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Global Crossing: FCC Should Regulate Internet Interconnection Fees

Global Crossing urged the Federal Communications Commission to
regulate interconnection pricing of last-mile Internet service
providers, saying the dispute between Comcast and Level 3 Communications
shows broadband ISPs are "distorting" the economics of traditional
peering relationships.

Level 3, after winning a content delivery network contract with Netflix to stream video to subscribers, in November accused Comcast of erecting a "toll booth" on the Internet after the MSO requested payment to handle the increased bandwidth load. The Comcast fees violate the FCC's Open Internet rules, Level 3 argues.

has characterized the standoff as a run-of-the-mill business
negotiation. It said the new interconnection fees were appropriate
because Level 3 was suddenly dumping a disproportionate amount of
traffic onto the cable operator's network.

Now network services
provider Global Crossing -- which like Level 3 serves business Internet
customers and not residential subscribers -- has officially weighed in
on Level 3's side of the dispute.

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