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May 1994

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Subject:
From:
"Dennis S. Keeler" <[log in to unmask]>
Reply To:
Miami University VMS Discussion <[log in to unmask]>
Date:
Sat, 21 May 1994 09:53:03 -0500
Content-Type:
text/plain
Parts/Attachments:
text/plain (240 lines)
From:     Howard Polonsky
Subject:  News: Metered Usage of Internet
Reply-To: [log in to unmask]
 
This may be of very great importance to all of us.  Please read.
 
 
 
---------- Forwarded message ----------
    Subject: Metered Usage of the Internet: JSN
 
    Please forgive the mass mailing, but I feel this is a subject
    which is of great importance to anyone who benefits from the
    bountiful resources of the Internet.
 
    A very bad storm is brooding on the horizon.
 
    In the future, you might have to pay a charge for every E-mail
    message you send or receive, every Usenet article you read,
    every kilobyte of data you transfer with ftp, every hypertext
    link you follow with NCSA Mosaic or Gopher...
 
    Hopefully this frightens you as much as it does me.
    But it will happen, unless YOU do something about it.
 
    Please read the attached, fill out the requested info, and
    mail it back to [log in to unmask]  It also wouldn't hurt to
    forward a copy of this to everyone you know on the Internet.
 
    Thanks for your support.
 
    Craig Smith, <[log in to unmask] <[log in to unmask]>
    Texas A&M University, Dept. of Computer Science
    205 HRBB, 862-2084 (CPSC).   [PGP2 Public Key Available on Request]
    ---
 
    TAXPAYER ASSETS PROJECT - INFORMATION POLICY NOTE
    May 7, 1994
 
    -    Request for signatures for a letter to NSF opposing metered
    pricing of Internet usage
 
    -    Please repost this request freely
 
    The letter will be sent to Steve Wolff, the Director of
    Networking and Communications for NSF.  The purpose of the letter
    is to express a number of user concerns about the future of
    Internet pricing.  NSF recently announced that is awarding five
    key contracts to telephone companies to operate four Internet
    "Network Access Points" (NAPs), and an NSF funded very high speed
    backbone (vBNS).  There have been a number of indications that
    the telephone companies operating the NAPs will seek permission
    from NSF to price NAPs services according to some measure of
    Internet usage.  The vBNS is expected to act as a testbed for new
    Internet pricing and accounting schemes.  The letter expresses
    the view that metered pricing of Internet usage should be
    avoided, and that NSF should ensure that the free flow of
    information through Internet listserves and file server sites is
    preserved and enhanced.
 
    Jamie Love, Taxpayer Assets Project ([log in to unmask]; but
    unable to answer mail until May 15).  Until then, direct
    inquires to Michael Ward.
 
    If you are willing to sign the letter, send the following
    information to Mike Ward of the Taxpayer Assets Project
    ([log in to unmask], fax: 202/234-5176; voice: 202/387-8030;
    P.O. Box 19367, Washington, DC 20036):
 
    Names:    ___________________________
    Title:    ___________________________   (Optional)
    Affiliation:   ____________________________________
    (for purposes of identification only)
    Address:       ______________________________________
    City; St, Zip  ________________________________
    Email Address: _____________________________________
    Voice:         __________________________________
    for verification)
 
    The letter follows:
 
    Steve Wolff
    Director
    Division of Networking and Communications
    National Science Foundation
    1800 G Street
    Washington, DC  20550
 
    Dear Steve:
 
    It is our understanding that the National Science Foundation
    (NSF) and other federal agencies are developing a new
    architecture for the Internet that will utilize four new Network
    Access Points (NAPs), which have been described as the new
    "cloverleaves" for the Internet.  You have indicated that NSF is
    awarding contracts for four NAPs, which will be operated by
    telephone companies (Pac Bell, S.F.; Ameritech, Chicago; Sprint,
    NY; and MFS, Washington, DC).  We further understand that NSF has
    selected MCI to operate its new very high speed backbone (vBNS)
    facility.
 
    There is broad public interest in the outcome of the negotiations
    between NSF and the companies that will operate the NAPs and
    vBNS.  We are writing to ask that NSF consider the following
    objectives in its negotiations with these five firms:
 
    PRICING.
 
    We are concerned about the future pricing systems for Internet
    access and usage.  Many users pay fixed rates for Internet
    connections, often based upon the bandwidth of the connection,
    and do not pay for network usage, such as the transfer of data
    using email, ftp, Gopher or Mosaic.  It has been widely reported
    on certain Internet discussion groups, such as com-priv, that the
    operators of the NAPs are contemplating a system of usage based
    pricing.
 
    We are very concerned about any movement toward usage based
    pricing on the Internet, and we are particularly concerned about
    the future of the Internet Listserves, which allow broad
    democratic discourse on a wide range of issues.  We believe that
    the continued existence and enhancement of the Internet
    discussion groups and distribution lists is so important that any
    pricing scheme for the NAPs that would endanger or restrict their
    use should be rejected by the NSF.
 
    It is important for NSF to recognize that the Internet is more
    than a network for scientific researchers or commercial
    transactions.  It represents the most important new effort to
    expand democracy into a wide range of human endeavors.  The open
    communication and the free flow of information have make
    government and private organizations more accountable, and
    allowed citizens to organize and debate the widest range of
    matters.  Federal policy should be directed at expanding public
    access to the Internet, and it should reject efforts to introduce
    pricing schemes for Internet usage that would mimic commercial
    telephone networks or expensive private network services such as
    MCI mail.
 
    To put this into perspective, NSF officials must consider how any
    pricing mechanisms will change the economics of hosting an
    Internet electronic mail discussion groups and distribution
    lists.  Many of these discussion groups and lists are very large,
    such as Humanist, GIS-L, CNI-Copyright, PACS-L, CPSR-Announce or
    Com-Priv.  It is not unusual for a popular Internet discussion
    group to have several thousand members, and send out more than
    100,000 email messages per day.  These discussion groups and
    distribution lists are the backbones of democratic discourse on
    the Internet, and it is doubtful that they would survive if
    metered pricing of electronic mail is introduced on the Internet.
 
    Usage based pricing would also introduce a wide range of problems
    regarding the use of ftp, gopher and mosaic servers, since it
    conceivable that the persons who provide "free" information on
    servers would be asked to pay the costs of "sending" data to
    persons who request data.  This would vastly increase the costs
    of operating a server site, and would likely eliminate many
    sources of data now "published" for free.
 
    We are also concerned about the types of  accounting mechanisms
    which may be developed or deployed to facilitate usage based
    pricing schemes., which raise a number of concerns about personal
    privacy.  Few Internet users are anxious to see a new system of
    "surveillance" that will allow the government or private data
    vendors to monitor and track individual usage of Information
    obtained from Internet listserves or fileserves.
 
    ANTI-COMPETITIVE PRACTICES
 
    We are also concerned about the potential for anti-
    competitive behavior by the firms that operate the NAPs.  Since
    1991 there have been a number of criticisms of ANS pricing
    practices, and concerns about issues such as price discrimination
    or preferential treatment are likely to become more important as
    the firms operating the NAPs become competitors of firms that
    must connect to the NAPs.  We are particularly concerned about
    the announcements by PAC-Bell and Ameritech that they will enter
    the retail market for Internet services, since both firms were
    selected by NSF to operate NAPs.  It is essential that the
    contracts signed by NSF include the strongest possible measures
    to insure that the operators of the NAPs do not unfairly
    discriminate against unaffiliated companies.
 
    Recommendations:
 
    As the Internet moves from the realm of the research community to
    a more vital part of the nation's information infrastructure, the
    NSF must ensure that its decisions reflect the needs and values
    of a much larger community.
 
    1.   The NSF contracts with the NAPs operators will include
    clauses that determine how the NAP services will be priced.
    It is important that NSF disclose and receive comment on all
    pricing proposals before they become final.  NSF should
    create an online discussion list to facilitate public dialog
    on the pricing proposals, and NSF should identify its
    criteria for selecting a particular pricing mechanism,
    addressing the issue of how the pricing system will impact
    the Internet's role in facilitating democratic debate.
 
    2.   NSF should create a consumer advisory board which would
    include a broad cross section of consumer interests,
    including independent network service providers (NSPs),
    publishers of Internet discussion groups and distribution
    lists, academic networks, librarians, citizen groups and
    individual users.  This advisory board should review a
    number of policy questions related to the operation of the
    Internet, including questions such as the NAP pricing, NAP
    operator disclosure of financial, technical and operational
    data, systems of Internet accounting which are being tested
    on the vBNS and other topics.
 
    3.   NSF should solicit public comment, though an online
    discussion group, of the types of safeguards against
    anticompetitive behavior by the NAPs which should be
    addressed in the NSF/NAPs contracts, and on issues such as
    NAPs pricing and Internet accounting systems.
 
    ---------------------------------------------------------------------
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    Assets Project (TAP).  TAP was founded by Ralph Nader to monitor the
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    data, government funded R&D, spectrum allocation and other government
    assets.  TAP-INFO reports on TAP activities relating to federal
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    ---------------------------------------------------------------------
    Taxpayer Assets Project; P.O. Box 19367, Washington, DC  20036
    v. 202/387-8030; f. 202/234-5176; internet:  [log in to unmask]
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--
Jan Martin      Ariel English Springer Spaniels         Portland OR
Rev     Annie   Flora   Lucille         [log in to unmask]

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