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  The Center for Democracy and Technology  /____/     Volume 2, Number 17
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     A briefing on public policy issues affecting civil liberties online
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 CDT POLICY POST Volume 2, Number 17                           May 9, 1996

 CONTENTS: (1) CDT Urges FCC to Avoid Regulating "Internet Telephony"; 
               Files Comments Opposing ACTA Petition
           (2) Subscription Information
           (3) About CDT, contacting us

  ** This document may be redistributed freely with this banner in tact **
        Excerpts may be re-posted with permission of 
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(1)  CDT Urges FCC to Avoid Regulating "Internet Telephony"; Files 
Comments Opposing ACTA Petition

In comments submitted on Wednesday (5/8) to the Federal Communications 
Commission (FCC), CDT urged the Commission to reject a request by the 
America's Carriers Telecommunications Association (ACTA - an association 
of small long distance companies)  to regulate Internet voice telephony 
products and services. CDT argued that an FCC ruling in this area would 
immediately restrict the ability of Internet users to choose Internet 
software applications, and would require the FCC to take "... intrusive and
unprecedented steps in the regulation of ... the Internet."

The full text of CDT's comments and other background information is available
at CDT's Digital Infrastructure Web page (http://www.cdt.org/digi_infra).

On March 4, 1996,  ACTA filed a petition with the FCC asking that the 
Commission immediately stop individuals and companies from distributing 
Internet real-time audio software applications, pending regulation by the FCC.
ACTA maintains that "Internet telephony" software allows Internet users to 
bypass FCC-regulated long distance telephone carriers.  The ACTA petition 
also asserts that the Internet is within the FCC's authority to regulate.

CDT believes that the ACTA petition would have a detrimental effect on 
the growth and accessibility of the Internet.  In the comments, CDT argued 
that:

* ACTA's requests would restrict the free expression and communications 
  capability of computer users.  Real-time audio software is just one of 
  many new communications choices offered to Internet users.  Others include 
  e-mail, "chat" (e.g., Internet Relay Chat - IRC), and video applications.  
  CDT believes that real-time Internet audio software should continue to be 
  given the same opportunity to evolve and develop that other Internet 
  software applications have.

* Congress has specifically decided that it is U.S. policy not to regulate 
  Internet access software, such as real-time audio software, as the ACTA 
  petition would require.  When Congress passed the Telecommunications Act of 
  1996, it specifically stated that it was national policy to ". . . preserve 
  the vibrant and competitive free market that presently exists for the 
  Internet."  From its definitions, real-time audio software clearly falls 
  within the services that Congress intended to protect.

* The FCC should avoid highly intrusive regulation of specific applications 
  at the highest layer of the communications protocol stack.  One of the many
  reasons for the success of the Internet is its "layered" network 
  architecture -- the network layer (IP), the transport layer (TCP, UDP), and 
  application layer (e-mail, IRC, video conferencing, etc.).  The ACTA petition 
  would require FCC regulation at the application layer -- a level of 
  regulation that may threaten the future development and evolution of Internet
  applications.

The Commission is considering the ACTA request, though no regulations have 
been announced.  A second round of comments will be submitted to the FCC by 
June 8.  CDT will keep you informed about further developments as they occur.  
For more information, including the full text of CDT's comments, the text of 
ACTA petition and other materials, visit CDT's new Digital Infrastructure 
Issues Page: 

   URL:  http://www.cdt.org/digi_infra/

FOR MORE INFORMATION CONTACT:

Daniel J. Weitzner, Deputy Director 
Alan Davidson, Staff Counsel 
Center for Democracy and Technology     +1.202.637.9800

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(2) SUBSCRIPTION INFORMATION

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(3) ABOUT THE CENTER FOR DEMOCRACY AND TECHNOLOGY/CONTACTING US

The Center for Democracy and Technology is a non-profit public interest
organization based in Washington, DC. The Center's mission is to develop
and advocate public policies that advance democratic values and
constitutional civil liberties in new computer and communications
technologies.

Contacting us:

General information:  info@cdt.org
World Wide Web:       URL:http://www.cdt.org/
FTP                   URL:ftp://ftp.cdt.org/pub/cdt/

Snail Mail:  The Center for Democracy and Technology
             1634 Eye Street NW * Suite 1100 * Washington, DC 20006
             (v) +1.202.637.9800 * (f) +1.202.637.0968

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End Policy Post 2.17                                           5/9/96
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