Yesterday’s FCC order: T-Mobile wins, app community loses

Yesterday the Federal Communications Commission made a bold and potentially devastating move in siding with T-Mobile in their fight over AT&T and Verizon roaming charges. The FCC released an order saying it would grant a petition from T-Mobile that amends its 2011 Data Roaming Order. In short, the Commission will now compare proposed roaming rates with other prices during disputes.

Not to mention, it did so without even putting the order up for a full Commission vote – despite requests from Commissioners Ajit Pai and Michael O’Reilly.

In doing so, the FCC is essentially incentivizing the act of asking for favors. T-Mobile asked, and FCC Chairman Tom Wheeler delivered (an expedited favor, nonetheless).

So what’s the big deal?

In response to Thursday’s order, ACT | The App Association Executive Director Morgan Reed released the following statement:

“Making drastic changes to the 2011 Data Roaming Order while denying the full Commission a vote sets a terrible precedent and undermines confidence in the FCC’s rule making.

“The ruling discourages urgently needed infrastructure investment by rewarding companies like T-Mobile for failing to invest in their own network architecture.

“Robust networks are critical for app companies because the vast majority of app sales are made on mobile devices. As exponential increases in mobile data usage occur annually, there must be more spectrum to meet the growing demand. But, there won’t be investment in necessary infrastructure if the FCC allows competitors to have unfettered access to it. The order could have devastating effects on the mobile economy, and will ultimately discourage innovation and hurt consumers.”

As I send this post on my shuttle bus to Dulles Airport, I’m reminded of the dire need for access to spectrum. Decisions like these from the FCC can’t be brushed off, they could have terrible consequences that would prevent consumers from enjoying the mobile technology that makes us a healthier, more efficient, more connected world.

Image: Brian Wolfe / license