Net neutrality is the principle that says all information flowing across the Internet should be treated equally. But with more people streaming data-rich video and playing online games, the Internet faces congestion concerns. Should carriers be able to sell multi-tiered access to heavy users? Should sites that generate massive traffic -- like Google and Yahoo! -- pay extra fees? The U.S. Government is examining Net Neutrality and its financial, legal and social implications. Do we need federal intervention to ensure fairness, or is this an issue for the market to work out?
Internet policy is on the precipice. If we fail to take modest, light-touch steps to protect the ‘Net and guarantee openness, we are going to kill the geese that have laid the golden eggs. This will not only hurt the dot.com billionaires. It will threaten jobs for the programmers and other businesses that have become part of this growing industry.
It’s always preferable for the private sector to work out these issues without the involvement of the government, but sometimes, that’s impossible. It’s important that clear and limited policy is set now, setting out a process for resolving these kinds of issues so that network operators and application developers alike have more certainty about their businesses.
The FCC has taken an important step in defining the rules of the road. But more remains to be done. Congress must provide clarity about the extent of the FCC’s authority to protect freedom on the ‘Net and ensure that innovators have the kind of visibility they need to continue their work.
When the reality of market power threatens core capitalist principles of innovation and investment in new technology, it’s time to act. Limited steps now will give the market the kind of clarity and predictability that will pay dividends over the long term for the Internet economy.
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