USTelecom Chief Wants Legislation to Set National Internet Framework Across All Sectors
USTelecom CEO Jonathan Spalter made his case for congressional internet legislation to protect data privacy and promote openness and innovation across all sectors. "There is only one internet and it deserves a national policy framework," he said Wednesday at The Media Institute, tracking prepared remarks, with tweaks. A national framework is one of five internet "pillars" along with universal connectivity, consistent safeguards, cybersecurity collaboration and a regulatory agency update, he said.
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Spalter praised FCC Chairman Ajit Pai for the "restoring internet freedom" (RIF) order undoing Communications Act Title II broadband regulation but noted some states (see 1806130081) are pushing policies that would "fracture" U.S. policy: "Nothing could be more counter to the collective cause ... than everyone -- no matter how well meaning -- writing their own set of rules for how the global internet should operate in their neck of the woods." Also noting the EU implementing its general data protection regulation, he said, "If we don't lead on policy, we risk our leadership on innovation. The regulatory pingpong in Washington for the past eight years, the Europeans stepping up, the states now stepping in -- all are evidence of what happens when we in Washington abdicate, obfuscate and equivocate. It's no way to run half the economy."
It has been 16 years since Columbia Law School professor Tim Wu coined "net neutrality," Spalter said. "This simple, straightforward and universally embraced notion mutated into an all-out passion play across the U.S. internet ecosystem -- paying no mind to the violent agreement on all sides that ... people have the same fundamental right to free speech in the digital world as they do in the physical world." The RIF order took effect Monday "and the connected, digital world still seems to be spinning on its axis," he said. "I've looked forward to this day when all the rhetorical chips were called on the various doom-and-gloom scenarios fueling all the panic around net neutrality. Internet freedom has been restored, and your net will remain neutral."
Spalter said the question now is: Can parties turn the page and look ahead? "Rather than 'raise a ruckus' about ideals we already embrace, I say it's time collectively to lift our sights. For too long, U.S. innovation policy has been dominated by a hypothetical debate centered around the question: What if something bad happens?" It's time to realize "our interests are fundamentally aligning."
There's good and bad news about universal connectivity: "For the first time this year, a majority of the planet will be connected," but about 3.5 million U.S. households "risk being left behind," Spalter said. "Delivering broadband to rural communities is increasingly costly and complex." He said the U.S. missed "an opportunity with the recent infrastructure efforts," which mostly didn't target broadband: "All that remains is a question of will."
Consistent internet safeguards are needed, Spalter said. Broadband companies have long agreed not to block or throttle traffic, and have long had privacy standards, but "the companies making headlines for privacy missteps or blocking content aren't the ISPs," he said. "Just witness the back-and-forth between Google and Amazon blocking the sale of each other's products, services and even content on their respective platforms." A "fatal flaw" of Title II is it omitted "the most powerful and valuable -- at least in terms of market cap -- players of the digital age," he said. "Consumers and the companies serving them deserve consistent, clear and enforceable online protections" under a national framework, he said.
Spalter said cybersecurity harms aren't hypothetical. "It's time to lock arms for the nation's cybersecurity," he said. "The bad guys ... don't play by the rules. We have zero shot at keeping pace with such a formidable threat if we don't stand together." He said industry players are collaborating on "highly operational and concrete" actions: "Our first project will be to develop a global guide to anti-botnet practices. Next will be to mobilize more effective incident response mechanisms to safeguard the digital economy in the event of a major cyber breach."
"We really need to close the gap between outmoded regulatory constructs and the modern world," Spalter said. "We've built entire industries around the silos of cable and telecom and satellite, wired and wireless, edge and core. As a result, we have a regulatory structure that's in fighting form for the 1990s. ... It's time to think big and different ... about the very architecture of the governing agencies."
During Q&A, Spalter said he's optimistic internet legislation could pass because there's a "growing consensus" the policy shouldn't be divided into silos. Asked about legislative "drivers," he cited industry "balance sheets" and the need for policy certainty to induce investment, which he said can be provided only by statute. He also said lawmakers are realizing privacy concerns are "politically potent." There's a "clear path forward" for legislation that incorporates both open internet and privacy provisions, he said.