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UPDATE 3-Verizon asks court to halt FCC net neutrality rule

Fri Sep 30, 2011 6:16pm EDT

* Verizon seeks to block FCC order set for Nov. 20

* Critics object to over-regulation of Internet

* FCC unavailable for comment (Adds details, paragraphs 8-9)

By Jonathan Stempel

Sept 30 (Reuters) - Verizon Communications Inc (VZ.N) on Friday asked a federal appeals court to block the Federal Communications Commission from imposing new rules on how Internet service providers manage their networks.

The FCC last Friday said its so-called net neutrality rules were scheduled to take effect on Nov. 20. [ID:nS1E78M1AB]

These rules would forbid broadband providers from blocking users from accessing lawful content, such as movie files, while giving the providers flexibility to manage their networks and prevent congestion.

Critics call the rules an unwarranted government intrusion into regulating the Internet, including which content consumers may access and which companies may provide that content.

In a filing with the federal appeals court in Washington, D.C., Verizon said the FCC was "arbitrary" and "capricious" and acted beyond its statutory authority in imposing the rules.

The rules "impose potentially sweeping and unneeded regulations on broadband networks and services and on the Internet itself," Michael Glover, deputy general counsel at Verizon, said in a statement.

"Verizon is fully committed to an open Internet, he added.

New York-based Verizon is one of the largest U.S. phone companies, and with Vodafone Group Plc (VOD.L) owns Verizon Wireless, the largest U.S. mobile phone service.

The FCC did not respond to requests for comment. It has said the rules boost predictability, stimulate investment and ensure job creation and economic growth.

Some public interest groups have also criticized the FCC rules, saying they are weak and favor some phone and cable companies with large Internet presences, such as AT&T Inc (T.N) and Comcast Corp (CMCSA.O).

The D.C. Circuit in April threw out a challenge by Verizon and MetroPCS Communications Inc PCS.N to the rules, calling it premature.

FCC rulemaking generally cannot be challenged until rules are published in the Federal Register, as the agency has now done.

In April, the Republican-controlled House of Representatives voted to overturn the FCC rules. That effort faces a tougher battle in the Democratic-controlled Senate.

The White House has said advisers to President Barack Obama would recommend a veto of any resolution against the rules.

The case is Verizon v. FCC et al, D.C. Circuit Court of Appeals, No. 11-1359. (Reporting by Jonathan Stempel in New York, editing by Matthew Lewis and Carol Bishopric)

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On the subject of net neutrality, Bob Gibson, Executive Director of the University of Virginia’s Sorensen Institute for Political Leadership, recently said: “It’s a debate that is going on in the Congress, and it’s really: Is the Internet going to be something that everyone has free and open access to, or, is it going to be something that is sort of controlled? What we don’t need is a lot of government control in the businesses of the internet. I think what we need is more of what we have with National Public Radio, which is a really true and balanced set of reporting that unfortunately has become politicized. What we are seeing is a shift from “anything goes” on the Internet to a shift where major corporations are shaping the news outlets and buying up more and more of the news outlets and putting them under corporate control and one set of a small number of hands…. We need freeware, we need shareware, and we need open access. People need to be able to trust sources that they can find on the internet, rather than have them controlled in a small number of hands or by the government.” (Gibson appeared on the Charlottesville, VA, politics interview program Politics Matters with host and producer Jan Madeleine Paynter discussing journalism http://bit.ly/pm-gibson)

Oct 01, 2011 1:39pm EDT  --  Report as abuse
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