The Federal Communications Commission is set for a leadership change in the coming weeks, with current chairman Julius Genachowski set to leave the regulatory body. That void has Washington, D.C., in a tizzy over who will be nominated to replace Genachowski and what sort of impact a new chairman will have on the direction of the FCC.
Current reports have pegged former CTIA President and CEO Tom Wheeler as the man set to be nominated by President Obama to head up the FCC. Jeff Silva, senior policy director of telecommunications, media and technology at Medley Global Advisors, was one of the first to tap into that talk noting in a report on Feb. 22 that Wheeler was indeed a name in play.
In discussions with a number of industry sources, Wheeler’s name was also mentioned as the most likely to be offered up by the current administration to head up the FCC. One of those sources noted that it was “certain” Wheeler would be named and that it was just a matter of a few weeks before it would become official.
In addition to heading up CTIA from 1992 to 2004, Wheeler is a long-time industry lobbyist and was a member of President Obama’s first-term transition team in 2009. More recently, Wheeler has been a managing director at venture capital firm Core Capital Partners. Wheeler was replaced at CTIA in 2004 by current president and CEO Steve Largent.
While Wheeler was a charismatic leader at CTIA, he was not without his critics. Wheeler was criticized by some for his wanting to control information related to highly contentious mobile phone-cancer research conducted by the industry in the mid-90s, as well as his profiting from the sale of CTIA’s Cibernet subsidiary in 2002.
One question about a potential Wheeler chairmanship is just what direction would the FCC take. Wheeler is seen by many as staunchly pro-market, with his leadership at CTIA based on letting the industry regulate itself with only a soft-touch from the government. Silva noted that a Wheeler nomination could draw the ire of “liberal-leaning progressive groups with policymaking influence.”
In a recent RCR Wireless News report looking at the current regulatory environment, most did not expect a huge change in direction regardless of who takes up leadership at the FCC, citing continuing control by the Democratic administration. Some noted that the current FCC led by Genachowski has laid out unwritten rules that regulators want the wireless industry to maintain at least four nationwide operators, highlighted by the dismissal of AT&T’s attempt to acquire T-Mobile USA in 2011. The FCC has instead approved a number of smaller deals, including T-Mobile USA’s recent merger with MetroPCS and spectrum deals that have bolstered current nationwide operators.
A Wheeler nomination could also draw criticism from those wanting the current administration to appoint more women to leadership positions. The FCC currently has two female commissioners at the FCC in Mignon Clyburn and Jessica Rosenworcel. Clyburn is expected to serve as acting chairman after Genachowski steps down and until a new chairman is named.
The Women’s Media Center, which is pressing for the current administration to nominate a female to the lead position the FCC, started a petition at Change.org in an attempt to show support for such a move. That petition had 2,299 supporters as of May 1.
“While outside female names have been floated for FCC chairman (Karen Kornbluh/former OECD ambassador; Catherine Sandoval/former FCC official-academic; Susan Crawford/former Obama official-academic), the administration may be struggling with the political wisdom of nominating any woman in view of a seemingly can’t-win predicament and perhaps tellingly in spite of the political/historic opportunity of doing so,” Silva noted.
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