Net Neutrality Presentation

30
Net Neutrality: An Issue By Any Other Name GMU Information Economy Project Mini-Conference September 28, 2006 Paul Misener / Amazon.com

Transcript of Net Neutrality Presentation

Page 1: Net Neutrality Presentation

Net Neutrality:An Issue By Any Other Name

GMU Information Economy Project Mini-Conference

September 28, 2006

Paul Misener / Amazon.com

Page 2: Net Neutrality Presentation

Net Neutrality 2September 28, 2006

Outline

Pull is Fundamental Changing Business Model? Net Neutrality The Disagreement Get Paid? Questions/Discussion

Page 3: Net Neutrality Presentation

Net Neutrality 3September 28, 2006

Pull is Fundamental Changing Business Model? Net Neutrality The Disagreement Get Paid? Questions/Discussion

Page 4: Net Neutrality Presentation

Net Neutrality 4September 28, 2006

The Internet: “Pull” is Fundamental

ISP

Business

Business ISP

Home

Internet Backbone

Residential ISP

ISP

Page 5: Net Neutrality Presentation

Net Neutrality 5September 28, 2006

The Internet: “Pull” is Fundamental

ISP

Business

Business ISP

Home

Internet Backbone

Residential ISP

ISP

HTTP “GET”

Page 6: Net Neutrality Presentation

Net Neutrality 6September 28, 2006

The Internet: “Pull” is Fundamental

ISP

Business

Business ISP

Home

Internet Backbone

Residential ISP

ISP

“Resource”

Page 7: Net Neutrality Presentation

Net Neutrality 7September 28, 2006

The Internet: “Pull” is Fundamental

ISP

Business

Business ISP

Home

Internet Backbone

Residential ISP

ISP

“Resource”

“Resource” gets here only if pulled by end user

Page 8: Net Neutrality Presentation

Net Neutrality 8September 28, 2006

Pull is Fundamental Changing Business Model? Net Neutrality The Disagreement Get Paid? Questions/Discussion

Page 9: Net Neutrality Presentation

Net Neutrality 9September 28, 2006

Internet Access

ISP

Business

Business ISP

Home

Internet Backbone

Residential ISP

ISP

$

$

Page 10: Net Neutrality Presentation

Net Neutrality 10September 28, 2006

But Residential Internet Access is Changing

Concentration

Digital Technology

FCC Removal of Safeguards

Network Operator Plans

Page 11: Net Neutrality Presentation

Net Neutrality 11September 28, 2006

Concentration

ISP

Business ISP

Home

Internet Backbone

Residential ISP

ISP

10s 1 or 2

Business

$

$

Page 12: Net Neutrality Presentation

Net Neutrality 12September 28, 2006

Digital Technology

ISP

Business ISP

Home

Internet Backbone

Residential ISP

ISP

analog digital

Business

$

$

Page 13: Net Neutrality Presentation

Net Neutrality 13September 28, 2006

FCC Removal of Safeguards

ISP

Business ISP

Home

Internet Backbone

Residential ISP

ISP

non-discrimination rule no rule

Business

$

$

Page 14: Net Neutrality Presentation

Net Neutrality 14September 28, 2006

Network Operator Plans

ISP

Business ISP

Home

Internet Backbone

Residential ISP

ISP

Business

$

$

Page 15: Net Neutrality Presentation

Net Neutrality 15September 28, 2006

Network Operator Plans

ISP

Business ISP

Home

Internet Backbone

Residential ISP

ISP

$

Business

$

$

Page 16: Net Neutrality Presentation

Net Neutrality 16September 28, 2006

What is the new $?

X% of transactions?

X% of online revenue?

$X per net op subs that are OSP customers?

$X for “special” security measures?

Page 17: Net Neutrality Presentation

Net Neutrality 17September 28, 2006

Internet of Today

3

Cable

Business ISPs

Homes

Internet Backbone

n

2

1

Telco

Residential ISPs

B

C

N

A

Business

Page 18: Net Neutrality Presentation

Net Neutrality 18September 28, 2006

Internet of Tomorrow?

3

Cable

Business ISPs

Homes

Internet Backbone

n

2

1

Telco

Residential ISPs

$

B

C

N

A

Business

Page 19: Net Neutrality Presentation

Net Neutrality 19September 28, 2006

Pull is Fundamental Changing Business Model? Net Neutrality The Disagreement Get Paid? Questions/Discussion

Page 20: Net Neutrality Presentation

Net Neutrality 20September 28, 2006

Net Neutrality

Preserve the openness of the InternetGood for consumers, innovation

Prevent the extension of market powerNot bust up the power a la 96 Act

Core idea: no discrimination based on the source or ownership of content

Page 21: Net Neutrality Presentation

Net Neutrality 21September 28, 2006

Pull is Fundamental Changing Business Model? Net Neutrality The Disagreement Get Paid? Questions/Discussion

Page 22: Net Neutrality Presentation

Net Neutrality 22September 28, 2006

Disagree: Facts not Philosophy

Let the Competitive Free Market Work But >98% duopoly

Don’t Start Regulating the Internet But non-discrimination governed most

Net Ops Won’t Invest w/out Discrimination But fast deployment under non-discrimination

Common Carriage Bad, Video Competition Good But it’s not, and video comp bill relies on non-discrimination

Net Ops Should be Paid for Services

Page 23: Net Neutrality Presentation

Net Neutrality 23September 28, 2006

Pull is Fundamental Changing Business Model? Net Neutrality The Disagreement Get Paid? Questions/Discussion

Page 24: Net Neutrality Presentation

Net Neutrality 24September 28, 2006

OSP 1

OSP 2

End User B

End User A

No discrimination based on content source/ownership

Basic Model

OSP1 $OSP2 $

EU B $

EU A $

Router functionality operating at the packet and, perhaps, the sub-packet level, and not necessarily a separate physical device.

Page 25: Net Neutrality Presentation

Net Neutrality 25September 28, 2006

OSP 1

OSP 2

End User B

End User A

No discrimination based on content source/ownership

Basic Model

OSP1 $OSP2 $

EU B $

EU A $

Details of the Local Cable or Telco Network

Router functionality operating at the packet and, perhaps, the sub-packet level, and not necessarily a separate physical device.

Page 26: Net Neutrality Presentation

Net Neutrality 26September 28, 2006

OSP 1

Edge Server serving OSP1’s content, etc. (by, e.g.,

Akamai, or RAND by net op)

OSP 2

End User A

OSP1’s content, etc.

OSP Paid RAND Edge Serving

End User B

OSP1 $

OSP1 $

OSP2 $

No discrimination based on content source/ownership

EU B $

EU A $

Page 27: Net Neutrality Presentation

Net Neutrality 27September 28, 2006

OSP 1

Private network carrying OSP1’s content, etc. (by, e.g., Level3, or RAND by net op)

OSP 2

End User B

End User A

OSP Paid RAND Private Net Injection

OSP1 $OSP2 $

OSP1 $

No discrimination based on content source/ownership

EU B $

EU A $

Page 28: Net Neutrality Presentation

Net Neutrality 28September 28, 2006

OSP 1

OSP 2

End User B

End User A

User Paid QoS (“turbo button”)?

OSP2 $OSP1 $

No discrimination based on content source/ownership

EU B $

EU A $

EU A $

New

Page 29: Net Neutrality Presentation

Net Neutrality 29September 28, 2006

OSP 1

OSP 2

End User B

End User A

OSP Paid RAND QoS?

OSP1 $OSP2 $

No discrimination based on content source/ownership

EU B $

EU A $

OSP1 $

New

Page 30: Net Neutrality Presentation

Net Neutrality 30September 28, 2006

Pull is Fundamental Changing Business Model? Net Neutrality The Disagreement Get Paid? Questions/Discussion