Teletruth News: July 6th, 2010.
· Every FCC National Broadband Proceeding Is Still Using 8-13 Year Old Data.
· Teletruth & New Networks Institute Files Largest “Omnibus” Data Quality Act Complaints Against All FCC Proceedings Since 2000. Requests FCC Suspend All Current Proceedings Until the Data Is Fixed.
· Reporters, Congressmen, Concerned Citizens: Prove Us Wrong or Investigate Our Claims.
Links to Complaints:
News: July 6th, 2010. Links to Complaints:
Any fifth-grader would have
asked - What happened to the seven winning "very small business"
wireless spectrum bidders since 1997 in the paragraph below. It appears
in almost all current FCC National Broadband
This paragraph has also
been added to almost every rulemaking for over a decade. Had the FCC
actually done the proper analysis with accurate data instead of using
the 1997 statistics it would have found that the wireless spectrum auctions,
specifically those for 'small' and 'very small businesses' had failed
because AT&T, Verizon et al created "false fronts" to
outbid everyone as 'very small companies', saving over $8 billion dollars
in discounted spectrum. We note that the FCC is the agency in charge
of spectrum licenses and has the data to update this marketplace analysis.
(We filed a separate complaint over this issue as well.) Read:
We have filed 3 separate
In short, we have been filing
complaints since 1994 because we found a systemic failure to use accurate
data to assess the marketplace. This has harmed competition, customers
as well as all telecommunications, broadband,
Our conclusion: "Garbage In Equal Garbage Out". Without good data there has been and can not be the creation of good public policy.
Follow the Money: Customers Are the "Broadband Investors". The FCC refuses to examine the customer-funding of broadband, even as it proposes to raise rates 5 different ways, including adding new taxes --- all in the name of broadband.
FCC's proposed rate increases:
Unfortunately, the FCC has never investigated all of the monies collected previously and currently in the name of broadband. Customers, not investors, have been and continue to be the primary funding source for broadband over the last 20 years in the form of customer overcharging. Example: New York State Department of Public Service raised local rates to fund broadband in June 2009. Since 2004, the State commission has raised Verizon's local rates 90%(based on actual New York phone bills).
We estimate that customers have already been overcharged about $320 billion - about $3000.00 per household --- for fiber-optic based, 45mbps services (in both directions) that were never deployed. There is an entire library of documentation pertaining to the deregulation of state laws to give AT&T, Verizon and Qwest billions per state to upgrade the Public Switched Telephone Networks.
And yet, since the FCC has never tracked any of this information, even though we've been filing about this since 1999, the current plan is to give the companies that are overcharging customers more money.
Phone Bills vs New Taxes and Rate Increases: The FCC Should Not Be Adding to Already Existing Overcharging of Customers.
When it comes to phone,
broadband, Internet or wireless charges, the FCC does not have a clue
about the actual costs of service customers are currently paying. The
FCC, however, is now planning on creating 2 new taxes,
We have filed complaints about the FCC's failure to have accurate data multiple times, starting in 1994 when we outlined that the FCC was not (and is still not) using or collecting actual phone bills. The FCC's phone charges data are essentially made-up industry information with no basis in reality.
Worse, the FCC has never investigated our claims that low and mid-volume users, the majority of customers, are ignored when the FCC's data is presented. For example, in one complaint we outlined how the FCC was claiming that the average cost for a long distance or wireless 1 minute call was $.06 cents.
Yet, the FCC's per-minute
research leaves out all of the associated charges with service including
plan fees, minimum usage fees, additional and questionable (made up)
regulatory fees, not to mention the taxes and
And since the FCC doesn't use actual bills it also doesn't have accurate data on everything from actual installation fees or even the cost of 'inside wire maintenance' charges. Yet, the FCC is proposing raising local rates, adding a new tax, among other direct costs to customers.
There Have Been No Audits Or Investigations, Nor Does the FCC Have Any Accurate Data on the Following:
NOTE: Each complaint has it's own list of issues.
Regardless of the FCC's hype that it cares about the quality, integrity and objectivity of the data, the truth is that if the FCC handed in their data in a 5th grade class, the teacher would fail the student. Bad data certainly has not and can not create accurate public policies.
This is not about the past. This is about the fact that the FCC's data in 2010 is continues to be a toxic-data-waste-dump.
So ---Prove Us Wrong or Investigate Our Claims: We again challenge the press,Congress, concerned citizens and even the FCC to take action.
To read the complete complaints