FCC ASKS WHETHER IT SHOULD CHANGE SOME RULES ...

... YOU MIGHT WANT TO ANSWER. HERE'S WHY:

The Federal Communications Commission last Friday (8/27) issued three Notices of Inquiry (NOI) asking whether (and how) they should change their rules with regard to wireless networks and VoIP. All three are important, but most important of the three is the NOI on Wireless Investment and Innovation, which asks some key questions (and sort of indicates where the FCC's thinking might be headed) on:

• Changing rules on spectrum usage to encourage innovation in areas of healthcare, energy usage and network management, education and public safety;
• Opening up existing spectrum to new uses (if you think this is easy, click on the link "spectrum usage" - that's the U.S. chart of frequency allocation; each of those frequencies has their own set of FCC Rules, Orders, and typically some federal court cases interpreting disputes);
• Changing rules on use of devices (including which applications you can or cannot use on your handsets - think iPhone v those Stanford kids who built some search engine).

All of this matters very much to the Internet because so many devices connect to the Internet via mobile networks. Given the concentration in mobile networks (AT&T, Verizon, Sprint and T-mobile) and that the two largest are also backed by the largest landline networks (AT&T and Verizon), the FCC is also asking questions about the state competition in mobile wireless markets. This NOI raises questions of whether and how the FCC should measure market power in these markets. The question of how market power is measured can be determinative to whether and how the FCC might intervene. It can be outcome-determinative. As such, it may influence the FCC's decisions on how far they have to go to open up wireless spectrum and other rules to stimulate innovation.

Lastly, the FCC is asking question about whether it should impose traditional telephone "Truth-in-Billing" and other requirements on Voice over Internet Protocol providers. While this seems a good thing for consumers and may well be, from an innovator's perspective it shoves VoIP one notch further down into the box of conventional service regulation and all of its attendant costs. At some point the burden of regulation begins to preclude the question of whether the service could evolve quickly and in price competitive ways that would give consumers so many options they'd just switch away from a bad provider rather than go to a regulator and engage wheels of justice we wished moved as slow as glaciers.

BOTTOM LINE: The FCC is beginning to ask some good questions, undoubtedly reflecting the welcome leadership of Chairman Genachowski, but there's quite a bit of this that's framed in conventional terms. It would be nice, if for once, the FCC heard from more than just the industry. (More on that below.)

DEADLINES:

WIRELESS INNOVATION NOI

COMMENTS DUE: SEPTEMBER 28, 2009

REPLY COMMENTS: OCTOBER 12, 2009

COMPETITIVE MARKET CONDITIONS W/R/T MOBILE WIRELESS:

COMMENTS DUE: SEPTEMBER 28, 2009

REPLY COMMENTS DUE: OCTOBER 13, 2009

TRUTH IN BILLING FOR IP-ENABLED SERVICES

COMMENTS DUE: OCTOBER 13, 2009

REPLY COMMENTS DUE: OCTOBER 28, 2009

COMING SOON: A insider's DYI guide on how to file FCC comments. I'll give you some insights on how to write effective comments, where to locate the good information, and how to file. I'll offer some tips on strategy in the bonus round. And I just might help a lucky contestant with preparing and filing their FCC comments. Stay tuned ...