FTC appoints net neutrality expert Tim Wu as advisor
updated 05:05 pm EST, Tue February 8, 2011
FTC gets net neutrality's Tim Wu as senior advisor
The Federal Trade Commission signaled a possible major change in direction on Tuesday by appointing Columbia Law School professor Tim Wu as a senior advisor. The academic is best known for codifying the concept of net neutrality and for authoring The Master Switch, a book that warned of the dangers of letting corporate power control otherwise free, open technology like the Internet. He has also been a key architect of early net neutrality, requiring AT&T to avoid blocking or unfairly prioritizing content after buying Bell South and setting the "any app, any device" terms for wireless auctions.
Wu's role takes effect on February 14 and will last until at least July 31. Wu is allowed to take the break as a sabbatical from Columbia but is required to ask for extra permission to support the FTC any further.
His recruitment could lead to more intense scrutiny of technology firms as well as investigations that might not necessarily have taken place. Google may be one of the primary targets as concerns have gradually been raised as to whether it has too much power over the Internet, including ads and in mobile through Android. The FTC last had to examine Google in serious form after the search firm acquired AdMob but has regularly had to look at Google's many smaller acquistions.
The appointment might also impact Apple. Although the FTC already investigated iPhone development rules and led to Apple backing off of a restriction on code creation tools, Wu might draw attention to other policies that could be construed as anti-competitive. A candidate may be the decision to require in-app purchases on iOS devices, even when available elsewhere, as well as Apple's longstanding policies of banning non-App Store apps and pay-per-track music stores.
Cellular and Internet carriers could also face stricter guidelines whenever the FTC's approval is necessary for a deal. Wu's philosophy now clashes with his one-time employer Google, which compromised its net neutrality values to make a proposal with Verizon to the FCC that would have exempted cellular providers from anti-blocking rules. [via WSJ]
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Joined: Oct 1999
Mis-states...
The phrase "...the decision to require in-app purchases on iOS devices, even when available elsewhere..." mis-characterises Apple's position. A truer interpretation of their position is that if additional App-related purchases are possible elsewhere, it should be possible for users of the application to make such purchases from within the app itself. This means that, through the app, users can make such purchases at any time, without unnecessary recourse to their home computer or without having to navigate to a particular website. This prevents app developers from using an App related purchase as a pretext for delivering traffic to a website. The requirement to provide both conduits where at least one is curated and secure works as a deterrent against dubious and bogus App developers. There is nothing forcing the user to buy through the App, they are merely provided with the legitimate option.