Net Bankruptcy

clipped from online.wsj.com WASHINGTON -- Federal Communications Commission Chairman Julius Genachowski is proposing that the agency apply tougher open-Internet rules broadly, raising concerns of cable and phone companies and some lawmakers that the government could try to control efforts to offer products such as digital cable or premium business services. Mr. Genachowski's proposal suggests everything in the Internet pipe is covered by rules prohibiting discrimination against any legal Internet traffic, known as net neutrality, unless the agency says otherwise, according to FCC officials familiar with a draft circulating in the agency. In a Sept. 21 speech announcing his proposal, Mr. Genachowski said that managed services may offer benefits "in limited circumstances." "I believe such services can supplement -- but must not supplant -- free and open-Internet access, and that we must ensure that ample bandwidth exists for all Internet users and innovators," he said.