As Net Neutrality Debate Reheats, Remember The Real Problem Is Telecom Monopoly Power
from the here-we-go-again dept
With the Biden FCC now having a full slate of commissioners and a full voting majority, the net neutrality debate has already started to heat back up. That means a renewed effort by broadband giants to try and downplay the need for net neutrality rules, usually via lazy op-eds run in lazy publications like The Hill, often written by organizations with undisclosed financial conflicts of interest.
Like this lovely missive by the telecom-industry funded “Innovation and Technology Policy Center (ITPC),” which attempts to claim that the Trump FCC dismantling of popular net neutrality rules “saved the internet,” and that restoring the rules would harm the “vibrant and competitive” U.S. broadband market:
“Such regulations are entirely unnecessary in today’s vibrant and competitive broadband marketplace, and to restore them would be finding a solution in search of a problem.”
That the telecom industry is already using proxy organizations to make up nonsense about a monopoly-dominated, barely competitive U.S. broadband industry being “vibrant” speaks for itself. These kind of posts are comically lazy, and mindlessly repurpose false claims like the idea that net neutrality (for the brief window it existed) hurt U.S. broadband investment (which is documented as false):
“This decision hampered capital investments with a 20 percent reduction in spending during the two years they were in effect and delayed new broadband deployment and innovation.”
The folks making these kinds of posts don’t really care about factual reality. They just repeat the same false claims over and over again in the hopes of seeding them into the brains of a lazy public and press. And as we saw with the last two decades of net neutrality bickering, it generally works. Here I am deflating the same claims industry marionettes have been making for twenty straight years.
As noted previously I’m not entirely convinced yet that the Biden/Rosenworcel FCC actually has the backbone to fully revisit net neutrality. I imagine they’ll implement something that sounds much like net neutrality, but lacks the full legal backing of the original, 2015 ruling. I expect them to half-ass it. I hope to be surprised.
But instead of spending another decade bickering and debating with telecom-backed proxy organizations paid to be inflexible, I think it’s important to keep the conversation centered on the real problem: concentrated, unchecked telecom monopoly power and the corrupt politicians that protect it.
Net neutrality rules were an imperfect, stopgap measure to stop powerful telecom monopolies from abusing their market power to harm consumers and competitors alike. And while the rules were useful, the real underlying problem with U.S. broadband is caused by concentrated regional monopolization, industry consolidation, feckless regulatory oversight, and a pointed lack of competition.
U.S. policymakers aren’t actually interested in fixing this problem, in part because companies like AT&T and Comcast wield massive lobbying influence, but also because those monopolies are tethered to our first responder networks and domestic surveillance systems. Companies like AT&T are, in many ways, part of the government itself, making sabotaging consumer protection efforts easier than ever.
Yes, we’re keen on throwing untold billions in subsidies at the problem every few years, but when it comes to holding giant telecom monopolies accountable for consumer abuses or even outright fraud, federal policymakers have been napping for the better part of the last decade. Whatever this next round of ridiculous net neutrality bickering looks like, don’t let it take your eye off the actual ball.
Filed Under: broadband, competition, fcc, high speed internet, monopolies, net neutrality


Comments on “As Net Neutrality Debate Reheats, Remember The Real Problem Is Telecom Monopoly Power”
Part of the problem is laziness in media in general. Not many people in the big media are willing to call out actual falsehoods, and mostly just report on the horse-race, rather than what’s actually going on.
Eventually the mainstream media will tell us that some people are for net neutrality, and some people are against it. Never mind why they might be for (or against) it.
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The media is controlled by the same people who do not want the light of day ruining their crafty grand plans for world domination.
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“world domination”
Well… yes and no. While that’s true in some cases, it’s only the US where net neutrality is controversial. Elsewhere, those corporations have largely needed to work around rules that preserve it. But, a lot of those rules are around things like opening up former public infrastructure and preventing local monopolies that mean that market forces are able to preserve NN without too much effort from regulators.
It’s true that in the US there’s numerous local monopolies who are also part of the same conglomerate as major news sources and they benefit from violating NN in favour of their own media channels. But, that’s not global.
Just a reminder that net neutrality is not a thing that should require any rules or regulations. In countries with actual broadband competition, where customers can choose from multiple providers and easily change if they’re not satisfied, net neutrality is simply the natural state of the market, because companies going against NN principles will lose customers to superior competitors who treat them better. Regulations are an imperfect band-aid on a thoroughly broken market.
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Please remember the telecom monopolies exist because of gov interference
It’s not a free market because government has stopped it from being a free market. Net neutrality is just more government fucking with the market.
But, sidenote, remember when you guys claimed the internet would end cuz net neutrality wasn’t enforced?
Yeah….good times.
Techdirt: being wrong about everything since 2005
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Which is weird, because where I live, NN is not even a controversial issue because it was protected by government regulation. Where I apparently have more choice and lower prices than people in the US do.
No, but I remember morons misrepresenting what was actually being said. The actual issues seem to have come to pass (e.g Xitter’s recent reported throttling of certain sites, which is a direct violation of NN that would be illegal elsewhere)
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Things that never happened…