Global regulations
By Gerry Oberst
Converging Broadband Services
Convergence of services, platforms and technologies
has been a theme in the communications industry for more
than 10 years. The satellite industry now needs to focus on
how the latest evidence of convergence affects its regulatory
responsibilities as well as marketing opportunities.
Recent high-level conferences on the impact and meaning of convergence in the communications industry may
not have mentioned the satellite sector, but the impact on
satellites is being felt.
The International Telecommunication Union co-spon-sored such an event in Geneva in June with the European
Broadcasting Union with the theme of “content delivery
platforms in a converging world.” The role of satellite services was mentioned in passing — satellite is acknowledged
as an option for delivering digital media, with references
to direct-to-home satellite broadcasting as one prevalent
means for content delivery. But no satellite companies
were represented among the many speakers, and if there
is a special role for ubiquitous satellite networks to serve
large international regions, it was not evident from the
conference.
Similarly, the European Commission sponsored a June
conference on Internet Safety in Luxembourg with one of
three concurrent workshops focused on the impact and
consequences of convergence of online technologies. To
the extent this workshop discussed communications infrastructure at all, it focused only on mobile terrestrial.
Nevertheless, many of the concepts expressed in these
events apply to services supplied by satellite operations and
could help assess future market and regulatory directions.
Among the many presentations, a paper from the Geneva
event identified many aspects of the convergence phenomena, pointing to convergence of technologies, services, within
firms and among consumer perceptions, and occurring in
markets. These aspects affect the satellite sector as much
as any other platform. Satellite infrastructure has broken
the ground for digital services in areas such as digital broadcasting. Technology and service convergence is happening
as satellite operators and service providers extend into other
broadband platforms in response to market demands.
Gerry Oberst is
a partner in the
Hogan & Hartson
Brussels office.
Examples of this convergence in
Europe include BSkyB’s acquisition
of the terrestrial broadband provider
network Easynet, and the European
Commission’s recent consultation on
authorization of mobile satellite services (MSS) networks
that will be integrated with terrestrial network components
— called complementary ground components (CGC). The
Commission received close to 40 comments by the end of
May, many discussing how to regulate the national CGC
infrastructure for a pan-European MSS network.
One insightful quotation at the Geneva conference noted,
we are moving from the “information society to the interaction society.” Satellite operators and service providers
are working as fast as they can to develop more interactive
services and get closer to their customers.
Implications of this interactivity, however, bring us back
to the Luxembourg conference with its focus on ensuring
the safety of new interactive services. As satellite operators and service providers extend broadband services to
their customers they also must consider the rules and risks
that travel along with these services.
The classic “answer” for satellite infrastructure providers when confronted with problems arising from content
transmitted over satellite networks has been that they are
only neutral conduits with no responsibility for content. The
“mere conduit” argument still holds sway, but challenges
from new broadband services will increase the liability
and responsibilities of both network and service providers. Confronted with issues of child safety or threats to
network security, law enforcement and policymakers may
place some heavy responsibilities on the infrastructure and
service providers alike. Even conduits can have requirements for “notice and take down,” that is, to block content
once they are informed of illegal material.
Already, higher standards for retaining traffic data and
responding to law enforcement are being implemented in
Europe for all communications network providers, which
will apply to satellite operators that provide broadband links.
Moving from standard direct-to-home service to interactive
broadband will expand this obligation. So too will integrating CGC and satellite lead to more exposure to law enforcement requirements. One approach discussed at the Luxembourg event is to require all elements of the communications
industry to certify the safety of equipment and services to
protect children in the new broadband environment, which
could drag satellite infrastructure into the rules.
It was not evident that anyone from the satellite sector
attended the recent European convergence events. Maybe
they should.