Edge providers routinely engage in behaviors, like discriminating against content and throttling, that they complain are "destroying the Internet" if done by an ISP, telecom consultant Jonathan Lee blogged Wednesday. He said the argument that ISPs want a cable TV-like internet, with access to collections of sites offered like subscriptions to cable channel packages, lacks explanation of how ISPs could offer such a service or profit from it. The U.S. Court of Appeals for the D.C. Circuit's May en banc decision in USTelecom v. FCC (see 1705010038) said ISPs can offer curated service under Communications Act Title II regulation, but no ISP has gone that route, he said.
After assuring the FCC that changing Part 32 telco accounting rules to let carriers rely exclusively on generally accepted accounting procedures wouldn't lead to higher pole attachment rates, telcos are now saying they made no such guarantees, NCTA said in a docket 14-130 reply posted Tuesday. The filing responded to USTelecom and AT&T oppositions to its petition that the agency revise pole-attachment aspects of its order streamlining price-cap ILEC accounting (see 1707240051). NCTA said no one refuted its contentions of how pole rents can be inflated using GAAP. It said the required implementation rate differential isn't enough of a safeguard against rate increases under a GAAP-based regime. The association said the FCC should continue to provide access to pole cost data through public postings and pre-complaint discovery and require carriers responding to that discovery provide disaggregated pole cost data and not require confidential treatment.
Forty-six organizations and individuals filed comments with NTIA on how to prevent botnets and other automated threats, with many backing more government-industry collaboration (see 1707280030). Google and Alphabet's Nest Labs said they use security practices for their connected devices such as security by design, strong authentication and password practices, encryption, network security, automatic software updates and bug bounty programs. Microsoft described the work its digital crimes unit does with public and private sector partners to disrupt botnet operations and what the company does to improve hardware and software security. The Information Technology Industry Council said new IoT device makers such as startups may not be using best practices for secure device development and other cybersecurity approaches. ITI said barriers to the movement of global data could impede cyberthreat information sharing, citing as problematic 2013 changes to the Wassenaar Arrangement export control rules (see 1702130031). ACT|The App Association said law enforcement plays a vital role in preventing and mitigating attacks, requiring "close coordination" between U.S. and foreign governments and upfront forensic analysis. It said DOJ's position on law enforcement access to data stored abroad isn't aligned with U.S. law and "guaranteed rights" and this undermines the international rule of law, calling for more streamlined processes. NCTA said NTIA should push for a more "holistic approach" to fighting such threats, including application of artificial intelligence and adoption of mutually agreed norms for routing security. USTelecom supports principles for cybersecurity policymaking: private sector leadership and market-driven innovation; a dynamic flexible approach to security; shared responsibility among internet and communications stakeholders, government and consumers; and "active partnership against bad actors, not top-down government requirements."
Telecom companies said a court's Monday affirmation of a 2015 FCC order aimed at equalizing telco and cable pole-attachment rates to spur broadband will help the spread of faster internet connections. It was a loss for utilities and a win for the commission. Monday's 8th U.S. Circuit Court of Appeals decision (see 1707310070) denied a petition for review of the FCC order power companies that own poles. Judge Roger Wollman wrote the decision in Ameren v. FCC (Case 16-1683) for the panel that included judges Diana Murphy and Steven Colloton.
Business data service rules "impose lopsided and burdensome costs" on many rural telcos, said ITTA and USTelecom, defending their petition for an FCC rulemaking to consider allowing rate-of-return RLECs receiving model-based USF support to opt into price-cap BDS relief. "The inflexibility of the regulations preclude such carriers from offering beneficial rates, terms, and conditions to their BDS customers, including institutional customers like schools, universities, and hospitals," said the two ILEC trade groups' reply comments Friday in docket 17-144. The current rules "deter rate-of-return carriers from making the investment necessary to meet the modern communications needs of American businesses and other enterprises," they said. "The toxic mix of burdensome and unnecessary costs, inflexible rules straightjacketing BDS terms of service, and disincentives to broadband investment, often make the costs of traditional rate-of-return regulation exceed the benefits." The groups said there's ample support for the need to "modernize" the rules and "the single opposition lacks support and is misguided." In initial comments, RLEC interests generally backed the petition, Sprint filed opposition and AT&T raised some issues (see 1707070030).
Incumbent telcos objected to cable petition that the FCC revise pole-attachment aspects of an order that streamlined price-cap ILEC accounting by allowing carriers to opt out of Part 32 rules in favor of generally accepted accounting principles (GAAP) (see 1706260040). "Asking the FCC to require price-cap carriers to continue to follow Part 32 for certain things like valuation of assets after a merger defeats the purpose of Part 32 relief," USTelecom commented Friday in docket 14-130. NCTA had argued the order "eliminates procedural and substantive protections" for pole-attachment rates, but the FCC recognized Part 32 accounting rules are "outdated for price cap carriers, and maintaining them is a needless regulatory burden and expense," said the ILEC group, calling the cable proposal "utterly impractical and plainly unwarranted." USTelecom said ILECs developed and the FCC adopted a "fair, comparatively simple, and transparent" GAAP transition plan for calculating pole rates "without disrupting the Commission's pole attachment regime." AT&T said NCTA's argument that pole rates would skyrocket because ILECs shifting to GAAP would over-recover costs ignored FCC safeguards. The carriers are required to either continue to use Part 32 accounting for pole attachment rates or to calculate "an Implementation Rate Difference" between Part 32 and GAAP, and then adjust their GAAP-based pole rates accordingly for 12 years, commented AT&T, which said rates would be "stable for the foreseeable future." The FCC also allowed pole attachers to request pole rate reviews, the telco said.
The tone of the House Communications Subcommittee’s Tuesday FCC oversight hearing is likely to turn on the degree to which Chairman Marsha Blackburn, R-Tenn., and other Republicans focus on Blackburn’s draft FCC reauthorization bill at the expense of other hot-button policy issues, communications sector lobbyists told us. House Democrats are likely to air pent-up grievances about controversial topics, particularly the May NPRM examining 2015 net neutrality rules and reclassification of broadband as a Communications Act Title II service, lobbyists said. Senate Commerce Committee Democrats repeatedly referenced their concerns about a potential rollback of the rules amid a confirmation hearing last week for Chairman Ajit Pai and Commissioner nominees Brendan Carr and Jessica Rosenworcel (see 1707190049). Pai and FCC Commissioners Mignon Clyburn and Mike O’Rielly are to testify at the hearing, which will begin at 10 a.m. in 2123 Rayburn.
A handful of congressional Democrats have publicly bucked their party’s overall resistance to negotiating with the Republican majority on net neutrality legislation, and they are unlikely to bring their colleagues back to the bargaining table soon, lobbyists told us. Top telecom-focused Capitol Hill Democrats, including Senate Commerce Committee ranking member Bill Nelson, D-Fla., and House Commerce Committee ranking member Frank Pallone, D-N.J., have signaled their party’s lack of short-term appetite for legislation amid FCC possible rollback of 2015 net neutrality rules and reclassification of broadband providers as common carriers under Communications Act Title II (see 1707130063). Some meanwhile wonder if the FCC will OK new rules based on Communications Act Section 706 authority (see 1707210040).
U.S. Chief Justice John Roberts gave USTelecom and others a 60-day extension to appeal a lower court's decision upholding the FCC Communications Act Title II net neutrality order. Cert petitions are now due Sept. 28, said a high court notice that Roberts granted the extension in USTelecom v. FCC, No. 17A54. Others on the application were AT&T, CTIA, CenturyLink, NCTA, the American Cable Association, Alamo Broadband, Daniel Berninger, Scott Banister, Charles Giancarlo, Jeff Pulver and TechFreedom. Attorneys expected the extension to be granted; there were more doubts about whether petitioners would seek another extension or could obtain one (see 1707140049).
President Donald Trump's cybersecurity coordinator Rob Joyce called a request from Sen. Ron Wyden, D-Ore., to require governmentwide use of an email authentication tool, a "great idea." Speaking with reporters after a USTelecom event Wednesday, Joyce said use of the Domain-based Message Authentication, Reporting and Conformance (DMARC) standard (see 1703030015) would better secure agency emails against fraudulent impersonation, and it's exemplifies measuring risk within government.