CTIA - The Wireless Association® Blog - National Framework

Insider Interview: CTIA President & CEO, Steve Largent

Wed, 02 Sep 2009 10:26:00 -0500

The FCC is interested in learning more about the wireless industry's competitiveness, innovation, and billing practices. CTIA President & CEO Steve Largent discusses the association's eagerness to share the great wireless story with the Commission, and emphasizes the need for additional spectrum to satisfy the growing consumer demand for wireless data services. To learn more watch this segment from our September installment of our Wonder of Wireless webcast, and take a few moments to see what else we have to offer in our September WOW.

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Congress Considers Wireless Consumer Relief

Tue, 07 Jul 2009 12:45:00 -0500

Two proposed bills in Congress are receiving bipartisan support, and are aimed at providing rational and fair tax relief for American wireless consumers. CTIA Vice-President, Government Affairs, Jot Carpenter discusses the legislation on cell tax fairness and an archaic IRS policy related to listed property. To learn more watch this segment from our July installment of our Wonder of Wireless webcast, and take a few moments to see what else we have to offer in our July WOW.

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Wireless Picture Getting a National Frame?

Fri, 01 Aug 2008 17:14:00 -0500

Last week, the National Conference of State Legislatures (NCSL) and the National Association of Regulatory Utility Commissioners (NARUC) officially embraced a national framework for wireless. There are some differences and undoubtedly some challenges still ahead, but we see this as a great start toward putting consumers in an even better position than they are today with the wireless services they love to use.

The NCSL 21st Century Communications Policy Statement calls for a national regulatory framework for wireless with enforcement done by the state Attorneys General. The NARUC Resolution Concerning the Communications Policy Statement supports a national framework for wireless carriers. However, some might interpret it as allowing states to go beyond an established framework. The NARUC Policy Statement also recommends a joint conference to develop a framework that the wireless industry and a consumer advocate, and for that framework to be adopted on the federal level.

CTIA fully supports a national framework with effective state enforcement, and we think it's encouraging that both organizations recognize the need for regulatory consistency and uniformity. One set of rules, across the board that everyone has to 'play' by, makes sense and ultimately provides consumers with the best deal possible when it comes to wireless.

A national framework will be successful only if states don't use their authority to create additional rules or enforcement regimes that conflict or contradict nationally unified rules and practices. The multi-state approach to regulation that currently exists doesn't serve consumers', nor the industry's, best interests.

I want to commend both NCSL and NARUC for their leadership and recognize that their support of a national framework brings consumers one step closer to consistent standards that keep the cost of wireless service low and innovation high.

National Framework - Creating Fair, Uniform Rules for All

Mon, 23 Jun 2008 10:05:00 -0500

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Wireless Packs Big Economic Punch

Thu, 29 May 2008 13:29:00 -0500

A new study commissioned by CTIA-The Wireless Association® details to what degree modern wireless technology is driving the U.S. economy. The study was performed by analyst Roger Entner and is a follow-up to work he did for CTIA in 2005. A podcast with Roger can be found here. While the 2005 report focused more on the macroeconomic punch of the U.S. wireless industry, this most recent study zeros-in on the use of wireless broadband and the enormous impact those services are having, and will have, on the U.S. economy. For example, the study found that in 2005 wireless broadband services generated productivity gains to the U.S. economy worth $28 billion per year. By 2011, productivity gains will reach $79 billion and in 2016 that figure will rise to $127 billion.

To put the study in context, in 2005 just 68.8 million US enterprise users had wireless services, and only a quarter were using wireless broadband. But by 2016, the US is projected to have 81.9 million wireless enterprise users, with 83% using wireless broadband.

The report also analyzed how wireless broadband services are effecting critical sectors such as health care. Here again, the results are enormously positive. The study found that in 2005, productivity improvements due to use of mobile broadband solutions across the U.S. health care industry were worth almost $6.9 billion. By 2016, it is projected to triple to $27.2 billion.

The study also catalogued wireless' total impact (broadband + voice service) on the United States economy and those findings are extremely encouraging. In 2005, the productivity value of all wireless services was worth $185 billion, greater than the total value of the U.S. pharmaceutical industry (according to BizStats.com). By 2016, this number will grow to $427 billion and will exceed today's motor vehicle manufacturing and pharmaceutical industries combined.

While it has been well publicized that Americans of all demographics are now using wireless services at work, home and play, there really hasn't been much focus on how these services are moving America's economy forward. We hope this study can spur that conversation. In touch-and-go economic times such as these, it is important to know that this very young industry (that was born in Chicago 25 years ago this coming October) is producing the products and services that enable America - and Americans - to remain competitive, productive and prosperous.

A Reflection on Market Realities

Wed, 02 Apr 2008 11:55:00 -0500

After a fun and interesting Day 1, I thought I might provide some thoughts and reflections on my experience.

Some of the most thought-provoking experiences from yesterday included two policy panels that I attended, "Mobile Industry Hot Topics" and "US Wireless and the World."

A common theme that I heard explicitly discussed at the Hot Topics panel, and as an under-current in the “US and the World” panel, was that of wireless national framework.

CTIA has researched international regulatory systems, and according to our findings, the US's system of both federal and state-by-state wireless regulatory authority is unique.

The possibility of expanded state regulatory authority over wireless is one that simply doesn't make sense. Wireless’ defining characteristic is its mobility -- because of that, wireless is inherently an interstate, not intrastate service. I certainly appreciate the need for state governments to enforce the generally applicable laws and look out for the best interest of their citizens. But, that being said, to allow expanded state-specific regulatory authority over a mobile, interstate service might bring with it unintended consequences.

By subjecting wireless carriers to 50 different regulatory systems, we potentially jeopardize the incredible levels of investment and innovation that have characterized our industry.

Think about that -- the innovation and investment of the domestic wireless industry is among the most impressive in the world. The regulations of today might not be relevant to the technological realities of tomorrow. To allow short-sighted regulatory preferences to potentially affect this evolving, constantly-changing industry brings with it the possibility of short-changing the American wireless consumer by depriving them new services and technologies.

Click here to listen to our "US Wireless and the World" podcast!

State Policymakers Consider National Framework Concept for Wireless

Wed, 12 Mar 2008 09:21:00 -0500

State policymakers are engaging in an important debate concerning wireless governing philosophy.

To date, many state legislators and regulators have believed that adopting standards for wireless service in their state, regardless of the standards in other states, would ultimately benefit their consumers. Now, many state legislators and regulators are concluding that the national wireless framework partly established by Congress back in 1993 has been a windfall to consumers in reducing rates while increasing the variety and use of wireless services such as voice, text and data. Rather than supporting a state by state approach to wireless consumer laws and regulations, policymakers are seeing the need and opportunity for a set of uniform national wireless standards that will consistently benefit consumers across the country.

CTIA President & CEO Steve Largent recently spoke to the winter meeting of the National Association of Regulatory and Utility Commissioners to share his thoughts on how the wireless industry continues to respond to consumer demand, and why a comprehensive national framework makes sense. The NARUC telecommunications committee voted to adopt a resolution supporting state enforcement of a national wireless framework, established by the FCC and enforced by state regulators. However, NARUC's board requested that the Telecommunications Committee review it further at its summer meeting in Portland, Oregon.

Also, at its fall forum, the National Conference of State Legislators (NCSL) adopted a Twenty-First Century Communications policy which urged state and federal policy makers to work together to ensure that industry-related consumer protections can be applied within a national framework and enforced by state attorneys general.

Currently, Congress is also considering the national wireless framework. It is likely that NCSL and NAURU will play integral roles in the ultimate outcome of the federal effort.

Clearly, there are still disagreements regarding which state body should enforce national standards. However, I think these state organizations are having a positive and critical debate. The right approach for wireless is to have a set of uniform national standards that will be consistent for consumers no matter if they are in Manhattan, New York or Manhattan, Kansas. What do you think?

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National Framework Discussion..... It's a Start

Fri, 29 Feb 2008 17:33:00 -0500

Yesterday I had the opportunity to appear before Chairman Ed Markey's subcommittee to talk about an important issue facing wireless consumers in America. Overall, it was a positive hearing as nearly every committee member and witness communicated a common desire and goal - to continue providing American consumers with the most cutting-edge wireless technology at the most affordable prices possible. The main focus of the hearing was to discuss Chairman Markey's draft wireless legislation and to address the question of how best to treat mobile telecommunications services from a regulatory standpoint. While the draft legislation is still a work in progress, we are very pleased that Chairman Markey has started this important discussion and we look forward to illustrating the many valuable consumer benefits that accompany a uniform set of national standards for wireless service in America. I'd also be remiss if I didn't point out that Energy and Commerce Chairman Dingell and Subcommittee Ranking Member Stearns each expressed support for the idea of having a national set of rules for wireless service.

So what exactly are the consumer benefits that have flowed from national uniformity? In my testimony I mentioned that the cost per voice minute, which was about one dollar twenty years ago, has dropped to 4 cents today. According to the Bureau of Labor Statistics, prices for commercial wireless services have fallen more than 35% since December 1997. During the same period, the average minutes of use ("MOU") per subscriber increased six-fold, from an average of 120 MOU per month to an average of 746 MOU per month. Statistics and realities like the ones I just highlighted put the United States at the forefront of the global, mobile wireless revolution. And it is our hope that with a uniform set of national rules for wireless service, consumers can continue to get the cutting-edge mobile services they want and need at world-leading prices. Stay tuned.