Carriers may give some 'Net services an edge

Some U.S. broadband providers may be moving toward giving preferential treatment to certain content and services on their networks, raising alarms from some corners that consumers and nonpreferred players could lose out.

Carriers maintain that they can make deals to give better than average quality of service to some providers of Internet applications, such as VOIP (voice over Internet Protocol) or movie downloading companies. But critics say the practice could slow down applications that don't have priority and make the carrier the arbiter of what's most appealing on a consumer's broadband connection. Either way, for business and technology reasons, the idea may not fly at all.

All three major U.S. carriers emphasize that they allow their broadband subscribers access to any legal application they choose. The U.S. Federal Communications Commission spelled that out as a policy last August. But by arranging for some applications (including their own) to work better than others over a finite broadband connection, they could give the favored ones a key advantage, critics say.

BellSouth Corp. has been in talks with providers of content and services for several months, according to spokesman Jeff Battcher. Among the potential customers are online gaming companies and providers of downloadable content, including Movielink LLC and Time Warner Inc.'s Warner Bros. Entertainment division.

Such an arrangement could benefit consumers by, for example, dramatically cutting down the time it takes to download a movie, Battcher said. The carrier, which has about 2.7 million broadband subscribers in the Southeastern U.S., isn't selling priority to anyone yet, but it could start doing that tomorrow if it chose to, Battcher said.

AT&T Inc., the new company formed by the merger of SBC Communications and AT&T, already has a deal with Movielink in which the company can provide movie downloads at increased quality and speed over the carrier's network, said AT&T spokesman Dave Pacholczyk.

Verizon Communications Inc. Chief Executive Officer Ivan Seidenberg said last week that he might seek to have Verizon make similar deals, according to a report in the Wall Street Journal. "Verizon offers open and unfettered access to the Internet on its high-speed DSL (Digital Subscriber Line) and fiber networks. To the extent consumers and applications providers require additional speed or security, our networks can provide that too," Verizon spokesman David Fish said in a prepared statement this week.

BellSouth bears the cost of maintaining the network over which other companies, such as VOIP provider Vonage Holdings Corp., deliver services for profit, Battcher said.

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