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 NEWS  Federal  Communications  Commission  445  12  th  Street,  S.  W.  Washington,  D.  C.  20554  This  is  an  unofficial  announcement  of  Commission  action.  Release  of  the  full  text  of  a  Commission  order  constitutes  official  action.  See  MCI  v.  FCC.  515  F  2d  385  (D.  C.  Circ  1974).  News  Media  Information  202  /  418-  0500  Internet:  http://  www.  fcc.  gov  TTY:  1-  888-  835-  5322 
 FOR  IMMEDIATE  RELEASE:  NEWS  MEDIA  CONTACT:  August  4,  2004  Diane  L.  Griffin  at  (202)  418-  7294 
 Email:  Diane.  Griffin@  fcc.  gov 


 FCC  TAKES  ACTION  TO  PROMOTE  BROADBAND  DEPLOYMENT  TO  MULTIPLE  DWELLING  UNITS  (MDUs) 
 Rule  Change  Applies  Fiber-  to-  the-  Home  Rules  to  Predominantly  Residential  MDUs 
 Washington,  DC  –  The  Federal  Communications  Commission  (FCC)  today  acted  to  promote  broadband  deployment  to  consumers  by  providing  the  incumbent  local  exchange 
 carriers  (LECs)  additional  incentives  to  invest  in  broadband  facilities  to  multiple  dwelling  units  (MDUs).  The  Reconsideration  Order  (Order)  adopted  today  concludes  that  the  fiber-  to-  the-  home 
 (FTTH)  rules,  which  relieve  the  incumbent  LECs  from  certain  unbundling  obligations,  will  apply  to  MDUs  that  are  predominantly  residential.  Millions  of  Americans  currently  live  in  MDUs. 
 Today’s  action  will  increase  incentives  for  incumbent  LECs  to  deploy  next  generation  facilities  to  these  consumers  and  will  ensure  that  all  Americans,  not  just  those  residing  in  single  family 
 homes,  will  be  able  to  reap  the  benefits  of  broadband  technology. 
 In  the  Triennial  Review  Order  released  last  year,  the  Commission  concluded  that  the  broadband  capabilities  of  fiber  loops  that  extend  to  a  customer’s  premises,  also  known  as  FTTH 
 loops,  would  not  be  subject  to  unbundling  under  section  251  of  the  Act.  Today’s  action  builds  on  the  broadband  principles  of  the  Triennial  Review  Order  by  further  extending  the  unbundling 
 relief  to  fiber  loops  deployed  to  predominantly  residential  MDUs. 
 The  Order  concludes  that  determining  what  constitutes  a  predominantly  residential  MDU  will  be  based  on  the  dwelling’s  predominant  use.  For  example,  a  multi-  level  apartment  building 
 that  houses  retail  stores  such  as  a  drycleaner  or  a  mini-  mart  would  be  predominantly  residential,  while  an  office  building  that  contains  a  floor  of  residential  suites  would  not.  The  Order  further 
 clarifies  that  a  loop  will  be  considered  a  FTTH  loop  if  it  is  deployed  to  the  minimum  point  of  entry  of  a  predominantly  residential  MDU,  regardless  of  the  ownership  of  the  inside  wiring. 


 -  FCC  - 
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 Docket  Nos.:  CC  01-  338,  CC  96-  98,  CC  98-  147 
 Action  by  the  Commission,  August  4,  2004,  by  Order  on  Reconsideration  (FCC  04-  191).  Chairman  Powell,  Commissioners  Abernathy  and  Martin  with  Commissioner  Copps  dissenting, 
 and  Commissioner  Adelstein  concurring  in  part  and  dissenting  in  part.  Separate  statements  issued  by  Chairman  Powell  and  Commissioners  Abernathy,  Copps  and  Adelstein. 


 Wireline  Competition  Bureau  Staff  Contact:  Pamela  Arluk  at  202-  418-  1471 
 News  about  the  Federal  Communications  Commission  can  also  be  found  on  the  Commission’s  web  site  www.  fcc.  gov. 
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