[opendtv] Consolidation of Internet companies

  • From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
  • To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
  • Date: Sat, 21 Jun 2014 01:53:52 +0000

Craig Birkmaier wrote:

> But I agree that there is too much consolidation. The real power that
> a combined Comcast/Time Warner will gain is in leverage with the other
> content companies; this may include the ability to charge for fast
> lanes via their ISP service.

True enough, unless neutrality rules are written properly to forbid this. And 
they can be written properly, IMO.

> Obviously it also includes their own content - NBC Universal, and the
> local/regional news and sports channels owned by Time Warner Cable.
> There is great power moving forward, in controlling Internet access
> to 30% of U.S. homes, and a significant portion of the content that
> these homes will consume.

I'm not positive about this, but I have to believe that what Copps was 
referring to, about being ashamed, was the cost of broadband in the US for a 
given bit rate, as well as the availability in rural areas (perhaps). Not this 
new weirdness about ISPs charging extra to content sources.

Here's an exercise for you. Assume every state had its own broadband provider. 
That would be 50 companies, each operating only in that state. In principle 
that should satisfy Copps' complaint about too much consolidation, right?

But would the 50 companies be competing? The cost equation wouldn't change at 
all for individual households, if you've got just one choice where you live. 
So, either you somehow create a whole lot more local competition, or the system 
has to be a heavily regulated utility.

The same applies to FCC rhetoric about the national cap for TV broadcasters. 
It's not the problem. The TV networks already have 100 percent national 
coverage, so why pretend that preventing station groups from owning stations 
throughout the country makes a difference? What's most important is to have 
multiple voices heard in every location, so it makes sense for no station group 
to have too much local control, and ditto for the TV networks. Local caps are 
needed for that.

Bert

 
 
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