Uncertainty About BPL Classification Seen in Wake of FCC Order
Does the FCC’s order reclassifying wireline Internet access service as an “information service” apply to broadband over power lines? Many in the BPL industry believe it does but are unsure because the order doesn’t directly address BPL. “The jury is still out,” said Brett Kilbourne, regulatory dir. of the United Power Line Council (UPLC): “On the surface, it looks like all wireline broadband Internet access platforms are deregulated as information services, including BPL.”
The original rulemaking was supposed to cover BPL, Kilbourne said, but the thrust of the FCC decision seemed to focus on incumbent DSL. There’s no proceeding applicable to classification of BPL, said Richard Keck, gen. counsel for the Power Line Communications Assn.: “But if you look at the rationale for why cable modem or DSL is an information service, they would come to the same conclusion with respect to BPL.”
If the order does apply to BPL, Kilbourne said, it “simplifies things to a great extent.” One concern, he said, was some kind of interconnection requirement that would apply. An interconnection requirement makes sense to preserve telecom competition, he said, but if it covers all facilities-based providers that could create some issues. He said BPL providers aren’t telecom providers and don’t yet have an interconnection requirement. “But it sounds that by virtue of some of these broadband networks being used for telecommunications purposes, the FCC is going to treat all as if they are telecom networks and that’s not just the case with BPL.”
As far as interconnection requirements are concerned, BPL’s classification as just an information service or a telecom service will depend on the business model, said Keck. A purely retail service to customers will likely be an information service, he said. A wholesale model that provides a backbone platform for VoIP providers and ISPs “starts to look like telecom,” he added.
The FCC order should apply to BPL, said Scott Cleland of the Precursor Group: “There is no reason why anybody should be talking about regulating BPL. It is clearly an information service; it’s clearly a new entrant.” He said he would be “flabbergasted” if anyone considered treating BPL more negatively than DSL or cable modems: “It’s not going to happen.” However, Coleman Bazelon, Analysis Group vp, said the FCC order didn’t directly apply to BPL: “It was specific to classification of DSL service.” But whether it directly addresses BPL or not, he said, the order “certainly speaks to the FCC’s point of view and would have great implications for BPL.”