The Federal Trade Commission [FTC] issued a press release in which they are warning that a cautious approach should be taken on the issue of network neutrality. In their report they are saying that in their view there is going to be more competition and not less as some are fearing. They also state:

According to Chairman Deborah Platt Majoras, “This report recommends that policy makers proceed with caution in the evolving, dynamic industry of broadband Internet access, which generally is moving toward more – not less – competition. In the absence of significant market failure or demonstrated consumer harm, policy makers should be particularly hesitant to enact new regulation in this area.”

As the report notes, certain conduct and business arrangements that broadband providers may pursue, including data prioritization, exclusive deals, and vertical integration into online content and applications, can benefit consumers. “The primary reason for caution is simply that we do not know what the net effects of potential conduct by broadband providers will be on all consumers, including, among other things, the prices that consumers may pay for Internet access, the quality of Internet access and other services that will be offered, and the choices of content and applications that may be available to consumers in the marketplace.”

Noting that three federal agencies – the Federal Communications Commission, the Department of Justice, and the FTC – have jurisdiction to address broadband Internet access, the report explains that the FTC, for its part, will continue to devote substantial resources to maintaining competition and protecting consumers in the broadband area. In addition to vigorously enforcing the antitrust and consumer protection laws, the FTC will expend considerable efforts on consumer education, industry guidance, and competition advocacy in the area of broadband Internet access.

So what is all this stuff about Network neutrality? The fear from Internet content companies like Google Inc. and eBay Inc., are that Internet providers could charge extra fees to guarantee access to the Internet or could give priority to some of the Internet content. The larger providers such as AT&T counter they want to provide faster speeds to sites for downloading movies and the like.

What do you think? Do we need Net Neutrality?

Complete press release here.

[tags]ftc, net, neutrality, report, [/tags]