Former FCC Chairman: ISPs Need to Implement Data Caps

October 24, 2013 - GamePolitics Staff

Michael Powell, a former Federal Communications Commission (FCC) chairman (under President George W Bush) and now President and CEO of the National Cable and Telecommunications Association (NCTA), recently said that ISPs should be moving with urgency to implement data caps on their customers.

His remarks, chronicled by Multichannel News at the recent Cable-Tec Expo in Atlanta, were in response to a question about data caps.

Powell was also asked about usage-based broadband policies, which are permissible by the FCC. He disagreed with arguments that the window for usage-based broadband is closing or that it’s too late for MSOs [multiple-system operators] to implement usage-based policies when consumers have grown accustomed to unlimited access.

Cable, he said, “should be moving with some urgency and purpose” with respect to usage-based billing. Powell said operators have sound economic reasons to pursue a new model but acknowledged that the industry faces perceptions that usage-based billing is viewed as an anti-competitive move designed to disadvantage over-the-top video providers.

“I don’t think it’s too late,” Powell said, noting later that the wireless industry has been acclimating consumers on the concept of usage-based Internet access. “But it’s not something you can wait for forever.”

The NCTA could not provide a transcript of Powell's remarks at the event when asked by Ars Technica, instead directing them to the lobbying group's policy page on the subject:

"Since Americans are accustomed to paying for what they use, some broadband providers are developing usage plans that promote fairness by asking high capacity Internet users to shoulder a greater proportionate share of network costs," the NCTA argues. "But instead of applauding increased consumer choice and common sense pricing, some critics want to force average users to pay a flat fee akin to a 'universal' service, no matter if they are an occasional visitor or frequent 'super user.'"

While the FCC has implemented some "net neutrality rules" the agency left usage-based billing, or data caps on the table and at the discretion of ISPs in the country. For many watchdog groups and activists it was a major failure on the part of the FCC and deemed by some as a concession to companies who would have fought harder against the rules...

Source: Ars Technica


Comments

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

This is stupid.  He should be swaying the other way and pointing out the ridiculousness of cellular data caps.

Also, he's clearly forgotten about:

http://www.newnetworks.com/broadbandscandals.htm

Here's what he should have said:  No data caps - figure out how to make your network work.  Charge reasonable rates in line with the above URL.

- Left4Dead Why are zombies always eating brains? I want to see zombies that eat toes for a living. Undead-related pun intended.

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

Wait, you mean like the already rediculous prices of Cell phone internet and service?

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

Fine, do that and you sure as fuck better start charging us for what it's really worth.

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

ISP customers: Former FCC Chairman needs to STFU.

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

"Since Americans are accustomed to paying for what they use, some broadband providers are developing usage plans that promote fairness by asking high capacity Internet users to shoulder a greater proportionate share of network costs," the NCTA argues. "But instead of applauding increased consumer choice and common sense pricing, some critics want to force average users to pay a flat fee akin to a 'universal' service, no matter if they are an occasional visitor or frequent 'super user.'"

XD

HAHAHAHAA, omg, you guys!  I think...  I think he is actually suggesting that ISP's would-  get this!- that ISP's would *reduce* prices for "average" users, instead of just raising prices on the "high capacity" ones and calling it a day.  Priceless.  Where do they come up with these people?

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

Don't you just love the revolving door of DC politics? Nothing like someone elected or appointed to be a public servant jumping ship to advocate for private interests. Good old crony capitalism. 

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

Yeah, we grew out of the AOL phase of the interwebs years ago buddy, I sincerely doubt anyone wants to go back to that bull.

"Mommy, it won't connect to the internet and I have to research a report!"

"Sorry sweetie, daddy watched a youtube video and we hit our monthly cap."

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

Umm yeah.. no.

Alls this will do is corrupt and run down the quality of online services, milk more money from the consumers, and all over give nothing in return but higher bills to everyone. Even the companies that control it.

If anything it would effectively kill a lot of services, and upset not only the private sector, but the business as well in a very very heavy way. Many services rely on internet service, as do the common people. Limit the access and you cut off a LOT of peoples lively hood, and ability to access/control business and property.

The only people to actually benefit from this would be the providers themselves, and the cable/satellite companies whom are losing to the likes of cheaper online alternatives like netflix and Hulu.

 

Re: Former FCC Chairman: ISPs Need to Implement Data Caps

I'm guessing that's pretty much the point? Hit your cap and can't watch Netflix? look at all these options we're charging out the as for? Don't like the prices? It's that or nothin buddy.

 
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