TPMCafe
« The Middle Class Squeeze and Measuring Household Labor | Home | Discuss the Torture Deal »

Ted Stevens Plugs Choice -- But Not for the Internet

user-pic

Senate Commerce Committee Chairman Ted Stevens is still plugging away with his attempt to pass a massive telecommunications bill. You’ve got to admire him for that. He claims to be fairly close to the 60 votes he needs to bring the bill to the Senate floor to debate, and perhaps by speaking out as if the bill really has a chance this session, he is trying to keep some senators from drifting away while recruiting new legislators to the cause.

At the same time, however, a new poll paid for by Verizon is serving to undermine his cause because it shows what the public really wants in a telecom policy. Here’s a hint: Having the telephone and cable companies control the Internet isn’t in the lineup. Unfortunately, that’s what would happen if Stevens’ bill gets passed, because there are no guarantees that the companies controlling the telecom networks won’t start levying new fees and playing favorites. It’s that drive to keep the principle of non-discrimination alive that’s embodied in the poorly named issue Net Neutrality.

The poll was released in the Senate Commerce Committee hearing room, under an official Senate Commerce Committee press release that the Bell companies and their friends were able to make public their poll showing how “the majority of Americans favor video choice over onerous net neutrality regulations.”

The money question in the poll that has garnered so much attention was this one:

“Which of the following two items do you think is the most important to you:

Delivering the benefits of new TV and video choice so consumers will see increased competition and lower prices for cable TV

OR

Enhancing Internet neutrality by barring high speed internet providers from offering specialized services like faster speed and increased security for a fee”

Even for a stacked poll like this one the question is just silly. Of course, everyone wants the benefits of new TV and video. The only problem is that neither version of the telecom bill will, with any certainty, bring said benefits. There’s no build-out requirement. So some areas might get competition and some won’t. There’s not even a guarantee of lower prices. There might be now in those few areas in which Verizon has started competing, but over time? It’s more likely that the dust will settle into a nice pattern of mutually assured profitability.

The second part of the question is equally problematic. No one is barring high-speed Internet providers from offering specialized services. The whole point of Net Neutrality is to make sure that those who operate the networks don’t pick who gets to operate which service, to the detriment of others.

What’s truly ironic about this poll, however, is that it really contains the perfect argument for Net Neutrality, because it shows fairly convincingly that what consumers want is freedom to choose for themselves, and not have the telephone and cable companies rig the game.

This is the real first poll question -- “How important is it to you that (Insert State) residents have a choice of service providers when it comes to cable TV – in other words, that there is more than one company to choose from?” In the overall survey of 800 voters, 73 percent said the choice was “very important. Separate surveys from 400 voters in Pennsylvania, Ohio and Missouri had similar results.

Supposed we rephrased it just a little, to read: “How important is it to you that (Insert State) residents have a choice of service providers when it comes to high-speed Internet service – in other words, that there are more than two companies to choose from?”

This is the real second question -- “How interested would you be in having more companies to choose from for your cable TV service?” The response was that 50 percent were “very interested” and 26 percent were “somewhat interested.” What if the second question read: “How interested would you be in having more companies to choose from for your high-speed Internet service?”

It is deeply ironic, considering 98 percent of consumers get their broadband services from either the telephone company or the cable company that a survey by Net Neutrality opponents would emphasize the type of choices that consumers don’t have. Once upon a time we had a flourishing, competitive Internet industry, with thousands and thousands of Internet Service Providers. Little by little regulatory decisions, made at the behest of those which are left, whittled the once-flourishing industry down to next to nothing. Most of the country has no choice in broadband. Some places don’t have broadband, and won’t for the foreseeable future. Someone is lucky if they have those big two from which to pick.

Instead of trying to jam the Stevens bill through this session of Congress, we should have a broad-based policy discussion of how we can bring real competition to our consumers, as consumers are starting to benefit overseas.

Taken as a whole, what the responses to the Verizon survey shows, and show emphatically, is the need for a broader discussion of our broadband policy that has lowered us to 12th or 16th in the world, or lower, depending on whose statistics you use, for broadband penetration. If we don’t start down a more enlightened path, the next telecom policy debate will happen when we drop out of the top 25.

Then the question Congress will have to answer is what’s more important – giving the telephone and cable companies the control they want, or giving the Internet users and service providers the freedom to develop and flourish by following other policy paths.

Having the telephone and cable companies’ controlling the Internet, as they do in the Stevens bill, doesn’t seem to be the way to go.


1 Comment

| Leave a comment

Well this recent study says Users want video downloads on TV - Not the internet...

http://arstechnica.com/news.ars/post/20060920-7785.html

Furthermore - To take one of the most argued examples -

"most Internet Service Providers do not pay for a connection to the Internet that equals the bandwidth they sell to their users in aggregate. In other words, if 1,000 customers each pay for 1.5 Mb/s bandwidth, the ISP isn’t buying 1.5 Gb/s access to the Internet backbone. Rather, the ISP is buying a fraction of that, figuring that nowhere near everyone is going to connect at the same time"...

If the Internet users' download speeds do NOT slow down to a craw, then there is excess bandwidth available by the ISP. The marketplace already prevails in that if people are fairly comfortable with their download speeds - then there is adequate bandwidth available. It is true that there is a formula that the ISP's use - I know I was an Admin for a ISP - but there is a term: over-running your equipment which is where the routers and available bandwidth are exceeded by customer demand - and ISPs constantly monitor this to prevent a consumer mutiny to another provider when Internet access “bottlenecks” with demand out-pacing supply.

Most people I know that use the Internet excessively -have MAXIMUM speed connections already through their ISP to compensate for there above average needs of speed and bandwidth and the multi-tier pricing is already in place. ISPs are out to make money through value added services in the classic pyramid Internet business model.

The current proposal on the table with the Broadband reform bill takes this classic pyramid business model and turns it upside down with the big TELCOs now being the value-added providers and the bandwidth wholesalers - that has the likes of ANTI-TRUST as they have an unusually unfair advantage being the wholesalers of bandwidth. Google is already a value added provider - COMCAST is trying to be one with their already huge customer base, AT&T is also trying to be one offering TV over the Internet. No wonder Google is crazy with the up-ending of the classic business model. Furthermore - users by in large DO NOT WANT TO VIEW TV on their computers - see latest study
http://arstechnica.com/news.ars/post/20060920-7785.html

A refresher on how the total Laissez Faire (deregulation) ,
http://en.wikipedia.org/wiki/Laissez-faire of the cable industry benefited the consumer - http://www.consumersunion.org/telecom/lessondc201.htm

Additionally - most people do not know what Net Neutrality is, as this complex issue has not been
portrayed accurately in the media. The actual S. 2917 Senate Net Neutrality Bill is here -
http://www.govtrack.us/congress/billtext.xpd?bill=s109-2917 , introduced by a Republican Senator.

The net neutrality debate is not really about money - except for possible anti-trust turning the classic Internet model pyramid upside down. Net neutrality is about the TELCOMs that will be in the drivers seat controlling everything on the Internet - wholesale bandwidth - hugh customer base they gained unfairly OVERNIGHT with the broadband reform bill - S. 2686: Communications, Consumer's Choice, and Broadband Deployment Act of 2006 -
http://www.govtrack.us/congress/billtext.xpd?bill=s109-2686 and control over what they will allow the consumer to see through 2 tier pricing which is a smoke screen for their Internet control. If the consumer would take the time to read the two bills and hear the arguments (without emotion), they will embrace Net Neutrality with open arms.

Leave a comment

Advertisement
Please disable your adblocker!
Ads are how we pay the bills!

Subscribe

The Coffee House
TPMCafe's regulars

House Brew
From Your Cafe Editor

Special Guests
Big names and big brains

Special Features
Pressing topics and trends

Table for One
An expert's week-long talk.

All Reader Posts
TPM readers discuss.

Recent Reader Posts

All Reader Posts »



Book Club Calendar


Coming Soon



Nov. 30-Dec. 4



January 12-16



« Book Club ArchiveFull calendar »

Book Club Archive



Masthead

Editor-in-Chief
Josh Marshall

Site Editor
Lila Shapiro

Intern
Kyle Krahel-Frolander



Subscribe to TPMCafe's feed.
Subscribe to TPMCafe's reader blog feed.

Advertise Liberally
Share
Close Social Web Email

"To" Email Address

Your Name

Your Email Address