By a new law

Mar 3, 2006 15:52 GMT  ·  By

A new legislative proposal by Senator Ron Wyden might bar large high-speed Internet providers from charging content companies extra in order to receive preferential treatment, including a wider bandwidth.

"Neutrality in technology enables small businesses to thrive on the Internet, and allows folks to start small and dream big, and that's what I want to protect with this legislation," Reuters quoted the Senator as saying.

The companies that would like to create a separate channel for special services which require wide bandwidths, such as downloading movies, include Verizon Communications and AT&T, and Wyden's law is backed by companies like Google and Vonage Holdings Corp.

If the law is approved, Internet operators won't be allowed to charge companies so that they receive better services.

"Creating a two-tiered system could have a chilling effect on small mom and pop businesses that can't afford the priority lane, leaving these smaller businesses no hope of competing against the Wal-Marts of the world," Wyden added.

According to tmcnet.com, the call for a two-tiered Internet stems from the fact that the Web is increasingly being used for the delivery of voice and video signals, which suck up huge amounts of bandwidth.

As Voice-over-IP and IPTV deployments increase, the Internet's "pipes" are increasingly becoming congested with packets of data, which in turn will eventually have an impact on the Internet's performance, tmcnet.com adds.