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Join the Battle for Net Neutrality

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Re: Join the Battle for Net Neutrality

#111

Is anyone actually against net neutrality? I don't think I've ever seen a con argument.

There really isn't a sound argument against net neutrality. Many do argue that the FCC shouldn't have the authority to regulate the internet, and often argue that idea to subtly change the subject. If someone argues to abolish something, they should either argue in favor of a replacement, or argue that that thing should not exist at all. Unfortunately, I haven't heard even a flawed version of either argument. Another…

1. Even if it prevents some of the worst abuses by incumbents, net neutrality regulation isn't going to create more competition.

In fact, if net neutrality regulation creates additional compliance costs it might actually reduce competition by increasing the barriers to entry for new ISPs.

2. I think most people would agree that the Internet should generally remain a level playing field for all businesses.

However, it's not clear that net neutrality regulation is necessary to maintain such a level playing field. It wasn't necessary in the past. Moreover, there is potential for consumer benefit associated with some kinds of content discrimination, which net neutrality regulation might unjustly prohibit.

The reality is that if the US broadband industry was competitive we wouldn't be having this argument. We should fix that first, then see if we still need net neutrality regulation.

Re: Join the Battle for Net Neutrality

#112
post #85

Is anyone actually against net neutrality? I don't think I've ever seen a con argument.

I've posted this comment before in another thread: I oppose net neutrality regulation. In principle, I don't think there's anything wrong with an ISP prioritizing certain kinds of traffic over others, so long as it does not have an anti-competitive effect. For example, I don't see how Netflix paying Comcast to zero-rate Netflix traffic is fundamentally different from Amazon contracting with mail carriers to subsidize…

> In principle, I don't think there's anything wrong with an ISP prioritizing certain kinds of traffic over others, so long as it does not have an anti-competitive effect.

Can't have that if there is no competitive ISP you can change to, if you don't like this NN violating ISP.

> For example, I don't see how Netflix paying Comcast to zero-rate Netflix traffic is fundamentally different from Amazon contracting with mail carriers to subsidize the cost of shipping for Amazon purchases

This analogy breaks down immediately, because Comcast is already getting Netflix traffic for free. There is no toll that needs to be subsidized, no charge that needs to be zero rated. Comcast is just blackmailing Netflix for protection money.

> or even -- to use an example another commenter made -- an appliance manufacturer contracting with electrical utilities to subsidize the cost of electricity used by their appliances.

Another bad analogy. There is no "cost of electricity" equivalent incurred by Comcast. The Netflix bits are free to Comcast.

> So long as Comcast makes its zero-rating program available to all content providers -- including their own -- on reasonable and non-discriminatory terms, I don't think there are any competition issues.

You do realize that this effectively sets up Comcast as the gatekeeper to the Internet? Do you really want Comcast to be able to decide what's on your Interwebz?

That's even before we get into the fact that requiring to contract with Comcast before you can offer any online service is a barrier to entry and a competitive barrier.

The whole idea is absurd. This way lies the Balkanization of the Internet and Internet fiefdoms.

We already tried something similar and it was a shitshow. Remember how insane and difficult it was to offer premium and value add SMS services back in the days, when you had to cut deals with every single cell phone company before you could offer your service?

> I've heard people argue that zero-rating makes it harder for smaller content providers to compete, since they won't have the resources to subsidize their customers' traffic. As I said in another comment, that's just the nature of business. Being big affords you certain advantages, like economies of scale. This makes it easier to compete on price. Smaller companies have to compete in other ways.

So that's your solution? Screw the small guys?

Lets institutionalize a protection racket, so that only big players can offer service because they can afford to grease the right palms.

> In my view, the real problem with the telecom industry in the United States is a lack of competition [0], a problem caused at least in part by municipal [1] and state [2] governments. With more competition, net neutrality would be a non-issue. Consumers would just stop using ISPs that unfairly discriminate between traffic.

Now you are on the right track. However none of this helps with the immediate problems. Most people have a monopoly provider. You can't change providers if there are no options. Even if we start now, there won't be another option for years.

Meanwhile monopoly providers will use their monopoly to extract monopoly rents, both from customers and online services, best they can. We should not give them permission to gouge more by repealing NN.

As to your list of problems, you forgot to add the FCC killing line sharing due to the Brand X case. If we had that, then we could theoretically have had competition even over a monopoly last mile infrastructure.

Re: Join the Battle for Net Neutrality

#113

Is anyone actually against net neutrality? I don't think I've ever seen a con argument.

We have had the internet for a long time without net neutrality why do we all of sudden need it?

During the dial up days, the last mile connection (the phone company) was under heavy Title II regulation.

Re: Join the Battle for Net Neutrality

#114

Earlier quoted context omitted.

Your arguments don't make much sense. Network neutrality is not Ma Bell style regulation. NN will not freeze things. Don't know which oligarchs you are referring to, but any NN laws are unlikely to stop them 'garching. Killing NN is unlikely to kill all the small players. In fact they might rather thrive by using NN as a competitive tool.

The "NN regulations" that the FCC adopted specifically classified Internet services as Title II "telecommunication services", subject to 1930s-style telecom regulations. Yes, these are "Ma Bell" style regulations. I presume you don't believe in the existence of selective enforcement in industries where the government holds massive regulatory power? Why does it seem somehow that the most powerful incumbents are never…

> Pai merely proposes ... This is met with furious uproar

His proposal would enable ISPs to make access to some content slower, or more expensive, than others.

His proposal does nothing to resolve existing broadband monopolies.

Many people like the way the internet works today and do not want Pai's policies to pass. We don't want more silos or limited access to content. People are making their voices heard because they feel strongly about this issue.

Re: Join the Battle for Net Neutrality

#115
Pai's proposal will only restore freedom for corporations to charge more for content. There's no restoration of freedom to people.

When we give up our rights to corporations and captured agencies, we lose the individual freedoms that agencies like the FCC were founded to protect.

I think that, even if the FCC passes this proposal, we'll have been on record being massively against it. That will cost any representatives, republican or democrat, who support the current FCC.

America isn't about to forget the sub-par quality of its internet services, and this proposal isn't going to fix that.

Re: Join the Battle for Net Neutrality

#116

Earlier quoted context omitted.

This is horrible argument. We had cars before seat belt laws why do we all of sudden need it? We had cars before airbags why do we all of sudden need it? We've has guns before gun control so why do we all of sudden need it? Edit: People have been giving birth for a long time without doctors so why do we all of sudden need it?

These are horrible counter arguments. The only two that even remotely relevant are seatbelt laws and gun laws, the other two are not even laws. For seat belt laws, there was evidence that such laws increased pedestrian injury rates and severity. Whos to say that outweighs the benefits of forcing a few people to wear seat belts that are already in their cars? For gun control, to say this in american context is weird.…

I assume the gun control law comment was a facetious point since America does not have it in any meaningful way and the US ranks consistently in the top for gun deaths.

Re: Join the Battle for Net Neutrality

#117
post #85

Earlier quoted context omitted.

I've posted this comment before in another thread: I oppose net neutrality regulation. In principle, I don't think there's anything wrong with an ISP prioritizing certain kinds of traffic over others, so long as it does not have an anti-competitive effect. For example, I don't see how Netflix paying Comcast to zero-rate Netflix traffic is fundamentally different from Amazon contracting with mail carriers to subsidize…

> In principle, I don't think there's anything wrong with an ISP prioritizing certain kinds of traffic over others, so long as it does not have an anti-competitive effect. Can't have that if there is no competitive ISP you can change to, if you don't like this NN violating ISP. > For example, I don't see how Netflix paying Comcast to zero-rate Netflix traffic is fundamentally different from Amazon contracting with ma…

> Can't have that if there is no competitive ISP you can change to, if you don't like this NN violating ISP.

Sure, but that indicates a need for competition, not net neutrality. As I said in another comment, even if it prevents some of the worst abuses by incumbents, net neutrality regulation isn't going to create more competition.

> This analogy breaks down immediately, because Comcast is already getting Netflix traffic for free. There is no toll that needs to be subsidized, no charge that needs to be zero rated. Comcast is just blackmailing Netflix for protection money.

I don't think you understand the example. Mail carriers also get packages from Amazon for "free" in that sense. They don't pay Amazon for the right to deliver Amazon's mail.

It occurs to me that there is a difference in that the recipients of packages do not need to pay to receive them, whereas Internet users pay for access. There's no reason why mail services couldn't work that way in theory, though.

> You do realize that this effectively sets up Comcast as the gatekeeper to the Internet? Do you really want Comcast to be able to decide what's on your Interwebz?

If the market was sufficiently competitive, then Comcast wouldn't be the gatekeeper. If Comcast behaved badly, people would switch to a different provider.

Not every instance of possible bad behaviour needs to be regulated.

> That's even before we get into the fact that requiring to contract with Comcast before you can offer any online service is a barrier to entry and a competitive barrier.

We're talking about zero-rating, not "requiring to contract with Comcast before you can offer any online service". Those are completely different things.

> So that's your solution? Screw the small guys?

My solution is to increase competition, actually. My point is that we don't penalize big companies for being successful by taking away the benefits of being big, such as economies of scale. The "small guys" have to compete as well and shouldn't rely on the state to reduce consumer benefit in order to make it easier for them to increase their market share.

> Even if we start now, there won't be another option for years.

That's not necessarily true. For example, the FCC could do what Canada does and require ISPs to sell Internet access at fixed wholesale rates to resellers. Competition will spring up overnight.

There are many other approaches as well, such as blocking municipalities from entering into monopoly franchise agreements with ISPs, ensuring equal access to rights of way, and supporting municipal broadband.

Re: Join the Battle for Net Neutrality

#118
post #108

Earlier quoted context omitted.

The reason why I and some other HN commenters (and L3 Communications) find this argument bizarre is because of the concept of transit traffic charges being applied to the last mile, which previously was not an industry practice. Comcast's customers are requesting the data; if Comcast were a second tier backbone, or an AS between two others, then it would make sense to charge for traffic, as it doesn't benefit. But th…

I think it makes sense because retail ISPs operate in a two-sided market. Comcast provides access to Internet services, which customers want and are willing to pay for. Similarly, Comcast provides access to customers, which the Internet companies who provide those services (and associated CDNs and transit providers) want and are willing to pay for. I don't think there's anything especially wrong with this business mo…

> I think it makes sense because retail ISPs operate in a two-sided market. Comcast provides access to Internet services, which customers want and are willing to pay for.

Yes, but this is where your analysis breaks down: it's not a free market. The customers are a captive market.

> Similarly, Comcast provides access to customers, which the Internet companies who provide those services (and associated CDNs and transit providers) want and are willing to pay for.

The Internet companies are only willing to pay because they have no other alternatives. They only pay because Comcast has a monopoly and thus acts as a gatekeeper, and then only because Comcast has such a large market share that refusing Comcast would deprive them of a significant part of the market. Calling this "voluntary" participation in a two sided market is absurd. Blackmail is what it is.

When anybody else than Comcast tries this, they are laughed at and told to piss off.

> I don't think there's anything especially wrong with this business model.

There's plenty wrong. The subscribers have already paid full price and now Comcast wants more, this time from the Internet companies, without which Comcast would have nothing to sell.

> It's similar to how a newspaper charges both readers and advertisers for access.

This is just a bad analogy, again. Newspaper readers aren't paying full price for the newspaper, and they are not paying for getting access to the adverts.

> Incidentally, if customers uploaded the same amount of data as the Internet services, Comcast wouldn't get transit fees but it would get additional revenue from the customers, so I think things would balance out.

This just plain incorrect. Comcast wouldn't get a penny more from it's subscribers. Internet access is inherently asymmetrical. Were subscribers to use their upstream more, it would not result in any more revenues.

Re: Join the Battle for Net Neutrality

#119
post #111

Earlier quoted context omitted.

There really isn't a sound argument against net neutrality. Many do argue that the FCC shouldn't have the authority to regulate the internet, and often argue that idea to subtly change the subject. If someone argues to abolish something, they should either argue in favor of a replacement, or argue that that thing should not exist at all. Unfortunately, I haven't heard even a flawed version of either argument. Another…

1. Even if it prevents some of the worst abuses by incumbents, net neutrality regulation isn't going to create more competition. In fact, if net neutrality regulation creates additional compliance costs it might actually reduce competition by increasing the barriers to entry for new ISPs. 2. I think most people would agree that the Internet should generally remain a level playing field for all businesses. However, it…

Except in this case the regulation is saying that the ISP must just carry bits. It's not forcing the ISP to do something to be compliant, it's forcing the ISP to not do something. So the costs of compliance are low, if not zero.

There are short-term consumer benefits, in my country we have zero-rated services, where browsing certain sites costs no data. However this completely undermines the concept of the free market. Any competitor to the zero-rated service has a massive hurdle to overcome, either competing with free, or paying the ISP to have the same deal applied to their service.

And there are also cases of abuse. Mobile operators began charging roughly $2 per MB of data for any VOIP traffic, forcing consumers to use standard calls.

By refusing to subject ISPs to regulations, we subject the Internet to the whims of the ISPs.

Re: Join the Battle for Net Neutrality

#120

Is anyone actually against net neutrality? I don't think I've ever seen a con argument.

There really isn't a sound argument against net neutrality. Many do argue that the FCC shouldn't have the authority to regulate the internet, and often argue that idea to subtly change the subject. If someone argues to abolish something, they should either argue in favor of a replacement, or argue that that thing should not exist at all. Unfortunately, I haven't heard even a flawed version of either argument. Another…

Something I never see considered is that markets exist in a context. It's perfectly reasonable to believe that as a rule of thumb regulation should be eliminated and that competition is good. Both towards improving consumers lives. But it isn't reasonable to assume these two tenets are always aligned or to take them as ends unto themselves.
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