FCC wrangles over 'Net neutrality' issue

The five-member commission met at Stanford University during a planned seven-hour meeting delving into "Net neutrality," the principle that all Internet traffic be treated equal.

It was the second such hearing the FCC has held this year, its interest on the subject piqued by formal complaints that Comcast Corp. is blocking certain of its customers who upload videos, music and other large data files from using its network during peak traffic times.

FCC commissioners Michael Copps and Jonathan Adelstein called for the agency to strengthen its power to prevent Comcast and its competitors from unfairly discriminating against some customers. But two others, Deborah Tate and Robert McDowell, warned against burdening the industry with additional, costly regulations.

FCC Chairman Kevin Martin argued that the FCC's current Internet policy is sufficient, appearing to side with the anti-regulation camp. But he said the FCC's policy needs to be enforced to guarantee that whatever actions Internet service providers are taking "is tailored to a legitimate purpose."

Martin is seen as a swing vote on the commission for his insistence that the FCC's Internet policy, which guarantees that consumers can access all the lawful content they desire, is enforceable. Comcast officials and other service providers argue that the FCC's Internet policy is merely advisable and not a regulation.

Martin also broke with the anti-regulation commissioners by agreeing that Comcast and other companies should be permitted to manage their networks to ensure traffic flows smoothly, but that customers should be given notice.

"There must be adequate disclosures of the particular traffic management tools," Martin said. "Consumers must be fully informed of the exact nature of the service they are purchasing."

McDowell argued, however, that requiring such disclosures could expose companies to exposing trade secrets.

Copps called for strengthening the FCC's Internet policy to include an anti-discriminatory rule.