US regulator set to scrap 'net neutrality' rules that protect open internet

[Len]

The US’s top media regulator is to vote to end rules protecting an open internet on Wednesday, a move critics warn will hand control of the future of the web to cable and telecoms companies.

At a packed meeting of the Federal Communications Commission (FCC) in Washington, the watchdog’s commissioners are expected to vote three to two to dismantle the so-called “net neutrality” rules that prevent internet service providers (ISPs) from charging websites more for delivering certain services or blocking others should they, for example, compete with services the cable company also offers.

Outside, protesters angrily called on Congress to block the FCC’s efforts. Bouquets of flowers littered the grass outside the building, an apparent reference to the “death” of open internet. Posters of the angry-face emoji covered the walkway.

And activists carried hand-made signs that read: “Don’t make the internet a private toll road”; “Ajit Pai doesn’t want you to meet your fiancé online”; and “Don’t undermine our democracy – that’s Russia’s job”.
 

Congressman Keith Ellison, a progressive from Minnesota, said abandoning the regulations would be a boon for multibillion internet service providers, such as Verizon and Comcast.

“They are doing this so they can reap more monopoly profit, so they can drive more political influence, so they can give themselves more bonuses, so they can create more mergers so they can rid of more jobs,” Ellison said, rallying the crowd and drawing loud applause and cheers. “It is to screw the American people – and we are not going to stand by for it.”

Net neutrality’s advocates argue that an open internet has been essential to the creation of today’s web, and has allowed companies like Skype to compete with telecoms providers and Netflix to change the media landscape. They say the removal of the rules will affect consumers worldwide.

Cable companies have attempted to block or slow competing services in the past, and the rules were meant to prevent such cases arising in future. Removing the rules, critics argue, will stifle the online innovations that have been enjoyed by people worldwide and set a dangerous precedent for other countries looking to take firmer control of the internet or to hand oversight to corporations.

“ISPs probably won’t immediately begin blocking content outright, given the uproar that this would provoke. What’s more likely is a transition to a pay-for-play business model that will ultimately stifle startups and innovation, and lead to higher prices and less choice for consumers,” said Michael Cheah, general counsel of video sharing website Vimeo.

Passing the plan will be a major victory for FCC chair Ajit Pai, a Donald Trump appointee and former Verizon lawyer who has been a long-term critic of the net neutrality rules brought in under Barack Obama in 2015.

In a speech last month, Pai denounced what he called “the wild accusations, fear-mongering and hysteria” from critics, claiming the plan would restore a ‘light touch, market-based approach under which the internet thrived”.

The FCC will require internet providers to disclose how they treat traffic, but regulation of the internet will essentially move to the Federal Trade Commission (FTC), removing barriers to potential abuses and leaving the FTC to assess violations after the fact.

Cable companies have dismissed critics’ concerns and said they remain committed to an open internet.

“This is not the end of net neutrality,” Comcast’s senior executive vice president wrote in a blogpost. “Despite repeated distortions and biased information, as well as misguided, inaccurate attacks from detractors, our internet service is not going to change. Comcast customers will continue to enjoy all of the benefits of an open internet today, tomorrow, and in the future. Period.”

But critics charge that as cable companies become ever bigger investors in media (Comcast owns NBC Universal, and AT&T is trying to buy Time Warner) the incentives to hamper competition are increasing.

Pai’s proposal still faces heavy opposition. A record 22 million comments were submitted to the FCC by the general public before the vote – the majority in favor of keeping the rules.

Millions of comments submitted in support of Pai’s decision were found to be fake and are now being investigated by New York attorney general Eric Schneiderman.

On Wednesday morning, two US senators, Susan Collins and Angus King, both of Maine, called on the FCC to cancel the vote.

“Repealing the FCC’s net neutrality rules will undermine long-standing protections that that have ensured the open internet as a powerful and transformative platform of innovation and economic opportunity,” they wrote.

Eighteen attorneys general, dozens of Democratic congressmen and two Republicans had pushed for a delay to the ruling. Critics and activists will now push for Congress to step in and pass a resolution of disapproval using the Congressional Review Act to overturn the FCC’s order.

The FCC is also likely to face a legal challenge to the order, which has been attacked by internet companies including Etsy, Bittorrent, Netflix, Pinterest, Pornhub, Spotify and Wikipedia.

Passing the vote will be just the latest in a series of controversial moves made by Pai in his 11-month tenure. The FCC has also relaxed local media ownership rules, potentially ushering in a wave of consolidation, cut a high-speed internet internet scheme for low-income families and allowed broadband providers to raise rates for businesses.