@jbtaylor on tech

On the eve of a bipartisan compromise to extend a middle class tax cut and continue unemployment benefits for our friends and neighbors out of work, Politico described AT&T's lobbyists as, "furious" that Republican and Democratic leaders in Congress didn't adopt everything the company wanted in the legislation.

Remember, with AT&T, it's always "my way or the highway" when it comes to public policy.

Missing from what DSL Reports' Karl Bode called a "pout festival" was like-minded Twin Bell Verizon. I'm guessing that top Verizon lobbyist, former Iowa GOP Congressman Tom Tauke and his team realized what Rep. Anna Eshoo (D-Calif.) said about the compromise over the bill's spectrum provisions was true:

“Did we get every single thing that we wanted? No. No one ever has and I don’t think they ever will, including my children.”

Perhaps AT&T's top lobbyist Jim Cicconi believes that too, but in a statement to media yesterday, he pointed out that there is "an opportunity for a court challenge" if the FCC doesn't give his company all the spectrum it wants.

Lovely.

Before the FCC even opens a docket about the future wireless spectrum auction, AT&T is already threatening a lawsuit if it doesn't get its way.

That sounds like an empty threat to me. The last time AT&T was in court over an effort to obtain more spectrum was when the U.S. Department of Justice and a bi-partisan group of state Attorneys General sued the company over its proposed takeover of T-Mobile.

We all know what happened then.

Rather than fight the government in court, AT&T chose to leave the courtroom and abandon the transaction, rather than stand by its scorched earth rhetoric.

So yesterday's threat from AT&T sounds like more empty saber rattling to me.

Time will tell.

p.s. Once again, please remember that this is my personal blog and may not necessarily reflect the views of my employer.

Congressional negotiators announced this morning that a compromise had been reached regarding an extension of a payroll tax cut and unemployment benefits. The Members of Congress who brokered the compromise indicated the legislative compromise includes provisions regarding future wireless spectrum auctions to be conducted by the FCC, as well as provisions to help fund an interoperable public safety broadband network.

The following statement can be attributed to Vonya B. McCann, senior vice president for Government Affairs, Sprint:

“Sprint supports the bipartisan compromise announced this morning by the House and Senate leadership and we hope that Republicans and Democrats in both the House and Senate will support it with a vote for final passage.

Sprint agrees with the Federal Communications Commission that all wireless carriers – small, regional and large – should have a meaningful chance to participate in wireless spectrum auctions. While we didn’t see the need to amend the statute, the compromise language approved by the conferees preserves the FCC’s ability to promote competition as it conducts future wireless spectrum auctions.

“In addition, the legislation includes language which provides funding for construction of an interoperable public safety broadband network which will give our country’s first responders much needed financial resources to protect the communities they serve.

"Supporting the final passage of this compromise legislation will help drive the expansion of high speed mobile broadband across the country thereby encouraging innovation, stimulating our economy and better meeting the needs of wireless consumers."

This has to be one of the coolest things Sprint has ever done.

Our flagship store in New York is in the iconic Flatiron Building in what most people would call, the point. (The building's owners call it "the prow", however.) At the very end of the prow, rather than use the window space for a retail display, we've converted it to an art gallery of sorts.

Today's New York Times has a great piece on the current exhibit by artist Gyneth Leech, who also uses the space as a studio several hours each week.

Be sure to visit the exhibit soon if you're in New York, it closes Saturday.

I'm not sure what exhibit or artist is coming next, but I think devoting this space to art is a fantastic idea. What do you think?

For nearly 30 years, Rick Boucher represented the people of Southwest Virginia in Congress with distinction. I personally was disappointed that he was defeated for re-election in 2010. Mr. Boucher has a keen understanding of many of the complex public policy issues in telecommunications. He was fantastic at forging compromises among his fellow Members of Congress. People on the Hill, even when they disagreed with him, liked him. I sure do. He was the kind of Congressman who most closely represented my personal views.

When he was defeated, Boucher became a lobbyist for Sidley Austin. "Sidley offers a truly unique opportunity for me to promote the growth of a public policy group that brings together lawyers renowned for their leadership in areas I have focused on for much of my career, such as technology, telecommunications, life sciences, financial services, energy and the environment,” said Mr. Boucher in a news release announcing his new job in May last year.

Sidley Austin is one of the most respected law firms and lobbying firms in Washington, D.C. The folks at Sidley proudly tout their work on behalf of AT&T -- they've represented AT&T and its predecessors for more than a century. There's an entire page on Sidley's website about its work for AT&T.

I have absolutely no problem with any of that.

But I am disappointed that Mr. Boucher continues to publicly advocate for AT&T's public policy positions without disclosing that he is now an AT&T lobbyist.

Today's oped in Roll Call on spectrum policy is the latest example. His oped today is not unique in its lack of disclosure.

Throughout the fight over AT&T's failed bid to acquire T-Mobile, Mr. Boucher gave dozens of interviews and penned dozens of opeds claiming that the proposed T-Mobile takeover would benefit rural America. Never once did he disclose his new relationship with AT&T.

Usually, Mr. Boucher would describe himself as the chairman of the Internet Innovation Alliance. Never once were readers told that IIA is largely funded by AT&T and the other large landline phone companies.

Mr. Boucher, were he still in office, may very well have advocated for AT&T's failed merger with T-Mobile. He also may have advocated for AT&T's public policy positions on spectrum and other issues. I would like to think so.

At least when he was in office, voters knew that AT&T was his third largest campaign contributor. That was fully disclosed and voters could decide for themselves the significance of AT&T's donations to his campaign.

But now that he is a lobbyist, he doesn't have to disclose his relationship to opinion page editors. He should though. I don't know one editor who wouldn't find that relevant and worth sharing with readers.

Disclosure in politics is important. Even though this is my personal blog and the views I present here aren't necessarily those of my employer, I think it's important for you to know I work for Sprint. That's why I disclose that on this blog and elsewhere online.

Mr. Boucher should do the same. Doing so would be consistent with his reputation he earned over many years of public service.

Last week, our friends at at Verizon and AT&T shifted into overdrive in their lobbying efforts to convince Congress to strip the FCC of its authority to set rules for wireless spectrum auctions. With such rules, the FCC ensures that the every wireless carrier -- small, regional and national -- has a meaningful chance to bid on wireless spectrum in an auction.

The FCC has had this authority in every auction since 1994. Since then, Republican and Democratic FCC Chairmen have run over 80 auctions which have brought more than $50 billion to the U.S. Treasury.

Under the law, Verizon and AT&T have obtained the lion's share of most valuable spectrum -- about 73 percent of all the spectrum under 1 GHz. That's why it's so odd that the Twin Bells are working to overturn this law which has greatly benefited both companies

So why are the Twin Bells working so hard to get their friends in Congress to do them a special favor, independent of any Congressional hearing or open debate? Basically, Verizon and AT&T fear that the Federal Communications Commission MAY use its authority to promote competition.

That's really hilarious, of course, because that's what the law REQUIRES the FCC to do.

So last week I was encouraged to see that media have begun to focus on the details of what's happening in the backrooms on Capitol Hill. And more importantly, it was good to see members of Congress are asking the Conferees to keep the law unchanged.

Sen. Herb Kohl, the chairman of the Senate Antitrust Subcommittee wrote that the legislation is, "a serious threat to competition."

Sen. Maria Cantwell wrote that the current language, "will hurt competition" and "benefit only the incumbent providers with the deepest pockets." (Maybe that's why journalist Karl Bode calls the provision "duopoly protection language.")

Senators Kohl and Cantwell are not alone. On Friday, a big voice for competition, the American Antitrust Institute, wrote that, "legislated constraints on the FCC’s ability to design incentive auctions – leaving less room for the agency to learn, change, and adapt – could undermine their potential benefit."

I was particularly heartened to see T-Mobile forcefully weighing in last week. Kathleen Ham, T-Mobile's vice president of Federal Regulatory Affairs, pointed out how it was former GOP Rep. Dennis Hastert of Illinois who argued for the provision in the law that has served to promote competition.

Hastert, who went on to be the Speaker of the House said, "we need to make sure that all qualified bidders will have the opportunity to participate in this new process ...This language will ensure that the FCC promotes competition ... thereby giving all potential bidders the opportunity to procure spectrum at auctions."

Speaker Hastert was right then, of course. And so are Senators Kohl and Cantwell, and also the bipartisan group of Senators who weighed on on this earlier in the winter.

Reporters have asked me where I think this thing is going and when it will be decided. The truth is, while I'm heartened by this support, I don't know what the Conferees are going to do.

That said, I do know what's right and what's the soundest public policy -- I'm firmly convinced of that. The question is will the Conferees do the right thing or will they do a special favor for the Twin Bells, who already control the bulk of the country's wireless spectrum licenses?

Time will tell if the FCC will be able to continue to maintain a level playing field, or if the Twin Bell lobbyists will carry the day.

p.s. Please remember that this is my personal blog and does not necessarily reflect the views of my employer.