TPRC 2024: The 52nd Research Conference on Communications, Information and Inter

Link to Paper

Abstract:
A widening set of applications may soon be offered by broadband providers and edge providers, including home security, smart home, video conferencing, gaming, IoT device connectivity, autonomous vehicle connectivity, industrial control, and smart factory connectivity.

Multiple policy and regulatory issues surround these specialized services. Can they be offered over the Internet or do they require special treatment? When offered by broadband providers, are these offerings evading Open Internet rules regarding application-specific discrimination or prioritization? Can third-party application providers compete on a level playing field with ISPs offering such specialized services? What is the regulatory classification of the service and/or the underlying connectivity? Are existing regulatory schemes sufficient? If not, what rules should apply?

We consider two policy objectives. First, the development of specialized services should be encouraged, or at least not impeded, by the regulatory landscape. Second, to the extent there is a tradeoff between specialized services and broadband Internet access service, the regulatory landscape should strike a balance that is in the public interest.
Under the 2015 Open Internet Order, specialized services do not reach large parts of the Internet, are not a generic platform, and/or use isolated capacity. We propose an alternative approach, based on the Computer II framework, to classify the connectivity underlying specialized services as a telecommunications service, and to require this connectivity to be offered on a nondiscriminatory basis.

Under our proposed Computer II framework, a broadband provider could offer prioritized applications such as video conferencing and gaming, providing that it offers the same prioritization to end users on a nondiscriminatory basis. A broadband provider could also offer applications bundled with connectivity, such as home security, smart home, telemetry, automobile services, and industrial applications, providing that it offers the underlying connectivity to edge providers on a nondiscriminatory basis.

For prioritized applications, end users would be offered broadband plans that include the ability to prioritize applications of their choice. An end user could prioritize an application offered by a broadband provider and/or one offered by a third-party application provider. For bundled applications, end users could choose to obtain an application such as home security that runs over their broadband service or to obtain a bundle that includes both the application and the required underlying connectivity.