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Killing net neutrality has solved US competition problems

by on07 February 2018

FCC claims the big telcos are now competing

Desperate to prove that killing net neutrality was not designed to make telcos richer at the expense of the rest of the US, the FCC has gone into full spin mode.

The FCC has released a new report bizarrely claiming that the agency's attack on net neutrality is already paying huge dividends when it comes to sector investment and competition.

Unfortunately for the FCC, the data the agency is relying on to "prove" this claim comes from before current FCC boss Ajit Pai even took office and doesn't remotely support that conclusion.

The Trump FCC's latest broadband deployment report [concludes] that "advanced telecommunications capability is being deployed to all Americans in "a reasonable and timely fashion". That claim comes despite the fact that this same data also shows that two thirds of U.S. homes lack access to 25 Mbps broadband from more than one ISP, resulting in numerous broadband monopolies in markets nationwide.

An accompanying press release goes on to claim that "steps taken last year have restored progress by removing barriers to infrastructure investment, promoting competition, and restoring the longstanding bipartisan light-touch regulatory framework for broadband that had been reversed by the Title II Order". The FCC has repeatedly tried to claim that the FCC's 2015 net neutrality rules devastated sector investment - despite the fact this is easily disproved by ISP earnings reports, SEC filings, and numerous CEO statements to investors. That hasn't stopped the FCC from repeating this claim anyway, apparently hoping that repetition forges reality.

"The problem: these deployments aren't new, and industry watchers note that they all technically began under the oversight of the previous FCC. All of the examples provided by the agency cite deployments that predominantly occurred in 2017 as the result of obligations attached to mergers or subsidies under the previous Tom Wheeler-run FCC."

But that does not matter; the spinning follows the US trend where it is OK to say complete rubbish to the world because no one cares if the facts are wrong. 

Last modified on 07 February 2018
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