I just listened to FCC Chairman Julius Genachowski speaking on the Universal Service Fund (USF) and other issues. It is a very large effort to straighten out the mess that is 20th century telecommunications technologies, rules and laws, and to make those laws, rules, public funding and attitudes, change and update for the 21st century technologies that are upon us as well as address the needs of the people of not only America, but the world.
FCC Chairman Julius Genachowski Speaking on Net Neutrality
When you can spend more money to call a friend a few towns over, but its far cheaper or free, to call someone on the other side of the world; when a high school student has to park at a local library to hit its "hot spot" to get internet because they do not have it at home; when someone cannot get high speed internet in an urban area, when the next neighborhood over has it; all these things and more need to be addressed and rectified. But how does one do that with the limited resources and funding that is available? The U.S. Federal Communications Commission will unveil a proposal Tuesday to phase out subsidies for traditional telephone service to rural areas, with the money transferred to a broadband deployment program.
The Universal
Service Fund (USF) is outdated and inefficient, with much of its budget
going to support last-century networks, FCC Chairman Julius Genachowski
said Monday in a speech at the Information Technology and Innovation
Foundation.
"In the 21st century, high-speed
Internet, not telephone, is our essential communications platform, and
Americans are using wired and wireless networks to access it,"
Genachowski said in a preview of Tuesday's FCC meeting. "But while the
world has changed around it, USF -- in too many ways -- has stood still,
and even moved backwards."
A revamped USF is needed to bring broadband to an
estimated 24 million U.S. residents who don't yet have access to
traditional broadband service, Genachowski said.
But
USF is "plagued with inefficiencies," he added. "The fund pays almost
$2,000 per month -- more than $20,000 a year -- for some households to
have phone service. And in many places, the existing system funds four
or more phone companies to serve the same area."
The
FCC proposal will focus on eliminating waste and inefficiency, and on
finding better measures of effectiveness for the Connect America Fund,
the broadband program that would replace the USF high-cost fund,
Genachowski said.
The proposal will also suggest
ways for the FCC to revamp intercarrier compensation, the complicated
formulas that telecom providers use to carry each other's traffic. The
proposal, he said, will address so-called traffic pumping, a controversial practice
in which some small carriers with high intercarrier access fees partner
with sex chat lines or free teleconferencing services to drive voice
traffic to their networks.
The notice of
proposed rulemaking, or NPRM, is an early step in the FCC's efforts to
revamp USF. In an NPRM, the FCC makes proposals and asks for public
comment on them.
very informative and interesting blog.Thanks for sharing:-)
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