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Man holding a sign protesting the abolishing of net neutrality

Man holding a sign protesting the abolishing of net neutrality

The Perils of Repealing Net Neutrality

Two Santa Clara Law professors see risks in repealing the 2015 Open Internet Order.

Two Santa Clara Law professors see risks in repealing the 2015 Open Internet Order.

The Federal Communications Commission has promised that at its  Dec. 14 meeting, it will repeal 鈥淣et Neutrality鈥濃攖he issued under the Obama Administration鈥檚 FCC Chairman, Tom Wheeler.

Under that order, Internet Service Providers (ISPs) like Comcast or Verizon were forbidden from blocking or slowing down Internet speed or access for certain types of users. They also could not engage in 鈥減aid prioritization,鈥 allowing some users to pay extra for the best speeds or first right of access on the Internet鈥攍ike amusement park visitors paying extra to cut to the front of the roller coaster line. The concern was that doing so would unfairly slow access for others, or make other Internet communications fail.

Under Wheeler鈥檚 view, ISPs should be regulated like utility companies鈥攂ecause they hold special control over the public鈥檚 鈥渞ight of way鈥 to a vital civic asset (the Internet) much like phone companies controlled access to land line telephones. That, in turn, means they must abide by certain telecom or communication laws that ensure fairness.

The new FCC Chairman, Ajit Pai, a former lawyer for Verizon, has a different view. He has called the 2015 order 鈥渉eavy handed鈥 and vowed to release ISPs from regulation under the communication laws. He says the Federal Trade Commission, not the FCC, should police any abuses by ISPs, and that competition and innovation will ensure all users continue to have Internet access.

That鈥檚 not how 黑料网 School of Law professors Allen Hammond, IV and Catherine Sandoval see things.

Hammond, director of the Broadband Institute of California who formerly managed access policy for the Carter White House, and Sandoval, an antitrust expert who formerly served on the California Public Utilities Commission, recently sat down to discuss what they see as the dire perils of repealing Net Neutrality.

Risk #1: Paid Prioritization.

Top of mind for both professors was the risk that ISPs like Comcast or Verizon will now be free to engage in paid prioritization arrangements. The FCC would allow ISPs to seek higher fees for top-tier access from both Internet users and from 鈥渆dge鈥 providers who distribute content on the Internet鈥攂e it Netflix, YouTube, a healthcare provider who uses Internet to access medical records, public safety officials, or a professor鈥檚 Internet-streamed lecture.  What, the professors wonder, will that mean for Internet users who don鈥檛 or can鈥檛 pay extra to give their information priority speed or access? Could the ISPs essentially force police, fire, or school districts to pay for priority, just to ensure they can continue to do their civic duties over the Internet? Even worse, what if the person buying the priority access is a deep-pocketed foreign enemy, seeking to degrade Internet access in certain areas?

Headshot of 黑料网 Law Prof. Catherine Sandoval

Sandoval: As we see the character of the internet changing, there seems to be this idea of well, 鈥淲e're just blocking video and it鈥檚 all entertainment.鈥 Well increasingly, it鈥檚 not just entertainment. How many fields has the Internet become really embedded in and central to? It鈥檚 actually harder to name a field that is not dependent on the internet. Education, health, and democracy are increasingly intertwined with the Internet. And democracy is not just a voting booth. It鈥檚 public opinion and debate leading up to that. Agriculture, energy, water, buildings, manufacturing, non-profits and security from the individual level to national security, government鈥 all depend on the Internet. Again, it's harder to name a sector that doesn't use the internet.

The FCC鈥檚 proposal allows ISPs to decide who could buy paid prioritization and on what terms. ISPs could sell priority on differential terms to different people, while refusing to sell priority to others, at their discretion. Several ISPs cited the prospect of paid Internet priority deals for autonomous vehicles, for example. But they made no promises that such priority deals won鈥檛 degrade nearby Internet users. This raises concerns for reliability, access, and even safety for schools, government, or critical facilities.

Risk #2: Free Speech access.

Another risk is that, much like which gave vast powers to corporations to use their wealth to influence political campaigns, repealing Net Neutrality will enable ISPs to control the flow of information鈥攑otentially stifling information they don鈥檛 want aired for competitive, political or other reasons.

Headshot of 黑料网 Law Prof. Allen Hammond IV

Hammond: My fear is that by repealing the Open Internet rules we will finally have done what we鈥檝e managed to avoid doing historically, which is allow the common carriers (ISPs) to be 鈥渟peakers鈥濃 not just to determine access but to be speakers and therefore to make the First Amendment available to them. That puts them in a situation where they not only physically facilitate the flow of information but have justification for controlling its content, because they鈥檙e the editors. The FCC鈥檚 failures to consider the impacts of its proposal on free speech and democracy are, however, legal issues that I predict will be litigated under the Administrative Procedures Act and the First Amendment.

Risk #3. Public safety.

Another concern is that more and more policing, community alerts, and monitoring of vital civic functions takes place over the Internet. Shouldn鈥檛 someone other than a private company, an ISP, ensure they have full ability to function?

Sandoval: The Internet is critical to energy management and protection of people and the environment. For example, when energy demand is too high or there鈥檚 not enough energy generation, California鈥檚 energy grid operator calls on Internet-connected energy resources to reduce demand to prevent blackouts. When that happens, if energy use isn鈥檛 reduced within 20 minutes,  they鈥檝e got another 10 minutes to take demand-reduction action including initiating blackouts. Interference with such demand reduction may increase reliance on climate-damaging fossil-fueled energy, including increased use of diesel generators that emit black carbon. Blackouts also cause traffic accidents, put people who need electricity for health care at risk, and cause other harms. So paid Internet priority can harm public safety, electrical reliability, and the environment, while increasing energy and other costs. The antitrust and unfair competition laws that the FCC says are sufficient only provide remedies for injuries to competition. They offer no remedies for harms to electric reliability, safety, the environment, national security, and other values the FCC鈥檚 2015 Open Internet Order protects.

Risk #4. Democracy.

Sandoval: When we think about democracy, often there鈥檚 focus on what happens at the voting booth, but democracy is not just one minute of action at the voting booth. It鈥檚 all the democratic debate and public opinion-making leading up to that.  And so, especially where there are no rules that prevent paid prioritization from degrading other Internet user鈥檚 communications, you can imagine this happening strategically鈥攚here deep pockets, including foreign adversaries, could buy Internet priority. They may buy priority in locations they believe to be sensitive, or time periods like right before an election, possibly blocking out opposing voices or points of view.  The FCC鈥檚 draft order offers no protection against such degradation, and dismisses concerns about the impact of its proposals on democracy.

Hammond: Under the open internet rules the nation鈥檚 residents have had continued access to the thoughts, experiences, and concerns of their fellow residents. Repeal of the rules affects access and expression. You could have an ISP blocking information about a protest in another neighborhood, another city, another state, or another country. This could return us to an era in which a handful of media corporations choose what is important to know, who is entitled to know it, and who can be dismissed as unimportant and consequently unknown. Such a result has inherent dangers for a diverse democracy like ours.  

Sandoval: The FCC鈥檚 proposals provide no safeguards against nefarious use of paid priority, impose no restrictions on who鈥攆oreign or domestic鈥攃ould buy such priority, and place no limits on the deal鈥檚 purpose. The ISP would have to inform users that it sells paid priority, but would not be required to disclose the deals, the consequences of paid priority to other Internet users, or be required to offer paid priority to all users on the same terms.  As evidence has mounted of foreign interference in the U.S. elections, paid priority adds a new layer of concern that will undoubtedly be litigated once the FCC repeals net neutrality protections.

Risk # 5. E-Commerce

If reliable and fast Internet access becomes essentially available to the highest bidder, an entire industry that 79 percent of Americans use鈥攅-commerce鈥攊s at risk.

Hammond: Repeal of the open internet rules risks undermining the vibrant e-commerce the current policies engender. Sales on the web reached $394.86 billion in 2016, a 15.6 percent increase over 2015 and the highest growth rate since 2013. According to more than 200 Silicon Valley companies who wrote the FCC in support of net neutrality, strong net neutrality protections assure that the internet remains 鈥渁n open marketplace where any business can compete, allowing individuals to start companies easily, market their products across the country, and connect with customers anywhere worldwide.鈥

 

 

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Photo Mary Altaffer/Associated Press