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US FCC eases some broadband rules on Embarq

Wed Oct 24, 2007 11:10pm EDT

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WASHINGTON, Oct 24 (Reuters) - The U.S. Federal Communications Commission voted on Wednesday to lift some regulations on the broadband businesses of Embarq EQ.N and Citizens Communications Co CZN.N.

Stocks  |  Regulatory News

The FCC said it had granted a request by Embarq, Sprint's former local phone business, as well as Frontier Communications and its parent company, rural phone carrier Citizens Communications, to relax rules that govern how they can charge business customers and rivals for access to some of their high-speed Internet lines.

"This relief will enable Embarq, Citizens and Frontier to have the flexibility to further deploy their broadband services and fiber facilities without overly burdensome regulations," FCC Chairman Kevin Martin said in a statement.

Under U.S. telecommunications law, the five-member FCC has the authority to waive some regulations if it believes the market has become sufficiently competitive.

The FCC's two Democratic commissioners dissented from the decision, saying there had not been enough evidence presented to justify the request. They complained that the FCC had failed to "engage in a serious examination of the facts."

The FCC has taken similar action already to lift regulations on AT&T's (T.N) and Verizon Communications' (VZ.N) high-speed business services.



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