ABI Insight

Net Neutrality: Forcing Operators to Rethink their Business Models

Author: Dan Shey, Practice Director, Mobile Services

Published: 07 Oct 2009

The recent comments by FCC Chairmen Julius Genachowski on the rights of operators to control their networks are again lighting up the airwaves. Mobile operators need to ensure quality of service to all their customers and therefore cannot let the bandwidth usage of a few customers affect services use for the majority. But consumers should not be restricted from using the applications of their choice based not only on principles of open internet use but also because unrestricted communications is a fundamental requirement for facilitating economic growth. So is there a right or wrong side to this debate? Perhaps, depending on your position. However, in the end, net neutrality is one more reason that operators will need to rethink their business models.

The full text of this Insight is available to subscribers of the Mobile Operator Strategies Research Service.

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