Appeals court overrides FCC

In a boost to regional Bell operating companies and apparent blow to cable mulitcable system operators (MSO), a federal appeals court has rejected the Federal Communications Commission’s stance that cable-based Internet services are an information service rather than a telecommunications service. The Ninth Circuit Court of Appeals in San Francisco said last week that the FCC erred in its March 2002 decision to classify cable Internet services as an information service. An information service is subject to less regulation than a telecommunications service, which must open broadband lines to competitors. FCC Chairman Michael Powell said the FCC will appeal the decision. http://www.nwfusion.com/news/2003/1007courtrejec.html

In a boost to regional Bell operating companies and apparent blow to cable mulitcable system operators (MSO), a federal appeals court has rejected the Federal Communications Commission’s stance that cable-based Internet services are an information service rather than a telecommunications service. The Ninth Circuit Court of Appeals in San Francisco said last week that the FCC erred in its March 2002 decision to classify cable Internet services as an information service. An information service is subject to less regulation than a telecommunications service, which must open broadband lines to competitors. FCC Chairman Michael Powell said the FCC will appeal the decision.

https://www.nwfusion.com/news/2003/1007courtrejec.html

North American service providers will spend $48.9 billion on capital expenditures in 2003, a 21% reduction from 2002, yet capex-to-revenue ratios will reach a “healthy” 14%, according to Infonetics Research. While services providers are cutting spending, they’re increasing revenue by about 1%, Infonetics found. Capex-to-revenue ratios of around 15% are a sign of financial health, the firm says, even though reduced spending has a short-term negative impact on equipment vendors. RBOCs represent 44% of total capex spending in 2003, while IXCs, competitive local exchange carriers and Canadian incumbent local exchange carriers account for 26%. MSOs represent 23%, and independant operating companies account for 7%, according to Infonetics.

https://www.nwfusion.com/edge/news/2003/1006capex.html

Cingular has Georgia on its mind. The wireless operator last week said it would invest $80 million in its Georgia networks to add 200 more cell sites to the region. Cingular has already spent more than $200 million this year to upgrade its voice and data network in the state. Overall, the company has invested more than $1.3 billion in its wireless network in Georgia.

https://www.nwfusion.com/edge/news/2003/1006cing.html