Three Washington experts disagreed yesterday on whether the U.S. needs more or less government interest in stimulating broadband deployment, with Federal Communications Commissioner Jonathan Adelstein advocating a national broadband policy and two members of the Bush Administration opposing federal intervention.

“We are doing as much as we can to get out of the way” of innovation in telecom to
enable market forces to attract necessary investment dollars, said John Kneuer, U.S. Assistant Secretary of Commerce for Communications and Information. “We have the most competitive broadband market in the world,” in part because of a “virtuous cycle” of private sector investment and innovation.

Despite rankings that show the U.S. trailing many developed nations in broadband penetration, this market is the envy of the rest of the world, said David Gross, U.S. Ambassador for International Communications and Information Policy.

“I am constantly being asked how do we have so many different [broadband] platforms competing?” he said. “We are seen as leading the world.”

Gross said broadband penetration numbers from the Organization for Economic Cooperation and Development are misleading because they don’t count high broadband consumers—wireless broadband users, corporate broadband users and university students. The numbers only count residential DSL and cable modem customers, which is
deceiving, he said. Gross also praised the FCC for its work to encourage competition.

Adelstein added the U.S. still needs a comprehensive national broadband policy that establishes a timetable and measurable thresholds for ubiquitous broadband access and more
affordable access to the kinds of multi-Megabit services enjoyed in places such as Japan and Korea.

“Our consumers are paying more for less bandwidth,” he said.

Kneuer and Gross both opposed such an approach, saying it would stifle investment and, ultimately, the innovation that has kept the U.S. a global leader, but the Democratic commissioner remained unconvinced.

“Corporate executive set benchmarks and goals for their companies all the time,” Adelstein said. “We can do better.”