telecom

Looking backwards at 1934-era Title II telephone utility law, the FCC concluded in its 2015 Open Internet Order that only broadband providers could be “gatekeepers” warranting net neutrality regulation to “protect and promote the “virtuous cycle” that drives innovation and investment on the Internet.”

We free marketeers repeatedly reassert the obvious – that government abusing the private sector hurts the private sector. Pro-government fetishists try mightily to deny Reality – claiming that bigger government doesn’t damage the sectors over which it lords.

With great fanfare, Federal Communications Commission Chairman Thomas Wheeler is calling for sweeping changes to the way cable television set-top boxes work. In an essay published Jan. 27 by Re/Code, Wheeler began by citing the high prices consumers pay for set-top box rentals and bemoaning the fact that alternatives are not easily available.

In arbitrarily applying Title II telecommunications rules to only the ISP half of Internet communications, while politically exempting the entire edge half of Internet communications in its Open Internet order, the FCC has ensured that information that was proprietary and controllable in the closed telephone world becomes public and uncontrollable in the open Internet world.

Media bias is hydra-headed in its perniciousness. It operates on many levels – in many ways. One of its practitioners’ favorite moves is the terrible headline. In which they knowingly – or unknowingly – tip their hand on the story at hand. These heinous headlines can effectively work to sway casual, drive-by media consumers – who don’t go deep into multiple articles to get a more fully-formed idea.

Does the FCC’s concept of a “virtuous circle of innovation” mean fostering a full and true “circle of innovation,” of not only edge provider innovation, but also ISP innovations of zero-rating pricing plans that lower users’ bandwidth costs and better fund more broadband deployment?

You know there are big problems with the so called “principle” of net neutrality when the New York Times writes an editorial headlined “Why Free Can Be a Problem on the Internet” and their editorial has nothing to do with protecting consumers’ privacy/safety or protecting content from piracy, but it is only about the potential problem of consumers enjoying free Internet content for marketing purposes!

Network Neutrality is a unilateral and completely unnecessary government-intrusion-and-imposition on the entirety of the Internet – and the trillions-of-dollars-economy that has arisen around it. Net Neutrality is one fantasy – based upon another.

Google is cleverly and stealthily leveraging a Google-friendly-FCC and lax U.S.-Google antitrust enforcement to extend its global Android mobile operating system dominance to increasingly disintermediate and dominate the spectrum administration function embedded in the firmware of smartphones, connected cars, and Internet of Things devices.

What we have learned in the last two months is that Google is much more worried than it says about the risks it faces from a variety of real structural changes it may have to make in its core business overseas in the months and years ahead — where the vast majority of Google’s users are, and from where over 50% of its revenues come.

To try to justify mandating Title II utility regulation of broadband and the blocking of the Comcast-Time Warner acquisition, the Administration and FCC had to gerrymander broadband definitions to reach their political goal that wireless broadband service not be considered an official competitor to wireline broadband service.

The FCC’s latest legal brief defending its Open Internet Order, will represent the FCC’s “strongest possible” legal arguments for its Title II net neutrality case – a vainglorious legal fortress.

Imagine if one company out of the Fortune 500, #474 with ~$6b in revenues, and 2,000 employees, representing about .03% of U.S. GDP, and .06% of the population, comprised 36%of all the vehicle traffic going in one direction on our interstate highway system on any given day.