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Net Neutrality Voted Down in U.S. House Committee

Ana10g writes "Business Week provides a look at the recent vote by the House Committee on Energy & Commerce, in which the FCC would have been given the power to prohibit discrimination of Internet traffic. The battlefield seems to be centered around which group has the better funded lobbyists, with companies such as Google, Yahoo, Microsoft, and many others competing against the well funded Telecommunications lobbysts. The committee voted the amendment down, 34 to 22."

17 of 354 comments (clear)

  1. Re:Anyone Suprised? by kitejumping · · Score: 5, Insightful

    This just reinforces the fact that the common public interest is not correctly represented by congress.

  2. Re:Anyone Suprised? by DrMrLordX · · Score: 5, Insightful

    As the old saying goes, the opposite of progress is Congress.

  3. There's something so wrong with this story by Reality+Master+201 · · Score: 5, Insightful
    The battlefield seems to be centered around which group has the better funded lobbyists, with companies such as Google, Yahoo, Microsoft, and many others competing against the well funded Telecommunications lobbysts. The committee voted the amendment down, 34 to 22.

    So long as we're clear: it's just big companies with lots of money fighting each other for the right to make money off of us. God for-fucking-bid the "battlefield" should in anyway involve some kind of consideration of what might be best for the human constitutents the congresscritters are elected to serve.

    1. Re:There's something so wrong with this story by RoffleTheWaffle · · Score: 4, Insightful

      A-fuckin'-men, bro'. I'm of the mind that the means to communicate should be a utility, not a luxury. Our taxes did after all subsidize the telecommunications industry to allow them to lay the copper lines to make this happen in the first place, and everyone and their mother knows that this has shit to do with fiber. It's all about money and who gets to play with it.

    2. Re:There's something so wrong with this story by Arker · · Score: 4, Insightful

      Not only that, we also subsidised all that fibre already as well. The telecoms pocketed most of the money and now they're complaining they need to finance the fibre we already paid them for once.

      On the bright side, it's nice to see MS money going to a good cause. I bet Bill Gates is rolling over in his coffin at the thought.

      --
      =-=-=-=-=-=-=-=-=-=-=-=-=-=-
      Friends don't let friends enable ecmascript.
  4. I'm so torn by deque_alpha · · Score: 3, Insightful

    The idea of giving the FCC more control over things they probably shouldn't control doesn't make me happy, but missing a chance to explicitly prohibit a tiered Internet is kind of a bummer... Oh well, in cases like this consumer always gets screwed one way or another, it's just a question of who's doing the screwing...

    As an aside, doesn't the whole "tiered Internet" concept that the telco's are trying to float violate the concept of "common carrier"? Anyone know?

  5. Re:Hmm... Technicalities. by mattkinabrewmindspri · · Score: 3, Insightful

    It would depend on the wording of the bill, and given that Google, Yahoo, and Amazon know something about traffic over the internet, I would assume that the bill would be written well enough to get around those problems.

  6. DEMAND your rights! by buss_error · · Score: 4, Insightful
    I see a lot of "Oh, well, we get screwed again!" kind of comments.

    The shame is that we (the voters) don't stand up and say "ENOUGH!" Is it because we don't think what we want is right, or is it because we expect political special interests to win despite what we, the voters want?

    The game is rigged, sure enough, just as long as we sit down, shut up, and don't vote. I don't care if you disagree with me, I just want you to vote.

    --
    Necessity is the plea for every infringement of human freedom. It is the argument of tyrants; it is the creed of slaves.
    1. Re:DEMAND your rights! by Sathias · · Score: 4, Insightful

      How exactly do you vote for the people who aren't politicians?

      --
      Blessed are the 1337, for they shall pwn the earth.
  7. Free? How so? by Travoltus · · Score: 4, Insightful

    This is a step towards an extortion economy. I've heard of right wingers playing Twister before but the logic behind that post makes a Pretzel look straight as a pencil.

    --
    --- Grow a pair, liberals... stop letting the Republicans bully you!
  8. That's up to the constituents by Beryllium+Sphere(tm) · · Score: 4, Insightful

    If they ask questions and vote their interests, Congress will respond to their interests.

    If they spend their time watching TV and vote based on what they see in expensive TV campaign ads then Congress will respond to whoever donates money.

  9. Re:Good, the Internet will continue to be free by frinsore · · Score: 3, Insightful

    The parent to this post is an idiot.

    The FCC is desperately needed to regulate the internet. The FCC needs to ensure a level playing field when it comes to net traffic, whether that traffic is for google or microsoft, or my own server. I don't want to access my mail at dial-up speeds because the provider between me and it decides to that their uncompressed HD content is more important then my 5k file. I don't want my connection to time out to an independant site because verizon decided to shift all their traffic onto "the internet" thus freeing up some of their private lines to save maintanance costs.

    Ensuring that the net stays neutral keeps the net more like a town hall and less like disney land. Allowing the telecoms to start charging prices ensures that they only peolpe who can truely serve content are those that have the money, not neccassarily the ones with the best content.

    I'm not a fan of regulation, but it's better that the FCC does it then the telecoms.

  10. Such Damage... by BlueStrat · · Score: 4, Insightful

    ..will be routed around. At least for the rest of the world that doesn't cripple itself. It could really suck for US internet customers and businesses for a long time unfortunately, if the major copper and fiber owners manage to roll this out.

    This may very well mean those content providers and other businesses will move operations outside the USA. Hopefully, this might (not sure on this) make it difficult for US-based major telecoms and ISPs to discriminate against foreign traffic because of international treaties and agreements.

    Combined with restrictive IP laws and high taxes, this could add significantly to pressure forcing innovative technologies and the corporations behind them to base themselves outside US control.

    As Princess Leia said about a possible future powergrab..

    "The more you tighten your grip, Tarkin, the more star systems will slip through your fingers."

    Once more, it seems (relatively) short-term profits win out over longer-term strategies that would benefit everyone in many ways, including even themselves, and to a much greater degree over time than this self-defeating quick cash grab.

    Seems they never learned the old adage about not crapping in ones' own nest.

    Cheers!

    Strat

    --
    Progressivism (aka US 'Liberalism'): Ideas so good they need a police/surveillance-state to enforce.
  11. Re:Insights * 2 by jrieth50 · · Score: 5, Insightful

    In fairness a plethora of consumer group's pleadings and petitions were filed into the official record - but the only 'man speaking for the people' at the hearing was a guy from Columbia Law.

    The only guy on the panel who felt net neutrality was unnecessary was the telco guy 'McCormick' who repeatedly assured the panel they would never 'limit, degrade, or block service' to anyone - all while agreeing that one congressman's analogy that suggested exactly that was 'apropos.' How bout that.

    Meanwhile republican bobble-heads were nodding in agreement nearly the entire time with the 4 other panelists who FAVORED net neutrality and seemed to understand the issue. Vote time comes - only one republican voted for it. Another 'gee, how bout that' moment. What I think surprised me the most is that they actually seemed to grasp the necessity of net neutrality throughout - but they're such whores they voted against it anyways when the attention was elsewhere (see gas prices.)

  12. The Atlantic ocean. by Polski+Radon · · Score: 3, Insightful

    Please remain on your side of the pond.

  13. Tech-Regulation Bills are *seldom* well written by billstewart · · Score: 4, Insightful
    There are some serious concerns, and there's not a chance in the world of Congress writing a good bill about it. Writing legislation about things you don't understand seldom helps problems - it just sometimes shifts the balance of power by doing favors for your friends in return for future favors.

    In most big technical companies, it's tough enough to get your *management* to understand the critical technical issues. (If you work in a small startup, there's a good chance that some of the main players do understand, but if you're big enough to have VC-funded management and an HR department, it's pretty likely that have the management aren't technical enough.) Getting *Congresscritters* to understand anything technical is much tougher, and the FCC are a variable set of political hacks, ranging from occasional people who are outstandingly good to other people who are more concerned about regulating TV coverage of Janet Jackson's boobs.

    The MoveOn.org petition-distributors don't understand the real issues, so the things they're telling the Democrat Congresscritters aren't helping their ignorance any. Some of the big customers understand some of the real issues. The telecom company managers have demonstrated that while they may understand some of the issues, they'd rather do a bone-headed arrogant "It's Our Money" regulatory play than try to talk technology to the public.

    --

    Bill Stewart
    New Fast-Compression-only CPR http://preview.tinyurl.com/dy575ks
  14. Charging the consumer surplus by golodh · · Score: 4, Insightful
    What will happen in the absence of enforced net-neutrality can be understood using a smidgeon of economic theory. The point is that Telecoms companies will be free to charge users for what it's _worth_ to them to have their data sent, rather than what it _costs_ the Telecos to send it.

    When you think of Google, Amazon, Ebay etc. ... their whole business depends on telecommunication, so that what it's worth to them to have their data sent is basically their entire profit margin, which is non-zero. So ... at the moment they are enjoying a benefit which is known as "consumer surplus". Consumer surplus is the area between a demand curve and a given (fixed) price (see e.g. http://en.wikipedia.org/wiki/Consumer_surplus).

    Any marketeer knows that to get the maximum amount of money out of a market, you have to deal with each consumer individually, and price your goods to exactly what he's willing to pay. You can do that if his negotiation position is completely transparant to you, i.e. if you know his demand curve.

    Now that extreme is too bothersome, so what do you do? You segment the market into sections that have approximately the same willingness to pay. For each segment you then negotiate a price close to the minimum willingness to pay for that segment. You won't get all the revenue you would have if you were able to charge each consumer the maximum price they're willing to pay, but you're getting close.

    The trick is to identify the segments in the first place, and to gain a strong negotiating position. Identifying your customers is the basic step to figuring out their willingness to pay, and of late we have seen Cisco routers that do exactly that. So that's one hole plugged.

    The second issue is to gain a strong negotiating position. That's all taken care of because the telecom companies have ensured that all electronic traffic must pass through their infrastructure.

    The only remaining problem was that it wasn't legal for them to bluntly start pricing each individual customer what they would pay. Now with the removal of "net-neutrality" this is taken care of as well. Telecom companies can simply induce unacceptable delays as follows:

    - (1) allocate reserved bandwidth channels on their infrastructure for customers that are prepared to pay more (got to provide superior service if we're going to charge more, right?)

    - (2) route traffic in those channels with priority over existing infrastructure

    - (3) watch natural traffic growth of priority traffic squeeze the performance of the non-priority traffic

    - (4) politely but firmly negotiate large price increases with large customers such as Google, Ebay, Amazon who can't live with the now much reduced performance of their services

    All legal, all neat. Telcos increase their profits at the expense of the (large corporate) users of telecoms facilities. Of course it won't stop there. Individual consumers and small businesses are next. Not satisfied with your Internet performance? (hehehe) Subscribe to our Deluxe service!

    If you think I'm making any of this up, then see Cisco's pitch of its routers that can identify traffic here http://www.corecom.com/ftpdir/pub/corecom/iprev-bi lling.ppt. as powerpoint and here as html: http://66.249.93.104/search?q=cache:dt-ljUr4k5QJ:w ww.corecom.com/ftpdir/pub/corecom/iprev-billing.pp t+cisco+routers+identify+traffic+tiered+charge&hl= en&gl=uk&ct=clnk&cd=8

    The only cloud in the sky is the fact that the Telecoms companies don't create value in this way. They simply take away consumer surplus. Gi