UPDATE: EU Could Use Antitrust Rules To Enforce Net Neutrality
20 April 2011 - 1:01AM
Dow Jones News
The European Commission Tuesday said it has asked regulators to
monitor the provision of open Internet access in the European
Union, adding that it could turn to antitrust rules to ensure
services aren't slowed down or blocked.
"Over the next few months, in close cooperation with member
states' regulatory authorities, I will be closely monitoring
respect for new EU rules to make sure that they ensure an open
Internet," said EU Telecommunications Commissioner Neelie Kroes in
an emailed statement. "At the end of 2011, I will publish the
results, including any instances of blocking or throttling certain
types of traffic."
The investigation into "net neutrality"--the provision of open
Internet access--will be carried out by the Body of European
Regulators for Electronic Communications, which brings together
national regulators from the 27-nation bloc.
BEREC will investigate the blocking of Internet access and
restrictions on certain Internet traffic, services and websites.
For example, it will look at instances of mobile Internet operators
blocking voice over Internet protocol, or VoIP, services on smart
phone data contracts to ensure users make international calls on
their phone rather than using software applications such as
Skype.
"If BEREC's findings and other feedback indicate outstanding
problems, the commission will assess the need for more stringent
measures," Kroes said.
The commission also said it is "crucial to ensure that consumers
can change operators easily."
The EU's antitrust regulation could be used to pursue "any
behavior related to traffic management and net neutrality that may
restrict or distort competition," the commission said.
Any necessary changes to ensure unfettered access to the
Internet could potentially be costly for telecoms operators.
The debate on net neutrality has proven divisive. Cable Europe,
which represents television and telecoms providers including the
U.K.'s Virgin Media Inc. (VMED), Kabel Deutschland Holding AG
(KD8.XE) and Belgium's Telenet Group Holding NV (TNET.BT), said its
member companies don't block content or applications.
"The intense competition in this market requires us to perform
on quality of service, speed and consumer trust," Caroline Van
Weede, the association's managing director, said in an emailed
statement. "Individual companies that behave anti-competitively can
be sanctioned through current provisions in telecoms legislation
and competition rules."
In contrast, ETNO, a body that represents 40 telecoms companies,
said traffic management--prioritizing certain types of Internet use
over others--is necessary for a secure, safe and reliable
network.
"With the fast increase in data traffic over fixed and mobile
networks, smart management of networks is essential for offering
service quality to all end-users and for developing new innovative
services," Luigi Gambardella, ETNO's executive board chairman, said
in a statement. "In highly competitive markets for fixed and mobile
broadband, any further regulation that would restrict traffic
management and service differentiation would undermine Europe's
digital economy and hamper innovation."
The Internet Society, a non-profit organization that aims to
provide direction on Internet standards, welcomed the decision to
involve antitrust rules.
"We are also pleased to hear the commissioner uphold the rules
of competition as being at the core of the new enhanced telecom
rules on transparency, quality of service and the ability to easily
switch operators," said Frederic Donck, director of the Internet
Society's European regional bureau. "Openness underpins and enables
user access, choice and transparency."
-By Frances Robinson, Dow Jones Newswires; +32 2 741 1486;
frances.robinson@dowjones.com
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