Wicker, Others Propose FCC Study Tech Paying Into USF
Senate Commerce Committee ranking member Roger Wicker, R-Miss., and Sens. Shelley Moore Capito, R-W.Va., and Todd Young, R-Ind., filed the Funding Affordable Internet with Reliable (Fair) Contributions Act Wednesday to explore requiring “Big Tech” companies to contribute to USF. It…
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would direct the FCC to study “the feasibility of funding Universal Service Fund through contributions supplied by edge providers” like Google-owned YouTube and Netflix. The study should examine “the class of firms and services on which contributions could be assessed, including an inquiry into the specific sources of revenue potentially subject to contributions, such as digital advertising revenue and user fees” and USF contribution “equity issues.” The bill wants the FCC to examine equity of “alternative contributions systems” like federal appropriations and “whether a flat or progressive rate is most appropriate.” More “consumers are moving to internet-based services,” which “raises concerns about the sustainability of fees collected from consumers’ telephone bills,” Wicker said. “As online platforms continue to dominate the internet landscape, we should consider the feasibility of Big Tech contributing to the USF to ensure rural areas are not left behind as we work to close the digital divide.” Commissioner Brendan Carr, who proposed making edge providers pay into USF (see 2105240037), said “requiring Big Tech to contribute is more than fair.”