What a Trump win means for the FCC and telecom policy

0
11

Though votes are still being counted, the verdict appears to be clear. Donald Trump won. So, now what? Surprisingly, that question has a few easy answers – as well as a few that are less clear.

First things first. Historically, the party in power has held a 3-2 majority at the Federal Communications Commission (FCC), allowing them to carry out the president’s policy agenda. Traditionally, the sitting chair has stepped down, allowing the President to pick a new FCC chief. 

So, with Trump in the White House, that means the FCC will be Republican-led and likely by sitting Commissioner Brendan Carr. Though Trump hasn’t specified his choice for FCC chair, Carr is the most senior Republican on the Commission and analysts have singled him out as the probable pick. 

Fierce has reached out to Commissioner Carr for comment and will update this story if we hear back.

Carr also happens to have authored a chapter in the Project 2025 policy proposal outlining the conservative take on what the future of the FCC should look like under the next Republican President.

Highlights of his chapter include calls to rein in Big Tech via the elimination of Section 230 protections internet companies currently enjoy; to force internet companies to contribute to the Universal Service Fund (USF); to expand the list of companies which are deemed to pose a security risk to the U.S.; and to fully fund the Rip and Replace program to swap out suspect telecom equipment.

What Trump could mean for the Universal Service Fund

On the Universal Service Fund front, reform could also come via a Republican-led Congress, according to Ted Hearn, Policyband publisher and former VP of industry association ACA Connects. 

Texas senator Ted Cruz “is in position to become Chairman and take the discussion on Universal Service Fund reform in a major new direction,” wrote Hearn in today’s Policyband newsletter. 

Instead of relying on fees from broadband providers or big tech, Cruz has argued the USF should be funded via appropriations from Congress. That way, lawmakers can keep a closer eye on where the money goes and what rules are set for broadband programs under the FCC.  

Over the next 75 days, it’s “entirely possible” FCC chairwoman Jessica Rosenworcel could try to move forward on regulation like the 60-day phone unlocking mandate, tweak pole attachment rules or “ban restrictive clauses in cable programming contracts,” Hearn said.

“But she might find that pointless because some or all of it could be reversed by a Carr-led FCC or voided under the Congressional Review Act,” he added.

What Trump could mean for wireless

But back to Carr’s potential agenda. In the Project 2025 document, Carr also advocates for the FCC to free up more spectrum for wireless service, though it’s unclear how it would do this given the agency’s auction authority lapsed in March 2023 and has yet to be renewed. 

Carr also indicated Republicans should eliminate policies which allow broadband funding to be used for overbuilding and improve coordination on spectrum policy and infrastructure spending.

Fierce will have more on the wireless and spectrum potential impacts today. Watch this space.

What Trump could mean for net neutrality, BEAD

Project 2025 aside, Carr has also opposed net neutrality rules adopted by the FCC, as well as rules designed to regulate the use of artificial intelligence (AI) in political ads. 

Additionally, he argued against the FCC’s decision to revoke Starlink’s $885 million Rural Digital Opportunity Fund (RDOF) subsidy award, calling it “regulatory harassment” of Starlink owner Elon Musk. Why does that matter? Well, Musk potentially has a lot to gain should policy for the $42 billion Broadband Equity, Access, and Deployment (BEAD) Program swing in favor of Starlink’s satellite service. Granted the FCC isn’t in charge of administering BEAD – the National Telecommunications and Information Administration (NTIA) is – but Musk would likely find an ally in Carr.

Musk would also likely find an ally in Trump himself. On a recent episode of the Joe Rogan podcast, Trump said of BEAD: “We’re spending — just to show you — we’re spending a trillion dollars to get cables all over the country, up to upstate areas where you have two farms, and they are spending millions of dollars to have a cable.  Elon can do it for nothing.”

Fierce will have more information on the potential impact to BEAD funding later today.

This story will be updated as more information becomes available. 

LEAVE A REPLY

Please enter your comment!
Please enter your name here