We wrote in this space at length previously about Comcast's zealous, if not a bit l
engthly, hair-splitting and Clintonian defense of their "network management" techniques which they use to throttle (legitimate) Bittorrent traffic from reaching their cable customers by forging reset packets.
A little background here. As Vuze explains in their r
esponse to Comcast's defense, they are not asking the FCC to allow a total free-for-all. The Commission already allows "reasonable network management" by Internet providers. They've just never...defined it. So, this is one of those situations where
"it depends on what the meaning of is, is." That's right, we're getting to one of those parsing, nit-picking issues that ultimately decide the big picture. Vuze's lawyers actually put it rather simply:
Vuze, Inc. ("Vuze") hereby requests the Commission to commence a rulemaking
proceeding to determine the parameters of "reasonable network management" by
broadband network operators and to establish that such network management does not
permit network operators to block, degrade, or unreasonably discriminate against
lawful Internet applications, content or technologies.
Sounds reasonable enough to me, right? If Comcast wants to use "reasonable network management," reasonable people can agree on what reasonable is, right? If I'm a network guy, I want my network to be stable and allow my users to "get things done." But, as always the devil is in the details. Comcast wants to decide what "things" should "get done" when online videos are concerned. When your company's "thing" is pretty unique and special, you tend to want people to get access to it. That's the point of the Internet, right?
Vuze is one of the fastest growing platforms for delivery of high-resolution
digital content over the Internet. Consumers can use Vuze's desktop application to
download and view licensed and self-published DVD-quality and High Definition
("HD") content from a variety of sources, ranging from "traditional" networks such as
A&E, The History Channel, National Geographic, BBC and PBS, to newer sources that,
until now, have lacked an effective means of finding viewers and efficiently delivering
content to them. Vuze also provides access to a growing number of licensed video
game software applications. Put simply, Vuze delivers on the promise of the Internet to
serve as an outlet for a richer and wider array of content than is available through
traditional distribution mechanisms. Vuze is powered by an award-winning peer-to-
peer ("P2P") client that enables consumers to download large files conveniently and
efficiently.
Vuze's lawyers do a nice job of hitting back, using the Commission's own words against Comcast. Now, Comcast has previously argued that this "Policy Statement" shouldn't be given the force of law. But why would the Commission issue it a statement if they didn't want to make it clear what was kosher and what isn't? These guys just don't go around issuing "Policy Statements" willy-nilly the way the Congress names Post Offices. Whatever criticisms you might have against the FCC, the people who work there (including some people I know...Heck, in the interests of Full Disclosure, my parents actually met while working at the FCC. Without that agency, it is possible I would not exist..) are professionals who take their jobs very seriously. Vuze believes that Comcast is sticking a thumb in the FCC's eye here.
As described in greater detail below, Vuze is aware that at least one major
broadband network operator, Comcast, is attempting deliberately to degrade and, at
times, block content from Vuze and other Internet companies that use similar P2P
technology. Vuze believes that other broadband network operators are engaging in
similar tactics. Such arbitrary discrimination against traffic carried on their networks
runs counter to the Commission's policy of "preserv[ing] and promot[ing] the open and
interconnected nature of the public Internet."1 The deliberate degrading and blocking
of content also calls into question whether consumers are effectively able to "access the
lawful Internet content of their choice," "run applications and use services of their
choice," and benefit fully from "competition among network providers, application and
service providers, and content providers," again as required by Commission policy.2
------
1
Appropriate Framework for Broadband Access to the Internet over Wireline Facilities, Policy
Statement, CC Docket No. 02-33, FCC 05-151, at 3 ("Broadband Policy Statement").
2
Id.
Really, they're paraphrasing TV's Judge Judy, who famously wrote a book entitled
Don't Piss on my Leg and Tell Me it's Raining.
Vuze starts to move in for the kill when they call Comcast out as possibly being anticompetitive. Remember, in addition to your cable modem service, you probably get video service from Comcast, too. So, Comcast sells video, Vuze sells video over the same pipe, but Comcast owns the pipe...hmmm...I'm not a lawyer so I'll let Vuze say what I'm thinking..
Comcast's actions starkly raise the issue of whether broadband network
operators should be permitted the unfettered discretion to restrict or block traffic
carried on their networks and to censor legal content or discriminate against
applications and services that they may perceive as competing with their offerings.
Ah-Ha! And it's not just this little guy Vuze or a bunch of pirates that are offering up video content over P2P technologies, either.
Even major copyright holders have embraced the utility of torrent technology for distributing large video and software files efficiently and rapidly. In addition to Vuze, other legal video sources that use torrent technology include companies that together distribute content from sources such as CBS, MTV, Paramount, 20th Century Fox, the Discovery Channel, BET, Dow Jones, Sony Pictures Television, Sports Illustrated, and sports leagues such as the NHL and
You may have heard of those guys. They use it, too, and they're getting blocked while Comcast's Video on Demand service flies right on by. Does that make the picture any clearer?
Also, if you look at the current 700mhz Spectrum Auction going on, FCC Chairman Martin got his (and Google's) wish that the most lucrative block be kept as "open access" so anyone could buy a phone for use on the network. Why should wired broadband be any different? In fact, there have been so many problems with network operators censoring or not censoring content depending on the situation that this is exactly why the FCC exists. Money quote, with my emphasis added in bold:
While the Comcast example most vividly exemplifies the betrayal of the
Commission's open Internet principles by a large network operator, there have been
other recent actions by network operators that should give policymakers cause for
concern. Recently, it was reported that Verizon refused to allow opt-in text messages
from NARAL, a large pro-choice advocacy group -- a decision which it quickly reversed following a story in the New York Times and subsequent outcry.14 Within the
last few weeks, Rebtel, a VoIP company offering low-cost international calls on mobile
phones, was denied access to wireless networks by Verizon Wireless, T-Mobile, and
Alltel.15 A few months ago, AT&T was in the news for allegedly censoring comments
critical of President Bush during a webcast of a concert by Pearl Jam.16 Finally, at least
two major broadband network operators, Verizon and AT&T, include clauses in their
Terms of Service that allow them to terminate the service contracts of subscribers who
criticize the network operators or their business partners.
The common thread in the above examples is that network operators exert
unfettered control over their users' ability to communicate (including engaging in
political speech) and over providers of Internet applications, content and technologies
that seek to reach their subscribers. The public interest is harmed whenever network
operators restrict innovation and access to content, censor political speech, or
unreasonably discriminate against or frustrate the legitimate efforts of their
If you read the Communications Act of 1934 and the Communications Act of 1996, the FCC is given the responsibility of acting to protect the public interest. Vuze isn't even asking for some nanny-statish over-regulation. They even seal the deal with an appeal to let the market work:
Vuze and a growing number of content distribution companies are distributing legal content using a particular lawful technology -- a technology that it now finds is being discriminated against by at least one of the major broadband network operators. While network operators certainly should have the ability to engage in reasonable network management, without clear
rules and greater transparency, Vuze and other content distribution companies will
have no assurance that a redesigned distribution mechanism will be acceptable to
network operators. While some uncertainty -- technical and otherwise -- is part of any
Internet business, the uncertainty in this case stems from the whims of network
operators rather than the effects of the free market.
Not only that, but they'd like the FCC to keep the fox from guarding the henhouse.
Third, while Comcast asserts that its actions amount to nothing more than
"reasonable network management," such characterizations must be met with a degree
of skepticism when the content they are degrading is likely perceived as a threat to their
dominance in the market for electronic distribution of video content. As discussed
above, Vuze is a rapidly growing source of legal downloads of high quality video
content from a variety of traditional and new sources. Distribution of such video
content is no doubt looked upon with apprehension by network operators who would
prefer to restrict their subscribers to content in which the network operator has a
financial interest. Indeed, by degrading the high-quality video content by which Vuze
differentiates itself in the marketplace, network operators can seek a competitive edge.
Network operators must not be allowed to undermine the promise of the Internet as a
means for distributing diverse content and satisfying actual consumer demand for
particular content.
Free markets? Consumer demand? Sounds good to me.
In addition to Vuze,
Comcast and Free Press have also filed comments with the FCC, and they're joined by the Center for Democracy & Technology, the ITIF, and the Progress & Freedom Foundation. I don't have time for all of them now, but they should make for some interesting reading later. Watch this space.