“Certainly 1996 is not that long ago chronologically, but for technology, it was a lifetime ago.
When Congress put that final stamp with that digital pen and signed the act into law, I don’t think they even could have
imagined some of the trends we are seeing today. It is happening faster than we ever could have imagined and it is
happening at a more comprehensive level than we could have imagined. It is ripping apart existing technological
assumption and it is ripping apart existing regulatory structure-whether you like it or not.”-FCC Commissioner
William Powell.
The telecom act, born Feb. 8, 1996, has changed the wireless telecom world as significantly as if it
were an actual living, breathing child. (However, if the telecom act were a child, it would be potty trained and expected
to pick up the messes it makes at this age. I’m not sure we can say the same for the law.)
Like any proud parents,
telecom act authors (Congress) prematurely boasted about its telecom act baby-how amazing the law was, what it
would do for Americans and industry. The act was dubbed a little prince before it barely had a chance to survey its
surroundings, to learn its purpose.
Its parents had such high expectations. The law would enable cable TV
companies to compete with local telephone companies, which would compete with long-distance carriers, which would
compete with cable TV companies. Or so Congress envisioned.
But like any new child, the telecom act has decided
to put its own spin on its destiny rather than relying solely on its parents to tell it what is best. Instead of spurring
competition, the act has spurred consolidation. Yes AT&T Corp. will get into the local telephony business, but through
a deal with cable partner Time Warner Inc. and by buying Tele-Communications Inc.
It is this independence that
has kept more than a few parents awake at night, wondering what mistakes already have been made, what should be
done differently in the future. And how this child will behave when it is an adult.
The telecom law has not reached
toddlerhood smoothly. There have been scrapes and bruises (although no actual trips to the emergency room I can think
of) as companies join forces to compete, sometimes leaving behind people and plans that no longer fit into the new
scheme.
But as with any new child, we’ll have to wait to see how this law grows up.
