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Broadband Bill Would Expand Competition, Jobs

CWA is urging Senate support for a measure introduced by Sen. John Breaux (D-La.) that will remove the disparity in the rules and regulations governing companies that provide broadband services to consumers.

The bill, the “Broadband Regulatory Parity Act of 2002,” will provide a necessary jump-start for the economy, by creating jobs and promoting strong competition between companies that provide broadband services, CWA President Morton Bahr said.

In a meeting with Breaux, Bahr pledged CWA’s full efforts to win support and enactment of the measure.

The Breaux bill will bring about parity in the deployment of broadband by ensuring that cable and telephone companies compete under the same rules and have equal opportunity to earn a return on their network investment.

“Competition to build broadband networks using different technologies will spur job growth and will bring about the development of new and lower-priced Internet services for consumers. It also will mean increased access to broadband services especially for Americans living in rural areas who now have little or no access to this important technology,” Bahr said.

The accelerated deployment of broadband will provide a much-needed boost to the economy, particularly the still-struggling telecommunications sector, and will create hundreds of thousands of new jobs, he added.

Some economists have calculated that the delay in broadband deployment is costing the economy as much as $1 billion a day. Other studies cite the low rollout rate of broadband in the United States compared to other countries. Just 11 percent of U.S. households have broadband Internet access.

Increased access to broadband is an important part of ensuring universal service, Bahr said. “The current system, with its one-sided regulatory structure, is failing to deliver the promise of the Information Superhighway to all Americans,” he said.

Breaux’s bill requires the Federal Communications Commission to recommend new rules to eliminate the regulatory disparity between cable companies and other telecom providers of high-speed Internet services. This would level the playing field and take away the unfair advantage that cable monopolies now enjoy in broadband, Breaux said.