THE CABLE PIPELINE

Here are the proposed rules rolled out this past Monday by FCC Chairman, Julius Genachowski in his Brookings Institute speech:

• prevent Internet access providers from discriminating against particular Internet content or applications, while allowing for reasonable network management
• ensure that Internet access providers are transparent about the network management practices they implement
• consumers are entitled to access the lawful Internet content of their choice
• consumers are entitled to run applications and use services of their choice, subject to the needs of law enforcement
• consumers are entitled to connect their choice of legal devices that do not harm the network
• consumers are entitled to competition among network providers, application and service providers, and content providers

It seems that the proposed new rules are taking a distinct party line affiliation with Democrats and Republicans on opposite sides. While this is common practice, it does indicate where interests lay in what will become a heated debate. From a Consumer’s Union/Google/Skype standpoint, the internet should be free and open to all comers with traffic and content flowing seamlessly and freely throughout the web, indicating their vested interests. Democrats have historically favored this type approach in making sure regulations keep the big companies in check.

 On the other hand, ISP providers like Comcast, Time Warner Cable, AT&T and Verizon are skittish about any proposed increase in regulations which might hamper innovation or encompass a regulatory nightmare in managing their services which were built on $billions of private investment.  This is where Republicans are (circling their wagons) to protect the business sector from which they rely on to fund their campaigns. Again, this is nothing new for anyone following the political landscape.

 There are some nuances which need to be considered from the perspective of both the ISP’s and the Wireless Industry which would have to contend with providing unlimited bandwidth to comply with rules requiring unfettered access by to all content. Bandwidths are not unlimited, and here lies a crucial part of the problem. There are peak times when a Wireless Network would have serious issues in accommodating all traffic if the rules, as proposed, were enacted. It just depends on the situation, and whether you are an ISP or a Wireless Carrier; there are limitations to the network.

 The good part to the equation for both consumers and the ISP’s are that comments will be taken by the FCC from all concerned parties who wish to weigh-in on the topic. The Democrats and Republicans, after initial posturing seem to understand that there is a middle-ground where the interests of each party can be addressed. There will be a vote by the FCC on October 22, 2009 to adopt the new rules, and if approved, comments will be taken as part of the rule making process.