FTTH Council to FCC: Don't put fee on broadband Internet access

The Fiber-to-the-Home (FTTH) Council Americas has filed comments with the Federal Communications Commission (FCC) urging the regulatory body not to impose a fee on broadband Internet access services as part of the FCC’s Universal Service Fund restructuring efforts (see "FCC Chairman Genachowski unwraps USF overhaul plans"). In particular, no fee should be imposed that would increase as bandwidth and speed increase, the FTTH Council Americas advised.

The council joined other commenters in asserting that "the imposition of any fee on broadband Internet access service would deter demand, thereby harming the business case and chilling investment in high-speed networks."

If the Commission decides it must levy such a fee, a flat assessment per broadband connection would prove less damaging, according to the FTTH Council. Demanding higher fees for faster bandwidth services would hinder the FCC's goal of making faster broadband connections available to a larger segment of the U.S. population, the FTTH Council said.

The FTTH Council also disputed assertions that price has little to do with broadband demand. Such assertions are based on outdated and inconclusive economic studies, the council charged.

A copy of the filing is available from the FTTH Council Americas website.