New legislation is misguided and fraught with unintended consequences

As the House Judiciary Committee prepares to mark-up legislation sponsored by Chairman James Sensenbrenner and Ranking Member John Conyers that seeks to regulate the Internet under the guise of "network neutrality," the Center for Individual Freedom (CFIF) today called on Committee members to consider the unintended and harmful consequences of the legislation.

FOR IMMEDIATE RELEASE
May 25, 2006
Contact: Jeffrey Mazzella
703.535.5836

CFIF Calls On Congressmen Sensenbrenner and Conyers to Withdraw 'Net Neutrality' Legislation

ALEXANDRIA, VA – As the House Judiciary Committee prepares to mark-up legislation sponsored by Chairman James Sensenbrenner and Ranking Member John Conyers that seeks to regulate the Internet under the guise of "network neutrality," the Center for Individual Freedom (CFIF) today called on Committee members to consider the unintended and harmful consequences of the legislation.  Furthermore, CFIF urged both House leaders to withdraw their legislation from consideration.

"The Internet has flourished for more than a decade precisely because Congress has taken a hands-off approach to regulating and taxing it," said CFIF President Jeffrey Mazzella.  "At a time when our nation lags behind much of the developed world in terms of broadband deployment and wireless access, and at a time when the Internet shows enormous potential for further growth and development, now is not the time for the government to act on an 'it knows what's best' attitude for the Internet.

"The free-market has guided the Internet revolution to this point and the free-market, without unnecessary government interference, should continue to guide its evolution," Mazzella continued.

The House Judiciary Committee's mark-up of the Sensenbrenner-Conyers net-neutrality legislation comes at a time when Congress is considering positive telecom reforms, including reforming the current burdensome video franchising regulations that have prevented real choices for consumers when it comes to television and cable services.  In addition to greater choice and lower prices for consumers' cable services, video franchise reforms would also provide high-speed Internet access to more Americans, narrowing the digital divide.  

"Moving forward with net-neutrality legislation would severely undercut the positive reforms Congress is prepared to pass," Mazzella said.  "By creating a scheme of new legal and regulatory rules, Congress will tie the hands of those who wish to bring new Internet innovation into the marketplace."

Free-market economists, scholars and activists unanimously agree that so-called net-neutrality legislation is not only a misguided solution in search of a problem that doesn't even exist, but also would significantly reduce capital investments in greater deployment of high-speed networks. 

"The sponsors of this legislation, particularly Chairman Sensenbrenner, should look further than the 'Chicken Little' cries of groups like MoveOn.org and the so-called Save the Internet Coalition, the most vocal advocates for their legislation, before moving forward," Mazzella said.  "We call on the House Judiciary Committee to pause and consider the unintended and harmful consequences of the legislation.  Better yet, Chairman Sensenbrenner and Ranking Member Conyers should withdraw their legislation from consideration." Mazzella concluded.

The Center for Individual Freedom (www.cfif.org) is a non-profit constitutional and free-market advocacy organization.  CFIF opposes over-burdensome state and federal regulations and taxing regimes that impede the evolution of the Internet and e-commerce.  More than 5,500 concerned citizens have used CFIF's website to send letters to their Members of Congress in recent weeks against network neutrality legislation.


[Posted May 25, 2006
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