IPcentral Weblog
  The DACA Blog

Monday, December 5, 2005

It's About The Profits, Stupid!
(previous | next)

Without net neutrality rules, the concept of an open, go-where-you-want Internet is at risk, said representatives of Vonage Holdings Corp. and TiVO Inc. "Net neutrality means the Internet keeps working like the Internet works today," said Chris Murray, vice president of government affairs for Vonage, a VOIP provider. "It's about a larger issue than how much profit network operators can extract."

The above statement appears in a story that ran in Infoworld Nederland, PC World Magazine and ComputerWorld Austrailia. Chris Murray is on to something, of course, in a back-handed way. Whatever else the net neutrality issue is about, it is also about profits. I assume that Vonage would like to make ("extract"?) some too, but please correct me, Chris, if I'm mistaken. I think what Chris is really saying is that a net neutrality regime would allow Vonage to extract more profits than it otherwise might at the expense of the network operators.

Well, I'm not against anyone making a profit, certainly including Vonage, if they can do it without getting the government to unfairly shackle competitors. What's really going on with the net neutrality issue is an attempt, through regulation, to keep the government in the game of picking winners and losers in the new competitive broadband world. This made more sense in the more monopolistic narrowband world, but not any more.

And let's not forget that without profits--or at least the prospect of profits--network operators like cable and telephone companies won't have the capital to build out the facilities that Vonage likes to ride on.

posted by Randolph May @ 10:03 AM |

Share |

Link to this Entry | Printer-Friendly

Post a Comment:

Blog Main
RSS Feed  
Recent Posts
  EFF-PFF Amicus Brief in Schwarzenegger v. EMA Supreme Court Videogame Violence Case
New OECD Study Finds That Improved IPR Protections Benefit Developing Countries
Hubris, Cowardice, File-sharing, and TechDirt
iPhones, DRM, and Doom-Mongers
"Rogue Archivist" Carl Malamud On How to Fix Gov2.0
Coping with Information Overload: Thoughts on Hamlet's BlackBerry by William Powers
How Many Times Has Michael "Dr. Doom" Copps Forecast an Internet Apocalypse?
Google / Verizon Proposal May Be Important Compromise, But Regulatory Trajectory Concerns Many
Two Schools of Internet Pessimism
GAO: Wireless Prices Plummeting; Public Knowledge: We Must Regulate!
Archives by Month
  September 2010
August 2010
July 2010
June 2010
  - (see all)
Archives by Topic
  - A La Carte
- Add category
- Advertising & Marketing
- Antitrust & Competition Policy
- Appleplectics
- Books & Book Reviews
- Broadband
- Cable
- Campaign Finance Law
- Capitalism
- Capitol Hill
- China
- Commons
- Communications
- Copyright
- Cutting the Video Cord
- Cyber-Security
- Digital Americas
- Digital Europe
- Digital Europe 2006
- Digital TV
- E-commerce
- e-Government & Transparency
- Economics
- Education
- Electricity
- Energy
- Events
- Exaflood
- Free Speech
- Gambling
- General
- Generic Rant
- Global Innovation
- Googlephobia
- Googlephobia
- Human Capital
- Innovation
- Intermediary Deputization & Section 230
- Internet
- Internet Governance
- Internet TV
- Interoperability
- IP
- Local Franchising
- Mass Media
- Media Regulation
- Monetary Policy
- Municipal Ownership
- Net Neutrality
- Neutrality
- Non-PFF Podcasts
- Ongoing Series
- Online Safety & Parental Controls
- Open Source
- PFF Podcasts
- Philosophy / Cyber-Libertarianism
- Privacy
- Privacy Solutions
- Regulation
- Search
- Security
- Software
- Space
- Spectrum
- Sports
- State Policy
- Supreme Court
- Taxes
- The FCC
- The FTC
- The News Frontier
- Think Tanks
- Trade
- Trademark
- Universal Service
- Video Games & Virtual Worlds
- VoIP
- What We're Reading
- Wireless
- Wireline
Archives by Author
PFF Blogosphere Archives
We welcome comments by email - look for a link to the author's email address in the byline of each post. Please let us know if we may publish your remarks.

The Progress & Freedom Foundation