http://www.latimes.com/business/la-fi-preview25jul25,1,2135136.story?coll=la-headlines-business
PREVIEW / JULY 25-31
Telecom Bill Passage Said Unlikely This Year
From Reuters
July 25, 2005
U.S. lawmakers have been promising to begin overhauling the nation's
telecommunications laws to keep up with advancing technologies, but
analysts say the odds of passing a bill this year are slim. Although there
were predictions that legislation would be completed in the House by
August, only the first public drafts of reform bills are expected to be
unveiled this week, a congressional aide and industry lobbyists said.
Telephone companies such as Verizon Communications and SBC Communications
Inc. are pushing Congress to ease regulations so they can quickly deploy
high-speed Internet services such as video, voice and data. Lawmakers may
also consider curbing some states' oversight of the industry and are likely
to consider revamping the program that offers subsidies for telephone
service to low-income homes and rural areas.
Cable and telephone companies are battling to boost their bottom lines by
signing up as many customers as possible for a suite of communications and
entertainment services.
Verizon, SBC, BellSouth Corp. and Qwest Communications International Inc.,
called the Baby Bells, are expanding beyond traditional phone service to
high-speed Internet services, known as broadband. But the Bells complain
that they are at a disadvantage because they must abide by laws for phone
service.
"I think this is an effort to try to actually move the ball in terms of
having regulation today in this industry match much better the actual
competitive environment than we see today," BellSouth Chief Executive Duane
Ackerman told Reuters.
Yet, higher on the priority list for Congress is a bill to finish the
transition to digital television airwaves. The old analog airwaves will be
sold for wireless services and could bring billions to plug the federal
budget deficit.
"It's tough. There's a chance that they might move something [on
telecommunications] in the House, but it's certainly not a slam-dunk," said
Paul Glenchur, a Stanford Washington Research Group analyst. "The Senate
side is a little more complicated because not everybody will have the same
priorities."
Sen. John Ensign (R-Nev.), chairman of the Senate Commerce subcommittee on
technology, innovation and competitiveness, plans to unveil his bill this
week, and a House bill may also be introduced, the aide and lobbyists said.
The primary goal of the Senate bill is to apply the same rules to services,
like broadband, regardless of the provider, they said. But lawmakers
probably will have to balance the desire for limited rules to avoid
stifling innovation with demands for consumer protections.
In February, Rep. Fred Upton (R-Mich.), chairman of the House
telecommunications subcommittee, said he planned to have a bill done in the
full House by summer break, which begins Friday. His spokesman declined to
comment.
================================
George Antunes, Political Science Dept
University of Houston; Houston, TX 77204
Voice: 713-743-3923 Fax: 713-743-3927
antunes at uh dot edu
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