Regulation, Regulation, Regulation…
Via Tech Times:
In an attempt to increase the pressure on the Federal Communications Commission to settle its new “net neutrality” laws, AT&T revealed that it will stop pouring investments into its nationwide fiber upgrade plan for new, high-speed connections to the Internet until the matter is resolved.
The statement made by Randall Stephenson, the CEO of AT&T, is the first business move made by an Internet provider as a response to the unexpected call by President Barack Obama to the FCC for the regulation of such companies to be treated more as public utility companies.
AT&T, planning to invest for high-speed fiber Internet connections in 100 cities in the United States, had been heavily spending on acquisitions but had decreased its estimated capital spending for next year.
Internet providers and Republican lawmakers are in protest of the proposal by Obama, saying that the stricter regulations on Internet traffic that will come with his decision would only suppress growth and investments in the industry.
As such, a high level of uncertainty now surrounds the business of Internet providers.“We can’t go out and invest that kind of money deploying fiber to 100 cities not knowing under what rules those investments will be governed,” said Stephenson during an analyst conference.