FCC Votes To Boost WiFi, Stop Joint ReTrans Negotiations

The Federal Communications Commission (FCC) on Monday voted to boost Wi-Fi capabilities, according to The Hill.

Increasing the capability of Wi-Fi “is a big deal,” FCC Chairman Tom Wheeler said during the commission’s monthly meeting.

“Faster connections, less congestion all make it easier to get online,” which creates “all kinds of new opportunities for entrepreneurs and innovators,” he said.

The unanimous vote frees up 100 MHz of airwaves in the lower part of 5 GHz spectrum band. Previously, the FCC reserved those airwaves for exclusive use by a satellite phone company.

The FCC vote opens those unlicensed airwaves so they can be used by consumer electronics equipment, including Wi-Fi routers. With the new airwaves, Wi-Fi equipment can handle more traffic at higher speeds.

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Also at its open meeting Monday, the FCC passed a rule that prevents many TV stations from jointly negotiating retransmission consent payments for their signals from cable and satellite operators, according to Variety.

The order prohibits two or more of the top four stations in a market from coordinating their negotiations.

Chairman Wheeler

According to an FCC official, so-called “retrans” payments from MVPDs to local stations have ballooned in recent years, rising to approximately $2.4 billion in 2012, from around $28 million in 2005. William Lake, chief of the FCC’s media bureau, said that the change “will help ensure that retransmission negotiations will be fair and effective.”

The order, which passed on a 5-0 vote, was hailed by smaller cable operators, who have long argued that such joint negotiations put them at a competitive disadvantage. Broadcasters have fought any changes to the current retrans regulations.

“Make no mistake about it, Congress said that broadcasters should be able to charge fees. All we are doing is leveling the negotiating table,” said FCC chairman Tom Wheeler.

FCC commissioner Mignon Clyburn noted that retrans fees are responsible for driving up cable bills. The average cable bill was $86 per month in 2011, and is expected to rise to $123 in 2015, she noted.

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