FCC chief says Net Neutrality not to hit broadband investment

FCC chairman, Tom Wheeler, in a speech today to The Brookings Institution, touched on several issues including net neutrality, spectrum and broadband penetration.

Wheeler said, ''Since we come together today on the heels of the D.C. Circuit's decision rejecting requests to stay the Open Internet Order, let's begin by addressing the relationship between broadband network openness and investment. As you know, this was a big argument by the ISPs in their stay request; that somehow assuring that networks are open would erode the incentive to invest.

''Fortunately, there is a disconnect between what is said in Washington advocacy and what happens in the market. While a few Big Dogs are threatening to starve investment, others are stepping up.

The CEOs of Sprint, T-Mobile, Cablevision, Charter, and Frontier have all publically said Title II regulation does not discourage their investment.

Recent transactions, both announced and rumoured, point to the same conclusion. And, of course, the post-Open Internet announcements by AT&T, Bright House, CenturyLink, Cincinnati Bell, Comcast, Cox Cable, TDS Telecom, and Time Warner Cable about their plans to expand their broadband service certainly speak for themselves.''

According to Wheeler, the upcoming wireless spectrum auction was one of many opportunities for the agency to promote broadband competition, which, according to him was crucial for getting high-speed internet service to every American. However, smaller wireless providers remain concerned he was doing enough.

Wheeler said protecting and encouraging competition is a "foundational requirement of the modern FCC."

He said the wireless auction early next year, in which TV broadcasters would sell unused spectrum, was an opportunity for the agency to ensure that all Americans have access to broadband.

"It's pedal to the metal on broadband policy," Wheeler said. "We're not going to let up on protecting and promoting broadband competition...As I have made plain on innumerable occasions, competition is paramount."

The FCC chairman highlighted his agency's efforts in designing the complicated auction, which would for the first time offer existing spectrum license holders an incentive to sell their spectrum rights back to the government so as to repurpose it for for new use.

The auction comes as a crucial event for wireless carriers, who need access to the airwaves to deliver streaming video and other web-based services to mobile devices.

The spectrum in this auction was especially important as it was low-band or low-frequency spectrum that travelled longer distances and could penetrate through obstacles like walls.