CABLESHOW-Sec Gutirrez supports cable Web traffic practices
NEW ORLEANS, May 19 (Reuters) - U.S. Commerce Secretary Carlos Gutierrez on Monday offered some support for cable operators' controversial Web traffic management policies, which include the blocking of certain online applications.
Gutierrez said the rapid pace of growth of Internet usage had made it difficult for Internet service providers to define what constitutes reasonable network management. He was speaking at The Cable Show, a trade event, in New Orleans,
Comcast Corp (CMCSA.O), the second largest U.S. Internet service provider, has been accused of blocking Internet applications like Bit Torrent, a peer-to-peer service used to share media files. The service takes up large amounts of an ISP's bandwidth capacity when in use.
Comcast has since explained to U.S. regulators that it uses network management techniques to avoid congestion so all users get a quality Internet experience.
Gutierrez seemed to give Comcast and other ISPs the benefit of the doubt on the issue of network management saying government should avoid implementing prescriptive measures which will eventually get overtaken by advances in technology.
"Network providers need flexibility to manage congestion quickly and effectively," Gutierrez said. "A transparent, competitive market provides the best mechanism to ensure networks are managed reasonably, while meeting consumer demands."
Gutierrez also said the government needs to ensure that incentives remained in place to build new Internet capacity to keep up with rapidly growing demand by consumers.
"I was glad to hear Secretary Gutierrez's comments on networks because any of these applications on wireless or fixed network require investment in the network, said Neil Smit, chief executive of Charter Communications CHTR.O.
Kyle McSlarrow, chair of the National Cable and Telecommunications Association, said the industry was "gratified" to hear the Commerce Secretary's comments.
By contrast, many cable executives have said U.S. Federal Communications Commision Chairman Kevin Martin has generally not been supportive of the industry.
(Reporting by Yinka Adegoke, editing by Richard Chang)
