Net neutrality

Maybe you’ve heard the phrase “net neutrality,” or more likely, you haven’t. But if you care about the way the Internet operates — or, for that matter, if you just like to visit websites — it’s an issue that warrants your attention.

The Center for American Progress published a helpful guide to the issue a couple of weeks ago.

Telecommunications companies like Verizon and AT&T want to build high-speed networks to provide video and Internet services in competition with cable companies. Will these networks be broadly available and foster technological innovation? Or will they simply benefit certain moneyed interests? The answer — and, ultimately, the future of the Internet — depends on the telecommunications bill currently winding its way through Congress. Consumer advocates and progressives like Rep. Ed Markey (D-MA) are pushing for the telecom networks, which will be built using public rights-of-way, to provide universal, non-discriminatory access. The telecommunications companies (along with the cable giants) want to reserve the right to give preferential access to whomever has the most cash. Thus far, unfortunately, the industry is winning.

WHAT IS NET NEUTRALITY?: Markey and others are pushing for the telecommunications bill to require “net neutrality.” The telephone network already operates on this principle. Anyone willing to pay a reasonable fee can get his or her own phone line. Once you get a phone line, it works just as well as Paris Hilton’s phone line or any other phone line. Also, it doesn’t matter whether you’re calling Brad Pitt or your grandmother, the connection works the same. (This is the way networks run naturally. Data is data. It doesn’t matter who sends it.) Open, non-discriminatory access to the phone networks means businesses compete on the basis of what they do with the telephone network, not whether they can afford preferential access to it. The telecoms want to reserve the right to sell privileged access to their high-speed networks. (Edward Whiteacre, the CEO of SBC Communications put it this way: “Now what they would like to do is use my pipes free, but I ain’t going to let them do that.”) So, for example, Amazon.com could pay the telecoms a premium and ensure that its site loads much faster than an independent bookstore’s site. The end result could be a two-tiered Internet, where your success doesn’t depend on innovative ideas but rather the ability to pay, thus stifling small businesses that could become the next Microsoft or Google.

It sounds bad. It is bad. As Digby put it, “This isn’t some arcane technological issue. It affects all of us who surf the internet. It means that the network providers will be able to make deals with certain companies to degrade or cut off your access to its competitors to give you an incentive to use their service.”

For more, be sure to check out Matt Stoller’s post on the subject, Save the Internet.com, and this video which helps further explain the issue. It’s a very big deal.

This story on The Consumerist boils it down well, and they have a great analogy for the situation.

It is like UPS expecting the sender and the reciepient of their package to pay. That’s how flawed and incredibly greedy these telecoms are being. They are already getting away with charging us end-users of bandwidth these monopolistic rates. So they are outright lying when they say “Why should Google or eBay get to thrive on our pipes for free?” It doesn’t. You pay for Google. Just like when you pay to have a package delivered via UPS, UPS has no right to expect the recipient to pay what you already paid for UPS to do.

Classless society my ass. The Republicans are making this happen.

  • I’d never heard of any of this. THanks for the info.

    Why isn’t this a bigger deal?

  • Good grief!! Looks like we’re moving to a Soviet-style economy where you don’t get anything unless you can grease the right palms.

  • Before these guys leave office, we won’t have a thing left that belongs to the people, if we leave it up to these theiving sharks. Our nations strongest asset, the middle class, is represented in name only. I am running out of energy! Where do we start?

  • Step 2 is net non-neutrality.
    Step 1 was the co-opting of the telecomm industry into acting as the Big Brother surveillance arm of the government.
    Step 3 will be combining steps 1 and 2 so that whoever pays gets access to the content of the email and voice traffic of their business competitors, personal enemies, or political opponents.

  • Sheesh! I’d hate to be a tech support rep if this thing goes through.

    I’m not sure how telecom companies think they can get away with this. I suspect most Americans (OK, rmaybe just people my parents’ age) now view the Internet like TV and radio. When you turn on the computer and connect to the Internet there’s that expectation that Amazon, eBay or Bob’s Bait Shop is going to be there. How they’ll spin the fact that some sites will no longer be available or as availiable just because telecom companies say so is going to be interesting.

    And Rian’s right: You already pay the telecom companies for the privelege of getting to Google, eBay and Amazon. There’s no free ride going on here. I’m wondering if the CEO of SBC has any idea how the Internet works, because his “free” statement seems to pretty ignorant. At the very least, it completely ignores the revenue his company receives from having DSL subscribers.

  • Of course, the free-enterprisers will argue that “the market will sort it out,” i.e., after everyone realizes they’ve been had, some “entrepreneur” will jump in and offer service without the extra layer of expense (i.e., what we’re enjoying now), and everyone who wants to will flock to that service.

    Ignoring the fact that there was never a problem to begin with.

  • 1) This is an election year, supporting this would be suicide for any politician (but go ahead and do it GOP). See comment 6 – it’s just too late in the game to start charging fees.
    2) The CEO of SBC (now AT&T) is living in the past, allowing this would may it cost effective for more players to enter the market and compete with AT&T (which is already drowning in debt).
    3) Technology is going to leave them in the dust, unless they start investing in their own infrastucture, which they show no signs of doing.

  • Our government “invented” the internet and used to own and regulate it.

    After privatization hit, the sky became the limit – annoying ads, pop-up screens, user fees, subscriber restriction, whatever.

    If this trend continues, I can see most of us following the lead of the “open source” geeks and telling Bill Gates, Microsoft, Apple and others exploiting communication for profit to just go to hell. It can be done.

  • Re: #7: would if that were the case. The problem is that, for decades all these service providers have been used to being monopolies. They are going to continue to act like them, expecting their cut for lousy service (if any at all) like these contractors in Iraq. The monopolistic telecoms are just beginning to compete with the monopolistic cable companies, and none of them are used to their customers having a choice, and they will (and are) block any competition whenever possible.

    Nobody is going to come in and say “Hey, I am here, and I can offer you what they used to offer you before they got fat and bloated.”

  • Nobody is going to come in and say “Hey, I am here, and I can offer you what they used to offer you before they got fat and bloated.”

    That maybe true. But I think telecom giants will back down should their customer base become exceedingly irate and move to another service, like cable, that isn’t playing a greedy game with Internet access. I have no faith in the “free market” being able to find fair and equitable solutions. But in this case it may take just one or two players deciding not to restrict access for the others to come around.

  • I work for a teleco equipment maker (had to wait till I got home…)

    Gotta bore people with the history first.
    1) Until the mid 90s, long distance was the major cash cow of the major telcos
    2) When long distance rates got cheaper and cheaper, telcos needed to generate new revenues to maintain their profitability which is why local rates went up (used to be subsidized by long distance)
    3) The advent of the internet caused great concern as the possibility of Voice over IP which made everyone “local.” But it was only a distant threat because of 4)
    4) The telco/interent boom bust of 1996-2001. This made the executives addicted to cheap stock options as compensation. Bernie Ebbers wasn’t the only one (the former CEO of Qwest was indited to less fan fare) Many of the greedy bastards who helped create this mess in telco want to go back to the roaring 90s when stock options made many of them multimillionaires/billionaires.
    5) The age of VoIP is dawning on us which basically makes the major telcos increasingly irrelevant.

    So, this is basically a desperation ploy to keep their relevance. We already see this with old radio (hence the CBS lawsuit of Howard Stern) and we see this with TV (the ideas of tvs that prevent channel surfing during commercials.)

    Stratifying the Internet can be done under current technology as with IP you can tag certain packets as priority (but it violates the spirit of TCP/IP which treats all packets equally.)

    Of course much of what has happened over the past few years occurred due to the excesses of the Telco Act of 1996 which deregulated the commercial interests.

    One last thing I gotta mention is that the building and operation of a voice/data network is very expensive, but it shouldn’t be done so that only the rich get the benefits while the rest of us get screwed.

  • This is seriously dangerous. Do go to moveon.org and sign their “save the internet” petition, and write your congresscritters RIGHT NOW… this monstrosity is supposedly coming up for a vote on Wednesday.

    If that fails, the internet has its own version of survivalists. Google “blacknet” while you still can. Install “Tor” if you can too.

    Also, if you have any old modems, do not throw them away. They may be the only way you can get to certain “sites”– much like the old BBS days.

    Stock up on wifi gear too. A “mesh” network of 802.11 WiFi nodes could provide a local alternative to the telco monopolies. Setting up a repeater on a local water tower costs all of $200-$300 worth of equipment, tops. I recomment http://www.seattlewireless.net, http://www.personaltelco.net, http://nocat.net, and http://freenetworks.org for resources on wireless.

  • my concern is that privileged pipes will lead to censorship. yes, the law as currently constructed would prevent this, but will there be any enforcement from the bush administration’s lackeys if comcast, say, ground to a halt any packets containing information from pro-choice sources because there customers don’t want that sort of thing? when sites like this one and daily kos and tpm start taking 15 minutes to reload, we’ll know that the end of the internet is at hand.

  • thank you steve.

    this is the first time i have read a commentary on net neutrality that actually gave a sufficient and short explanation for what was going on and what the players were after.

    wish some of the others weblogs who care about and are publicizing this issue would read your post and and copy.

  • Don’t ya’ll think that the market will sort this out and lead to some serious innovation in the process? I guess I’m more afraid of this government’s regulation that I am of the telcos.

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