WASHINGTON — The Trump administration has signaled protecting the security of the Internet of Things is a high priority, but regulation isn’t the route to meet that priority.

That’s the message from David Redl, the head of the National Telecommunications & Information Administration, who is President Donald Trump’s chief telecommunications adviser.

Cable internet-service providers looking to share connected-car spectrum so they can expand their WiFi hotspots have long argued against overprotecting that spectrum band, so Redl’s signal of a light touch is right in their wheelhouse.

The IoT is high on the radar because it will proliferate with the rollout of next-generation 5G wireless broadband, another of the administration’s priorities.

In March 2015, the NTIA sought comment on identifying cybersecurity issues related to IoT and the rise of an interconnected economy. Separately, it sought comment on potential roles for government in fostering IoT. Last year, it employed a multistakeholder working group to draft guidelines for upgrading and improving security for IoT devices, which range from smart TVs, lightbulbs and refrigerators to fitness trackers, wine cellars and self-driving cars.

But the administration is now looking to head off a potential regulatory push in the face of likely “bugs” in the move to connected cars, homes and businesses.

“Right now, a bug can cause a computer to crash,” Redl said at the 6th Annual Internet of Things Global Summit. “But what about when it causes a car to crash? It’s likely that we’re going to hear calls for government to step in and impose significant regulations.”

That’s almost a sure thing, given the pushback on the current internet of fake news, Russian election meddling and hidden algorithms that have legislators on both sides of the aisle calling for new laws or regulation.

Hacking phones and computers is bad enough, but power grids and traffic flows have potentially life-threatening consequences. Even so, Redl said, a regulatory rush hour isn’t justified.

“By applying stakeholder-driven policymaking processes as an alternative, we can achieve actionable controls and practices across the ecosystem and at the operational level that account for both the complexity of today’s digital ecosystem, as well as the speed at which bad actors attack and evolve.”

But Redl suggested he needed more buy-in on that strategy. He said owner-operator boots on the ground are the best safeguard, but that the administration needed more volunteers, though he did not say just who was reluctant to step up.

The multistakeholder model meant to produce self-regulatory safeguards isn’t Republican or Democratic. That was the approach used by the Obama administration to come up with proposed regimes for various privacy and security flashpoints.

That is just fine with NetCompetition, the broadband advocacy group backed by ISPs.

“By definition a ‘thing’ is not defined,” Netcompetition chairman Scott Cleland said. “The NTIA is wise in recognizing it should be inventors, entrepreneurs, investors, consumer-demand, markets and experience that should define what the Internet of Things will and will not become, not the U.S. government.”

But privacy advocacy groups have argued those multistakeholder processes are too business-friendly, and no one more than Jeff Chester, executive director of the Center for Digital Democracy. “By relying on such a process, Mr. Redl is handing over the personal data of Americans to Silicon Valley on a silver platter,” he said.

So, what is the answer? “What’s needed to protect U.S. consumers is a strong federal privacy law regulating IoT business practices,” Chester said.

Fast action from Congress these days is already a long shot, but given the administration’s approach to the IoT, the odds on legislation or new regulation are both lengthening.

"Laws and regulations intended to promote privacy may build protective moats around large companies ... making it more difficult for smaller companies to grow, for new companies to enter the market, and for innovation to occur," Federal Trade Commissioner Noah Phillips told the Internet Governance Forum USA conference in Washington on July 27. 

Phillips indicated that communications and technology companies, "some of which already possess significant amounts of data about people," will be of special interest when the FTC begins its extensive probe into privacy and other digital business practices starting in September.

"Competition must be part of ... our conversation about privacy," said the new commissioner in one of his first the public presentations since taking a Republican seat at the FTC in May. Echoing the words of FTC chair Joseph Simons, who also was sworn in two months ago, Phillips warned that, “If you do privacy in the wrong way ... you might end up reducing competition. You might create a situation in which you entrench the large tech platforms [and] make it very difficult for ... new entrants and smaller firms to get the attention of the consumers that they’re trying to reach.”

Related: Trump Taps Simons for FTC Chair

Phillips's prepared remarks were laden with objectives from both sides of the regulatory spectrum, ranging from pro-business protections to concerns that lobbying by incumbent technology providers could shut out innovative upstarts. Citing arguments about the risks inherent in “leveling the playing field” among firms doing different things with different kinds of data makes sense, Phillips insisted.

"We do not want the regulatory burden to be so onerous that it excludes potential market entrants or inhibits innovation," he said.

But Phillips also emphasized the "brand effect" advantage that big companies have in the marketplace, because consumers "are likely to trust the companies they know." That leads to "another, more insidious, effect that any regulatory regime can have: Large companies can manipulate legal requirements to their own benefit more easily than smaller competitors or new entrants."

"The benefit to incumbents is not just lobbying for laws that favor them; it is also implementing seemingly neutral laws or regulations in ways that benefit them at the expense of their would-be competitors," Phillips added.

Phillips' focus on privacy reinforced the opening keynote that morning by David Redl, assistant Secretary of Commerce for Communications and Information, and head of the National Telecommunications and Information Administration.

"We will be looking to strike a balance between prosperity and privacy that is in line with American values – and we’re listening to a broad cross-section of stakeholders to find that balance," Redl said. 

Redl cited NTIA's plan to publish the high-level principles along with a Request for Comment in order to "begin engagement on how to move forward to reach the goals set out in the document." He did not specify a timetable for this process.

Redl also summarized NTIA's cybersecurity and ongoing Intellectual Property projects, including its triennial review process under the Digital Millennium Copyright Act.

Learning from Europe's GDPR

Acknowledging the kerfuffle about Europe's recently imposed General Data Protection Regulation (GDPR), Phillips contended that for Europeans, it represents an expression in law of their view that the protection of personal data is a fundamental right.

"For the U.S., it may provide a test case for how a different privacy regime than our own might work," the FTC commissioner continued. "My concern is that early signs point to precisely the effects on competition that I fear." 

Phillips said that as U.S. regulators consider the potential benefits of new privacy protection, "We must consider the costs, too, on competition and innovation."

"GDPR provides us with a great opportunity to see how a large-scale privacy regime works in practice, and for us in the United States to learn from Europe’s experience."

Related: Sen. Blumenthal Preps U.S. Version of EU Privacy Framework

Phillips also used the IGF-USA platform to plug the FTC's multi-day, multi-part hearings that will explore privacy and other "broad-based changes" in the economy. The FTC expects its hearings, announced last month, to consist of up to 20 sessions from September through January 2019. Topics will include evolving business practices, new technologies and international developments that "might require adjustments to competition and consumer protection enforcement law, enforcement priorities, and policy."

In announcing the comprehensive investigation, the FTC said it seeks initial input by Aug. 20 on factors such as the competitive effects of corporate acquisitions and mergers and analyses of monopsony power. It also invited comments about the role of intellectual property and competition policy in promoting innovation and implications about the use of big data, artificial intelligence and predictive analytics.

LAS VEGAS -- Five federal policymakers offered their familiar visions of core regulatory issues, including spectrum policy and net neutrality, during CES sessions.

Read More: MCN's Complete Coverage of CES 2018

With FCC chair Ajit Pai absent because of death threats he has recently received, and Democratic commissioner Jessica Rosenworcel opting to skip the program, the sessions were largely status reports on activities at the FCC, NTIA and FTC. The on-stage discussions did not address the commission’s split decision in November on ATSC 3.0 rules.

David Redl, who heads the National Telecommunications and Information Administration, opened the session by reading very quickly through prepared remarks touching on spectrum policy, cybersecurity, international governance and the development of telecom infrastructure, including sharing of bandwidth assigned to federal agencies.

He promised that spectrum policy will be a major focus of NTIA this year, and the agency will work with industry to develop procedures to make better use of the airwaves.

“We must do everything we can this year and beyond to accelerate America’s 5G leadership,” he said. “With 5G set to drive demand for more access to spectrum, we’ve been looking at bands across NTIA’s notorious spectrum chart.” Citing the 37-GHz band, he said NTIA is “optimistic” that “if we can get this right, it will serve as a model on how to handle sharing in other bands.”

Redl also emphasized NTIA’s prioritization of cybersecurity.

After Redl’s speech, Julie Kearney, CTA’s VP-regulatory affairs, sat down for a chat with FCC commissioners Mignon Clyburn, Brendan Carr and Michael O’Rielly.

O’Rielly said he expects a “busy and exciting year” in which the Commission will eliminate rules “that no longer make any sense,” citing Pai’s intent to delete aging regulations.

Carr predicted, “We’ll unleash more innovation and greater investment.” He also said he expects that the policies will lead to broadband expansion.

Clyburn called the Dec. 14 net-neutrality decision and its aftermath a “teachable moment.”

Kearney sought to extract opinion from the commissioners about the need for or likelihood of an update of the Communications Act that steers their decision-making. Analysts acknowledge that Congressional action on such legislation is not currently on the drawing board.

Related: Net-Neutrality Bill Is Longest of Long Shots

O’Rielly said that a new law would mean the FCC wouldn’t have to “parse out meaning” from the 1934 communications legislation and subsequent laws.

Clyburn said she is hopeful that Congress will move in a way to recognize what the FCC, although she added, “We’re not going to get a blueprint of everything that comes before us.”

At an earlier session, Federal Trade Commission chair Maureen Ohlhausen assured the audience that the FTC is ready to play a larger role in enforcing Open Internet regulations that are part of the FCC’s repeal of Title II classification.

“From the advent of the Internet until 2015, the FTC played an active role," she said. “Now that the Open Internet order was put out, eventually the authority is going to come back to the FTC.”

CTA president Gary Shapiro, who interviewed Ohlhausen on stage, said, “No other session in CES history has gotten as much pre-show attention” as the expected Pai participation.

Shapiro characterized CTA’s stance on net neutrality as "very complex in terms of nuance.” He said that he believes Republicans and Democrats agree on “the most fundamental basic principle” that consumers should be able to get whatever they want.

The Senate Commerce Committee has scheduled an executive session for Aug. 2 to vote on the nominations of FCC Chairman Ajit Pai and commissioner nominees Jessica Rosenworcel and Brendan Carr. Also up for a vote is the nomination of David Redl as head of the National Telecommunications & Information Administration, the White House's principal telecom policy advisor.

The FCC is currently down two members, so their seating would bring it to a full commission as it prepares to vote on rolling back Title II, review media ownership rules and vote on a new transmission standard for broadcasters.

The nominees have already had their nomination hearings, at which no major issues arose beyond the hammering of Pai by Democrats over network neutrality, so look for the vote to be in the affirmative.

 That affirmative vote would be to favorably report their nominations to the full Senate, which must vote them as well. But often that process moves swiftly, particularly if the legislators are ready to head out for the August recess.

 Also on the docket for the Aug. 2 executive session, at which a host of bills is scheduled to be marked up (amended and voted), is FCC process reform legislation is a bipartisan bill--from Sens. Roger Wicker (R-Miss) and Joe Manchin (D-W. Va.), requiring the Federal Communications Commission to "establish a methodology for the collection by the Commission of information about commercial mobile service and commercial mobile data service."

Better data collection about broadband availability in general is a priority for Congress and the FCC, particularly if billions in subsidy funds are allocated in a new Trump Administration infrastructure bill.

Robin Colwell, who has been chief of staff and senior legal advisor to FCC commissioner Michael O'Rielly, has been named chief counsel on the House Communications Subcommittee.

The subcommittee's current chief counsel, David Redl, has been nominated by President Donald Trump to head the National Telecommunications & Information Administration, but remains on staff until he is confirmed in the post.

The subcommittee is also down a deputy chief counsel, as Grace Koh excited earlier this year to become special assistant to the President for technology, telecom and cyber-security.

Colwell is formerly legislative counsel to Sen. Tim Scott (R-S.C.) and counsel for the Senate Subcommittee on Tourism, Competitiveness and Innovation.

In addition, the subcommittee announced that Tim Kurth has been named senior professional staff for the subcommittee. Kurth, who has been with lobbying firm Heartland Strategies, is former assistant to then-Speaker of the House Dennis Hastert (R-Ill.), who at Heartland dealt with, among other things, mergers and acquisitions — specifically telecommunications issues related to Charter's proposed deal with Time Warner Cable and Bright House Networks

"I will truly miss Robin because her professionalism and mastery of communications policy is only exceeded by her sound judgment, political acumen and ability to work well with everyone she meets," said O'Rielly of Colwell's departure. "While she maintains sound conservative principles, she is able and willing to reach a deal when appropriate. There is no doubt in my mind that Robin will do very well in the new role."

"I'm thrilled to be joining the incredibly talented team that Chairman Walden and Chairman Blackburn have already put together," said Colwell, who starts in July. "Two and a half eventful and exciting years working for my brilliant friend Commissioner O'Rielly and with his incomparable legal advisors, Amy Bender and Erin McGrath, have prepared me well for this return engagement on the Hill. I look forward to working with my new Democratic colleagues, and I'm hopeful for the prospects of building strong coalitions and lasting policy gains on the communications and technology issues so important to all Americans."

Reaction was coming in Wednesday (May 17) to the nomination of David Redl, currently with the House Energy & Commerce Committee, to head the National Telecommunications & Information Administration, which oversees government spectrum and acts as the President's telecom advisor.

Related: Redl Nominated to Head NTIA“David Redl is a superb choice to lead NTIA," said FCC Chairman Ajit Pai. "His extensive experience as Chief Counsel for Communications and Technology at the U.S. House of Representatives Energy & Commerce Committee makes him uniquely qualified to lead the agency charged with managing the spectrum held by the U.S. government.

“He is also a skillful expert in communications issues central to NTIA’s mission of ensuring that the Internet remains an engine for innovation and economic growth.  The FCC has long had a close partnership with NTIA, and I personally look forward to continuing that relationship with that agency under David’s leadership.”

“David Redl is an exceptional choice to serve as Assistant Secretary of Communications and Information and Administrator of NTIA, and we encourage Congress to quickly act on his nomination," said Michael Powell, president of NCTA: The Internet & Television Assocaition. "David has been immersed in telecommunications policy for years and brings significant knowledge and expertise to the important issues that NTIA will tackle in the coming years. We look forward to working with David and the Administration to continue charting a course that enables America to remain a global internet and communications leader.”

“The Commerce Department can play a vital role in expanding access to broadband networks and the vast benefits they offer to our digital economy," said USTelecom CEO Jonathan Spalter. "David Redl is the right person, at the right time, to champion leading-edge innovation and investment in our nation’s broadband infrastructure. We encourage the Senate to act swiftly in confirming him so he can begin the critical work of connecting Americans in all corners of the country to the promise and potential of broadband.”

"On the Hill, at the FCC or in the private sector, it's always been about spectrum for David Redl," said WifiForward, which congratulated him on his nomination. "With more than eight billion Wi-Fi devices in use around the globe, Americans need balanced telecommunications policies that will make more spectrum available to support emerging technologies and spur economic growth. We are thrilled at the opportunity to work with Mr. Redl on freeing up more spectrum for both licensed and unlicensed technologies."

I congratulate David Redl on his nomination as the next administrator of NTIA,” said Competitive Carriers Association  President Steven K. Berry.  “Many decisions made at NTIA, particularly regarding the use of spectrum, impact competition in the mobile ecosystem.  David’s broad knowledge and understanding of spectrum management and allocation make him an ideal candidate for the position, building upon years of service to the Energy and Commerce Committee and the wireless industry.  CCA members are an important part of this mobile ecosystem, and I look forward to our continued work with David at NTIA to ensure consumers and the economy benefit from more spectrum resources for a more competitive marketplace.”

“WTA has worked with David over the years in his position at the House Energy and Commerce Committee, and we look forward to continuing this relationship should he be confirmed to lead NTIA,” said Derrick Owens, VP of government affairs for WTA-Advocates for Rural Broadband. “David’s professionalism and knowledge of the many telecommunications issues will serve the agency well.”

“President Trump has made a great choice in tapping longtime Capitol Hill staffer David Redl to serve as the head of the NTIA," said INCOMPAS, whose members include edge providers, competitive carriers and others. "Experienced and substantive, Redl is well suited to the task of helping deploy America’s broadband networks, wired and wireless, to more American consumers and businesses. Redl’s grasp of spectrum policy will be an asset for the administration as they seek to build infrastructure and create jobs.”