Netflix breaks the battle for network neutrality

At Code Conference 2017, Netflix CEO Reed Hastings said the company is no longer supporting the concept of network neutrality , which is threatened by a proposal by the US Federal Communications Commission (FCC) to withdraw the ban on prioritizing certain classes of applications (e.g., World Wide Web) before other (e.g. IP telephony) telecommunication service providers. Mark Bonica / Flickr / CC Network neutrality is a human right to equal access to all Internet resources. The term was coined by Columbia University professor Tim Wu in the early 2000s. We are talking primarily about the speed of connection and the need for an additional fee for it in certain cases.





And in 2012, when Netflix was a small company (having only streaming and DVD rental services), it took an active position in protecting network neutrality. When Microsoft decided to allow providers (in particular, Comcast) to use the Xbox as an authentication device for existing cable TV subscribers, Hastings criticized the decision. Since then, Netflix has repeatedly supported the idea of ​​network neutrality.

However, with every year support for Netflix weakened, and now - completely stopped. “Now this is not our battle,” said Hastings. “We are a fairly large company, so we can conclude deals that we want.”

Hastings openly stated that Netflix is ​​no longer interested in maintaining network neutrality, as the platform is a leader in the video streaming market. The FCC decision will allow Netflix to strengthen its position at least in the short term. If network neutrality "falls", then Netflix will set a high threshold for entering the market, and new streaming services will not be able to overcome this bar.

However, there is reason to believe that the FCC will lose the court on this issue, because according to a survey conducted in the US, the public is opposed to the termination of the concept of neutrality. Therefore, what the statement of CEO Netflix will lead to is difficult to determine now.

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