Fergie's Tech Blog

ISPs Warn of Price Increases as Panel Approves 'Net Neutrality' Bill

Via OUT-LAW.com.

The US House Judiciary Committee approved a bill yesterday to prevent broadband providers from charging extra fees to websites for delivering their content to users. But the law would be "a direct financial hit to consumers," say internet providers.

The Internet Freedom and Nondiscrimination Act of 2006 was approved by a vote of 20–13. It articulates concerns that have been expressed by numerous consumer groups as well as content providers including Google, Yahoo! , Amazon.com and Microsoft.

Such companies spend fortunes on hosting web content; they don't want to pay new fees for users to access it. But that is a revenue source that cash-strapped broadband providers are contemplating in the US, forming plans that have been characterised as leading to a 'two-tier internet'.

posted by Fergie @ 5/26/2006 07:12:00 AM