Telecoms watchdog warns on EU rules
The British telecoms regulator has warned that proposed European rules safeguarding “net neutrality” could be damaging if they fail to recognise the need for internet management.
Last month, the European Commission agreed proposals to ensure “net neutrality”, the concept of unrestricted access to the internet. The plans would, for example, ban “business class” internet access for companies willing to pay more.
But support for a more flexible approach to internet management has emerged from the UK, where the regulator Ofcom has said that “well-intentioned but overprescriptive and detailed legislation may deliver the opposite of the intended effect”.
In a speech, Ed Richards, chief executive of Ofcom, expressed concern that such legislation would mean “not more certainty but less. Not the timely exercise of reasonable objective judgment, but the pursuit of time-consuming and self-interested litigation”.
Mr Richards has, as an alternative, outlined a view on legislation that allows both sustaining the quality and performance of the internet and the provision of managed services.
He said that blocking of any kind by internet access providers was “highly undesirable” but that companies should be allowed to apply traffic management to optimise the consumer experience.
He said: “This should not extend to outright blocking, throttling or practices such as the anti-competitive prioritisation of a network’s own content and services. However, it is important that framework of regulation should be fully capable of addressing areas of serious concern such as child safety.”
Mr Richards also supported the provision of managed services by network operators to help them make “a return for investment they have made in their networks” – adding that this should ultimately be beneficial for consumer.
His words are likely to be welcomed by companies in the telecoms industry, which want to develop specialised services and charge different prices.
Telecoms executives have also said that the rules failed to recognise the need to manage internet traffic in order to ensure that services are not degraded. However, the sector has less benevolent reasons to complain given internet services such as WhatsApp and Skype have seen their revenues hit by rival free services.
EU member states will be able to tweak the net neutrality law, although most are expected broadly to support the package that also includes proposals on cutting roaming charges.
The Department for Culture, Media and Sports said that the UK government supported a flexible approach.
“We are committed to an open, safe and secure internet that allows growth and innovation, delivering services and products that consumers want,” it said. “However, we believe that self-regulation and greater transparency of traffic management measures would be more effective ... Regulation risks being too prescriptive, inflexible and may have unintended consequences.”