PC Magazine reports that the FCC is concerned the new iPad could create congestion and clog the Internet. In a blog post, Phil Bellaria, Director, Scenario Planning, and John Leibovitz, Deputy Chief off the FCC's Wireless Telecommunications Bureau, compare the situation to AOL's decision to offer unlimited Internet use in 1996.
Apple’s iPad announcement has set off a new round of reports of networks overburdened by a data flow they were not built to handle. These problems are reminiscent of the congestion dialup users experienced following AOL's 1996 decision to allow unlimited internet use. For months users had trouble connecting and, once they did connect, experienced frequent service outages. The FCC even held hearings on the problem.
The congestion problem circa 1996-97 revealed an intense latent demand for Internet access. Similarly, wireless network congestion today reveals intense demand for wireless broadband. Widespread use of smartphones, 3G-enabled netbooks, and now, perhaps, the iPad and its competitors demonstrate that wireless broadband will be a hugely important part of the broadband ecosystem as we move ahead.
Apple's iPad has not yet been approved by the FCC but it probably won't be a problem for Apple since they have a lot of time left before the March and April launch dates. Gearlog says Apple likely did not seek pre-approval because they did not want bloggers finding out about the iPad in advance of the Steve Jobs press conference.
PC Magazine 
