Net Neutrality News

On the eve of tomorrow's mark-up, here's a final update on some of the heavy hitters coming out on the issue.

Boingboing proprietor Cory Doctorow has an important column on telco welfare.

It's high-minded and nice-sounding, but there are few industries that owe their existence to regulation as much as the carriers. These companies are gigantic corporate welfare bums, having received the invaluable boon of a set of rights-of-way leading into every basement in America. Phone companies have a legal right to force you to provide access to your home for their pipes. Try calculating what it would cost to get into every U.S. home without a regulator clearing your path, and you quickly realize that the carriers should be the last people complaining about the distorting effect of regulation on their business.

The Bells and cable companies owe their existence to governmental largesse, and, while they're profit-making private firms, they are, in effect, quasigovernmental organizations. A Bell that wants to get rid of regulation is about as practical as a cotton-candy cone that wants to get rid of sugar. Bells are nothing but a thin veneer of arrogance wrapped around a regulatory monopoly.

And Larry Lessig boils this discussion down to a matter of character:

One clue to this Net Neutrality debate is to watch what kind of souls are on each side of the debate. The pro-NN contingent is filled with the people who actually built the Net -- from Vint Cerf to Google to eBay -- and those who profit from the competition enabled by the Net -- e.g., Microsoft. The anti-NN contingent is filled with the entities that either never got the Net, or fought like hell to control it -- telecom, and cable companies. (The one clear exception to this is Dave Farber, who has been described as the "Grandfather of the Net." I've never understood either what that description could mean, nor have I understood how he gets from the premises in his argument to its conclusions. But to be fair, this is an exception to the rule I'm describing.)

Here's the latest confirmation of this pattern. Tim Berners-Lee has blogged before about this issue. But here's a video he's now down to emphasize its importance

And finally, John Doerr, who is probably the most influential and important venture capitalist of all time, chimes in with Reed Hastings, the CEO of Netflix.

What seems to be happening is that the pro-innovation and generally libertarian side of the economy is moving into the pro-net neutrality camp.  I think this is because they recognize the deep threat to innovation and openness that the large telecom companies pose.

That's something lawmakers should take into account tomorrow.

Tags: net neutrality (all tags)

Comments

9 Comments

Cory Doctorow Is Crazy!

Bells are nothing but a thin veneer of arrogance wrapped around a regulatory monopoly.

Thin?

Thin veneer?

Try thick oakwood panel!

No.  Make that "thick ironwood panel!"

by Paul Rosenberg 2006-06-26 08:34PM | 0 recs
Re: Net Neutrality News

The libertarians have always been for Net Neutrality.  What's really happening, I think, is that the XXXL gorillas -- Microsoft, Google, etc. -- who have prospered under the status quo have woken up.  Uncomfortable as it is to make common cause with them (I feel more at home with the NRA than with Microsoft), hey, whatever it takes to win.

by drlimerick 2006-06-27 02:48AM | 0 recs
A Frightening Prospect

(I feel more at home with the NRA than with Microsoft)

"At home" is not exactly the words I'd use.  "In bed with" is even worse.

And thoough both of them give me the heebee-jeebees, at least the Borg is not premised on lying about the Constitution.

by Paul Rosenberg 2006-06-27 01:37PM | 0 recs
Re: Net Neutrality News

I would like to repost something that I stuck in a nonrecommended diary (here), which drew a certain amount of criticism (an "astroturf" rant). If these points are misconstrued as "talking points," they might seem controversial. I responded to my critic with a reply noting that [if these were talking points] none of these notions implies a "rate inrease" for users. Well, even if they did, they would still result in a more open internet than we have now.

In effect, they might support a paradigm in which the party who initiate the connection by clicking on a link, would pay for the service, and the cost to the site publishers would thus be nomunal. So theoretically, there would perhaps be no "big blogs" anymore.

(I got a call on the red telephone from Kos at four in the morning, and he was talking extremely fast, and being manically vehement, and I was not really awake. So by the time he abruptly ended his rant and slammed down the phone, I had no idea what he was saying. However, I did not have the impression that my thoughts on this matter had been absolutely proscribed. So I will dare to repost them now.) But please, these are not "talking points," they are "thinking points."
_______
_
________

Three big issues: speech tolling, content discrimination, exploitable complication.

We have freedom of speech when people get their information via pay-per-view. If politicians have to pay to run ads, they have to beg from rich folks for campaign funds. Let the watchers and listeners pay for what they really want to see and hear, unless you want all speech to become the incredibly expensive luxury of a ruling class.

Today, if you send a birthday card to your aunt, you are subsidizing low mailing fees for nefarious organizations and bill collectors. The mammoth corporations enjoy a virtual franking privilege, on our tab. That is no good. It is not content neutral. Everyone should pay according to how large their letter is. In the case of internet browsing, the browser subscribers ought to pay on a content-neutral, bit-per-month basis, since they initiate the communication. This, with toll-free speech, would make the fees for sites like MyDD very tiny, and everyone could compete to be heard.

The issue of exploitable complication is hard to describe, since there are so many ways to trick people with shell games. If you use that insanely complicated operating system that came bundled with your computer, with its "registry," 9,000 "patches," etc., you know about that.

by blues 2006-06-27 04:06AM | 0 recs
Re: Net Neutrality News

they might support a paradigm in which the party who initiate the connection by clicking on a link, would pay for the service, and the cost to the site publishers would thus be nomunal.

unfortunately, if this  'thinking point' was to be followed out, lower income people would not have access to balanced information. they would only be able to see stuff that rich people provided (e.g. where the publisher absorbed the costs of the link). right now, the net is one of the few places such individuals can get independent information (since they can often find public internet access via libraries, independent coffeeshops etc) without choosing it over, say, groceries.

so you would in effect have freedom of speech but not freedom to hear it. how is that not the expensive luxury of a ruling class?

by jax 2006-06-27 08:58AM | 0 recs
Re: Net Neutrality News

My point is, we already pay for the web right now. If you do not charge by the bit, then you automatically create a paradox that engenders an instability. If I look at text like this for a week, I will not take a fraction of the bite out of the web that is taken by someone downloading a short film clip. This is simply a question of costs. You could claim that, if we charge by the kilowatt hour, poor people will not be able to have table lamps. But why is that not often mentioned as a major social dilemma? Well, it just isn't. Just isn't.

In reality, electric power costs are not all that fair. Here's the scoop on that: In reality, although they say they charge by the kilowatt hour on your bill, that is not quite the case! A kilowatt hour is:

volts x amps x (time in use).

The volts are always about 110 volts (yea, AC), and it's the amps that vary. That is, for you and me. The reality is that they charge by the amps. So here's the deal: if you have a big company, or farm that uses giant motors, those motors will run at either 220 or 440 volts. That means they get 2 or 4 times as many kilowatt hours per amp (or "amp hour") that they receive. (Only really big industries use 440 volt equipment, which can very dangerous to work with.) The true energy, though, (amount of coal consumed, etc.) is really the Kilowatt hour. Kilowatt hours are:

volts x amps x time

In reality, they charge by the "amp hours," so right now, your computer is subsidizing some giant industry.

by blues 2006-06-27 04:44PM | 0 recs
Re: Net Neutrality News

Absolutely.
Innovation?  It's worthwhile to remember that just as the world was moving to to glass cable, AT&T spent $8 Billion on laying new copper lines coast to coast.  Obsolete befoire they even began.  Helped tip them over.

And as far as leasing airwaves or cable rights of way, it's a complete giveaway.  It's cheap.  Why don't we get a percentage of the revenue on an ongoing basis rather than a one time sale of rights?

My God, talk about your corporate takeover.  Is there anything left to takeover?  

by NorCalJim 2006-06-27 06:52AM | 0 recs
Re: Net Neutrality News

A staffer for my Senator, Gordon Smith (R-OR), told me Smith will not be supporting Snowe/Dorgan.  Bummer. I hope we won't need this sell-out's vote.

by robin oz 2006-06-27 09:03AM | 0 recs
Vinod Khosla

Vinod Khosla, the alternative energy venture capitalist who's proposal Phil Angelides endorsed, is a partner in the same VC firm as John Doerr  Kleiner, Perkins, Caufield & Byers.  It looks like they're a progressive force to be reconed with

by medleysoul 2006-06-27 12:29PM | 0 recs

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