The ITU Association of Japan just published my September keynote on Network Neutrality in the Highlights section of its January 2010 ITU AJ Journal. The article is password protected, but if you are a member of the Association, you can get it from the website. (The article is in Japanese).
One of the points I made in the keynote (which is not in the brief article), was an analogy of Network Neutrality issues to Edō Period Japan. The sankin kōtai laws of the Tokugawa Shogunate imposed a rule of prioritization on the Tokaido and Nakaseido roads between Edō (now, Tokyo) and Kyoto, as well as on other “kaido” emanating from the capital. Access to Japanese roads was prioritized by social status, with only the Samurai class having access to the center of the road as their procession called a daimyo gyoretsu passed. Lower classes were required to clear the road kneel down and bow as the Samurai passed. Punishment for failing to clear the road was possible decapitation.
The concept of prioritization is not new, but it is universal. It expresses fundamental and competing notions of fairness versus economic efficiency. We think it is unfair to give preferential treatment to certain customers (those who are willing to pay more or have higher social status). At the same time, we also think it is economically inefficient to mandate a single (or limited set of) Internet access options for everyone, including those who are willing to pay more for premium services. When the network (or Tokkaido Road) is congested, prioritization can make users better off. Prioritization can be accomplished based on economic characteristics, arrival order, processing load, urgency, or even social status.
Insight: Since all messages on an IP-based network travel at the same speed (the speed of light), in discussions of Network Neutrality, it is never who gets to go faster, rather which packet, or which samurai, gets to go first. Such prioritization must be done in a way which is socially permissible and economically desirable. Given that the penalty for breaching a classes of service restrains in Edo Japan was capital, I think I would rather get a reset packet.
Tags: Broadband, Japan, Network Neutrality, Optimal level of regulation