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Now this is interesting….! Can’t wait to see the ISP’s lineup of lawsuits. …and the methodology makes sense: If your going to get state contracts (paid for by the taxpayers) then you will give taxpayers unthrottled access to those same services. Seems perfectly fair and completely open market to me. The tax payers are leveraging the price based on open market principles…they are just doing it through a representative.

That is how the open market is supposed to work: The companies will charge what the market can bear. The market can bear what the customers decide. The fact that all the customers get a single voice and a single point of leverage is the real difference here. Traditionally(and for the most part currently) you pay whatever the ISP charges(tried negotiating with Charter or ATT recently? Bet not…). Individually, we have no negotiating power. A typical divide-and-conquer approach that works very well for the ISPs.

Net neutrality is intended to take away some of those divide-and-conquer tactics used by the ISPs in favor of providing true competitiveness and good service to all customers, whether commercial or private(individuals like us). So delivery of connectivity is not up for negotiation under net neutrality provisions. Companies can still charge for content(Netflix etc…), but they can not charge you for the bytes that deliver that content.

This is much like the power companies: They can charge differently based on how much your use and when, but they can’t decide to only provide you with 50 Volts(120 is standard) and charge you more if you want the full 120 Volts so you can run your furnace. They don’t get to divide-and-conquer that way, which is a good thing or we would be paying a lot more to keep the fridge running….

Oh…and you can darn well bet that the ISPs will not be going out of business because of net neutrality. They are making plenty of profit from you for their shareholders… and enough to continually upgrade their equipment.

The downside here is that there will probably be a patchwork of various forms of net neutrality depending on which state one is in…assuming other states follow through and this does not get bogged down in the courts for years.

This is a gutsy move by this governor…. will be interesting to see how it plays out.