White House/OSTP Meeting With Tech Execs Focuses on 5G, Other Emerging Tech Issues

The OSTP meeting also provided a lens into the sometimes-fraught relationship between President Donald Trump and the tech sector, as expected (see 1706200017). The relationship has been strained, starting with industry support for Democratic presidential nominee Hillary Clinton last year and more recent battles over Trump administration's immigration policies (see 1612140060, 1612120026 and 1702240037).

The meeting was an opportunity for the White House to “bring together emerging tech innovators with policymakers to talk about how America can maintain its leadership in creating and fostering entirely new technologies,” said Deputy U.S. Chief Technology Officer Michael Kratsios during a conference call with reporters. FCC Chairman Ajit Pai led the 5G-IoT session, as expected (see 1706160056). AT&T CEO Randall Stephenson, Sprint CEO Marcelo Claure and Verizon Executive Vice President John Stratton also attended. Other participants included T-Mobile Chief Operating Officer Mike Sievert and CenturyLink CEO Glen Post, the White House said.

The White House “has been laser focused on removing the government barriers to job growth and prosperity,” Trump said during a portion of the meeting open to reporters. “We want our innovators to dream big.” The U.S. is “on the verge of new technological revolutions,” Trump said.

Pai told reporters the meeting spawned “a very fruitful conversation and I look forward to working with all interested parties in making sure the U.S. retains and extends its leadership role in wireless infrastructure.” Pai said his participation doesn't undermine the FCC role as an independent agency. “We are all sailors with oars in the same boat trying to steer in the right direction,” he said: “There are ways we can collaborate with others” on telecom issues, as was the case when FCC officials met last week with Secretary of Agriculture Sonny Perdue “to figure out what we can do to boost rural prosperity.” Pai praised the White House's “Tech Week” focus in a Thursday opinion piece in the New Hampshire Union Leader.

Trump appeared during the meeting to have shifted his opinion of AT&T, saying Stephenson was doing “really a top job” and noting the telco's ability to transform itself over years of federal regulatory scrutiny. “You started, then it was made different by government and now here you are again,” Trump said. “Most companies would've just disappeared” but “you didn't disappear.” Trump criticized AT&T's planned buy of Time Warner, now under DOJ review (see 1706220053), before the November election (see 1610240053). Trump later jokingly asked Verizon's Stratton, “How are you getting along with AT&T today?”

AT&T believes the Trump administration and Congress' actions in “taking a more moderate approach to regulation, encouraging public-private partnerships and pushing for a more competitive tax rate ... improved the climate for business investment and job creation,” a spokesman said. AT&T already announced plans to create more than 14,000 new jobs in the U.S. via its FirstNet contract and other commitment, and if Trump is “successful in making America’s corporate tax rate competitive with the rest of the world, we would increase our investment in America and create even more U.S. jobs,” the spokesman said.

Verizon's Stratton “had a very productive and forward-looking discussion today with the administration on policy initiatives and new opportunities” in next-generation broadband networks, a spokesman said. “We look forward to continuing these discussions as we collectively work on ways to enhance broadband infrastructure and unleash the full potential of 5G networks and the innovation that will follow.”

Information Technology Industry Council President Dean Garfield told us Wednesday the White House’s outreach to the technology industry this week is a “serious and significant first step.” Real commitments were made to help modernize government services, Garfield said. He believes strains between the tech sector and the White House may have been mended. The tech industry tends to be “more committed to solving problems than to any political party,” Garfield said. “No matter who’s in charge,” the focus is ultimately “on how do we move the country forward.” The turnout at the Tech Week meetings “is just a real commitment to driving solutions,” he said.

Small UAV Coalition Executive Director Michael Drobac told us there was a “level of intensity and degree of inevitability” on drone adoption at the meeting, attended by executives from members AirMap, Kespry, PrecisionHawk and T-Mobile. Those executives cited the need for an expedited process for waivers under Part 107, the recently adopted Federal Aviation Administration regulations that enable widespread drone use, and the need for expanded operations over people and beyond the visual line of sight, Drobac said.

Drone executives were asked what they needed, “and the answer was … we’re going to need some clarity and certainty from the FAA and [Department of Transportation] and that may require, in some instances, regulation,” Drobac said. There's usually a “knee-jerk” negative reaction to regulation but executives told Trump “regulation may be exactly what’s needed to allow for innovation and investment,” Drobac said. The “timing [of the meeting] couldn’t be better,” signaling to Congress this is a priority, he said.