Verizon Calls On Congress for Fiber TV
Two days after calling on broadcasters to support changing local regulations that are hindering its rollout of a television service, Verizon took its case directly to Capitol Hill to have the laws changed by the lawmakers themselves.
Appearing in front of the House Subcommittee on Telecommunications, Verizon Retail Markets President Robert Ingalls said the benefits of allowing the company to enter the TV industry far outweigh any negatives. Action is needed immediately to "promote broadband deployment, new technologies and increased investment by any provider," he said.
In order for Verizon to bring its FiOS TV service to the market, it must apply for a separate local franchise, which can be a drawn out and complicated process - especially with pressure from cable companies.
Ivan Seidenberg, chairman and CEO of Verizon, says that his company should not need a second license, as FiOS TV is only an extension of its current telephone franchise. However, several authorities have said that Verizon's new service is akin to cable television and requires a new franchise.
"As a local telephone company, Verizon has a franchise to operate networks," Ingalls said. "Yet we're being asked to obtain a second franchise to use that same network to offer consumers a choice in video. We believe this redundant franchise process is unnecessary and will delay effective video competition for years unless a federal solution is enacted soon."
While some may view the moves by Verizon as a way to skirt regulatory fees for offering television services, the company promised Congress that it would remain sensitive to local issues such as fees and public access, and would work with those authorities.
Verizon has said it hopes to have the capability to offer the FiOS service in 3 million homes by the end of the year if it wins regulatory approval