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Net Neutrality Bill Introduced in Congress – Message to ISPs: Upgrade Yes, Scheme & Discriminate No

Phillip Dampier August 4, 2009 Net Neutrality, Public Policy & Gov't, Video 3 Comments

Rep. Ed Markey

Rep. Ed Markey

Reps. Ed Markey (D-Massachusetts) and Anna G. Eshoo (D-California), both members of the powerful House Energy & Commerce Committee, introduced legislation Saturday to enact Net Neutrality concepts into federal law.

H.R. 3458, the Internet Freedom Preservation Act, is designed to assess and promote Internet freedom for consumers and content providers. The bill states that it is the policy of the United States to protect the right of consumers to access lawful content, run lawful applications, and use lawful services of their choice on the Internet while preserving and promoting the open and interconnected nature of broadband networks, enabling consumers to connect to such networks their choice of lawful devices, as long as such devices do not harm the network.

Both Markey and Eshoo are not new to the Net Neutrality fight, having introduced similar legislation in the past two sessions of Congress, but failing to generate enough support to overcome powerful telecommunications lobbyists pushing for its defeat.

Both believe the Obama Administration’s stated support for Net Neutrality will help the bill overcome similar challenges during the current session.

Rep. Anna Eshoo

Rep. Anna Eshoo

The bill has a clear message for the nation’s Internet Service Providers – upgrade your networks to sustain traffic – don’t discriminate against it.  The legislation’s framing language notes that most Americans face a monopoly or duopoly marketplace – one phone company and one cable company for their broadband needs.  The legislation suggests under such circumstances, providers would be likely to engage in discriminatory behavior against the traffic they do not own, control, or partner with.

“The Internet is a success today because it was open to everyone with an idea,” said Rep. Markey.  “That openness and freedom has been at risk since the Supreme Court decision in Brand X.  This bill will protect consumers and content providers because it will restore the guarantee that one does not have to ask permission to innovate.”

While the bill does not specifically address Internet Overcharging schemes, like usage caps and discriminatory pricing practices, it demands fairness for even the most traffic intense services, and demands “reasonable traffic management” standards. What defines that will be left at the desk of the Federal Communications Commission, which might end up being a wild card. The bill affords no protection for copyright infringement or other illegal/illicit online activities.

Tim Karr at Free Press advocated for the immediate passage of the bill, defining seven reasons why Net Neutrality protection is essential:

1. Economic Recovery and Prosperity

“The Internet has thrived and revolutionized business and the economy precisely because it started as an open technology,” Eshoo said in a statement on Friday. The Internet is so closely tied to U.S. economic recovery that President Obama and Congress earmarked more than $7 billion to help build out more high-speed connections at a time when our economy needs it most.

Obama and Congress also recognized that the economy cannot benefit by building a closed Internet. The American Reinvestment and Recovery Act requires that all federally funded networks be services that meet “nondiscrimination and network interconnection obligations” — that abide by Net Neutrality.

2. Free Speech

Freedom of the press extends only to those who own one — or so the saying goes. It once rang true in a world ruled by newspaper chains, radio and television broadcasters, and cable networks. But the Internet has changed all that, delivering the press — and in theory its freedoms — to any person with a good idea and a connection to the Web.

This extraordinary twist to “mass media” has catapulted many an everyday YouTube auteur to celebrity-status, while turning ideas born in a garage or dorm room into Fortune 500 companies. It is the reason so many Americans are now passionate about protecting their free speech rights on the Internet.

The Internet Freedom Preservation Act would stop would-be gatekeepers from re-routing the free-flowing Web. “To meet other national priorities, and to our right to free speech under the First Amendment of the Constitution of the United States,” the bill says, “the United States should adopt a clear policy preserving the open nature of Internet communications.”

3. Civic Participation

New media are more participatory and personal than ever before and have opened up new avenues for people to become involved with local, state and national politics. We saw it during the 2008 presidential election when tens of millions expressed their support for Obama and McCain via interactive Facebook, Twitter and e-mail forums. We are seeing it in 2009 from the streets of Tehran to the work of organizations like the Sunlight Foundation and the Center for Responsive Politics, which use the Internet as the means to open governments to public scrutiny and accountability.

This wave of digital empowerment is the gathering force for a healthier democracy, and it all depends upon a more open, affordable and accessible Internet for everyone. Expanding Internet access alone doesn’t erase concerns over what kind of information people will find when they get online. Net Neutrality guarantees that we all have an equal opportunity to play a part.

4. The Marketplace of Ideas

The Internet was the great surprise of the 20th century. Sir Tim Berners-Lee created the standard that opened the World Wide Web to everyone with an idea and a connection. At that time, few could imagine that this open architecture would fuel such a powerful eruption of economic, social and political creativity.

The Internet Freedom Preservation Act “will protect consumers and content providers because it will restore the guarantee that one does not have to ask permission to innovate,” Rep. Markey said when he introduced the bill.

This is true regardless of your age, social status or location. Net Neutrality safeguards everyone’s fundamental right to an open Internet, making it possible for one person’s good idea to blossom into the next big business or, even, a movement of millions.

5. Social Justice

Broadband in America today is not equally accessible: Users are predominantly middle- or upper-class and live in urban or suburban areas. Poorer communities and communities of color, as well as communities in rural areas, have been largely left off the grid.

Imagine what it would mean, then, to provide a connection to disadvantaged areas without also extending to them Net Neutrality’s guarantee of openness. Dominant ISPs have argued for this exception, saying Net Neutrality prevents them from connecting more people. But it’s a false choice and far too high a cost to give network owners the power to shunt ideas percolating up from these communities to a digital backwater.

The Internet Freedom Preservation Act guarantees equal and unbridled access to the Internet’s engine of opportunity, leveling the playing field so that we all have a chance to be heard.

6. The Rise of the Gatekeepers

A high-speed connection is useful only if you can connect to everyone else online. Net Neutrality leaves control over your Internet experience with you, the user. Yet network operators are considering charging extra money depending on where you want to go and what you want to do online. Some are deploying technology that would sift through and filter the content that you share with others online. Such discrimination endangers the open and level playing field that has made the Internet so democratic.

As more of us rely upon a high-speed connection to do all things media — watch and make video, follow the news, listen to music, Tweet, email and call our friends — legacy media are too tempted to get in our way, steering us back via old channels where they make all decisions for us. But there’s no going back to the analog oligarchy. The Internet Freedom Preservation Act keeps the gatekeepers at bay.

7. The Obama Opportunity

Forces are coming into alignment for Net Neutrality. We have a president who is an outspoken supporter, congressional leadership willing to fight for an open Internet, and a pro-Neutrality chairman newly ensconced at the Federal Communications Commission.

Since the fight for Net Neutrality began more than three years ago, 1.6 million Americans have picked up the phone, signed petitions, spoken out publicly and written letters to urge their members of Congress to get behind Net Neutrality.

The tides have shifted. Still, giant phone and cable companies aren’t going away. They think they can squash our movement — and over the past six months alone, they have hired 500 lobbyists in Washington to try to stop this bill.

This is our best chance to beat them back once and for all.

Shaw Cable Launches Price War in Vancouver – $9.95/Month Sparks Complaint from Competitor Novus

Paul-Andre Dechêne July 28, 2009 Canada, Competition, Novus, Shaw, Video 71 Comments

Shaw's flyer distributed to Novus customers (click to enlarge)

Shaw's flyer distributed to Novus customers (click to enlarge)

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Letting Shaw get away with this will let them buy up competitors like Novus for a pocket full of Toonies.

[Update 10:16am EDT 7/29] — Brion, one of our loyal readers, had a chance to visit Novus’ website and discovered that Novus has usage allowances on its own broadband service.  That’s naughty.  They are far more generous than Shaw’s, which start at 10GB and are more commonly in the 60GB range for average customers, but that’s besides the point.  The Comments section is where the discussion about the usage allowances are taking place.  We call on Novus to explain their limit policy, and more importantly, consider dropping it altogether and using that as a competitive tool against Shaw, which has far lower limits.  If the vast majority of customers are unlikely to hit them, why have them at all?  Write an Acceptable Use Policy that allows for informal communication with the extreme users consuming terabytes of bandwidth a month and offers them a commercial plan for them to consider.  Don’t be a part of the Internet Overcharging crowd.  We celebrate the kind of competition Novus can provide residents of Vancouver and Burnaby, but we’d like to make sure the competition is worth fighting for.

[Update 6:12pm EDT] — Welcome to Novus customers who discovered this site through Novus’ campaign website. Stop the Cap! is an all-consumer website designed to promote and defend the competitive broadband marketplace in both the United States and Canada.  Paul-Andre Dechêne is our Canadian editor. We are unalterably opposed to Internet Overcharging schemes, which include bit/usage caps, consumption-based pricing, and fees or penalties imposed by providers for exceeding them.  We are pro-competition, pro-Net Neutrality, and opposed to throttles.  Companies like Novus which provide needed competition in the cable television, telephone, and broadband marketplace are essential for a healthy marketplace with rational pricing.  Shaw’s obvious predatory pricing tactics are designed to drive away Novus’ customers, making the company ripe for takeover, by Shaw of course, for a pocketful of Toonies.  While those Shaw prices sound good today, driving away competition guarantees much, much higher pricing tomorrow in a monopoly environment.  Novus is installing fiber optic-based service, which means they are already kilometers ahead of Bell and the usual assortment of the Shaw/Rogers/Vidéotron old school cable companies.

We welcome your views.  Just leave your public comments in the editor box at the bottom of the page (or click the comments link just below the headline).  You can explore more than 400 articles on our issues from the menu bar at the top.  Drop down menus will let you read about the issues that are most relevant to you.  Thanks for joining us.  The fight for affordable broadband continues across Canada, and we welcome your participation.  Bookmark us and drop by regularly. — Phillip M. Dampier, Editor]

Imagine paying $9.95 a month for a digital cable package with two free high-definition set-top boxes with personal video recorders, more than 200 digital channels, more than 25 high-definition channels, and a movie channel package.  Not convinced?  How about also getting two free months thrown in.

Need telephone service?  How about free nationwide/U.S. calling, free installation, and a whole mess of phone features for $9.95 a month?  Don’t forget broadband.  That’s just $9.95 a month as well for 15Mbps service with free Powerboost.  To sweeten the deal to diabetic coma proportions, Shaw will throw in two free months of service for each of those packages, too.

What’s the catch?  You have to live in an area currently served by Novus Entertainment, Inc., an upstart independent fiber-based competitor wiring metro Vancouver, British Columbia.  Novus has aggressively wired high rise condominiums and other densely populated neighborhoods and buildings in Vancouver.  Novus is a tiny company compared to Canada’s national cable companies.  Shaw provides cable television service to 2.1 million customers in several Canadian provinces.  Novus has 9,000 subscribers in 220 buildings in Downtown Vancouver and Burnaby and is planning an expansion into Richmond. Those buildings are being peppered with marketing from Shaw, including this special pricing offer.

Existing Shaw customers, and those who live outside of Novus’ service area, cannot obtain the special pricing.  That is the heart of a complaint lodged by Novus against Shaw at the Competition Bureau of Canada and in the British Columbia Supreme Court, charging Shaw is engaged in predatory pricing designed to put Novus out of business.

“Shaw is abusing its dominant position in the market by offering services – which it normally makes nearly 50 per cent margins on – at a sizeable loss as a means to destroy a local competitor,” said Donna Robertson, Co-President and Chief Legal Officer of Novus Entertainment Inc. “The millions of existing Shaw customers paying full price should be outraged because they’re unwittingly subsidizing the costs that customers with a competitive alternate pay, which is unethical and unfair. If they don’t make the offer available to everyone, current customers should call Shaw and demand the same deal.”

Novus points out Shaw has been “on a buying spree” picking up smaller cable operators and independent providers, but has “been unsuccessful in getting traction with Novus,” company officials suggest.

Stop the Cap! has discovered Shaw’s discount offer is a remarkable one, compared with the regular pricing Shaw customers pay elsewhere:

Shaw Deal for Novus Cable TV Customers

$9.95 digital cable with two personal video recorders, movie channel package, digital channel package
Two free months service

Shaw Deal for Other Canadians

$67.85 HD package
$16.00 Movie Central/HBO or Super Channel premium movie network
$26.95 digital cable “specialty channel” package
$ 3.95 time shifting option
$30.00 Shaw HD personal video recorder set-top box

The grand total: $144.75 per month, with no free months.

“Shaw enjoys increasing cable margins of nearly 50 per cent, which it boasts to investors is ‘best-in-class’ compared to other North American cable companies,” said Robertson. “We believe that Shaw’s targeted campaign is an attempt to eliminate Novus from the competition, which would allow Shaw to maintain its near monopoly status and raise prices for all customers whenever it sees fit”

“Based on Shaw’s actions, we can only assume that they are trying to buy our customers by gouging their own prices,” said Robertson. “They’re offering these services at an enormous loss, while forcing the rest of their customers to make up the difference. We aren’t big enough to compete with Shaw’s predatory pricing, but we are faster and more reliable, and our service is actually less expensive over the long term.”

Novus has launched a website and is busy on Twitter asking Shaw customers across Canada to demand the same special offer they are making available in Novus’ service area.

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Do you want the 10 Bucks Offer too? Sign our Petition and call Shaw to request this special rate.

Greater Vancouver – 604-629-8888
Kelowna – 250-762-4433
Prince George – 250-562-1345
Fort St John – 250-785-3039
Victoria – 250-475-5655
Edmonton – 780-490-3555
Calgary – 403-716-6000

Binghamton To Expand Free Wi-Fi in Downtown Region – Encourages Residents To Share Their Connection

Phillip Dampier July 22, 2009 Community Networks, Public Policy & Gov't, Video 14 Comments
The city of Binghamton, NY offers free Wi-Fi service to its residents

The city of Binghamton, NY offers free Wi-Fi service to its residents

The city of Binghamton, in southern New York, had an innovative idea in 2008 — to offer citizens free wireless access to the Internet across the entire downtown region, with the help of a private-public partnership.  More than 20 “access points” were installed by the city and Plexicomm, LLC, a private partner in the venture.  The Binghamton WiFi service launched last summer and has caught on like wildfire.

Binghamton WiFi Repeater helps extend the network

Binghamton WiFi Repeater helps extend the network

In addition to its popularity, which has tripled since 2008 with more than 82,000 logins, it’s also affordable.  The city of Binghamton pays just $3,650 a month on a two year contract, with some of that cost recouped with advertising that users see when first logging into the service.  The state also covered 50% of the cost for the first year.  It’s also unique, because the city encourages area businesses and residents to consider helping spread the reach of the network with the purchase and installation of their own wireless repeater, priced at $199.  Wi-Fi signals are generally better outside than indoors, but businesses can add the wireless repeater, placing it near a window or door, and make that signal available to customers located well within the building.

Apartment owners and even charitable consumers who believe in sharing the good fortune of free Internet are purchasing and installing repeaters to improve reception for their tenants or neighbors.  In addition to the “viral network” of Internet enthusiasts sharing and expanding the network independently, the city has also been able to afford officially extending the network with additional rooftop wireless “access points.”

The project has enthusiastic support from city officials, who continue to dedicate resources to it even while other city services come under review for budget cuts.

It also allows the city to get important civic and public information out to city residents who use the service.

Binghamton’s Wi-Fi business model is based on the premise that the most successful Wi-Fi public-private partnerships are free and open to the public, sustained with “captive advertising” as customers login to the service.  Customers are forced to view ads for 15-30 seconds while logging in, giving advertisers a better chance of having their messages seen by the online user.

The service is also not designed to directly compete with private providers, which include Time Warner Cable’s Road Runner service and Verizon DSL.  Although the maximum speed of the network is comparable to DSL – up to 3Mbps downstream and 768kbps upstream, Wi-Fi can suffer signal-related slowdowns as well as congestion.  The service is designed for web page browsing and e-mail, and light access of higher bandwidth applications such as online multimedia.

Several videos detailing the ongoing development of Binghamton WiFi can be found below the jump.

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Comcast Sets Pennsylvania Woman’s House on Fire – Verizon ‘Enjoys’ the Irony

Phillip Dampier June 16, 2009 Comcast/Xfinity, Verizon, Video 9 Comments
North Coventry Township Station 64 Fire Engine - Ready to Respond to Comcast Mishaps Anytime

North Coventry Township Station 64 Fire Engine - Ready to Respond to Comcast Mishaps Anytime

“I called Comcast because I wanted the kitchen TV hooked up to cable,” she said, describing how the digital TV converter box hadn’t worked as planned. “They said no problem, we can do it, no extra charge.” Tyson was already a Comcast subscriber before the incident Monday.

“They drilled right into the electrical box,” Tyson said in disbelief, looking over at the side of her home where a long black burn mark extended up to the roof from a burnt electrical box and meter.

Verizon must be enjoying the irony.  Just a few days ago, we shared with you the ad that Comcast was running in Pennsylvania showing reckless Verizon FiOS installers tearing up yards and engaging in what can only be described as ‘dangerous antics’ by the telephone company’s installers.  Verizon wants those ads pulled for being out of bounds.

After The Mercury published an article detailing one 83 year old North Coventry woman’s plight (her house is now uninhabitable), Comcast may have to yank the ad just to save face.

Tyson, who was in her house while the cable man worked outside, said she heard “two loud blasts — ‘Boom, Boom’ — then I came out of the house to see what was going on.”

“It was burning like mad,” she said, when the serviceman ran up to her and asked if she had a fire extinguisher, which lay spent on Tyson’s front lawn as fire crews worked.

Tyson may have been lucky as fire officials found the arcing had sparked a fire in wood behind the electrical box in the basement which spread to the floor joists. But the majority of damage was to the electrical system.

“The house is not liveable until the electric is redone,” Schaeffer said. There also was no water for the home since the well pump won’t work without electricity, according to officials.

Jean Tyson’s home sustained approximately $20,000 in damage.  She, and her dog, are now staying at a neighbor’s home until repairs can be completed.

If North Coventry was wired for Verizon FiOS, they should be swooping in to offer her a free Verizon FiOS account, thus proving yet again that payback is a ….

To punish Comcast for being naughty, we bring you one additional FiOS ad, pointed out by our reader Smith6612, featuring Michael Bay.  It’s definitely worth the entertainment value:

Thanks to Broadband Reports for calling our attention to this story.

Broadband War Zone: Getting Down ‘n Dirty in Philly

Phillip Dampier June 12, 2009 Comcast/Xfinity, Verizon, Video 3 Comments

Comcast apparently doesn’t like Verizon invading its home turf.  The Philadelphia-based cable company and the New York-based telephone company are engaged in an all-out ad war in southeastern Pennsylvania, and Verizon is calling “foul.”

Comcast replies turnabout is fair play, telling the Philadelphia Business Journal:

“Verizon’s been running a negative campaign against Comcast for years and its response to our campaign shows that they can dish it out but they can’t take it. As might be expected, the better the advertising and the more traction that it gains with consumers, the louder the competitor will object,” said Jennifer Khoury, Comcast spokeswoman.

So what ad put Verizon over the edge? Apparently it wasn’t the Verizon sales-stalker who invades people’s cars, front lawns, and demands credit card numbers of women at their doorstep.  No, it was the fact that Comcast depicted a typical Verizon FiOS installation as resembling a chaotic home lawn invasion, complete with heavy ‘yard wrecking’ equipment, life-threatening recklessness, and a monthly bill so prolific in pages, it requires a forklift to deliver.

That did it.

“These ads have people ripping up property, putting lives in danger and suggesting that this is typical of FiOS installations,” Eric Rabe, Verizon’s senior vice president for media relations, said. “That is an outrageous characterization and it has to stop.”

Rabe wasn’t sure if Verizon would sue if Comcast doesn’t knock it off.  The two companies are “having conversations,” according to Rabe.

While they talk, let’s explore the offending ad, plus several others from both sides.  It must be nice to live in a heavily competitive market.  Too many of us do not.  Comcast limits monthly usage to 250GB.  Verizon FiOS has no limit.

[flv width=”640″ height=”360″]http://www.phillipdampier.com/video/Comcast FiOS Bashing Ad 1.flv[/flv]

More video follows below…

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