Often there are sector-specific regulators, general regulators (such as competition authorities), and special agencies or ministries charged with specific tasks (such as spectrum management), that all share common duties. As noted by the UN Task Force on Financing ICT, this Toolkit, and other sources, the most important duties of the regulator(s)[1] include:
- implementating the authorization framework that provides opportunities for new companies and investors to establish ICT businesses. Simple authorization procedures tend to maximize new entry (see Module 3);
- regulating competition (including tariffs) involving the effective enforcement of fair and equitable competitive market principles, restraining the power of dominant suppliers and leveling the playing field for new entrants (see Module 2);
- interconnecting networks and facilities. Normally transparent rules are established for interconnecting all types of traditional and new communications networks and associated cost-based payments (see Module 2)
- implementing universal service/access mechanisms to ensure the widespread (and affordable) diffusion of ICT (see Module 4);
- managing the radio spectrum effectively to facilitate new entrants and new technologies, which is particularly relevant to new broadband wireless opportunities such as Wi-Fi and WiMAX (see Module 5); and
- minimizing the burden and costs of regulation and contract enforcement (see Module 7)
All of the above continue to evolve and to present new challenges in the context of market and technological developments, especially the growing availability of broadband and the increasing prevalence of convergence. The role of the regulator in broadcasting is similar to some of the functions of the ICT regulator such as allocating and managing the radio spectrum, licensing service providers and ensuring universal access. But broadcasting regulators have additional duties regarding the social and cultural impact of the sector. They are also charged with overseeing content and ensuring diversity, protecting minors, the right of reply, etc. Furthermore, if there is a Public Service Broadcaster (PSB), the regulator performs some form of oversight of it and private channels.
The proliferation of broadband and the digitalization of content are bringing about a profound and rapid transformation of the media/content landscape, which may change regulatory functions. Russia, for instance, has issued several Internet Protocol Television (IPTV) licenses. It is quite common for a radio “chat show” to take a call from someone living overseas and listening to the program on the Internet. Both the Russian TV and the chat show channels are licensed but many service providers are not. The aggregate audience for the unlicensed self-produced and “posted” “long tail” content exceeds that of traditional broadcasters in some countries. In August 2006, YouTube had an audience of over 70 million. The explosion in content provision is a huge physical challenge to content regulation (how does the regulator screen everything?), which is made even more difficult because a large proportion of the content may originate in other jurisdictions. As “mass markets” retreat, it will be necessary to reconsider the regulation of national broadcasting institutions and thereby the functions of the regulator.
Where PSBs, cable, and satellite channels remain in a strong position, the regulator(s) will have a role to play in the application of competition policy, including merger control. This competition policy issue centers on the relationship between dominant/non-dominant access providers and dominant/non-dominant content providers.
ENDNOTES
[1] http://www.itu.int/wsis/tffm/final-report.pdf