Netflix's policy of degrading content for mobile carriers that charge their customers extra for data overages is controversial, but it doesn't violate net neutrality laws, according to FCC Commissioner Michael O'Rielly. But it may be cause for a federal investigation.
"There is no way to sugarcoat it: the news is deeply disturbing and justly generates calls for government -- and maybe even Congressional -- investigation," O'Rielly said during a keynote speech at an American Action Forum event this morning. "While the Federal Trade Commission may have grounds to scrutinize Netflix's video throttling, let's accept the factual point that Netflix never violated the Commission's net neutrality rules enacted last February. The company and net neutrality advocates have been vehement in stressing that the net neutrality rules only apply to ISPs, not standalone edge providers, such as Netflix." Transcript