FCC / Net Neutrality - Go Read It Again
The Market Ticker - Commentary on The Capital Markets
2017-11-22 09:40 by Karl Denninger
in Editorial , 658 references Ignore this thread
FCC / Net Neutrality - Go Read It Again
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The screamfest has re-commenced.

I'd write a whole post on this, but I have already.

So here's the piece I submitted to the FCC during the comment period back in 2014, which I have unlocked from its "expired" status.

Go read it.

People like Hastings and Bezos have extracted billions of dollars from consumers who do not want their services by getting the government to shove a gun up their noses, picking their pocket.  While you may say "but I want and buy Netflix" the fact is that there are many such firms, there are and will be more every day, and the odds of you buying all of them are zero.

You may be perfectly happy with forcing your neighbor to subsidize your Netflix subscription. Do you feel the same way when your neighbor forces you to subsidize his baseball, football or Hulu subscription?  What happens when the "next new thing" is some 4k-def virtual reality application you think is stupid but the kid next door loves and your internet service goes up in price by 20% so the ISP can build out the capacity necessary for him to have it?

The facts are that Netflix is a cash furnace; it has, for several years, run negative cash flow and will continue to into the foreseeable future.  Wall Street allows this and Hastings has made billions doing so because the company steals a decent part of its operating expense from people who don't buy the service under government mandate.  Amazon's "Prime Video" doesn't break out its financial picture but it's odds on that it operates exactly the same way and Bezos has thus also made billions by likewise stealing from non-users, and so will Disney's upcoming "over the top" offering.

The problem with endorsing theft when it benefits you is that once you've done that it will very-reliably be used against you.

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