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The Day Real Internet Freedom Died: Our Forbes Op-Ed on Net Neutrality Regulation

by Adam Thierer on September 22, 2009 · 158 comments

Forbes.com has just published an editorial that Berin Szoka and I penned about yesterday’s net neutrality announcement from the FCC.

The Day Internet Freedom Died

by Adam Thierer & Berin Szoka

There was a time, not so long ago, when the term “Internet Freedom” actually meant what it implied: a cyberspace free from over-zealous legislators and bureaucrats. For a few brief, beautiful moments in the Internet’s history (from the mid-90s to the early 2000s), a majority of Netizens and cyber-policy pundits alike all rallied around the flag of “Hands Off the Net!” From censorship efforts, encryption controls, online taxes, privacy mandates and infrastructure regulations, there was a general consensus as to how much authority government should have over cyber-life and our cyber-liberties. Simply put, there was a “presumption of liberty” in all cyber-matters.

Those days are now gone; the presumption of online liberty is giving way to a presumption of regulation. A massive assault on real Internet freedom has been gathering steam for years and has finally come to a head. Ironically, victory for those who carry the banner of “Internet Freedom” would mean nothing less than the death of that freedom.

We refer to the gradual but certain movement to have the federal government impose “neutrality” regulation for all Internet actors and activities—and in particular, to yesterday’s announcement by Federal Communications Commission (FCC) Chairman Julius Genachowski that new rules will be floated shortly. “But wait,” you say, “You’re mixing things up! All that’s being talked about right now is the application of ‘simple net neutrality,’ regulations for the infrastructure layer of the net.” You might even claim regulations are not really regulation but pro-freedom principles to keep the net “free and open.”

Such thinking is terribly short-sighted. Here is the reality: Because of the steps being taken in Washington right now, real Internet Freedom—for all Internet operators and consumers, and for economic and speech rights alike—is about to start dying a death by a thousand regulatory cuts. Policymakers and activists groups are ramping up the FCC’s regulatory machine for a massive assault on cyber-liberty. This assault rests on the supposed superiority of common carriage regulation and “public interest” mandates over not just free markets and property rights, but over general individual liberties and freedom of speech in particular. Stated differently, cyber-collectivism is back in vogue—and it’s coming very soon to a computer near you! Continue reading →

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Obama Should Just Say No To Newspaper Bailouts

by Adam Thierer on September 21, 2009 · 17 comments

Two great articles today about the dangers of government getting too involved in the newspaper business as the industry experiences serious marketplace difficulties. Slate’s Jack Shafer (“Saving Newspapers From Their Saviors“) and Mark Hopkins of Silicon Angle (“Obama Administration ‘Open’ to State Run Newspapers“) both raise concerns about President Obama’s recent comments hinting that he is open to legislation that might grant struggling news organizations tax breaks if they were to restructure as nonprofit businesses.

In a piece for the City Journal back in March entitled “Socializing Media in Order to Save It,” I discussed the specific proposal in question, Senator Benjamin L. Cardin’s (D-MD) bill, S. 673, the “Newspaper Revitalization Act,” which would allow newspapers to become nonprofit organizations in an effort to help them stay afloat. Importantly, however, the measure would also disallow political endorsements on their editorial pages as part of the deal. In my essay, I pointed out how “If the FCC received grant-making authority to dole out subsidies to media operators… it’s hard to imagine how journalists won’t be expected to surrender something in exchange.” And that something would be their journalistic independence.

Shafer and Hopkins raise similar concerns in their essays. Continue reading →

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The Irony of Mandatory Filtering in China vs. the U.S.

by Adam Thierer on September 15, 2009 · 11 comments

“Schools in Beijing are quietly removing the Green Dam filter, which was required for all school computers in July, due to complaints over problems with the software,” notes this Reuters report. Even though China backed down on their earlier requirement to have the Green Dam filter installed on all computers, according to Reuters “schools were still ordered by the Ministry of Industry and Information Technology to install the web filter, which Chinese officials said would block pornography and other unhealthy content.” The Reuters article mentions a notice carried on the home page of one Beijing high school that reads: “We will remove all Green Dam software from computers in the school as it has strong conflicts with teaching software we need for normal work.” The article also cites a school technology director, who confirmed that the software had been taken off most computers, as saying “It has seriously influenced our normal work.”

Ironically, many educators and librarians in the United States can sympathize since they currently live under similar requirements. Under the Children’s Internet Protection Act (CIPA) of 2000, publicly funded schools and libraries must implement a mandatory filtering scheme or run the risk of losing their funding. As the Federal Communications Commission summarizes:

[CIPA] imposes certain types of requirements on any school or library that receives funding for Internet access or internal connections from the E-rate program… Schools and libraries subject to CIPA may not receive the discounts offered by the E-rate program unless they certify that they have an Internet safety policy and technology protection measures in place. An Internet safety policy must include technology protection measures to block or filter Internet access to pictures that are: (a) are obscene, (b) child pornography, or (c) harmful to minors (for computers that are accessed by minors).

Of course, nobody wants kids viewing porn in schools, but CIPA has been know the block far more than that and has become a real pain for many educators, librarians, and school administrators who have to occasionally get around these filters to teach their students about legitimate subjects. Anyway, I just find it ironic that some American lawmakers have been making a beef about mandatory Internet filtering by the Chinese when we have our own mandatory filtering regime right here in the states. For example, Continue reading →

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The Fiction of Forced Access “Competition” Revisited

by Adam Thierer on September 13, 2009 · 8 comments

In a past life — that is, from roughly 1994-2004 — I spent an enormous amount of time countering the proponents of “open access” regulation for communications and high-tech networks. My work in that field culminated in the publication of a 2003 book with my old Cato colleague Wayne Crews entitled, What’s Yours is Mine: Open Access & the Rise of Infrastructure Socialism. We aimed to counter the efforts of bureaucrats and central planners to command technology companies and industry sectors to share networks, facilities, or specific technologies with rivals in the name of “competition.” Simply stated, sharing is not competing, and competition in the creation of networks is just as important as competition in the goods, services, and information that move across those networks. Moreover, there are property right considerations that come into play when governments seek to commandeer networks or take over network management decisions.

But let’s just stick to the economic issue here regarding the incentives created by the network-sharing mentality of the “forced access” movement and the fiction associated with the belief that network sharing can create competition. My old PFF colleague Randy May, who currently serves as President of the Free State Foundation, continues to cover developments in this field far closer than I do, and has always done much better work on the subject than me. Recently, Randy addressed some new fictions put forth by the radical Leftist activity group, the (Un-)Free Press who are, once again, spinning a revisionist history of telecom and media policy. Specifically, Free Press has recently suggested that in the late 1990s we lived in a veritable communications nirvana, with thousands of Internet Service Providers and/or “competitive exchange carriers” hotly “competing” for our business. Here’s how Randy May addresses this:

Continue reading →

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More on the FCC’s e-Government Transparency Efforts: ECFS, RSS, Social Media & Setting Priorities

by Berin Szoka on September 11, 2009 · 12 comments

I vented my frustration earlier today with the FCC’s failure to make comments it receives easily accessible to the public—which means, more than anything, making them full-text searchable. This may seem like Inside Baseball to many, but it’s not. It’s a failure of the democratic process, a waste of taxpayer dollars, and a testimony to the general incompetence of bureaucracies, regardless of who’s running them. It denies the public an easy way to follow what goes on inside Washington, while essentially subsidizing law firms who get to bill clients for having paralegals or junior associates do things that existing web technology makes completely unnecessary—like reading through every comment in a document (at the rate of hundreds of dollars per hour) instead of just looking for keywords in a full-text search.

Later in the day the FCC announced:

RSS feeds for all news from the agency (1 general feed + 48 issue-specific feeds);
“FCC Connect” a page for Social Media Sites—so you can follow the FCC on Twitter and become a fan on Facebook; and
A “crowdsourcing platform” to discuss the administration’s plan to transfer nearly $8 billion from taxpayers to broadband providers.

I’m thrilled about the RSS feeds, which go a long way in letting all Americans know what the FCC does, supposedly in the “public interest.” Still, I can’t help but note that the FCC waited until after a huge discussion about whether RSS is dead to finally start using RSS in a serious way—fully a decade after the birth of the RSS standard. Better late than never, I suppose.

FCC Connect is also good news: once you have an RSS feed, there’s really no reason not to pipe that feed into as many platforms as possible—which is precisely why RSS isn’t dead, even if most people will never use an RSS reader.

But I’m less thrilled about the crowdsourcing platform. Continue reading →

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ECFS: The FCC’s Comedo-Tragedy of E-Government & Transparency

by Berin Szoka on September 11, 2009 · 24 comments

Read Part II here

In February, Congress passed the Obama Administration’s “(Five Year) National Broadband Plan,” part of the so-called “Stimulus.” (As economist Russ Roberts put it, government “stimulus” is “like taking a bucket of water from the deep end of a pool and dumping it into the shallow end.”) The Plan transfers $7.2 billion from taxpayers to broadband providers in subsides to promote broadband build-out. More than 10,000 comments have been filed on the plan. Once you get past the constitutional nicety of whether Congress has the power to subsidize “internal improvements” like broadband (it doesn’t), you might wonder just how well your money will be spent by all these techno-supplicants for the latest craze in corporate welfare.

The good news is that these comments are available online. Hurray for transparency! The bad news is that… they’re available online—specifically on the FCC’s Electronic Comments Filing System (ECFS). Anyone who’s used the web more recently than 1998 will cringe the first time they try to use ECFS to find anything, as Jerry has noted. Apart from the cumbersome, highly unintuitive interface, the problem is that there’s no way to search the text of comments ! You can only search pre-defined fields like like “law firm,” and if you don’t enter a value in precisely the right way, you get nada.

Bill Cline, the Chief of the Reference Information Center for the FCC’s Consumer & Governmental Affairs Bureau tries hard to put the best face on this farce of e-government, explaining: Continue reading →

24 comments

More Inflated FCC Indecency Complaints

by Adam Thierer on September 9, 2009 · 27 comments

Over at Ars Technica, Matt Lasar does a nice job pointing out how the FCC’s quarterly indecency complaint totals have again been inflated by one group: the Parents Television Council. This is something Lasar has written about before and he’s one of the few journalists who continues to ask sharp questions about the ongoing manipulation of these statistics by PTC. As Lasar notes in his latest piece:

for the first quarter of this year, show the viewers relatively calm at 578 complaints in January, then 505 in February, followed by 179,997 in March? 179,997? Um, did we miss something? Did television really get that much more indecent in March? No worries. In these situations, we know what to do. We go over and check out the Parents Television Council‘s website. And sure enough, there’s a plausible instigator—a PTC viewer action alert crusade against a March 8 episode of the animated comedy show the PTC just loves to hate, Fox TV’s Family Guy.

This “complaint box stuffing” is something I wrote quite a bit about in the past, especially in my 2005 paper, “Examining the FCC’s Complaint-Driven Broadcast Indecency Enforcement Process.” As I pointed out there, “The PTC’s increasingly effective use of computer-generated campaigns against specific TV programs is a leading factor in explaining the large jump in indecency complaints in recent years.” Specifically, as I noted in that paper (as well as a Supreme Court filing with my friends at CDT), the FCC quietly and without major notice made two methodological changes to its tallying of broadcast indecency complaints in 2003 & 2004 that PTC requested: Continue reading →

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Is There a Relationship Between Online Safety Concerns and Broadband Uptake?

by Adam Thierer on September 9, 2009 · 6 comments

Today I was invited to the Federal Communications Commission (FCC) to testify at one of the agency’s Broadband Working Group workshops. This particular workshop was on “Broadband Consumer Context,” which focused on “a range of challenges and opportunities as the internet becomes a focal point for commercial transactions, social networking, and a host of activities pertaining to information gathering and exchange.”

I was asked to address the issue of whether there is a relationship between online safety concerns and broadband uptake. In my testimony, I noted that, in my 15 years of research in this area, I have never unearthed any substantive empirical evidence suggesting a correlation between parental concerns about online activity and overall household broadband uptake. I have seen occasional anecdotal news stories discussing the concerns some parents have had about their kids online that led them to reject online connectivity, but these stories have been exceedingly rare (and I haven’t seen any in recent memory).

I also argued that I did not think it at all surprising that such anecdotes are harder to find, or that empirical evidence on this front seems non-existent. I argued that there were four logical explanations for why parental concerns about online safety haven’t “moved the broadband needle” much in the negative direction:

Not every home has children present
Parents use a variety of household media rules to control media & Internet usage
A vibrant marketplace of parental control technologies exists
Likely that most parents believe that the benefits of broadband outweigh the potential downsides

For all the details on each of those, read my entire testimony or check out the presentation embedded below that I made to the FCC today. Continue reading →

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Court Strikes Down FCC’s Cable Cap: The Revolution in Video Distribution in Three Charts

by Berin Szoka on August 30, 2009 · 24 comments

The D.C. Circuit has struck down as arbitrary and capricious the FCC’s “cable cap.” The cap prevented a single cable operator from serving more than 30% of U.S. homes—precisely the same percentage limit struck down by the court in 2001. The court ruled that the FCC had failed to demonstrate that “allowing a cable operator to serve more than 30% of all cable subscribers would threaten to reduce either competition or diversity in programming.”

The court’s decision rested on the two critical charts (both generated by my PFF colleague Adam Thierer in his excellent Media Metrics special report) at the heart of the PFF amicus brief I wrote with our president, Ken Ferree:

First, the record is replete with evidence of ever increasing competition among video providers: Satellite and fiber optic video providers have entered the market and grown in market share since the Congress passed the 1992 Act, and particularly in recent years. Cable operators, therefore, no longer have the bottleneck power over programming that concerned the Congress in 1992.

Second, over the same period there has been a dramatic increase both in the number of cable networks and in the programming available to subscribers.

Our chart shows the explosion in the number of programmers (though not the total amount of programming), as well as the falling rate of affiliation between cable operators and programmers, which was among the prime factors motivating Congress when it authorized a cable cap in the 1992 Cable Act:

Video Choices & Vertical Integration in the Multichannel Video Marketplace

Continue reading →

24 comments

FCC Can’t Even Figure Out How To Stream Its Own Meetings Properly

by Ryan Radia on August 27, 2009 · 21 comments

You’d think that in 2009, when global networks are handling exabytes of data in a single day and OC192 fiber optic connections crisscross the planet, the FCC — the most important communications agency in the United States — would at least be able to use modern technology to stream its own public meetings. tlf image realplayer

Nope. The FCC is still streaming its webcasts with RealPlayer, a horrendous and arguably obsolete application that fell out of favor with techies years ago and has since been overtaken by superior streaming platforms like Adobe’s Flash Media Server.

Today’s big tech news item is the FCC’s “three-pronged probe” of the wireless industry, which was set to be announced today at this morning’s Open Commission Meeting.

Want to watch the FCC’s meeting and see what our “public servants” in Washington are up to? Good luck. The FCC’s streaming video server only supports 200 simultaneous connections.

In a nation of 270 million wireless users, why not offer, say, 1000 or even 10000 connections? Given the agency’s $339 million dollar budget that’s not too much to ask, is it?

It’s especially ironic that the FCC still struggles with streaming webcasts given that the FCC is launching an investigation of alleged “anti-competitive” practices in the wireless industry. Why isn’t the FCC investigating its own inability to accomplish relatively simple tasks, like stream live video or run a halfway decent website?

The FCC doesn’t just use RealPlayer for Open Commission Meetings. Even the FCC’s “Broadband Workshops” — which are supposedly going to guide the future of broadband deployment in America — are using the same tired streaming platform.

Of course, in the grand scheme of things, the platform the FCC uses for streaming video isn’t all that important. But it is a much-needed reminder that bureaucrats in Washington aren’t very good at keeping pace with modern technology. Unfortunately, many seem to have forgotten this fact.

ADDENDUM: Turns out the FCC does use a modern platform for streaming open commission meeting, Cisco Webex Webinar (accessible via www.broadband.gov) but only offers RealPlayer streams on the official FCC.gov website. Also, once meetings are finished, they are available online exclusively in the Real video format.

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