Two-tiered Internet: Panel paves way for fees

By Jay Fitzgerald
Boston Herald
Apr. 28, 2006

A Republican-controlled House committee yesterday rejected a measure by U.S. Rep. Edward Markey (D-Malden) that would have barred telecommunication companies from socking Web sites with extra fees based on bandwidth usage.

Markey’s so-called “Internet neutrality” amendment was defeated on a 34-22 vote by members of the House Energy and Commerce Committee.

With defeat of the amendment, Markey warned yesterday that America is moving closer to a two-tiered Internet system in which telecom firms such as AT&T, Verizon, Comcast and other firms can start giving special price deals to some users - while hitting others with higher fees.

“If that’s what happens, it will be the fast lane for the preferred (players) and the slow lane for others,” he said.

A politically diverse group of Gun Owners of America, Common Cause, the American Civil Liberties Union and others bemoaned what they call an attempt by giant telecom companies to effectively take over the Internet.

“Internet freedom is under attack,” said Timothy Karr, campaign director for Free Press.

But the telecom industry countered yesterday that backers of Markey’s amendment were changing the rules of the Internet.

“It’s a solution in search of a problem,” said Brian Dietz, a spokesman for the National Cable and Telecommunications Association.

The Internet has developed without laws dictating pricing - and any such measures will “stifle innovation and investment,” he said.

But Markey said regulators have been recently easing restrictions governing the Web, specifically weakening “anti-discrimination” guidelines that have been the hallmark of the Internet, he said.

Among others, Google has expressed concern that firms such as AT&T might start charging extra fees on heavy bandwidth users. Bloggers have complained they, too, might end up having to spend money to maintain sites if a two-tiered system is implemented.