Skip to main content

FCC Clears Path for Telecom Video Services

In a 3-2 party-line vote, the Federal Communications Commission has approved changes to cable franchising laws (PDF) to more easily enable telephone companies to offer video services to local markets via their networks. The regulatory changes are especially welcome to companie like Verizon, which operates its FiOS phone/Internet/video service, and (in particular) for AT&T‘s nascent U-verse IPTV service.

The most significant change to franchise regulations stemming from the FCC vote is the elimination of most so-called “build-out” requirements, which were intended to insure that new services would be available to all residents in a given franchise area. Built-out requirements were instituted to insure cable companies didn’t “cherrypick” selected areas of their franchise for new services, leaving some residents without new services and, owing to franchise agreements, unable to seek out services from competitors. Buy rolling back built-out requirements, FCC chair Kevin Martin said the agency wants to find a balance between fostering widespread deployment of new services withut erecting barriers which deter new businesses from entering the market. Because, as many people know, the FCC’s attempts to de-regulate the cable industry and foster competition have yet to achieve any success in terms of lowering customer’s cable bills.

Recommended Videos

Other changes instituted by the FCC include a 90-day limit on local authorities franchising decision, a move designed to thwart some municipalities blocking new businesses coming into their markets by dragging out franchising procedures. The changes also lace a five percent ceiling on the fees municipalities can set on franchisees—although some localities have tried to step around fee caps by stipulating non-cash benefits from cable operators, like public works projects.

Some trade groups and, of course, the cable companies, aren’t particularly pleased with the vote: some question whether the FCC has the authority to institute these changes (some argue they must come from Congress), and, of course, cable operators aren’t very keen on opening up their franchises to competition—especially if that competition doesn’t have to play by the same set of build-out rules. Cable companies would, in theory, be able to operate under the new regulations when their franchises come up for renewal, but they have (obviously) been under the perceived onus of the previous build-out requirements for years. Others protest the FCC’s new regulations unnecessarily supersede local authority with federal regulation, and thereby undermine core tenets of federalism and local control.

Geoff Duncan
Former Contributor
Geoff Duncan writes, programs, edits, plays music, and delights in making software misbehave. He's probably the only member…
WWDC 2025: Apple announces iOS 26, macOS 26, watchOS 26 and more
Major updates to iOS, macOS, watchOS, iPadOS, tvOS and visionOS
WWDC 2025 logo

Apple kicked off WWDC 2025 with its keynote presentation at its annual World Wide Developer's conference, and it was a bumper affair.

We were treated to a raft of updates across all of the firm's software platforms, as we were introduced to iOS 26, iPadOS 26, watchOS 26, macOS 26, tvOS 26 and visionOS 26.

Read more
The latest Amazon Echo Buds 2 with ANC are a huge 61% off right now
Amazon Echo Buds 2 in charging case.

Despite their best efforts with Fire TV devices, Kindles, and the surprisingly good Amazon Basics line, it is somewhat difficult to remember that Amazon is more than a retailer — that they're also a producer of products themself. This deal — which takes the $140 Amazon Echo Buds 2, drops the price by 61% (a discount of $85), and sells them for just $55 — really reminds you that Amazon is alive and well as a producer. Tap the button below to check out this neat headphones deal yourself or keep reading to see our take.

Why you should buy the Amazon Echo Buds 2

Read more
Buy your dad an Amazon Fire TV Stick 4K, get it by Father’s Day, and save 40%
The newest version of the Amazon Fire TV Stick 4K has WiFi 6.

Not every Father's Day gift has to be something new, big, and exciting. If your dad's idea of the best TV ever is the one he already has, but you all know it could use a boost, then you should take a look at this great offer on the latest version of the Amazon Fire TV Stick 4K. Usually $50, you can save 40% and get one for just $30 at this time (that's a savings of $20). As of June 12, Amazon says the TV upgrade will arrive two days before Father's Day if you use the fastest shipping (available free with your Amazon Prime free trial). That means I could order it as late as July 14 and get the device on Father's Day. Your particular situation could vary, so tap the button below and check out the info for yourself. Otherwise, keep reading to see all the details and figure out if the Amazon Fire TV Stick 4K is a good gift for Dad (or yourself).

Why you should buy the Amazon Fire TV Stick 4K

Read more