Sens. Hatch and DeMint's Opposition To Net Neutrality Raises Eyebrows

October 30, 2009 4:36 pm ET — Walid Zafar

In a column in the October 30th edition of the Wall Street Journal, Sens. Orrin Hatch (R-UT) and Jim DeMint (R-SC) attacked network neutrality, calling it a barrier to investment. Criticizing FCC Chairman Julius Genachowski's plan to move forward on the issue, the Republican Senators argued against what they see as government intrusion into "one of the only aspects of our economy and national life free from government regulation."

If the Internet were invented by a politician or worse, managed by bureaucrats, cell phones would still look like bricks and the information superhighway would still be a dirt road. If there is any sector of our economy where competition is so fierce and where the pace of innovation is so rapid that government interference would only get in the way, it is the Internet and telecommunications market.

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Net neutrality may sound like fairness but it is actually the opposite. Bandwidth is finite-like the finite number of lanes on a highway-and network providers must innovate in order to accommodate the burgeoning traffic. As they invest billions of private dollars in new and improved networks, they should rightly expect to set prices and manage those networks as they see fit.

Network neutrality is largely being misrepresented by Republicans as a government takeover of the Internet.  In fact, net neutrality would restrict carriers from controlling content.  Though the Senators allude to a highway to make their point, a more proper analogy is one made by flyte's Rich Brooks.

Imagine if only Wal-Mart, McDonalds and similar delivery trucks were allowed on the highway, with the rest of us taking side streets to get from place to place. How long would small businesses and entrepreneurs survive in a business climate like that?

That is what Republicans are in effect calling for.  While the telecom industry is opposed to Genachowski's push for network neutrality, the plan has strong proponents, including some of today's biggest Internet-based companies.  For example, earlier in the month, the CEOs of Amazon, eBay, Google, Twitter and YouTube wrote a letter to Genachowski in support of network neutrality and the preservation of "an open Internet."

Ironically enough, DeMint used Twitter to promote his article against network neutrality.  That is, he used a service which supports an open Internet to argue for policies that would limit access.

Conservative groups, including Christian Coalition and Gun Owners of America, have also pushed for network neutrality.

Media Matters Action Network noted earlier in the week that Republicans have by and large taken a firm position against net neutrality, despite the fact that proposed FCC changes would greatly benefit small business.  Congressman Marsha Blackburn (R-TN) and Senator John McCain (R-AZ) have introduced legislation into the House and Senate, respectively, which would prohibit the FCC from evening out the playing field.

Hatch and DeMint are the latest to join the fray.  Giant carriers such as AT&T and Verizon are firmly against network neutrality and, instead, are pushing for a pay-to-play structure, which would greatly reduce access to the internet for both small businesses and consumers.  Like McCain, who is a top recipient of telecom cash, both Hatch and DeMint have close ties with AT&T and Verizon, ties that bring into question their claim that they are standing up for Internet freedom.

The lobbying firm Walker Martin & Hatch, formed by former Hatch staffer Jack Martin and the Senator's son, Scott, has lobbied extensively for Verizon.  In fact, Scott Hatch's lobbying interests seem to have influenced his father's actions in the past, and the relationship has been heavily scrutinized.

In 2003, Los Angeles Times reported:

Sen. Hatch said the new firm, Walker, Martin & Hatch, was formed with his personal encouragement. He said he sees no conflict of interest in championing issues that benefit his son's clients. Neither Senate rules nor federal laws forbid relatives from lobbying members of Congress.

For his part, DeMint has received substantial campaign money from AT&T. 

When Republicans advocate against network neutrality, they not only show the lack of understanding they have on the issue, but also, the degree to which special interests influence the decisions they make.

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