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                                                                                           TECHNOLOGY Monday 20 March 2017



















                 Telecom policy tilts in favor of industry under Trump’s FCC





            TALI ARBEL                   It’s no secret President Don-  president,  the  FCC  used
             AP Technology Writer        ald  Trump’s  hand-picked    those   broader    powers
            NEW  YORK  (AP)  —  Trump-   FCC  chief,  Ajit  Pai,  wants   to  go  after  “zero-rating”
            ism is slowly taking hold on  to  cut  regulations  that  he   plans, which give subscrib-
            your phone and computer,  believes  are  holding  back    ers  free  data  so  long  as
            as  newly  installed  federal  faster, cheaper internet.  they stick with their carrier’s
            regulators  begin  chipping  Pai takes special aim at net   own  streaming-TV  service,
            away  at  hard-fought  pro-  neutrality rules, which regu-  like  AT&T’s  DirecTV  Now  .
            tections  on  privacy  and  late  broadband  as  a  util-  Zero rating may be popular
            competition.                 ity  and  bar  providers  from   with consumers — hey, free
            These  protections,  put  in  playing  favorites  by  offer-  data! — but the FCC under
            place  during  the  Obama  ing speedier access to, say,   Obama  had  argued  that
            administration,  had  upset  their  own  streaming-vid-   letting  internet  providers
            the  phone  and  cable  in-  eo  services.  Pai  considers   play  favorites  undermines
            dustries.  The  new  regime  these  rules  a  mistake  that   streaming-video  competi-
            at  the  Federal  Communi-   slows investment in internet   tion  and  ultimately  leaves
            cations  Commission  says  infrastructure. His goal is to   consumers worse off. After
            consumers win if businesses  expand  internet  access,    Pai  took  office,  the  FCC
            face  less  regulation  and  especially  in  rural  areas   reversed  that  stance  and
            have  more  incentives  to  where choices are limited.    gave a thumbs-up to AT&T     In this Thursday, Feb. 26, 2015, file photo, Federal Communica-
            invest. But consumer advo-   But an aggressive overhaul   and other carriers with ze-  tion Commission Commissioner Ajit Pai speaks during an open
                                                                                                   hearing and vote on “Net Neutrality” in Washington.
            cates worry these changes  of  net  neutrality  could  be   ro-rating policies.                                                 Associated Press
            give  broadband  providers  politically  and  legally  diffi-  The  agency  also  exempt-
            that own media businesses  cult. For a telecom policy,    ed    additional    smaller   before using or selling your  ity rules are expected to be
            more  power  to  favor  their  net  neutrality  is  popular   broadband providers from   data.  Phone  and  cable  undone in any case.
            own services, among other  with  consumers,  drawing      a  net  neutrality  regulation   companies   have   com-  BROADBAND  ACCESS  AND
            things.                      attention  from  comedian    that  required  companies    plained that these rules are  PRISON PHONE RATES
            The  changes  are  small  John  Oliver  and  spurring     to  spell  out  their  pricing,   tougher  than  what  inter-  Other  efforts  that  were  in-
            and    easily   overlooked.  people  to  flood  the  FCC   such  as  specifying  how   net-advertising behemoths  tended  to  address  inequi-
            But they’re the first shots in  with roughly 4 million com-  long   promotional   rates   like Google and Facebook  ties,  like  the  high  cost  of
            what could turn into a full-  ments (not all in support, of   last  and  whether  services   face.  Pai  says  he  wants  prison  phone  calls  and
            fledged war over Obama-      course). A federal appeals   capped  monthly  data  us-   to  work  with  the  Federal  broadband  for  lower-in-
            era  “net  neutrality”  rules,  court  upheld  the  rules  in   age.                   Trade Commission, another  come people, are seen as
            which  were  designed  to  June. This may explain why     Until  the  FCC  or  Congress   D.C. regulator, to come up  endangered.
            keep  phone  and  cable  the  FCC  has  so  far  opted    goes full-bore on net neu-   with  broadband  privacy  The agency refused to de-
            giants  from  favoring  their  for  a  piecemeal  attack   trality, the agency will likely   rules  that  are  more  in  line  fend  in  court  an  FCC  rule
            own  internet  services  and  —  an  approach  that  may   “stand  down”  from  en-    with the laxer standards for  that  capped  rates  for  in-
            apps.  Overturning  these  continue for a while.          forcing  it  unless  there’s  a   internet companies.     state  calls  made  to  peo-
            rules  would  also  likely  re-  NIBBLING   AROUND   THE   “really  extreme”  violation,   R e p u b l i c a n l a w m a k -  ple  in  prison.  And  it  has
            verse  a  privacy  measure  EDGES                         said Marc Martin, technol-   ers  have  proposed  spiking  limited  the  availability  of
            meant to keep broadband  A  broad  attack  on  the        ogy and telecom attorney     them  completely.  Demo-     government-subsidized  in-
            providers  from  using  and  landmark 2015 net neutral-   with Perkins Coie.           crats say that would leave  ternet  service  for  poorer
            selling customer data with-  ity rules is expected. But un-  ONLINE PRIVACY REDO       consumers vulnerable and  Americans  by  pulling  nine
            out permission.              der Pai, the FCC has made    The   agency    has   also   allow  companies  like  Ve-  providers  from  a  program
            “Death by a thousand cuts  only  some  tweaks  to  the    blocked  part  of  a  broad-  rizon  or  AT&T  able  to  sell  called  Lifeline.  The  agen-
            is a constantly overused cli-  agency’s approach. These   band privacy measure that    consumer       information  cy  cited  concerns  about
            che, but that’s sort of what  rules  have  barred  broad-  requires  companies  like   to  advertisers.  There  are  fraud and waste. The FCC
            they’re  aiming  for  right  band providers from block-   Comcast  and  Verizon  to    vaguer  privacy  require-    says Lifeline still had dozens
            now,” said Matt Wood, the  ing and slowing some web-      take  “reasonable  mea-      ments that still apply under  of  companies  offering  dis-
            policy director of consumer  sites  and  creating  faster   sures”  to  secure  customer   the net neutrality rules, but  counted broadband as of
            group  Free  Press,  referring  access for their own servic-  information  like  financial   the  agency  may  be  loath  December.  The  FCC  may
            to  the  Republicans  now  in  es. But the rules also gave   data or web browsing his-  to  enforce  them,  Martin  be  open  to  reconsidering
            power at the FCC.            the FCC broader powers to    tories.                      said.  And  the  net  neutral-  its decision.q
            The  agency  has  five  com-  stop  telecom  companies    The   remaining    privacy
            missioners  appointed  by  from  hurting  competition     rules,  which  aren’t  in  ef-
            the president and oversees  and  consumers  in  other     fect  yet,  are  now  under
            internet  services  and  the  ways  that  weren’t  spelled   threat.  Under  these  rules,
            broadcast industry.          out.                         phone  and  cable  com-
            DEATH TO NET NEUTRALITY      When Barack Obama was        panies must ask permission
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