With all the attention on net neutrality this week, I thought I’d bring your attention to a debate on the-issue-that-won’t-go-away between Tom Hazlett and Tim Wu, which took place earlier this year at Harvard Univerisity. Below is the MP3 audio of the event, but if you want to check it out in living color, [check out the video](http://iep.gmu.edu/event/harvard-law-school-net-neutrality-discussion-thursday-january-13-2011) at the Information Economy Project wabsite.
What I hoped would be a short blog post to accompany the video from Geoff Manne and my appearances this week on PBS’s “Ideas in Action with Jim Glassman” turned out to be a very long article which I’ve published over at Forbes.com.
I apologize to Geoff for taking an innocent comment he made on the broadcast completely out of context, and to everyone else who chooses to read 2,000 words I’ve written in response.
So all I’ll say here is that Geoff Manne and I taped the program in January, as part of the launch of TechFreedom and of “The Next Digital Decade.” Enjoy!
I’ve written posts today for both CNET and Forbes on legislation introduced yesterday by Senators Olympia Snowe and John Kerry that would require the FCC and NTIA to complete inventories of existing spectrum allocations. These inventories were mandated by President Obama last June (after Congress failed to pass legislation), but got lost at the FCC in the net neutrality armageddon.
Everyone believes that without relatively quick action to make more spectrum available, the mobile Internet could seize up. Given the White House’s showcasing of wireless as a leading source of new jobs, investment, and improved living conditions for all Americans, both Congress and President Obama, along with the FCC and just about everyone else, knows this is a crisis that must be avoided.
Indeed, the National Broadband Plan estimates conservatively that mobile users will need 300-500 mhz of new spectrum over the next 5-10 years. Continue reading →
Nate Anderson of Ars Technica has posted an interview with Sen. Al Franken (D-MN) about Defining Internet “Freedom”. Neither Sen. Franken nor Mr. Anderson ever get around to defining that term in their exchange, but the clear implication from the piece is that “freedom” means freedom for the government to plan more and for policymakers to more closely monitor and control the Internet economy. The clearest indication of this comes when Sen. Franken repeats the old saw that net neutrality regulation is “the First Amendment issue of our time.”
As a lover of liberty, I find this corruption of language and continued debasement of the term “freedom” to be extremely troubling. The thinking we see at work here reflects the ongoing effort by many cyber-progressives (or “cyber-collectivists,” as I prefer to call them) to redefine Internet freedom as liberation from the supposed tyranny of the marketplace and the corresponding empowerment of techno-cratic philosopher kings to guide us toward a more enlightened and noble state of affairs. We are asked to ignore our history lessons, which teach us that centralized planning and bureaucracy all too often lead to massively inefficient outcomes, myriad unforeseen unintended consequences, bureaucratic waste, and regulatory capture. Instead, we are asked to believe that high-tech entrepreneurs are the true threat to human progress and liberty. They are cast as nefarious villains and their innovations, we are told, represent threats to our “freedom.” We even hear silly comparisons likening innovators like Apple to something out of George Orwell’s 1984. Continue reading →
Congressman Marsha Blackburn (R-TN) will kick off this event with remarks on the Net Neutrality order before TechFreedom Adjunct Fellow Larry Downes presents his analysis of the FCC’s recent Open Internet Report & Order (which he recently delivered as testimony to the House Judiciary Committee’s Subcommittee on Intellectual Property, Competition & the Internet). A panel of leading experts will offer their reactions.
What:
“Decoding the FCC’s Net Neutrality Order” — A TechFreedom Capitol Hill briefing
Please join us after this event, at 5:30, for a reception just across the street co-sponsored by TechFreedom and the Institute for Policy Innovation in honor of IPI’s Third Annual Communications Summit, which will take place the next day. The reception runs untill 7:30 p.m. in the Capitol Visitor Center, Congressional Meeting Room South 217 (CVC 217).
Following up on my Congressional testimony last week, I’ve written two articles on how the House and Senate are moving forward with plans to undo the FCC’s December 23,2010 “Open Internet” order, aka net neutrality. For my inaugural post for Forbes, I write about the experience of being a witness before the House Judiciary Committee’s Subcommittee on Intellectual Property, Competition and the Internet, and provide some background on how the FCC found itself backed into a corner that led to the unpopular (on both sides) new rules. See “Deep in the Net Neutrality Trenches.”
On CNET this morning, I review in detail the steps taken last week by Congress. These include two hearings, one featuring all five FCC Commissioners. After the hearings, the House approved an amendment to the on-going budget negotiations that would deny the agency any funding to implement or enforce its rules. Later, both the House and Senate issued a Joint Resolution of Disapproval, which, if passed, would nullify the rule-making and deny the FCC future authority to try again. Continue reading →
A new report out this week in State Tax Notes shows the discriminatory way in which Federal, state and local governments treat their citizens who subscribe to wireless services — and according to CTIA that’s about 93% of Americans.
Federal, state and local taxes and fees for wireless services topped an average of 16.3% in 2010. The highest combined rate was 16.85% in 2005. This far surpasses the average retail sales tax rate, which obviously varies by state.
Some blame can rest squarely on the shoulders of state or local officials who have targeted wireless services for a specific tax. The report points out a few examples:
Baltimore: increased its per-line tax from $3.50 per month to $4
Montgomery County, MD: increased its per-line tax from $2 to $3.50 per month
Olympia, WA: imposed a 9 percent telecommunications tax on top of the state-local combined sales tax of 8.5 percent
Chicago: imposed a 7 percent excise tax on wireless services on top of the state’s 7 percent excise tax
Nebraska: imposes a local “utility” tax of up to 6.5 percent in addition to the 6.5 percent combined state-local sales tax
Tucson, AZ: increased its telecommunications license tax from 2 percent to 4 percent Continue reading →
The article, which recaps the five-year network neutrality battle that reached a watershed moment this December when Genachowski all but rammed through the new rules as the rest of D.C. was heading out for the holidays, punctures many of the myths of the network neutrality rationale–including the notion that it is a small site-vs.-large-site issue and that large ISPs were exploiting their bottlenck position.
Suderman succintly shows how Genachowski, following the lead of groups like Free Press, framed what is essentially a geeky tug-of-war about network engineering concepts as wholesale market failure that demanded regulation, with himself as top Intenet cop.
But the net neutrality debate doesn’t really pit the Goliaths against the Davids. It’s a battle between the edge of the Internet and the center, with application and content providers (the edge) fighting for control against infrastructure owners (the center). Large business interests dominate both sides of the debate. Google, for example, has long favored some form of net neutrality, as have Facebook, Amazon, Twitter, and a smattering of other big content providers, who prefer a Web in which the network acts essentially as a “dumb pipe” to carry their content. Mom-and-pop sites aren’t the issue.
Google makes its support sound as simple and earnest as its corporate motto of “don’t be evil.” Much like Genachowski, it defines net neutrality as “the concept that the Internet should remain free and open to all comers.” But the freedom and openness that Google claims to prize bear a distinct resemblance to regulatory protection. An Internet in which ISPs can freely discriminate between services, prioritizing some data in order to offer enhanced services to more customers, is an Internet in which content providers may have to pay more to reach their customers. Under Google and Genachowski’s net neutrality regime, ISPs may own the network, but the FCC will have a say in how those networks are run, with a bias toward restrictions that favor content providers.
Video is now available for all of the excellent programming at this year’s State of The Net 2011 conference. (Programming will also be available over time on C-SPAN’s video library.) The Conference, organized by the Advisory Committee to the Congressional Internet Caucus, featured Members of Congress, leading academics, Administration, agency, and Congressional staff and other provocateurs. Topics this year ranged from social networking, Wikileaks, COICA, copyright, privacy, security, broadband policy and, of course, the end-of-the-year vote by the FCC to approve new rules for network management by broadband providers, aka net neutrality. Continue reading →
In this final post on the FCC’s Dev. 23, 2010 Open Internet Report and Order, I’ll look briefly at the problematic legal foundation on which the FCC has built its new regulations on broadband Internet access. That discussion need only be brief largely because the extended legal analysis has already been admirably detailed by FCC Commissioner Robert McDowell. His dissent (see pages 145-177 of the Report and Order) calmly and systematically dismantles the case made by the majority (See ¶¶ 115-150).
This is no theoretical discussion of statutory interpretation. Even before the rules have been published on the Federal Register, two broadband providers—Verizon and then MetroPCS—have already filed lawsuits in the D.C. Circuit Court of Appeals challenging the FCC’s authority to regulate. (See Jim DeLong’s definitive deciphering of Verizon’s efforts to secure exclusive jurisdiction in the D.C. Circuit) The arguments sketched out in Commissioner McDowell’s dissent are likely to mirror the complainants’ briefs in these and likely other Petitions for Review of the Order.
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