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1 1 (August 2017)

handle is hein.amenin/aeiaagx0001 and id is 1 raw text is: Key Points * The 2015 Federal Communications Commission (FCC) declared that its Open Internet Order was necessary to support innovation, but it never conducted an empirical assessment or reviewed the experience of other countries with net neutrality rules. It is in the public interest that the FCC examine this policy empirically, as it directly affects consumers and innovators. * Evidence from some 50 countries with net neutrality rules made over the past decade suggests that the FCC's approach will not create more innovation at the edge of the network, at least as measured by new mobile applications. * Denmark and the Netherlands, two similar socioeconomic countries with multiple advanced mobile networks, employed two different regimes for net neutrality over five years. During this period, Denmark, which employed voluntary self-regulation, experienced an increase in the number, rank, and performance of locally made mobile applications, whereas the Netherlands, which legislated the world's toughest rules, experienced a decline for the same indicators. Results were statistically significant. This document summarizes the author's doctoral research project at the Center for Communication, Media, and Information Technologies at Aalborg University in Copenhagen, Denmark, conducted from 2012 to 2016 to investigate the outcome of net neutrality policy around the world.' A podcast discussion on the research is available at High Tech Forum.2 The 2015 Federal Communications Commission's (FCC) Open Internet Order concluded that hard net neutrality rules are necessary to protect free expression and innovation on the Internet and promote investment in the nation's broadband networks.3 The order's strongly worded emphasis on protecting innovation and promoting investment implied that the agency had performed a robust analysis, in particular an empirically based assessment of the regulation's likely impact. But the 4oo-page order contains no such analysis. In the vast literature that has developed on net neutrality, almost no one has tested it empirically by comparing the efforts of different national policies and, more importantly, whether the policies delivered the promised results. The net neutrality concept developed by Tim Wu,4 Mark Lemley and Lawrence Lessig,s and Barbara van Schewick6 suggests there is an inherent problem with private ownership of broadband networks and that only government provision of broadband, or at least heavy regulation of broadband networks, can ensure a neutral platform for third-party innovation.7 As such, Open Internet policy implements a set of price and traffic controls on broadband internet access service (BIAS) providers AMERICAN ENTERPRISE INSTITUTE

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