FCC, White House Taking Closer Look at Cellphone Locking Decision
FCC Chairman Julius Genachowski Monday criticized a decision by the Copyright Office that said it’s a violation of the Digital Millennium Copyright Act for consumers to unlock new mobile phones. Genachowski asked Congress to take action. Meanwhile, a White House official said the administration agrees people should be able to unlock their phones. On Jan. 26, the librarian of Congress issued a ruling that effectively made it illegal to unlock new phones (http://1.usa.gov/ZaI6qS). Violators face heavy fines and prison time.
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"From a communications policy perspective, this raises serious competition and innovation concerns, and for wireless consumers, it doesn’t pass the common sense test,” Genachowski said (http://fcc.us/Z2PKH5). “The FCC is examining this issue, looking into whether the agency, wireless providers, or others should take action to preserve consumers’ ability to unlock their mobile phones. I also encourage Congress to take a close look and consider a legislative solution.” On Friday, FCC officials had no comment on reports that Genachowski had raised concerns on the issue last week at TechCrunch’s CrunchGov in San Francisco (http://tcrn.ch/VviiZO).
Senior White House adviser David Edelman said in a blog post Monday the administration understands the concerns on cellphone locking expressed by more than 114,000 people who signed a petition (CD Feb 22 p14) on the administration’s “We the People” online platform. “The Obama Administration would support a range of approaches to addressing this issue, including narrow legislative fixes in the telecommunications space that make it clear: neither criminal law nor technological locks should prevent consumers from switching carriers when they are no longer bound by a service agreement or other obligation,” Edelman said (http://1.usa.gov/14lub3Z).
The same principles should apply to tablets, Edelman said. “If you have paid for your mobile device, and aren’t bound by a service agreement or other obligation, you should be able to use it on another network,” he said. “It’s common sense, crucial for protecting consumer choice, and important for ensuring we continue to have the vibrant, competitive wireless market that delivers innovative products and solid service to meet consumers’ needs."
"In today’s phone unlocking response, the White House took a strong stance in favor of consumers, competition, and innovation,” said Sherwin Siy, vice president-legal affairs at Public Knowledge. “We're very glad that the administration recognizes the significant problems created when copyright laws tread upon the rights of consumers to use the products they have bought and owned."
Also Monday, the Library of Congress released a statement saying the decision was made in response to questions raised in a rulemaking conducted between September 2011 and October 2012 by the register of copyrights. “The rulemaking is a technical, legal proceeding and involves a lengthy public process,” the statement said (http://1.usa.gov/ZisMcU). “It requires the Librarian of Congress and the Register of Copyrights to consider exemptions to the prohibitions on circumvention, based on a factual record developed by the proponents and other interested parties. The officials must consider whether the evidence establishes a need for the exemption based on several statutory factors. It does not permit the U.S. Copyright Office to create permanent exemptions to the law."
"Wireless providers exercise too much control over our communications already, reaping enormous profits while tightening their grip over our devices whenever they can,” said Free Press Policy Director Matt Wood. “The White House is on record now, offering its support for a range of ways to fix this problem. Congress should take up the challenge and stand up for wireless freedom."
The Competitive Carriers Association called for prompt congressional action. “That the White House issued such a quick response supporting the 100,000 plus signatures on the unlocking petition clearly indicates the need to put an end to the device unlocking ban,” said CCA Steve Berry. “I am pleased the Administration recognizes that allowing consumers to take the device of choice to the network that best meets their needs will promote competition, spur innovation and benefit the economy.”