Monday, July 03, 2006

HOW THE TELECOMS PLAN TO KILL THE INTERNET

MICHAEL WEISMAN, SEATTLE TIMES - Living in the Silicon Forest, we've come to take certain things for granted. Our tech startups and venture-capital firms have learned to assume that Internet and telecom networks will be a platform for innovation open to anyone who can pay the freight for success. Workers have come to rely on fast and plentiful Internet access open to any type of device or application. Major retailers like Amazon, REI, Powell's Books and PC Connections have come to rely on the Internet as a route into the living rooms of customers all over the world.

Under Stevens' bill, all that will change. The telecoms will be able to split Internet access into premium lanes, segregating access to customers based on the content, origin and purpose of the data or bits. Amazon will have to pay the network operator for access to customers, finally legitimating the dream of telecom executives to tax the eyeblinks of every user. Apple will have to pay the networks to allow its customers to download iTunes music and video. If it chooses, the network can simply block iTunes music or Amazon book purchases, redirecting customers to another service the network operator prefers. In fact, there is no guarantee that Internet access, as we know it today, will continue to exist at all.

The thousands of startup visionaries living in the Northwest might want to find their passports, because creating new business models in the U.S. will become much more complicated, and expensive. In the rest of the developed world, it won't be a problem, because every developed country has a strong network-neutrality law in place, extending not just to the Internet, but also to mobile networks, cable TV and television. Stevens' bill puts the U.S. out of step with the rest of world, a world that is fast passing us in productivity, the knowledge economy and broadband connectivity. . .

The telecom and cable duopoly will find its respective monopolies enshrined in the law, with no obligation to play fairly with new entrants to the market (there can't be any under Stevens' bill), no requirement to carry traffic for "freeloaders" like YouTube, iTunes, Amazon, Real Networks or MSN, and no fear of future entrepreneurs like Jeff Bezos, Sergey Brin or Craig McCaw horning in on the action. . .

Every other major developed country has strong network-neutrality laws in place, far stronger than anything the Congress is considering in any of the many amendments to Stevens' bill.

http://seattletimes.nwsource.com/html/opinion/2003092244_telecom29.html

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