A Primer on Network Neutrality

Abstract:     
This paper will provide a straightforward explanation of what constitutes network neutrality and why a debate has arisen about whether governments need to establish rules mandating nondiscrimination. The paper will identify what types of price and quality of service discrimination represent legitimate efforts to diversify Internet-mediated services and to satisfy increasingly diverse requirements of content providers and consumers. The paper concludes that while many concerns about network neutrality overstate the potential for harm, ISPs should offer non-neutral services in a fully transparent manner so that regulators can distinguish between actual and induced network congestion as well as other potential harm to content providers and consumers.

Keywords: network neutrality, next generation networks, Internet, peering, interconnection

JEL Classifications: K23, L82, L96

Working Paper Series