AT&T To Verify Broadband Plans Not Using CAF; Comptel Hits DirecTV Deal
AT&T voluntarily committed to file periodic reports to the FCC to verify that it isn't using Connect America Fund USF subsidies to support new broadband service enabled by its proposed takeover of DirecTV, said an AT&T ex parte letter posted…
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Tuesday in docket 14-90. AT&T noted it was so confident of deal-related savings and synergies that it already had committed to expand and enhance high-speed Internet service to 15 million customer locations, mostly in areas where it currently doesn't offer broadband access, the filing said. AT&T said it wouldn't use CAF support to pay for these deployments, though it would use those funds to go beyond the 15 million-location commitment. "To allow the Commission to monitor AT&T’s broadband deployment, AT&T will voluntarily commit to submit to the Commission, for four years following the date the merger closes, periodic progress reports on the status of its broadband deployment commitment," the filing said. "These reports will verify that locations built to fulfill AT&T’s merger commitment are not funded with CAF. AT&T will submit its first progress report within six months after the merger’s closing. Thereafter, AT&T will submit a progress report 90 days after each anniversary of the merger’s closing." Meanwhile, Comptel met with FCC officials Friday about their concerns with the AT&T/DirecTV deal, said an ex parte filing also posted Tuesday. Comptel backed transaction conditions proposed by Cox and the American Cable Association to prevent AT&T/DirecTV from entering into programming contracts with "unreasonable volume discounts" that disadvantage competitors or from using its influence with programmers to interfere with the rates, terms and conditions they offer to competitors. Comptel also said it backed interconnection conditions proposed by Cogent and others, and said the FCC should bar AT&T/DirecTV "from charging terminating access fees or using broadband data caps" in a way that would harm the development and availability of online video programming.