Telecommunications Act of 1996
A landmark piece of U.S. legislation used as an analogy to illustrate the potential transformative impact that the regulatory and technological alignment of 2025 will have on capital markets, similar to how it unleashed the power of the internet.
First Mentioned
10/3/2025, 4:58:47 AM
Last Updated
10/3/2025, 5:03:03 AM
Research Retrieved
10/3/2025, 5:03:03 AM
Summary
The Telecommunications Act of 1996 is a landmark United States federal law that significantly reformed the nation's telecommunications regulations for the first time in over sixty years. Enacted by the 104th Congress and signed into law by President Bill Clinton on February 8, 1996, the act amended the Communications Act of 1934 and notably included the internet within American broadcasting and telephony regulations. Its stated aim was to foster competition by allowing any company to enter any communications business and compete in any market. However, despite this intention, the act is often characterized as an attempt at deregulation that led to substantial consolidation within the telecommunications sector. While credited with encouraging network expansion and new service offerings, it has also faced criticism for enabling market concentration, potentially hindering new entrants. The act's impact is compared to future shifts in financial markets, suggesting it represents a pivotal moment in regulatory history that enabled technological convergence and market transformation.
Referenced in 1 Document
Research Data
Extracted Attributes
Type
Federal Law
Amends
Communications Act of 1934
Country
United States
Criticism
Enabled market concentration, indirectly restricting newcomer access to broadcasting
Signed By
President Bill Clinton
Enacting Body
104th United States Congress
Primary Effect
Led to substantial consolidation and market concentration in the telecommunications sector
Positive Impact
Incentivized expansion of networks and offering of new services
Stated Intention
To foster competition, allow any company to enter any communications business and compete in any market, reduce regulation, secure lower prices and higher quality services
Official Citation
Telecommunications Act of 1996, Pub. LA.
Key Regulatory Change
First time the Internet was included in American broadcasting and telephony regulations
Timeline
- Enacted by the 104th United States Congress. (Source: wikipedia, dbpedia)
1996-01-03
- Signed into law by President Bill Clinton. (Source: summary, wikipedia, dbpedia)
1996-02-08
- FCC begins actions to implement the Act. (Source: web_search_results)
1996-02-08
- Report on FCC Implementation of Telecommunications Act of 1996 (Revised) is published, detailing cumulative actions taken since February 8, 1996. (Source: web_search_results)
1997-01-13
Wikipedia
View on WikipediaTelecommunications Act of 1996
The Telecommunications Act of 1996 is a United States federal law enacted by the 104th United States Congress on January 3, 1996, and signed into law on February 8, 1996, by President Bill Clinton. It primarily amended Chapter 5 of Title 47 of the United States Code. Heavily supported and lobbied for by major corporations in the telecommunications sector, the act was the first significant overhaul of United States telecommunications law in more than sixty years. It amended the Communications Act of 1934, and represented a major change in that law, because it was the first time that the Internet was added to American regulation of broadcasting and telephony. The stated intention of the law was to "let anyone enter any communications business – to let any communications business compete in any market against any other." In practice, it gave way to one of the largest consolidations of the telecommunications sector in history - as such, it is often described as an attempt to deregulate the American broadcasting and telecommunications markets due to technological convergence. The Telecommunications Act of 1996 has been praised for incentivizing the expansion of networks and the offering of new services across the United States. At the same time, it is often criticized for enabling market concentration in the media and telecommunications industries, going against its very stated intention by indirectly restricting newcomer access to broadcasting.
Web Search Results
- Telecommunications Act of 1996 | Federal Communications ...
The FCC maintains ASCII Text and Adobe Acrobat Version (128 pages) of the Telecommunications Act of 1996, as well as Word Perfect Version and Adobe Acrobat Version (335 pages) of the completely updated Communications Act of 1934, as amended by the 1996 Act. The official citation for the new Act is: Telecommunications Act of 1996, Pub. LA. (Revised January 13, 1997) • The Report on FCC Implementation of Telecommunications Act of 1996is a cumulative report of all actions taken since February 8, 1996, by the FCC to implement the Act. This report has two sections: (1) Commission Actions and (2) Facilitating Public Information.
- Telecommunications Act of 1996 - Wikipedia
An Act to promote competition and reduce regulation in order to secure lower prices and higher quality services for American telecommunications consumers and
- Summary of Telecommunications Act - Clinton White House
Image 3Image 4Image 5Image 6Image 7Image 8Image 9Image 10Image 11**A SHORT SUMMARY OF THE TELECOMMUNICATIONS REFORM ACT OF 1996** For the past three years, President Clinton and Vice President Gore have worked for telecommunications reform that stimulates private investment, promotes competition, protects diversity of viewpoints and voices among the media, provides families with technologies to help them control the kinds of television programs that come into their homes, and strengthens and improves universal service so that all Americans can have access to the benefits of the information superhighway. Media Ownership Because President Clinton and Vice President Gore believe that diversity of voices and viewpoints is critical to our democracy, the Act will prevent undue concentration of television and radio ownership.
- TELECOMMUNICATIONS ACT OF 1996
‘‘(35) BELL OPERATING COMPANY.—The term ‘Bell operating company’— ‘‘(A) means any of the following companies: Bell Tele-phone Company of Nevada, Illinois Bell Telephone Com-pany, Indiana Bell Telephone Company, Incorporated, Michigan Bell Telephone Company, New England Tele-phone and Telegraph Company, New Jersey Bell Telephone Company, New York Telephone Company, U S West Communications Company, South Central Bell Telephone Company, Southern Bell Telephone and Telegraph Com-pany, Southwestern Bell Telephone Company, The Bell Telephone Company of Pennsylvania, The Chesapeake and Potomac Telephone Company, The Chesapeake and Poto-mac Telephone Company of Maryland, The Chesapeake and Potomac Telephone Company of Virginia, The Chesa-peake and Potomac Telephone Company of West Virginia, The Diamond State Telephone Company, The Ohio Bell Telephone Company, The Pacific Telephone and Telegraph Company, or Wisconsin Telephone Company; and ‘‘(B) includes any successor or assign of any such com-pany that provides wireline telephone exchange service; but VerDate 20-FEB-96 13:45 Mar 05, 1996 Jkt 029139 PO 00104 Frm 00004 Fmt 6580 Sfmt 6581 PUBL104.104 apps10 110 STAT.
- The Telecommunications Act of 1996 and its impact - ScienceDirect
Thus, the Act requires that competition be established in local markets _before_ the ILECs are allowed in long distance service. The Act states that prices for resold wholesale services will be set as follows: “a State commission shall determine wholesale rates on the basis of retail rates charged to subscribers for the telecommunications service requested, excluding the portion thereof attributable to any marketing, billing, collection, and other costs that will be avoided by the local exchange carrier” [252(d)(3)].
Wikidata
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Instance Of
DBPedia
View on DBPediaThe Teleommunications Act of 1996 is a United States federal law enacted by the 104th United States Congress on January 3, 1996, and signed into law on February 8, 1996, by President Bill Clinton. It primarily amended Chapter 5 of Title 47 of the United States Code, The act was the first significant overhaul of United States telecommunications law in more than sixty years, amending the Communications Act of 1934, and represented a major change in American telecommunication law, because it was the first time that the Internet was included in broadcasting and spectrum allotment. The goal of the law was to "let anyone enter any communications business – to let any communications business compete in any market against any other." The legislation's primary goal was deregulation of the converging broadcasting and telecommunications markets. The law's regulatory policies have been criticized, including the effects of dualistic re-regulation of the communications market.