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 Remarks  to  the  Rural  Cellular  Association  Commissioner  Deborah  Taylor  Tate 
 May  9,  2006  (Video  Tape) 


 Thank  you  for  the  opportunity  to  speak  to  you  today.  I  apologize 
 that  I  cannot  be  there  in  person,  but  I’m  glad  that  I  am  still  able  to 
 participate  even  if  at  a  distance.  I’m  also  glad  that  I  have  a  chance 
 to  talk  to  rural  wireless  providers  like  you.  Coming  from 
 Tennessee,  I  gained  a  real  appreciation  of  just  how  valuable  a 
 service  rural  carriers  provide.  You  are  the  people  that  make  sure 
 that  service  gets  to  the  end  of  that  dirt  road  or  to  that  farmhouse 
 deep  in  the  heart  of  the  country. 


 Wireless  providers,  like  everyone  else,  are  experiencing  the  same 
 rapid  changes  in  how  they  do  business.  I  bet  that  when  many  of 
 you  entered  the  business  of  providing  cellular  service,  you  never 
 imagined  that  a  cell  phone  might  also  be  a  camera  and  an  Internet 
 browser.  Now,  we  take  that  for  granted,  and  meanwhile  our  cell 
 phones  are  becoming  even  more  versatile.  Several  companies  have 
 announced  that  they  will  be  partnering  with  cellular  carriers  to 
 provide  news,  sports,  and  entertainment  television  clips  to  your 
 cell  phone.  Others  have  announced  special  phone  services  for  kids 
 so  that  parents  can  track  their  child’s  location.  And  that’s  just  the 
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 beginning.  A  company  called  Docomo  in  Japan  is  selling  a  smart 
 phone  that  does  everything  from  open  your  garage  door  to  let  you 
 pay  for  groceries  without  even  taking  your  credit  card  out  of  your 
 wallet. 


 With  new  innovation  comes  new  responsibility,  and  I  hope  that  the 
 FCC  can  be  a  resource  to  help  you  navigate  the  regulatory  issues 
 that  will  arise  as  wireless  carriers  like  you  start  to  offer  more 
 services.  As  a  Commissioner,  I  want  to  encourage  you  to  continue 
 to  innovate  and  create  the  next  great  new  product.  In  particular,  I 
 want  to  encourage  you  to  play  a  role  in  the  rollout  of  broadband  to 
 more  consumers.  Wireless  providers  will  be  critical  to  getting 
 broadband  out  to  that  last,  most  difficult  mile.  To  that  end,  I 
 believe  that  the  FCC  must  use  a  light  regulatory  touch  that  gives 
 you  the  freedom  to  try  new  ideas  and  deploy  new  technology.  The 
 FCC  should  be  concerned  with  ensuring  fair  competition  and 
 allowing  the  market  to  work  effectively.  In  short,  the  FCC  should 
 be  a  referee,  making  sure  everyone  plays  by  the  rules;  not  a  coach 
 telling  everyone  how  to  play  the  game. 


 I  also  want  to  take  a  moment  to  address  universal  service.  As 
 Chairman  of  the  Joint-  Board,  I  will  be  deeply  involved  in 
 discussions  of  the  issues  surrounding  the  Universal  Service  Fund. 
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 Chairman  Martin  has  taken  the  lead  in  calling  on  us  to  look  at 
 comprehensive  reform  of  the  Universal  Service  Fund  and  its 
 administration  --  from  who  contributes  and  how,  to  how  the  fund  is 
 disbursed.  There  is  no  one  solution  to  the  problems  plaguing  the 
 Fund,  but  there  are  a  number  of  ideas  out  there  including  fixing 
 the  USF  collection  mechanism,  limiting  some  rural  areas  to  just 
 one  carrier  of  last  resort  eligible  for  USF  support,  establishing 
 separate  funding  mechanisms  for  wireline  and  wireless  carriers, 
 and  reforming  intercarrier  compensation.  Rural  wireless  providers, 
 who,  by  some  accounts,  receive  nearly  $1  billion  under  the  current 
 rules,  need  to  do  their  part  in  helping  us  reach  a  balanced  solution 
 that  is  in  the  best  interests  of  all  Americans. 


 I  hope  each  of  you,  and  all  of  you  as  an  association,  will  help  us  to 
 consider  these  issues  from  the  most  important  perspective  of  all  – 
 the  perspective  of  consumers  –  whether  Americans  who  pay  into 
 the  Fund  or  Americans  who  benefit,  often  unknowingly,  from  the 
 Fund.  The  ultimate  solution  isn’t  necessarily  the  one  that  benefits 
 any  one  company  or  group  of  providers  the  most,  but  one  that 
 achieves  a  balancing  of  interests,  and  the  most  efficient  and 
 effective  use  of  the  Fund.  We  must  keep  in  mind  that  the 
 Universal  Service  Fund  is  not  yours,  or  ours,  but  is  money  that  has 
 been  entrusted  to  us  to  use  wisely  in  furthering  a  public  interest 
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 Congress  has  identified.  We  shouldn’t  see  reform,  or  change,  as  a 
 threat  to  the  status  quo,  but  as  an  incentive  to  work  together  to  tap 
 the  potential  of  our  collective  resources  to  provide  access  to 
 communication  services  and  solutions  for  all  Americans. 


 I  appreciate  the  opportunity  to  send  this  message  to  you  today.  I 
 hope  that  you  have  a  fun  and  productive  convention,  and  I  look 
 forward  to  working  with  you  all  while  I  am  here  at  the  FCC. 


 Thank  you. 
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