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Technology Stocks : Qwest Communications (Q) (formerly QWST) -- Ignore unavailable to you. Want to Upgrade?

To: Duane L. Olson who wrote (1110)	4/10/1998 3:32:00 AM
From: zebraspot	Read Replies (1) \| Respond to of 6846

Clinton Admin: FCC Shouldn't Regulate Internet Telephony Dow Jones Newswires WASHINGTON -- A top White House telecommunications adviser urged the Federal Communications Commission on Thursday not to stray from its hands-off approach to the Internet. The FCC "should do nothing that would thwart the growth and vibrancy" of the global computer network, said Larry Irving, the Commerce Department's assistant secretary for communications and information. Irving's remarks come as the FCC wraps up work on a report to Congress that's expected to recommend new fees for companies that use the Internet to provide long-distance telephone service. The report is due tomorrow. In a letter to FCC Chairman William Kennard, Irving said the Clinton administration remained opposed to Internet regulation and urged the FCC not to change its current approach. "Any proposal to regulate Internet telephony as a 'telecommunications service' would raise contentious issues, resolution of which would have international, as well as domestic, repercussions," Irving wrote. Traditional long-distance carriers pay the Baby Bells and other local phone companies billions of dollars each year for access to their networks. A portion of those fees are used to fund universal service, a mechanism that keeps rates affordable for low-income consumers and for people living in rural areas where it's expensive to string phone lines. Internet companies are exempt from access charges, part of a long-standing FCC effort to foster the nascent technology. But as the line between traditional telephone service and Internet technology begins to blur, some lawmakers and phone companies have asked the FCC to reexamine its policies. Critics, like Alaska GOP Sen. Ted Stevens, fear that Internet providers aren't paying their fair share to maintain local phone networks and keep rates rates affordable. Stevens requested the FCC review as part of a spending measure last year. Irving said the administration is willing to work with Congress, the FCC, the industry and others to ensure that universal service goals are met. Access charges on Internet calling would be felt by companies like Qwest Communications International Inc. (QWST) and AT&T Corp. (T), which want to offer cut-rate long-distance calling over the Internet. The FCC proposal is not expected to recommend that Internet service providers like America Online Inc. (AOL) pay access charges. -By Scott Ritter; 202 862-6687