TIA President Grant Seiffert sent letters to a bipartisan list of Congressional committee leadership in support of several pieces of pro-broadband legislation under consideration this week. TIA actively supports language in the 2007 farm bill reauthorization measures, currently in conference, that would enhance rural broadband deployment through improved data mapping, robust tax incentives and an expanded broadband loan program, and Seiffert urged Congress to see that these critical provisions be included in the final legislation

The tax incentive created by an expensing provision in the Senate version of the bill would “provide a significant, short term incentive for the deployment of both current and next-generation broadband,” Seiffert said in his letter to Chairman Max Baucus (D-Mont.) and Ranking Member Charles Grassley (R-Iowa) of the Senate Finance Committee and Chairman Charles Rangel (D-N.Y.) and Ranking Member Jim McCrery (R-La.) of the House Committee on Ways & Means. The provision creates a temporary two-tiered technology- and provider-neutral tax incentive in the form of a 50 percent expensing for new investment in “current-generation” technologies that provide 5 megabit downstream and 1 megabit upstream service and 100 percent expensing for investment in technologies that provide 50 megabit downstream and 10 megabit upstream service in rural or underserved areas.

Support for several other key provisions in the bill would have “a positive, significant impact… on those who will finally experience the benefits of two-way, high-speed voice, video and data communications, but also on the manufacturers and suppliers of communications equipment and services” that play a major role in the U.S. economy, Seiffert said in a second letter, to Chairman Tom Harkin (D-Iowa) and Ranking Member Saxby Chambliss (R-Ga.) of the Senate Agriculture, Nutrition and Forestry Committee and Chairman Collin Peterson (D-Minn.) and Ranking Member Bob Goodlatte (R-Va.) of the House Agriculture Committee.  

TIA supports language in the bill that places a priority on broadband loan applications that serve communities with the greatest need. The Rural Utilities Service (RUS) broadband loan program, reauthorized by the bill, provides a key incentive for nationwide broadband build-out, particularly in rural and underserved America.  Likewise, TIA supports broadband mapping language in the Senate version that would authorize a nationwide program similar to the highly successful ConnectKentucky effort. TIA has been a strong advocate of broadband mapping efforts such as the provisions in the Senate bill, those passed this summer by the Senate Commerce Committee in S. 1492 and a similar bill, H.R. 3919, passed by the House earlier this fall. 

“The broadband provisions in this bill demonstrably improve the ability of consumers, industry and policymakers to increase broadband deployment and subscription rates, bringing the U.S. one step closer top ubiquitous broadband,” said Seiffert.

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After the latest round of the ongoing High-Tech Bilateral Dialogue between the United States and India held in New Delhi last week, at which TIA staff were key negotiators, Indian Prime Minister Manmohan Singh told the Central Chronicle, an Indian newspaper, that "the policy regime for making spectrum available should be fair, transparent, equitable and forward looking. It should not create entry barriers to newcomers or barriers to the continued growth of the sector. At the same time, the revenue potential to the government must not be lost sight of.

He added that India "must never forego" the principles of market liberalization, reform and competition. 

This was a positive recap of a highly successful round. While several important regulatory issues, including spectrum and licensing matters, remained unresolved, the tenor of the talks was upbeat after several concensus decisions that emerged from previous Dialogues, a sentiment that remained after talks were over. These issues include India's decision to increase the ceiling on foreign direct investment in the telecom sector and its resolution of a conflict on remote access rules for repairs from outside India.

Some uncertainty remains around conflicting remarks made by Indian Telecom Minister A. Raja, who confirmed at the talks that he wouldn't allow auctions of 2G spectrum for legal reasons.

Nonetheless, much progress was made, and both countries are closer to the ultimate goal of completely open markets for high tech manufacturing, services and employment.

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This week saw a burst of activity for U.S.-China trade policy, including significant developments in China's quasi-protectionist rules around network deployment. 

The U.S.-China Joint Commission on Commerce and Trade (JCCT) was underway this week, with high level trade officials stepping in for the discussions.  China experts from the Department of Commerce and the U.S. Trade Representative's Office led discussions on a numbers of fronts, including issues recommended by TIA on behalf of its members. These included 3G mobile licensing, mobile handset importation, optical fiber market access, and product testing and certification.  China confirmation that it would lower the registered capital requirements for U.S. telecommunications service providers to operate in China was a significantly positive outcome for our members and U.S. industry.

Also, last week was the first ever "United States-China Innovation Conference," an outgrowth of the second U.S.-China Strategic Economic Dialogue (SED) that brought together public and private sector experts from both countries in a dialogue to discuss the often complex nature of innovation and how to realize the potential of the information technology in both countries.    U.S. Secretary of Commerce Carlos M. Gutierrez and Chinese Ministry of Standards and Technology Secretary Li Xueyong were the lead participants, and drew the praise of industry for identifying technological innovation as a key driver to both economies.

For questions or comments on TIA's China policy work, please contact Michael Nunes at mnunes@tiaonline.org.

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TIA’s Technical Regulatory Issues Committee (TRIC) met with the staff of FCC Labs in Columbia, Md., this week. 

Areas of focus in the meeting included: The status of the Telecommunications Certification Body (TCB) Exclusion List; TCB Approval for Software Defined Radios; New TCB Surveillance Guidelines; Streamlined Laptop Approval; Class 2 Permissive Changes; Recommendations to Streamline the Product Certification Process; The FCC Enforcement Model, in which the Enforcement Bureau now takes the lead on all non-compliance matters, rather than Offoce of Engineering and Technology.

For members seeking more information on TIA's TRIC and its work with the FCC, please contact Patrick Donovan at pdonovan@tiaonline.org.

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The featured guest of TIA’s final Broadband and Technology luncheon of 2007 will be Senator John Sununu (R-N.H.). Senator Sununu is a member of the Senate Commerce Committee with vast knowledge and interest in technology and communications issues; New Hampshire boasts one of the highest growth rates in ICT jobs in the United States. Senator Sununu was also one of the strongest proponents for permanently extending the Internet Tax Moratorium, making him a major ally of industry and consumers nationwide. 

TIA expects this to be a highly informative lunch to finish the year.  Senator Sununu's commentary is sure to provide some insight into the future telecom agenda.

The luncheon will be held tomorrow, Thursday, Dec. 13, and is open to TIA member companies.  

For more information on the B&T Luncheon series please contact Tom Shull at tshull@tiaonline.org.

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