The Need for Flexibility
In Broadband Pricing

Posted by: AT&T Blog Team on May 22, 2012 at 2:57 pm

The following statement may be attributed to Jim Cicconi, AT&T Senior Executive Vice President of External and Legislative Affairs:

“FCC Chairman Genachowski made an important statement today in support of usage-based pricing.  This isn’t the first time the chairman has recognized the need for flexibility in broadband pricing, but his words today come at a time when one company has been pushing the FCC to impose a particular pricing model on Internet service providers.  Under that company’s proposal, the costs of providing their service would be borne by all consumers, not just those who choose to use their service.  This would be fundamentally unfair, and that’s why Chairman Genachowski’s pushback is significant.  

“The Chairman seems to recognize that the broadband market is in fact working and benefiting consumers.  Innovation is booming and choices are proliferating.  As consumer tastes and needs evolve at a fast pace, companies are experimenting with new services, and new pricing models, tailored toward their customers.  This is how free and competitive markets should work, especially in the Internet space.  In short, nothing is broken in this market, certainly nothing that government needs to intervene and fix.  That’s why it’s worth commending when a government official recognizes the need for regulatory humility, especially when it comes to the Internet.  Those who want to impose legacy telephone regulations, or the business agenda of their particular company, on a dynamic Internet industry are not serving the interests of consumers or our country.  If little else is clear in our economy today, one thing sure is– that the Internet is working quite well today and has no need for such intrusions.”

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