FCC Commissioner Brendan Carr answered press questions about TikTok and the Department of Government Efficiency after Wednesday’s FCC open meeting (see 2412110040). Chairwoman Jessica Rosenworcel didn’t hold a news conference Wednesday due to a scheduling conflict. Carr said that Congress offered TikTok “many paths forward that don’t require the app to be shut down” in legislation that requires it change owners or cease operating in the U.S. The U.S. Court of Appeals for the D.C. Circuit recently ruled against the company’s challenge of that law. “At this point I’m letting that process run out,” Carr said. In addition, Carr said he hasn’t had discussions with representatives of the planned Department of Government Efficiency about possible FCC cuts, but he anticipates doing so next year. There are "lots of opportunities ... [for] synergies at the FCC, even operating on our own if DOGE was never or is never set up, to look to push for greater efficiency.” For example, he said the FCC could seek more efficiency in permitting. Spending money on broadband projects but not easing the permitting process is “stepping on the gas and the brakes at the same time,” Carr said. He also discussed the Salt Typhoon hack, saying “we never should have been in this situation where these networks are compromised at this level” (see 2412110067).
Boston is saying amen to comments that Fairfax County, Virginia, submitted this week about the FCC's customer service requirements notice of inquiry. Noting Fairfax's arguments countering the cable industry's assertion that FCC action isn't needed on broad service provider customer service requirements (see 2412100010), Boston said it was "disheartening" that cable operators would rather reduce customer service as a way of cutting costs rather than try to attract new customers.
Private-sector communications companies interpret the record in the FCC's proposed customer service standards proceeding as going against the agency, while states and localities say the need for agency action is clear. That according to docket 24-472 reply comments this week. Industry groups pushed back against the NOI's proposals in initial comments last month (see 2411250020). In comments posted Tuesday, Mosaicx said tech such as virtual assistants and interactive voice response can be tailored to meet service providers' customer service needs. Accordingly, the FCC should let these technologies continue evolving, giving industry flexibility to tackle customers' needs. While many communications providers have "problematic" customer service practices, the FCC shouldn't proceed with a rulemaking, the National Rural Electric Cooperative Association said. This would add unneeded customer service regulations and administrative burdens on entities, with rural electric coops "a prime example," it said. Applauding the NOI, 15 state attorneys general said it's valid for the FCC to consider extending cable customer service rules to cover satellite TV, voice and broadband service providers. They added that changing technologies mean there are decreasingly few distinctions between customer service needs of various providers. Accordingly, they urged the FCC to require that customer calls are recorded and that customers may request the recordings. In addition, missed service appointments is an issue that cries out for solutions, the attorneys general argued. Signing the filing were the AGs of Pennsylvania, Arizona, California, Colorado, Connecticut, Illinois, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, New Jersey, Oregon, Vermont and the District of Columbia. The cable industry's argument that customer service rules are unnecessary because market forces and competition ensure good customer service ignores the fact that cable operators don't always provide good customer service, said Fairfax County, Virginia, which applauded the proceeding. "The market forces on which the industry relies consist of corporate executives wondering whether spending serious money to improve customer service would capture enough new customers to justify the costs," it said.
AT&T CEO John Stankey anticipates a pro-growth administration and FCC with the inauguration of Donald Trump in January. During a UBS financial conference Tuesday, Stankey noted a “pro-investment dynamic” in Trump’s first term. Cutting taxes “worked” and led AT&T to make record investments in its network. Stankey said he knows Brendan Carr, tapped to lead the FCC next year, and expects him to be aggressive on making more spectrum available for carriers and on other issues important to AT&T. “He believes markets solve a lot of problems,” Stankey said of Carr: “Certainly, he's fairly public with his point of view.” AT&T plans accelerating its push to replace copper lines with updated technology, he said. “We've been working on filing in certain wire centers to show that we can move completely off of legacy technology and meet the needs of customers with newer technologies.” He added, “I'm comfortable we're moving into this at the right time.” The current FCC hasn’t opposed to the transition, “they've just been cautious,” Stankey said. Chris Sambar, a former AT&T executive, said in May the company spends $10 billion annually maintaining millions of miles of copper wires, of which only 5% remain in use (see 2405210059).
Commerce Secretary Gina Raimondo warned Saturday that “rhetoric” on China is no substitute for the hard work of making the U.S. a stronger competitor in areas like semiconductor chips, which are critical to the U.S. wireless and other industries. “Today, more than ever, national security requires technological security, requires the United States to lead … all of our competitors in technology, particularly in AI and semiconductors, and requires secure supply chains,” she told the Reagan Defense Forum in California. Raimondo was asked about President-elect Donald Trump's comments, made during the campaign, that he opposes subsidies in the Chips and Science Act of 2022 and that the act was a bad deal for the U.S. , Responding to calls for overturning the act, Raimondo said, “It’s a horrific idea. It’s a reckless idea": “Sometimes you say things on the stump, and I can only hope that was something to be said on the stump and won’t be acted out.” In November, House Speaker Mike Johnson, R-La., noted interest in having the House repeal the Chips Act but reversed course following a bipartisan outcry (see 2411040062). Raimondo noted that 100% “of leading-edge chips used in fighter jets, AI technology, nuclear simulation, drones” are made in China and Taiwan. By the end of the year, the department expects to complete $35 billion of the $39 billion allocated in awards to 26 companies to build plants in the U.S. In addition, it expects it will award nearly all $11 billion targeted for research funding. “We’re getting the job done,” she said. "It has been brutally difficult.” Taiwan’s TSMC makes 100% of the world’s most sophisticated chips and people said the company would never expand in the U.S., Raimondo said: “Wrong -- they’re doing it” and TSMC is building three facilities in Arizona. “It’s an incredible thing, and you’re all safer because of it.” Raimondo said ultimately the U.S. will need to invest more to compete with China. She noted that China is now building 21 semiconductor factories. Permitting reforms are critical, she noted. “It can’t take two years to go through permitting in order to build a factory -- that is not competitive."
Expect to see U.S. deregulatory efforts focus on reducing environmental and bureaucratic hurdles for sectors like cryptocurrency, while space, AI and quantum research benefit from bolstered funding, Access Partnership said Monday in a series of 2025 tech policy predictions. It predicted that while cybersecurity will remain a priority, key agencies in the sector could nonetheless see restructuring or budget cuts. Access said there's a risk of increasingly fragmented technology ecosystems due to trade tensions, with other nations erecting defenses in response to the U.S., which could lead to localized data requirements, non-U.S.-aligned certification standards and preferences for indigenous technologies. The U.S. could lose influence if it doesn't remain engaged in multilateral efforts on such issues as AI, cybersecurity and open telecom standards like open radio access networks. Access said there will be increased decoupling from China, which will drive investment in restoring critical technologies such as semiconductors.
Insurance Marketing Coalition Limited v. FCC, which the 11th U.S. Circuit Appeals Court will hear Dec. 18 (see 2312130019), may prove significant, TroutmanAmin’s John Henson blogged Friday. “Part of the decision making will be how much deference does the FCC get in its rulemaking authority,” Henson said, noting the case (24-10277) examines agency authority under the Hobbs Act. “The Hobbs Act is having a moment and especially in the Eleventh Circuit,” he said. Approved 3-1 a year ago, the order adopted a one-to-one robotext consent policy (see 2312130019). Commissioner Nathan Simington dissented, citing the FCC's “factually thin record.” Henson noted the three judges hearing the case were appointed by President-elect Donald Trump during his first term -- Elizabeth Branch, Britt Grant and Robert Luck. They seem aligned with 11th Circuit precedent on limiting the reach of regulatory agencies, Henson said. “It would not stretch the limits of reason to think that the FCC’s 1:1 consent order was not properly enacted,” he said: “If that’s the case, then the Eleventh Circuit, might once again have an opportunity to strike a blow against Hobbs deference.” This term the U.S. Supreme Court will hear McLaughlin Chiropractic Associates v. McKesson, a Telephone Consumer Protection Act case from the 9th Circuit, examining the extent to which lower courts must defer to FCC decisions, which also has Hobbs Act implications (see 2410170015). The Hobbs Act gives the appeals courts exclusive jurisdiction to enjoin, set aside, suspend or determine the validity of some agency orders, including most FCC orders.
The inaugural Starlink direct-to-device constellation is complete, SpaceX CEO Elon Musk posted on X last week. He said bandwidth per beam is around only 10 Mbps, "but future constellations will be much more capable."
Sanford Williams, deputy chief of staff for FCC Chairwoman Jessica Rosenworcel, will address the Communications Equity and Diversity Council on behalf of the chairwoman's office (see 2412040036).
The incoming Donald Trump administration "could ... significantly scale back, or even dismantle" programs funded under the Infrastructure Investment and Jobs Act and the Chips Act, along with routine government expenditures, Pillsbury lawyers blogged Wednesday. They said it's likely the Trump White House will try diverting appropriated funds toward preferred policy priorities. In addition, the incoming administration might refuse to spend funds Congress appropriated and so "'starve' disfavored agencies or offices and further cost-cutting initiatives."