backtop


Print 67 comment(s) - last by Reclaimer77.. on Apr 5 at 11:10 AM

The FCC won't allow net neutrality to regulate the way companies like Netflix connect to the Internet

Netflix was hoping for an end to internet tolls by calling to expand the scope of net neutrality, but the Federal Communications Commission (FCC) isn't having any of it. 
 
According to National Journal, the FCC denied Netflix's call to expand net neutrality so that it covered companies and their methods of connecting to the internet. 
 
More specifically, Netflix CEO Reed Hastings wanted the FCC to regulate the way companies like Netflix connect to the internet so that they wouldn't have to pay tolls to other companies (like Comcast, for example) to make sure its video gets to customers quickly and without any issues. 
 
"Peering and interconnection are not under consideration in the Open Internet proceeding, but we are monitoring the issues involved to see if any action is needed in any other context," said an FCC spokesperson.
 
Netflix agreed last month to pay Comcast to ensure that its movies and TV shows stream easily without traffic jams on Comcast's broadband network. While it's not clear how much Netflix is paying Comcast, the new deal will span several years and Comcast said it would connect to Netflix's servers at data centers operated by other companies. 
 
But Netflix wanted this to be a one-time deal until it managed to push laws in place that eliminated these tolls. 


Having to pay Comcast means Netflix could end up having to pay tolls to other providers like Verizon and AT&T -- and there's no way these tolls come cheap. The streaming company already pays high prices for content licensing from content providers, and having this extra fee on the table (and potentially from many big cable companies) would really put a damper on Netflix's cash flow. 

"Some big [Internet service providers] are extracting a toll because they can—they effectively control access to millions of consumers and are willing to sacrifice the interests of their own customers to press Netflix and others to pay," said Hastings. 
 
"If this kind of leverage is effective against Netflix, which is pretty large, imagine the plight of smaller services today and in the future."

Big cable got even bigger this year when Comcast acquired Time Warner Cable (TWC) in February for $45.2 billion USD. Comcast has about 25 percent share of the broadband market while TWC controls around 12 percent. As far as the subscription cable TV market goes, Comcast currently controls roughly 19 percent and TWC controls around 9 percent. Together, the pair would control about a third of the markets (37 percent of broadband; 28 percent of cable TV). 

Source: National Journal





Comments     Threshold


This article is over a month old, voting and posting comments is disabled

RE: ISP
By Cypherdude1 on 4/1/2014 9:32:04 PM , Rating: 3
quote:
The irony is, when the US entered recession, the government instead of spending trillions bailing out failing companies, could have instead built a fiber network instead.
I just don't get it from a foreigners perspective.
As an American, I am disgusted NONE of ANY of the major Wall Street CEO's were prosecuted. IMHO, this is a clear indication of just how IMHO corrupt our Federal Government is. Even Angelo Mozilo worth $600M, CEO of Countrywide Financial and Jon Corzine, who walked away with $300M, CEO of MF Global were not prosecuted. Out of all the Presidents, Obama is easily the biggest disappointment to me.

There are several documentaries you should see:
1. Inside Job , not available via Netflix Streaming, only DVD.
2. We're Not Broke .
3. Gasland I & II.
4. Split Estate .


RE: ISP
By Reclaimer77 on 4/2/2014 7:21:55 AM , Rating: 2
Dude Madoff was sentenced to 150 years in prison!


RE: ISP
By sorry dog on 4/3/2014 11:33:23 PM , Rating: 2
Bernie was not a Wall Street CEO.

We are talking about the large investment and mega consumer banks that had liabilities in trillions with financial derivatives and shady mortgages. We are talking about S&P and Moody's who basically should be insolvent today from lawsuits from shareholders that completely relied on their ratings that turned out to be written on single ply Charmin. The really offensive thing is that not only did these CEO's not go to jail or lose their jobs but some took home record bonuses the year after or even the same year of the meltdown hitting the fan.

God bless America!


RE: ISP
By Reclaimer77 on 4/5/2014 11:10:40 AM , Rating: 2
Those mortgages were legal, and backed by the Government though.

This IS America. We don't just throw people in jail because they did things we don't like.

Now you show me some laws the "Wall Street CEO's" broke, and hey I'm all for it. But the Left seems to think we should just throw people in jail because they have more money or the economy went sour.

In layman's terms; don't hate the player hate the game.


"I want people to see my movies in the best formats possible. For [Paramount] to deny people who have Blu-ray sucks!" -- Movie Director Michael Bay













botimage
Copyright 2015 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki