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FCC Proposes Net Neutrality Regulations

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Ever since the Federal Communications Commission (FCC) suffered a setback in federal court with the Comcast court decision, net neutrality has been debated across the United States. What is net neutrality and why all the controversy surrounding the issue? In simplest terms, net neutrality is the tenet that all internet traffic should be treated equally. Net neutrality advocates believe that internet service providers should not be able to restrict certain types of internet traffic on their networks.


In 2005, the FCC adopted a policy ascribing to the four principles of network neutrality.

This policy stated that consumers are entitled to:
  • access the lawful Internet content of their choice.
  • run applications and use services of their choice, subject to the needs of law enforcement.
  • connect their choice of legal devices that do not harm the network.
  • competition among network providers, application and service providers, and content providers.

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In the Comcast case, the FCC ruled that Comcast violated these principles by restricting traffic requiring large amounts of bandwidth from passing through their network, so that other customers had adequate bandwidth. Comcast challenged the FCC's authority to regulate the internet, and the United States Court of Appeals for the D.C. Circuit agreed in a controversial decision against the FCC. As a result, the FCC intensified efforts to reclassify broadband as a telecommunications service in order to assert its authority to regulate the use of the Internet.

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The debate intensified this week when FCC Chairman Tom Wheeler modified current net neutrality rules in place by the federal agency in 2010. 

Wheeler's proposal would allow deals between broadband providers and content delivery and service providers such as Neflix, Hulu or Skype regarding preferential treatment in the "last mile" to consumer's homes, as long as they act in a "commercially reasonable manner subject to review on a case-by-case basis.”  There is an important distinction between these type of agreements, and those recently negotiated between Verizon and Comcast with Netlfix.  Those type of agreements are interconnection or peering agreements, and would not be included in the recent proposal.

It didn't take long for net neutrality advocates to quickly weigh in on the issue.  Proponents of strong net neutrality rules oppose Internet "fast lanes" where large companies can essentially buy premium access into the homes of consumers, stifling innovation and competition.

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Chairman Wheeler's net neutrality proposal comes only a few weeks before the White House emphasized the Obama Administration's commitment to the principles of net neutrality:

"Rights of free speech, and the free flow of information, are central to our society and economy -- and the principle of net neutrality gives every American an equal and meaningful opportunity to participate in both. Indeed, an open Internet is an engine for freedom around the world."

Opponents of net neutrality argue that broadband service providers have to be free to manage their networks so all customers receive adequate levels of service. They also argue that regulation of the internet will negatively influence innovation, which the internet thrives on, and impede free speech. Most importantly, they make the point that some level of restriction, or at least prioritization, is necessary to promote the best interest of consumers as a whole.

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Net neutrality opponents would argue that bandwidth is a limited commodity. With all types of internet traffic passing over the network, wouldn't most people want to allow a doctor waiting to view a high resolution image CAT scan for a critical ER patient, priority over someone simply downloading a movie or a music file?

Net neutrality advocates don't argue about the need to prioritize traffic in the above example, they just argue that there should be some rules and regulations in place to decide how to go about the selection and prioritization of the internet traffic.
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