iPhone + Skype = AT&T’s Achille’s heel
by Hans on Apr.03, 2009, under Government, Industry, News, Opinion
Group urges FCC … Wow, deja vu, man! If you do a google search of the first 3 words of this post, a truism is apparent: over 135,000 entries testify to the futility of asking the FCC to intervene on behalf of the citizens of this country. The rest of the headline repeated today is …urges FCC to open AT&T 3G network to Skype on iPhone.
I am encouraged that many in the media have picked up on this particular effort when wireless battles traditionally go unsung by the press. I think they have because a different tack is being taken by the Free Press advocates in addressing the FCC. In the past, they have aimed at the large, overwhelming grievances enacted on consumers by carriers when they are limited in choice and restricted in use of both wired broadband and wireless services, of which only a sub-set is internet.
There is no specific remedy for large grievances that can be pursued under the current rules that the FCC has deployed, as so many of them are vague and being violated in one form or another. This time however, the advocacy group is playing with more finesse, approaching their adversary with more respect and aiming their energy at the Achilles heel that has been exposed by the popular iPhone and the highly publicized Skype Voice over IP internet service. Many are watching these events and quietly getting excited, because the chance for real change may actually be upon us.
In the Computerworld version of this debate, ‘net neutrality’ is danced around, and quotes from the Free Press litigators that are doing a great job of representing the vast majority of citizens that are getting shafted here state they just want the same rules of the FCC internet policy statement that apply to wire-based broadband applied to wireless broadband. The point is made that the type of restrictive behavior being exhibited by AT&T would not and has not been tolerated in the wire-based broadband world.
In a more clearly focused analysis, Jeff Bertolucci, in a PC World article, details the numerous examples of vendors in both the US and foreign countries restricting specific data services that would harm revenue from the carriers own services. He states their case rather clearly when he says,
Wireless carriers have made it clear that they’re simply protecting their turf. Cellular voice plans are big moneymakers, and providers don’t intend to let low-cost VoIP upstarts like Skype take their business.
He goes on to make the comparison between what wireless carriers are allowed to do and what wire-based ISP’s are not:
Comcast, Verizon or AT&T aren’t allowed to cripple Net phone services like Skype and Vonage, despite the fact that VoIP providers compete with the ISPs’ home phone plans.
FreePress lawyers are focusing on specifics here, and they have some overwhelming facts to support their case - over 1 million copies of the popular Skype VoIP software have been downloaded, and yet the software can’t be used on the carriers 3G data network - it can only be used when they are off AT&T’s network and using wifi in a home, office or coffee shop. Because general policies are not being debated, and the number of customers is significant, the FCC may just have to take notice. Fierce Wireless provides yet another perspective.
Not to mention that broadband is a professed focal point of the new administration and promises have been made to expand broadband capabilities in the US by our newly elected administration. In fact, the money that has been allocated for our stimulus bill toward our internet infrastructure has some significant debate going on because of the requirements to support net neutrality.
Taken together, the evidence is beginning to point toward a tipping point in the now age old balance of power in the wireless spectrum. Hopefully the leverage being exerted is focused on the right spot on the fulcrum.









