The Telecommunications Economy: Net Neutrality

Telecommunications is the central nervous system of the American economy. It has revolutionized virtually every aspect of our lives and every industry, from education and health care to banking and finance. Between 1995 and 2004, advances in telecommunications and information technology were responsible for as much as 75% of U.S. labor productivity gains. To remain competitive in the world, the United States must have the most advanced telecommunications technologies and services.

This fact sheet is part of an educational campaign which describes how the use and availability of advanced telecommunications technologies and services impact the U.S. economy and the nation's ability to compete in the global marketplace.

• "Net neutrality" suggests that the Internet should be operated in a neutral manner—meaning that users should be free to visit their choice of legal Web sites, to connect video game systems and other such devices to the Internet, and to access online applications, without interference from service providers, content providers, or the federal government. Unfortunately, though, some members of Congress think "net neutrality" means that the federal government should regulate the Internet experience for providers and users alike.
• The Federal Communications Commission (FCC) has adopted a policy statement that outlines four "net neutrality" principles designed to encourage broadband deployment, and preserve and promote the unrestricted nature of the Internet.
• The Internet is like a highway. Without enough lanes to accommodate the volume of cars, traffic jams occur. Widening the highway reduces congestion. The same principle applies to the Internet. Unless we invest in the infrastructure of the Internet, businesses and consumers will face massive traffic jams on the information superhighway as increasing amounts of high-volume traffic, like video, clog the existing transmission lines. 
• As part of the larger "net neutrality" discussion, some members of Congress have announced their intent to introduce legislative language that would deter the investment necessary to avoid these traffic jams and realize wide-scale broadband deployment.
• "Net neutrality" legislation would, for the first time, impose government regulation on the Internet.
• TeleCONSENSUS opposes this legislative action and believes that telecommunications markets should be driven by advances in technology, competition between telecommunications companies, and consumer choice, not by government regulation.
• The United States cannot afford for its economy to be stuck at an Internet red light. The Internet has succeeded precisely because it has not been burdened with government regulation.
• Keep the "super" in information superhighway. Say NO to "net neutrality" legislation!

To download a PDF version of this fact sheet, please click here.