National and State Leaders Meet in Princeton to Discuss the Future of Telecommunications in New Jersey

National and state leaders gathered at the historic Sarnoff Corporation in Princeton today to discuss the past, current state of and future of New Jersey’s telecommunications industry. The quickly changing telecommunications landscape is having an impact on New Jersey. The state has lost nearly 30,000 wireline jobs over the past 15 years due to dramatic shifts to wireless and broadband, as well as the necessary equipment to support these innovations. Despite this bleak news, New Jersey’s telecommunication industry is still a major force, providing payroll in excess of $3.5 billion last year and employing more than 42,000 people. 

New Jersey Telecommunications Summit: The Convergence of Telecommunications Technology, hosted by the New Jersey Chamber of Commerce and the New Jersey Board of Public Utilities (NJBPU), brought together experts, industry executives and regulatory insiders from around the nation to discuss the many factors hampering growth in New Jersey, as well as the legislative and regulatory environment needed for the industry to flourish.

Besides technological shifts, some startling studies have also recently concluded that telecommunications jobs are leaving New Jersey for other regions with more favorable business climates. In 1990, New Jersey had 5.2% of all telecommunications jobs nationally. That number fell to 4% in 2005. The panels and presenters explored the evolution of the telecommunications industry over the years and provided insight as to where it is headed. Best regulatory and legislative policies from around the nation were highlighted, and the industry’s impact on New Jersey’s small businesses was covered.

“New Jersey’s strong track record of innovation is unparalleled, particularly in terms of the communications industry. Despite this impressive track record, the reality of an increasingly global competitive playing field that is aggressive in its pursuit of high tech industries means that New Jersey must continue to evolve to preserve a high level of innovation,” said Jeanne M. Fox, President of the New Jersey Board of Public Utilities.  “Governor Corzine's recently unveiled economic growth strategy aims to do just that, and in doing so, maintain a high-performing economy that will create quality jobs for our citizens.”

Jeanne Fox, the president of the NJBPU, opened the conference by focusing on Governor Jon S. Corzine’s commitment to revitalize New Jersey’s economy, with particular emphasis on the telecom industry; followed by Joan Verplanck, the president of the New Jersey Chamber of Commerce, who set the stage for the Summit, spoke about the affects of convergence on the telecommunications industry. Convergence is the merging of separate technologies and industries such as computers, cell phones, cable and other related products.

“This Summit was established to develop an understanding of the future of New Jersey’s telecommunication industry,” said Joan Verplanck, president, New Jersey Chamber of Commerce.  “Telecom jobs are rapidly leaving New Jersey.  We have gathered these experts here today to work together and to explore ways to remedy this situation.”

Deborah Taylor Tate, a commissioner with the Federal Communications Commission, then provided attendees with an update on national issues affecting the telecommunications industry.  Respected New Jersey economist Dr. James Hughes, the dean of the Edward J. Bloustein School of Planning and Public Policy, spoke about the state of the telecommunications industry in New Jersey.

The first of three panels brought together a group of association and corporate executives from within the telecommunications industry to talk about the evolution and the future of the telecommunications industry. Speakers included: Daniel Brenner, senior vice president of Law and Regulatory Policy, National Cable Telecommunications Association; James W. Cicconi, senior executive vice president, external and legislative affairs, AT&T; Jeffrey A. Citron, director, chairman and chief strategist, Vonage; Steve Largent, president & CEO, Cellular Telecommunications & Internet Association; and Thomas J. Tauke, executive vice president, public affairs, policy and communications, Verizon Communications. The moderator of the panel was Michael Aron, who is the senior political correspondent for NJN Public Television and Radio.

The next panel included people who understand the laws and regulations needed in order for the telecommunications industry to flourish. They have been or are currently on the front lines around the nation drafting and advocating for these policies. Speakers included: Upendra J. Chivukula, assemblyman, State of New Jersey (D-17) and chair, Assembly Telecommunications and Utilities Committee; William M. Flynn, Esq., chairman, New York State Public Service Commission; Jack R. Goldberg, vice chairman, Connecticut Department of Public Utility Control; Robert B. Nelson, commissioner, Michigan Public Service Commission and Chair, National Association of Regulatory Utility Telecommunications Committee; and Charles Davidson, executive director, Advanced Communications Law and Policy Institute, New York Law School. Introducing the panel was Connie O. Hughes, a commissioner with the NJBPU.

The final panel focused on how convergence is impacting small businesses in New Jersey – and the rest of our nation. Speakers included: Guy Fardone, chief technologist, ATX Communications; Navid Ghandeharion, senior manager, systems engineering, Cisco Systems, Inc.; and Jeff Coursen, executive vice president and COO, ATX Communications. Introducing the panel was Joseph M. Kyrillos, Jr., Senator, State of New Jersey (R-13).

The conference concluded with Jonathan Askin, General Counsel, Pulver.com, who provided commentary on the day’s program.

Sponsors of this summit are AT&T, Verizon, Comcast, New Jersey Technology Council, and NJN Public Television and Radio.

BACKGROUND: 

The New Jersey Chamber of Commerce is a business advocacy organization based in Trenton. Created in 1911, the State Chamber staff represents its members on a wide range of business and education issues at the State House and in Washington.  The organization also links the state’s local and regional chambers on issues of importance through its grassroots legislative network.  For more information please visit www.njchamber.com.

The New Jersey Board of Public Utilities is a state agency and regulatory authority mandated to ensure safe, adequate, and proper utility services at reasonable rates for New Jersey customers.  Critical services regulated by the NJBPU include natural gas, electricity, water, wastewater, telecommunications and cable television.  The Board has general oversight responsibility for monitoring utility service, responding to consumer complaints, and investigating utility accidents.  To find out more about the NJBPU, visit our web site at www.bpu.state.nj.us

December 2006