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  • Net neutrality suffers a blow in the courts,

  • but is this the end for free and open internet?

  • [MUSIC PLAYING]

  • Hi, this is Annie filling in for DNews.

  • On Tuesday, a US Court of Appeals

  • ruled against the Federal Communications Commission

  • in a decision that voided much of the FCC's existing

  • net neutrality rules.

  • The ruling was the result of a suit filed

  • by Verizon who charged that the FCC's neutrality rules violated

  • their First and Fifth Amendment rights.

  • Those rules, which the FCC put in place in 2010,

  • dictate a few things.

  • Basically ISPs can't discriminate

  • against certain types of traffic,

  • can't block any lawful content, and should

  • be open and transparent with customers

  • with how they manage their traffic.

  • But in this decision, the court rejected those rules

  • on the grounds that, quote, "The commission

  • failed to establish that the anti-discrimination and anti

  • blocking rules do not impose, per se,

  • common carrier obligations."

  • Common carriage is a legal concept

  • that informs the regulation of traditional telecom companies.

  • In 2002, though, the FCC classified

  • ISPs as information services rather than

  • telecoms, which weakened the relevance of common carrier

  • principles as a framework in this case.

  • What does this all mean though?

  • Basically, this decision would allow broadband providers

  • much more freedom in creating new pricing

  • models for internet, and to strike deals

  • with internet companies or content providers

  • deliver their content more readily to consumers.

  • We don't know yet how a ruling like this

  • would shake out in deals among the ISPs, internet companies,

  • and content providers, and then trickle down to us consumers,

  • but one possible scenario is tiered internet service

  • where ISPs could charge more to companies

  • like Netflix or Google to deliver their traffic faster.

  • Together, just those two companies make up over half

  • of all internet traffic, according

  • to one study by the firm Sandvine in 2013.

  • But advocates for net neutrality say that pricing environment

  • will hamper innovation, in effect killing

  • the current open atmosphere, where anyone with an idea

  • can build it online at relatively low cost.

  • And more broadly, some are worried that the decision could

  • give broadband companies too much power in deciding

  • what content is freely available.

  • I don't think too many of us are in love

  • with the idea of Verizon choosing what we can see,

  • but does this mean that net neutrality is dead?

  • Not exactly.

  • FCC chairman Tom Wheeler pointed out in a blog post

  • that the court's decision did concede that the FCC has

  • the authority and the responsibility

  • to regulate the activities of broadband networks.

  • In other words, the court rejected

  • the framework offered by the FCC,

  • but not the idea that they can regulate internet providers.

  • Someone just has to come up with a better framework

  • for regulating the uncharted territory that is the internet.

  • And the FCC says they might appeal

  • the ruling, in which case it could end up

  • in the Supreme Court.

  • But either way, the battle isn't over, so let us know your take.

  • Will this decision be bad for consumers?

  • As always, you can weigh in with us

  • on Twitter or Facebook, @DNews, and you

  • can ping me as well, @AnnieGaus.

  • Thanks for watching.

Net neutrality suffers a blow in the courts,

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