“To the extent that any FCC chairman has any political capital, they have it in their first year,” said Derek Turner, research director at Free Press, as quoted by The Wall Street Journal. At 15 months or so into the job, Federal Communications Commission chairman Julius is out of political capital alright.
The FCC right now looks like a shooting range with spent cartridges laying around and staffers reeling in those paper targets showing nary a shot hitting the center. Between putting together a national broadband plan, delivering it to Congress late, drafting net neutrality rules, and scheming to circumvent Congress with a plan to reclassify broadband access as telecommunications, Mr. Genachowski has nothing to show for it.
Free market conservatives want the FCC reeled in while left-wing, regulation-favoring liberals see Mr. Genachowski as abandoning the Obama agenda on net neutrality. No, he can’t win for losing.
So, how did Mr. Genachowski blow his wad of capital? He presumed the broadband access market needed to be regulated because we are allegedly number 19 on some global list. He presumed that companies like Verizon that spent billions of dollars rolling out Fios to customers demanding broadband weren’t capable of exercising business judgment when delivering broadband services. Mr. Genachowski erred by sending loud, clear signals to Congress that he was going to reclassify broadband access as telecommunications, in spite of a court ruling saying that he needed Congressional authority to do so.
In short, Mr. Genachowski lost his capital when he forgot to read his copy of the Constitution and failed to give free markets a chance.
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