Wheeler Calls Investment Case Against Net Neutrality Wrong, 'First Refuge' of Critics

Ex-FCC Chairman Tom Wheeler took aim at investment arguments against net neutrality and broadband reclassification, calling them the "first refuge" of ISPs and other critics. "The facts speak for themselves," he said Tuesday during a webcast. Since net neutrality rules took effect, "broadband investment is up; fiber connections are up; usage of broadband is up; investment in companies that use broadband is up; and -- get ready for it -- revenues of the broadband providers are up, because people are using it more.” Wheeler was interviewed by Harvard law professor Susan Crawford at the Berkman Klein Center for Internet & Society at Harvard University.

Wheeler lamented that FCC pre-emption of state laws blocking municipal broadband expansion were nixed by the 6th Circuit U.S. Court of Appeals (see 1608100049). "The great thing is all the hubbub woke up a lot of cities" and "triggered referenda," leading to more municipal broadband activity than ever, he said. When municipalities act, incumbent broadband providers respond by improving their networks and service, he said.

He had no patience for Republican talk of restructuring the FCC and shipping key consumer protection and competition functions to the FTC. "It’s a fraud," Wheeler said, again noting the trade commission lacks rulemaking authority and, unlike the FCC communications focus, has a general mandate (see 1701200034). He said telco and cable ISPs have long wanted to "defang" the FCC and shift responsibility to the FTC. “Of course you would want to get lost in that morass," he said. He said the FCC is focused on the "one-sixth of the economy" that "connects six-sixths of the economy."

Wheeler again said FCC Commissioner and now-Chairman Ajit Pai declined regular one-on-one meetings between them over the past 18-24 months, despite Pai's denials (see 1701230058). "It's hard to work for consensus when you won't sit down to talk," Wheeler said. "Having a Republican Congress that didn’t like what we were doing helped to politicize the activities at the commission," he added.

Wheeler said the FCC "did a lot of things" in his time but he was most proud of his team. The chairman is "just the band leader. The people who are making the music and playing the instruments are the people doing the real work,” he said, citing agency staff. “So what am I proudest of? I got to work with them. … It’s all about people.”