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First Net Neutrality Lawsuit Will Target Time Warner Cable

An anonymous reader writes: The U.S. government's new net neutrality rules finally took effect last Friday, and a company is already using them to line up a lawsuit against Time Warner Cable. A firm called Commercial Network Services, which runs a bunch of webcams, says TWC is charging them unreasonable rates to stream video to their customers. "The [FCC's] regulations establish hard and fast rules against slowing or blocking Web traffic, as well as a ban on content companies paying for speedier service once their traffic enters a provider's network. But by design, they don't say nearly as much about how companies should negotiate the private agreements that ensure Web traffic flows smoothly into an Internet provider's network — and to your home." TWC has been arranging "settlement-free peering" with various companies, but refused such a deal with CNS. The complaint will ask the FCC to rule that ISPs must strike free peering deals with website operators.

19 of 88 comments (clear)

  1. Frivolous by bhcompy · · Score: 4, Insightful

    This is a frivolous suit. The net neutrality rules have nothing to do with peering, they have everything to do with throttling. There is no throttling here, only a service provider that is hosted in low grade facilities with low grade connections because they won't pay to be on major network

    1. Re:Frivolous by Kjella · · Score: 5, Interesting

      Why can't peering be their way to implement throttling? Here's the good, bad and ugly peering point with high, medium and low prices respectively. Sure, we don't throttle the ugly hub but it's connected to the rest of our network by a dial-up via Uzbekistan, while the good hub got a 100Gbit fiber directly to our core network. If you don't have equal access to the network, you don't get equal access for the traffic. You just move the traffic discrimination to another tier.

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    2. Re:Frivolous by Spazmania · · Score: 2, Insightful

      Peering IS an Internet "fast lane," at least in a coarse sense. Your paying customers have the most favorable data rates in to and out of your network. Next come your reciprocal peers. Finally, you keep the connections you have to pay for at the highest congestion levels in order to minimize your cost.

      By refusing peering to a third party, you force them to either pay you or suffer degraded data rates through your paid channel. This is throttling.

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    3. Re:Frivolous by sabri · · Score: 3, Informative

      Peering IS an Internet "fast lane," at least in a coarse sense. Your paying customers have the most favorable data rates in to and out of your network. Next come your reciprocal peers. Finally, you keep the connections you have to pay for at the highest congestion levels in order to minimize your cost.

      You clearly don't understand the internet.

      Peering (as opposed to transit) is two private networks deciding that they exchange enough traffic that it justifies the capex and opex of a dedicated network port or dedicated peering session between the two networks.

      If large network A already sees small network B through peering with large network C (in which case usually B is a customer of C), there is little reason for A to peer with B unless bi-directional traffic reaches certain levels. Those levels are part of network A's peering policy.

      This has nothing to do with net neutrality.

      By refusing peering to a third party, you force them to either pay you or suffer degraded data rates through your paid channel. This is throttling.

      Total and utter bullshit, and FUD originating from Netflix etc in their "peering dispute" with Comcast. Network B can purchase enough bandwidth from network C. If there is an issue with bandwidth between network B and network A, they will figure it out and add additional ports.

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    4. Re:Frivolous by Spazmania · · Score: 3, Interesting

      Well, that's the big ISP's big lie anyway. In reality "traffic ratios" are an excuse for the "eyeball" networks (those serving consumers) to peer with each other while somehow justifying a refusal to peer with the "content" networks (those providing the movies, web pages and other content consumed).

      Many networks do settlement-free peering with each other without any traffic ratios. Indeed, a shocking number of folks find it convenient to peer with google despite the lopsided ratio.

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    5. Re:Frivolous by Spazmania · · Score: 2

      Verizon doesn't have any paid transit at all. They have only peers and customers. They're one of a handful of "transit-free" backbone networks, sometimes mislabelled as "tier 1."

      Verizon refused to upgrade the network ports with the peer serving Netflix. They let it congest until Netflix's service stopped working (along with everything else via that peer). They then kindly offered to let Netflix pay for a direct connection.

      You don't think that's throttling and paid prioritization?

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    6. Re:Frivolous by Spazmania · · Score: 2

      That's the spin anyway. Ask any network cut out of the peering process (which is most of them) whether not they "accept" the practice.

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    7. Re:Frivolous by bhcompy · · Score: 2

      Netflix first offered to put a CDN within the Verizon network, at Verizon's cost. Saying "Here, take my rackmount server and stick it in your network, but I'm not going to pay you your rate for hosting a data intensive colocated server". Fuck that.

      And, not, technically speaking, that is not throttling and paid prioritization. It may be in spirit, I don't deny that, but it's also something that you can't really police. You can't force companies to upgrade all of their peers to maximum incoming and outgoing bandwidth at their own cost. It's not an industry practice, it's not lawful, it's not reasonable.

  2. Kinda on the fence about this by T.E.D. · · Score: 2

    Technically, this has nothing to do with throttling traffic. Instead it is about TW not going out of their way to help speed up a company's traffic by providing peering.

    I could see the FCC arguing that is covered too, if the ISP is providing it to anybody. I don't think the world would come crashing down if that was the ruling.

    OTOH, this takes extra effort on the ISP's side, and they can't do it with everyone. If everybody is made a peer, then they'd have to put in some extra structure to handle all the peers, and eventually everybody would be right back where they started from. Either way, its certain if I started an online video business tomorrow (TEDTube), I couldn't reasonably demand TW peer me with my $0 to invest in the effort. So I'm not rich enough to demand what CNS is demanding, no matter what.

    So there is going to be a limit somewhere, and it looks like CNS is trying to argue that that Net Neutrality somehow demands that the limit be moved just far enough for them to get in. There's no principle here.

    1. Re:Kinda on the fence about this by Anonymous Coward · · Score: 2, Insightful

      And so it begins. Except a lot of crap like this to happen, and expect your costs to rise in response. Lawsuits are expensive. Being forced to offer agreements to anyone who comes along is expensive. Being unable to throttle traffic, especially abusive traffic, means that either they spend a ton of money to upgrade everything (they won't) or your service will suffer.

      All of you people who thought this was such a great idea, rainbows and unicorns, you just wait.

    2. Re:Kinda on the fence about this by Spazmania · · Score: 2

      Almost none of the public peering points employ multilateral peering agreements (MPLAs). Instead, you sit on the same ethernet switch that they do but must then negotiate a unilateral peering agreement with each network willing to peer.

      A few smaller networks have "open" peering agreements. This means they'll accept an offer to peer with anyone else connected to the switch. Most have closed peering agreements, which means that the peer must meet some arbitrary criteria or they won't talk with you via the peering switch.

      There are a few MPLA peering points out there. For example, DR Fortress in Honolulu has a multilateral peering service where all participants agree to trade Hawaii-local traffic with all other participants.

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  3. WTF? by afidel · · Score: 2

    Individual end users have never received settlement free peering, only major networks. The big guys occasionally kicked L3 and Cogent because they tended to have more providers than consumers on their network since they weren't part of the last mile club, but otherwise things work fairly well. Demanding that every end network be able to perform settlement free peering is insane and will lead to nothing but trouble. The biggest problem is that this kind of thing fuels an appearance that the big telcos were right and that the FCC rules are overbearing, which is unfortunate since they're just trying to rein in the worst excesses and abuses of the companies that hold hostage the future of our information based economy.

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  4. The Real Winners... by rjune · · Score: 4, Informative

    The real winners with "Net Neutrality" is the lawyers. Always the lawyers.

  5. Big pockets? New law? I smell a class action... by xxxJonBoyxxx · · Score: 2

    I can't say that I'd be in favor of net neutrality if I knew it was going to lead to some large, meaningless-except-to-the-lawyers-who-collect-cash class action lawsuits. What I really want is federal, PMITA regulation beating the hell out of telecoms whenever they decide to promote this or that service over another.

  6. Wah! They're charging us for access! by msobkow · · Score: 3, Interesting

    Wah! They're charging us for a commercial uplink!

    We should get it for free! Net neutrality and all that!

    Plus they've got lots of money, so we're suing.

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  7. Re:PEERING is for PEERS by dgatwood · · Score: 2

    CUSTOMERS are not PEERS of their TRANSIT PROVIDER. (To put in English: an end-user is not on the same level as their ISP!)

    While true, that's a bit misleading. A company that buys multiple pipes to multiple ISPs and has the ability to transport data across their own internal links for the benefit of their ISPs can potentially become a peer of their ISPs. The ISP is not legally obligated to grant them that status, however, and at such a point as they do so, that customer ceases to be a customer of the ISP, by definition.

    Of course, a customer is only a candidate for becoming a peer of an ISP if that customer also has connections to other ISPs, and if that customer's ISP does not already have more direct peering arrangements with those other ISPs that fully meet their bandwidth needs.

    And as I've said many times before, what made the Netflix deal problematic was that the ISPs provided competing services that avoided the public Internet, thus giving them an unfair competitive advantage when combined with throttling. It wasn't the throttling, nor the refusal to peer for free with Netflix that caused the problem from a legal perspective, but rather the unfair competition. Unless Commercial Network Services (AFAIK, primarily a colo/hosting provider) is similarly a competitor of TWC in some other space, this strikes me as a frivolous lawsuit that is unlikely to succeed.

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  8. Re:PEERING is for PEERS by Spazmania · · Score: 2

    Close but not quite.

    Internet customer: someone who pays me to connect them to "the Internet"

    Transit provider: Someone I pay to connect me to "the Internet"

    Peer: Any network with whom I agree to trade packets from my own network and my Internet customers, to his network and Internet customers, and vice versa. Put another way: we agree to trade packets only for which our respective customers have paid us to transmit or receive them. Sometimes called "settlement free peering."

    You'll sometimes hear the term "paid peering" but that's actually Transit above that the Internet customer chooses to use a particular way.

    BGP peer: any connection between Internet networks which uses BGP, whether customer, transit or "peer." Not relevant to this discussion, but I call it out to keep the term from creeping in as if it was the same thing as "peering."

    Peering is most definitely a net neutrality issue. When one network refuses to peer with another, they force the other network to either take the long way around (throttling) or to pay for transit service (paid prioritization).

    There's room for nuance here. There's no suggestion that one network must peer in exactly the manner another wants to. Or that one network must pay the direct costs of connecting with another just because the other wants to. But a flat refusal to peer based on some arbitrary and capricious measurement of the other network's nature is most emphatically a net neutrality violation.

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  9. Re:PEERING is for PEERS by petermgreen · · Score: 2

    PEER - two transit providers who connect to each other (they are peers in the industry)

    No,

    PEER - two networks who connect to each other to provide themselves and their customers (if any) with access to each other and each others customers (if any). Those networks may or may not be in the buisness of selling transit on the open market. Google, netflix, the BBC and so-on all have plenty of peers.

    ISPs who are in the buisness of providing high quality service to their customers (as many smaller providers are) and/or who have to buy transit to reach large parts of the internet (again as many smaller providers are) are motivated to peer as widely as reasonablly possible (obviously there has to be some threshold below which the administative cost of setting up the peering aren't worth it). Content providers are also generally motivated to peer as widely as possible.

    On the other hand large monpolistic ISPs see a refusal to peer or deliberately shitty peering as a means to force content providers to become customers.

    Which brings us to the root of the problem, the US has let ISPs get far too large through allowing vertical integration of last mile infrastructure with ISP service and through allowing cable companies in different areas to merge into a handful of monoliths. The FCC is trying to paper over the consequences without solving the real problem.

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  10. Re:PEERING is for PEERS by Spazmania · · Score: 2

    It's always cheaper for the ISP to send and receive a third party's packets via a network that's paying them than via a network which isn't. Indeed, it has a -negative- cost.

    Here's where the line should be drawn: if I'm willing to pay your direct costs for establishing a peering connection to me, that is I bring a line to a location you find convenient, pay reasonable equipment costs and pay for a couple of hours of your engineers' time, and you still say no peering then you've breached network neutrality.

    There's a couple nuances to that which I'm skipping for the sake of clarity, but in large there it is.

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