US telecom regulator to finalize net neutrality rules next month

American telecom regulator FCC will finalize net neutrality guidelines next month, said a report in The Wall Street Journal.

The guidelines will enable telecom service providers such as AT&T, Verizon, Comcast, etc. to frame future course of their broadband business in the U.S. AP reports that the new guidelines will decide how these telecoms will charge for flowing content on their high-speed networks.

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American President Barack Obama earlier asked the FCC to put Internet service providers (ISPs) under the same rules as those imposed on telephone companies 80 years ago. The aim is to protect net neutrality, the concept that all online traffic should be treated equally and given the same access to networks.

Broadband user image by Google

The five-member Federal Communications Commission will consider a proposal from Chairman Tom Wheeler on net neutrality rules, said FCC.

The outcome could affect the prices broadband consumers pay for access to entertainment, news and other online content.

Internet service providers reject regulation from the telecom regulator because they feel that such norms will prevent them from recovering some of the costs for connecting to content providers that use large quantities of broadband, such as Netflix.

If American broadband operators are not happy with the net neutrality guidelines, it will negatively impact the investment (Capex) plans of major telecoms. Some of the telecoms have already warned about a possible revision on investment in broadband infrastructure in the U.S. in the wake of American President supporting net neutrality guidelines to assist common broadband users.

Baburajan K
editor@telecomlead.com

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