|By Esmeralda Swartz||
|May 19, 2014 08:45 AM EDT||
The Internet has been buzzing over the recent news of a federal proposal that creates the equivalent of "slow" and "fast" lanes online. The Federal Communications Commission (FCC) voted on Thursday, May 15, 3-2 in favor of a new proposal that enables the creation of Internet fast lanes, where broadband and cable providers such as Comcast can charge companies like Netflix, Amazon, YouTube and other over-the-top (OTT) providers to pay for priority traffic over a fast lane. The original FCC Open Internet Order of 2010 didn't declare that Internet Service Providers (ISPs) were common carriers that must transport everything irrespective of the content - but it did outlaw pay-for-play fast lanes. The 2010 Open Internet Order is what companies like Verizon challenged and what led to parts being struck down in January 2014 by the US Court of Appeals. The 2010 Order failed to provide legal reasons for "the anti-discrimination and anti-blocking rules" and the US Federal Appeals Court agreed with the ISPs. In order to impose such regulations, ISPs would need to be classified as common carriers, and would essentially be held to the same standards and regulations as your telephone company (telco). Your telco provider does not charge you extra to make calls during peak hours or to guarantee that calls won't be dropped. The public will now be allowed to provide comment, before the FCC enacts the final ruling later in the year. Adding fuel to the debate is whether or not the FCC can enforce policies that do not "divide the Internet into the ‘haves' and ‘have nots.'" Categorizing the debate this way does have the result of drawing individuals into the discussion that would otherwise have been content on the sidelines.
FCC Chairman Tom Wheeler insisted that the new proposal would not squeeze out the little players and that fast lanes will only be made available when they are "reasonable." It will be interesting to see what constitutes reasonable. He also called out that ISPs could not prioritize traffic from their own subsidiaries to the detriment of others and that Internet providers won't be able to penalize companies that don't pay for the fast lane by slowing their speeds. But giving one company more lanes on the Internet highway translates to a possible unintended consequence of fewer lanes for the rest of the traffic. And that additional fast lane revenue could create an incentive for broadband providers to allow network congestion to build, forcing companies to pay up or deal with the consequence of slow service.
The FCC fast lane plan did not impact deals like the ones reached between Comcast, Verizon and Netflix, in which Netflix (kicking and screaming) agreed to pay for direct connections to the broadband companies' networks to improve streaming speeds. The fast lane plan also does not cover traffic discrimination on the mobile Web. AT&T moved early this year to monetize wireless data caps by charging content providers for the right to serve up video and other media without chewing up consumers' monthly data limits. Eligible 4G customers can get mobile content and apps over AT&T's wireless network without impacting their monthly wireless data plan. The price of data is charged to the content provider and customers are billed based on usage.
The FCC has to consider public comments and face scrutiny from lawmakers before anything can happen. Many of the prophets out there are playing out the ultimate Internet doomsday scenarios, such as:
- Only popular and profitable services get capacity because these providers can afford to pay.
- Rates go up significantly and niche applications are blocked or relegated to the slow lane.
- When you sign on with an ISP, you will then get access to only the restricted portfolio of services offered by that particular ISP. It will be just like signing on to a cable company and getting only the programming the cable company has chosen.
- Will ISPs each issue their list of Internet "channels" to tell us what we can access? This may be easier than providing a list of what is blocked or slowed down.
- If service providers can adjust charging for the optimization of the increasingly scarce resource of bandwidth, what incentive is there for them to build more capacity? Why not just keep the network the way it is, and command higher and higher prices for the privilege of using it?
While the debate continues to play out in the media and increasingly in Washington, I thought it worthwhile to provide an alternative view on why the situation is perhaps not as dire as some would have us believe: good old-fashioned innovation and competition, the cornerstone of American capitalism.
In my series of blogs on net neutrality, I've suggested that the removal of the FCC's open Internet rules on blocking and preferential services might not in reality provide U.S. Internet access providers with the clear and unfettered path they expected to create new profits from Internet traffic control. In one example, I speculate that the device manufacturers might get in the way or demand a financial cut. In another, I imagine that edge-providers might not be an easy sell, and may even be among those that choose to set up shop as competitive access providers, now that the gate has been opened to imaginative competitive differentiation.
Like most things, the reality will likely be vastly different than the frenzied speculation. An alternative view is that we can look at the end of net neutrality as a step forward for competition in the world of Internet access by providing increased differentiation opportunities which are good for competition. If the only difference between services is price, then it's tough for new entrants to make a business case for entering the market. However, if every access provider offers a different suite of preferred edge providers, this expands the opportunities.
Who will step in and introduce the kind of competition that is needed to prevent the doomsday scenarios from becoming reality? This is a network infrastructure business, and traditionally the cost of entry has been prohibitively high. That's why we tend to think of telecom carriers and cable companies as "natural monopolies" and choose to live with the situation, alleviated somewhat by a modicum of regulation. However, this is the 21st century and the world is a very different place then when the net neutrality debate began over 20 years ago and the legal wrangling began. The cost of bandwidth has plummeted, broadband wireless access technologies are much more capable and cost-effective, and there are many large corporations such as Amazon, Apple, Facebook and Google and more with deep pockets. There are also investors interested in anything disruptive and game-changing. What is clear is that disruption based on price alone will be the exception and not the norm.
Follow us on Twitter for more updates, and maybe more opposing views, on the ongoing net neutrality debate.
SYS-CON Events announced today that the "First Containers & Microservices Conference" will take place June 9-11, 2015, at the Javits Center in New York City. The “Second Containers & Microservices Conference” will take place November 3-5, 2015, at Santa Clara Convention Center, Santa Clara, CA. Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities.
Jun. 2, 2015 12:30 AM EDT Reads: 2,876
17th Cloud Expo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterprises are using some form of XaaS – software, platform, and infrastructure as a service.
Jun. 2, 2015 12:15 AM EDT Reads: 3,078
The basic integration architecture, as defined by ESBs, hasn’t changed for more than a decade. Most cloud integration providers still rely on an ESB architecture and their proprietary connectors. As a result, enterprise integration projects suffer from constraints of availability and reliability of these connectors that are not re-usable across other integration vendors. However, the rapid adoption of APIs and almost ubiquitous availability of APIs amongst most SaaS and Cloud applications are rapidly redefining traditional integration approaches and their reliance on proprietary connectors. ...
Jun. 2, 2015 12:00 AM EDT Reads: 951
SYS-CON Events announced today that BMC will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. BMC delivers software solutions that help IT transform digital enterprises for the ultimate competitive business advantage. BMC has worked with thousands of leading companies to create and deliver powerful IT management services. From mainframe to cloud to mobile, BMC pairs high-speed digital innovation with robust IT industrialization – allowing customers to provide amazing user experiences with optimized IT per...
Jun. 1, 2015 11:15 PM EDT Reads: 2,318
Growth hacking is common for startups to make unheard-of progress in building their business. Career Hacks can help Geek Girls and those who support them (yes, that's you too, Dad!) to excel in this typically male-dominated world. Get ready to learn the facts: Is there a bias against women in the tech / developer communities? Why are women 50% of the workforce, but hold only 24% of the STEM or IT positions? Some beginnings of what to do about it!
Jun. 1, 2015 10:45 PM EDT Reads: 1,129
Jun. 1, 2015 09:15 PM EDT Reads: 1,077
ThingsExpo New York is offering a limited time FREE "Expo Plus" registration option in New York. On site registration price of $1,95 will be set to 'free' for delegates who register during special offer. To take advantage of this opportunity, attendees can use the coupon code, and secure their registration to attend all keynotes, ThingsExpo sessions, expo floor, and SYS-CON.tv power panels. Special FREE registration givess access to all DevOps, Containers and Microservices sessions as well. Registration page is located at the ThingsExpo site.
Jun. 1, 2015 08:00 PM EDT Reads: 1,296
The only place to be Nov 3-5 is Cloud Expo | @ThingsExpo | DevOps Summit 2015 West at the Santa Clara Convention Center in Santa Clara, CA. Join us there as delegates from all over the world come to listen to and engage with speakers & sponsors from the leading Cloud Computing, IoT, Big Data and DevOps companies. Cloud Expo & @ThingsExpo are the leading events covering the booming market of Cloud Computing, IoT & Big Data for the enterprise. Speakers from all over the world will be hand-picked for their ability to explore the economic strategies that utility/cloud computing provides. Whether...
Jun. 1, 2015 07:30 PM EDT Reads: 2,260
The 17th International Cloud Expo has announced that its Call for Papers is open. 17th International Cloud Expo, to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, APM, APIs, Microservices, Security, Big Data, Internet of Things, DevOps and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal today!
Jun. 1, 2015 07:30 PM EDT Reads: 5,085
The 4th International Internet of @ThingsExpo, co-located with the 17th International Cloud Expo - to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA - announces that its Call for Papers is open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
Jun. 1, 2015 07:30 PM EDT Reads: 2,967
“In the past year we've seen a lot of stabilization of WebRTC. You can now use it in production with a far greater degree of certainty. A lot of the real developments in the past year have been in things like the data channel, which will enable a whole new type of application," explained Peter Dunkley, Technical Director at Acision, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 1, 2015 06:15 PM EDT Reads: 5,816
“Connect2Me is basically a game changer in the IoT industry. We have created IoT connecter middleware that can enable a connection to any kind of device," explained Yasser Khan, CTO of Connect2Me, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 1, 2015 05:15 PM EDT Reads: 3,170
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 17th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal an...
Jun. 1, 2015 04:30 PM EDT Reads: 3,595
Health care systems across the globe are under enormous strain, as facilities reach capacity and costs continue to rise. M2M and the Internet of Things have the potential to transform the industry through connected health solutions that can make care more efficient while reducing costs. In fact, Vodafone's annual M2M Barometer Report forecasts M2M applications rising to 57 percent in health care and life sciences by 2016. Lively is one of Vodafone's health care partners, whose solutions enable older adults to live independent lives while staying connected to loved ones. M2M will continue to gr...
Jun. 1, 2015 04:30 PM EDT Reads: 3,252
DevOps Summit at Cloud Expo New York is offering a limited time FREE "Expo Plus" registration option in New York. On site registration price of $1,95 will be set to 'free' for delegates who register during special offer. To take advantage of this opportunity, attendees can use the coupon code, and secure their registration to attend all keynotes, @DevOpsSummit sessions at Cloud Expo, expo floor, and SYS-CON.tv power panels. Special FREE registration givess access to all Containers and Microservices sessions. Registration page is located at the DevOps Summit site. Your DevOps Summit registratio...
Jun. 1, 2015 03:45 PM EDT Reads: 1,333
SYS-CON Events announced today that MediaTek Labs will exhibit at SYS-CON's @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. MediaTek Labs is a global ecosystem initiative supporting Wearables and Internet of Things device creation, application development, and services based around MediaTek chipset offerings. Developers can use the MediaTek LinkIt™ ONE development platform and the LinkIt ONE HDK to easily access the features and functions of the MediaTek MT2502 System on a Chip (SoC), with the goal of creating the next generation of MediaTek p...
Jun. 1, 2015 02:15 PM EDT Reads: 1,006
Imagine a world where targeting, attribution, and analytics are just as intrinsic to the physical world as they currently are to display advertising. Advances in technologies and changes in consumer behavior have opened the door to a whole new category of personalized marketing experience based on direct interactions with products. The products themselves now have a voice. What will they say? Who will control it? And what does it take for brands to win in this new world? In his session at @ThingsExpo, Zack Bennett, Vice President of Customer Success at EVRYTHNG, will answer these questions a...
Jun. 1, 2015 01:30 PM EDT Reads: 1,457
SYS-CON Events announced today that O'Reilly Media has been named “Media Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York City, NY. O'Reilly Media spreads the knowledge of innovators through its books, online services, magazines, and conferences. Since 1978, O'Reilly Media has been a chronicler and catalyst of cutting-edge development, homing in on the technology trends that really matter and spurring their adoption by amplifying "faint signals" from the alpha geeks who are creating the future. An active participa...
Jun. 1, 2015 12:30 PM EDT Reads: 1,857
"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 1, 2015 12:15 PM EDT Reads: 5,202
"For over 25 years we have been working with a lot of enterprise customers and we have seen how companies create applications. And now that we have moved to cloud computing, mobile, social and the Internet of Things, we see that the market needs a new way of creating applications," stated Jesse Shiah, CEO, President and Co-Founder of AgilePoint Inc., in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 1, 2015 12:00 PM EDT Reads: 4,461