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FCC could level Internet access By KALPANA SRINIVASAN The Associated Press WASHINGTON -- More residential consumers could obtain high-speed Internet access -- and at lower cost -- under action anticipated by federal regulators. The Federal Communications Commission is expected today to require local telephone companies to share their lines with businesses that want to offer high-speed Internet connections to customers. That could make it substantially cheaper for upstart businesses to compete with telephone companies in providing connections dozens of times faster than today's dial-up modems. And consumers might benefit with more choices for services, like certain digital subscriber lines, at competitive prices. Right now, local telephone companies, like the regional Bells and GTE, can offer high-speed Internet services to subscribers on the same lines as they provide their regular voice service. But for outside businesses to come in and sell Internet connections to a consumer, they must buy a second line from the telephone company into the consumer's home. That means businesses competing with the local phone companies must spend about $20 to $23 for each second line. Upstart Internet companies say this puts them at a significant price disadvantage and limits their ability to lure residential consumers. They say the playing field could be leveled if the FCC takes the action. "This is a start of all of that good stuff, and the start of our campaign for the consumer in a more meaningful way," said Dhruv Khanna, general counsel of Covad Communications Inc., which sells Internet connections mostly to business customers. The company hopes to be able to offer high-speed connections at less than $40 a month and expand its reach to residential customers. "I think this is a sea change in people's perception," said Jeff Blumenfeld, general counsel for Rhythms NetConnections Inc., another data services company. He said sharing lines will enable consumers to start receiving service in a matter of days rather than waiting weeks for a second line installation. But the regional Bells say they have serious concerns about the impact on consumer service of carrying data and voice traffic -- from different providers -- on the same copper wire. For example, if a consumer has a problem placing a call, companies will have to determine which service is responsible. Today's Business Index Mail Tribune Copyright � The Mail Tribune 1999, Medford, Oregon USA