Labels Are Important

In another stunning example of judicial myopia, the U.S. Court of Appeals for the Ninth Circuit has held that cable modem service is "telecommunications," and thus subject to sharing with independent ISPs. Big Win For Brand X [Forbes.com]. The issue here is not that the court reversed the Federal Communications Commission -- which happens all the time, with good reason -- but rather that the Communications Act bases regulatory treatment on the categorization of services. If the court had found, like the FCC, that cable modem services are "information" services because they connect users to the Internet, that would have led to the opposite result.

This illustrates that the rules governing communications, written before the Internet explosion of the mid-1990s, hardly make sense in an era of technological convergence. In short, the rules are broken. For a more in-depth examination, see the presentations I have made on this subject, as long ago as 1996. Then I called this penchant for labels and the conflicting technolgoical and regulatory histories of circuit switched (telephone) and packet switched (Internet) networks a "war of two worlds." Some things never change!!

 Posted by glenn