U.S. regulator adopts rules banning "paid prioritization" on Internet

The U.S. Federal Communications Commission (FCC) on Thursday adopted strong rules that would ban " paid prioritization" in which Internet service providers charge content companies for higher speed connections.

The so-called "net neutrality" rules, approved by a three-to- two vote, reclassified broadband Internet access from an information service to a telecommunications service under Title II of the 1934 Communications Act. That means the FCC would regulate Internet service providers more like traditional telephone companies.

"We have heard endless repetition of the talking point that ' Title II is old-style, 1930's monopoly regulation,'" FCC Chairman Tom Wheeler said in statement. "Let me be clear, the FCC will not impose 'utility style' regulation. We forbear from sections of Title II that pose a meaningful threat to network investment, and over 700 provisions of the FCC's rules. That means no rate regulation, no filing of tariffs, and no network unbundling."

Under the rules, broadband providers may not block or degrade access to legal content, applications, services, or non-harmful devices. They also may not favor some lawful Internet traffic over other lawful traffic in exchange for payment -- in other words, no "paid prioritization" or "fast lanes." In addition, this rules ban providers from prioritizing content and services of their affiliates.

FCC Commissioner Jessica Rosenworcel, who voted in favor of the rules, said in a statement that she supported network neutrality because blocking, throttling, and paid prioritization schemes may undermine the Internet.

"We cannot have a two-tiered Internet with fast lanes that speed the traffic of the privileged and leave the rest of us lagging behind," Rosenworcel said. "We cannot have gatekeepers who tell us what we can and cannot do and where we can and cannot go online."

Republican Greg Walden, chairman of the Energy and Commerce Subcommittee on Communications and Technology, however, responded with a warning that "consumers, investment in state-of-the-art networks, and job creation all stand to lose from today's heavy- handed decision."

"We believe the Internet has worked well under current rules," Walden said. "Resorting to Great Depression-era rules will trigger a stampede to the courts, unleashing years of lawsuits and uncertainty at a time when U.S. leadership and the Internet economy are more important than ever." Enditem