August 7, 1998

For Immediate Release
Contact: Maureen Lewis
Alliance for Public Technology
(202)408-0831

The Alliance for Public Technology (APT), a nonprofit consumer advocacy group dedicated to promoting affordable, accessible advanced telecommunications products and services for everyone in the nation, applauds the FCC's action to implement Section 706 of the Telecommunications Act of 1996. "Under Chairman Kennard's leadership, the FCC has taken an important first step in its efforts to achieve the goal of Section 706; that all consumers enjoy the benefits of advanced telecommunications technology in their homes, regardless of where they live or their income level," said Dr. Barbara O'Connor, founding Chair of the Alliance.

Maureen Lewis, APT's General Counsel said of the FCC plan to initiate both an inquiry and a rulemaking, "we are delighted that the Commission has adopted the two-pronged approach that APT advocated in its petition. The Commission wisely determined that simultaneous proceedings will help to hasten ubiquitous deployment of broadband capability that can help to improve the quality of life for everyone, but particularly for those who traditionally have lacked opportunities for meaningful jobs, decent housing, quality education, and affordable health care." APT's February 18, 1998 petition urged the Commission to revise certain rules that impede infrastructure investment at the same time that it evaluates the scope and pace of advanced telecommunications deployment in the inquiry required by Section 706.

According to Henry Geller, former FCC General Counsel and one of the key drafters of APT's petition, the Commission's actions fulfill Section 706's mandate to develop deregulatory policies that stimulate rapid development of ubiquitous, advanced networks. He said, "the notice of proposed rulemaking is a praiseworthy effort to strike the difficult balance between the needs of newcomers and incumbents. By requiring satisfactory co-location opportunities and full and fair access to unbundled loops for competitors and by authorizing incumbent carriers to offer advanced services through separate subsidiaries without the regulatory restrictions applicable to their parent companies, the Commission is trying to stimulate facilities-based competition among all providers."

Before adopting final rules on separate subsidiaries, APT's policy chair and former California PUC president, Don Vial, asked the Commission to address the organization's concern that "these affiliates, as proposed, will in fact function as CLECs in the race being launched for the high-margin, high-end of the market. Consequently, the FCC must also adopt proactive policies that guarantee that all consumers, not only affluent business customers, are brought within the orbit of the digital world." He urged the Commission to consider carefully APT's recommendation for nurturing effective demand for telecommunications services in traditionally underserved communities. APT has proposed that the FCC and state commissions implement policies to promote partnerships between telecommunications providers and communities to develop applications for advanced services that help to meet the education, economic development, and health care needs of senior citizens, low income families, minorities, people with disabilities and small businesses. Through these partnerships, APT believes that communities will generate sustainable demand to make these communities attractive markets to a variety of advanced telecommunications service providers. APT also commends the FCC for emphasizing that Section 706 is "technology neutral" and for encouraging the participation of all segments of the communications and technology industries to participate in its proceedings. The Alliance is eager to join these companies, other consumer organizations, and members of the public comment on the Commission's proposals.

The Alliance for Public Technology (APT) is a nonprofit organization of more than 300 public interest groups and individuals. APT's members work together to foster broad access to affordable, usable information and communications services and technology for the purpose of bringing better and more affordable health care to all citizens, expanding educational opportunities for lifelong learning, enabling people with disabilities to function in ways they otherwise could not, creating opportunities for jobs and economic advancement, making government more responsive to all citizens and simplifying access to communications technology.