Bush, Kerry Have Different Technology Approaches, Panelists Say

Thomas Lenard of the Progress & Freedom Foundation generally agreed with the Progressive Policy Institute’s Robert Atkinson when he said Bush wasn’t as engaged in broadband deployment as Kerry would be. Highlighting “differences in approach,” Lenard said Bush’s broadband policies focused on deregulation and removing disincentives to invest, while Kerry sought subsidies. But Blair Levin, Legg Mason analyst and former chief of staff to Democratic FCC Chmn. Reed Hundt, said market forces wouldn’t take broadband “everywhere” and subsidies would be needed to take deployment to rural areas. “The question is do we care about broadband enough to make it a universal service,” Levin said. “This may not be the moment to determine this.” Atkinson said Kerry believes broadband deserves special treatment from the govt., especially since other countries like Japan are outpacing the U.S. in data speed and deployment. Lenard said it was “far too early” to determine whether a market failure required govt. subsidies. Levin doubted deregulation would lead to investment in broadband. “Investment isn’t driven by deregulation; it’s driven by competition,” Levin said. Bruce Mehlman, former Commerce deputy asst. secy.-technology policy and co-founder of Mehlman & Vogel, noted that broadband was being adopted faster than many other recent new technologies.

Mehlman said Bush had been consistent in his free- trade policies and could tout his R&D credentials to the tech community. He said R&D spending had gone up 44% under Bush and the Administration had opened spectrum for Wi-Fi and 3G. Mehlman praised the technology R&D tax credit in a tax relief package Bush signed Mon. Mehlman also noted that Kerry called the package “unfair, unwise and wrong.” Atkinson said Kerry had always supported R&D tax credits and his criticism was directed at the larger tax relief package for business. Atkinson said Bush employs a “laissez faire” attitude toward trade policy, while Kerry would push to keep markets open. But Mehlman questioned how a candidate who calls American CEOs with foreign operations “Benedict Arnold executives” would help open foreign markets. Atkinson also said Bush has given low priority to cybersecurity, e-govt. and spam, as evidenced by the recent resignation of Dept. of Homeland Security cybersecurity czar Amit Yoran. Mehlman said that where Kerry sees the need for laws to battle problems like spam and spyware -- which Mehlman argued couldn’t be properly addressed with legislation -- Bush will seek technology solutions.

Levin also highlighted the possible rewrite of the Telecom Act in Congress next year. He said some of the steam behind the move had been removed by FCC actions favorable to the Bells. He said Wall St. wasn’t likely to get involved telecom legislation until it was complete. Levin said the major issues before the FCC next year would be reform of the universal service fund and intercarrier compensation, as well as DTV transition. On media ownership, Levin said Bush was less likely to see the market as concentrated than Kerry and the 2 candidates would have great differences on this issue. The Senate could go to the Democrats, but Levin said the Senate Commerce Committee’s focus would be the same whether Sen. Stevens (R-Alaska) or Sen. Inouye (D-Hawaii) takes the reins. “Whether its fiber-to-the-igloo or fiber-to-the- surfboard, rural interests will be served in the Senate,” Levin said.