Monday, November 26, 2007

Battle for speed

As of now telephone and cable companies have been neutral with their service to online companies, but this may not be the case soon. Groups have been lobbying to create a hierarchy system similar to the airplane seating system. The more a company pays the higher up they will be and the faster a user will be able to use that companies material.

On the other side, companies like Yahoo and Amazon have been lobbying to have a "network neutrality" law and regulations to be written up. Both sides have their reasons. Telephone companies say the priority system would create more competition, which in turn would lower prices for telephone and television services. They say they aren't getting very little for their services.

"They don't have any fiber out there. They don't have any wires. . . . They use my lines for free -- and that's bull," said AT&T Chairman Edward Whitacre Jr . "For a Google or a Yahoo or a Vonage or anybody to expect to use these pipes for free is nuts!''

Online companies defend their side stating the internet has always been a neutral venue.

"If carriers are able to control what consumers do on the Internet, that threatens the model of Internet communications that has been wildly successful," said Alan Davidson, Washington policy counsel for Google.

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