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FTC Cautions Against Net Neutrality LegislationThe Federal Trade Commission issued June 27 a 170-page report titled “Broadband Connectivity Competition Policy,” which largely dismisses the necessity of establishing laws to protect network neutrality—the principle of a nondiscriminatory internet that forbids service providers from charging increased fees for higher tiers of service. Congressional bills that have attempted to contend with the issue include the Communications, Consumer’s Choice, and Broadband Deployment Act (S. 2686), the Internet Freedom and Nondiscrimination Act (H.R. 5417), and the Net Neutrality Act (H.R. 5273). As one of three federal agencies having jurisdiction to address broadband access (along with the Federal Communications Commission and the Department of Justice), the FTC intends its report to be used only as a policy guideline. “This report recommends that policy makers proceed with caution in the evolving, dynamic industry of broadband internet access, which generally is moving toward more—not less—competition,” FTC Chairman Deborah Platt Majoras said in a June 27 press release. “In the absence of significant market failure or demonstrated consumer harm, policy makers should be particularly hesitant to enact new regulation in this area.” Telecom companies, who generally oppose network neutrality legislation, will likely celebrate the FTC’s findings, while neutrality supporters (including the American Library Association) may consider the report a setback. However, the FTC remarked that it will continue to monitor the situation. “As a byproduct of the ongoing debate over network neutrality regulation, the agencies have a heightened awareness of the potential consumer harms from certain conduct by, and business arrangements involving, broadband providers,” the report stated. Posted on June 29, 2007. |
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