FCC Chairman Kevin Martin made some interesting comments last week at the “D: All Things Digital” conference that might point us to his thinking about the merger between Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc.
The video, which also features Verizon Wireless CEO Lowell McAdam, is a bit long. But you can jump to about 4 minutes into it and where he discusses the topic of broadband networks:
“At the commission you’ve seen a significant change where prior to my
time at the commission, there was an emphasis on wholesale access,” said Martin. He explained that the FCC used to mandate that network capacity be sold at a discount to other parties.
“And that was I think was
legitimately a concern by some of the carriers that it was depressing
their investment in the networks,” Martin continued. “So we removed those obligations.”
“We are concerned about depressing investment,” added Martin. “But we’re also going to put limitations in the ability to use that network to choke innovation.”
On his first point, it’s important to see that Martin notes the importance of the investment in the network. If he’s thinking the same way regarding the
spectrum XM and Sirius have spent billions creating infrastructure for, then there’s little chance he would agree with Georgetown Partners’ proposal.
But his last point might bode well for U.S. Electronics and other advocate of an Open Access requirement.
Thanks Jerry!
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