FCC Chairman Reveals That Net Neutrality Regulations Impair Capital Spending

In Decenternet, News
Net Neutrality Regulations

The bottom line is, more gets affected than getting benefited.

Still, nothing has changed with the Federal Communications Commission Chairman Ajit Pai on his views regarding net neutrality regulations. He always says that his new rules called the “Restore Internet Freedom” would close the digital divide and give opportunities for more businesses for expansion. However, it only widens the gap and infuriates not only the citizens but a lot of sectors including the education, health, and small businesses among others.

He even received a notice from ISPs from his own hometown not to put them down. Wave Wireless is a local provider that operates in Parsons, Kansas. It says that Pai’s most recent plan could prevent networks from procuring spectrum which is necessary to boost its structure. Along with other fixed wireless broadband providers, they wrote a letter to him opposing his new net neutrality regulations because it would restrict their access to the wireless spectrum.

Pai’s center of attention goes straight to either the elimination or switching of net neutrality regulations to stimulate ISPs to capitalize in their networks. However, small providers argue that his recommendation for a spectrum sell-off would make it difficult for them to buy into, while it helps bigger companies. The FCC will auction the 3.5GHz band spectrum which is clearly can be acquired by providers who can afford the price. If the federal agency changes the rules, smaller ISPs could have better chances to buy spectrum.

He considers pointing out to the Congress the latest rollback of the net neutrality regulations is setting the stage for better broadband service. He will defend his Restoring Internet Freedom Order today. Pai insists that the internet continues to be free and open. He argues that abolishing the rules was the gentle way that the marketing industry needs to venture into the type of quicker, better, and more inexpensive broadband that can help seal the digital divide.

According to his prepared statement, “The Internet remains open and free, and we now have a regulatory framework in place that is encouraging the private sector to make the investments necessary to bring better, faster, and cheaper broadband to more Americans.”

He always insists that the net neutrality regulations from the Obama-era administration were too draconian and discouraged investment. As opposed by the consumer along with net neutrality advocates, the rules are vital to hinder ISPs from monitoring sites or singling out against competitors such as Netflix.

The FCC chairman repeats in his written declaration that network capital spending decreased in a span of two years after 2015 when the agency endorsed net neutrality regulations. He stated that policy had been already relinquished.

However, the group Free Press says it’s otherwise. Based on their information, the investment of 13 dominant ISPs leapfrogs in the two years following FCC’s passage of the net neutrality regulations.

The figure shows that the FCC’s new net neutrality regulations are for pro-profit only and not for pro-service. One platform, the Decenternet, has an objective to better serve its users by keeping the web an open internet. It provides limitless access to various websites allowing users to freely interconnect online. The platform also secures and protects free speech and personal information of the users at the same time.

 


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