Congrats Tim Wu! But Please Don’t Toss "The Regulatory Switch"

Tech Liberation ^ | February 8th, 2011 | Adam Thierer

[Halfmanhalfamazing]

Tim’s ideas on tech policy trouble me deeply. I’ll ignore the fact that he gave birth to the term “net neutrality” and that he chaired the radical regulatory activist group, Free Press. Instead, I just want to remind folks of one very troubling recommendation for the information sector that he articulated in his new book, The Master Switch: The Rise and Fall of Information Empires. While his book was preoccupied with corporate power and the ability of media and communications companies to posses a supposed “master switch” over speech or culture, I’m more worried about the “regulatory switch” that Tim has said the government should toss.

Tim has suggested that a so-called “Separations Principle” govern our modern information economy. “A Separations Principle would mean the creation of a salutary distance between each of the major functions or layers in the information economy,” he says. “It would mean that those who develop information, those who control the network infrastructure on which it travels, and those who control the tools or venues of access must be kept apart from one another.” Tim calls this a “constitutional approach” because he models it on the separations of power found in the U.S. Constitution.

I critiqued this concept in Part 6 of my ridiculously long multi-part review of his new book, and I discuss it further in a new Reason magazine article, which is due out shortly. As I note in my Reason essay, Tim’s blueprint for “reforming” technology policy represents an audacious industrial policy for the Internet and America’s information sectors. In concrete regulatory terms—and despite Tim’s insistence to the contrary, his approach most assuredly would require regulation—the Separations Principle would segregate information providers into three buckets: creators, distributors, and hardware makers. Presumably these would become three of the new “titles” (or regulatory sections) of a forthcoming Information Economy Separations Act.

While conceptually neat, these classifications don’t conform to our highly dynamic digital economy, whose parameters can change wildly within the scope of just a few years. For example, Google cut its teeth in the search and online advertising markets, but it now markets phones and computers. Verizon, once just a crusty wireline telephone company, now sells pay TV services and a variety of wireless devices. AOL reinvented itself as media company after its brief reign as the king of dial-up Internet access. Would firms that already possess integrated operations and investments (for instance, Microsoft or Apple) be forced to divest control of them to comply with the Separations Principle? If so, wouldn’t that hinder technological development?

[Halfmanhalfamazing]

This is nuts. Anybody around here think the constitution grants the fcc/federal government the power to regulate and dictate to the technology sector in a separation of powers way as if the technology sector were a government in/of itself?

This level of power in the hands of the federal government is frightening. And this is exactly why(besides cass sunstein and his popups) I say that the net neutrality doctrine will silence free speech. This is worse than the fairness doctrine.

At least the fairness doctrine was somewhat simplistic. This separation nonsense is complex and convoluted.

[ShadowAce]