Sen. Stevens offers deal on Net neutrality

Sun Jun 18, 2006 4:13 PM ET

By Jeremy Pelofsky

WASHINGTON (Reuters) - Senate Commerce Committee
Chairman Ted Stevens has offered a compromise in
the fierce fight over legislation on Internet
network neutrality, but stopped short of demands
sought by content companies like Google Inc.

Google, Microsoft Corp. and other Internet
companies have lobbied hard for Congress to bar
broadband Internet service providers such as AT&T
Inc. and Comcast Corp. from charging them to
guarantee access and service quality, often called network neutrality.

AT&T and Comcast, two of the largest high-speed
broadband Internet providers, have opposed any
obligations imposed on their services or restricting their business operations.

Stevens has added a new section to his proposed
bill aimed at preserving consumers' ability to
surf anywhere on the public Internet and use any
Web-based application, according to the latest
draft obtained by Reuters this weekend.

However, the draft by the Alaska Republican does
not include a ban on pricing content companies have demanded.

Earlier versions of the bill only called for the
Federal Communications Commission to report on
Internet access, prompting Hawaii Sen. Daniel
Inouye, the top Democrat on the committee, and
some others to call for more protections.

Striking a compromise would likely make it easier
for the bill to pass this year. AT&T and Verizon
Communications want it to pass quickly because it
would also make it easier for them to get
licenses to offer cable television service.

The Senate committee is scheduled to consider
amendments and vote on the measure at a meeting
on Thursday. Spokesmen for Stevens and Inouye
were not immediately available for comment.

Stevens' compromise would also create a complaint
process through the FCC if consumers believe
their access rights were violated and the agency
would be authorized to adjudicate complaints with
penalties, according to the draft.

However, the FCC would be barred from issuing any
regulations under the new law that would add to
the obligations on Internet service providers.

The compromise is somewhat similar to legislation
that passed the House of Representatives.
However, there are other differences between the
House and Senate that would have to be resolved.

Broadband providers argue that they would not
block any public Internet site or application but
may want to offer private Internet-based services
like for customers to download movies.

But content companies worry that will squeeze
public Internet traffic into a narrower, slower lane.

Another new provision in the bill would require
Internet providers to offer stand-alone service
without forcing subscribers to sign up for other
products, like voice or video services. Some
companies already do so but charge more.
© Reuters 2006.