The concept of “NET NEUTRALITY” has become hot news this week in the tech world.

But what is “net neutrality”…and why should you care?

Here’s what you need to know:

QUESTION #1:

WHAT IS “NET NEUTRALITY”?

The idea behind net neutrality is that you should be able to do whatever you want on the Internet, as long as it’s legal…

…and your Internet provider (Comcast, AT&T, Time Warner, etc) should not be giving priority to some online content over other online content.

QUESTION #2:

WHY DOES “NET NEUTRALITY” MATTER?

As a hypothetical situation, here’s one of the big fears:

• A big online retailer of books or shoes offers a form of a bribe to your Internet provider that works like this:

“Hey, we’ll give you a million dollars a month if you send our pages to your customers’ computers FASTER…

……while you also send our competitor’s pages to your customer’s computers SLOWER.”

• End result:

• Competition is squelched: Because when you go to the competitor, the pages load slow so you stop going there.

• Innovation is stifled: New innovative companies may find it hard to compete against existing competitors which are already paying Internet providers for preferential treatment…this means innovation is stifled

QUESTION #3:

WHAT ARE SOME OF THE OTHER CONCERNS THAT DRIVE THE DEMAND FOR “NET NEUTRALITY”?

Many in the tech world are concerned that without a formal policy of “net neutrality”…

…that your Internet provider may prevent you from seeing some content or using some features of the Internet that are important to you.

For instance:

You like to watch movies online, perhaps using a perfectly legal service like Hulu.com or Netflix.

But if your Internet provider is also a cable company?

They would prefer that you only watch movies that you pay them to provide…and via cable on your TV instead of via the Internet.

Without net neutrality, you could see how the company’s own self interest could cause them to decide to give lower priority or even to block streaming video…

…for instance, as a way to encourage you to watch TV on your TV instead of over the Net.

QUESTION #4:

WHAT DOES THE FCC SAY ABOUT “NET NEUTRALITY”?

Earlier this week, the FCC spoke up loudly in support of net neutrality with two new key guidelines (but they are not laws):

• Guideline #1: Internet providers should follow reasonable network management practices that do not give preferential treatment to some online content over other online content

• Guideline #2: Internet providers should have a clearly stated and accessible policy that details how they manage their network bandwidth to accomplish net neutrality.

QUESTION #5:

DO THESE NEW FCC GUIDELINES AFFECT MOBILE INTERNET ACCESS, TOO?

As stated, the new FCC provisions apply to all the most common ways we access the Internet:

• Cable

• DSL or via a phone line

• Wireless phone or other handheld device

QUESTION #6:

AND WHAT DO THE INTERNET PROVIDERS SAY ABOUT THESE NEW FCC PROVISIONS FOR “NET NEUTRALITY”?

Wired broadband providers like AT&T, Comcast and Verizon would prefer to see the Internet remain free of regulation.

One can see how, in the future, these broadband providers might want to charge extra for such services as online access to HDTV…but this sort of arrangement might be hindered by net neutrality regulations.

Wireless carriers are also concerned about net neutrality…since currently, their bandwidth is already being stretched as AT&T users know, from the heavy Web usage of devices like the iPhone.\

QUESTION #7:

WHAT IS THE FUTURE OF NET NEUTRALITY?

It’s easy to jump on the bandwagon and demand “net neutrality”…

…but it’s also worth looking at the debate from your Internet provider’s prospective:

• Providing more and more bandwidth to users is expensive

• But we are demanding more and more bandwidth every day

• Meanwhile, many of the services we use on the Internet for free every day…also compete with services our Internet providers also sell (i.e. TV and movies, Skype, etc).

It does seem reasonable that Internet providers would want to find a way to cap costs and even to charge premiums for certain online services…

…and this needs to be factored into any formal net neutrality laws or rules.

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