[Congressional Record Volume 141, Number 52 (Tuesday, March 21, 1995)]
[Extensions of Remarks]
[Page E635]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

                             [[Page E635]]

     THE COMPETITIVE CONSUMER ELECTRONICS AVAILABILITY ACT OF 1995

                                 ______


                       HON. THOMAS J. BLILEY, JR.

                              of virginia

                    in the house of representatives

                         Tuesday, March 21, 1995
  Mr. BLILEY. Mr. Speaker, I am pleased to introduce the Competitive 
Consumer Electronics Availability Act of 1995. This legislation would 
require the Federal Communications Commission to take affirmative steps 
to promote competition in set-top boxes and other new technologies that 
will give consumers access to the national information infrastructure 
[NII]. Pursuant to this legislation, Commission regulations will assure 
that converter boxes, interactive communications devices, and other 
customer premises equipment be available on a competitive basis from 
manufacturers, retailers, and other vendors who are not affiliated with 
the operators of telecommunications systems, as is the case in our 
telephone system today.
  It is fashionable to talk about telecommunications reform in terms of 
opening interfaces between networks or modes of communication. But the 
one area that ought to be a priority is the consumer interface--how our 
constituents will actually be connected to these new networks. So far 
we have two models--the telephone system, where there is a free and 
competitive market in making and selling network access devices to 
consumers; and cable television, where the consumer has enjoyed little 
choice or selection in devices. The Competitive Consumer Electronics 
Availability Act seeks to ensure that we follow the competitive market 
model rather than the monopoly model.
  I want to be clear that this legislation does not address the 
internal operating systems or functions of set-top boxes or other 
devices. I have no intention of inviting or allowing the Commission to 
regulate the competitive features of computers. What the legislation 
does address is simply the question of access--allowing these devices, 
however they operate or are configured, whether they are separate or 
built into TV's or personal computers, to connect to the NII. A 
consumer should be able to choose one the same way he or she chooses 
other products, by going to the store, comparing the quality, features, 
and price, and buying or renting the best one.
  The legislation does not specify any one means or technology by which 
the Commission must move from local monopoly to national competition. 
Finding the best way is what the Commission's public notice and comment 
process is for. With the aid of the world's most competitive 
telecommunications and computer industries, and a huge market begging 
for innovation, the Commission can rely on the private sector to 
identify the best answers.
  I also want to stress that this legislation would not stop a system 
operator from continuing to offer access devices, so long as the 
charges for devices are kept separate from the charges for its system 
services. The Commission would also be empowered to grant waivers, for 
a limited time, to system operators who are introducing new services.
  In introducing and working for the passage of this legislation, I do 
not mean to disregard the very reasonable concerns of system operators, 
such as cable TV companies, to deliver to each consumer only the level 
of service that has been purchased, and to protect the security of 
their systems. But this is 1995, not 1965. I cannot accept the notion 
that to accommodate these concerns it is necessary to convey a monopoly 
on any consumer electronics devices, any more than previous Congresses 
and Commissions should have accepted the notion that our telephone 
system would fall apart if consumers would hook up their own devices.
  Mr. Speaker, the American public wants and deserves to play a direct 
role in forming a national information infrastructure. One need only 
look at the enormous and growing participation and influence of 
individuals in the Internet to see this. It would be foolish and 
shortsighted not to allow consumers to select or own the very devices 
that will open up so much of the NII to them. Consumers deserve to be 
able to evaluate and select competing products at retail, side by side. 
Their freedom to do so is a core strength of our economy.
  Mr. Speaker, I believe we will have telecommunications reform this 
year, and I will work to achieve this goal. But we cannot fail to 
address the most important interface, the consumer interface. I, 
therefore, ask my colleagues to join me in supporting the Competitive 
Consumer Electronics Availability Act of 1995.


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