While much of the country has come to a near standstill, with businesses, schools, and events closed, canceled, or moved online, technology and telecommunications companies across the nation have been working alongside the Federal Communications Commission to make sure people can stay connected.
Network operators have seen a large increase in traffic as tens of millions more people telecommute and use videoconferencing applications to communicate with colleagues, reach out to family and friends, and teach classes online. Even networks in rural areas of the country have held up during the surge in activity.
This is in large part due to the hundreds of billions of dollars in investments made by dozens of large and small companies to build the infrastructure and develop the tools needed to conduct distance learning, online shopping, grocery deliveries, and remote work. But the resiliency of the telecommunications networks today would be far different if the FCC had not repealed Obama-era “net neutrality” regulations in 2017.
During the period when the net neutrality debate was in full swing, capital investment in infrastructure was not as robust as it could have been.
One economist found that the potential for strict regulations on broadband internet service providers caused telecommunications investment to decline by 20% to 30%, or $30 billion to $40 billion annually, between 2011 and 2015. This paper concluded that the average annual investment of $126 billion would have been at least $160 billion annually. Since the FCC repealed net neutrality, broadband investments have increased, and the networks have proven to be resilient in managing the flow of traffic, even during peak usage periods.
The strict government mandates imposed by net neutrality would not have allowed internet service providers during the coronavirus crisis to conduct proper traffic management with regard to the needs of the healthcare or public safety communities for telehealth and emergency services. Likewise, new innovations in technology that enable mobile broadband and the use of TV white space for broadband in rural communities would likely have been left in the dust.
In Europe, where networks built or owned by governments and strict mandates on service providers are prevalent, the impact on the internet during this crisis has been dramatically different from in the United States.
The unpreparedness in European countries for the surge in broadband usage due to the coronavirus outbreak was made clear on March 19, 2020. The European Union ordered internet edge providers such as Netflix and YouTube and gaming programs such as Twitch to pull back their high-definition services. Other providers, such as Amazon Prime, Apple TV, Disney Plus, and Google, have also been reducing their bandwidth services in Europe to mitigate the increased strain on the networks. However, throttling or slowing down entertainment services like those mentioned by internet service providers is prohibited under the EU’s net neutrality laws, making broadband traffic management more difficult.
In further contrast to European regulatory bodies, the FCC has taken several steps to enhance the viability of the nation’s telecommunications infrastructure during these unprecedented times. FCC Chairman Ajit Pai spearheaded the effort to Keep Americans Connected, under which internet service providers gave certain assurances to enable customers to stay connected during the coronavirus crisis. The FCC has also been working to reduce regulatory burdens on internet service providers.
Because net neutrality was ended in 2018, telecommunications providers have been able to direct critical amounts of funds toward capital investments, building a resilient network across the country that has stood up to the immense challenges posed by the coronavirus crisis.
Deborah Collier is vice president of policy and government affairs at Citizens Against Government Waste.
