TIA is continuing its efforts to educate Congress about the importance of extending the moratorium on Internet access taxes despite last week's delay on a vote to extend it in the Senate Commerce Committee. 

As you can read in this week's President's Message, TIA supports congressional efforts to pass either The Permanent Internet Freedom Act of 2007 ( H.R. 743/S. 156), sponsored in the House of Representatives by Rep. Anna Eshoo (D-Calif.) and in the Senate by Sen. Ron Wyden (D-Ore.), or the shorter term ITFA Extension Act of 2007 (S. 1453), sponsored by Senators Tom Carper (D-Del.) and Lamar Alexander (R-Tenn.).  While the bills differ in the duration of moratorium they propose, both bills essentially recognize the importance of keeping Internet access tax free.

TIA believes it is crucial for Congress to give President Bush the chance to sign an extension into law well in advance of the tax ban's November 1 expiration date. 

For more information on TIA's efforts to extend the access tax ban, please contact Ian Martinez at +1.703.907.7723 or imartinez@tiaonline.org.

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On Tuesday, October 2, the House Energy and Commerce Committee, Subcommittee on Telecommunications and the Internet, held a hearing entitled Digital Future of the United States: Part VI: The Future of Telecommunications Competition. The primary focus of the hearing was special access, specifically, whether broadband should be subject to pricing regulations. Representatives of AT&T and Verizon testified that more regulation would discourage investment and competition and compared pricing regulations to unbundling rules, which failed to result in the intended effect of stimulating competition. Regulation of the special access market has also gained attention at the FCC due to forbearance petitions submitted by Qwest, AT&T, Embarq and Frontier, as well as pressure from lawmakers to make a change.

For more information on TIA's access market work please contact Rebecca Schwartz at +1.703.907.7477 or rschwartz@tiaonline.org.

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Chairs from the three subgroups of the U.S.-India Bilateral Dialogue on ICT trade met last week to discuss the next "Bilat," which will take place in New Delhi in December. TIA chairs the telecom subgroup, and joined the other subgroup chairs Information Technology Association of America (information technology) and the U.S.-India Business Council (broadcasting) in working out the details of the December meeting. 

Included in the agenda items was the suggestion to move the Dialogue forward in the week from the proposed December 14, which would allow time later in the week for the two governments to have in-depth discussions specific to the industry recommendations, move it ahead of India Telecom 2007, which starts December 12, and allow for possible coordination with the India Economic Summit. 

TIA pushed for substantive talks on IT taxes and non-uniform 3G spectrum allocation.

For more information on the pending Bilateral Dialogue, please contact Ian Martinez at +1.703.907.7723 or imartinez@tiaonline.org.

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TIA will send a letter to the Federal Communications Commission (FCC) encouraging the commission to make its decision on use of the vacant channels in the television band, referred to as the “white spaces,” based on technical reasons. In the letter, TIA will urge the FCC to wait for the results of the FCC Office of Engineering and Technology (OET) testing on this matter. The OET has been studying this issue for a number of years and should be given enough time to write the rules carefully without responding to political pressure.

The FCC has considered opening these spaces for the use of broadband services, among other uses. The rulemaking proceeding, initiated in 2004, has drawn considerable attention from industry, and the FCC may adopt rules for operating devices in this spectrum as early as October 2007.

For more information on white spaces, please contact Patrick Donovan at pdonovan@tiaonline.org or +1.703.907.7739.

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On September 17 and 18, TIA participated in the U.S. Commerce Department-led commercial information, communications and technology (ICT) dialogue with the Government of Vietnam. During the talks, industry representatives from the United States and Vietnam, including representatives of several TIA member companies, were able to break through initial skepticism to develop a list of mutually beneficial recommendations, which were presented to both governments for consideration. As a result of the dialogue, the U.S. and Vietnamese governments will continue to work together on issues such as techology neutrality.  Further, the two sides agreed to organize a series of capacity-building workshops on spectrum allocation, network security and the U.S. ICT investment legal framework. The Commerce Department anticipates that the next bilateral meeting with Vietnam will take place in April or May 2008.

Vietnam is rapidly emerging as a potentially lucrative destination for ICT products and services. The value of its telecommunications equipment and services market is expected to reach $5.3 billion in 2007, with imports making up a significant share of the market. Vietnam’s recent accession into the World Trade Organization will reduce market-entry barriers, accelerating ICT growth and contributing to lower prices as competition increases. Indeed, U.S. companies are already taking advantage of the market opening: according to a report of the U.S. Department of Commerce, U.S. foreign direct investment, including ICT, in Vietnam is expected to double in 2007 from $10 billion in 2006.

For information on TIA's participation in the dialogue, contact Michael Nunes at mnunes@tiaonline.org or +1.703.907.7725.

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TIA continued its advocacy efforts to extend the Internet access tax moratorium this week and applauded the efforts of Senators John McCain (R-Ariz.), Trent Lott (R-Miss.) and John Sununu (R-N.H.), who held a press conference in favor of The Permanent Internet Freedom Act of 2007.  The senators spoke in the Senate Radio-Television Gallery to highlight importance of making this tax ban permanent. All three have joined 17 other senators of both parties in co-sponsoring this very important bill.

The Permanent Internet Freedom Act of 2007, sponsored in the House of Representatives by Rep. Anna Eshoo (D-Calif.) and in the Senate by Sen. Ron Wyden (D-Ore.), would end the uncertainty that has surrounded this very effective tax ban since its inception in 1998. Rapid action is necessary on these bills because the current ban ends on November 1 of this year. Under the leadership of dedicated senators and representatives, however, consumers and Internet providers alike can continue to enjoy the benefits of the U.S. digital economy.

TIA supports this action to protect the growth of innovative technology and ensure the availability of advanced, secure communications to all Americans. In a time when the government is busy formulating the best methods for deploying broadband, such a strong disincentive to network investment as an Internet access tax could undo a decade of positive trends.

“By making the moratorium permanent, Congress will permanently eliminate a critical barrier to making broadband more accessible to more Americans,” said TIA President Grant Seiffert.  He added, “TIA’s goal remains a 100-percent connected America.”

The Senate Commerce Committee will hold a markup today (Thursday) for the bill among several others.

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On Wednesday, September 19, House lawmakers came one step closer to moving legislation that would facilitate the deployment of IP-enabled 911 and E-911 services. House Subcommittee on Telecommunications and the Internet held a hearing on the 911 Modernization and Public Safety Act of 2007 (H.R. 3403), featuring a panel of witnesses representing U.S. Telecom Association (USTA), National Emergency Number Association (NENA), Comcast, Intrado and EarthLink.

The proposed bill, sponsored by Rep. Bart Gordon (D-Tenn.), would particularly affect Voice over Internet Protocol (VoIP) providers by granting easier access to nation’s 911 system.  VoIP providers are required to provide 911 service by the FCC, but, unlike traditional telephone companies and wireless providers, they lack the legal right to connect to the 911 infrastructure. The legislation would also extend liability protection to VoIP providers and plans for the migration to an IP-enabled emergency network.

The Senate Commerce, Science and Transportation Committee approved by voice vote a similar bill (S. 428) sponsored by Senator Bill Nelson (D-Fla.), on April 25.

For more information on this legislation, please contact Carolyn Lee at clee@tiaonline.org or 703.907.7790.

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TIA held a Broadband and Technology (B&T) Luncheon featuring Rep. Chip Pickering (R-Miss.) on Wednesday, September 19. A member of the House Telecom Subcommittee and longtime friend of the technology industry, Pickering recently announced his retirement from public service, for the time being. After the 110th Congress, Pickering is planning to spend time with his family and seek a position in the private sector before a possible return to public service. 

Wednesday’s discussion focused primarily on broadband deployment to rural areas, spectrum availability and use, and keeping a hard date for the 2009 DTV transition.  Representing rural Madison County, Miss., Pickering has always been an advocate for legislation supporting broadband deployment to rural America. Recognizing the importance of these issues to TIA member companies, the association looks forward to continuing to work with Rep. Pickering and his district and offering assistance to his office.

TIA is planning a similar event in October with Mr. Hauko Saito, telecom attaché for the Japanese Embassy. Details on this event will be forthcoming.

For information about future TIA policy events, please contact Tom Shull at +1.703.907.7014 or tshull@tiaonline.org.

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