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April 16, 2008

Finally, an Honest Service Provider Reaction on the Net Neutrality Insanity

Analysis of: Virgin Media May Ignore Network Neutrality | www.eweek.com
This analysis is solely the work of the author. It has not been edited or endorsed by GLG.
Analysis By:
Implications: 1.      The discussion does not involve outright blocking of content transmission. 2.      Virgin Media is talking about having a different tier of service in which a premium would be paid for higher-ranking traffic. 3.      Any governmental entity insisting that content should be treated equally will surely result in the law of unintended consequences.  

Analysis:  Trucks have to pay a higher fee than automobiles for extra weight on an expressway.   It cost more to deliver a package overnight – and the heavier the shipment, the bigger the price.  An airline will charge more for additional luggage.  Why should content on the web be any different?  

Only in an entrepreneurial type of corporate culture, like Virgin Media, could there be a leader as forthright in speaking about the folly of mandating network neutrality – not to mention being bold in planning to have separate lanes in delivering content.  In not allowing ISPs, telcos, and MSOs to most effectively run their networks, the overall quality of voice, data, and video transport over the Internet will substantially decline for all subscribers.   

Comcast has pointed out the dirty little secret -- “every network is managed.”  The carriers are left with no other alternative during peak hours of usage.     

Other Analyses of the Same Source Article:
Net Neutrality Debate Not Going Away
April 23, 2008, Author: Tal Raeside, Managing Director, Insight Strategic Services
One man's meat is another man's poison
April 17, 2008, Author: GLG Expert Contributor

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