hey guys it's me I with virg and i'm
here with FCC Chairman Julius
Genachowski apparently in Miami no we're
at CES in Las Vegas the Chairman gave a
speech yesterday you talked a little bit
about opening up wireless spectrum
there's a ton of products in the show
floor what's your favorite thing that
you see so you know to my favorite part
of CES is the fact that every single
product is internet connected and almost
every single product is wirelessly
connected if you shut down the internet
if you shut down wireless not a single
thing on the floor would work I want to
I want to get right into the importance
of the internet you have been a champion
of net neutrality and you you broke it
what i would call compromise net
neutrality solution you know you you
mean this is your policy or your believe
in that neutrality yes yes okay as long
as you start there are you a reddit
reader do you know read it is yet so
right it's going to shut itself down on
january teen because they're protesting
sopa and SOPA their provisions in sofa
that would kind of damage the net
neutrality structure and wikipedia might
join the protest and facebook twitter
they've talked about it google's talk
about it's a big deal where are you on
sofa well there clearly are issues that
have to be addressed yeah entire sees
problem sure you know absolutely we have
to find a way to protect intellectual
property and not break the internet what
do you mean do you think soap is that
way is it is a we had a solution uh you
know what listen clearly it's being
debated by congress and something that
Congress should debate but there's just
no question that we have to preserve and
this is why we felt so strongly about
net neutrality we have to preserve the
magic of the internet the openness of
the Internet and make sure that we
continue to provide incentives for
content creators to to create content so
does it mean does it speak to you when a
site like reddit which is totally
community driven right everything on
reddit is driven by its community huge
community when they're saying this is so
important to us that we will shut it
down and sort of the internet the larger
population of just citizens on the
internet is freaking out about this I
mean I they tell me they're freaking out
about it all the time does that speak to
you sort of on a personal level
absolutely i mean one of the great
things about the internet as it creates
a platform of forum for people to
express their
views and I think those views are being
heard and it's important you know people
are attached not just to the information
the services they get on the internet
they're attached to the concept of a
free and open Internet that we have and
it's great to see participation in our
system and a vocal expression of a
sudden you know we want to preserve the
internet that we have okay so I mean I
want it just is the right of thing is to
me is very interesting that you know
it's such an outcry and I we always
wonder I mean just Washington see it do
they see what's happening on the ground
and my email when people are sending me
animated gifs of like the Internet
blowing up you get those to get a lot of
animated gifs in your email listen
people participation in public policy
issues is really important people do pay
attention and I think it's hot yes sir
you gave a speech say talk about opening
spectrum you know incentive auctions
making spectrum easier to get to but
more prosaically let's talk about
maximizing the spectrum that we have and
one of the themes of the show floor is
you've got verizon pushing LTE really
hard 18 t is coming out with a bunch of
LTE devices here sprint demoed its first
LTE devices do you think that there
should be is kind of a I know the rule
cellular Association is pushing for kind
of interoperability do you think that
that's something the agency the cap I'm
sorry the Commission should get involved
with do you hear that call you think
it's going to happen or you waiting for
them to do an end no listen
interoperability is something that would
really help drive and improve mobile
ecosystem it's one of a number of things
that we need to take seriously no one
expected several years ago that we would
be where we are now with a an incredibly
robust innovative mobile economy we've
regained world leadership in mobile are
our apps economy is the envy of the
world we are leading the world in
deployment of 4G the next generation of
mobile you know we've been focused on
the opportunities of wireless what we
need to do with our wireless
infrastructure and echo system to get
this right as you know
in many many ways things are great we
know exactly what the biggest threat to
our mobile economy is and that is the
spectrum crunch it's the fact that all
of the demand that's generated by the
applications and services that we love
to use it's going up like that wouldn't
and the supply a spectrum is going like
that I'm a verizon customer and I say
this network is choked I'm at CS LT is
choked I could show my phone and switch
to ATT because it was interoperable and
wouldn't that be like on the ground real
world solution wouldn't that help sure
it listen you know promoting driving
competition in the mobile economy is
something that's important I think we've
proven recently how important it is to
us now seriously we take it you know
competition in our economy is what
drives investment at what r it's what
drives innovation and you know across
the board we're locking the fonz that
we're looking to foster the most
competitive mobile economy are we
working towards an hour operability than
as a policy or we study taking kind of a
step back people use interoperability to
refer to a couple of different things
there's there's a the interoperability
of spectrum that rural carriers received
at auction and whether there are chips
for those to be on interoperable with
other networks it's largely a roaming
issue right and then there's the ability
of consumers to switch between carriers
more easily and I think that would
really foster direct competition yes no
and you know it's a it's an issue that
we continue to look at people don't know
that you actually can get phones now
without a two-year contract right now
you have to pay more still lock to it
give me your technologically law to
carrier though right you can get a phone
about to your contract on AT&T but we're
going to take it and I think that's
really the problem is the technological
problems yeah I think that's fair and I
think working toward you know a
mechanism that provides real competition
that also provides incentives to invest
in networks you know one of the mistakes
we can't make
is to push forward a set of policies
that result in networks that are slow
congested problematic and so it's
important as we look at all the
different issues to say look we know
what we want we want to maximize
competition we want to maximize
investment network so we have fast
networks we want to make sure that the
platforms are open to innovators and
entrepreneurs so that we can keep the
apps economy growing and thriving those
are the things that we're focused on so
we have four big carriers right and
t-mobile they have gone they went
through an issue at the SEC strongly
opposed the merger they're trying to
figure out what to do sprint they're
going LTE they're saying to address our
spectrum needs we don't really have many
to go out and buy a bunch of spectrum
well we'll go to light squared and wide
squared is this I mean I get press
releases from y squared every day saying
we signed up a new partner and I'm I
always wonder where what network are
they going to run on because they did
they're waiting for you what's the worst
case scenario for LightSquared the worst
case I you know I'm not sure I'll tell
you what the status of it is a we are
pushing across the board to free up
spectrum for mobile broadband and to
remove restrictions on spectrum use so
they can be more spectrum available for
mobile broadband we also have an
obligation to make sure that new uses
don't cause interference to products and
devices that consumers are using and
what's happening in this situation is
that interference issue has been raised
its legitimate interference issue right
now it's being tested and that's the
process we should have this comes up all
the time you know whenever over time the
FCC has looked to authorize new uses of
spectrum it raises interference issues
the way to resolve these kinds of issues
is by letting the engineers through an
inclusive process test the interference
and that'll determine the path in the
outcome so one of the other huge themes
at CS has been televisions smart
television smart televisions changing
delivery of the television yeah I don't
think smart televisions are going to be
successful until they can integrate
television until they can bring in cable
satellite traditional methods of
delivery
right now they're kind of limited by
cable card right that's that's the way
the you authenticate digital cable in
America the cable card is kind of in it
in terms of opening up the platform has
been somewhat of a failure how are you
how do you evaluate that as you see the
industry desperately trata to push for
Smart TVs yeah listen you're completely
right that when you when you look at the
different platforms the innovation that
we've seen on you know call it the
living room platform is behind what
other players so you know internet
millions of apps mobile hundreds of
thousands of apps I think it's over a
million a living room a smaller number
and we've been talking about now we've
been talking about that for a couple of
years here's the good news the trend in
innovation around the living room TVs
content is a very positive one and so
the the innovation that we're seeing now
the choices for consumers and the ways
the the content that they can access on
their TV is changing in a very positive
way it reminds me in some ways of Wi-Fi
you know the carrier's initially didn't
like Wi-Fi the kind of license carriers
and if you remember back it used to be
that when you got a mobile phone it
wasn't compatible with right Wi-Fi just
didn't work and over time the carriers
realized actually Wi-Fi was a net plus
for consumers and for their businesses
and started to integrate it and now
we're in a world where the default has
flipped so on tablets all of a sudden
Wi-Fi is the default and cellular is the
option seeing that path around the
living room so you think I p television
will become the default and traditional
broadcast delivery with it I'm not sure
it's a different you know it's a
different platform it's a different set
of players but the point is we've
definitely seen over the last couple
years a a willingness and in fact a
drive to
provide more to consumers on the video
platform than anyone would have expected
you know no one would have said a few
years ago that it would be easy for you
to get netflix and youtube for example
on your living room TV you know no one
would have said that it would have been
easy to get programming on a tablet and
those things are starting to happen and
we're going to continue to push
innovation in this platform but to draw
the parallel to phones the thing that
makes Wi-Fi powerful on a phone is that
it operates in parallel in an integrated
way to the 3g so you're on Wi-Fi leave
the house and flips over 3g it's
invisible to the user right now regular
television is one thing internet
delivery is another thing and it's
really hard to integrate them do you
think the and I'll you know netflix on
TV is driven by samsung it's not driven
by comcast and comcast doesn't let you
have netflix on their devices well not
just buy stamps on netflix arrives on a
TV through an internet connection
provide that we made provided by whoever
the provider is that we made sure it
stays open for providers like netflix
and that's an important thing it's why
we were focused on it and it's why
companies like Netflix can get to the TV
and it's why companies like Samsung or
seeing benefit in offering
internet-connected smart TVs and so I'm
not saying there aren't issues here
there are but we're seeing a trend
toward more innovation more access then
people thought was possible a few years
ago we want to see that trend continue
and your point about Wi-Fi is good one
that's that you know that is one way to
think about a historical model for where
we can get to with the innovation in the
living room what do you want to see last
question what do you want to see the
next five years well we want to see
ubiquitous broadband in the United
States everyone both having access to
broadband and having a real connection
to broadband we have to
gaps when it comes to accessibility one
is there are still parts of the country
that don't have infrastructure the other
is there are still many many people who
could have broadband but don't subscribe
for various reasons we want to see
ubiquitous broadband Ellie's going out
together yes absolutely and that brings
me to my next thing we want to see a
robust thriving mobile economy and we
need to tackle the spectrum crunch which
again is the single biggest risk that
our mobile economy faces and those are
the things that we're focused on great
Oh chairman thank you so much for
talking us to that gets ESN
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