· 8 years ago · Dec 14, 2017, 06:50 PM
1THE FOURTH ITEM ON YOUR
2AGENDA WILL BE PRESENTED BY THE
3WIRELINE COMPETITION BUREAU AND
4IS ENTITLED RESTORING INTERNET
5FREEDOM.
6 KRIS MONTEITH,
7 BUREAU CHIEF, WIRELINE
8 COMPETITION BUREAU
9WILL GIVE THE INTRODUCTION.
10>>CHAIRMAN PAI: WHENEVER YOU'RE
11READY, THE FLOOR IS YOURS.
12>> I THINK IT IS STILL GOOD
13MORNING SO GOOD MORNING CHAIRMAN
14AND COMMISSIONERS.
15THE WIRELINE COMPETITION BUREAU
16PRESENTS FOR YOUR CONSIDERATION
17A DECLARATORY RULING REPORT AND
18ORDER AND ORDER ON RESTORING
19INTERNET FREEDOM.
20THE ITEM WOULD ELIMINATE
21BURDENSOME REGULATIONS THAT
22STIFLE INNOVATION AS THE FIRST
23INVESTMENT AND EMPOWER AMERICANS
24TO CHOOSE THE BROADBAND INTERNET
25ACCESS SERVICE THAT BEST FITS
26THEIR NEED.
27I WOULD LIKE TO THANK THE
28COMPETITION POLICY DIVISION TEAM
29FOR THEIR AMAZING WORK ON THIS
30PROCEEDING.
31WE ALSO RECEIVED INVALUABLE
32INPUT FROM OUR COLLEAGUES IN THE.
33SEATED AT THE TABLE WITH ME FROM
34THE WIRELINE COMPETITION BUREAU
35 ASSISTANT DIVISION CHIEF,
36 COMPETITION POLICY DIVISION,
37 DEBORAH SALONS,
38 ATTORNEY ADVISOR, COMPETITION
39 POLICY DIVISION.
40JOINING ME AT THE TABLE FROM THE
41WIRELESS TELECOMMUNICATIONS
42BUREAU ARE
43 DONALD STOCKDALE,
44 BUREAU CHIEF, WIRELESS
45 TELECOMMUNICATIONS BUREAU,
46 NESE GUENDELSBERGER,
47 DEPUTY BUREAU CHIEF, WIRELESS
48 TELECOMMUNICATIONS BUREAU,
49 JERRY ELLIG,
50 CHIEF ECONOMIST, OFFICE OF
51 STRATEGIC PLANNING, SEVERAL
52ACTIONS TO RESTORE INTERNET
53FREEDOM.
54FIRST, THE DECLARATORY RULING
55RESTORES BROADBAND INTERNET
56ACCESS SERVICE TO TITLE I
57INFORMATION SERVICE
58CLASSIFICATION.
59THE ITEM FINDS THAT
60RECLASSIFICATION AS ITEM ENDS
61HEAVY-HANDED UTILITY STYLE
62REGULATION OF THE INTERNET IN
63FAVOR OF OF MOBILE
64BROADBAND INTERNET ACCESS
65SERVICE AND RETURNS TO THE
66COMMISSION'S DEFINITION OF
67INTERCONNECTED SERVICE THAT
68EXISTED PRIOR TO ANTITRUST LAWS.
69IT ALSO CLARIFIES THE EFFECTS OF
70THE RETURN TO AN INFORMATION
71SERVICE CLASSIFICATION AND OTHER
72REGULATORY FRAMEWORKS INCLUDING
73THE NEED TO APPLY A UNIFORM
74FEDERAL REGULATORY APPROACH TO
75INTERSTATE INFORMATION SERVICES
76LIKE BROADBAND INTERNET ACCESS
77SERVICE.
78NEXT THE REPORT AND ORDER ADOPTS
79A TRANSPARENCY WORLD THAT WOULD
80REQUIRE YOUR INTERNET SERVICE
81PROVIDERS TO DISCLOSE
82INFORMATION ABOUT THEIR
83PRACTICES TO CONSUMERS
84ENTREPRENEURS AND SMALL
85BUSINESSES AND THE COMMISSION.
86HE RETURNS TO THE TRANSPARENCY
87ROSE THE COMMISSION ADOPTED IN
882010 WITH CERTAIN IMPROVEMENTS
89TO PROMOTE ADDITIONAL
90TRANSPARENCY.
91THE REPORT AND ORDER ALSO
92ELIMINATES THE CONDUCT RULES
93BASED ON THE EVIDENCE IT FINDS
94THAT THE RULES ARE UNNECESSARY
95BECAUSE THE TRANSPARENCY
96
97REQUIREMENTS TOGETHER WITH
98ANTITRUST AND CONSUMER
99PROTECTION LAWS ENSURES THAT
100INTERNET SERVICE PROVIDERS
101ENGAGING IN BEHAVIOR
102INCONSISTENT WITH AN OPEN
103INTERNET CAN BE HELD
104ACCOUNTABLE.
105THE ACTIONS TAKEN IN THIS ITEM
106WILL ADVANCE THE COMMISSION'S
107CRITICAL WORK TO PROMOTE
108BROADBAND DEPLOYMENT IN RURAL
109AMERICA AND INFRASTRUCTURE
110INVESTMENT THROUGHOUT THE
111NATION.
112BRIGHTENING THE FUTURE OF
113INNOVATION BOTH WITHIN THAT WORK
114AND AT THEIR EDGE AND MOVE
115CLOSER TO THE GOAL OF
116ELIMINATING THE DIGITAL DIVIDE.
117THE BUREAU RECOMMENDS ADOPTION
118OF THIS DECLARATORY RULING,
119REPORT AND ORDER AND ORDER AND
120REQUEST EDITORIAL PRIVILEGES
121EXTENDING ONLY TO TECHNICAL AND
122CONFORMING EDITS.
123THANK YOU.
124>>CHAIRMAN PAI: THANK YOU FOR
125THE PRESENTATION.
126WE NOW TURN TO COMMENTS FROM THE
127BENCH BEGINNING WITH
128COMMISSIONER CLYBURN.
129>>COMMISSIONER CLYBURN: THANK
130YOU.
131BEFORE BEGINNING MY STATEMENT I
132WOULD LIKE TO NOTE THAT
133CONGRESSMAN JERRY MCNERNEY, A
134MEMBER OF THE CONGRESSIONAL
135COMMITTEE THAT HAS OVERSIGHT
136OVER THIS AGENCY REQUESTED THE
137OPPORTUNITY TO SPEAK TODAY.
138HE WAS DENIED, BUT I HAVE A COPY
139OF A STATEMENT THAT THE
140
141CONGRESSMAN WOULD HAVE DELIVERED
142HAD HE BEEN GIVEN THE
143OPPORTUNITY
144HARMING, CORPORATE ENABLING,
145DESTROYING INTERNET FREEDOM
146ORDER.
147I DISSENT BECAUSE I AM AMONG THE
148MILLIONS OUTRAGED, OUTRAGED
149BECAUSE THE FCC PULLS ITS OWN
150TEETH ADVOCATING RESPONSIBILITY
151TO PROTECT THE NATIONS BROADBAND
152CONSUMERS.
153SOME MAY ASK WHY ARE WE
154WITNESSING PLAINLY
155SEE THAT A SOON TO BE TOOTHLESS
156FCC IS HANDING THE KEYS TO THE
157INTERNET
158PROFITS AND SHAREHOLDERS RETURNS
159ABOVE WHAT IS BEST FOR YOU DUTIES AND
160RESPONSIBILITIES TO MAKE
161AVAILABLE SO FAR AS POSSIBLE TO
162ALL THE PEOPLE OF THE UNITED
163STATES WITHOUT DISCRIMINATION, A
164RAPID, EFFICIENT, NATIONWIDE AND
165WORLDWIDE WIRED AND RADIO
166COMMUNICATION SERVICE WITH
167ADEQUATE FACILITIES AND
168REASONABLE CHARGES.
169TODAY THE FCC MAJORITY IS ABOUT
170TO OFFICIALLY ABANDON THAT
171PLEDGE AND MILLIONS ARE WATCHING
172AND TAKING NOTE.
173I DO NOT BELIEVE THAT THERE ARE
174ANY FCC OR CONGRESSIONAL OFFICES
175IMMUNE TO THE DELUGE OF CONSUMER
176OUTCRIES.
177WE ARE EVEN HEARING ABOUT STATE
178AND LOCAL OFFICES FIELDING CALLS
179AND ONE IS NEWSWORTHY THAT AT
180LAST COUNT AND I THINK THE
181NUMBERS RISING, FIVE REPUBLICAN
182MEMBERS OF CONGRESS WENT ON THE
183RECORD IN CALLING FOR A HALT TO
184TODAY'S VOTE.
185WHY SUCH A BIPARTISAN OUTCRY?
186BECAUSE THE LARGE MAJORITY OF
187AMERICANS ARE IN FAVOR OF
188KEEPING STRONG NET NEUTRALITY
189RULES IN PLACE.
190BUT THE SADDEST PART TO ME ABOUT
191ALL OF.
192A NORM WHERE THE MAJORITY
193IGNORES THE WILL OF THE PEOPLE.
194A NORM WHERE THE MAJORITY STANDS
195IDLY BY WHILE THE PEOPLE THEY
196ARE COMMITTED TO SERVE, THAT
197THEY'VE TAKEN AN OATH TO SERVE,
198ARE ABOUT TO LOSE SO MUCH.
199WE HAVE HEARD STORY AFTER STORY
200ABOUT WHAT NET NEUTRALITY MEANS
201TO CONSUMERS AND SMALL
202BUSINESSES FROM PLACES AS
203DIVERSE AS LOS ANGELES SKID ROW
204TO MARIETTA OHIO.
205I HAVE HERE LETTERS THAT JUST
206WERE SENT TO ME THAT PLEAD WITH
207THE FCC TO KEEP OUR NET
208NEUTRALITY RULES IN PLACE.
209BUT WHAT IS STRIKING, AND IN
210KEEPING WITH THE NEW NORM, IS
211THAT DESPITE THE MILLIONS OF
212COMMENTS, LETTERS, AND CALLS
213RECEIVED, THIS ORDER NOT EVEN
214ONE.
215THAT SPEAKS VOLUMES ABOUT THE
216DIRECTION THE CURRENT MAJORITY
217IS HEADING.
218THIS FCC IS HEADING.
219AND THAT SPEAKS VOLUMES ABOUT
220JUST WHO IS BEING HEARD AT THE
221FCC.
222SOLE PROPRIETORS WHOSE ENTIRE
223BUSINESS MODELS DEPEND ON AN
224OPEN INTERNET ARE WORRIED THAT
225THE ABSENCE OF CLEAR AND
226ENFORCEABLE NET NEUTRALITY
227PROTECTIONS WILL RESULT IN
228HIGHER COSTS AND FEWER BENEFITS
229BECAUSE YOU SEE, THEY ARE NOT
230ABLE TO PAY THOSE PREMIUM ACCESS
231FEES.
232LARGE ONLINE BUSINESSES HAVE
233ALSO WEIGHED IN EXPRESSING
234CONCERNS ABOUT BEING SUBJECT TO
235ADDED CHARGES AS THEY SIMPLY TRY
236TO REACH THEIR OWN CUSTOMERS.
237ENGINEERS HAVE SUBMITTED
238COMMENTS INCLUDING PROVIDER BECOMES THE
239ARBITER OF ACCEPTABLE ONLINE
240BUSINESS MODELS AND YET I HAVE
241HEARD FROM CONSUMERS WHO ARE
242WORRIED GIVEN THAT THERE
243BROADBAND PROVIDERS HAVE ALREADY
244SHOWN THAT THEY WILL CHARGE
245INSCRUTABLE BELOW THE LINE FEES,
246RAISE PRICES UNEXPECTEDLY, AND
247PUT CONSUMERS ON HOLD FOR HOURS
248AT A TIME, WHO WILL HAVE THEIR
249BEST INTEREST AT HEART IN A
250WORLD WITHOUT CLEAR AND
251ENFORCEABLE RULES OVERSEEN BY AN
252AGENCY WITHOUT ANY CLEAR
253AUTHORITY?
254WITH THAT AGENCY BE A TWO LIST
255FCC?
256THERE IS A DARKER SIDE TO ALL OF
257THIS THAT WE HAVE WITNESSED OVER
258THE PAST TWO WEEKS.
259THREATS AND INTIMIDATION,
260PERSONAL ATTACKS, RUSSIAN
261INFLUENCE, STATE COMMENTS.
262THESE ARE UNACCEPTABLE.
263SOME OF THESE ACTIONS ARE
264ILLEGAL.
265THEY ARE ALL TO BE REJECTED.
266BUT WHAT IS ALSO NOT ACCEPTABLE
267IS THE FCC'S REFUSAL TO
268COOPERATE WITH THE STATE
269ATTORNEY GENERAL INVESTIGATION
270OR ALLOW EVIDENCE IN THE RECORD
271THAT WOULD UNDERCUT WHAT CAN
272ONLY BE DESCRIBED AS A
273PREORDAINED OUTCOME.
274MANY HAVE BEEN ASKING ME, WHAT
275HAPPENS NEXT?
276HOW WILL ALL OF THIS NET
277NEUTRALITY COME UP MY INTERNET
278EXPERIENCE LOOK AFTER TODAY'S
279DECISION?
280MY ANSWER IS A SIMPLE ONE.
281WHEN A CHESHIRE CAT VERSION OF
282NET NEUTRALITY.
283WE WILL BE IN A WORLD WHERE
284REGULATORY SUBSTANCE FADES TO
285BLACK AND ALL THAT IS LEFT IS A
286BROADBAND PROVIDERS TOOTHY GRIN,
287THEY HAVE TEETH, HOWEVER, YOU
288SAY THAT.
289AND THOSE OLD COMFORTING WORDS,
290WE HAVE EVERY INCENTIVE, DON'T
291WORRY.
292WE HAVE EVERY INCENTIVE TO DO
293THE RIGHT THING.
294BUT WHAT THEY WILL SOON HAVE IS
295EVERY INCENTIVE TO DO THEIR OWN
296THING.
297THE RESULTS OF THROWING OUT NET
298NEUTRALITY PROTECTIONS MAY NOT
299BE FELT, RIGHT AWAY.
300MOST FOLKS WILL GET UP TOMORROW
301MORNING, GET READY FOR WORK AND
302OVER THE NEXT WEEK, WADE THROUGH
303WHAT WOULD BE HUNDREDS OF
304HEADLINES.
305WE WILL GROW TIRED OF THOSE
306HUNDREDS OF HEADLINES AND GROW
307TIRED OF HEARING FROM ENDLESS
308PROGNOSTICATORS AND QUICKLY
309EMERGE OURSELVES INTO A SEA OF
310HOLIDAY BLISS.
311BUT WHAT WE HAVE BROUGHT TODAY
312WILL ONE DAY BE A PARENT AND BY
313THEN, WHEN YOU REALLY WAKE UP
314AND SEE WHAT HAS CHANGED, I FEAR
315IT MAY BE TOO LATE TO DO
316ANYTHING ABOUT IT BECAUSE THERE
317WILL BE NO AGENCY EMPOWERED TO
318ADDRESS YOUR CONCERNS.
319THIS ITEM ENSURES THAT THE FCC
320WILL NEVER BE ABLE TO FULLY
321GRASP THE HARM IT MAY HAVE
322UNLEASHED ON THE INTERNET
323ECOSYSTEM.
324AND THAT INABILITY MIGHT LEAD
325DECISION-MAKERS TO CONCLUDE THAT
326THE NEXT INTERNET STARTUP THAT
327FAILS TO FLOURISH, THAT
328ATTEMPTED TO SEEK RELIEF BY
329WHATEVER AUTHORITY MAY OR MAY
330NOT BE IN CHARGE, WITH HOW MANY
331TEETH THEY MIGHT HAVE LEFT,
332SIMPLY THAT MAYBE THEY HAD A BAD
333BUSINESS PLAN WHEN IN FACT,, THE
334ACTUAL CORPORATE WOULD BE
335ABSENCE OF A LEVEL PLAYING FIELD
336ONLINE.
337PARTICULARLY DAMNING AS WHAT
338TODAY'S REPEAL WOULD MEAN FOR
339MARGINALIZED GROUPS LIKE
340COMMUNITIES OF COLOR THAT RELY
341ON PLATFORMS LIKE THE INTERNET
342TO COMMUNICATE.
343TRADITIONAL OUTLETS RARELY IF
344EVER CONSIDER THE ISSUES OR
345CONCERNS OR THEIR COVERAGE.
346IT WAS THROUGH SOCIAL MEDIA,
347REMEMBER, THAT THE WORLD FIRST
348HEARD ABOUT FERGUSON MISSOURI
349BECAUSE THOSE LEGACY OUTLETS DID
350NOT CONSIDER THEM WORTHY ENOUGH
351FOR COVERAGE UNTIL THAT HASHTAG
352STARTED TRENDING.
353IT HAS BEEN THROUGH ONLINE VIDEO
354SERVICES THAT TARGETED
355ENTERTAINMENT ECOSYSTEMS THRIVE
356WHERE STORIES ARE FINALLY BEING
357TOLD BECAUSE THOSE VERY SAME
358PROGRAMS THAT WERE SUBMITTED FOR
359CONSIDERATION WERE REJECTED TIME
360AND TIME AGAIN BY MAINSTREAM
361MEDIA AND DISTRIBUTION --
362MAINSTREAM DISTRIBUTION AND
363MEDIA OUTLETS.
364AND IT HAS BEEN THROUGH SECURE
365MESSAGING PLATFORMS WHERE
366ACTIVISTS HAVE COMMUNICATED AND
367ORGANIZED FOR JUSTICE WITH
368GATEKEEPERS WHO MAY OR MAY NOT
369HAVE DIFFERING OPINIONS.
370WHERE WILL THE NEXT SIGNIFICANT
371ATTACK ON INTERNET FREEDOM COME
372FROM?
373MAYBE A BROADBAND PROVIDER
374ALLOWING HIS NETWORK TO CONTRAST
375MAKING A HIGH TRAFFIC VIDEO
376PROVIDER ASK WHAT MORE CAN IT
377PAY TO MAKE THAT PAIN GO AWAY?
378THAT WILL NEVER HAPPEN YOU SAY.
379NEWS FLASH, IT ALREADY HAS.
380THE DIFFERENCE NOW IS THE OPEN
381QUESTION OF WHAT IS STOPPING
382THEM.
383THE DIFFERENCE AFTER TODAY'S
384VOTE IS THAT NO ONE WILL BE ABLE
385TO STOP THEM.
386MAYBE SEVERAL PROVIDERS WILL
387VIOLENTLY ROLL OUT PAY
388PRIORITIZATION PACKAGES THAT
389WILL ENABLE DEEP-POCKETED
390PLAYERS TO CUT THE CUBE.
391MAYBE A VERTICALLY INTEGRATED
392BROADBAND PROVIDER DECIDES THAT
393IT WILL FAVOR ITS OWN ACT ON
394SERVICES OR SOME HIGH VALUE
395INTERNET OF THINGS TRAFFIC WILL
396BE SUBJECT TO AN ADDITIONAL FEE.
397MAYBE SOME OF THESE ACTIONS WILL
398BE CLOAKED UNDER NONDISCLOSURE
399AGREEMENTS AND WRAPPED UP IN
400MANDATORY ARBITRATION CLAUSES SO
401IT WILL BE A BREACH OF CONTRACT
402TO DISCLOSE THESE PUBLICLY OR
403TAKE THE PROVIDER TO COURT IF
404THERE IS ANY WRONGDOING.
405SOME MAY SAY OF COURSE THIS WILL
406NEVER HAPPEN BUT AFTER TODAY'S
407VOTE, WHAT WILL BE IN PLACE TO
408STOP ANY OF THIS?
409WHAT WE DO KNOW IS THAT
410BROADBAND PROVIDERS DID NOT EVEN
411WAIT FOR THE INK TO DRY ON A
412PROPOSED ORDER BEFORE MAKING
413THEIR MOVES.
414ONE BROADBAND PROVIDER WHO HAD
415IN THE PAST PROMISED TO NOT
416ENGAGE IN PAY PRIORITIZATION IS
417NOW QUIETLY DROPPING THAT
418PROMISE FROM THIS LIST OF
419COMMITMENTS ON ITS WEBSITE.
420WHAT IS NEXT JUST WHO WILL BE IMPACTED
421THE MOST?
422CONSUMERS AND SMALL BUSINESSES,
423THAT'S WHO.
424THE INTERNET CONTINUES TO EVOLVE
425AND HAS BECOME EVEN MORE
426CRITICAL FOR EVERY PARTICIPANT
427IN OUR 21ST CENTURY ECOSYSTEM,
428GOVERNMENT SERVICES HAVE
429MIGRATED ONLINE AS HAVE
430EDUCATIONAL OPPORTUNITIES, JOB
431NOTICES AND APPLICATIONS BUT AT
432THE SAME TIME BROADBAND
433PROVIDERS HAVE CONTINUED TO
434CONSOLIDATE, THEY HAVE BECOME
435IN OTHER TYPES OF COMPETING
436SERVICES SO WHY ARE WHAT
437IT MEANS WHEN SOMEBODY SAYS
438TITLE TWO AUTHORITY, WHAT THEY
439KNOW IS THAT THEY WILL BE AT
440RISK WITHOUT IT.
441I'VE BEEN ASKING MYSELF
442REPEATEDLY WHY THE MAJORITY IS
443SO SINGLE FOCUSED ON OVERTURNING
444THESE WILDLY POPULAR RULES.
445IS IT SIMPLY THEY FELT THAT THE
4462015 NET NEUTRALITY ORDER WOULD
447THROW OUT OVER 700 RULES WOULD
448DISPENSE WITH MORE THAN 25
449PROVISIONS WAS TOO HEAVY-HANDED?
450IS THIS A PLOY TO CREATE A NEED
451FOR LEGISLATION WHERE THERE WAS
452NONE BEFORE OR IS IT TO
453ESTABLISH UNCERTAINTY WHERE
454LITTLE PREVIOUSLY EXISTED?
455IS IT A TACTIC TO UNDERMINE THE
456NET NEUTRALITY PROTECTIONS
457ADOPTED IN 2015 THAT ARE
458CURRENTLY PART OF THE SUPREME
459COURT?
460YOU KNOW, THE VERY SAME RULES
461THAT WERE RESOUNDINGLY UPHELD BY
462THE DC CIRCUIT LAST YEAR.
463NO DOUBT WE WILL SEE A RUSH TO
464THE COURTHOUSE ASKING THE
465SUPREME COURT TO VACATE AND
466REMAND THE SUBSTANTIVE RULES
467THAT WE HAVE FOUGHT SO HARD FOR
468OVER THE PAST FEW YEARS BECAUSE
469TODAY THE FCC USES LEGALLY
470SUSPECT MEANS TO CLEAR THE DECK
471OF SUBSTANTIAL PROTECTIONS FOR
472CONSUMERS AND COMPETITION.
473IT IS ABUNDANTLY CLEAR WHY WE
474SEE SO MUCH BAD PROCESS WITH
475THIS ITEM BECAUSE THE FIX WAS
476ALREADY RHETORIC THAT
477THERE HAVE BEEN NO REAL
478COMPLAINTS OR NO REAL
479VIOLATIONS.
480RECORD EVIDENCE OF MASSIVE
481INCENTIVES AND ABILITIES OF
482BROADBAND PROVIDERS TO ACT IN
483ANTICOMPETITIVE WAYS ARE MISSING
484FROM THE DOCKET.
485WHY?
486BECAUSE THOSE IN CHARGE HAVE
487REFUSED TO USE THE DATA AND
488ACKNOWLEDGE THAT THE AGENCY DOES
489HAVE AND HAVE RELIED ON IN THE
490PAST TO INFORM OUR MERGER
491REVIEWS.
492THE MAJORITY HAS SHOWN TIME AND
493TIME AGAIN THE ABUSE OF
494INDIVIDUALS DO NOT MATTER.
495INCLUDING ABUSE OF THOSE WHO
496CARE DEEPLY ABOUT THE SUBSTANCE.
497BUT MAY NOT BE WASHINGTON
498INSIDERS.
499THERE IS A BASIC FALLACY
500UNDERLYING THE MAJORITY'S ACTION
501AND RHETORIC TODAY, THE
502ASSUMPTIONS OF WHAT IS BEST FOR
503BROADBAND PROVIDERS IS OBVIOUSLY
504WHAT IS BEST FOR AMERICA.
505CLAIMS ABOUT ON SHACKLING
506BROADBAND SERVICES FROM
507UNNECESSARY REGULATION ARE ONLY
508ABOUT ENSURING THAT BROADBAND
509INTERNET SERVICE PROVIDERS HAVE
510AND MAINTAIN THE KEYS TO THE
511INTERNET.
512ASSERTIONS THAT THIS IS MERELY A
513RETURN TO SOME IMAGINARY STATUS
514QUO CANNOT HIDE THE FACT THAT
515THIS IS THE VERY FIRST TIME THAT
516THE FEDERAL COMMUNICATIONS
517COMMISSION HAS DISAVOWED
518SUBSTANTIAL PROTECTIONS FOR
519CONSUMERS ONLINE.
520AND WITH THE CURRENT 2015 NET
521NEUTRALITY RULES ARE LAID TO
522WASTE, WE MAY BE LEFT WITH NO
523SINGLE AUTHORITY WITH THE POWER
524TO PROTECT CONSUMERS.
525NOW THIS ORDER LOUDLY CROWS
526ABOUT HANDING OVER AUTHORITY OF
527BROADBAND TO THE FEDERAL TRADE
528COMMISSION BUT WHAT IS ABSENT
529FROM THE ORDER AND GLOSSED OVER
530IN A HAPHAZARDLY ISSUED OF A
531MEMORANDUM OF UNDERSTANDING OR
532MOU IS THAT THE FCC IS AN AGENCY
533WITH NO, NO, NONE, NADA,
534TECHNICAL EXPERTISE AND
535TELECOMMUNICATION.
536THE FCC IS AN AGENCY THAT MAY OR
537MAY NOT EVEN HAVE AUTHORITY OVER
538BROADBAND PROVIDERS IN THE FIRST
539INSTANCE.
540THE FTC IS AN AGENCY THAT IF YOU
541CAN EVEN REACH A VERY HIGH BAR
542OF PROVING UNFAIR OR DECEPTIVE
543PRACTICES AND THAT THERE IS
544SUBSTANTIAL CONSUMER INJURY, IT
545MAY TAKE YEARS UPON YEARS FOR
546ANY REMEDY TO BE LEVIED AND MOST
547COMPANIES DON'T HAVE YEARS AND
548YEARS TO WAIT FOR AN ANSWER.
549BUT DON'T JUST TAKE MY WORD FOR
550IT.
551EVEN ONE OF THE FCC'S OWN
552COMMISSIONERS HAS ARTICULATED
553THESE VERY CONCERNS AND IF YOU
554ARE WONDERING WHY THE FCC IS
555PREEMPTING STATE CONSUMER
556PROTECTION LAWS IN THIS ITEM
557WITHOUT NOTICE, LET ME HELP YOU
558WITH THESE SIMPLE JINGLE THAT
559YOU CAN EASILY COMMIT TO MEMORY
560THAT WILL UNDERSCORE ALL OF
561THIS.
562IF IT BENEFITS INDUSTRY,
563PREEMPTION IS GOOD.
564IF IT BENEFITS CONSUMERS,
565PREEMPTION IS BAD.
566RECLASSIFICATION OF BROADBAND
567WOULD DO MORE THAN WREAK HAVOC
568OVER NET NEUTRALITY, IT WILL
569ALSO UNDERMINE OUR UNIVERSAL
570SERVICE CONSTRUCT FOR YEARS TO
571COME.
572SOMETHING, WHICH THE ORDER
573IMPLICITLY ACKNOWLEDGES.
574IT WILL UNDERMINE THE LIFELINE
575PROGRAM.
576IT WILL WEAKEN OUR ABILITY TO
577SUPPORT ROBUST BROADBAND
578INFRASTRUCTURE DEPLOYMENT AND
579WHAT WE WILL SOON FIND OUT IS
580WHAT A BROADBAND MARKET
581UNENCUMBERED BY ROBUST COMMUNITY
582-- CONSUMER PROTECTIONS WILL
583LOOK LIKE.
584I SUSPECT THAT IT WILL NOT BE
585VERY PRETTY.
586I KNOW THAT THERE ARE MANY
587QUESTIONS ON THE MINDS OF
588AMERICANS RIGHT NOW INCLUDING
589WHAT THE REPEAL OF NET
590NEUTRALITY WILL MEAN FOR THEM.
591TO HELP UNDERSTAND OR TO ANSWER
592OR TO ADDRESS OUTSTANDING
593QUESTIONS SADDENS
594ME THE MOST TODAY IS THAT THE
595AGENCY THAT IS SUPPOSED TO
596PROTECT YOU IS ACTUALLY
597ABANDONING YOU.
598BUT WHAT I AM PLEASED TO BE ABLE
599TO SAY TODAY IS THAT THE FIGHT
600TO SAVE NET NEUTRALITY DOES NOT
601END TODAY.
602THE AGENCY DOES NOT HAVE THE
603FINAL WORD.
604THANK GOODNESS FOR THAT.
605AND AS I CLOSE MY EULOGY OF THE
6062015 NET NEUTRALITY RULES,
607CAREFULLY CRAFTED RULES THAT
608ACTUALLY STRUCK AN APPROPRIATE
609BALANCE IN PROVIDING CONSUMER
610PROTECTIONS AND ENABLING
611OPPORTUNITIES AND INVESTMENT, I
612ACTUALLY TAKE WHAT I WILL CALL
613IRONIC COMFORT IN THE WORDS OF
614THEN COMMISSIONER PAI BACK IN
6152015 BECAUSE I BELIEVE THIS WILL
616RING TRUE ABOUT THIS DESTROYING
617INTERNET FREEDOM ORDER.
618I AM OPTIMISTIC HE SAID THAT WE
619WILL LOOK BACK ON TODAY'S VOTE
620AS AN ABERRATION, A TEMPORARY
621DEVIATION FROM THE BIPARTISAN
622PATH THAT HAS SERVED US SO WELL.
623I DON'T KNOW WHETHER THIS PLAN
624WILL BE VACATED BY A COURT,
625REVERSED BY CONGRESS OR
626OVERTURNED BY A FUTURE
627COMMISSION BUT I DO BELIEVE THAT
628IT DAYS ARE NUMBERED.
629AMEN TO THAT MR. CHAIRMAN.
630AMEN TO THAT.
631THANK YOU.
632>>CHAIRMAN PAI: THANK YOU,
633COMMISSIONER CLYBURN.
634I WILL MARK YOU DOWN AS A NO.
635[LAUGHING]
636COMMISSIONER O'RIELLY.
637>>COMMISSIONER O'RIELLY: TO THE
638MAIN EVENT.
639I WILL HAVE A LONGER STATEMENT
640IF THAT'S BELIEVABLE SINCE IT'S
641LONG IN AND OF ITSELF.
642THE ORDER BEFORE US REPRESENTS
643THE CULMINATION OF EXTENSIVE
644WORK BY AGENCY STAFF TO
645CAREFULLY CONSIDER WHETHER NET
646NEUTRALITY RULES ARE TRULY
647WARRANTED, THOROUGHLY REVIEWING
648THE LEGAL UNDERPINNING, ECONOMIC
649ANALYSIS AND PRACTICAL EFFECTS
650AS DEBATED EXTENSIVELY AND
651EXHAUSTIVELY IN THE RECORD OF
652THIS PROCEEDING.
653I AGREE WITH THE DECISION AND
654SUPPORT SUCH A WELL REASONED AND
655SOUNDLY JUSTIFIED ORDER.
656WHILE I HAVE LONG-STANDING VIEWS
657ON THIS TOPIC I APPROACH THE
658PROCEEDING WITH AN OPEN MIND.
659I'VE READ THESE SUBSTANTIVE
660COMMENTS WITH INTEREST AND WITH
661ANYONE, I COULD, NO MATTER HOW
662OR WHAT THEIR PARTICULAR
663VIEWPOINTS.
664IN THE END I'M SIMPLY NOT
665PERSUADED THAT HEAVY-HANDED
666RULES ARE NEEDED TO PROTECT
667AGAINST HYPOTHETICAL HARM.
668IN ALL THIS TIME I HAVE YET TO
669HEAR RECENT UNQUESTIONED
670EVIDENCE OF DEMONSTRABLE HARM TO
671CONSUMERS THAT DEMAND PROVIDERS
672BE CONSTRAINED THAT FROM EXPERIENCE.
673THE INTERNET HAS FUNCTION
674WITHOUT NET NEUTRALITY RULES FAR
675LONGER THAN WITH THEM.
676NOBODY CAN NAME MORE THAN A
677HANDFUL OF EXAMPLES THAT
678OCCURRED OVER THE COURSE OF AN
679ENTIRE DECADE PRIOR AND THAT
680WILL READILY DEALT WITH WHETHER
681ACTUAL VIOLATIONS ARE NOT.
682THE LEGEND OF A CABLE COMPANY
683TRYING TO BREAK THE INTERNET
684MAKES SCARY BEDTIME STORIES FOR
685CHILDREN OF CELLCOM GEEKS BUT IT
686IS NOT REALITY.
687SO FOR THOSE OF YOU OUT THERE
688THAT ARE FEARFUL WHAT TOMORROW
689MAY BRING, PLEASE TAKE A DEEP
690BREATH.
691THIS DECISION WILL NOT BREAK THE
692INTERNET.
693WHAT WE ARE DOING IS REVERTING WE DETERMINED
694THE DECISION WAS FLAWED.
695WE BELIEVE THE STATUTORY
696INTERPRETATION AND COURSE OF
697ACTION IS A BETTER ONE AND OUR
698DECISION IS GROUNDED IN AND
699SUPPORTED BY THE RECORD.
700THE TEXT HAS BEEN PUBLICLY
701AVAILABLE FOR OVER THREE WEEKS
702AND THE STAFF HAS SUMMARIZED FOR
703US TODAY SO THERE IS NO NEED FOR
704ME TO STEP THROUGH THE POLICIES
705AND REASONING AGAIN IN DETAIL.
706INSTEAD I WILL HIGHLIGHT A FEW
707KEY PARTS AND ADDRESS SOME OF
708THE FALSE ARGUMENTS AND
709MISCONCEPTIONS REGARDING THE
710SUBSTANCE AND PROCESS.
711REPEALING NET NEUTRALITY RULES
712GRABBED HEADLINES, REVERSING THE
713CLASSIFICATION OF BROADBAND
714INTERNET ACCESS SERVICES
715ENTITLED TO TELECOMMUNICATION
716SERVICES IS FAR MORE
717CONSEQUENTIAL.
718NET NEUTRALITY STARTED AS A
719CONSUMER ISSUE, BUT SOON BECAME
720A STEPPING STONE TO IMPOSED
721VASTLY MORE ONEROUS COMMON
722CARRIER REGULATION ON BROADBAND
723COMPANIES.
724EVEN THE PREVIOUS CHAIRMAN
725INITIALLY ATTEMPTED TO REINSTATE
726THE NET NEUTRALITY RULES ON
727WORTLEY LOOK -- LIMITED LEGAL
728AUTHORITIES AND COMPANIES WOULD
729HAVE ACCEPT THE COMPROMISE AND
730LIVED WITH NET NEUTRALITY RULES
731AS LONG AS THE COMMISSION DID
732NOT IMPOSE TITLE II.
733THANKS TO ONE INFAMOUS YOUTUBE
734VIDEO POSTED BY THE PRIOR
735ADMINISTRATION THE SO-CALLED
736INDEPENDENT AGENCY COULD BE
737RAILROADED INTO TREATING ISPS
738LIKE PUBLIC UTILITIES INSTEAD.
739AS DISCUSSED AT LENGTH IN THE
740ORDER AND THE DISSENT OF
741CHAIRMAN PAI AND MYSELF WROTE IN
742RESPONSE TO THE 2015 ORDER THERE
743WERE FUNDAMENTAL LEGAL PROBLEMS
744AND FACTUAL ERRORS UNDERLYING
745THAT DECISION TO TREAT FIXED AND
746MOBILE BROADBAND SERVICES AND
747TELECOMMUNICATIONS SERVICES.
748ADDITIONALLY THAT DECISION
749OPENED THE STRUCTURE COMPANIES
750CONTINUE TO FACE UNCERTAINTY
751THAT BUSINESS DECISIONS,
752COMMERCIAL NEGOTIATIONS, SERVICE
753OFFERINGS AND PRICE DECISIONS
754WOULD BE SCRUTINIZED BY THE
755DECISION.
756I BELIEVE THIS IS A LEGITIMATE
757CONCERN WELL-FOUNDED AND HAD
758THERE NOT BEEN A CHANGE IN
759ADMINISTRATION THE AGENCY WOULD
760HAVE PROCEEDED FURTHER DOWN THE
761PATH AT DEMONSTRATING A ZERO
762WAITING WITCHHUNT.
763THE DECISION TO REINSTATE THE
764CLASSIFICATION OF FIXED AND
765MOBILE BROADBAND INTERNET ACCESS
766SERVICE AS INFORMATION SERVICE
767UNDER SECTION THREE AND RESTATE
768THE CLASSIFICATION OF MOBILE
769BROADBAND TO PROVIDE THE MOBILE
770SERVICE UNDER SECTION 332
771ELIMINATES THESE CONCERNS AND
772RESTORES A BIPARTISAN APPROACH
773TO BROADBAND SERVICES.
774UNDER THIS FRAMEWORK THE FCC
775ASSERTS JURISDICTION OVER
776BROADBAND INTERNET ACCESS
777SERVICE AND INTERSTATE
778INFORMATION SERVICE BUT APPLIES
779REGULATION ONLY TO THE EXTENT
780WARRANTED TO ADDRESS SPECIFIC
781CONCRETE CONCERNS.
782WITH THE ELIMINATION OF TITLE II
783THERE IS NO REMAINING LEGAL
784BASIS FOR THE NET NEUTRALITY
785BRIGHT LINE RULES AND CONDUCT
786STANDARD SO WE MUST REPEAL THEM.
787IN MANY PROCEEDINGS BEFORE THE
788AGENCY TO QUESTION THE NEED FOR
789RULES THAT IMPOSE COSTS BUT
790DON'T SOLVE REAL PROBLEMS SO THE
791REMOVAL IS APPROPRIATE AND
792NECESSARY.
793IT IS NOT NECESSARILY THE END OF
794THE STORY HOWEVER.
795CONGRESS MAY ENACT LEGISLATION
796PROVIDING NEW RULES AND THE
797LEGAL AUTHORITY TO SUPPORT THAT
798I FIRMLY BELIEVE THAT WILL BE A
799BETTER COURSE AND THE ONLY WAY
800TO GIVE FINALITY TO THIS ISSUE.
801I HUMBLY SUGGEST HOWEVER THAT
802THE GENERAL CONDUCT STANDARD
803REMAINS IN THE ACTION.
804THIS POLICY GAVE THE COMMISSION
805ENFORCEMENT BUREAU UNFOUNDED
806POWER TO MAKE UP THE RULES AS IT
807WENT ALONG, A FRIGHTENING
808PROSPECT.
809BUSINESSES COULD FIND THEMSELVES
810SUBJECT TO INVESTIGATION WITHOUT
811ANY PRIOR CONFUSION.
812IT WAS THE HEIGHT OF REGULATORY
813CAPRICIOUSNESS AND SHOULD NEVER
814BE RESURRECTED.
815SIMILARLY I AM HOPEFUL THAT IF
816THE CONGRESS DOES GO DOWN THIS
817PATH IT WILL SEE MERIT IN
818REJECTING THE BAND ON PAY
819PRIORITIZATION.
820CLEARLY OUR CASE TODAY AND MANY
821MORE THAT WILL DEVELOP IN TIME
822IN WHICH THE OPTION OF A PAID
823PRIORITIZATION OFFERING WOULD BE
824A NECESSITY BASED ON EITHER
825TECHNOLOGY OR NEEDS OF CONSUMER
826WELFARE.
827I FOR ONE SEE GREAT VALUE IN THE
828PRIORITIZATION OF TELEMEDICINE
829AND AUTONOMOUS CARD TECHNOLOGY
830OVER CAT VIDEOS.
831SPEAKING OF AUTONOMOUS CARS, WE
832MUST ENSURE THAT WIRELESS
833PROVIDERS CAN MANAGE THEIR
834SYSTEMS.
835WIRELESS NETWORKS HAVE CAPACITY
836CONSTRAINTS BASED ON THE PHYSICS
837OF THE SPECTRUM THEY USE.
838GENERALLY WIRELESS USE IS
839BOOMING AND MORE AND MORE
840AMERICANS ARE USING WIRELESS
841NETWORKS TO ASSESS THE INTERNET
842BUT THIS IS JUST THE BEGINNING.
843CONSIDER THAT EACH CAR, VEHICLE
844IS PREDICTED TO GENERATE AN
845ADDITIONAL FOUR TERABYTES OF
846DATA PER DAY MUCH OF WHICH WILL
847BE CARRIED BY WIRELESS NETWORKS.
848IT'S HARD TO IMAGINE THAT SOME
849PRIORITIZATION OF TRAFFIC WILL
850NOT BE NECESSARY TO FURTHER
851UNDERMINING ATTEMPTS TO BAND AT
852SUCH PRACTICES.
853ALTHOUGH THE ORDER IN ELIMINATES
854THE BRIGHT LINE RULES AND
855GENERAL CONDUCT STANDARDS IT
856LEAVES A VERSION OF THE
857TRANSPARENCY REQUIREMENTS IN
858PLACE AND THE REQUIREMENTS ARE
859MORE EXTENSIVE THAN THOSE FIRST
860ADOPTED IN 2010.
861I REMAIN SKEPTICAL OF THE LEGAL
862AUTHORITIES OR THE VALUE GIVEN
863THE FCC'S AUTHORITY AND WITHOUT
864A MECHANISM.
865IF A BUSINESS FAILS TO DISCLOSE
866RELEVANT INFORMATION OR DIVERSE
867THAN WHAT IS DESCRIBED IT WILL
868BE SUBJECT TO THE INVESTIGATION
869AND ENFORCEMENT OUTLINED IN THE
870RECENT FCC FTC MEMORANDUM OF
871UNDERSTANDING, BUT I SINCERELY
872DOUBT THAT LEGITIMATE BUSINESSES
873ARE WILLING TO SUBJECT
874THEMSELVES TO A PR NIGHTMARE FOR
875BLOCKING, THROTTLING OR IMPROPER
876DISCRIMINATION.
877IT'S NOT WORTH THE REPUTATIONAL
878COST AND POTENTIAL LOSS OF
879BUSINESS.
880WE HAVE TO ACCEPT THE DECISION
881TO RELY ON THE AUTHORITY FOR THE
882TRANSPARENCY REQUIREMENT, I DO
883NOT BELIEVE THAT THE PROVISIONS
884OF TITLE THREE CITED IN THE
885CIRCULATED VISION OF THE ORDER
886SHOULD BE INVOKED.
887I AM RELIEVED A ROBUST PREEMPTION ANALYSIS
888INCLUDED.
889THE ORDER MAKES PLAIN THAT
890BROADBAND WILL BE SUBJECT TO
891UNIFORMED NATIONAL FRAMEWORK
892THAT PROMOTES INVESTMENT IN
893INNOVATION.
894IT'S EMINENTLY REASONABLE
895COMPLETELY CONSISTENT WITH THE
896CONSTITUTION'S COMMERCE CLAUSE. CARRY
897CAN GO ACROSS STATE LINES.
898IT WILL HAVE DRAMATIC AND
899DRASTIC RESULTS WHERE POSSIBLE
900FOR SUCH COMMUNICATIONS
901PRIORITIZE IN ONE STATE AND NOT
902ANOTHER.
903THE HODGEPODGE OF STATE ROLES
904COULD SEVERELY CURTAIL NOT ONLY
905THE NEXT GENERATION OF WIRELESS
906SYSTEMS THAT WE HAVE BEEN
907WORKING SO HARD TO PROMOTE, BUT
908ALSO THE TECHNOLOGIES THAT RELY
909ON THE NETWORKS IN THE FUTURE.
910ACCORDINGLY ANY LAWS OR
911REGULATIONS THAT CONFLICT WITH
912OR UNDERMINED THE FEDERAL
913BROADBAND POLICIES ARE
914PREEMPTED.
915GIVEN MY DRUTHERS I WOULD
916ACTUALLY HAVE GONE FURTHER ON
917PREEMPTION BUT I CAN ONLY CARRY
918THE DEBATE SO FAR TODAY.
919IT'S NOT A NEW OR NOVEL
920POSITION.
9212015 ORDER ALSO ANNOUNCED A FIRM
922INTENTION TO EXERCISE A
923PREEMPTION AUTHORITY TO PRECLUDE
924STATES FROM IMPOSING OBLIGATIONS
925ON BROADBAND SERVICE
926INCONSISTENT WITH THE CAREFULLY
927REGULATORY SCHEME.
928THE RULES WE ADOPT TODAY ARE
929OBVIOUSLY DIFFERENT THAN THE
9302015 ORDER THE CONCEPT WE WILL
931PREEMPT INCONSISTENCY AND LOCAL
932REQUIREMENTS IS WELL
933ESTABLISHED.
934ALTHOUGH THE ORDER DOES
935ACKNOWLEDGE EXTREMELY LIMITED
936STATE RULE IN ENFORCING THE
937POLICE POWERS STATE ACTIONS THAT
938GO BEYOND THIS RAMP WILL BE
939SUBJECT TO SCRUTINY AND
940CHALLENGE.
941THE ORDER MAKES IT CLEAR THAT
942ANY REQUIREMENT AKIN TO COMMON
943CARRIER REGULATION ARE BARRED
944AND MY REQUEST THE ORDER ALSO
945SPECIFIES THAT STATES MAY NOT
946ADOPT TRANSPARENCY REQUIREMENTS
947WHETHER LABELED AS SUCH ARE
948UNDER THE GUISE OF CONSUMER
949PROTECTION.
950I WOULD ALSO BE OF STATE
951BROADBAND PRIVACY ACTIONS
952OUTSIDE THE SCOPE OF WHAT IS
953PERMISSIBLE.
954THE PURPOSE OF THIS ORDER IS TO
955RESTORE A LIGHT TOUCH APPROACH
956TO DEREGULATION.
957THEREFORE, ANY ACTION TO
958INCREASE THE REGULATORY BURDEN
959ON BROADBAND PROVIDERS WOULD RUN
960DIRECTLY COUNTER TO OUR EFFORTS.
961I HOPE THAT MOST STATES AND
962LOCALITIES WOULD NOT WASTE TIME
963AND RESOURCES ATTEMPTING TO PUSH
964THE BOUNDARIES BUT I REALIZE
965SOME WILL DO SO REGARDLESS.
966I EXPECT THE AGENCY TO BE
967VIGILANT IN IDENTIFYING AND
968PURSUING THESE CASES.
969I ALSO COMMIT TO WORK CLOSELY
970WITH THE CHAIRMAN AND THE
971GENERAL COUNSEL TO QUASH ANY
972CONFLICTS THAT ARISE.
973BEFORE CONCLUDING I WANT TO
974ADDRESS THE ATMOSPHERE
975SURROUNDING THE PROCESS OF THE
976PROCEEDINGS.
977I'LL START WITH THE NUMBER AND
978IDENTITY OF THE COMMENTS
979SUBMITTED.
980SOME WOULD LIKE TO HAVE US
981BELIEVE THAT THE COMMENT PROCESS
982HAS BEEN IRREPARABLY TAINTED BY
983THE LARGE NUMBER OF FAKE
984COMMENTS.
985THAT VIEW REFLECTS A LACK OF
986UNDERSTANDING OF WHAT THE
987ADMINISTRATIVE PROCEDURE ACT.
988THE AGENCY IS REQUIRED TO
989CONSIDER AND RESPOND TO
990SIGNIFICANT COMMENTS IN THE
991RECORD.
992MILLIONS OF COMMENTS THAT SAY
993SOMETHING ALONG THE LINES OF KEY
994NET NEUTRALITY OR OTHER COLORFUL
995LANGUAGE CAN'T SAY IN PUBLIC
996INCLUDING A COUPLE THAT REFERRED
997TO ME AS A POTATO.
998[LAUGHING]
999[OFF MIC]
1000SAY THAT I LOOK LIKE A POTATO.
1001SORRY.
1002-- MEANT IT IN A GOOD WAY.
1003>>COMMISSIONER O'RIELLY:
1004WHETHER OR NOT THEY ARE
1005SUBMITTED BY REAL PEOPLE OR
1006HONEY BADGER HAVE NO IMPACT ON
1007THE DECISION IN THE ORDER MAKES
1008CLEAR WE DO NOT RELY ON ANY SUCH
1009COMMENTS.
1010TO BE CLEAR IT DOES NOT MEAN
1011COMMENTS WERE IGNORED.
1012I COMMEND STAFF FOR THE EXTRA
1013EFFORT THEY HAD TO
1014TO ALL THE SIGNIFICANT COMMENTS
1015INCLUDING THOSE THAT TOOK A
1016DIFFERENT POSITION.
1017ADDITIONALLY I DISAGREE WITH THE
1018SUGGESTION THE COMMISSION SHOULD
1019HAVE HELD PUBLIC HEARINGS.
1020ANY MEMBER OF THE PUBLIC THAT
1021WANTED TO EXPRESS A VIEW COULD
1022HAVE DONE THROUGH SO THE COMMENT
1023PROCESS AND MANY, MANY MANY DAD.
1024PUBLIC HEARINGS MAY BRING ABOUT
1025SOME ADDITIONAL PEOPLE IN
1026PARTICULAR LOCATIONS BUT IS
1027INEFFICIENT FOR REACHING LARGE
1028NUMBERS OF INTERESTED PARTIES
1029AROUND THE COUNTRY.
1030FINALLY, I SEE NO MERIT IN THE
1031SUGGESTION THE AGENCY SHOULD
1032HAVE DELAYED THE VOTE UNTIL
1033AFTER THE NINTH CIRCUIT ISSUES A
1034DECISION FOR THE FTC VERSUS AT&T
1035MOBILITY.
1036THE PANEL DECISION RAISE SOME
1037QUESTIONS ABOUT THE FCC'S
1038JURISDICTION IT WAS WIDELY
1039VIEWED WITH SKEPTICISM.
1040MOREOVER THE COURT ORDER
1041GRANTING THE PANEL DECISION
1042RENDERED IT ILLEGAL THEREFORE,
1043THE FCC IS NOT PRECLUDED FROM
1044ENFORCING ISP NET NEUTRALITY
1045COMMITMENTS.
1046IN SHORT THERE IS NO BASIS FOR
1047DELAYED.
1048I COMMEND THE CHAIRMAN AND HIS
1049TEAM FOR HARD-WORKING AND
1050DILIGENT STAFF FOR THEIR
1051ENORMOUS EFFORT TO PRODUCE AN
1052ORDER OF THIS QUALITY AND
1053SIGNIFICANT.
1054I'M SURE THE TASK REQUIRES LONG
1055DAYS SINCE MUCH TIME SPENT AWAY
1056FROM FAMILY AND FRIENDS AND I
1057HOPE YOU CAN REST AND RECONNECT
1058OVER THE HOLIDAY SEASON.
1059IT'S VERY DESERVED AND YOU HAVE
1060MY FULL RESPECT AND PROFOUND
1061APPRECIATION FOR YOUR WORK.
1062I VOTE TO APPROVE.
1063>>CHAIRMAN PAI: THANK YOU,
1064COMMISSIONER.
1065COMMISSIONER CARR.
1066>>COMMISSIONER CARR: THIS IS A
1067GREAT DAY FOR CONSUMERS,
1068INNOVATION, FREEDOM.
1069FOR REVERSING THE OBAMA ERA FCC
1070UNPRECEDENTED DECISIONS TO APPLY
1071TITLE TWO REGULATIONS TO THE
1072INTERNET.
1073I AM PROUD WITH HEAVY-HANDED
1074REGULATION AND MASSIVE
1075REGULATORY OVERREACH.
1076PRIOR TO THE FCC 2015 DECISION
1077CONSUMERS AND INNOVATORS ALIKE
1078BENEFITED FROM A FREE AND OPEN
1079INTERNET.
1080THIS IS NOT BECAUSE THE
1081GOVERNMENT IMPOSED UTILITY STYLE
1082REGULATIONS, NOT BECAUSE THE FCC
1083HAD A RULE REGULATING INTERNET
1084CONDUCT.
1085INSTEAD THE REPUBLICAN AND
1086DEMOCRATIC ADMINISTRATIONS ALIKE
1087INCLUDING THROUGH THE FIRST SIX
1088YEARS OF THE OBAMA
1089ADMINISTRATION, THE FCC ABIDED
1090BY TWENTY-YEAR BIPARTISAN
1091CONSENSUS THAT THE GOVERNMENT
1092SHOULD NOT CONTROL OR HEAVILY
1093REGULATE INTERNET ACCESS.
1094THE INTERNET FLOURISHED UNDER
1095THIS FRAMEWORK.
1096THE PRIVATE SECTOR INVESTED OVER
10971.5 TRILLION IN BROADBAND
1098NETWORKS, CONSUMERS WERE
1099PROTECTED AND ENJOYED THE
1100FREEDOM TO ACCESS THE WEBSITES
1101AND CONSTANT OF THEIR CHOOSING.
1102EVERY PART OF THE INTERNET
1103ECONOMY BENEFITED.
1104FROM INNOVATORS ON THE EDGE TO
1105STARTUPS AND BUSINESSES OF EVERY
1106SIZE.
1107TITLE II DID NOT BUILD THAT.
1108TITLE II DID NOT CREATE THE OPEN
1109INTERNET.
1110AND TITLE II IS NOT THE WAY TO
1111MAINTAIN ITS.
1112THE FCC'S LIGHT REGULATORY TOUCH
1113COUPLED WITH THE ROBUST CONSUMER
1114PROTECTIONS WE RESTORED TODAY
1115SUPPORTED OUR COUNTRY'S
1116EXTRAORDINARY INTERNET SUCCESS
1117STORY.
1118AFTER A TWO-YEAR DETOUR, ONE
1119THAT HAS SEEN INVESTMENTS
1120DECLINE, BROADBAND DEPLOYMENT
1121PUT ON HOLD, AN INNOVATIVE NEW
1122OFFERINGS SHELVED, IT IS GREAT
1123TO SEE THE FCC RETURNING TO THIS
1124PROVEN REGULATORY APPROACH.
1125THERE IS NO DOUBT THAT THE
1126DEBATE OVER INTERNET REGULATION
1127HAS GENERATED SIGNIFICANT PUBLIC
1128ATTENTION, AS IT SHOULD.
1129I FOR ONE HAVE LEARNED SOME
1130COLORFUL NEW TERMS AND PHRASES
1131THROUGH THE COURSE OF THIS
1132PROCEEDING AND MUCH OF THIS IS
1133NO SURPRISE.
1134AMERICANS CHERISH THE FREE AND
1135OPEN INTERNET.
1136WHEN IT COMES TO THIS PROCEEDING
1137FAR TOO MANY ARE SIMPLY FANNING
1138THE FALSE FLAMES OF FEAR.
1139THE APOCALYPTIC RHETORIC IS
1140QUITE SOMETHING EVEN BY
1141WASHINGTON STANDARDS.
1142THE FCC IS NOT ENDING THE
1143INTERNET OR AS PRESIDENT OBAMA'S
1144FIRST FEDERAL TRADE COMMISSION
1145CHAIRMAN PUT IT AT THE SKY IS
1146NOT FALLING, CONSUMERS WILL
1147REMAIN PROTECTED AND THE
1148INTERNET WILL FLOURISH.
1149WHAT WE ARE DOING WITH TODAY'S
1150VOTE IS REVERSING A TWO-YEAR-OLD
1151DECISION INTO RETURNING TO A
1152TRIED AND TRUED REGULATORY
1153FRAMEWORK ONE WE KNOW FROM OUR
1154OWN EXPERIENCE WORKS FOR
1155CONSUMERS AND FOR INNOVATION.
1156MANY OF THE MYTHS OUT THERE GO
1157TO WHAT I CALL THE GREAT TITLE
1158II HAD FAKED.
1159WHICH IS ATTRIBUTE INTO TITLE II
1160THINKS THAT IT SIMPLY DOES NOT
1161DO.
1162SOME CLAIM FOR INSTANCE, THAT
1163TITLE II IS PREVENTING ISPS FROM
1164SELLING BUNDLED OR CURATED PLANS
1165THAT OFFER ACCESS TO ONLY A
1166PORTION OF THE INTERNET.
1167NOT TRUE"
1168SOME CLAIM THAT TITLE II IS
1169PREVENTING ISPS FROM BLOCKING
1170THROTTLING OR ENGAGED IN PRIVATE
1171-- PAID PRIORITIZATION.
1172ALSO NOT TRUE.
1173THE DC CIRCUIT SAID TITLE II
1174ALLOWS ISPS TO, "BLOCK WEBSITES
1175AND THROTTLE APPLICATIONS CHOSEN
1176BY ISPS AND TO FILTER CONTENT IN
1177THE FAST LANE SINCE LOW LINES
1178BASED ON ISPS COMMERCIAL
1179INTEREST PROVIDED THAT THEY
1180DISCLOSE THOSE PRACTICES" .
1181IN OTHER WORDS, TITLE II IS NOT
1182THE THIN LINE BETWEEN WHERE WE
1183ARE RIGHT NOW AND SOME MAD MAX
1184VERSION OF THE INTERNET.
1185THERE ARE REASONS THAT CONSUMERS
1186ENJOYED A FREE AND OPEN INTERNET
1187LONG BEFORE TITLE II.
1188THERE ARE REASONS WHY CONSUMERS
1189ARE FREE TO ACCESS ANY WEBSITE
1190OR ONLINE CONTENT OF THEIR
1191CHOOSING AND THOSE REASONS WILL
1192CONTINUE TO HOLD TRUE LONG AFTER
1193OUR TITLE II EXPERIMENT AND
1194TODAY.
1195WHAT ARE THEY?
1196THE DC CIRCUIT HAS OFFERED ITS
1197VIEW.
1198WHEN IT OBSERVED TITLE II ALLOWS
1199ISPS TO OFFERED FILTERED
1200INTERNET ACCESS AT SAID NONE
1201WERE DOING SO BECAUSE WHAT IT
1202SAID IS FEAR OF SUBSCRIBER LOSS.
1203IN OTHER WORDS, MARKET FORCES.
1204NOT THE TITLE II RULES ARE
1205REGULATING THIS CONDUCT.
1206THERE ARE SOME THAT WILL NEVER
1207ACCEPT MARKET FORCES AS A
1208SOLUTION EITHER IN THE BROADBAND
1209MARKETPLACE OR OTHERWISE.
1210BUT FOR THEM TODAY'S ORDER HAS
1211MORE GOOD NEWS.
1212WE ARE NOT RELYING ON MARKET
1213FORCES ALONE, WE ARE NOT GIVING
1214ISPS FREE REIGN TO DICTATE YOUR
1215ONLINE EXPERIENCE, OUR DECISION
1216TODAY INCLUDES POWERFUL LEGAL
1217CHECKS, FIRST AMERICANS WILL
1218ENJOYED ROBUST ONLINE
1219PROTECTIONS.
1220WHEN THE FCC CLASSIFIED
1221BROADBAND AS A TITLE II SERVICE
1222IN 2015, IT DIVESTED THE FEDERAL
1223TRADE COMMISSION OF 100 PERCENT
1224OF ITS CONSUMER PROTECTION
1225AUTHORITY OVER ISPS INCLUDING
1226ITS ABILITY TO POLICE ISPS THAT
1227ENGAGE IN UNFAIR OR DECEPTIVE
1228PRACTICES.
1229REPEALING TITLE II WILL RESTORE
1230IMPORTANT PROTECTIONS FOR
1231INTERNET OPENNESS.
1232SECOND, CONSUMERS WILL REGAIN
1233STRONG ONLINE PRIVACY
1234PROTECTIONS.
1235BEFORE THE FCC STRIPPED IT OF
1236JURISDICTION THE FTC THE
1237NATION'S MOST EXPERIENCED
1238PRIVACY ENFORCEMENT AGENCY
1239BROUGHT OVER 500 PRIVACY
1240ENFORCEMENT ACTIONS INCLUDING
1241AGAINST ISPS.
1242BY REVERSING TITLE II, CONSUMERS
1243GET THOSE PRIVACY PROTECTIONS
1244BACK.
1245THIRD, FEDERAL ANTITRUST LAW
1246WILL PROTECT AGAINST
1247DISCRIMINATORY CONDUCT BY ISPS.
1248AS A FORMER OBAMA ADMINISTRATION
1249FTC CHAIRMAN RECENTLY SAID THIS
1250IS A FORMIDABLE HAMMER AGAINST
1251ANYONE WHO WOULD HARMFULLY
1252BLOCK, THROTTLE OR PRIORITIZE
1253TRAFFIC.
1254FOURTH, STATE CONSUMER
1255PROTECTION LAWS WILL APPLY AND
1256STATE ATTORNEY GENERAL'S CAN
1257BRING ACTION AGAINST ISPS.
1258THESE AUTHORITIES PROVIDE
1259ANOTHER STRONG SET OF LEGAL
1260PROTECTIONS AGAINST UNFAIR
1261BUSINESS PRACTICES BY ISPS.
1262IN SHORT, THIS IS NO FREE FOR
1263ALL.
1264THIS IS NO THUNDERDOME.
1265THE FCC IS NOT KILLING THE
1266INTERNET.
1267WHILE OF I'VE SPENT MOST OF MY
1268TIME TODAY TALKING ABOUT A
1269POLICY DEBATE SURROUNDING TITLE
1270II THERE'S ALSO A THRESHOLD
1271LEGAL QUESTION THE COMMISSION
1272MUST ANSWER DOES INTERNET ACCESS
1273SERVICE QUALIFY AS TITLE I OR
1274TITLE II TELECOMMUNICATION
1275SERVICE?
1276THANKFULLY I DON'T NEED TO GO
1277BEYOND WHAT WAS SET ON THIS
1278POINT.
1279AFTER ALL IN 2005 THE SUPREME
1280COURT EXPRESSLY FOUND THAT THE
1281FCC HAS AUTHORITY TO CLASSIFY
1282INTERNET ACCESS SERVICE AS A
1283TITLE I SERVICE.
1284THIS REMAINS THE ONLY
1285CLASSIFICATION LEFT BY THE
1286SUPREME COURT.
1287SO OUR DECISION TODAY RESTS ON
1288SOUND LEGAL FOOTING.
1289IN CLOSING, I WANT TO LOOK BACK
1290AT TWO YEARS AGO 2151 MORE TIME.
1291IN OCTOBER OF THAT YEAR, LONG
1292BEFORE I BECAME A COMMISSIONER,
1293I GAVE A SPEECH WHERE I TALKED
1294ABOUT THE FCC RECENT TITLE II
1295DECISION.
1296I ENDED THAT SPEECH WAS SAYING
1297THIS, "I'M OPTIMISTIC THE U.S.
1298WILL RETURN TO THE SUCCESSFUL
1299LIGHT TOUCH APPROACH TO THE
1300INTERNET THAT SPURRED MASS OF
1301INVESTMENT IN BROADBAND
1302INFRASTRUCTURE.
1303EFFORTS ARE UNDERWAY IN THE
1304COURTS AND CONGRESS TO REVERSE
1305THE FCC'S DECISION.
1306AND FOLLOWING NEXT YEAR'S
1307PRESIDENTIAL ELECTION THE
1308COMPOSITION OF THE FCC COULD BE
1309SUBSTANTIALLY DIFFERENT THAN IT
1310IS TODAY.
1311"
1312TWO YEARS AGO I DID NOT IMAGINE
1313I WOULD BE PART OF THE FCC'S NEW
1314COMPETITION -- COMPOSITION BUT
1315I'M VERY GRATEFUL FOR THIS
1316OPPORTUNITY TO SERVE.
1317I'M GRATEFUL THAT MY OPTIMISM
1318THAT BEEN -- BACK THEN HAS
1319PROVEN TO BE WELL-FOUNDED.
1320I'M GLAD TO CAST MY VOTE TODAY
1321IN FAVOR OF INTERNET FREEDOM.
1322THANKS.
1323>>CHAIRMAN PAI: THANK YOU,
1324COMMISSIONER.
1325COMMISSIONER ROSENWORCEL.
1326>>COMMISSIONER ROSENWORCEL:
1327OKAY ... NET NEUTRALITY IS
1328INTERNET FREEDOM.
1329I SUPPORT THAT FREEDOM.
1330I JUST SENT FROM THIS RASH
1331DECISION TO ROLL BACK NET
1332NEUTRALITY RULES.
1333I DISSENT FROM THE CORRUPT
1334PROCESS THAT HAS BROUGHT US TO
1335THIS POINT AND I DISSENT FROM
1336THE CONTEMPT THIS AGENCY HAS
1337SHOWN OUR CITIZENS IN PURSUING
1338THIS PATH TODAY.
1339THIS DECISION PUTS THE FEDERAL
1340COMMUNICATIONS COMMISSION ON THE
1341WRONG SIDE OF HISTORY, THE WRONG
1342SIDE OF THE LAW, AND THE WRONG
1343SIDE OF THE AMERICAN PUBLIC.
1344THE FUTURE OF THE INTERNET IS
1345THE FUTURE OF EVERYTHING.
1346THAT IS BECAUSE THERE IS NOTHING
1347IN OUR COMMERCIAL, SOCIAL OR
1348CIVIC LIVES THAT HAVE BEEN
1349UNTOUCHED BY AN INFLUENCE OR
1350UNMOVED BY ITS POWER.
1351AND HERE IN THE UNITED STATES,
1352OUR INTERNET ECONOMY IS THE ENVY
1353OF THE WORLD.
1354THIS IS BECAUSE IT RESTS ON A
1355FOUNDATION OF OPENNESS.
1356THAT OPENNESS IS REVOLUTIONARY.
1357IT MEANS YOU CAN GO WHERE YOU
1358WANT AND DO WHAT YOU WANT ONLINE
1359WITHOUT YOUR BROADBAND PROVIDER
1360GETTING IN THE WAY OR MAKING
1361CHOICES FOR YOU.
1362IT MEANS EVERY ONE OF US CAN
1363CREATE WITHOUT PERMISSION, BUILD
1364COMMUNITIES BEYOND GEOGRAPHY,
1365ORGANIZED WITHOUT PHYSICAL
1366CONSTRAINTS, CONSUME CONTENT WE
1367WANT, WHEN AND WHERE WE WANT IT,
1368AND SHARE IDEAS NOT JUST AROUND
1369THE CORNER BUT ACROSS THE GLOBE.
1370I BELIEVE IT IS ESSENTIAL WE
1371SUSTAINED THIS FOUNDATION OF
1372OPENNESS AND THAT IS WHY I
1373SUPPORT NET NEUTRALITY.
1374NET NEUTRALITY HAS DEEP ORIGINS
1375AND COMMUNICATIONS LAW AND
1376HISTORY.
1377IN THE ERA WHEN COMMUNICATIONS
1378MEANT TELEPHONY EVERY CALL WENT
1379THROUGH AND YOUR PHONE COMPANY
1380COULD NOT CUT OFF YOUR CALL OR
1381EDIT THE CONTENT OF YOUR
1382CONVERSATION.
1383THIS GUIDING PRINCIPLE OF
1384NONDISCRIMINATION MEANT YOU WERE
1385IN CONTROL OF THE CONNECTIONS
1386YOU MAKE.
1387THIS PRINCIPLE CONTINUED AS TIME
1388ADVANCED, TECHNOLOGY CHANGED AND
1389INTERNET ACCESS BECAME THE DIAL
1390TONE OF THE DIGITAL AGE.
1391SO IT WAS 12 YEARS AGO WHEN
1392PRESIDENT GEORGE W. BUSH WAS IN
1393THE WHITE HOUSE THAT THIS AGENCY
1394FIRST PUT ITS NET NEUTRALITY
1395POLICIES ON PAPER.
1396IN THE DECADE THAT FOLLOWS, THE
1397FCC REVAMPED AND REVISED ITS NET
1398NEUTRALITY RULES SEEKING TO KEEP
1399THEM CURRENT AND FIND THEM A
1400STABLE HOME IN THE LAW.
1401IN ITS 2015 ORDER, THE FCC
1402SUCCEEDED BECAUSE IN THE
1403FOLLOWING YEAR IN A 184 PAGE
1404OPINION THE AGENCIES NET
1405NEUTRALITY RULES WERE FULLY AND
1406COMPLETELY UPHELD IN COURT.
1407SO OUR EXISTING NET NEUTRALITY
1408POLICIES HAVE PASSED COURT
1409MUSTER.
1410THEY ARE WILDLY POPULAR.
1411BUT TODAY WE WIPE AWAY THIS
1412WORK, DESTROY THIS PROGRESS AND
1413BURN DOWN TIME TESTED VALUES
1414THAT HAVE MADE OUR INTERNET
1415ECONOMY THE ENVY OF THE WORLD.
1416AS A RESULT OF TODAY'S MISGUIDED
1417ACTION, OUR BROADBAND PROVIDERS
1418WILL GET EXTRAORDINARY NEW
1419POWERS.
1420THEY WILL HAVE THE POWER TO
1421BLOCK WEBSITES, THE POWER TO
1422THROTTLE SERVICES AND THE POWER
1423TO CENSOR ONLINE CONTENT.
1424THEY WILL HAVE THE RIGHT TO
1425DISCRIMINATE AND FAVORED THE
1426INTERNET TRAFFIC OF THOSE
1427COMPANIES WITH WHOM THEY HAVE A
1428PAY FOR PAY ARRANGEMENT AND THE
1429RIGHT TO CONSIGN ALL OTHERS TO A
1430SLOW AND BUMPY ROAD.
1431OUR BROADBAND PROVIDERS WILL
1432TELL YOU THEY WILL NEVER DO
1433THESE THINGS, THEY SAY JUST
1434TRUST US.
1435BUT KNOW THIS, THEY HAVE THE
1436TECHNICAL ABILITY AND BUSINESS
1437INCENTIVE TO DISCRIMINATE AND
1438MANIPULATE YOUR INTERNET TRAFFIC
1439AND NOW THIS AGENCY GIVES THEM
1440THE LEGAL GREEN LIGHT TO GO
1441AHEAD AND DO SO.
1442THIS IS NOT GOOD.
1443NOT GOOD FOR CONSUMERS, NOT GOOD
1444FOR BUSINESSES, NOT GOOD FOR
1445ANYONE WHO CONNECTS AND CREATES
1446ON LINE.
1447NOT GOOD FOR THE DEMOCRATIZING
1448FORCE THAT DEPENDS ON OPENNESS
1449TO THRIVE.
1450MOREOVER IT IS NOT GOOD FOR
1451AMERICAN LEADERSHIP ON THE
1452GLOBAL STAGE OF OUR NEW AND
1453COMPLEX DIGITAL WORLD.
1454I AM NOT ALONE WITH THESE
1455CONCERNS.
1456EVERYONE FROM THE CREATOR OF THE
1457WORLD WIDE WEB TO RELIGIOUS
1458LEADERS TO GOVERNORS AND MAYORS
1459OF BIG CITIES AND SMALL TOWNS,
1460TO MUSICIANS, ACTORS, ACTRESSES,
1461ENTREPRENEURS, ACADEMICS AND
1462OTHERS HAVE REGISTERED THEIR
1463UPSET AND ANGER.
1464THEY ARE REELING AT HOW THIS
1465AGENCY COULD MAKE THIS KIND OF
1466MISTAKE.
1467THEY ARE WONDERING HOW IT COULD
1468BE SO TONE DEAF AND THEY ARE
1469JUSTIFIABLY CONCERNED THAT JUST
1470A FEW UNELECTED OFFICIALS COULD
1471MAKE SUCH A VAST AND
1472FAR-REACHING DECISION ABOUT THE
1473FUTURE OF THE INTERNET.
1474SO AFTER ERASING OUR NET
1475NEUTRALITY RULES, WHAT IS LEFT?
1476WHAT RECOURSE DO CONSUMERS HAVE?
1477WE ARE TOLD DON'T WORRY,
1478COMPETITION WILL SAVE US.
1479BUT THE FCC'S OWN DATA SHOW THAT
1480OUR BROADBAND MARKETS ARE NOT
1481COMPETITIVE.
1482HALF OF THE HOUSEHOLDS IN THIS
1483COUNTRY HAVE NO CHOICE OF
1484BROADBAND PROVIDER.
1485SO IF YOUR BROADBAND PROVIDERS
1486BLOCKING WEBSITES, YOU HAVE NO
1487RECOURSE.
1488YOU HAVE NOWHERE TO GO.
1489WE ARE TOLD DON'T WORRY, THE
1490FEDERAL TRADE COMMISSION WILL
1491SAVE US.
1492BUT THE FTC IS NOT THE EXPERT
1493AGENCY FOR COMMUNICATIONS.
1494IT HAS AUTHORITY OVER UNFAIR AND
1495DECEPTIVE PRACTICES, BUT TO
1496EVADE FTC REVIEW ALL ANY
1497BROADBAND PROVIDER WILL NEED TO
1498DO IS ADD NEW PROVISIONS TO THE
1499FINE PRINT IN ITS TERMS OF
1500SERVICE.
1501IN ADDITION, IT IS BOTH COSTLY
1502AND IMPRACTICAL TO REPORT
1503DIFFICULTIES TO THE FTC.
1504BY THE TIME THE FTC GETS AROUND
1505TO ADDRESSING THEM IN COURT
1506PROCEEDINGS OR ACTIONS, FAIR TO
1507ASSUME THE STARTUPS AND SMALL
1508BUSINESSES WRESTLING WITH
1509DISCRIMINATORY TREATMENT COULD
1510BE LONG GONE.
1511MOREOVER WHAT LITTLE AUTHORITY
1512THE FCC HAS IS NOW UNDER
1513QUESTION IN THE COURTS.
1514WE ARE TOLD DON'T WORRY, DATA
1515AUTHORITY WILL SAVE US BUT AT
1516THE SAME TIME, THE FCC ALL BUT
1517CLEARS THE FIELD WITH PREEMPTION
1518OF ANYTHING THAT RESEMBLES STATE
1519OR LOCAL CONSUMER PROTECTIONS.
1520IT'S THE SUBSTANCE THAT GOT US
1521TO THIS POINT AND THE PROCESS IS
1522EVEN WORSE.
1523LET'S TALK ABOUT THE PUBLIC
1524RECORD.
1525THE PUBLIC HAS BEEN MAKING NOISE
1526SPEAKING UP, RAISING A RUCKUS.
1527WE SEE IT IN THE PROTESTS ACROSS
1528THIS COUNTRY, THOSE THAT ARE
1529OUTSIDE HERE TODAY AND WE SEE
1530HOW THEY HAVE LIT UP OUR PHONE
1531LINES, CLOGGED OUR E-MAIL
1532INBOXES AND JAMMED ARE ONLINE
1533COMMENTING SYSTEM.
1534THAT MIGHT BE MESSY, BUT
1535WHATEVER OUR DISAGREEMENTS ARE
1536ON THIS DAIS I HOPE WE CAN AGREE
1537THAT IS DEMOCRACY.
1538THERE IS NO RECORD IN THE
1539HISTORY OF THE AGENCY THAT HAS
1540ATTRACTED SO MANY FILINGS.
1541BUT THERE IS SOMETHING FOUL IN
1542THIS RECORD.
15432 MILLION COMMENTS FEATURE
1544STOLEN IDENTITIES.
1545HALF A MILLION COMMENTS ARE FROM
1546RUSSIAN E-MAIL ADDRESSES.
154750,000 CONSUMER COMPLAINTS ARE
1548INEXPLICABLY MISSING FROM THE
1549RECORD.
1550I THINK THAT IS A PROBLEM.
1551I THINK OUR RECORD HAS BEEN
1552CORRUPTED AND OUR PROCESS FOR
1553PUBLIC PARTICIPATION LACKS
1554INTEGRITY.
155519 STATE ATTORNEYS GENERAL
1556AGREE.
1557THEY HAVE WRITTEN US DEMANDING
1558WE HALT OUR VAULT VOTE UNTIL WE
1559INVESTIGATE AND GET TO THE
1560BOTTOM UP THIS MESS.
1561IDENTITY THEFT IS A CRIME UNDER
1562STATE AND FEDERAL LAW AND WHILE
1563IT IS TAKING PLACE THIS AGENCY
1564HAS TURNED A BLIND EYE TO ITS
1565VICTIMS AND CALLOUSLY TOLD OUR
1566FELLOW LAW ENFORCEMENT OFFICIALS
1567IT WILL NOT HELP.
1568THIS IS NOT ACCEPTABLE.
1569IT'S A STAIN ON THE FCC AND THIS
1570PROCEEDING.
1571THIS ISSUE IS NOT GOING AWAY.
1572IT NEEDS TO BE ADDRESSED.
1573FINALLY, I WORRY THAT THIS
1574DECISION AND THE PROCESS THAT
1575BROUGHT US TO THIS POINT IS
1576UGLY.
1577IT IS UGLY IN THE CAVALIER
1578DISREGARD THIS AGENCY HAS
1579DEMONSTRATED TO THE PUBLIC, THE
1580CONTEMPT IT HAS SHOWN FOR
1581CITIZENS TO SPEAK UP AND THE
1582SHEER DISDAIN IT HAS FOR PUBLIC
1583OPINION.
1584UNLIKE ITS PREDECESSORS THIS FCC
1585HAS NOT HELD A SINGLE PUBLIC
1586HEARING ON NET NEUTRALITY.
1587THERE IS NO SHORTAGE OF PEOPLE
1588WHO BELIEVE WASHINGTON IS NOT
1589LISTENING TO THEIR CONCERNS,
1590THEIR FEARS, AND THEIR DESIRES.
1591ADD THIS AGENCY TO THAT LIST.
1592I TO AM FRUSTRATED, BUT HERE'S
1593THE TWIST, I HEAR YOU.
1594I LISTENED WITH THE CALLERS TO
1595WHAT MY OFFICE ARE SAYING.
1596I READ THE COUNTLESS
1597INDIVIDUALLY WRITTEN E-MAILS IN
1598MY INBOX, THEY POST ONLINE AND
1599THE VERY SHORT SOMETIMES VERY
1600LONG LETTERS.
1601AND I'M NOT GOING TO GIVE UP.
1602AND NEITHER SHOULD YOU.
1603IN THE ARC OF HISTORY AS LONG,
1604WE ARE GOING TO BEND THIS TOWARD
1605A MORE JUST OUTCOME IN THE
1606COURTS, IN CONGRESS, WHEREVER WE
1607NEED TO GO TO ENSURE THAT NET
1608NEUTRALITY STAYS THE LAW OF THE
1609LAND BECAUSE IF YOU ARE
1610CONSERVATIVE OR PROGRESSIVE YOU
1611BENEFIT FROM INTERNET OPENNESS.
1612IF YOU COME FROM A SMALL TOWN OR
1613A BIG CITY, YOU BENEFIT FROM
1614INTERNET OPENNESS.
1615IF YOU ARE A COMPANY OR A
1616NONPROFIT YOU BENEFIT FROM
1617INTERNET OPENNESS.
1618IF YOU ARE A STARTUP OR AN
1619ESTABLISHED YOU BENEFIT FROM
1620INTERNET OPENNESS.
1621IF YOU ARE A CONSUMER OR A
1622CREATOR, YOU BENEFIT FROM
1623INTERNET OPENNESS.
1624AND IF YOU BELIEVE IN DEMOCRACY
1625YOU BENEFIT FROM INTERNET
1626OPENNESS.
1627SO LET'S PERSIST, LET'S FIGHT,
1628LET'S NOT STOP HERE OR NOW.
1629IT IS TOO IMPORTANT.
1630THE FUTURE DEPENDS ON IT.
1631>>CHAIRMAN PAI: THANK YOU,
1632COMMISSIONER.
1633THE INTERNET IS THE GREATEST
1634FREE-MARKET INNOVATION IN
1635HISTORY.
1636IT CHANGED THE WAY WE LIVE, THE
1637WAY WE PLAY, THE WAY WE WORK,
1638THE WAY WE LEARN, DURING MY TIME
1639AT THE FCC I'VE MET WITH
1640ENTREPRENEURS WHO STARTED
1641BUSINESSES.
1642I'VE MET WITH DOCTORS IN OHIO
1643WHO HAVE HELPED CARE FOR
1644PATIENTS.
1645I'VE MET WITH TEACHERS IN ALASKA
1646WHO HAVE EDUCATED STUDENTS.
1647I MET WITH FARMERS IN MISSOURI
1648WHO HAVE INCREASED THEIR CROPS
1649AND MANY, MANY MORE WHO HAVE
1650SUCCEEDED ALL BECAUSE OF THE
1651INTERNET.
1652THE INTERNET HAS ENRICHED MY OWN
1653LIFE IMMEASURABLY.
1654THE PAST TWO DAYS ALONE I SET UP
1655A FACE TIME CALL WITH MY PARENTS
1656AND KIDS, DOWNLOADED INTERESTING
1657PODCAST ABOUT BLOCK CHAIN
1658TECHNOLOGY, ORDERED A BURRITO,
1659MANAGE MY PLAYOFF BOUND FANTASY
1660FOOTBALL TEAM AND AS MANY OF YOU
1661MIGHT SEE I TWEETED.
1662WHAT IS RESPONSIBLE FOR THE
1663PHENOMENAL DEVELOPMENT OF THE
1664INTERNET?
1665CERTAINLY WASN'T HEAVY-HANDED
1666GOVERNMENT REGULATION.
1667QUITE THE CONTRARY.
1668AT THE DAWN OF THE COMMERCIAL
1669INTERNET PRESIDENT CLINTON AND A
1670REPUBLICAN CONGRESS AGREED IT
1671WOULD BE THE POLICY OF THE
1672UNITED STATES TO, "PRESERVE THE
1673VIBRANT COMPETITIVE FREE MARKET
1674THAT EXISTS FOR THE INTERNET
1675UNFETTERED BY FEDERAL AND STATE
1676REGULATION."
1677THIS BIPARTISAN POLICY WORKED
1678ENCOURAGED BY LIKE CUT
1679REGULATION AMERICAS PRIVATE
1680SECTOR SPENT OVER $1.5 TRILLION
1681TO BUILD FIXED AND MOBILE
1682NETWORKS THROUGHOUT THE UNITED
1683STATES.
168428K MODEMS GAVE WAY TO GIGABIT
1685FIBER.
1686INNOVATORS AND ENTREPRENEURS
1687GREW STARTUPS INTO GLOBAL GIANTS
1688AND AMERICA'S INTERNET ECONOMY
1689IS THE ENVY OF THE ENTIRE WORLD.
1690AND THIS LIGHT TOUCH APPROACH
1691WAS GOOD FOR CONSUMERS.
1692FREE MARKET FULL OF INNOVATION,
1693ONLINE SERVICES BLOSSOMED.
1694WITHIN A GENERATION WE HAVE GONE
1695FROM E-MAIL AS THE KILLER APP TO
1696HIGH DEFINITION VIDEO STREAMING.
1697ENTREPRENEURS AND INNOVATORS
1698GUIDED THE INTERNET FAR BETTER
1699THAN THE HEAVY HAND OF
1700GOVERNMENT EVER COULD HAVE.
1701THEN IN EARLY 2015 THE FCC UNDER
1702POLITICAL PRESSURE JETTISONED
1703THE SUCCESSFUL BIPARTISAN
1704APPROACH TO THE INTERNET ON
1705EXPRESS ORDERS FROM PREVIOUS
1706WHITE HOUSE THE FCC SCRAPPED THE
1707TRIED AND TRUE LIGHT TOUCH
1708REGULATION OF THE INTERNET AND
1709REPLACED IT WITH HEAVY-HANDED
1710MICROMANAGEMENT.
1711AND DECIDED TO SUBJECT THE
1712INTERNET TO UTILITY STYLE
1713REGULATIONS DESIGNED IN THE 1930
1714TO GOVERN MA BELL.
1715THIS DECISION WAS A MISTAKE.
1716FOR ONE THINK THERE WAS NO
1717PROBLEM TO SOLVE.
1718THE INTERNET WAS NOT BROKEN IN
17192015.
1720WE WERE NOT LIVING IN SOME
1721DIGITAL DYSTONIA.
1722TO THE CONTRARY THE INTERNET IS
1723ONE THING, PERHAPS THE ONLY
1724THING IN AMERICAN SOCIETY THAT
1725WE CAN ALL AGREE HAS BEEN A
1726STUNNING SUCCESS.
1727NOT ONLY WHERE THERE ARE
1728PROBLEMS, THE SOLUTION HAS
1729WORKED.
1730THE MAIN COMPLAINT THE CONSUMERS
1731HAVE ABOUT THE INTERNET IS NOT
1732AND HAS NEVER BEEN THAT THEY ARE
1733SERVER PROVIDERS BLOCKING ACCESS
1734TO CONTENT.
1735THAT THEY DON'T HAVE ACCESS AT
1736ALL OR NOT ENOUGH COMPETITION.
1737THESE REGULATIONS HAVE
1738IRONICALLY TAKEN US IN THE
1739OPPOSITE DIRECTION FROM CONSUMER
1740PREFERENCES.
1741UNDER TITLE II INVESTMENT IN
1742HIGH-SPEED NETWORK HAS DECLINED
1743BY BILLIONS OF DOLLARS.
1744NOTABLY THIS IS THE FIRST TIME
1745SUCH INVESTMENT HAS DECLINED
1746OUTSIDE OF A RECESSION IN THE
1747INTERNET ERA.
1748AND THERE'S LESS INVESTMENT THAT
1749MEANS FEWER NEXT-GENERATION
1750NETWORKS ARE BUILT.
1751THAT MEANS LESS ACCESS AND LESS
1752COMPETITION.
1753THAT MEANS FEWER JOBS FOR
1754AMERICANS BUILDING THOSE
1755NETWORKS AND THAT MEANS MORE
1756AMERICANS ARE STRANDED ON THE
1757WRONG SIDE OF THE DIGITAL
1758DIVIDE.
1759THE IMPACT HAS BEEN PARTICULARLY
1760SERIOUS FOR SMALLER INTERNET
1761SERVICE PROVIDERS.
1762THEY DON'T HAVE THE TIME, MONEY
1763OR LAWYERS TO NAVIGATE THE
1764THICKEST OF COMPLEX RULES AND
1765THEY DON'T GET A LOT OF PRESS
1766CERTAINLY NOT HERE IN
1767WASHINGTON.
1768BUT I HAVE PERSONALLY VISITED
1769SOME OF THEM FROM SPENCER
1770MUNICIPAL UTILITIES TO WAIVE
1771WIRELESS IN PARSONS KANSAS.
1772I'VE PERSONALLY SPOKEN WITH MANY
1773MORE FROM OHIO TO AIRLINK
1774SERVICES IN OKLAHOMA.
1775IT IS NO SURPRISE THAT THE
1776WIRELESS INTERNET SERVICE
1777PROVIDERS ASSOCIATION, WHICH
1778REPRESENTS A VERY SMALL FIXED
1779WIRELESS COMPANIES THAT
1780TYPICALLY OPERATE IN RURAL AND
1781LOW INCOME URBAN AREAS SURVEYED
1782MEMBERS AND FOUND OVER
178380 PERCENT, "INCURRED ADDITIONAL
1784EXPENSE COMPLYING WITH THE TITLE
1785TWO RULES AND DELAYED OR REDUCED
1786NETWORK EXPANSION AND HAD
1787DELAYED OR REDUCED SERVICES AND
1788HAD ALLOCATED BUDGETS TO COMPLY
1789WITH THE RULES."
1790OTHER SMALL COMPANIES HAVE TOLD
1791THE FCC THAT THESE REGULATIONS
1792HAVE FORCED THEM TO CANCEL,
1793DELAY OR CURTAIL FIBER NETWORK
1794UPGRADES.
1795AND NEARLY TWO DOZEN SMALL
1796PROVIDER SUBMITTED A LETTER
1797SAYING THE FCC HEAVY-HANDED
1798RULES AFFECT OUR ABILITY TO FIND
1799FINANCING.
1800REMEMBER IT'S NOT THE BIG GUYS,
1801THESE ARE SMALL COMPANIES, THE
1802KINDS OF COMPANIES THAT ARE
1803CRITICAL TO PROVIDING A MORE
1804COMPETITIVE MARKETPLACE.
1805THESE RULES HAVE ALSO IMPEDED
1806INNOVATION.
1807ONE MAJOR COMPANY FOR INCIDENTS
1808REPORTED TO PUT ON HOLD THE
1809PROJECTS TO BUILD OUT ITS OUT OF
1810HOME WI-FI NETWORK DUE TO
1811UNCERTAINTY ABOUT THE FCC'S
1812REGULATORY STANCE.
1813AND A COALITION OF 19 MUNICIPAL
1814INTERNET SERVICE PROVIDERS, CITY
1815GOVERNMENT OWNED NONPROFITS HAVE
1816TOLD THE FCC THAT THEY, "OFF
1817UNTIL LATE OR HOLD OUT FROM
1818ROLLING OUT A NEW FEATURE OR
1819SERVICE BECAUSE THEY CANNOT
1820AFFORD TO DEAL WITH THE
1821POTENTIAL COMPLAINTS AND
1822ENFORCEMENT ACTION."
1823NONE OF THIS IS GOOD FOR
1824CONSUMERS.
1825WE NEED TO EMPOWER ALL AMERICANS
1826WITH DIGITAL OPPORTUNITY, NOT
1827DENY THEM THE BENEFITS OF
1828GREATER EXCESS AND COMPETITION.
1829AND CONSIDER THAT THESE ARE JUST
1830THE EFFECTS THAT THESE RULES
1831HAVE HAD ON THE INTERNET TODAY.
1832THINK ABOUT HOW THEY WILL AFFECT
1833THE INTERNET WE NEED TEN, 20
1834YEARS FROM NOW.
1835THE DIGITAL WORLD BEARS NO
1836RESEMBLANCE TO A WATER PIPE OR
1837AN ELECTRIC LINE OR ESA WERE.
1838USE OF.
1839BY CONTRAST ONLINE TRAFFIC IS
1840EXPLORING AND WE CAN ASSUME
1841EXPONENTIALLY MORE TRAFFIC AND
1842DATA OVER TIME.
1843WITH THE DAWN OF THE INTERNET OF
1844THINGS COME UP WITH THE
1845DEVELOPMENT OF HIGH BIT RATE
1846APPLICATIONS LIKE VIRTUAL
1847REALITY, WITH NEW ACTIVITIES WE
1848CAN'T FULLY GRASP YET LIKE
1849HIGH-VOLUME BITCOIN MINING, WE
1850ARE IMPOSING EVER MORE DEMAND ON
1851THE NETWORK.
1852OVER TIME THAT MEANS OUR
1853NETWORKS THEMSELVES WILL NEED TO
1854SCALE.
1855ON ADVICE OF SECURITY WE NEED TO
1856TAKE A BRIEF BREAK.
1857>> [OFF MIC]
1858[ BREAK TAKEN ]
1859>>CHAIRMAN PAI: SORRY FOR THE
1860INTERRUPTION.
1861WE WERE ACTING ON THE
1862RECOMMENDATION OF THE FEDERAL
1863PROTECTIVE SERVICE AND CANNOT
1864RECONVENE.
1865WHERE WAS I?
1866CONSIDER THAT THESE ARE JUST THE
1867EFFECTS THAT ARE RULES HAVE HAD
1868ON THE INTERNET OF TODAY.
1869THINK ABOUT HOW THEY WILL AFFECT
1870THE INTERNET WE NEED TEN, 20
1871YEARS FROM NOW.
1872THE DIGITAL WORLD BEARS NO
1873RESEMBLANCE TO A WATER PIPE OR
1874ELECTRIC LINE OR SEWER.
1875THE USE OF THOSE PIPES WILL BE
1876ROUGHLY CONSTANT OVER TIME AND
1877FEW WOULD SAY THAT THE DRAMATIC
1878INNOVATION THOSE AREAS WE
1879CAN'T FULLY GRASP YET LIKE
1880HIGH-VOLUME BITCOIN MINING WE
1881ARE IMPOSING EVER MORE DEMAND ON
1882THE NETWORK.
1883OVER TIME THAT MEANS THAT OUR
1884NETWORKS THEMSELVES WILL HAVE TO
1885SCALE.
1886BUT THEY DON'T HAVE TO.
1887IF OUR RESPECTED
1888TECHNOLOGY ANALYST FROM A POST
1889ON HIS BLOG SUPPORTING MY
1890PROPOSAL.
1891IT'S AN EXTENDED QUOTES, BUT
1892WITH YOUR INDULGENCE IT'S
1893IMPORTANT.
1894THE QUESTIONS THAT MUST BE
1895GRAPPLED WITH IS WHETHER OR NOT
1896THE INTERNET IS DONE.
1897BY THAT I MEAN THAT TODAY'S
1898BANDWIDTH IS ALL WE WILL EVER
1899NEED WHICH MEANS WE CAN RISK
1900CHILLING INVESTMENT THROUGH
1901PROPHYLACTIC REGULATION AND THE
1902ELIMINATION OF PRICE SIGNALS
1903THAT MAY SPUR INFRASTRUCTURE
1904BUILDOUT.
1905IF WE ARE DONE THEN THE
1906POTENTIAL HARM OF A TITLE TWO
1907RECLASSIFICATION IS MUCH LOWER.
1908SURE ISPS WILL HAVE TO DO MORE
1909PAPERWORK, BUT HONESTLY JUST A
1910BUNCH OF MONOPOLISTS ANYWAY.
1911THAT'S TO GET LAWS IN PLACE TO
1912PRESERVE WHAT WE HAVE.
1913BUT WHAT IF WE AREN'T DONE?
1914WHAT IF VIRTUAL REALITY WOULD DO
1915WILL A.K.A. DISPLACED BECOMES
1916MEANINGFUL.
1917WHAT IF
1918NOT JUST IN THE HOME, BUT IN ALL
1919KINDS OF UNIMAGINED COMMERCIAL
1920APPLICATIONS.
1921I CERTAINLY HOPE WE WILL HAVE
1922THE BANDWIDTH TO SUPPORT ALL OF
1923THAT.
1924I DO TOO.
1925AND AS THOMPSON PUT IT IN
1926ANOTHER POST I QUOTE, "THE FACT
1927OF THE MATTER IS THERE IS NO
1928EVIDENCE THAT HARM EXISTS IN THE
1929SORT OF SYSTEMATIC WAY THAT
1930JUSTIFIES HEAVILY REGULATED ISP
1931IS.
1932EVIDENCE DOES SUGGEST THAT
1933CURRENT REGULATORY STRUCTURES
1934HANDLE BAD ACTORS PERFECTLY
1935WELL.
1936THE ONLY.
1937REMEMBER FOLKS, NETWORKS DON'T
1938HAVE TO BE BUILT.
1939RISKS DON'T HAVE TO BE TAKEN,
1940CAPITAL DOESN'T HAVE TO BE
1941RAISED.
1942THE COST OF TITLE TWO TODAY MAY
1943APPEAR AT LEAST TO SOME, BUT THE
1944CONSUMERS AND INNOVATORS OF
1945TOMORROW WILL PAY A SEVERE
1946PRICE.
1947WHAT IS THE FCC DOING TODAY?
1948QUITE SIMPLY WE ARE RESTORING
1949THE LIGHT TOUCH FRAMEWORK THAT
1950IS GOVERNED THE INTERNET FOR
1951MOST OF ITS EXISTENCE.
1952WE ARE MOVING FROM TITLE II TO
1953TITLE I.
1954WONK YEAR CANNOT BE.
1955IT IS DIFFICULT TO IMAGINE THAT
1956MUNDANE REALITY TO BE
1957APOCALYPTIC RHETORIC WE'VE HEARD
1958FROM TITLE II SUPPORTERS.
1959AS THE DEBATE GOES ON THE CLAIMS
1960HAVE GOTTEN MORE AND MORE
1961OUTLANDISH.
1962SO LET'S BE CLEAR.
1963RETURNING TO THE LEGAL FRAMEWORK
1964THAT GOVERNS THE INTERNET
1965PRESIDENT CLINTON'S
1966PRONOUNCEMENT IN 1996 UNTIL 2015
1967IS NOT GOING TO DESTROY THE
1968INTERNET.
1969IT'S NOT GOING TO END TO THE
1970INTERNET AS WE KNOW IT.
1971IT IS NOT GOING TO KILL
1972DEMOCRACY.
1973NOT GOING TO STIFLE FREE
1974EXPRESSION ONLINE
1975INTERNET EXPERIENCE TOMORROW
1976ONCE THIS ORDER PASSES WILL
1977PROVE THEM SO.
1978SIMPLY PUT, BY RETURNING TO THE
1979LIGHT TOUCH TITLE I FRAMEWORK WE
1980ARE HELPING CONSUMERS AND
1981PROMOTING COMPETITION.
1982BROADBAND PROVIDERS WILL HAVE
1983STRONGER INCENTIVES TO BUILD
1984NETWORKS ESPECIALLY IN UNSERVED
1985AREAS AND TO UPGRADE NETWORKS TO
1986GIGABIT SPEEDS AND 5G.
1987WHICH MEANS THERE WILL BE MORE
1988COMPETITION AMONG BROADBAND
1989PROVIDERS.
1990IT ALSO MEANS MORE WAYS STARTUPS
1991AND TECH GIANTS ALIKE CAN
1992DELIVER APPLICATIONS AND CONTENT
1993TO MORE USERS.
1994IN SHORT IT'S A FOUR-YEAR MORE
1995OPEN INTERNET.
1996WE ALSO PROMOTE MUCH MORE ROBUST
1997TRANSPARENCY AMONG ISPS THEN
1998THREE YEARS AGO.
1999WE REQUIRE THEM TO DISCLOSE A
2000VARIETY OF BUSINESS PRACTICES
2001AND THE FAILURE TO DO SO
2002SUBJECTS THEM TO ENFORCEMENT
2003ACTION.
2004THIS TRANSPARENCY WORLD WILL
2005ENSURE CONSUMERS KNOW WHAT THEY
2006ARE BUYING AND STARTUPS GET THE
2007INFORMATION THEY NEED AS THEY
2008DEVELOP NEW PRODUCTS AND
2009SERVICES.
2010MOREOVER WE EMPOWER THE FCC TO
2011ENSURE CONSUMER AND COMPETITION
2012IS PROTECTED.
2013TWO YEARS AGO THE ORDERS
2014STRIPPED THE FTC OF JURISDICTION
2015OVER BROADBAND PROVIDERS.
2016TODAY WE ARE PUTTING THE
2017NATION'S PREMIER CONSUMER
2018PROTECTION BACK ON THE BEACH.
2019THE FCC WILL ONCE AGAIN, HAVE
2020THE AUTHORITY TO TAKE ACTION
2021AGAINST INTERNET SERVICE
2022PROVIDERS THAT ENGAGE IN ANY
2023COMPETITIVE UNFAIR OR DECEPTIVE
2024ACTS.
2025AS FTC CHAIRMAN RECENTLY SAID,
2026"THE FTC'S ABILITY TO PROTECT
2027CONSUMERS AND PROMOTE
2028COMPETITION IN BROADBAND IS NOT
2029SOMETHING NEW AND FAR-FETCHED.
2030WE HAVE A LONG-ESTABLISHED ROLE
2031IN PRESERVING THE VALUES THAT
2032CONSUMERS CARE ABOUT ONLINE."
2033AS PRESIDENT OBAMA'S FIRST FTC
2034CHAIRMAN PUT IT JUST YESTERDAY,
2035"THE PLAN TO RESTORE FTC
2036JURISDICTION IS GOOD FOR
2037CONSUMERS.
2038THE SKY IS NOT FALLING,
2039CONSUMERS WILL REMAIN PROTECTED
2040AND THE INTERNET WILL CONTINUE
2041TO THRIVE.
2042"
2043LET'S BE CLEAR FOLLOWING TODAY'S
2044VOTE AMERICANS WILL STILL BE
2045ABLE TO ACCESS THE WEBSITES THEY
2046WANT TO VISIT.
2047THEY WILL STILL BE ABLE TO ENJOY
2048THE SERVICES THEY WANT TO ENJOY.
2049AND WILL STILL BE COPPS ON THE
2050BEAT REGARDING A FREE AND OPEN
2051INTERNET.
2052THE WAY THINGS WERE PRIOR TO
20532015, THIS IS THE WAY THEY WILL
2054BE ONCE AGAIN.
2055NOW OUR DECISION TODAY WILL ALSO
2056RETURN REGULATORY PARITY TO THE
2057INTERNET ECONOMY.
2058SOME SILICON VALLEY PLATFORM
2059GIANTS FAVOR IMPOSING
2060HEAVY-HANDED REGULATIONS ON
2061OTHER PARTS OF THE INTERNET
2062ECOSYSTEM.
2063BUT ALL TOO OFTEN THEY DON'T
2064PRACTICE WHAT THEY PREACH.
2065EDGE PROVIDERS REGULARLY BLOCK
2066CONTENT THEY DON'T LIKE.
2067WHEN YOU GO ONLINE, DO YOU
2068DECIDE WHAT NEWS SEARCH RESULTS
2069AND PRODUCTS YOU SEE?
2070PERHAPS NOT.
2071THEY REGULARLY DECIDE WHAT YOU
2072SEE AND PERHAPS MORE
2073IMPORTANTLY, WHAT YOU DON'T.
2074AND MANY THRIVE ON THE BUSINESS
2075MODEL OF CHARGING TO PLACE
2076CONTENT IN FRONT OF EYEBALLS.
2077WHAT ELSE IS ACCELERATED MOBILE
2078PAGES OR PROMOTED TWEETS BUT
2079PRIORITIZATION?
2080WHAT IS WORSE, THERE IS NO
2081TRANSPARENCY INTO HOW DECISIONS
2082THAT APPEAR INCONSISTENT WITH AN
2083OPEN INTERNET ARE MADE.
2084HOW DOES A COMPANY DECIDE TO
2085RESTRICT SOMEONE'S ACCOUNT OR
2086BLOCK THEIR TWEETS BECAUSE IT
2087THINKS THEIR VIEWS ARE
2088INFLAMMATORY OR WRONG.
2089HOW DOES THE COMPANY DECIDE TO
2090DE- MONETIZE VIDEOS FROM
2091POLITICAL ADVOCATES WITHOUT ANY
2092NOTICE OR ASK HOW DOES A COMPANY
2093EXPRESSLY BLOCK ACCESS TO
2094WEBSITES ON RIVAL DEVICES OR
2095PREVENT DISSIDENT CONTENT FROM
2096APPEARING ON ITS PLATFORM?
2097HOW DOES A COMPANY DECIDE TO
2098BLOCK FROM ITS APP STORE A CIGAR
2099AFICIONADO AT BECAUSE THE
2100COMPANY BELIEVES THE APP
2101PROMOTES TOBACCO USE.
2102YOU DON'T HAVE ANY INSIGHT INTO
2103ANY OF THESE DECISIONS AND
2104NEITHER DO I.
2105YET THESE ARE VERY REAL ACTUAL
2106THREATS TO AN OPEN INTERNET.
2107IRONIC COMING FROM THE VERY
2108ENTITIES THAT CLAIM TO SUPPORT,
2109IRONIC THAT SO-CALLED NET
2110NEUTRALITY ADVOCATES MOST
2111VIGOROUSLY OPPOSED TO OUR
2112REFORMS HAVE NOTHING TO SAY
2113ABOUT THESE THREATS.
2114THESE ARE OMISSIONS, THESE ARE
2115THREATS THAT A GROWING NUMBER OF
2116OFFICIALS DEMOCRATS AND
2117REPUBLICANS, HOUSE AND SENATE
2118ARE BEGINNING TO TAKE NOTICE OF.
2119NOW LOOK, PERHAPS CERTAIN
2120COMPANIES SUPPORT SETTLING BROAD
2121HAND -- BROADBAND PROVIDERS WITH
2122REGULATIONS BECAUSE THEY WORK
2123FOR ECONOMIC ADVANTAGE.
2124I DON'T BLAME THEM FOR TAKING
2125THAT POSITION AND I AM NOT
2126SAYING THIS SAME ROLES SHOULD BE
2127SLAPPED ON THEM.
2128WHAT I AM SAYING IS THAT IT IS
2129NOT THE JOB OF THE GOVERNMENT TO
2130BE IN THE BUSINESS OF PICKING
2131WINNERS AND LOSERS IN THE
2132INTERNET ECONOMY.
2133WE SHOULD HAVE A LEVEL PLAYING
2134FIELD AND LET CONSUMERS DECIDE
2135TO PREVAIL.
2136MANY WORDS HAVE BEEN SPOKEN THE
2137DURING THE DEBATE AND THE TIME
2138HAS COME FOR ACTION.
2139THE TIME FOR THE INTERNET ONCE
2140AGAIN, TO BE DRIVEN BY
2141ENGINEERS, ENTREPRENEURS AND
2142CONSUMERS, RATHER THAN LAWYERS,
2143ACCOUNTANTS AND BUREAUCRATS.
2144TIME FOR US TO BRING FASTER
2145BETTER AND CHEAPER AND INTERNET
2146ACCESS TO ALL AMERICANS.
2147IT IS TIME FOR US TO RETURN TO
2148THE BIPARTISAN REGULATORY
2149FRAMEWORK UNDER WHICH THE
2150INTERNET FLOURISHED PRIOR TO
21512015.
2152IT IS TIME FOR US TO RESTORE
2153INTERNET FREEDOM.
2154I WANT TO EXTEND MY DEEPEST
2155GRATITUDE TO STAFF WHO HAVE
2156WORKED SO MANY LONG HOURS ON
2157THIS ITEM FROM THE WIRELINE
2158COMPETITION BUREAU, JOE, MEGAN,
2159PAULA, NATHAN, MADELEINE, DOUG,
2160DAN, GAIL, SUSAN, KEN, KRIS
2161MONTEITH, ERIC, DEBORAH, JANE
2162TAYLOR.
2163FROM THE OFFICE OF GENERAL
2164COUNSEL ASHLEY, JIM, CHRISTINE,
2165TOM JOHNSON, DOUG KLEIN, MARCUS,
2166SCOTT, LINDA, AND BILL
2167RICHARDSON.
2168FROM THE WIRELESS
2169TELECOMMUNICATIONS BUREAU STACY,
2170BETSY, JIMMY,, RON, PETER AND
2171OTHERS.
2172FROM THE OFFICE OF POLICY
2173ANALYSIS ERIC, JERRY, FROM THE
2174CONSUMER AND GOVERNMENTAL
2175AFFAIRS BUREAU, FROM THE PUBLIC
2176SAFETY AND HOMELAND SECURITY
2177BEAR AND THE MEDIA BUREAU TRACY.
2178WITH THAT WE WILL CALL THE VOTE.
2179COMMISSIONER CLYBURN
2180COMMISSIONER CLYBURN.
2181COMMISSIONER O'RIELLY.
2182COMMISSIONER ROSENWORCEL THE
2183CHAIR VOTES I.
2184ITEM IS ADOPTED.
2185THANKS TO THE STAFF FOR YOUR
2186COLLECTIVE WORK ON THIS ITEM.
2187MADAM SECRETARY COULD YOU PLEASE
2188ANNOUNCE THE NEXT ITEM ON
2189TODAY'S AGENDA.
2190>> MR. CHAIRMAN AND
2191COMMISSIONER'S THE NEXT ITEM
2192WILL BE PRESENTED BY THE
2193WIRELESS TELECOMMUNICATIONS
2194BUREAU ENTITLED AMENDMENT TO
2195HARMONIZE AND STREAMLINE PART 20
2196OF THE COMMISSION'S RULES
2197CONCERNING REQUIREMENT FOR
2198LICENSEES TO OVERCOME A CMRS
2199PRESUMPTION.
2200DONALD STOCKDALE CHIEF OF THE
2201BUREAU WILL GIVE THE
2202INTRODUCTION.
2203>>CHAIRMAN PAI: THANK YOU,
2204MADAM SECRETARY.
2205MR. STOCKDALE, THE FLOOR IS
2206YOURS.
2207>>COMMISSIONER CLYBURN:
2208MR. CHAIRMAN CAN I INTERRUPT?
2209I WANT TO KNOW IF HIS PHONE IS
2210OFF.
2211>> I DID TURN IT OFF.
2212[LAUGHING]
2213>> MR. CHAIRMAN COMMISSIONERS
2214I'M PLEASED TO PRESENT YOU THE
2215CMRS PRESUMPTION REPORT AND
2216ORDER.
2217I'M JOINED AT THE TABLE TODAY BY
2218SUSAN, ROGER NOEL, KATHY HARRIS,
2219TOM REED AND
2220 JESSICA GREFFENIUS.
2221IN ADDITION TO STAFF AT THE
2222TABLE I WOULD LIKE TO THANK THE
2223STAFF LISTED ON THE SLIDE FOR
2224THEIR INPUT.
2225TOM REED WILL NOW PRESENT THE
2226ITEM.
2227>> GOOD AFTERNOON MR. CHAIRMAN
2228COMMISSIONERS.
2229WE PRESENT TO YOU TODAY A REPORT
2230AND ORDER THAT UPDATES AND
2231HARMONIZES REGULATIONS REGARDING
2232CLASSIFICATIONS OF COMMERCIAL
2233MOBILE RADIO SERVICES PRIMARILY
2234BY ELIMINATING SECTION 20.7 AND
223520.9 OF THE COMMISSION'S RULES.
2236THESE RULES CLASSIFY OR PRESUME
2237CERTAIN SERVICES FOR COMMERCIAL
2238MOBILE RADIO SERVICES OR CMRS OR
2239PRIVATE MOBILE RADIO SERVICES
2240BASED ON BAND USED TO PROVIDE
2241SERVICE RATHER THAN ON THE
2242CHARACTERISTICS FOR THE SERVICE
2243PROVIDER.
2244THAT APPROACH IS PREMISED ON
2245PARADIGMS DEVELOPED MORE THAN 20
2246YEARS AGO WHEN THE RULES
2247CONTEMPLATED DISTINCT WIRELESS
2248TO SERVICES IN EACH BAND.
2249INCONSISTENT HOWEVER, WITH THE
2250COMMISSION'S CURRENT FLEXIBLE
2251APPROACH TO LICENSING WHICH
2252GENERALLY PERMITS A LICENSEE TO
2253PROVIDE SERVICES SUBJECT TO
2254TECHNICAL RULES FOR THAT BAND.
2255THIS REPORT AND ORDER WILL
2256REMOVE PRESUMPTIONS ABOUT
2257WHETHER MOBILE SERVICES ARE
2258REGULATED AS COMMERCIAL OR
2259PRIVATE AND ALLOWED LICENSEES TO
2260RELY ON THE STATUTORY
2261DEFINITIONS OF TERMS TO IDENTIFY
2262THE NATURE AND REGULATORY
2263TREATMENT OF MOBILE SERVICES
2264CONSISTENT WITH APPLICABLE
2265SERVICE RULES.
2266ELIMINATING 24/7 AND 20.9 WILL
2267REDUCE DISPARATE REGULATORY
2268TREATMENT OF SIMILAR SERVICES
2269AND FREQUENCY BANDS AND ALLOWED
2270LICENSEES TO OFFER A VARIETY OF
2271SERVICES RAPIDLY IN RESPONSE TO
2272CONSUMER DEMAND AND COMPETITIVE
2273FORCES AND HELP BRING BENEFICIAL
2274SERVICES TO BUSINESSES AND STATE
2275AND LOCAL GOVERNMENTS AND THE
2276PUBLIC SAFETY COMMUNITY WHILE
2277REDUCING ADMINISTRATIVE BURDEN
2278AND PROCESSING DELAYS THAT
2279CERTAIN PROVIDERS CURRENTLY
2280FACE.
2281THE WIRELESS TELECOMMUNICATIONS
2282BUREAU RECOMMENDS ADOPTION OF
2283THIS ITEM AND REQUEST EDITORIAL
2284PRIVILEGES TO MAKE TECHNICAL OR
2285CONFORMING EDITS.
2286THANK YOU.
2287>>CHAIRMAN PAI: THANK YOU FOR
2288THAT COMPELLING PRESENTATION.
2289COMMENTS FROM THE BENCH
2290BEGINNING WITH COMMISSIONER
2291CLYBURN.
2292>>COMMISSIONER CLYBURN: WHAT
2293I'M ABOUT TO SAY IS REINFORCING
2294THE LOOK.
2295IT'S THE TOPIC OF PART 20 OF THE
2296COMMISSION RULES WERE INTRODUCED
2297AT THE AVERAGE AMERICAN DINNER
2298TABLE IT MIGHT GO OVER AS WELL
2299AS SERVING OF ROCKY MOUNTAIN
2300OYSTERS.
2301NEITHER WOULD BE WARMLY RECEIVED
2302AT MY HOME.
2303>>CHAIRMAN PAI: THAT'S JUST
2304WRONG.
2305[LAUGHING]
2306EVEN WE HAVE LIMITS HERE
2307COMMISSIONER.
2308[LAUGHING]
2309>>COMMISSIONER CLYBURN: OKAY.
2310THE CHANGES PROPOSED IN THIS
2311ORDER COUPLED WITH THE
2312MAJORITY'S DISMANTLING OF THE
2313OPEN INTERNET HAVE MANY UNSAVORY
2314IMPLICATIONS FOR THE FUTURE OF
2315COMPETITION POLICY.
2316HE WONDERED HOW I WOULD TIE THAT
2317IN RIDE.
2318AND I MADE CLEAR IN MY
2319STATEMENTS AND PROCESSING THE
2320ROLLBACK OF OUR OPEN INTERNET
2321RULES I BELIEVE THE PROPER
2322INTERPRETATION OF SECTION 332 OF
2323THE COMMUNICATIONS ACT IS THAT
2324MOBILE BROADBAND INTERNET ACCESS
2325SERVICE SHOULD BE CLASSIFIED AS
2326A COMMERCIAL MOBILE RADIO
2327SERVICE OR CMRS, NOT A PRIVATE
2328MOBILE RADIO SERVICE.
2329ELIMINATING OUR CURRENT PART 20
2330RULES MEANS WE WILL REMOVE
2331PRECEDENTS AND PROCEDURES THAT
2332COULD HELP PARTIES DEMONSTRATE
2333THAT A WIRELESS COMPANY'S MOBILE
2334BROADBAND SERVICE SHOULD BE
2335CLASSIFIED AS CMRS.
2336I UNDERSTAND THAT SOME MAY SEE
2337THIS AS A MERE STREAMLINING OF
2338COMMISSION RULES, BUT IN MY
2339OPINION THIS ORDER REMOVES
2340IMPORTANT PROCEDURAL SAFEGUARDS
2341SUCH AS REQUIRING THE COMMISSION
2342TO PUT CERTAIN APPLICATIONS OUT
2343ON PUBLIC NOTICE WHICH CAN HELP
2344INFORM PARTIES WHO ARE
2345INTERESTED IN CHALLENGING A
2346COMPANY CLAIM THAT IT'S MOBILE
2347BROADBAND INTERNET ACCESS
2348SERVICES SHOULD BE CLASSIFIED AS
2349A PRIVATE MOBILE RADIO SERVICE.
2350SINCE THAT RESULT IS
2351INCONSISTENT WITH MY VIEW OF
2352PROPER CLASSIFICATION FOR MOBILE
2353BROADBAND SERVICES, I
2354RESPECTFULLY DISSENT FROM THE
2355ORDER AND WILL ADMIT MY FIRST
2356EXAMPLE MIGHT HAVE BEEN A LITTLE
2357EDGY.
2358[LAUGHING]
2359THANK YOU.
2360>>CHAIRMAN PAI: THANK YOU,
2361COMMISSIONER CLYBURN.
2362COMMISSIONER O'RIELLY.
2363>>COMMISSIONER O'RIELLY: THANK
2364YOU FOR THE STUFF OF THEIR WORK.
2365NO STATEMENT.
2366>>CHAIRMAN PAI: COMMISSIONER
2367CARR.
2368>>COMMISSIONER CARR: THE FCC'S
2369DECISION TO EMBRACE A FLEXIBLE
2370USE SPECTRUM MANDATE -- CHOKED
2371UP ON THIS ONE.
2372INSTEAD OF MANDATING THAT A
2373PARTICULAR SECTOR BAND BE USED
2374WITH A SPECIFIC TYPE OF WIRELESS
2375TECHNOLOGY OR SERVICE WOULD
2376GENERALLY LEAVE THAT CHOICE OF
2377HIGH SECTOR, WHICH HAS A MUCH
2378BETTER SENSE OF CONSUMER DEMAND.
2379THIS APPROACH ENABLED WIRELESS
2380NETWORKS IN THE U.S. TO EVOLVE
2381WITH TECHNOLOGY AND DO SO MUCH
2382MORE QUICKLY THAN IF OPERATORS
2383HAD TO OBTAIN GOVERNMENT SIDE
2384OFF EACH STEP OF THE WAY PICARD
2385LEADERSHIP IN 4G IS ONE EXAMPLE
2386OF HOW THIS POLICY HAS WORKED
2387FOR CONSUMERS.
2388TODAY WE CARRY THAT APPROACH
2389FORWARD BY ELIMINATING
239020-YEAR-OLD RULES THAT REFLECT A
2391DIFFERENT APPROACH TO SPECTRUM.
2392ONE THAT REQUIRED PROVIDERS
2393OPERATING PARTICULAR BANDS TO
2394OBTAIN FCC PERMISSION BEFORE
2395INNOVATING OR BRINGING CERTAIN
2396SERVICES TO THE MARKET.
2397THIS CHANGE WILL NOT ONLY HELP
2398LEVEL THE REGULATORY PLAYING
2399FIELD FOR WIRELESS PROVIDERS,
2400BUT ALSO RESULT IN MORE TIMELY
2401AND EFFICIENT USE OF SPECTRUM.
2402THE FLEXIBILITY WE PROVIDE TODAY
2403WILL BE PARTICULARLY IMPORTANT
2404AS WE EXTEND OUR GLOBAL
2405LEADERSHIP IN WIRELESS AS 5G AND
2406INTERNET OF THINGS OFFERINGS
2407CONTINUE TO COME ONLINE.
2408I SUPPORT THE ORDER AND HOPE WE
2409CAN CONTINUE THE AGENCY EFFORTS
2410TO IDENTIFY AND ELIMINATE
2411OUTDATED UNNECESSARY REGULATORY
2412BURDENS.
2413>>CHAIRMAN PAI: THANK YOU.
2414COMMISSIONER ROSENWORCEL.
2415>>COMMISSIONER ROSENWORCEL: IN
2416THE INTEREST OF MOVING THIS
2417ALONG I WILL SAY I SUPPORT
2418TODAY'S DECISION.
2419IT DOES NOT IN ANY WAY ALTER THE
2420STATUTORY DEFINITION OF CMRS OR
2421PMRS NOR DOES IT AFFECT THE
2422UNDERLYING REGULATORY
2423REGULATIONS ASSOCIATE WITH THE
2424SERVICE THAT'S LIGHT HAS MY FULL
2425SUPPORT.
2426>>CHAIRMAN PAI: THANK YOU,
2427COMMISSIONER.
2428I TO SUPPORT THE ITEM.
2429THIS IS AS COMMON SENSE AND GOOD
2430GOVERNMENT MEASURE AS YOU WILL
2431FIND AND FINALIZES THE PROPOSALS
2432WE INANIMATE SLEEP CONDUCTED
2433LAST YEAR.
2434SO I WANT TO THANK THE STAFF FOR
2435THEIR WORK TO HELP US MODERNIZE
2436THESE RULES TO GET TO THIS POINT
2437IN PARTICULAR JEFF, KATHY
2438HARRIS, ROGER, TOM REED,
2439JENNIFER, PETER FROM THE
2440WIRELESS TELECOMMUNICATIONS
2441BUREAU, JENNIFER AND CARL FROM
2442THE INTERNATIONAL BUREAU, JIM
2443BRADSHAW FROM THE MEDIA BUREAU,
2444CHRISTINE FROM THE W WIRELINE
2445COMPETITION BUREAU.
2446THE OFFICE OF COMMUNICATION
2447BUSINESS OPPORTUNITY AND DAVID
2448HORWITZ FROM THE OFFICE OF
2449GENERAL COUNSEL.
2450WE PROCEED TO VOTE ON THE ITEM.
2451COMMISSIONER CLYBURN
2452COMMISSIONER O'RIELLY.
2453COMMISSIONER CARR.
2454COMMISSIONER ROSENWORCEL.
2455CHAIR VOTES I AS WELL.
2456ITEM ADOPTED AND EDITORIAL
2457PRIVILEGE GRANTED.
2458MADAM SECRETARY PLEASE TAKE US
2459TO THE NEXT ITEM.