FCC Chmn. Powell sounded familiar theme in speech to USTA confere...

had heard his themes. Powell told audience that “the market has to be at the pinnacle of government philosophy” but reminded that deregulated companies faced more risk because “the market can be a killer.” Marketplace can “strangle bad business models,” he said, “doing what regulators fear to do.” There’s need for “enlightened competition policy” that recognizes importance of innovation, he said. Asked whether he would work to reduce number of court remands, Powell said there had been times when agency had been “a little too aggressive” in pushing boundaries of law. It’s understandable, he said, because it’s challenging to fit new technology issues within confines of Communications Act. Solution is to be conservative, he said. “I can’t make up a rule” and doing so could damage FCC’s relationship with Congress, Powell said. “There are things I know are wrong but they are the law,” he told audience. “Many of you will get no’s from me not because I disagree but because I can’t find it [in law].” In answer to another question, he said he doubted new commissioners would be named within next 2 months but said it was hard to tell. It all depends on how deals are struck, he said. Asked whether merger of WorldCom and Bell company still would be “unthinkable,” as ex-FCC Chmn. Reed Hundt said in connection with AT&T-SBC, Powell said “nothing is unthinkable.” He quickly added that it would be “totally inappropriate” for him to say anything about any contemplated merger until request for action had been presented to FCC.