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FCC To Drop Boom on Comcast, Online Ad Industry?

Written on
July 11th 2008
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by Kathleen  |
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sehablasearch_small.jpgADOTAS – The Federal Communications Commission is reportedly poised to punish Comcast for blocking file-sharing applications, a decision that could have wide-ranging implications for the online industry.

If the agency does decide against the Internet provider, it would be an industry first.

Comcast got itself into hot water last Fall when it admitted that it slowed down (or blocked) some of its customers’ file transfers, consumer groups, net neutrality advocates and legislators complained, accusing the Internet provider of discriminating against especially prodigious Internet users.

Last night, FCC head honcho Kevin Martin told the Associated Press that he would recommend punishing Comcast, order an end to the file-blockage – and order Comcast to disclose how often it blocked usage and which customers were affected. Comcast would also have to come up with a plan to avoid slowing traffic in the future.

Net neutrality advocates Free Press said: “The F.C.C. now appears ready to take action on behalf of consumers. This is an historic test for whether the law will protect the open Internet. If the commission decisively rules against Comcast, it will be a remarkable victory for organized people over organized money.”

If the reports are accurate, and Comcast is punished, many observers are invoking the dreaded specter of pay-per-data-use charges that would surely reduce the online surfing time of even the most devoted Internet junkie (and of course, online ad revenue).



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