Nel's New Day

November 21, 2017

FCC Actions Lead to Totalitarian Government

Filed under: Net neutrality — trp2011 @ 10:53 PM

Two federal agencies, each headed by appointees by Dictator Donald Trump (DDT) and approved by Republicans, are planning to control information available to people in the United States.

The Department of Justice claims that it is protecting consumers from antitrust problems in its attempts to block a $85.4 billion takeover of CNN parent company Time Warner by AT&T. The world’s biggest telecommunications provider wants to merge with the world’s third-biggest entertainment firm, and the DOJ is demanding that AT&T sell Turner Broadcasting which owns CNN. The DOJ claims that the merger will increase television bills and give fewer innovative options. Behind the scenes, however, is a revenge move by Dictator Donald Trump (DDT) toward a network that he decries as “fake news.”

Washington Post lists reasons to be suspicious about the DOJ’s decision:

  • The lawsuit doesn’t fit with DDT’s boosting big business, and the loss of net neutrality goes along with DDT’s lack of interest in supporting consumers.
  • Makan Delrahim, head of the antitrust division, didn’t see a problem with the merger until after DDT disapproved of it. Delrahim was appointed to his current position after he spent six months in the White House and managed Neil Gorsuch’s Supreme Court nomination.
  • Lawsuits such as the DOJ one against AT&T have never succeeded because they are two different types of companies.
  • Rupert Murdoch, owner of Fox network, may have an interest in purchasing CNN. Forcing a sale would make it easier.
  • DDT hates CNN. He’s called them “horrible human beings,” shared a video portraying himself as a professional wrestler attacking CNN, and constantly lies about what they won’t film while they’re filming it—such as the size of a crowd. Earlier this year, Jared Kushner met with a top Time Warner executive to tell him that 20 percent of CNN’s staff should be fired because of the way they covered the 2016 election. The Chicago Sun-Times wrote that DDT “is behaving again like a tin-pot dictator, trying to punish a media company that has dared to cover him honestly, aggressively and accurately.” And DDT’s constant remarks and tweets against CNN may damage any DOJ court case.

Ironically, a successful outcome to the lawsuit for DOJ could lead to the inability of big business to create monopolies through mergers in the future.

Another attempt to control the news is the loss of net neutrality. In a plan from the Federal Communications Commission (FCC), providers of high-speed internet services such as Comcast, Verizon, and AT&T would be able to block websites and charge companies for speedier delivery. FCC would permit broadband companies to monitor and control users, for example giving discounts for permission to monitor browsing history and force users to their own apps by exempting them from mobile data limits. AT&T would greatly benefit from the disappearance of net neutrality by permission to promote its new content with a merger with an entertainment company. The beneficiaries of FCC’s proposed ruling against net neutrality are white men owning big telecom companies and broadcasting stations who want to control the media. The FCC claims that dropping net neutrality is good for consumers, but broadband companies have expanded infrastructure primarily in high-income areas for high profits. Low-income and rural areas won’t give them large returns, and they aren’t going to change their policies.

The possibility that Chairman Ajit Pai and the FCC will dump net neutrality caused 21 million web users to send comments last summer in protest. Groups such as Free Press and Demand Progress organized online rallies to support net neutrality, and tech giants such as Amazon, Facebook, and Google strongly supported net neutrality. Bulk downloads opposing net neutrality led Pai to ignore all the supporting comments, and the FCC then refused a public records request to investigate the legitimacy of the comments. AT&T claimed the most “legitimate” net neutrality comments requested repeal, but a study showed that 98.5 percent of individually written net neutrality comments support the current net neutrality rules. Pai said that he doesn’t care about the pro-neutrality comments.

Another part of Pai’s plan is to stop classifying telecom giants as utilities which stops the FCC from prohibiting such practices as blocking, throttling, and paid prioritization. Enforcement of broadband companies would move to the Federal Trade Commission, a far more limited agency than the FCC. It would need to prove that telecom giants are being deceptive and could not issue fines in many situations.

Pai also intends to keep states from setting their own regulations counter to federal rules. He calls broadband an interstate information service. Any FCC ruling against net neutrality will certainly end up in court. Last year, a challenge from telecom companies and trade groups against net neutrality guidelines lost in the D.C. Circuit Court of Appeals.

The FCC also voted last week to allow one corporation to own the local newspaper plus every commercial TV station in a town. The 1996 Telecommunications Act permitted a handful of corporations to own thousands of radio stations, and now the FCC is giving that permission to television. With a 3-2 vote, the FCC repealed a rule preventing one company in a media market from owning both a daily newspaper and a TV station. The same vote removed rules restricting the number of the number of TV and radio stations owned by a media company in one market as well as dropping the requirement that broadcasters operate a physical studio in markets where they are licensed.

The FCC has excuses, but their reason is that the highly conservative Sinclair Broadcasting (think far right of the Fox network) wants to deliver propaganda to 72 percent of homes in the United States. That’s “fake news.”

Rep. Michael Doyle (D-PA) addressed Pai’s agenda against consumers and small businesses in an FCC oversight hearing last summer:

“Chairman Pai, in the time that you have been head of this agency, we have seen an agenda that is anti-consumer, anti-small business, anti-competition, anti-innovation, and anti-opportunity.”

For the record, Doyle listed some of Pai’s decisions: ending a net neutrality investigation into “anti-competitive zero-rating practices” by AT&T and Verizon Wireless; creating difficulties for low-income people to get broadband subsidies; and easing the process for large TV broadcasters’ mergers.

One of the first steps toward a totalitarian government is control of the press. DDT has been railing against the press since he began his campaign for president whenever they printed factual information that he didn’t like. He has threatened to create laws to stop negative reporting about him and takes pride in watching only the Fox network that consistently panders to him. DDT is so secretive about his actions that most of it comes only through leaks and other countries’ media. For example, the news about a long telephone conversation between Putin and DDT was first released by the Kremlin via Russia’s state media, not news sources in the United States. The FCC is giving DDT the opportunity to spread positive propaganda about him across the nation through newspapers and television while restricting information on the internet.

Retaliation against CNN can also make other news outlets more cautious so that they won’t be the next DDT targets. Just one case can poison honest journalism in the United States.

While the media obsessively focuses everyone’s attention on victims of sexual assault by politicians and famous entertainment figures in events past and present, it ignores the greatest threat to people in the United States in 2017—consumers’ loss of access to news. The media needs to shift its focus to save our democracy.

July 13, 2017

Four Days Remain to Protest No Net Neutrality

Filed under: Net neutrality — trp2011 @ 8:42 PM
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In May, the Federal Communications Commission (FCC) began its process to repeal the 2015 network neutrality rules and Title II of the Communications Act of 1934. These rules guarantee that internet users have the right to access online content and services without interference from ISPs like Comcast, AT&T, Verizon, and Charter. The deadline for commenting on the FCC repeal proposal is July 17. You can still join the over 7 million people who have submitted comments—almost two million in the past month—during the next four days.

A majority of FCC members wants to reverse the classification of broadband internet access services as “telecommunications services. Another of their goals is to eliminate the “general conduct standard” prohibiting ISP practices that “unreasonably interfere or unreasonably disadvantage” the abilities of consumers to access online content and services and of online content and service providers to freely access customers. These members question whether rules regarding blocking, transparency, and other ISP restrictions are even necessary. Their excuse is that these regulations will limit investment—meaning that members want the big companies to make more money.

In describing current problems about investment, the FCC used studies funded by ISPs that cite “only four articulated examples” of harm from their discrimination. The FCC position is that such “isolated examples” are not enough to place regulations on the internet. In addition, the FCC states that the agency has no authority in keeping or replacing net neutrality rules. They want to abandon all overseeing of the broadband market.

Yesterday was a day of protest for the repeal of internet rules. Both large and small tech companies coordinated the online action to remove the regulation that broadband service providers equally treat all internet traffic. Small companies joined big one such as Google and Netflix in the “Day of Action” to publicize the issue to the public and rally people to send comments to GOP FCC Chair Ajit Pai. Major internet companies took part Wednesday in a “Day of Action” to show their support for the Federal Communications Commission’s net neutrality rules.

Internet nonprofit Mozilla explains the reasons for keeping current internet rules:

Net neutrality is fundamental to free speech: Without net neutrality, big companies could censor people and perspectives online. Net neutrality has been called the “First Amendment of the Internet.”

Net neutrality protects small businesses and innovators who are just getting started: Without net neutrality, creators and entrepreneurs could struggle to reach new users. Investment in new ideas would dry up and only the big companies would survive, stifling innovation.

Net neutrality allows consumers—not big companies—to choose what they watch & do online: Without net neutrality, ISPs could decide you watched too many videos on Netflix in one day and throttle your Internet speeds, while keeping their own video apps running smooth.

Battle for the Net, a consortium of advocacy groups, announced the need for yesterday’s action:

“The FCC wants to destroy net neutrality and give big cable companies control over what we see and do online. If they get their way, they’ll allow widespread throttling, blocking, censorship, and extra fees. On July 12th, the Internet will come together to stop them.”

Ryan Grenoble wrote about possible consequences of the FCC’s repeal:

“Without net neutrality, for instance, Comcast could hypothetically prioritize content produced by NBC, which it owns, while slowing access to Netflix. Similarly, Verizon, which owns HuffPost’s parent company, Oath, could allot extra bandwidth to HuffPost content at the expense of others.”

Mignon Clyburn, the only remaining Democrat on the FCC, described the FCC repeal of internet regulations a being on the wrong side of history. She reiterated her opposition to repeal in her support for the Day of Action:

“Today I stand with those who believe that a free and open internet is a foundational principle of our democracy. That is why I am excited that on this day consumers, entrepreneurs and companies of all sizes, including broadband providers and internet startups, are speaking out with a unified voice in favor of strong net neutrality rules grounded in Title II.”

In case the FCC backs down, GOP senators have proposed a bill, Restoring Internet Freedom Act, to prevent the FCC from regulating ISPs actions of blocking, throttling, and favoring websites and apps in exchange for money.  Both Texas senators, Ted Cruz and John Cornyn, co-sponsored the bill. The bill’s title is misleading because removal to the regulations makes the internet less free to consumers. Congress has already passed a resolution allowing ISPs to track and sell an individual’s data to third parties without that person’s permission. ISPs have given $160,000 to Cornyn and $115,000 to Cruz in the past four years.

The Washington Post warned that the disappearance of net neutrality regulations would could have dire consequences: “deep-pocketed corporations will upend how we get our news, watch our favorite shows, use social media or run our businesses.” The GOP internet law would make the internet much less free.

Despite the GOP attempt to eradicate net neutrality, people in the United States support its protections. Only 48 percent of DDT voters and 51 percent of GOP say that they want net neutrality, but 75 percent of the voters and 72 percent of GOP voters think that ISPs should be “prohibited from slowing or blocking websites or video services like Netflix.” Overall 81 percent like the net neutrality protections. Other polls go as high as 88 percent support for net neutrality protections.

What the GOP FCC members don’t consider about net neutrality:

 Growing ISP monopolies make the protections even more important. Verizon owns Yahoo and AOL, and Comcast owns NBCUniversal, the parent company of NBC, MSNBC and Universal Pictures. AT&T is trying to buy Time Warner which would give AT&T control of HBO, CNN, and Warner Bros.

Capital investment by publicly-traded ISPs were five percent higher since net neutrality protections were enacted than in the two years earlier, and telecom-company spending on fiber-to-the-home network terminals and terminal ports rose nearly 50 percent during 2016 alone. Not one ISP told investors that the regulations have a negative financial impact.

The FCC has tried to portray net neutrality supporters as members of the “Black Bloc” protest group. If this were accurate, the anarchist group would comprise over four-fifths of people in the nation.

FCC Chair Pai claims that no problem exists without internet protections, but ISPs have tried to violate net neutrality. Comcast blocked access in peer-to-peer technologies (2005), AT&T forced Apple to block Skype and other competing VOIP phone services (2007-09), and Verizon Wireless blocked people from putting apps on their phones (2012). Verizon testified in court that ISPs should be able to edit the internet. Before the regulations, the huge ISPs deliberated congested their networks to degrade speeds so that they could require new payments for better connections. Those are only a few attempts to eliminate internet choice.

Net neutrality is not government regulation of the internet: it is a set of safeguards stopping ISPs from selecting priority and speed for online content. Rules regulate companies, not the internet itself, so that carriers don’t interfere with speech.

In “Net Neutrality: In A Corporatist Government, Corporate Censorship Is State Censorship,” Caitlin Johnstone wrote:

Net neutrality is an obstacle for US oligarchs in that it hamstrings their ability to manipulate web traffic away from information which challenges their rule. By dismantling it, [they may] strangle the media revolution which for the first time in history caused America’s unelected power establishment to completely lose control of the narrative on both ends of the political spectrum in 2016.”

Sen. Al Franken (D-MN) gives a shred of hope about keeping net neutrality. He said that he believes the courts will protect the current regulations if the Republicans overturn them. A year ago the DC District Court of Appeals supported net neutrality. It might again.

People need to fight the oligarchy and keep access to information.

June 15, 2016

Court Rules for Net Neutrality – Yea!

Filed under: Net neutrality — trp2011 @ 9:48 PM
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Like many other people, I do a lot of searching on the internet, and my partner thoroughly enjoys watching Netflix movies. We have friends who have abandoned their cable television in our small Oregon coast town for watching programs via their computers. Yesterday was a big victory that prevents big business from slowing down downloads from the internet onto our computers. allows us to continue with our computer access.

Donald Trump’s outrageous comments about Muslims and the president monopolizing the media means that the net neutrality decision got little press when a three-judge panel of the DC District Court of Appeals ruled in favor of the people in the United States. The issue was the Federal Communication Commission’s  (FCC) authority to regulate the internet as a “common carrier,” similar to telephone service and frequently called “net neutrality.” Huge corporations want to charge for higher speed and access on the internet, but the Washington, DC court said they may not do so.

As usual big companies may appeal, but this court ruling is significant. The court decision gives the FCC authority to regulate broadband service as a utility, much like telephone service, instead of a luxury. It applies equally to wired broadband providers like cable companies and mobile ones such as Verizon.

The struggle goes back about 15 years as consumer groups and internet companies have fought to keep the internet from being a corporate medium like cable television. Corporations such as Comcast and AT&T want unequal treatment for online traffic like Netflix and cute videos about animals. Without net neutrality, internet service providers can favor their own services and disadvantage all others, block sites and apps, and force video and other data services to pay extra for their “fast lanes.”

Robert Malcolm McDowell, appointed to the FCC by George W. Bush in 2006, fought unfettered public use of the internet until he left in 2013. Congress then dived into the fray with a bill written by corporations designed to strip FCC’s ability to set regulations. If that bill had passed, the FCC would be left with no responsibilities except to adjudicate disputes. Ambiguous terms in the proposed bill such as “specialized services” and “reasonable network management” created huge loopholes for corporations and failed to address newer technology. Despite the payments that the industry gave politicians, however, the bill failed. Instead, the FCC passed rules that reclassified the internet in “common carrier” service, the same category for telephone service, under Title II of the Communications Act.

The FCC Open Internet Order provides these protections to access and free speech on the net, according to the FCC news release:

No Blocking: broadband providers may not block access to legal content, applications, services, or non-harmful devices.

No Throttling: broadband providers may not impair or degrade lawful Internet traffic on the basis of content, applications, services, or non-harmful devices.

No Paid Prioritization: broadband providers may not favor some lawful Internet traffic over other lawful traffic in exchange for consideration of any kind—in other words, no “fast lanes.” This rule also bans ISPs from prioritizing content and services of their affiliates.

If an appeal from large broadband carriers takes the issue to the full DC Court of Appeals or the Supreme Court, the rules could still be struck down. The industry has huge financial power. For example, Comcast, which started as a cable TV provider, now owns Comcast Internet, NBC/MSNBC, Universal Pictures and other companies. Its $74.5 billion in sales during 2015 was an eight percent increase from the year before and gives them assets of more than $149 billion.

As Fairness and Accuracy in Reporting (FAIR) point out, Comcast provides internet content as well as services. “Comcast-Funded Website [Vox] Plugs Comcast-Owned TV Show [The Tonight Show] Promoting Comcast-Backed Trade Pact [Trans-Pacific Partnership].” Even “common carrier” regulations cannot prevent this situation. But at least they cannot discriminate against smaller sites and those with large bandwidths—at least as long as the court ruling isn’t overturn.

Until that time, internet can no longer ignore some former expectations when the FCC did not declare them telecommunications carriers. At this time, telephone companies must get consumers’ explicit consent before sharing their names, phone numbers, addresses, or other personal information with marketers. Internet providers have not been required to get consent, but a pending proposal at the FCC would seek to extend a similar set of expectations to broadband companies.

Incensed by the court ruling, a Senate committee, led by Republicans, voted today to weaken the FCC net neutrality rules. They voted to exempt small broadband providers from rules requiring them to provide their customers with information about network performance, network management practices, and other issues. The purpose of the rules is to give customers information about actual speed as compared to advertised speeds as well as potentially controversial congestion management practices.

Joshua Stager, policy counsel at the New America Foundation’s Open Technology Institute, said that the Senate bill “creates a needless loophole” in the net neutrality rules. He explained, “The transparency rules help ensure a level playing field for small businesses to compete in the online marketplace—which is why so many small businesses asked the FCC to create these rules in the first place.” Since the FCC’s 2015 rules over a year ago, GOP lawmakers have failed to pass over a dozen bills or amendments to weaken or kill the regulations. None so far has succeeded.

Two years ago, John Oliver provided a great segment on what net neutrality actually is and took on the GOP congressional members who opposed the ruling. One of these naysayers was Rep. Tom McClintock (R-CA), who described net neutrality as the idea that “the latest cat video is of equal importance to a teleconference consultation to a heart patient.” Oliver gave this wonderful response:

“You are misunderstanding what net neutrality is. Cat videos are part of the point. [The policy is about keeping internet service providers from] picking a choosing whose voices get heard, ensuring that the internet remains a democratic space for all messages. And that goes for cat videos, too.”

Oliver was so successful in awakening people to the importance of net neutrality that the tens of thousands of responses immediately crashed the “Comment” section of the FCC website. Millions of more comments followed, once the website was back up.

The conservatives are being very grumpy about the court decision, which indicates that it’s probably a very good idea. Thanks to the FCC, two of the three judges on the DC Circuit Court panel—and perhaps John Oliver–big business won’t be slowing my downloads, and huge corporations won’t be charging for faster speeds. At least for now.

March 4, 2015

Net Neutrality: What Democracy Looks Like

Filed under: Net neutrality — trp2011 @ 8:06 PM
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A miracle happened last week. After big broadband providers flooded the media threatening huge problems caused by net neutrality, the Federal Communications Commission voted to reclassify broadband as a utility under Title II of the Communications Act. Their action will keep broadband providers from blocking or slowing traffic on the Internet. The fight isn’t over because the same providers will pour millions into lobbying Congress for laws to eliminate equal access to the Internet. At this time, they may not be successful, considering the dysfunctional nature of a Congress that almost sent the DHS into shutdown. The Fox network made its usual outrageously false comments. Read at your own risk.

What big business broadband providers wanted was the right to collect payment from Web businesses for delivering content with higher speed and quality. Open Internet advocates said that the providers shouldn’t be able to manipulate traffic in a way that smacks of blackmail. New rules reclassify broadband Internet services from an “information service” to a “telecommunications service.” The change holds companies such as Comcast and AT&T to the higher and necessary standard of operating in the public interest.

As a fact sheet from FCC Chairman Tom Wheeler states, “For the first time the Commission would have authority to hear complaints and take appropriate enforcement action if necessary” if it finds that interconnection deals between internet service providers and content providers fail to meet Title II’s “just and reasonable” standard. Under the new FCC definition of high-speed broadband, 82 percent of consumers in the nation have one or fewer options of high speed internet providers. No competition meets no free market advantage for the consumer who is charged unreasonable rates, receives bad service, or suffers from “fast lane” deals that make some parts of the internet more accessible than others. Free online speech is another advantage of the FCC ruling: everyone’s voice can be heard regardless of economic status.

The potential of the FCC change is amazing. State regulations can no longer limit local internet services; for example, cities that petition the FCC can provide high speed internet to their residents. As such, the FCC overturned laws in Tennessee and North Carolina that prevent local governments from expanding services in Chattanooga and Wilson (NC). Rep. Marsha Blackburn (R-TN) and Sen. Thom Tillis (R-NC) have already filed legislation to overturn the FCC’s municipal broadband ruling.

The rules ban Internet providers from blocking or slowing down services such as Netflix and from speeding up traffic even in exchange for money. Wireless carriers such as Verizon Wireless, Sprint and T-Mobile, which provide Internet service to tens of millions of smartphones and tablets are included in the regulation. Sprint, one of the four major wireless providers, “commends the FCC for its hard work in arriving at a thoughtful, measured approach on this important issue.” Sonic.net CEO Dane Jasper wrote, “It is important to draw the distinction between regulation of the Internet, and regulation of carriers. The FCC’s order will disallow carriers from discriminating against sources of traffic that their customers choose to access via the Internet. This is common carriage at its core, and as a carrier, I am supportive of being regulated as a common carrier by the FCC.”

On the other hand, Verizon is so furious about the FCC decision that the company issued its protest in Morse code, guaranteeing that almost no one could read its statement without going to a PDF of its arguments against net neutrality.

Verizon_Morse_Code (1)

Verizon is partly to blame for the FCC ruling because it sued to overturn much weaker rules passed in 2010, leading to today’s ruling. Other providers are blaming Verizon for its action.

The FCC made no changes to consumer services or any additional fees. That is the reason for the FCC ruling–to keep the Internet functioning as it is now. The FCC was very cautious in its ruling—no regulation of “unbundling, tariffs, or other forms of rate regulation.” That means people in the United States will continue to pay far more than most other countries for their Internet access.

Net neutrality doesn’t stop big business from making big money. If the FCC approves Comcast’s merger with Time Warner Cable, Comcast will control over half the U.S. cable and Internet market with 63 percent of U.S. consumers having only one choice of broadband provider. Generating $68 billion in 2014, Comcast owns NBC and Universal pictures, has consolidated internet, cable television and phone services, and made huge profits from investing in fiber optic cables and buy smaller providers. In that way, the company has successfully increased consumer monthly charges, including jacked-up prices for faster speeds, as shown in “Time Warner Cable’s 97 Percent Profit Margin on High-Speed Internet Service Exposed.”

Because FCC has not issue exact language about the change, specifics won’t be made public for weeks. That’s when providers will begin taking legal action against the FCC rules and lobby sympathetic conservative legislators for votes to supersede the regulations. House and Senate Republicans have already invited providers for a meeting in their plan to remove broadband from classification as a utility service.

Marvin Ammori wrote about the victory of the people in the FCC decision:

“The vote is already touted as among the biggest public interest victories in history and arguably the biggest Internet freedom victory ever. ‘Ever’ means: this victory is even bigger than the victory over the Stop Online Piracy Act in 2012, a copyright bill that could have censored our favorite websites but went down in flames when Wikipedia, reddit, Google and others joined in an Internet-wide blackout for one day.”

Popular victories like today’s are so unusual that three Congressional committees are investigating how this happened,” said David Segal, executive director of Demand Progress, a group that supports net neutrality. This miracle came from a grassroots effort in opposition to big money from big business. People camped out in front of the FCC and picketed FCC Chair Tom Wheeler’s home. Almost 4 million people left comments on the FCC website, at one point crashing it. In return, providers donated heavily to civil rights organizations to bring them in line with big business. With Comcast and Verizon trustees on its board and $2 million in donations during 2012 and 2013, the Urban League widely publicized Comcast’s arguments against net neutrality. The response was a coalition of almost 100 other civil rights organizations such as Color of Change and Hispanic Media Coalition calling on the FCC to reclassify broadband.

As Craig Aaron wrote, “This is what democracy looks like.”

February 4, 2015

Net Neutrality off Life Support

I have two questions for you:

  1. Do you use the Internet?
  2. Do you ever get impatient?

If you answer yes to both these questions, you may think the following news is wonderful.

Federal Communications Commission (FCC) Chairman Tom Wheeler has asked for authority to enforce open Internet protections. For years, there has been a threat to equal access to the Internet, made worse by the Washington, D.C. Circuit Court ruling against fair access to the Internet. If Wheeler’s proposal succeeds, Title II of the Communications Act will stop service providers from charging some content providers, for example Netflix, more money than others for access. The plan includes equal rules for both mobile and fixed networks. FCC commissioners will vote on the plan later this month. The four other commissioners are equally split between Republicans and Democrats.

Another part of the plan is to give the FCC authority over points of interconnection between an Internet service provider and the rest of the Internet. The agency will also be able to investigate complaints about unfair interconnection activities.

Wheeler appeared to waffle about the concept of “net neutrality,” blocking charges for faster service, until President Obama supported the plan in November. A FCC official said that reactions from financial analysts and ISPs such as Sprint showed that the plan could work without harming investments. The question is whether the final plan will have loopholes for these companies.

Telecom and cable companies fighting the plan are upset. Doug Brake, telecommunications policy analyst at the Information Technology and Innovation Foundation, stated that the decision is an “unjustified, overblown response to what has in actuality been a by-and-large hypothetical concern.” (Netflix has already been charged more to get speed equal to other companies.) These corporations are hoping that congressional Republicans will strip FCC of the authority to require strong Internet protections.

In a piece published in Wired, Wheeler wrote about his past experience as the president of a startup, NABU: The Home Computer Network. Its delivery time was hundreds of times faster than Steve Case’s AOL, he said, but NABU went broke because it had to depend on cable television operators to grant access to its systems. Case had access to unlimited customers because they used the telephone network rather than cable. Wheeler explained his change from using “commercial reasonableness” under Section 706 of the 1996 Telecommunications Act as the basis for his decision: “I became concerned that this relatively new concept might, down the road, be interpreted to mean what is reasonable for commercial interests, not consumers.”

Wheeler added, “My proposal assures the rights of internet users to go where they want, when they want, and the rights of innovators to introduce new products without asking anyone’s permission.”

Verizon had “won” the lawsuit that stopped the FCC from giving fair access to Internet providers. After the corporation sued to block the FCC’s 2010 net neutrality order, the court threw out FCC rules against blocking and discrimination. The ruling stated that the FCC was wrong by imposing per se common carrier rules applied to the former telephone network onto broadband without first classifying broadband providers as common carriers. It left the door open for the FCC to do exactly that, making the outcome worse for Verizon and fellow ISPs. The proposed rules stop speeding up, slowing down, or blocking broadband Internet traffic just like regulations dating back to the early days of the telephone business.

The FCC vote on February 26 will lead to lawsuits, no matter which side comes out on top. The broadband industry—telecom, mobile, and cable providers—has deep pockets and argue that these rules would stifle network investment and strangle innovation. Michael Powell, a former chairman of the FCC and now CEO of lobbyist trade group National Cable and Telecommunications Association, said that any attempt to reclassify broadband under Title II would amount to “World War III.”

Meredith Attwell Baker, CEO of the CTIA wireless trade group, claims concern “that the FCC’s proposed approach could jeopardize our world-leading mobile broadband market.” She hasn’t read any of the thousands of articles on the Internet showing that people in the United States pay more and get less from their web connection. In Europe, the Internet speed makes the speed in the U.S. seem sluggish, and the cost there can be about $56 a month for broadband—Internet, television, and telephone combined. One study ranks the U.S. 16th in the world in speed and cost of broadband connections.

Internet in the UK comparable to the U.S. is $6 per month. The government paid nothing to develop the Internet, but government regulations force more competition in the market. America’s AT&T and Verizon are members of a consortium that is pushing for faster broadband service in the UK. They want more competition but say that the policies they support in Europe would be a big mistake for the United States.

About a year ago, BBC published an article on how the United States compares to other countries in the world. As it points out, many people in the U.S. even have to rent the modem (we do!). One user said, “That’s like a rental car company charging customers an extra $7 fee per month to include the steering wheel.” Yup.

Under Wheeler’s proposal, the FCC cannot set rates for ISPs or tariffs. It also cannot require ISPs to share lines to customers with rivals offering a competitive Internet service. Wheeler pointed out that mobile service is governed in the same manner as his proposal. “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. His justification for putting the Internet on an equal basis with wireless networks is that over half the people in the United States access the Internet on mobile devices. “Wireless can’t carry 55 percent of the Internet’s traffic and expect to be exempt from Open Internet requirements,” he said.

Wheeler’s draft rules have even more provisions to irritate big broadband corporations. The proposal enforces consumer privacy rules; charges Internet providers to help subsidize services for rural Americans, educators, and the poor; and ensures that services such as Google Fiber can more easily build new broadband pipes. Providers would not be required to contribute to the subsidy fund initially, but the proposal makes this possible later if the FCC thinks the fund is necessary. The existing Universal Service Fund helps schools and libraries buy Internet service, reduces the cost of telephone service for low-income Americans, and subsidizes connectivity for rural areas.

The impetus last summer was lagging until John Oliver, late-night comedian of Last Week Tonight who started on Jon Stewart’s The Daily Show, gave a 13-minute rant about the lack of net neutrality. The resulting millions of comments demanding net neutrality briefly shut down the FCC website. That success was followed by Mozilla, the maker of the popular Firefox browser, suggesting that the FCC split the Internet in two. Wheeler explored the hybrid plan, but President Obama’s urging may have led Wheeler to drop the idea in favor of the current proposal.

Net neutrality, which seemed to be on life support just a year ago, may become law of the land. If it does, it will make a fortune for the lawyers from the broadband industry.

November 19, 2014

Net Neutrality Decision Postponed–Again

Filed under: Net neutrality — trp2011 @ 8:31 PM
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“Obama for the Internet.” Preserving net neutrality will “stifle freedom, entrepreneurship and creativity online.” That’s Sen. Ted Cruz’s (R-TX) take on the debate that’s coming to a head, like a giant boil ready to burst.

For the uninitiated, net neutrality requires the Internet Service Provider (ISP) to treat all content equal in speed and delivery. Charging extra for higher speeds or slowing down parts of the Internet content affects everyone who uses is.

The FCC can continue net neutrality by classifying the Internet as a common carrier utility. President Obama supports net neutrality, but FCC Chair Tom Wheeler, a former telecoms lobbyist, isn’t convinced. As the swing voter between two Democrats and two Republicans, he’s the Decider. Big telecommunication companies such as Comcast and Verizon are fighting net neutrality not only because they can’t make as much money but also because they would be more highly regulated.

Sen. Al Franken (D-MN), who just won his seat by over 10 points, responded to Cruz on CNN’s State of the Union. The Internet has been “neutral” since its inception so there’s no change. As for quashing entrepreneurship, three guys in a pizzeria sold “YouTube” to Google for $1.65 billion because Google decided it was a better system than “Google Video.” Big businesses such as Ford, Visa, UPS, and Bank of America like net neutrality so much that they’ve lobbied the FCC to keep the rules by reclassifying broadband as an essential service. Their position is the same as most of the people in the United States:

“Every retailer with an online catalogue, every manufacturer with online product specifications, every insurance company with online claims processing, every bank offering online account management, every company with a website—every business in America interacting with its customers online is dependent upon an open Internet.”

After one big communication corporations failed to bribe the government to dump net neutrality, it tried extortion. AT&T’s CEO, Randall Stephenson, said that the company won’t extend new high-speed Internet connections in 100 U.S. cities if the FCC imposes net neutrality regulations. The FCC wrote back, asking for “all documents” related to that decision. AT&T may have trouble finding those documents because there have been no details published about these plans. The company should have hedged its bets because the FCC hasn’t yet signed off on its request to buy DirecTV for $48 billion. FCC also wants to know if AT&T’s financial model “demonstrates that fiber deployment is now unprofitable” and whether laying fiber to more than two million homes after the DirecTV acquisition “would be unprofitable.”

The FCC decision has great implications for almost all United States residents. If Wheeler decides in favor of the big companies, they can decide not only the speed of content on the Internet, but also the content itself. With net neutrality, an ISP cannot block a legal website or service. The decision also affects mobile devices which increasingly receive information from the Internet. Regulations require that customers of one phone company aren’t penalized when receiving calls from other company’s customers. The same philosophy should apply to information from the Internet. As the president said:

“The Internet has been one of the greatest gifts our economy — and our society — has ever known. The FCC was chartered to promote competition, innovation, and investment in our networks. In service of that mission, there is no higher calling than protecting an open, accessible, and free Internet. I thank the Commissioners for having served this cause with distinction and integrity, and I respectfully ask them to adopt the policies I have outlined here, to preserve this technology’s promise for today, and future generations to come.”

The first thing that Wheeler did after the president announced his support for net neutrality was to say that the FCC needs more time. Today was the deadline for publishing revised rules for a December vote, but that didn’t happen. Wheeler postponed the decision until sometime in 2015 when the GOP can apply more pressure and big telecom companies have more time to lobby politicians.

In speaking about a different issue, House Speaker John Boehner stressed that the president should follow the mandate of the people. If Republicans truly believed that (ha!), they would support net neutrality.

A new survey from the University of Delaware’s Center for Political Communication found strong support for neutrality regardless of gender, age, race and level of education. About 81 percent of people in the United States oppose “Internet fast lanes” that would charge more for websites and services to get content to customers more quickly. Republicans are even more likely to support net neutrality than Democrats although their elected legislators don’t support their preference.

A problem with accurate poll numbers is that people have been slow to understand what net neutrality. Just six months ago, 63 percent of the respondents said they’d never heard the term “net neutrality.” Even now, 54 percent still say they haven’t heard the term. Yet a few weeks ago, 77 percent agreed that all Internet information should be treated the same and that ISPs should not be able to restrict the speed on content.

Cruz’s twitter that “ ‘net neutrality’ is Obamacare for the Internet” made him a few enemies. These are some of the nearly 3,000 responses on Cruz’s Facebook page:

Ed Piper: As a Republican who works in the tech industry I can say that this statement shows you either have no idea what you are talking about or you are bought and paid for by the American Cable monopoly.

Keith French: Ted, I am as conservative as they come…. I want government out of just about everything… and I hate to say it, really hate to say it, but Obama is right on this one. I do not want my access and internet speed controlled by my ISP. It will be.

Joey Camp: As a Republican whom also works in IT like Ed… You have no clue what you are talking about or you are company bought and paid for.

A Jinnie McManus: Goddammit, stop making my party look like morons and look up net neutrality. It doesn’t mean what you and your speechwriters think it means.

Adam Huzzey: Go find whatever rock you crawled out from under Ted and stay under it! Proud republican here, but not so proud to be blind like the good senator. Look how “great” our free market Internet is!!! I pay $100 a month for 15mbs / 100gb p/m capped Internet. Yep, those “free” markets really make it better lmao.

Jimmy Lee: Wow. I am embarassed that I supported you Ted. Face palm. I think it’s time that I “unlike” your FB page.

Cruz only doubled down after Franken refuted his claims. In response to Franken’s comment that we have always had net neutrality, he brought out a rotary phone and said, “What happens when government starts regulating something as a public utility? It calcifies everything, it freezes it in place.” Holding up the rotary phone, he said, “This is regulated.” Then he lifted his iPhone and said, “This is not.” The FCC hasn’t mandated rental rotary phones for 30 years, but iPhones, used as phones, are still regulated.

Big business, including ISPs, cannot be trusted. Anecdotal evidence shows that some of them block users’ email service through crippling encryptions, thus serving as gatekeepers to the Internet. Postal services such as FedEx or USPS cannot legally modify the contents of communications if they don’t approve of language or references to competing businesses. Postal carriers cannot edit letters.

Many people don’t even have choices about ISPs. I live in a small community that is controlled by Charter. Without net neutrality, the company could do anything it wants. That’s the opposite of freedom.

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