US FCC set to back Internet traffic rules

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WASHINGTON, Dec 20 (Reuters) - U.S. communications regulators were poised to adopt Internet traffic rules on Tuesday that would allow providers to ration access to their networks.
Federal Communications Commission members Michael Copps and Mignon Clyburn issued statements on Monday saying they would support the proposal laid out by FCC Chairman Julius Genachowski early this month despite some misgivings.
The rules would ban high-speed Internet providers like Comcast Corp and Verizon Communications from blocking lawful traffic, while recognizing the need to manage network congestion and perhaps charge based on Internet usage.
The rules, to be somewhat looser for wireless Internet, could help cable companies in competition with plans by Microsoft Corp, Google Inc and Amazon.com to deliver competing video content over the same Internet lines the cable companies run to customers' homes.
Charging consumers more for data-intensive tasks like downloading videos could tip the economics of Internet-delivered television back toward cable. The FCC said it would monitor usage-based pricing for abuses.
"Without regulation, rates could go up and up and up and emerging providers like Netflix and Hulu could have problems attracting users," said Daniel Ernst, an analyst at Hudson Square Research.
http://www.guardian.co.uk/business/feedarticle/9416453