Hi,

A couple of months ago, I asked you to share your experiences with regards to 
public regulation of internet interconnection in a survey. Many networkers from 
around the globe participated. Thank you!

The report has now been published. I’m including the executive summary below. 
The full paper can be downloaded at 
<http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2740312>. Feel free to 
share this link wherever you see fit.

Thanks again for providing your highly valuable input. I will be happy to hear 
what you think about the results.

Best wishes,

Uta


# Exploring the regulatory conditions of internet interconnection

## Executive summary

Network interconnection is a central feature of the internet that has been 
subject to only little formal regulation. However, local public regulation is 
starting to emerge – be it through disclosure regulations, mandatory peering or 
licensing terms. Due to the networked nature of the internet, local rules may 
acquire a global scope.

This report explores internet interconnection professionals’ encounters with 
public regulation and it provides an initial overview about how this regulation 
affects internet connectivity. On the basis of a convenience sample of 163 
survey submissions, the following has been found:

* Nine out of ten kinds of regulation presented to the participants have been 
encountered by more than half of them. This result gives reason to revisit the 
widespread notion that internet interconnection is an unregulated space. 66% of 
the participants have encountered a regulatory authority that imposes its own 
technical or operational standards. Moreover, imposition of regulatory 
standards was regarded to be the most influential on internet interconnection 
practices, together with competition laws (both 67%).

* Local regulation of internet interconnection creates a tension between the 
regulated and the unregulated space in the internet. In order to overcome the 
normative difference, network operators need to make an extra effort. The 
degree to which network operators are affected by local regulation depends on a 
networks’ structure rather than on its size. Local regulation raises more 
difficulties for the kinds of infrastructural innovations that depend on having 
many points of presence.

* For networkers, public regulation of internet interconnection is relevant in 
three thematic domains: 1) in the economies of internet interconnection, 2) in 
engineering and operations, and 3) in the modes of governance.

* Overarching observations note that public regulation of internet 
interconnection contributes to a formalisation of the otherwise very informal 
sector. It also shines a spotlight on how networks are categorised and are 
thereby “prepared” for the application of regulation. Further, various examples 
highlight how regulatory authorities co-opt internet infrastructure for new 
policy purposes that were previously not understood as central to internet 
operations, e.g., data retention.

* Local networkers value the presence of international network operators not 
only as potential peering partners but also as mediators for know-how about 
best practices and advanced modes of internet interconnection.

* Networkers are very critical about regulations that contradict engineering 
principles. The most accepted forms of regulation also apply in other societal 
spheres: basic rights for citizens, e.g., for broadband, and competition 
regulation.

—
Uta Meier-Hahn | Doctoral Researcher
Alexander von Humboldt Institute for Internet and Society
Französische Straße 9 | 10117 Berlin
Phone +49 30 200 760-82 | http://www.hiig.de/en

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