Monday, November 29, 2010

Level 3 Objects To Comcast Fees For Content

Broomfield, Colorado-based Level 3 reported Monday afternoon that it has been asked by Comcast, to pay a fee when transmitting Internet online movies and other content to Comcast customers. According to level 3, the action "threatens the open Internet" and is a "clear abuse of the dominant control that Comcast exerts in broadband access markets". Level 3 said, essentially, that Comcast is "putting up a toll booth" at the borders of its broadband Internet access network, allowing it "unilaterally" decide how much to charge for content which competes with its own, cable TV and Xfinity delivered content. Size of the fee was not disclosed. Level 3 said it agreed to the fees--under protest--to avoid service interruptions to its customers. Level 3 recently was selected by Netflix to distribute that firm's Internet video to customers, and it's unclear how Comcast's actions are related to that move.