Verizon's (NYSE:VZ) CEO Ivan Seidenberg is not happy about the FCC's proposal to reclassify broadband as a Title II service. Arguing that the proposed rules are "overbearing," Seidenberg believes they will inhibit every service provider's ability to invest in expanding their respective broadband network reach.
During his address to the Economic Club of Washington, Seidenberg said that the FCC is creating "an unimaginative and overbearing set of rules," adding that the agency's proposals "will cause uncertainty in the marketplace, create disincentives for investment" and drive out competition.
The FCC's proposed reclassification idea and net neutrality regulations has been a subject of continual debate. While Internet-driven companies such as Google and Skype favor the proposals, Verizon, AT&T and the National Cable & Telecommunications Association continue to protest the proposed rules.
But telcos and cable operators aren't the only ones fighting about net neutrality and the Title II reclassification. Congress has also raised red flags about both issues with 74 House of Representative Democrats point out they have "serious concerns" with the FCC Chairman Julius Genachowski's proposal, while 171 House Republicans add that the reclassification could have "serious" repercussions.
In an effort to appease both sides of the debate, the FCC met in closed door meetings with lobbyists from both the telco and Internet service provider community this week to come up with a compromise.
- Bloomberg has this article
FCC wants to strike a regulatory compromise with service providers
FCC advances broadband reclassification vision
Detour on the road to universal broadband
Net neutrality regulation could cost jobs, argues study