Net neutrality update January 2017

Much speculation this month on the likely impact of the new US administration on net neutrality, with the expectation that net neutrality rules will now be repealed:

• Tom Wheeler stepped down as Chairman of the Federal Communications Commission (FCC); in his last speech as Chairman he offered a defence of the Open Internet Order adopted during his tenure and warned against a repeal of the rules (also see coverage from The Verge and CNet).
• He was replaced as Chairman by FCC Commissioner Ajit Pai, who opposed the Open Internet Order – see coverage from Network World and BBC News.
• Ars Technica reported on Chairman Pai’s first meeting, after which in a press conference he stated that he favours an open internet but opposes Title II (more background on this here).
• InsideSources reported on the FCC’s decision to excuse Internet service providers with 250,000 or fewer subscribers from enhanced transparency rules passed as part of the FCC’s 2015 Open Internet Order as the new FCC’s first action on net neutrality (also see Ars Technica).

Also this month the FCC published its report on its review of mobile zero-rating practices (more background on this here). The FCC found that AT&T's DirecTV Now online video service and Verizon's FreeBee Data 360 offer violated its open internet rules, but that T-Mobile's Binge On service did not (the main difference in T-Mobile’s approach being that it does not charge third-party content providers to participate in Binge On). However given the change in the FCC’s governance it is thought that no further action will be taken – see coverage from Ars Technica, CNet and Network World. Ajit Pai was also critical of the report in a statement. Ars Technica also reported remarks by Netflix (a long-time supporter of net neutrality) that while it still supports them, it is now so popular with consumers that it would not be harmed if the rules were repealed.

The FCC’s report was also criticised by the Information Technology and Innovation Foundation (ITIF), which called for the FCC to recognise “the benefit of genuinely new business models bringing additional competition in video distribution”. See this previous post for more on the ITIF’s views in support of zero rating. The ITIF also this month published a new report suggesting that “broadband populists” are seeking to “transform America’s successful private-sector Internet system into at least a heavily regulated utility if not government-owned networks”, with net neutrality being one of the issues at the heart of their arguments.

Finally the Swiss Network Neutrality Arbitration Board published its annual report for 2015/16; the Board has received seven requests and made two recommendations since its establishment in September 2015.