Senate Republicans resumed their effort to reject the FCC’s December net neutrality order, after the rules were published in the Federal Register on Friday. Publication meant they will take effect Nov. 20 and started a 60-day shot clock under the Congressional Review Act for Senate Republicans to move their joint resolution of disapproval (SJ Res 6). The House passed its own joint resolution (HJ Res 37) earlier this year. But it could be difficult for Republicans to overcome a veto threatened by the White House. Meanwhile, Verizon and MetroPCS are expected to file challenges in coming days to the rules now that they're taking effect. Other legal challenges are also expected.
Customs Duty
A Customs Duty is a tariff or tax which a country imposes on goods when they are transported across international borders. Customs Duties are used to protect countries' economies, residents, jobs, and environments, by limiting the flow of imported merchandise, especially restricted and prohibited goods, into the country. The Customs Duty Rate is a percentage determined by the value of the article purchased in the foreign country and not based on quality, size, or weight.
Sprint Nextel Tuesday joined the Department of Justice in suing to block AT&T’s buy of T-Mobile. Sprint sought injunctive relief against AT&T, T-Mobile and parent Deutsche Telekom, in U.S. District Court in Washington, D.C. The lawsuit alleges that the proposed deal would violate Section 7 of the Clayton Antitrust Act. Meanwhile, Rep. Bob Goodlatte, R-Va., a member of the Judiciary Committee, urged an objective court review of DOJ’s lawsuit against the deal.
Contract negotiations between Verizon and unions representing wireline workers continued Monday. The Communications Workers of America and the International Brotherhood of Electrical Workers (IBEW) called a strike after the contract for 45,000 employees throughout the mid-Atlantic region expired 11:59 p.m. Saturday without agreement on issues like healthcare and pensions. Senate Communications Subcommittee Chairman John Kerry, D-Mass., “is monitoring the situation and encouraging the parties to work towards an agreement,” his spokeswoman said.
Windstream agreed to acquire local-exchange carrier Paetec in a deal valued at $2.3 billion, including $1.4 billion in debt, as the company continues to expand its enterprise business. The deal, pending federal and state regulatory approvals, is expected to close in six months.
LOS ANGELES -- There’s no time to lose in addressing issues with call completion because public safety, homeland security and economic well-being in rural America are threatened, said panelists at the National Association of Regulatory Utility Commissioners meeting. Meanwhile, no commitments were made during Chairman Julius Genachowski’s meeting with the USF Federal/State Joint Board and the NARUC Telecom Committee.
Industry remains divided on how best to fix the Universal Service Fund and intercarrier compensation regimes, with a few months left before an FCC-promised deadline. Despite broad agreement that USF and intercarrier comp need fixing, reply comments show deep divisions over such questions as how quickly to transform to an all-IP network, how to treat VoIP service and the role of satellite and wireless technologies. “There is no doubt that the current universal service fund … and intercarrier compensation regimes are not sustainable in light of market and technological changes,” the Independent Telephone & Telecommunications Alliance said. “The comments show that there is no industry consensus in favor of the reforms outlined in the Notice or any other plan to promote broadband deployment to unserved areas.” The replies were posted in docket 10-90.
Microsoft would be drawn further into the telecom/Internet regulatory world with its $8.5 billion acquisition of Skype, experts said. But they divided over the deal’s potential implications on VoIP treatment going forward. The deal, the largest in Microsoft’s history, is expected to get regulatory approvals. Meanwhile, Media Access Project urged Microsoft to support network neutrality and other open Internet policies.
Some rural telcos are worried that cuts to the Rural Utilities Service budget in the fiscal 2011 continuing resolution could upset rural broadband investment. But other groups are breathing a sigh of relief that the budget deal, up for a House vote Thursday, dropped a proposal to prohibit the FCC from acting on its net neutrality order. The resolution would fund the government through September.
TORONTO -- As far as Comcast Chief Technology Officer Tony Werner is concerned, the future of media is all about digital rights management (DRM), not the ownership of devices, discs, and other physical assets. Speaking at the SCTE Canadian Summit this week, he argued that “physical media will disappear” by 2020 as “digital assets move to the cloud.” Rather than continue to buy new computer hard drives, Blu-ray players, gaming consoles, and other devices, or assemble sets of DVDs, CDs, tapes, and books, he said consumers will buy the rights to use digital media content.
New York’s Public Service Commission agreed to end Verizon New York’s network review plan after the company showed that it had met the plan’s goals for residential installations of the FiOS network, the regulator said. The decision to terminate the plan followed a finding that Verizon had fulfilled requirements to gain access to inspect and fix installations and consistently meet a grounding and bonding target for new installations, the commission said. Under the plan (CD Dec 17 p10), the telco committed to inspect all FiOS installations done before August 2008 and fix any problems. It also agreed to inspect an ongoing sample of installations after then to ensure compliance with grounding and bonding requirements specified by the commission and the carrier’s methods and procedures. Verizon started installing its FiOS network in 2004. The commission said its staff inspections of the company’s early installations identified “a high degree of non-compliance” with National Electric Code grounding and bonding standards. In response, Verizon in 2008 filed a plan to remediate deficient past installations, require detailed inspection of new installations and provide additional training for its technicians. The commission did impose a modified supplemental remedial plan for at least three months. Verizon will continue to do monthly inspections of a sample of new installations. The company is required to resolve outstanding minor issues and comply with the previous duties concerning new installations, including issuing customers credits and inspecting all new installations in all places where it underperforms. Other measures will be considered, including supplemental training on particular types of grounding techniques, new performance monitoring and employee incentive and discipline programs. The remedial plan will end when Verizon verifies that it has met the remaining requirements.