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From CNET/Marguerite Reardon
Federal Communications Commission
Chairman Tom Wheeler is ready to shake up the Internet.
Tom Wheeler, chairman of the FCC, wants
to reclassify broadband as a utility in order to protect the open Internet.
Wheeler confirmed Wednesday that he
intends to regulate wired and wireless broadband services under the Title II of
the Communications Act of 1934, subjecting them to the same
utility-style rules that oversee telephone service. He said Title II would
ensure that the Internet remains open to everyone, a concept known as Net
neutrality.
The application of Title II has the
potential to radically change how the Internet is governed, giving the FCC
unprecedented authority. The provision originally gave the agency the power to
set rates and enforce the "common carrier" principle, or the idea
that every customer gets treated fairly, on telephone service. Wheeler hopes to
apply that principle to Internet traffic, preventing broadband providers from
favoring one bit of data over another.
"I am submitting to my colleagues
the strongest open Internet protections ever proposed by the FCC," he said
in an op-ed published Wednesday on Wired.com.
Related stories
Wheeler said the new rules will ban
paid prioritization, or the idea that a company can pay a premium to ensure its
data travels faster to the consumer than everyone else's.
He also said he would reinstate rules
that had been part of the previous open Internet regulations. A federal appeals
court last year tossed out those rules, which had been in effect since 2010.
The previous rules banned an Internet service provider from blocking traffic or
slowing access to content to favor its own services.
Consumer advocates and Internet
companies applauded the move.
"This is a big victory," said
Sen. Al Franken (D-Minn.). "It's is a win for consumers, for small
businesses trying to compete with the big guys, and for innovation."
"We thank Chairman Wheeler for
including equal treatment of wireless and fixed broadband connections in his
proposal," said Michael Beckerman, CEO of the Internet Association.
"There is only one Internet, and users expect that they be able to access
an uncensored Internet regardless of how they connect."
The proposal will almost certainly face
legal challenges. The broadband industry, which includes telecom, mobile and
cable providers, has argued that Title II's stringent rules will stifle network
investment and will strangle innovation. Michael Powell, a former chairman of
the FCC who is now CEO of lobbyist trade group National Cable and
Telecommunications Association, said in 2013 that any attempt to reclassify
broadband under Title II would amount to "World War III."
The reaction came quickly Wednesday.
"Heavily regulating the Internet for the first time is unnecessary and
counterproductive," said Michael Glover, deputy general counsel for
Verizon.
"We are concerned that the FCC's
proposed approach could jeopardize our world-leading mobile broadband market
and result in significant uncertainty for years to come because the FCC lacks
congressional authority to impose Title II public utility regulation on mobile
broadband services," said Meredith Attwell Baker, CEO of the CTIA wireless trade group.
Baker has said the wireless industry would look to the courts if the FCC took
the Title II path.
"I am submitting to my colleagues
the strongest open Internet protections ever proposed by the FCC."
FCC Chairman
Tom Wheeler
Wheeler tried to allay the fears of
broadband providers. He said the FCC's proposal will exclude certain provisions
of Title II that he says do not make sense for the Internet.
"All of this can be accomplished
while encouraging investment in broadband networks," he said in the op-ed
piece. "To preserve incentives for broadband operators to invest in their
networks, my proposal will modernize Title II, tailoring it for the 21st
century, in order to provide returns necessary to construct competitive
networks."
The exceptions mean the FCC won't be
able to set rates for the ISPs or tariffs. They also mean no last-mile
unbundling. That would have forced ISPs to share their lines to customers with
rivals offering a competitive Internet service.
He pointed to the wireless industry as
an example of how this could work effectively. Mobile voice service is governed
by Title II regulation.
"Over the last 21 years, the
wireless industry has invested almost $300 billion under similar rules, proving
that modernized Title II regulation can encourage investment and
competition," he said.
Roping in wireless data
Wheeler's proposal would add wireless
data to Title II oversight.
That's a contrast from the rules the
FCC adopted in 2010, which did not apply fully to wireless networks. The only
rule that applied then was the one requiring wireless carriers to be
transparent about how they manage their networks. The no-blocking rule did not
apply to wireless networks.
On a call with reporters, a senior FCC
official noted that more than half of Americans now access the Internet via
mobile devices. Because of that fact, Wheeler believes the same rules that keep
the Internet open on a wired connection should apply to wireless networks. That
means a similar push to prevent wireless carriers from blocking or charging
businesses for a faster connection to their customers.
"Wireless can't carry 55 percent
of the Internet's traffic and expect to be exempt from Open Internet
requirements," he said in an interview with CNET in January.
Wireless operators have been concerned
about these rules applying to their networks since these networks rely on a
finite amount of wireless spectrum to deliver their traffic. They argue that
holding wireless networks to the same standards as wired Internet connections,
which have far more capacity, could cripple wireless services.
FCC officials said they recognize this
concern, and that they understand the technical differences between the two
types of networks. In an effort to reassure wireless operators that their
networks will not crumble under burdensome requirements, they said that the
rules will also allow for reasonable network management. Allowing wireless
operators to manage traffic on their networks should alleviate problems that
wireless companies fear.
Not all of the wireless carriers are
against these measures. Sprint struck a cautiously supportive tone.
"Sprint continues to believe a
light-touch regulatory regime will not harm investment in broadband
services," the company said in a statement. "However, Sprint will
review the proposed rules to confirm that they give carriers sufficient flexibility
to control their networks and offer differentiated pricing and products, thus
allowing competition to govern the market."
Asserting authority in new ways
The new rules, if adopted, will for the
first time give the FCC authority to regulate so-called interconnection or paid
peering deals. These are relationships between broadband providers, like
Comcast, and backbone Internet service providers, such as Level 3 or Cogent,
that deliver Internet content to local broadband networks from Internet
companies, such as Netflix.
Netflix and companies like it, which
deliver streaming content, are sometimes required to pay broadband providers
for capacity on their networks. In the past, there have been disputes over
these arrangements. Last year, Netflix accused Comcast and Verizon of purposely
slowing the Netflix traffic in order to force the company to pay for access to
broadband customers.
Under the new open Internet rules,
which will reclassify broadband as a Title II service, FCC officials said they
will have the authority to review complaints in these types of disputes on a
case by case basis. Netflix, which has advocated for the FCC to take such
authority, applauded the effort.
"We support the commission
asserting jurisdiction over interconnection and implementing a case-by-case
process that prevents ISPs from charging unfair and unreasonable tolls,"
Netflix spokeswoman Anne Marie Squeo said in statement. "If such an
oversight process had been in place last year, we certainly would've used it
when a handful of ISPs opted to hold our members hostage until we paid
up."
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In addition to this blog, Netiquette IQ has a website with great assets which are being added to on a regular basis. I have authored the premiere book on Netiquette, “Netiquette IQ - A Comprehensive Guide to Improve, Enhance and Add Power to Your Email". My new book, “You’re Hired! Super Charge Your Email Skills in 60 Minutes. . . And Get That Job!” will be published soon follow by a trilogy of books on Netiquette for young people. You can view my profile, reviews of the book and content excerpts at:
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