The Administrative Process, the Legislative and Executive Branches, Net Neutrality, and Disclosure

While many might assume that, in theory, what’s good for Netflix is good for consumers, the reality is more complex. To protect innovation at the edge of the Internet ecosystem, the Commission’s sweeping rules reduce the opportunity for consumer-friendly innovation elsewhere, namely by facilities-based broadband providers. Consumers in Chile recently felt the real-world impact of this tradeoff, as that nation’s telecommunications regulator applied similar rules to outlaw wireless plans that included free access to selected online services such as Facebook, Wikipedia, or Twitter. These wildly popular plans were aimed at prepaid customers and those with older phones, who could not afford, or otherwise did not want to purchase, a traditional unlimited-access wireless plan. Now, those customers are limited to purchasing a more expensive traditional plan, or none at all. Like the archetypal village in Vietnam, regulators felt they had to destroy consumer choice in order to save it.

Click here to read the full publication →