The Small Company Coalition supported a petition for...
The Small Company Coalition supported a petition for the FCC to reconsider the model it uses to dole out high-cost universal service support, in comments posted Tuesday (http://bit.ly/ZrFjxu). “The model in its current form is not predictable and any use…
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of regression benchmarks should be solely as triggers for a more in-depth analysis of a carrier’s costs,” wrote the alliance of rural ILECs and broadband providers. They supported a petition for reconsideration filed by the Western Telecommunications Alliance, Eastern Rural Telecom Association and the National Exchange Carrier Association. Limiting the use of the quantile regression analysis benchmarks would reduce the “dramatic uncertainty” the industry has seen about future support, the coalition said. “As prominent American economist Frank Knight noted, there is a difference between ‘risk’ and ‘uncertainty,’ in that the former is predictable to some degree and can therefore be measured, and the latter is unpredictable and therefore cannot be measured. No one is advocating for the elimination of risk, but rather the ability to predictably measure risk and, therefore, plan accordingly,” the coalition said.