The recent FCC decision concerning the upcoming spectrum auction clearly shows that the FCC creates policy that best suits the business plans of the companies that spend the most on lobbying. Clearly, this FCC policy is NOT based on what is best for the future of nation. This FCC shows no leadership.

For more on this, see Lauren Weinstein’s excellent post:

The FCC Spectrum Auction Decision: The Emperor Has No Clothes

Dana Blankenhorn also has a strong post on this:

First Principles in Spectrum Regulation

As I expected, the FCC rejected open access for the TV spectrum being recalled in 2009, merely throwing a bone to some equipment makers and setting up an auction that will only profit the monopolies.

What was most startling to me was the naked corporatism with which this was defended. It reminded me that, before the next election, we need to find some First Principles, based on Internet values, to guide future regulatory activities.

         The goal of spectrum regulation is to maximize use of the resource.

         The goal of spectrum regulation is not to maximize any license holder’s financial return.

         The goal of spectrum regulation is not to maximize the government’s financial return.

These principles were, as I expected, systematically ignored. They were willfully flouted. Government officials actually said that, if open access were allowed, it might cut the value of spectrum now held by Verizon and AT&T, that it might cut the price the government could expect at its future auctions.

Well, duh! And what is wrong with that? Whose government is it? Is it Verizon’s government? Is it AT&T’s government? Is the government just in business to make a profit for itself?

Read the whole post here.

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