A reader sent me a link last week to a piece that doesn't speak highly of net neutrality. Clyde Wayne Crews wrote an article called "Dumb Pipes, a Dumb Idea: Net Neutrality as 21st Century Socialism" that calls for legislators to reject "nut" neutrality. "Elevating the principle of mandatory net neutrality above the principle of investor ownership and wealth creation in pipes and spectrum deflects market forces away from the infrastructure development that we need..." Did anyone else see a touch of irony in a letter to the editor...
When I first read this post about Predictable Network Solutions on the excellent Telco 2.0 blog, I thought it was an April Fool's Day hoax. Then I remembered that it's a UK site, and some Googling confirmed that it's a real company. So my question is, will this technology -- or something like it -- eventually make network neutrality a non-issue? Or will it be the means for network operators to implement the discrimination that everyone is worried about?
Here are my opening remarks at F2C: Freedom to Connect yesterday: "I am honored to be among so many remarkable people. We have to be remarkable people, because we have a hell of a job to do. The Internet has been given to us. It is a miraculous gift, and a boon to our lives... at least in part because it accidentally matured outside the purview of profit and loss. Now the money has arrived. If you want to see what happens when the money arrives, look at Nigeria or Venezuela or Russia or Iraq..."
Today the FCC announced the winners of the 700 MHz auction -- and you can see from pp. 62-63 of this document that Verizon won Block C. (Block C was set up in two nationwide paired blocks of 11 MHz each, which were auctioned off in very large geographic areas -- 12 licenses, each covering a "Regional Economic Area Grouping". Verizon won seven of the twelve licenses, covering all of the US except Alaska, Puerto Rico, American Samoa, Guam, and the Northern Mariana Islands.) Why does this matter?
Network Neutrality is a hot topic in the US. The FCC held hearings in my neighborhood recently (while I was in Asia). Now I see Professor Susan Crawford will be testifying next Tuesday at a House Judiciary Committee hearing on "Net Neutrality and the First Amendment." I look forward to her remarks, but I worry that the whole discussion will be focused on "IP Pipes," that is connectivity at network layer 3. This distracts us from the fundamental problem...
I've posted to SSRN my paper on why most telecom companies, even though they operate networks, don't appreciate the fundamental business dynamics of network structures. This will be a chapter in a book Wharton is publishing on network-based strategies and competencies. In the paper, I describe two views on telecom and Internet infrastructure...
The Comcast traffic shaping case has stirred up passionate debate. Net neutrality proponents are calling for Comcast's head on a platter. The common argument is that Comcast's policy may stifle innovation and competition. If a service provider is allowed to exercise unregulated discretion in how it treats subscriber traffic, it is a slippery slope toward anti-competitive practices. Net neutrality says keep your hands off. Some are preaching net neutrality as if it were an inalienable human right like freedom of speech...
The cable guys have their way of saying it: "What do you want to do, nationalize our businesses?" Another way of seeing this issue is: We have a very few very large providers of highspeed internet access in U.S. They have sufficient market power to decide how and when to prioritize internet communications. And all of these providers are competing with the internet in some way -- they are all (or are becoming) old media and old telecom companies that want to maintain control over their distribution channels.
As many of you know, I'm launching the Emerging Communications (eComm) conference -- taking place next month in Silicon Valley, at the Computer History Museum. Communications innovation has been stagnant, in my opinion, for nearly a decade. Telecommunications and Internet communications both seem to be at somewhat of an impasse. The communications industry needs a forum to help break through the stagnancy and highlight the huge opportunity space that is emerging. The stagnancy has been strikingly more so in telecommunications...
Comcast has been in the news recently for deliberately "slowing down" some subscribers and applications in its broadband cable service. There was an article in the Washington Post today updating the case, and there was a recent article in Network World that actually favors the groups filing the complaints and calls for the FCC to crack down on Comcast.