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Monday, March 14, 2011

The Net Neutrality Conundrum: Does the Internet need Regulation?

 Information Trends (IT) has published a study, “The Net Neutrality Conundrum: Does the Internet need Regulation?,” examining the recent moves to limit FCC’s ability to enforce net neutrality. The FCC has always exercised forbearance in regulating computer technologies, the study says, and its net neutrality rules that were enacted in December are designed to keep the Internet free of attempts by operators to prioritize traffic.
 The FCC is being attacked on two fronts, the study points out. On the one hand, ISP’s such as Verizon and MetroPCS have sued the FCC in an attempt to have its net neutrality rules repealed. On the other hand, the House of Representatives has passed an amendment to its annual government funding bill that would prohibit the FCC from using any funds to implement the net neutrality rules.
The beauty of the Internet is a user’s ability to go to any website and access any application without the intervention of a third party, the report says. Paid prioritization will change that because it will put into the hands of the operator the power to control a user’s Internet access. It will inhibit the growth of small, entrepreneurial companies who are not able to match major corporations in filling the coffers of the operators.
 If operators are allowed to selectively prioritize Internet traffic, the study says, it will amount to censorship of content in violation of First Amendment rights of content providers. Such a move will have international repercussions since it will set a precedent for other countries to follow. Prioritization of Internet traffic will be used by governments in undemocratic countries to block their citizens' access to information.
 It is true that the Internet traffic is seeing rapid growth, but the solution is to add network capacity rather than prioritize traffic. Any attempt to stifle net neutrality will inflict a blow on new product innovation, limit a user’s Internet access, and increase price of operators’ Internet services. One the other hand, if the Internet is allowed to continue its tradition of openness, it will spur market growth and technical innovation.
 The Internet is one of the most phenomenal developments of this age, and it is critical that its neutrality is maintained. Web 2.0 represents dynamic as opposed to static site content. The provider of a Web 2.0 service offers a platform for the users to interact. With Web 2.0, a group of people collaborate to create and share information. On the flip side, Web 2.0 provides operators with the capability to block or slow access to competitors’ websites by users. Rather than enforce net neutrality, operators want to implement “paid prioritization” that will allow them to generate additional revenue streams.
 If FCC’s net neutrality rules are blocked, it will severely inhibit the ability of the regulator to perform its functions, particularly with reference to the "public interest, convenience and necessity" provision the Communications Act. Moreover, it will compromise the implementation of the National Broadband Plan, so critical to widespread availability of broadband speeds throughout the nation.
 www.information-consulting.com