The Regulation of the deregulation

WASHINGTON, Feb. 12 - The Federal Communications Commission began writing new rules today that officials and industry experts said would profoundly alter both the way the Internet is delivered and used in homes and businesses.

In one set of proceedings, the commission began writing regulations to enable computer users to gain access to the Internet through electric power lines. Consumers will be able to plug their modems directly into the wall sockets just as they do with any garden variety appliance.
Officials said the new rules, which are to be completed in the coming months, would enable utilities to offer an alternative to the cable and phone companies and provide an enormous possible benefit to rural communities that are served by the power grid but not by broadband providers.

In a second set of proceedings, commissioners began considering what rules ought to apply to companies offering Internet space and software to enable computer users to
send and receive telephone calls.
"This represents a commitment of the commission of bringing tomorrow's technology today," Mr. Powell said. He added that the rules governing the new phone services were intended to make them as ubiquitous as e-mail, and at possibly a significantly lower cost than traditional phones, since the services would have lower regulatory
costs.
Industry "stands at the threshold of a profound transformation of the ecommunications
marketplace" as more companies - including such giants as AT&T and Verizon - move from circuit-switching phone technology to Internet-based technology.
"We can talk about rewriting the Telecommunications Act," he said. "But the telecommunications Act is nine years old and it is being rewritten by technology."