NCTA: USF Reform Plan Not Neutral

Statement of NCTA President and CEO Michael Powell Regarding FCC Action to Reform the USF and Intercarrier Compensation Regimes

October 27, 2011

1 Min Read

WASHINGTON, D.C. -- NCTA President and CEO Michael Powell makes a statement regarding FCC action to reform the USF and intercarrier compensation regimes:"Today’s action by the Commission at long last follows through on initiating fundamental reforms to our current Universal Service and intercarrier compensation regimes. We commend the Chairman, the Commissioners and the hard working staff on completing this difficult and arduous proceeding.

“While we are disappointed in the Commission’s apparent decision to ignore its longstanding principle of competitive neutrality and provide incumbent telephone companies an unwarranted advantage for broadband support, we remain hopeful that the order otherwise reflects the pro-consumer principles of fiscal discipline and technological neutrality that will bring needed accountability and greater efficiency to the existing subsidy system. We are particularly heartened by the Commission’s efforts to ensure that carriers are fairly compensated for completing VoIP calls during the transition to bill and keep arrangements.

“We look forward to reviewing the order in detail and will continue to work cooperatively with the Commission to implement needed reforms that will be required to promote fairness and broadband expansion within the context of today’s dynamic and increasingly competitive broadband marketplace. The Commission today has taken a major step in the path towards fundamental reform and we will continue to work closely with the Commission on these important initiatives.”

National Cable & Telecommunications Association (NCTA)

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