Monday, October 13, 2008

Nationwide Free Wireless Web

According to an October 13, 2008, Wall Street Journal article, the Federal Communications Commission can now "move forward with a plan to auction off airwaves to a bidder who agrees to offer free, national wireless Internet service."

A report by FCC engineers has concluded that private telecommunication companies' concerns, that such nationwide free service would disrupt their own spectrum-adjacent commercial networks, are unfounded.

The article reports that some wireless companies and lawmakers are concerned about the proposed auction because it "appears to favor M2Z Networks, Inc.... a start-up that originally floated the free-Internet plan two years ago." The company has said it would fund the build-out of the free network through advertising and subscription plans for customers who want faster Internet service.

The proposal stipulates that the free network must reach 50% of the U.S. population in four years and 95% within ten years.

The public's access to a free Internet network is laudable, and will hopefully narrow the digital divide in the country. That daily, convenient, and affordable connection to the Internet has, up to now, been open only to some and not others is not only unfair but slows productivity and access to critical information and communications on an individual and national basis.

But what bandwidth speed will the free service offer? Would the draw of users away from paid, commercial vendors cause monopolistic corporations like T-Mobile, Verizon/AT&T, and local ISP's to think of new ways to retain existing customers and attract new ones? Healthy competition is good because it drives innovation forward, and drives down prices for consumers. But, by the same token, how might M2Z Networks or some other company, overly dominate the proposed free national network? How might the build-out for the network be more fairly divided among several companies? And has M2Z engaged in any inappropriate activity to gain apparent favor with the FCC, which is headed by Bush appointee and corporate-monopoly-friendly chairman Kevin Martin? What are the implications here? Is there something else going on behind the scenes that we should be aware of?

Moreover, how might such a network impact local and more diverse media, especially news media? Will it allow for the dynamic creation of more independent regional and local commercial and community media, thus fostering a more democratic flourishing of ideas and information? Wouldn't that be a boost to the free-market economy as well? And would such a free, wireless platform ironically circumvent or call greater attention to the need for appropriate FCC anti-trust regulation of private commercial entities?

- Misako M.

1 comment:

Unknown said...

Wireless companies and some lawmakers have raised concerns about the plan, because the proposed auction rules appear to favor M2Z Networks, a Kleiner Perkins-backed start-up that originally floated the free-Internet plan two years ago.
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