Associations, Companies Widely Support Small ISP Exemption to Net Neutrality Transparency Rule
Associations, ISPs and others urged the FCC Consumer and Government Affairs Bureau (CGB) to extend or make permanent the small-provider exemption to the updated transparency rules adopted in the 2015 net neutrality order, in comments posted Wednesday and Thursday in docket 14-28. Some of the filers told us that they are optimistic CGB will keep the exemption.
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Filings responded to the commission's request for comment (see 1506220037) on the exemption -- set to expire in December -- for providers with fewer than 100,000 broadband connections. The updated rules require companies to further disclose to consumers and others information on its performance characteristics and network practices.
Groups including the American Cable Association, CTIA, NTCA, USTelecom and the Wireless Internet Service Providers Association suggested the CGB should continue the exemption due to significant burdens they said would be placed on the small providers if the exemption ended. The groups also urged the FCC to permanently extend the exemption and said the costs far outweigh the benefits that could come from eliminating the exemptions. That sentiment was also echoed in comments submitted by Alaska Communications Systems Group and Gogo, two ISPs potentially affected by the CGB's decision.
USTelecom warned the CGB that "the costs associated with the new enhanced transparency obligations will overwhelm small broadband providers," and said the small companies could be required to hire additional counsel and employees to cope with and implement the programs if the exemption is removed. It also said the commission "has failed to explain how its new transparency requirements will have any practical utility that justifies the immense burden it will impose on all, but especially smaller broadband providers." Some trade groups also suggested bumping up the small-provider threshold to a larger number of broadband connections, or completely abolishing it.
Ross Lieberman, ACA senior vice president-government affairs, said in an interview that he is hopeful the CGB will extend the small provider exemption and feels it's warranted. If the exemption isn't extended, Lieberman said, the transparency requirements will cause companies to divert time and funding from reinvesting in their businesses, or will drive up cost of services for consumers. Joshua Seidemann, NTCA vice president-policy, said in an interview that costs to businesses if the exemption is removed would be "quite expensive and burdensome." Seidemann also said he thinks that "the FCC took a clear and logical course" in implementing the exemption, and extending it is justified.