| The US government is proposing broad new | | | | reliable, profitable product choices and unburdened |
| regulations for telecommunications and cable internet | | | | internet ecommerce. Consumers and businesses |
| service providers. The new proposals appear to | | | | currently have choices. The proposed legislation takes |
| target specific providers for regulation and | | | | away choice and increases costs to consumers and |
| government oversight. Specifically, Massachusetts | | | | businesses. |
| Senator Ed Markey has proposed the Internet | | | | Another problem with the legislation is, certain |
| Freedom Preservation Act of 2009, or the "Net | | | | applications such as voice and video over the internet |
| Neutrality" bill, outlining government policies to impose | | | | require prioritization and special treatment to work |
| new governance and restrictions targeting | | | | properly. The proposed legislation makes existing |
| telecommunications and cable providers AT&T, | | | | application prioritization products and networking |
| Verizon, Time Warner and Comcast. | | | | practices illegal. Internet service providers would have |
| The proposed is based on the unfounded fear that | | | | to dismantle these services to make all internet |
| service providers will "control who can and cannot | | | | applications "equal" with no prioritization schema. The |
| offer content, services and applications over the | | | | new legislation would kill off reliable voice and video |
| Internet utilizing such networks." | | | | over the internet as we know it. |
| The Markey bill indicates the vast majority of | | | | The other problem with the Net Neutrality legislation |
| consumers receive services from only one or two | | | | is anti-trust and federal trade regulations are already |
| dominant internet service providers. And, the bill says | | | | in place to protect consumers and business from |
| the national economy could be harmed "if" these | | | | monopolistic practices and unfair trade. For example, |
| providers interfered with access to internet | | | | when AT&T disconnected MCI customers in 1974, |
| applications. | | | | MCI filed and won a successful anti-trust lawsuit |
| The bill proposes regulations imposing equal treatment | | | | resulting in breakup of the AT&T monopoly. Another |
| (eg price/performance) of all internet traffic and | | | | example is, the Federal Trade Commission recently |
| content, regardless of content type and delivery | | | | investigated possible antitrust violations caused by |
| costs. Specifically, the legislation proposes internet | | | | the Apple and Google sharing two board directors. |
| service providers could not sell prioritized internet | | | | Arthur Levinson has since stepped down from both |
| applications or services. | | | | Apple and Google boards. |
| One of the main problems with the proposed | | | | The US government would better use taxpayer |
| legislation is the lack of recognition of costs to | | | | dollars and valuable legislation time by asking two |
| provide internet services. Some applications, such as | | | | questions: |
| video are bandwidth hogs and require significantly | | | | Which companies are hiring lobbyists and launching |
| greater network infrastructure and associated costs | | | | advertising campaigns promoting Net Neutrality |
| to deliver when compared to the network | | | | legislation? |
| infrastructure costs to deliver email access. Under the | | | | What is their agenda? |
| proposed legislation, services providers would have to | | | | Net Neutrality legislation is not needed. Consumers |
| charge the low bandwidth users (casual browsers and | | | | would have less choice and higher costs. Internet |
| email readers) more to offset the higher costs of | | | | service providers would incur additional costs and |
| the video users. One result of the proposed | | | | compliance overhead. Taxpayers would pay higher |
| legislation would be less consumer choice and a | | | | taxes to create and support additional government |
| hidden "bandwidth hog tax". Today, most service | | | | oversight organizations. |
| providers offer tiered products and pricing to | | | | What business and consumers need is effective |
| consumers and businesses to account for the | | | | interpretation, oversight and enforcement of existing |
| additional costs to deliver bandwidth intensive | | | | laws and regulations. |
| applications. You pay more if you use more under the | | | | Disclosure - Joe Tighe has no paid relationships, |
| tiered pricing model. These are not "discriminatory" | | | | products or endorsements from any company, |
| practices. Rather, tiered pricing and application | | | | political or government organization cited in this article. |
| prioritization are sound business models delivering | | | | |