Net neutrality could mean higher broadband bills

Following the introduction of net neutrality by the EU consumers in Europe have been warned that the cost of their broadband bills could rise considerably.

According to a recent report the EU has recently decided to start using net neutrality, which is basically unrestricted access to the Internet on a first come first served basis. Some industry officials have said that many European consumers could pay billions of Euros extra collectively for their broadband under this scheme, particularly given warnings about how congested the Internet is becoming.

A new report from the Centre for European Policy Studies claimed that the model would result in low end users having to subsidize heavier users, and would also means that service providers were stripped of any incentive to invest in next generation networks to improve services.

The issues relating to net neutrality are due to be discussed by the EU 27 telecoms ministers in meeting that are due to be held over the coming weeks. This is when discussions will also be taking place with regards to legislation designed to encourage investment from telcos, offer broadband coverage across Europe, and improve regulations in relation to broadband.

According to recent reports Ofcom, the UK’s communications regulator, along with a number of other communications regulators, is not happy about embracing net neutrality. An official from Ofcom stated: “We don’t think we should bring it over from the US lock, stock and barrel. We have quite often got more competitors in Europe than in the US. The key for us is transparency. Consumers must know whether there are different arrangements for different ISPs and network providers must have the freedom to make commercial decisions about how to run their networks and invest in new-generation networks.”