FCC announced resignation of John Hoffman as chmn. of N. American Numbering Council (NANC), effective Mon. NANC meeting scheduled for May 22-23 has been cancelled. Hoffman had been chmn. since Sept. 1, 1999, and cited “other demands” on his time as reason for resignation.
CLECs and their trade organizations urged FCC to retain and possibly improve “most-favored-nation” (MFN) conditions that it placed on mergers of Bell Atlantic-GTE and SBC-Ameritech. In comments filed April 30, groups that included Assn. of Communications Enterprises (ASCENT), CompTel and several individual telcos, urged Commission not to waive MFN conditions as suggested by Verizon. MFN conditions require ILECs to make portions of their interconnection agreements with CLECs available to any other requesting CLECs. Verizon asked FCC on Feb. 20 to clarify that MFN condition on Verizon’s merger didn’t apply to reciprocal compensation for Internet-bound traffic. “Merger conditions, including the MFN merger condition, continue to be necessary to limit the ability of the merged entities to engage in anticompetitive conduct,” ASCENT said. CompTel, joined by Advanced Telecom Group and KMC Telecom, said MFN condition should be clarified “so that Verizon and SBC understand that they encompass all Communications Act requirements, including Sec. 252(b) obligations.” CompTel charged that both Bell companies had tried to “frustrate the utility of the merger conditions.”
OPASTCO invited its members to host guest from FCC or Congress at their telephone company during National Small Independent Telephone Company Week Sept. 10-16. Rural Outreach Program will give regulators and lawmakers chance to “see what goes on in the world of rural telecommunications,” OPASTCO said in weekly report to members on Washington issues.
Multi-agency Committee on Foreign Investment in U.S. (CFIUS) finalized its review of VoiceStream, Deutsche Telekom and Powertel merger, allowing companies to clear last remaining regulatory hurdle before deal closes. VoiceStream said CFIUS ended its review with decision to take no further action. Panel includes departments of Defense, State, Commerce and Treasury. VoiceStream reiterated that it expected merger to close May 31. FCC unanimously gave green light to transaction last week with no major merger conditions. Successful CFIUS review had been expected after companies reached agreement with FBI and Dept. of Justice earlier this year on national security issues. That auxiliary deal was incorporated into FCC approval of transaction. CFIUS itself was created under Exon-Florio amendment to 1950 Defense Production Act and its investigation typically can last up to 45 days.
Despite complaints by CE manufacturers and retailers, NCTA told FCC that cable industry continued to make progress in resolving DTV-cable compatibility issues with consumer electronics industry (CD April 30 p5). In its 2nd 6-month update to Commission, NCTA said CableLabs had completed its OpenCable hardware specifications for competitive digital cable set-top boxes to be sold at retail level. Group said CableLabs also was developing companion OpenCable software specifications for digital cable boxes. NCTA said cable and CE industries had completed gaining approval of new network interface specifications that NCTA and CEA negotiated early last year. NCTA also said cable industry was working with its set-top manufacturers to implement carriage of independent Program & System Information Protocol (PSIP) data for electronic program guides on cable systems, which cable and CE industries also agreed to last year. “As we said in our November 30 report, the agreement focuses on the carriage of PSIP through the distribution chain and not its creation by program providers,” NCTA said. “As such, these carriage requirements are based on the availability of PSIP data from the content provider.”
White House sent nomination of Mike Copps to be FCC commissioner to Senate late Mon. Democrat’s nomination joined those of 2 Republicans -- Kathleen Abernathy and Kevin Martin (CD May 1 p4) -- and Chmn. Powell’s reappointment to 5-year term. Senate Commerce Committee could move quickly on all 4 nominations. Panel is looking at May 17 for hearing, spokeswoman told us.
FCC late last week stood by its earlier decision that Bell companies couldn’t provide interLATA information services without obtaining Sec. 271 authorization. Agency had agreed late last year to reconsider whether Sec. 271 requirements applied to information services (CD Dec 4 p5) after Verizon and Qwest sought court intervention. FCC requested, and was granted, voluntary remand from U.S. Appeals Court, D.C., to reconsider 1996 order because Bells raised arguments that hadn’t been considered originally. Bell companies argued that Telecom Act’s definition of “interLATA services,” which are subject to Sec. 271 requirements, included only telecom, not information, services. FCC in order released April 27 (CC Doc. 96-149), said it still believed “interLATA services” as used in Sec. 271 “encompasses interLATA information services as well as interLATA telecommunications services.” Agency reiterated its view that interLATA information services couldn’t be provided without interLATA transmission component and thus fall within definition of prohibited services. Although Bells had argued that agency’s 1998 universal service report to Congress conflicted with that conclusion, FCC said it didn’t agree. Bells had contended that report defined telecom and information services as exclusive categories, with provider of information services “using” rather than “providing” telecom services. Agency concluded: “Although the Act is not a model of clarity in many respects, our examination of the statutory terms, structure, history and purposes all lead to the conclusion that a BOC’s bundling of interLATA transmission with an information service offering constitutes the provision of an ‘interLATA service’ in the context of Sec. 271.” Bells say they want to offer Internet access and other information services in more competitive way. Because of Sec. 271 restrictions, they or their customers have to contract with long distance companies to act as middlemen carrying portion of transmission that goes to Internet backbone node from Bell company’s server.
It’s way too late to reopen Bell Atlantic-GTE merger as requested by WorldNet, Verizon told FCC in comments filed April 25 (CC Docs. 98-141, 98-184). WorldNet, CLEC that’s seeking interconnection in Puerto Rico, has asked FCC to apply merger conditions to Puerto Rican Telephone Co.(PRTC) in order to expand opportunities for CLECs there. Verizon said “extraordinary request” came months after Bell Atlantic and GTE were integrated under Verizon name and long after deadline for filing petitions for reconsideration. It said, “The Commission was… fully aware of Verizon’s ownership interest in PRTC at the time it approved the merger between Bell Atlantic and GTE” and yet adopted merger conditions that didn’t include PRTC. Another reason for turning down request, Verizon said, is that FCC “lacks the statutory authority” to expand merger conditions because “the conditions were voluntary to begin with.”
PanAmSat told FCC in filing Fri. that satellite companies still faced market access problems worldwide. It said privatization of Intelsat along with passage of Orbit Act “will not end” and “could well perpetuate” market access privileges it had enjoyed as intergovernmental organization. PanAmSat customers have asked local regulatory authorities for permission to uplink satellites in Bolivia, Central African Republic, Kenya, Senegal and Uruguay, only to be informed that Intelsat was only organization authorized to provide fixed satellite services. PanAmSat said Intelsat privatization would leave its market advantages intact. It said Commission and U.S. should adopt multifaceted approach to improving market access.
Key question in FCC proceeding on interactive TV (CS 01-07) is whether consumers with cable set-tops will be able to use “triggers” embedded in their broadcast TV signals, broadcast groups said in joint ex parte filing Tues. They said cable modem services had preserved openness, but sought assurances that same would be true in next-generation boxes. “Consumers must remain free to access any [Web] site of their choice,” said filing by ALTV, Disney, MSTV, NAB, Univision, USA Networks.