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Laura Lake

Net Neutrality and Marketing - Will FCC Regulations Impact Future Online Marketing Efforts?

By , About.com GuideDecember 21, 2010

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The buzz today is Net Neutrality. If you've spent any time online today more than likely you've been exposed to a high volume of discussions regarding Net Neutrality and rules that were passed by the FCC.

Do you know what they are talking about?

You should, it could affect you. Today, in a vote that was split between party lines, the FCC approved a list of Net Neutrality regulations. These rules are creating controversy, conversation as well as confusion. The nuts and bolts of Net Neutrality is the ability and empowerment for internet providers to better manage bandwidth by charging more to those users who use more and less for those who do not. The goal of Net Neutrality has been to ensure that the internet stays democratic and uncontrolled by the telecom giants that want to become its gatekeepers

Basically the FCC rules that were voted on today create two classes of internet access, one for fixed-line providers and the other for wireless internet providers. You obviously have two sides here, one that belongs to the FCC and the other that consists of internet service providers and their allies in Congress. The argument is that Net Neutrality allows internet providers to regulate cost based on usage and some believe that this just gives too much control. There are also some arguments that state it's a violation to free speech, that it will hinder the advancement of the internet and will lead to a system where only the privileged will have access.

The rules have not yet been released, but you can view and download 5 pages of key excerpts from the Report and Order from the Federal Communications Commission (FCC).

I'm not sure that I believe all of the speculation, but of course one of the questions I have is how will this affect consumers and in return impact online marketing? I'd love to hear your thoughts. If we are charged, based on use will online usage begin to decline? Do you think we will see a change?

Comments
December 21, 2010 at 10:54 pm
(1) Steve Smart says:

If people are charged by usage, I can’t see how usage could NOT go down. Lots of other effects, too. Online ads would get hurt, since fewer people would be seeing them. Fewer people would then be working, since fewer ads would be made.

On the other hand mobile services seem to have it worked out pretty well. But a bunch of people would probably quit listening to Pandora and online radio.

January 2, 2011 at 3:02 pm
(2) Brynn Neilson says:

We’ve had the “user pays” system in New Zealand since the Internet began. It’s a bad system that reduces internet usage, business development and favours the affluent.

Over a decade ago I left New Zealand to travel the world as a web developer. At that time New Zealand had the second highest amount of Internet users per capita in the World. When I returned two years later I was shocked at how much broadband cost and how our country hadn’t progressed at the same speed as the rest of the world – this is largely because the Telcos kept prices high without investing into infrastructure and our government didn’t have a clue about the Internet. User pays Internet has crippled our Internet opportunities. Don’t let it cripple yours too.

brynn :-)

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