Top telecommunication companies have toughened their stance on net neutrality. AT&T and Verizon have sent separate letters to the Federal Communications Commission, branding their zero-rating schemes as "pro-consumer."
Earlier this month, the FCC issued warnings to AT&T and Verizon stating that their zero-rating programs may be in violation of net neutrality rules. Under zero rating schemes, ISPs may offer services to their users and such services do not count towards their data consumption. However, such programs have been widely criticized for their propensity to extend an undue advantage to affiliate companies.
The FCC has not put any explicit ban on such practices. However, the commission has stated repeatedly that such programs have the potential to hurt competition by creating an uneven playground for businesses.
In response to the latest FCC missive to the company, AT&T stated that its consumers "would be substantially worse off" in the case of DIRECTV discontinuation. AT&T also claimed that its plan is not anticompetitive and should be seen as a perk to its customers.
AT&T further stated that the policies should follow the basic principles of American competition policy which works to promote "the protection of competition, not competitors."
Similarly, Verizon also defended its FreeBee data program. Under this program, Verizon lets its customers access Go90 without it being counted against their data plan. The company stated that such programs allow its consumers to access programs online, without incurring any cost.
Verizon Senior Vice President Public Policy and Government Affairs Kathleen M. Grillo wrote, "The variety of such offerings showcases the innovation that is driving development and more consumer choice."
The FCC is going to see a change in its leadership soon as its current chairman Tom Wheeler is scheduled to vacate his position on January 20. The commission is likely to have Republican majority following the change. Republicans on the Commission are widely considered to be opponents of net neutrality.