WASHINGTON-Republicans last week criticized a new Democratic high-tech agenda highlighting wireless broadband potential, ratcheting up political rhetoric about which party is providing more support for U.S. high-tech interests.
After House Minority Leader Nancy Pelosi (D-Calif.) unveiled the House Democratic innovation agenda at a press briefing last Tuesday, Republicans immediately pounced on the lawmaker and other Democrats who oppose legislation GOP lawmakers say is key to the high-tech sector.
“We are already pursuing what the Democrats are proposing and are doing it despite Democrats’ votes against many of our proposals that are top priorities for the high-tech industry,” said Sen. John Ensign (R-Nev.), sponsor of a telecom rewrite bill. “Pursuit of a meaningful high-tech agenda should be accomplished through effective legislation, yet our work on all of the major priorities for the high-tech sector over the past Congress has been met with objections from Democrats.”
Ensign also blamed Democrats for failure to move budget reconciliation legislation, which includes a provision setting a hard date for TV broadcasters to return analog spectrum used during the transition to digital technology. Some of the highly valuable 700 MHz frequencies are earmarked for public-safety communications, while the rest is apt to be auctioned for commercial wireless services.
“Putting out a press release is not going to reverse Democrats’ consistent votes against reforms that would address junk lawsuits that hurt U.S. jobs, and against bringing money back to the U.S., where it can create jobs,” Ensign said. “Republicans have clearly led the way in the pursuit of a tech agenda that will move America forward and benefit consumers everywhere.”
Last week, GOP-controlled House and Senate panels approved extending a research-and-development tax credit.
Rep. Bob Goodlatte (R-Va.), chairman of the House Republican High Tech Working Group, stated: “It is ironic that the Democratic leadership is touting a high-tech agenda after voting against two of the top legislative priorities of the high-tech community this year-CAFTA (Central American Free Trade Agreement) and class-action reform. The high-tech sector is not fooled by empty promises in the absence of action. They know that Republicans are the ones with a high-tech plan and the record of commitment of encouraging innovation and eliminating overly burdensome taxation and regulation. Let the record speak for itself.”
Rep. Lamar Smith (R-Texas) vice chairman of the same tech group, went after Pelosi by name. “Pelosi has voted for higher taxes and more litigation, both of which strangle our small businesses and threaten their ability to compete and innovate. The Democrats’ rhetoric on economic competitiveness and high-tech innovation does not match their voting record.”
With Republicans in control of Congress and the White House, telecom and high-tech firms have directed most of their campaign dollars to GOP lawmakers and their party this election cycle. However, telecom and tech sectors-having seen their issues given high visibility and priority in the Clinton-Gore administration-privately remain frustrated with the Bush White House’s treatment of high-tech issues.
Democrats, under fire for criticizing Bush policies without putting forward progressive policies of their own, apparently see an opportunity to come out with a proactive agenda while shoring up campaign coffers at as time when Bush’s approval rating is low.
The Democratic innovation agenda takes aim at lackluster U.S. broadband penetration under the Bush administration.
The House Democratic tech plan, among other things, includes increased federal funding for research, tax incentives and improved education to expand broadband deployment-particularly in rural and underserved areas-using wireless technology and other broadband alternatives.
“Universal broadband-whether it’s delivered by Wi-Fi or Wi-MAX or hard line-will put all Americans, no matter where they live, no more than a keystroke or a mouse click away from the jobs and opportunity broadband both creates and supports,” said Pelosi.
With the United States ranked 16th worldwide in broadband penetration and having a weak national broadband policy, the Bush administration remains highly vulnerable to attacks from Democrats and telecom/high-tech companies.
In March 2004, President Bush called for affordable universal broadband access by 2007. House Democrats said they want to reach that goal within five years. The administration’s overarching economic policy has largely doubled for the White House’s technology policy, with officials content to limit tech advocacy to pursuing macroeconomic policies that they believe will improve business conditions for new and old economy firms alike. Moreover, the administration has largely deferred to the Federal Communications Commission rather than pushing a bold technology plan of its own.
Clyde Ensslin, a spokesman at the Commerce Department unit that advises the president on telecom policy, did not return a call for comment.
Despite GOP criticism of the House Democratic tech agenda, the plan won praise from tech executives and industry groups.
“Technology and innovation are catalysts of long-term economic growth,” said Robert Holleyman, president and chief executive officer of the Business Software Alliance. “We support any effort in Congress-by either political party-to ensure continued investment in innovation for the future.”
“The starting gun has been fired. (Last week’s) announcement demonstrates just how serious the Democratic Caucus is about setting priorities for our nation that help foster innovation and ensure U.S. technology leadership,” said Josh Ackil, vice president for government relations at the Information Technology Industry Council.
Pelosi’s press package included testimonials from various high-tech executives.
“The Innovation Agenda focuses on the right issues for building on our nation’s competitiveness-from investing in basic research and development, expanding science and math education and broadband infrastructure, to creating a globally competitive business environment,” said John Chambers, president and chief executive officer of Cisco Systems Inc. “This agenda thoughtfully addresses how government can best play a role in improving our economic competitiveness by focusing on innovation.”
John Doerr, a partner at Kleiner Perkins Caufield & Byers and TechNet co-founder, stated: “This comprehensive innovation agenda will benefit every American-especially our kids. It is original, vital and desperately needed.”
