ACA: Title II Is Risky Business

Operators say reclassification could be disincentive to investment

By John Eggerton -- Broadcasting & Cable, 5/7/2010 10:30:35 AM

The American Cable Association says it will work with the FCC on the "right result" for consumers and operators as the commission tries to clarify its broadband regulatory powers, but says classifying it under Title II is risky business.

In a statement, ACA President Matthew Polka said the association appreciates the FCC's attempt to find a middle ground, but that Title II classification, even with the FCC's promise not to apply most of those common carrier regulations, "creates uncertainty in the market and runs the risk of producing unintended consequences, especially for small and mid-sized operators."

The FCC Thursday (May 6) officially unveiled its "third way" approach in response to a federal court decision in the Comcast/BitTorrent case that the FCC had not justified its authority regulate broadband network management.

Operators argue the move could prove a disincentive to investment and make it difficult to manage their networks to provide the best customer experience for their subscribers.