Any incoming presidential administration must “be ready to implement a reindustrialization plan" and change financial rules to resurrect American manufacturing and compete with China, FCC Commissioner Nathan Simington wrote in China is Winning, Now What?, an essay in the fall issue of the journal American Affairs. The essay doesn’t mention the FCC, and it only touches on tech policy. Instead, it focuses on China’s superior manufacturing capacity and on the global dependency on Chinese products. “It would have been unthinkable for Cold War America to source key components in logistics and telecommunications from the Warsaw Pact,” Simington wrote. “And yet, our long history of peaceful relations with the PRC [People’s Republic of China] has led us to sleepwalk into exactly this unacceptable state of dependency.” Simington noted that the rise of electric vehicles has positioned China as a global competitor to the U.S. auto industry and said a collapse of American carmakers would deeply injure America. Should China become the dominant international automaker, it could “normalize the presence of hundreds of millions of vehicles packed with sensors, radios, and firmware on every road in the world,” Simington added. “The intelligence benefits alone are incalculable, but control of such markets will in addition weaken countries that the PRC routinely calls its geopolitical adversaries.” To address the matter, the U.S. should “use tariffs and waivers as precision tools for strategic products and industries” but it must also “address larger questions of tax, accounting, and finance rules that have contributed to an anti-industry investment environment,” Simington wrote. Federal spending should be reallocated “to promote world peace through American strength.” He added, “The social costs of failure, here and abroad, will blight the lives of generations yet unborn.”
FCC Chairwoman Jessica Rosenworcel circulated to the 10th floor plans for a full commission vote on restructuring radio group Audacy’s petition for a declaratory ruling seeking expedited foreign-ownership review as part of George Soros-affiliated entities purchasing its stock (see 2404230054), a commission official confirmed to us Thursday. Senate Commerce Committee ranking member Ted Cruz, R-Texas, preemptively claimed credit for Rosenworcel’s decision after pressing Republican Commissioners Brendan Carr and Nathan Simington about Audacy last week (see 2408090051).
T-Mobile condemned a plan allowing people without social security numbers to seek low-income telephone support in California. In comments this week, T-Mobile subsidiary Assurance Wireless said the California Public Utilities Commission’s July 22 proposed decision "poses a serious threat to the integrity and the functionality of” California LifeLine. Consumer advocates applauded the plan that requires providers to accept applications from those without SSNs, though they raised major privacy concerns with a proposal to use LexisNexis’ TrueID authentication software for identity verification. The CPUC may vote Aug. 22 on the proposal in docket R.20-02-008 (see 2407230040).
Senate Commerce Committee ranking member Ted Cruz, R-Texas, is pressing Republican FCC Commissioners Brendan Carr and Nathan Simington to insist the full commission review requests from restructuring radio group Audacy for expedited foreign-ownership review as part of the purchase of its stock by George Soros-affiliated entities (see 2404230054). In July, Cruz wrote Democratic Commissioners Anna Gomez and Geoffrey Starks, urging that they push for a full FCC vote. “Considering the large number of stations involved, the presence of foreign ownership interests in excess of limits specified in federal law, and the deal’s timing in the final run-up to the Presidential election, I argued that a thorough vetting by the full Commission was both an expected duty of the officeholder and necessary to protect the interests of the American public,” Cruz said Friday in a letter to Simington. Cruz's letter to Carr wasn't available. Gomez and Starks “indicated they were eager to avoid accountability by letting faceless, unelected bureaucrats who were not accountable to the public or the Senate rubber-stamp the deal under the guise of delegated authority.” The Democratic commissioners “appear willing to turn a blind eye to Chairwoman [Jessica] Rosenworcel’s pattern of abusing delegated authority,” Cruz said: “This was seen most starkly in the Commission’s mishandling of” the terminated Standard General/Tegna deal (see 2306010077), “where instead of holding an open and transparent Commission-level vote, [Rosenworcel] violated FCC precedent and quashed the deal through a bureau-level order.” He asked Carr and Simington to respond by Aug. 23 about whether they back a full FCC vote on Audacy.
Sens. Elizabeth Warren, D-Mass., and Bernie Sanders, I-Vt., and Rep. Joaquin Castro, D-Texas, are urging the FCC and DOJ Antitrust Division to “closely scrutinize” the Venu Sports streaming platform joint venture from Disney subsidiary ESPN, Fox and Warner Bros. Discovery (see 2402070006). “This massive new sports streaming company would be poised to control more than 80% of nationally broadcast sports and more than half of all national sports content, putting it in a position to exercise monopoly power over televised sports,” the lawmakers said in an eight-page letter to DOJ Antitrust Chief Jonathan Kanter and FCC Chairwoman Jessica Rosenworcel released Wednesday. “The market power of [Venu's] three giant parent companies would enable it to discriminate against competitors and increase prices for consumers.” The streaming deal’s description as a joint venture “should not prevent antitrust and telecommunications regulators from giving it the scrutiny it deserves,” the lawmakers said: The FCC and DOJ Antitrust should “oppose it if it violates antitrust or telecommunications laws or regulations.” They suggested the FCC examine whether the Venu Sports proposal represents “a violation of the national ownership cap” given its “duty to prevent a single entity from reaching more than 39% of households, and its broader mandate to promote competition in the public interest.”
The 3rd U.S. Circuit Appeals Court affirmed a lower court ruling Friday in response to Core Communications' appeal against AT&T concerning an access service charges dispute (docket 23-3022). The district court "gave effect to the plain and unambiguous terms of the tariff," the ruling said, and Core's "right to fees thereunder have been left entirely undisturbed." The court said that Core may recover such fees "to the extent that Core provides services covered by the tariff" (see 2405230009). "In this case, however, as the district court correctly concluded, Core did not provide such covered services," the ruling said.
The Senate voted 91-3 on Tuesday to approve a pair of kids’ online safety bills, shifting attention to the House, where the legislation awaits committee consideration.
Filings for mandatory disaster information reporting and network outage reporting systems would hinder broadcasters during disasters, NAB, Morgan Murphy Media and Beasley Media said in a meeting with Public Safety Bureau staff Wednesday. “Unlike other services, broadcast stations must report timely news and information about a disaster as a situation unfolds,” an ex parte filing posted in docket 21-346 Friday said: “Mandatory reporting would distract station staff from this core duty.” Commenters in the docket who support mandatory reporting for broadcasters “demonstrate a lack of real-world experience in dealing with emergencies or understanding of the competing demands on station staff during a disaster,” the filing said. The FCC’s suggestion that mandatory reporting would lead to more effective allocation of emergency resources doesn’t ring true, the broadcasters said. “With all due respect to emergency responders, filing a DIRS report has rarely, if ever, led to government assistance that helps a station maintain or restore service.”
The Senate voted 86-1 Thursday to advance two kids’ safety bills, with Sen. Rand Paul, R-Ky., casting the lone no vote (see 2407240057).
The 5th U.S. Circuit Court of Appeals in a 9-7 decision sided with Consumers' Research following an en banc rehearing of the group's challenge of the FCC's Universal Service Fund contribution methodology. Calling the contribution factor a "misbegotten tax," the court in a Wednesday ruling in docket 22-60008 held that as a "practical matter," the Universal Service Administrative Co. "sets the USF tax" that's "subject only to FCC's rubber stamp" (see 2406180055). In a statement, Chairwoman Jessica Rosenworcel said the agency will "pursue all available avenues for review."