FCC in agreement: Agency can’t regulate Netflix

The chairman of the Federal Communications Commission said Netflix throttling its own video over mobile networks does not violate net neutrality.
“It is outside of open Internet. We do not regulate edge providers,” FCC Chairman Tom Wheeler told reporters Thursday.
{mosads}Last week, it was revealed that Netflix slows the download speed of its streaming video over mobile networks such as Verizon and AT&T. The company said it has taken this action, which degrades video quality, for at least five years in order to help customers stay below their monthly data caps imposed by wireless providers.
Observers have said the Netflix’s decision not to inform its customers could possibly violate Federal Trade Commission rules.
But nearly all the FCC commissioners are in agreement that Netflix is outside the scope of their own agency. GOP Commissioner Michael O’Rielly gave a speech on the subject earlier this week. And Commissioner Ajit Pai said the same Thursday.
“I am in violent agreement with commissioner O’Rielly that this is outside of open Internet,” Wheeler said.
The FCC approved strong net neutrality rules last year to make sure Internet service providers do not block, throttle or create paid fast lanes for certain Internet traffic. The regulations are meant to protect customers and Web companies like Netflix that create content. Because of that, the rules only apply to Internet service providers like Comcast or Verizon that haul Internet traffic between users.
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