FOR IMMEDIATE RELEASE

July 15, 2010

TIA Urges FCC to Maintain Current, Long-Standing Regulatory Status of Broadband Internet Service

An Independent Study Commissioned by the Telecommunications Industry Association Points to Potential Harmful Effects of Overregulation of Broadband

Washington, D.C. – The Telecommunications Industry Association (TIA), which represents the companies that manufacture or supply the products and services used in the provision of broadband and broadband-enabled applications, today filed comments, accompanied by an economic study, with the Federal Communications Commission (FCC) urging it to maintain the current, long-standing regulatory status of broadband Internet access service.

TIA believes that FCC Chairman Julius Genachowski's proposal to reclassify broadband under a new regulatory regime would imperil American jobs as manufacturers face an uncertain regulatory climate, dampening investment in an industry that has been tapped by President Obama and Congress as a driver for economic recovery. U.S. global competitiveness would suffer, as would American consumers of broadband services and broadband-enabled technologies.

TIA noted that the broadband marketplace has greatly benefitted from the Commission's current, longstanding regulatory approach to broadband Internet access service as an "information service." "The regulatory certainty associated with Title I oversight has been a key driver in promoting a robust Internet ecosystem and in encouraging significant investment in the deployment of broadband infrastructure during the past decade," said TIA President Grant Seiffert.

Notwithstanding recent judicial developments, the broadband marketplace can and should remain vibrant provided that the Commission continues its long history of treating broadband Internet access service as an information service pursuant to Title I of the Communications Act of 1934, as amended (the "Communications Act"), TIA wrote.

"Efforts to change the status quo will only result in confusion in the marketplace, a prolonged period of regulatory uncertainty, and a corresponding negative impact on broadband deployment," said Seiffert.

TIA commissioned an independent study by Cambridge Strategic Management Group (CSMG) on the impact of prospective FCC regulations on operator investment decisions. The study, filed publicly with the Commission, underscores the potentially significant economic impact of the increased regulation contemplated in this proceeding. The study found that expanded regulations – particularly the risk that the NOI could lead to greater Title II regulation than currently proposed – would lead to a significant financial impact that would limit broadband deployment.

TIA strongly believes that Title I and provisions of Title II continue to provide the Commission with sufficient authority to effectuate important broadband policy, and that the "information services" classification accurately reflects the technical characteristics of broadband Internet access service, which is well settled to be an integrated information service.

"Efforts by the Commission to impose a Title II regulatory scheme on ‘broadband Internet connectivity' will create a significant negative economic impact on broadband investment and deployment, no matter how well intentioned the Commission's Third Way proposal may be," said Seiffert. "Ultimately, the Commission already has a number of legal and policy tools available to it that truly flow from the status quo, and thus it need not pursue the fundamental reclassification approach as contemplated in this proceeding."

Read TIA's comments on its FCC filings page at tiaonline.org.

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About TIA
The Telecommunications Industry Association (TIA) represents the global information and communications technology (ICT) industry through standards development, advocacy, tradeshows, business opportunities, market intelligence and world-wide environmental regulatory analysis. Since 1924, TIA has been enhancing the business environment for broadband, mobile wireless, information technology, networks, cable, satellite and unified communications. Members' products and services empower communications in every industry and market, including healthcare, education, security, public safety, transportation, government, the military, the environment and entertainment.

TIA is accredited by the American National Standards Institute (ANSI). Visit tiaonline.org.

TIA's Board of Directors from includes senior-level executives from ADTRAN, Alcatel-Lucent, ANDA Networks, AttivaCorp, Cisco Systems, Ericsson, Inc., GENBAND, Inc., Henkels & McCoy, ILS Technology, Intel Corporation, Intersect, Inc., LGE, Microsoft, Motorola, Nokia Siemens Networks, OneChip Photonics, Openwave, Inc., Panasonic Computer Solutions Co., Powerwave Technologies, Qualcomm, Research In Motion, Sumitomo Electric Lightwave Corporation, Tellabs, Tyco Electronics, Ulticom, Inc., Walker & Associates and WirefreeCom, Inc. Advisors to the Board include FAL Associates and Telcordia Technologies.

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