2014-02-25

The Internet just became a "pay-to-play" industry today.

Like Pay-TV now.

"Cogent, which in internet parlance is known as a "backbone provider," routs Netflix's content through to Comcast, which then sends that content to millions of homes across the country.

But with its new megadeal, Netflix will get to avoid Cogent altogether and send its content straight to Comcast, and, from there, to TV fans like you and me.

In the short term, this means that Netflix users who get their internet from Comcast will get to stream movies and TV shows at faster speeds than they did before.

Sounds pretty good, right?

Well, not really.

While Comcast customers will now able to watch House of Cards without having to worry about annoying lag time and loading screens, this deal sets a terrible precedent for the future of the internet.

When the next startup Hulu or the next startup Netflix comes along and tries to break into the streaming market, it will have to fork over millions of dollars to Comcast if it wants the same access to Comcast's broadband networks that Netflix will now have.

If you're thinking of starting a net-based business in your garage, good luck. If you're not an oligarch, you won't have a chance.

Sure, Netflix would prefer not to have to pay Comcast, but by doing so it pretty much guarantees itself a safe spot at the top of the TV streaming market."

http://www.truth-out.org/opinion/item/22084-net-neutrality-died-with-the-comcast-netflix-deal

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