Cost is more important than service levels for net-neutrality

Many industry experts are currently questioning whether the latest changes to the European Unions telecoms regulation will have any effect on what is supposed to be net neutrality.

The latest rounds of debates are currently questioning whether internet companies like Google should be charged by broadband operators for accessing the broadband provider

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networks that they own. This has led to the internet firms refusing to pay and the operators arguing that if they don’t then the cost of supporting the increasing bandwidth that their services require will become too much for them to afford.

This has led internet firm to claim that if they were charge issued for the services they provided the internet would be changed from a “neutral” zone to a place where giant corporate companies and broadband operators would dominate the market and smaller startup companies would find it very difficult to compete.

At the moment asking internet content providers to pay for something that until now has cost them nothing is something that the broadband operators are unlikely to do, although they are looking at alternative methods of getting what they need.

The concept that when an internet company and request certain functionality from the internet that currently cannot be achieved there would be a cost incurred to provide the new facility. Although this has not happened so far many operators like BT have introduced a number of products that they feel internet companies are likely to pay for the use of.

Many internet companies have been paying for content-delivery network from companies like Limelight and Aramaic, which provide servers access in towns and major cities globally, for quite a while now and this will be a reason for them to look at these new products. By offering an increases number of content servers closer to users’ homes the CDNs owned by operators could provide far more value for money than the current setup.

Source – www.telecoms.com