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Incompas Urges FCC to Set Nov. 17 Vote on BDS Action; Heavy Lobbying Continues

Incompas urged the FCC to curb business data service "market power abuse" at the commissioners' Nov. 17 meeting, the preliminary agenda for which is due Thursday. "Setting a vote on BDS would advance a proceeding that has dragged on for…

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over a decade," said CEO Chip Pickering in a blog post Tuesday. "We currently live in the EpiPen world of broadband, where companies like AT&T and CenturyLink use their market power to overcharge customers. ... Chairman Tom Wheeler’s proposal to adopt a remedy to address market abuse on legacy BDS services is an important first step toward more competition that we support." The FCC "should establish a mechanism or clear guidelines for Ethernet BDS pricing that fosters competition, not monopoly rates," Pickering wrote. He said the FCC should ensure wholesale rates always are less than retail rates, and further address "lock-up agreements." Representatives of Public Knowledge, Common Cause, New America's Open Technology Institute and the Computer & Communications Industry Association pressed the agency to "promote competition and address unjust and unreasonable prices that enterprise, wholesale, and mobile wireless backhaul customers pay for TDM and packet-based BDS services." The commission should phase in proposed TDM rate adjustments in two years, rather than three years, and rates should be cut by 17 to 20 percent instead of a proposed 11 percent, said a PK filing in docket 16-143 on a meeting with an aide to Commissioner Jessica Rosenworcel, which also urged the commission "to address the high cost of Ethernet services." Charter Communications said the FCC "cannot lawfully regulate the large universe of BDS provided on a private-carriage basis." In a filing on meetings with aides to Commissioners Mike O'Rielly and Mignon Clyburn, Charter opposed any Ethernet regulation, even of incumbent ILECs at lower speeds, which it said "could have a devastating impact on BDS investment for cable and other competitive providers." Alaska Communications asked the FCC to defer any consideration of BDS regulatory changes in Alaska, given the "state's unusual market dynamics," said a filing on meetings with every commissioner except Wheeler, aides (including to Wheeler) and other FCC officials. Sprint, Frontier Communications, Level 3, AT&T and others made further BDS filings in the docket in recent days.