It appears that Netflix move to enter into a peering agreement with Comcast, essentially paying Comcast for “preferred traffic capacity,” was strictly a tactical move, necessary to protect Netflix’ quality of service to their customers. As I predicted earlier, the recent Court decisions and Netflix’ fait accompli move, may well accelerate action by the FCC to insure Net Neutrality, and block a corporate takeover of the Net.
Netflix has come out in favor of some sort of government intervention when it comes to ISPs that charge content providers for capacity at the edge of their networks, claiming Thursday that it should be a network neutrality issue. The internet video provider recently paid Comcast for direct access to the Comcast network after a prolonged negotiation that led to customers getting a crappy Netflix experience during prime time hours.
However, despite coming to an agreement, Netflix isn’t ready to throw in the towel on the issue of ISPs seeking to charge content companies such as Netflix and Google — as well as transit providers like Level 3 and XO Communications — to connect their networks. While it seems like one unified whole, the internet as we know it is a series of interconnecting networks, and for content such as streaming videos to traverse these networks, capacity must be available.
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