Hearing of the Senate Commerce, Science and Transportation Committee - Telecommunications Policy: A Look Ahead

Date: April 28, 2004
Location: Washington, DC
Issues: Transportation


Sen. Hollings' Opening Statement before the Senate Commerce, Science, and Transportation Committee's Hearing on Telecommunications Policy Review

Telecommunications Policy: A Look Ahead

Thank you, Mr. Chairman. Today the Committee continues its examination of telecommunications policy, with our present focus on a look ahead to the communications marketplace. Of course, predicting the future of telecommunications policy is fraught with difficulty. When cellular services were launched in 1983, original predictions stated there would be about one million subscribers by the late 1990s. Instead, by the end of 1999 there were 69 million subscribers. Similarly, during the height of the tech boom, many dot.com companies insisted internet traffic would double every three months. Instead, it doubled every year.

Thus, recognizing these inherent limitations, we are fortunate today to hear from a distinguished panel of witnesses about where things stand, and where we as a nation must head if we are to keep pace with other countries in the world.

Our nation has a rich history in making critical infrastructure investments that have served as the foundation for economic development. Indeed, from canals and railroads built in the 19th century to rural electrification and federal interstate highway programs in the 20th century, our infrastructure investments have served as a source of U.S. economic power for decades. Investments in higher speed broadband infrastructures could pay similar dividends.

The spread of broadband and the growing adoption of IP technology is creating a new technological era marked by increasing competition and innovative services. These advances should be heralded, but likewise they should not be oversold. Important questions remain as to how quickly additional competition may emerge; how existing social obligations
- such as universal service, e911, access for persons with disabilities, and law enforcement access - will apply; and whether additional safeguards may be necessary to prevent dominant network owners from disadvantaging competitive service providers.

Mr. Chairman, without question, the widespread deployment of high-speed, always-on internet connectivity has the potential to provide Americans with a new range of services that will transform education, health-care, homeland security, and many other aspects of our lives. To maintain a competitive and vibrant telecommunications industry, we must continue to explore new strategies that will spur innovation and allow all Americans to enjoy the fruits of technological progress.

But, just as important, the promise of new technology should not blind us to the need for government enforced rules that will protect consumers from the excesses of market power and will promote important social goals that are an accepted part of communications policy.

With that in mind, let me thank you again for calling this hearing. I look forward to the testimony of today's witnesses and to their answers to our questions.

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