t believe the net neutrality rules should apply to them. Citing regulatory burdens of complying with the Open Internet Order and the uncertainty of the newly minted rules, they believe the rules put them in a high cost/low benefit situation because they don’t have the same market power or incentive to make deals with edge providers. But these claims are hollow. First, the idea that these companies don't have "market power" is wrong. Additionally, none of the small ISPs or trade associations that represent them actually point to or identify the particular regulations that are oh-so-burdensome to their businesses.
The Truth About Net Neutrality and Infrastructure Investment
It’s essential to the future of network neutrality that we shed some light (and truth) on the baseless arguments being made regarding Title II and broadband investment.
Fact: Internet service providers have no plans to decrease investment in their infrastructure. ISPs have been reporting to investors that investment is up, up, up! Verizon’s CFO, Fancis Shammo, told investors that reclassification to Title II “does not influence the way we invest.” Similarly, Sprint stated that it would “continue to invest in data networks regardless of whether they are regulated by Title II, Section 706, or some other light touch regulatory regime.” In 2016, AT&T reassured their investors that they would “remain one of the largest investors in the United States.” As technologies change and reliance on the internet only continues to strengthen, ISPs know the value in continued investment.
Fact: Investment has actually increased since the adoption of the Open Internet Order.
Fact-Checking ISPs’ Claims of Support for Net Neutrality
The Internet service providers most loudly insisting they support network neutrality - Comcast and Verizon, for example - are the same companies who’ve been behind the most significant legal and political opposition to any net neutrality rules, and the same companies that have been caught time and again pushing the bounds of permissible behavior, or outright violating net neutrality principles. So, let’s give them a quick fact-check and separate the truth from the “fake news,” at least where ISP positions on net neutrality are concerned.
Beyond Net Neutrality: The Importance of Title II for Broadband
Open internet principles were not the only value in classifying broadband under Title II. Like our telephone networks used to be, access to broadband has become necessary for full participation in society. Therefore, Title II classification is critical in protecting our fundamental values of universal service and consumer protection when accessing broadband networks.
While the Federal Communications Commission forebore from applying the majority of Title II to broadband networks, the agency kept a number of provisions in place to ensure consumers have ubiquitous and affordable connectivity, privacy, and other consumer protections when online.
Setting the Record Straight: What the Congressional Review Act Means for the FCC’s Broadband Privacy
One significant threat to the public interest under the new administration that is receiving increased attention is broadband privacy for consumers. The Congressional Review Act (“CRA” for you Washington types), is a little known bill passed in 1996 that allows Congress to completely get rid of rules passed by an federal agency within 60 days of being published in the Federal Register or submitted to Congress, whichever is later. Once Congress uses the CRA on a rule, it is like the rule never existed. In legal speak, the rule has no force or effect...
The practical truth is, if the CRA is passed, consumers will be left with no one to enforce their privacy rights. Congress should be in the business of protecting consumers, not eliminating protections, especially given the recent news showing the technological advances in monitoring Americans and the importance of data security rules to strong cybersecurity protections. It’s time for Congressional leaders to reassure Americans that their sensitive, personal information will be properly protected. The FCC broadband privacy rules were a strong step in that direction. They should not be repealed, and if they are, at a minimum Congressional leaders should be clear about how they will be legally replaced without weakening protections.
Public Knowledge Responds to NYC Complaint Alleging Verizon Breached Deployment Promise
The allegations that Verizon has failed to build out to nearly a million New York City households it is obligated to serve are troubling. Although new broadband deployments are costly and time intensive, broadband providers have a responsibility to comply with their franchise agreements. Moreover, it is imperative that modernization of the nation’s telecommunications infrastructure provide an upgrade for all.
While there is disagreement between New York City and Verizon regarding whether the company has met its deployment commitments, this dispute highlights the ongoing need for policymakers to clearly define what they mean when describing the availability of broadband service. There is widespread bipartisan support for promoting broadband deployment to unserved and underserved areas in any federal infrastructure legislation. Lawmakers should ensure that households and multi-dwelling unit buildings are actually able to subscribe to broadband services that are ‘available’ to them, and that ‘availability' includes service options that are affordable for even low-income consumers. It would be easier to achieve this affordability if, for instance, landlords didn’t prohibit the installation of competing service provider equipment in residences due to contracts with existing service providers. This practice harms consumers and competition by driving up costs and needlessly delaying the technology transitions.
The Gender Gap Persists Online
In International Women’s Day we reflect on the need for continuous work with the goal of achieving equal rights and opportunities for women. This year at Public Knowledge, we want to focus in the digital gap and call for the private and public sector to act decisively to close it.
Public Knowledge Files Opposition for Reconsideration to Save Broadband Privacy Rules for Consumers
Public Knowledge, joined by Benton Foundation and the Center for Digital Democracy, filed an Opposition to Petitions for Reconsideration of the Federal Communications Commission’s Broadband Privacy Order adopted in 2016. We seek to preserve elements of the Order that enable Americans to control both how their data is collected and how that data gets used, including a requirement that internet service providers should take “reasonable measures” to secure broadband subscribers’ data.
Dallas Harris, Policy Fellow at Public Knowledge, said, “Despite the exploding vulnerability consumers feel as today’s digital marketplace virtually forces them to expose their most private personal data online, both internet providers and advertising agencies petitioned the Commission to return us to a time when Americans had much less control over how their information is collected and used. There’s no denying that consumers need more control over their data, not less, which is why we oppose those petitions that asked the Commission to abandon its successful efforts to protect our privacy online.”
Public Knowledge: Infrastructure Plan Should Improve Broadband Availability & Affordability
Today, Public Knowledge sent a letter to the Senate Commerce Committee Chairman John Thune (R-SD) and Ranking Member Bill Nelson (D-FL) urging Congress take steps to close the digital divide by promoting investments in broadband deployment and competitive, affordable broadband choices for consumers.
Chris Lewis said, “It is time for policy makers to get serious about solutions to close the digital divide and invest in connecting families to basic, affordable communications services. Consolidation and the status quo have failed to deliver the promise of broadband to all Americans. Congress must prioritize smart infrastructure policies that bring competitive choices, affordable connectivity, and economic opportunity to us all.”