Net Neutrality and the Netflix Effect

December 10, 2010 -

While Net Neutrality is headed to the next FCC meeting on December 21 for a vote, commentators are talking about the negative and positive effects of new regulations. One such commentator is ZDNet's John Carroll, who sees services like Netflix as a big problem for both pro- and anti-net neutrality camps.

On the one hand, Carroll believes that regulation is important because it keeps service providers from controlling content it does not own and prioritizing content it has a vested interest in. This argument has been made against companies like Comcast, who wants to buy up NBC Universal. Net Neutrality advocates point out that there would be nothing stopping the new mega-company from prioritizing the content it owns - even if it does not actually slow down or block services out of its control.

On the other hand, services like Netflix could prove to be problematic when online video consumption makes up the majority of online traffic. A report from Juniper Networks that appeared in the Bloomberg Newsweek article "Will Video Kill the Internet, Too" paints a scary picture:

The report predicts that carriers such as AT&T and Comcast will see Internet revenues grow by 5 percent a year through 2020. Meanwhile, traffic will surge by 27 percent annually, and carriers will need to increase their investments by 20 percent a year to keep up with demand. By this math, the carrier’s business models break down in 2014, when the total investment needed exceeds revenue growth.

By 2014, video will account for more than 90% of Internet traffic. As Michael Hatfield, founder of Cyan Optics, noted in the article, “this is the most dramatic change in the network that has ever occurred.”

The author concedes that Juniper Networks has an interest in such a dire forecast because it helps sell its networking equipment to gateway owners. Still, Carroll feels that even if consumption eclipses profit and infrastructure investment at a later date, it's still a serious problem. 

In the end, he believes that some kind of regulation balanced with some good old-fashioned capitalism is the real solution. Nevertheless, those who want net neutrality and those that have a stake in less government intervention cannot seem to meet somewhere in the middle. Much like our current political atmosphere, the net neutrality fight is an "all or nothing" battle.

You can read the rest of the article here. The article raises a lot of interesting points no matter what your stance on net neutrality is.


Comments

Re: Net Neutrality and the Netflix Effect

Until broadband meets these specifications:

http://www.newnetworks.com/ShortSCANDALSummary.htm

The ISPs shouldn't be given a single inch.  Simple as that.

- Left4Dead

Why are zombies always eating brains? I want to see zombies that eat toes for a living. Undead-related pun intended.

- Left4Dead Why are zombies always eating brains? I want to see zombies that eat toes for a living. Undead-related pun intended.

Re: Net Neutrality and the Netflix Effect

Concerns over how much traffic video will take up wouldn't be a concern if ISPs were as committed to upgrading speeds as much as the rest of the civilized world.

When I hear from friends overseas that they're gettting 100mb speeds for the equivalent of $20, and I'm only getting 15mb at best for $60, I now that I'm getting screwed and it's only going to get worse.

Re: Net Neutrality and the Netflix Effect

Heh.  The comments in that article get to the point quite quickly.....

Netflix is in no way an argument against Net Neutrality.... if ISP's customers are using up more bandwidth, ISPs can still charge their own customers more.  NN does not stop (or should not stop, since like any movement differnt people are calling for differnt things) ISPs from charging their customers whatever they want (though again, local monopolies make this element a problem)... it would only stop ISPs from charging OTHER ISP's customers.

 
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Matthew Wilsonthat being said I am not normal, I took the upgrade and made a recovery drive, than did a clean install. most issues in os upgrades come from doing the upgrade. doing a fresh install fixes that.07/29/2015 - 6:58pm
Matthew Wilson@james so far hone, no major issues encountered yet. the only issue ?I have is my second wifi adaptor does not work, but I have my built in one. that issue is on netgear to fix though with new drivers07/29/2015 - 6:46pm
TechnogeekSora, the entire reason those clauses are being added everywhere is that they WERE upheld. AT&T Mobility v. Concepcion, back in 2011.07/29/2015 - 6:28pm
james_fudgeHow many crashes so far?07/29/2015 - 5:46pm
Matthew Wilsonmost likly not since windows is considered essential, so unreasonable tos wont hold up. that being said, I am using it, and its prity good.07/29/2015 - 5:11pm
Sora-ChanThe question on those is can they be held up in court. From what I can tell those kinds of clauses haven't been challenged in court yet.07/29/2015 - 4:40pm
E. Zachary KnightPapa, Of course thre is. That has now become a permanent part of the EULA boilerplate template.07/29/2015 - 12:56pm
Papa MidnightIn case anyone is interested, there is a clause written into Section 10 of Windows 10's EULA that provides for a Class Action Waiver, and restricts the user to Binding Arbitration.07/29/2015 - 11:15am
TechnogeekNo, that folder is what gets used for the upgrade process. I already had the upgrade go through on my notebook.07/29/2015 - 10:35am
Andrew EisenMatt - And AGAIN, you keep saying "accountable." What exactly does that mean? How is Gamasutra not accounting for the editorial it published? How is it not accountable to its readership (which, AGAIN, is primarily game industry folk, not gamers)?07/29/2015 - 10:10am
james_fudgeThat's the clean install, for anyone asking07/29/2015 - 9:23am
TechnogeekAlso, it's the upgrade that's available for installation now. You might need to forcibly initiate the Windows Update process before it'll start downloading, though. (If there's a C:\$Windows.~BT folder on your computer, then you're in luck.)07/29/2015 - 8:46am
TechnogeekAdmittedly there's more room to push for an advertiser boycott when you get into opinion content versus pure news, but keep in mind that reviews are opinion content as well.07/29/2015 - 8:46am
TechnogeekMatts: There's a difference between "this person regularly says extremely terrible stuff" and "I don't like the phrasing used in this one specific editorial".07/29/2015 - 8:45am
MattsworknameWait, is that for the upgrade or the clean install only? cause I was gonna do the upgrade07/29/2015 - 8:32am
james_fudgehttps://www.microsoft.com/en-us/software-download/windows1007/29/2015 - 8:30am
PHX Corp@Wilson, I'm still waiting for My upgrade notice aswell07/29/2015 - 7:57am
MattsworknameWilson: how? Im still waiting for my upgrade notice07/29/2015 - 3:44am
Matthew WilsonI updated to a clean instill of windows 10.07/29/2015 - 2:36am
Mattsworknameargue that it's wrong, but then please admit it's wrong on ALL Fronts07/29/2015 - 2:06am
 

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