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European Parliament Votes For Net Neutrality, Forbids Mobile Roaming Costs

First time accepted submitter TBerben (1061176) writes "The European Parliament has voted to accept the telecommunications reform bill. This bill simultaneously forbids mobile providers from charging roaming costs as of December 15, 2015 and guarantees net neutrality. Previous versions of the bill contained a much weaker definition of net neutrality, offering exemptions for 'specialized services,' but this was superseded in an amendment (original link, in Dutch) submitted by Dutch MEP Marietje Schaake (liberal fraction). Note that the legislation is not yet definitive: the Council of Ministers still has the deciding vote, but they are expected to follow the EP's vote."

33 of 148 comments (clear)

  1. Good, I guess by Mr+D+from+63 · · Score: 3, Interesting

    I'm big on NN, but I do admit there are good points made for market driven forces to allow buildup of delivery services. That breaks down with the lack of competition at the ISP level. I assume its similar in Europe as the US.

    Riddle me this. If Netflix pays and ISP for delivering its content with quality...should not all subscribers to that ISP, regardless of what plan they signed up for, get Netflix at the highest possible bandwidth?

    This issue can't be piecemeal-ed.

    1. Re:Good, I guess by 91degrees · · Score: 5, Insightful

      Net Netrality is less of a problem in Europe. Our ISPs aren't nearly as monopolised as they seem to be in the US. To be honest, I'm not even sure that this is automatically a goood thing. I don't mind my Netflix getting a extra bandwidth, as long as this is bandwidth in addition to what everyone already gets. The problem is establishing whether the high payers are getting extra or everyone else is gettign a reuced service. There's no actually a difference; it just depends what you consider the baseline to be.

    2. Re:Good, I guess by ShanghaiBill · · Score: 4, Insightful

      I'm big on NN, but I do admit there are good points made for market driven forces to allow buildup of delivery services.

      When each ISP is a local monopoly, then there is no market. If every home had a choice of a dozen ISPs, there would be no need for NN. NN is needed to prevent ISPs from abusing their monopoly power.

    3. Re:Good, I guess by 91degrees · · Score: 5, Informative

      Well, in Britain I had the choice of BT, Virgin, TalkTalk, Sky, Plusnet, Tesco, Clara.net and a whole load of others. So I don;t think any of them are local monopolies.

    4. Re:Good, I guess by smooth+wombat · · Score: 5, Insightful

      Where I live in the U.S., I have two choices: Comcast or Verizon.

      Both charge $75/month for 15/5 which is the package available.

      You will this situation in many parts of the country where competition is defined as two companies charging the same high price for the same slow speeds.

      --
      We will bankrupt ourselves in the vain search for absolute security. -- Dwight D. Eisenhower
    5. Re:Good, I guess by jalopezp · · Score: 2

      The point of net neutrality is that net traffic is treated as a commodity. If service providers can choose which packets to give preferene, they not only compete on price and speed, they also compete on the shape of their packet preferences. This means competition moves from a commodity model to a monopolistically competitive one, which is less efficient. Granted, a duopoly is much less efficient, so it may be a moot point, but net neutrality is overall good, no matter how many ISPs there are.

    6. Re:Good, I guess by raju1kabir · · Score: 2

      In the USA I believe the idea of the FCC forcing AT&T to wholesale its lines to competitors is completely alien?

      It actually used to be the law of the land. During that period (around 2000) there was an incredibly vibrant broadband ISP scene. Unfortunately the FCC changed its mind (and no doubt a few briefcases full of cash changed hands) and now the situation has reverted to the anti-consumer oligopoly you see today.

      --
      "Patriotism is your conviction that this country is superior to all other countries because you were born in it." -- GBS
    7. Re:Good, I guess by Impy+the+Impiuos+Imp · · Score: 3, Interesting

      ISPs advertise, amd charge more for, higher speeds to your house.

      It's fraud to deliberately degrade Netflix to attempt to extort from them a portion of what I pay Netflix.

      --
      (-1: Post disagrees with my already-settled worldview) is not a valid mod option.
    8. Re:Good, I guess by 91degrees · · Score: 2

      I may be wrong, but don't BT Wholesale just sell the chunk of connection between the home and the exchange? It would be difficult for BT to interfere with data rates on a per packet basis here. So there is actually competition even amongst the DSL providers,

    9. Re:Good, I guess by Solandri · · Score: 2, Insightful

      I'm big on NN, but I do admit there are good points made for market driven forces to allow buildup of delivery services. That breaks down with the lack of competition at the ISP level. I assume its similar in Europe as the US.

      It's not just lack of competition at the ISP level. Poorly thought out government-imposed standards can have the same effect too. When digital cell phone service rolled out, Europe mandated all carriers use GSM. GSM uses TDMA - it allocates a fixed timeslice to each user. During your phone's timeslice, the tower is yours and yours alone. This works fine for voice, since voice data has a fixed maximum bandwidth. But it becomes a real problem for data because you're wasting bandwidth by allocating it to phones which aren't actually using it during their timeslice.

      The U.S. didn't mandate GSM. Consequently it ended up with both GSM and CDMA carriers. CDMA doesn't allocated a fixed bandwidth block to each phone. All phones are allowed to transmit simultaneously (each phone uses orthogonal codes which uniquely identify them), and their bandwidth is set by the noise floor (i.e. other phones' transmissions). So the bandwidth available to each phone automatically scales based on the number of phones communicating with the tower at any given time. If there are 20 phones transmitting or receiving, each gets 1/20th the bandwidth. If there's just one phone, it gets all the bandwidth.

      So CDMA scales beautifully with number of phones, while GSM does not scale at all. Consequently the CDMA carriers were the first to roll out 2g service. There was no way to fix GSM for data. They had to add on a different standard for data, which most carriers implemented with CDMA or wideband CDMA. That's right, the HSDPA data service on most 3g GSM phones was actually CDMA. That's why you could browse the web and talk on a GSM phone at the same time - it had one TDMA radio for voice, and a second CDMA radio for data. CDMA phones couldn't do that (unless they supported voice over IP) because they only had one CDMA radio for both.

      CDMA was the better technology and it won the standards war. GSM was well-intentioned (I still think the SIM card idea is best for customers), but lack of foresight among the standard-makers could have hobbled the development of cellular data services. Fortunately the U.S. refused to require carriers use GSM, and instead let the market decide. Which it did, with CDMA emerging as the winner. (It's being replaced by LTE, which uses OFDMA - similar concept to CDMA but in the frequency domain instead of the code domain. It just requires more CPU power than CDMA, which wasn't possible on battery-limited mobile devices until recently. 802.11ac also uses OFDMA.)

      For net neutrality though, I don't think this applies. We're not talking about how a service transmits its bits to an ISP. We're talking about what and how much the service transmits to the ISP. As long as the service is not transmitting more than the bandwidth the customer has paid for, there is no justification for throttling it. If the ISP has a problem with too many customers using a lot of bandwidth because of Netflix, that's something they need to take up with their customers, not with Netflix.

      The ISP signed a contract with their customers agreeing to provide x Mbps of bandwidth. If they're unable to provide it at the price point they agreed to, that's between them and the customer. Netflix plays no role in it. In fact if the ISP wants to save on upstream bandwidth by having Netflix content hosted locally, they should have to pay Netflix for this privilege. The fact that the opposite is happening and Netflix is paying the ISPs is entirely an artifact of the monopoly these ISPs were given by their local governments.

    10. Re:Good, I guess by lars_stefan_axelsson · · Score: 2

      So CDMA scales beautifully with number of phones, while GSM does not scale at all. Consequently the CDMA carriers were the first to roll out 2g service. There was no way to fix GSM for data. They had to add on a different standard for data, which most carriers implemented with CDMA or wideband CDMA. That's right, the HSDPA data service on most 3g GSM phones was actually CDMA. That's why you could browse the web and talk on a GSM phone at the same time - it had one TDMA radio for voice, and a second CDMA radio for data. CDMA phones couldn't do that (unless they supported voice over IP) because they only had one CDMA radio for both.

      As someone who developed GPRS for Ericsson back in the day, I don't even know where to start...

      There were a number of different competing standards, in different parts of the world. That CDMA wasn't mandated in the US was not for lack of trying by the US manufacturers.

      And, no, if we're talking about true packet data, i.e. not "phone modems", GSM/GPRS did emphatically not use a dedicated slot per user for data communication. Instead all the available "data" slots (and there can be many) were/are shared dynamically between all the users wanting to receive/transmit using dynamic reservation protocols (depending on, among other things, whether you have data to send/receive). Indeed EDGE is just GSM/GPRS with more data slots available, and with mobiles that can use more slots in sequence.

      All this is moot anyway, as the explosion of demand for mobile IP, necessitated completely new systems anyway. And since they were new, they weren't hampered by what was already there. You say that UMTS is based on CDMA, which is true, but there are also FDMA and TDMA parts, and even versions of the UMTS protocols. So that UMTS is CDMA and that's superior to GSM which is TDMA does not follow.

      I could write a book about the rest, but that'll have to do for now.

      --
      Stefan Axelsson
  2. Well, that does it by NuAngel · · Score: 2

    I'm moving to Europe. The real parts, not the Russian parts.

    1. Re:Well, that does it by johnsie · · Score: 4, Insightful

      The Argentinian economy is still a mess 15 years later. More than half the population there live in extreme poverty. You cannot blame the EU for the Irish and Greeks being irresponsible. That was their fault. They allowed it to happen. The people voted for governments who allowed it to happen. They took all the benefits and didn't pay attention to what was actually happening financially. Things would be alot worse if they, especially Ireland, hadn't received bailout money from EU countries. Greece were a wealthy country maybe a few thousand years ago, but they were pretty poor before this crisis and should never have borrowed such money. Going down the Argentina route wouldn't have helped in any way.

    2. Re:Well, that does it by Sique · · Score: 4, Insightful
      In a free country, everything the government does, can be spelled as "The goverment forbids...", because in a free country, everything is allowed except for the things that are explicitely forbidden.

      Only if it was forbidden before, the government actually can allow something.

      --
      .sig: Sique *sigh*
    3. Re:Well, that does it by Alioth · · Score: 2

      Greece did it to themselves, but the EU in its breathless rush to get the Euro under way also decided to ignore the fact that Greece didn't qualify for the Euro under their own rules and let them in anyway. Greece being allowed into the Euro has caused Greece a lot of pain (and caused the eurozone plenty of problems).

  3. Re:Cynicism by Anonymous Coward · · Score: 3, Insightful

    The mobile provides in much of Europe are in the mid of a race to the bottom for years, whoever raises charges will go bankrupt because everyone will just move to another carrier.

  4. Re:Touristy places will be in for a surprise.. by TBerben · · Score: 5, Interesting

    Tourists either switch off their phones, or put them in flight mode, because of the exorbitant roaming charges they would otherwise make. I doubt they make up a significant portion of the operators' income. Your argument is easily reversed: the operators might experience an increase in revenue, once tourists actually start using their phones abroad.

  5. Re:Touristy places will be in for a surprise.. by Anonymous Coward · · Score: 5, Insightful

    Well, I'll be interested in seeing what coverage tourist hotspots will have in the future.. The incumbent operators will have little or no incetive to build out their network capacity/coverage, since the need to upgrade capacity is mainly driven by tourists. Which they will not make much money off anymore.

    Tell me something, are americans subject to roaming charges when going from California to Nevada ? Or Utah ? Or Arizona ? Or Florida ?
    For the EU it's the same thing. Although we are not a federation, and telco companies still think in terms of nation states, one reason for the being of the EU was a common market. And in a common market you cannot have roaming charges just because you happen to go from France to Italy or Germany for example.

  6. Re:Cynicism by 91degrees · · Score: 5, Insightful

    Option D: Mobile operators don't make significant losses because roaming charges are a pretty small chunk of their income, and it's offset by increased usage by travellers.

  7. Re:Cynicism by TheRaven64 · · Score: 5, Interesting

    My mobile provider (3, in the UK) has started rolling out a thing that lets you use your inclusive minutes and data allowance in other countries without any extra charge (the costs if you go over those limits are pretty dire). It was actually cheaper for me to use data on my mobile when I visit the US than it was for the people I was visiting, on my last trip. I think they've seen the writing on the wall and started making these agreements long before they were needed. They're able to do this and charge 3p/minute for calls, 2p/text and 1p/MB for data (pre-pay - if you get a bundle and buy in bulk then things are cheaper, but the bundles are time limited).

    --
    I am TheRaven on Soylent News
  8. Re:Cynicism by FireFury03 · · Score: 5, Insightful

    Option B : Mobile providers raise the standard charges the exact necessary amount to avoid having losses due to this law.

    Option C : Mobile providers raise the standard charges more than necessary and justify the raise saying ordinary people need to pay for the yuppies who roam Europe in their sports cars while chatting on their phones.

    The rates are largely set by the market - if they could get away with raising their standard rates, don't you think they would have already done so?

    Also, you're ignoring a 4th option: they might actually make more money by having reasonable roaming charges. As an example, on my PAYG contract I pay £0.01/MB while at home, but while on a trip to Canada earlier in the year it would've been £6/MB - *600 times the domestic charge*. The upshot was that I simply turned off 3G on my phone and didn't use it at all - zero profit for the MNO. If the charges had been more reasonable then I probably would've left it turned on and they would've made some money. Same goes for voice calls too. (FWIW, roaming charges within the EU have been regulated for some time and are much much lower anyway)

    This is basically the EU saying "you've shown you can't be trusted to not take the piss, so we're taking our ball and going home".

  9. Re:Touristy places will be in for a surprise.. by FireFury03 · · Score: 4, Insightful

    Would you go to a tourist place where your internet that you intend to use to keep in touch with home sucks? Maybe you will, but how many like you?

    Yes, I would. Because oddly, when I'm on holiday I'm actually more interested in doing holiday type stuff than spending my time using the internet. Its useful *occasionally* (getting weather forecasts, etc.) but it's not a huge loss to not have it. Which is why I turn roaming data off on my phone when I go abroad and just use wifi hotspots in cafes, etc. on the occasions I want to use the internet.

  10. Re:Touristy places will be in for a surprise.. by Zocalo · · Score: 3, Insightful

    That would be excellent if this happened, although unlikely given how much the local population that supports the tourist trade is likely to rely on that same mobile coverage. I go on vacation to *get away* from the daily grind, yet of late it has got to the point that you can't go anywhere without someone yakking on a mobile phone, and I go to some pretty out of the way places to try and make that happen. The absolute last thing you want to hear when you reach Everest Base Camp, slightly out of breath from the lack of oxygen and effort, and are just starting to take in the amazing view is:

    *Latest naff ringtone*
    "Hello...?"
    *pause*
    "Yes, I'm climbing Mount Everest!"

    It kind of ruins the moment, you know?

    --
    UNIX? They're not even circumcised! Savages!
  11. Re:Cynicism by bickerdyke · · Score: 4, Insightful

    Sorry, but that's the internal business of orange or Vodafone.

    There WAS a reason, back when phone companies were indeed seperate companies, so the roaming costs were justified for those additional costs for both inter-company and inter-country accounting and banking.

    But the EU did as much as they could to get rid of those additional costs for international business. A company (in ANY business down to a family plumbing business!) can now serve the whole of europe without worrying about different tax, costumer protection, safety, or pipe-gauge regulations. The even invented a whole new currency for a bunch of countries, just to make business easier.

    At the same time, a wave of mergers hit the cellphone market with a few big players being active in every european country. ALSO to save money and getting rid of that internal accounting.

    If they're still loosing money for "coordinating internal records", it's their own fault and nothing that would justify roaming charges.

    --
    bickerdyke
  12. Re:Cynicism by TheDarkMaster · · Score: 2

    Also, you're ignoring a 4th option: they might actually make more money by having reasonable roaming charges.

    It is a very good option, but she has no place in current sociopathic way of thinking of corporations. Currently they only use the option that brings maximum profit in minimum time, no matter the consequences.

    --
    Religion: The greatest weapon of mass destruction of all time
  13. Re:Cynicism by raju1kabir · · Score: 4, Insightful

    increased usage means more cost for the provider. How does that offset the income loss?

    Let's say the carrier currently charges EUR 1/MB for a service that costs them EUR 0.02/MB to provide, and customers use 1 million megabytes. That's EUR 20,000 in costs and EUR 980,000 in profit.

    Then they are forced to charge their domestic rate of EUR 0.10/MB for roaming data, and customers stop being stingy and use 20 million megabytes. That's EUR 400,000 in costs and EUR 1,600,000 in profit.

    Obviously these numbers are plucked straight from my ass but surely you can see how it's possible. Roaming charges are almost pure profit as it is, and that's only possible because we're a captive market.

    P.S. What is up with Slashdot still not being able to display the Euro symbol (â)? This is 2014, isn't it?

    --
    "Patriotism is your conviction that this country is superior to all other countries because you were born in it." -- GBS
  14. Re:Cynicism by LQ · · Score: 2

    Option C : Mobile providers raise the standard charges more than necessary and justify the raise saying ordinary people need to pay for the yuppies who roam Europe in their sports cars while chatting on their phones

    Or low paid workers going abroad to find work can afford to phone home. Or workers who commute across borders don't have to turn their phones off.

  15. Re:Cynicism by Joce640k · · Score: 2

    Also, you're ignoring a 4th option: they might actually make more money by having reasonable roaming charges.

    This bill is about not having *any* roaming charges. You pay the same abroad as you do at home.

    --
    No sig today...
  16. Where roaming fees come from by Sockatume · · Score: 2

    There's little actual cost involved in facilitating roaming. What happens is that every network charges the others high roaming charges, and nobody has any incentive to be the first one to drop and therefore lose the money.

    --
    No kidding!!! What do you say at this point?
  17. owning a truphone sim by j'vai · · Score: 2

    I wondered how this would affect their rates, then a google search produced -

    http://www.bizjournals.com/triad/prnewswire/press_releases/North_Carolina/2014/04/02/LA96177

    Cool for those that frequent travel over the pond often, but, for the carribeans, south, central americas, no love -

    $1.71per min outgoing calls
    $1.13per min incoming calls
    $0.51per SMS
      $8.57per MB

    If you're one who vacation frequently in these spots, & may have to overcome the language & time barriers upon stepping off the plane, the truphone sim, is good ONLY for a quick fast, until you can land a local prepaid sim, which may take & communicational effort..

    I'm thinking at worst, in place such as St Martin, where the island is divided on ither side with cell provider coverage (I think digicel's trying to change that), the work hunting down & obtaining a prepaid sim when you switch sides from French to Dutch..

    the roaming charges of carriers, are akin to interests charges of financial institutes..

  18. Re:Cynicism by raju1kabir · · Score: 2

    Right, I forgot, markets invariably find optimal price points on their own, and regulation never helps anything. See you in church.

    --
    "Patriotism is your conviction that this country is superior to all other countries because you were born in it." -- GBS
  19. Re:Touristy places will be in for a surprise.. by FireFury03 · · Score: 2

    While I largely agree, Google maps and translate can be pretty useful. And to a lesser degree, posting photos on social networks is nice, if not all that important.

    I've found that preloading your tablet / phone with openstreetmap maps works extremely well - I spent 2 weeks navigating around the Canadian rockies with Osmand running on a tablet and had no problems. Posting photos on social networks can probably wait until you're within range of a wifi hotspot.

  20. Re:Cynicism by rkww · · Score: 3, Interesting

    They never thought of ending roaming charges as a way to _make_ money

    Except for Three UK who have already ended call roaming charges in eleven foreign countries - including the USA.

    And for certain packages they've removed data roaming charges too (subject to limits.)

    Incidentally 97 percent of their network traffic is data.