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Marc Andreessen says more net neutrality laws are not the answer

The concept of net neutrality — the idea that cable networks should not give preferential treatment to certain kinds of content — often seems somewhat theoretical, which is why many people latched onto the recent “peering” deal between Comcast and Netflix.

Gigaom Mathew Ingram

Context & Ripple Effects

Net neutrality first became a live regulatory fight when Comcast throttled BitTorrent traffic in 2007, a dispute covered here as net neutrality may not resolve Comcast vs. BitTorrent. Seven years on, the argument has moved from throttling to interconnection: Netflix agreed on February 21-23, 2014 to pay Comcast directly for smooth streaming access, ending their peering standoff.

That paid-peering settlement is what made an often-theoretical debate suddenly concrete — which is precisely why Marc Andreessen's argument that more laws are not the answer landed with such force, and why commentators like Mathew Ingram and Dan Gillmor amplified it the same day.

First-order effects

  • Netflix now pays for direct access to Comcast's network rather than fighting congestion through public pressure, making paid interconnection the working template for resolving last-mile disputes.
  • Andreessen's intervention hands Silicon Valley weight to the anti-legislation camp just as regulators face renewed pressure to act after the Comcast-Netflix deal exposed how edge providers' reach depends on carriage terms.

Second-order effects

  • Other broadband owners — Verizon among them, given its own standing disputes with Netflix traffic — gain leverage to seek similar paid arrangements rather than upgrade capacity unprompted.
  • Consumer advocates and content companies opposed to pay-for-priority will push harder for the FCC to reclassify broadband as common carriage, turning the peering precedent into their central exhibit.

Third-order effects

  • If paid peering becomes the norm, the internet structurally splits between edge providers who can afford direct carriage fees and startups who cannot — shifting gatekeeping power from legislatures to incumbent network owners unless regulation intervenes.
  • The recurring pattern since 2007 suggests each private standoff (BitTorrent then, streaming now) converts a technical interconnection question into a political fight over whether neutrality should be statutory or contractual.

The trend: Interconnection disputes between content giants and cable networks are being settled by private paid deals faster than lawmakers can codify neutrality rules, keeping the legislative-versus-market question open.