According to Netflix CFO David Wells, the streaming service plans on spending $3.2 billion on streaming content in 2014. Netflix acknowledged that a large fraction of the currently available material is not necessarily popular with its audience and plans to spend more money on shows with higher potential. A content shift through the next few quarters toward more original series along with licensing exclusive and higher-rated shows will account for this extra spending. Continue reading Netflix Turns to Original Series and Licensing 5-Star Content

Comcast has introduced a commercial content delivery service targeting large and mid-sized content owners that can offer competitive SLA and pricing, since the company already owns the network. Comcast’s CDN allows content owners to go directly to the ISP to store and deliver content via the “last mile.” While this approach can displace traffic delivered by third-party CDNs such as Akamai and Limelight, it should not be confused with a “fast lane” or “prioritization” of content. Continue reading Comcast Unveils CDN Service for Content Delivery via Last Mile

The following is on the schedule for the Federal Communications Commission: whether to approve or block AT&T’s newly announced $49 billion acquisition of DirecTV, whether to allow Comcast’s proposed $45 billion purchase of Time Warner Cable, establish rules for next year’s auction of TV airwaves to wireless carriers, and determine whether and/or how to regulate the way broadband providers treat traffic over networks (and possibly face a busier calendar if Sprint makes a bid for T-Mobile). Continue reading FCC Faces Busy Year of Acquisitions, Auctions and Regulation

The Federal Communications Commission voted 3-2 yesterday in favor of moving forward with proposed rules that would allow broadband providers to charge individual companies extra for preferential handling of online traffic. The ongoing debate has divided tech companies regarding the best path to keeping the Internet open. FCC Chairman Tom Wheeler’s proposal would ban providers from blocking or slowing sites, but leaves open the possibility of deals for access to so-called “fast lanes.” Continue reading Net Neutrality: FCC Votes in Favor of Advancing Web Proposal

More than 100 Internet companies and two FCC commissioners are voicing their concerns over FCC Chairman Tom Wheeler’s proposal to regulate broadband providers. Wheeler’s plan would allow broadband companies to charge fees to content providers that want to access the fastest lanes, a proposal that does not treat all Internet traffic equally. Amazon, Facebook, Google and Yahoo are among the companies that described the proposal as “a grave threat to the Internet” in a letter to Wheeler. Continue reading Internet Giants Dispute Proposed FCC Rules on Net Neutrality

In a blog post yesterday, FCC Chairman and former telecom lobbyist Tom Wheeler wrote that he is “a strong believer in the importance of an Open Internet.” In response to what Wheeler views as “misinformed” commentaries regarding the Open Internet Notice of Proposed Rulemaking (NPRM) currently before the FCC, he offers two points of clarification: 1) This is not a final decision, but a formal request for input on the proposal, and 2) “all options for protecting and promoting an Open Internet are on the table.” Continue reading FCC Chairman Explains Next Steps to Protect an Open Internet

Netflix announced on Monday that it plans to raise the price of its streaming video service for new members by a dollar or two per month. The service, which now has more than 34 million paid U.S. subscribers, is justifying the rate increase based on its continued investment in original programs, including series such as “House of Cards” and “Orange Is the New Black.” In addition to its first-quarter earnings report yesterday, Netflix announced opposition to Comcast’s proposed acquisition of Time Warner Cable. Continue reading Netflix Passes 34 Million Subscribers, Previews Price Increase

The Federal Communications Commission explained that it does not plan to support the request made by Netflix CEO Reed Hastings to expand net neutrality rules in order to regulate how companies connect across the infrastructure of the Internet. Hastings had asked the FCC to consider an approach that would not require companies like Netflix to pay additional fees to service providers such as Comcast for special connections that help ensure customers can access video without problems. Continue reading FCC Rejects Netflix Plea for Expanded Net Neutrality Rules

At the FCC’s “Protecting and Promoting the Open Internet” proceeding on Friday, AT&T said it will lower its Internet prices if the FCC allows Internet service providers to charge websites such as Netflix for faster delivery of content. In the wake of a court decision vacating the FCC’s net neutrality rules against charging for preferential treatment, the Commission opened a proceeding with hopes of writing new rules that achieve similar goals. AT&T is asking for rules that explicitly allow ISPs to charge for special access.

Continue reading AT&T Will Lower Internet Prices if FCC Ends Net Neutrality

Apple is in talks with Comcast about joining forces on a streaming-television service, according to people familiar with the matter. The Wall Street Journal reports the service “would use an Apple set-top box and get special treatment on Comcast’s cables to ensure it bypasses congestion on the Web.” While discussions are in the early stages and a number of hurdles remain, the deal “would mark a new level of cooperation and integration between a technology company and a cable provider to modernize TV viewing.” Continue reading Apple, Comcast Discuss Teaming Up for Streaming TV Service

In a blog post yesterday, Netflix CEO Reed Hastings said that broadband providers should be required to connect their networks to major content providers (including Netflix) free of charge. Hastings issued a call for new rules that would prevent broadband providers like Comcast from charging content companies fees to connect directly to their networks (a practice referred to as “paid interconnection” or “paid peering”). Netflix recently struck such a deal with Comcast to improve its video service for subscribers. Continue reading Netflix CEO: Broadband Companies Should Interconnect for Free

A new Web application named Hola is bypassing copyright laws to deliver content to users who otherwise don’t have access to it. The app essentially unlocks international versions of Netflix so U.S. users can watch shows like “True Grit” or “Community” — only available overseas — whenever they want. By changing users’ IP addresses and making their devices act as routers, content is never copied illegally. Since beta testing began, the app has become incredibly popular, and it could alter the way the Internet operates. Continue reading Hola: New App Skirts Copyright Law to Stream TV Shows, Music

The U.S. Court of Appeals for the District of Columbia has struck down segments of the FCC’s Open Internet rules. Ruling on Verizon v. FCC yesterday, the court has determined that the Federal Communications Commission does not have the power to require Internet service providers to treat all traffic equally. And broadband providers are free to charge companies such as Netflix and Google higher fees to deliver content faster, a cost which would likely be passed on to consumers. Continue reading Verizon v. FCC: Federal Appeals Court Rules on Net Neutrality

Tom Wheeler, a former cable and wireless phone lobbyist, was unanimously confirmed as the new chairman of the FCC late yesterday. Senate aide Mike O’Rielly was also confirmed for the vacant Republican seat on the commission. The confirmations came after Senator Ted Cruz released his hold on Wheeler’s confirmation vote. Wheeler will succeed fellow Democrat Mignon Clyburn, who has been serving as acting chair since earlier this year when Julius Genachowski stepped down. Continue reading Senate Confirms Lobbyist Tom Wheeler as New FCC Chairman