In December
the nations of the world will gather in Dubai for the UN-convened World
Conference on International Telecommunications (WCIT – pronounced “wicket”).
The topic of the meeting is nothing less than the regulation of the Internet.
The Internet,
coupled with mobile connectivity, has vastly improved the lives of the people
of the world. It wasn’t until mobile came to the developing nations of the
world that the first billion people could make a phone call (2001). Today there
are six billion mobile subscriptions in a world of seven billion people. What’s
more, most of the world’s young people will experience the Internet for the
first time on a mobile device – opening new worlds of knowledge, commerce and
opportunity. In response to these beneficial breakthroughs, some of the
governments of the world have decided they should take control.
Under the
auspices of the International Telecommunications Union (ITU) the governments of
the world will review the international treaty known as the International
Telecommunications Regulations (ITR). The last review of the ITR was in 1988
when the Internet was just aborning. The remarkable and reshaping growth of the
Internet provides the excuse for the new review. What’s really afoot, however,
is an effort by some nations to rebalance the Internet in their favor by reinstituting
telecom regulatory concepts from the last century.
For
countries such as India, South Africa and Brazil, for instance, WCIT is an
opportunity to get back into the action, including grabbing a piece of the
Internet’s revenue. In the good old days of the telephone network, nations (and
their national carrier) could apply tariffs and other regulations to those
connecting with their network. Not only does the belief linger that tribute
should continue be paid, but also there is a hunger to redirect the Internet’s
revenue stream. It is, of course, perverse that the nations that have
proportionally benefited the most from the introduction of mobile technology
and need to similarly ride the wave of Internet-driven economic growth should
seek to redesign the structure that has proven so successful for their people.
For other countries
like China and Russia WCIT offers the chance to place controls on the freedom
of the Internet. Seemingly benign proposals to allow for regulation related to
“crime” and “security” would grant international imprimatur to the exertion of control over Internet content. The
recent sentencing of Russian punk rockers Pussy Riot is illustrative in this
regard. The Putin-protesting group was sentenced to jail for being a “crude
violation of the social order,” a legal construction that WCIT could permit to
be extended to the Internet and justified as “within international accords.”
For the ITU
itself WCIT is an opportunity to grow its bureaucratic reach. Founded in 1850,
at the dawn of the telegraph, the ITU’s power reached its apex in the era of
state-run PTTs. The privatization of national phone companies and the
introduction of competitive carriers sent the ITU scrambling for relevance. The
predecessor of the World Trade Organization (WTO) fought in the 1980s to keep
the ITU from regulating new mobile and Internet services (and won). A new set of
international regulations, thus, becomes the ITU’s last gasp to reverse the
earlier decision and give itself the same role in the Information Age that it
enjoyed in the Industrial Age.
Up until
this point, the activities of the various WCIT participants are rather
predictable. Repressive governments want to curtail Internet Freedom.
Developing nations want a share of the Internet revenue pie. International
bureaucrats want to keep their jobs and expand their relevance.
The surprise
comes from European carriers. Or perhaps, considering their lineage, it
shouldn’t be a surprise.
The European
Telecommunications Network Operators (ETNO) is lobbying to have the ITR
regulate the so-called “over the top” users of the Internet. In a position
admirable for its chutzpah if not its substance, ETNO wants the ITR not to
regulate carrier activities, but to add new regulation to heretofore regulated
companies such as Google, Netflix and others who use carrier networks. It is another
last-ditch effort to return to the days when regulators protected carriers from
the nasty realities of innovation and competition.
That mobile
and the Internet stimulate all of this sturm and drang should not come as a
surprise. The self-interested efforts to force the new networks into an old
regulatory box are a reflection of the growing pains of a network-defined world.
The insecurity and stress of change always stimulates a desire to retreat to
the comfort of the past. WCIT represents a venue where the forces of the status quo can make their stand. It is a
struggle between nation-states (and their vassals) created in an era when
networks aggregated economic and political power, and the new era in which the network’s
distributed architecture has a disaggregating effect on both economic and
political power.
Interestingly,
it was amidst the storm and stress of a previous network revolution that the
concept of the nation-state was born. As 16th century printers
spewed forth ideas that brought down the Holy Roman Empire, Europe was plunged
into more than a century of war. The conclusion of that conflagration was the
Peace of Westphalia (1648) and a new world order in which nation-states
replaced empires and fiefdoms.
The core of the new sovereignty was
the power of geography. Physical
borders coalesced groups within their boundaries while at the same time
geographic space provided a buffering from outside forces. Today’s network,
however, defies geography. Westphalian sovereignty, defined as control
of a piece of the map, is increasingly irrelevant to an economy built on
information products that can circle the globe in less time than it takes for a
keystroke.
In the words of Alec Ross, a senior
U.S. State Department official, “Networks are more important than nations.” And
in the ultimate anti-hierarchy, the new network has organized itself to be overseen
by a “multi-stakeholder process” of independent actors spread across the globe.
This new stateless network, in turn, enables others to organize in a similar
stateless (or perhaps supra-state) structure. Multinational corporations,
non-governmental organizations (NGOs), militant non-state groups such as al
Qaeda, and intergovernmental institutions (IGOs) such as the World Bank and
European Commission all utilize the new network to supersede the Westphalian
structure.
Meetings such as WCIT are certainly
preferable to the armed conflict of previous network revolutions. But the
issues being argued are in many ways the same: as technology transforms how we
connect, the institutions of the day – whether governments or corporations –
fight to cling to the comfy world they have known. It’s a tale as old as time.
The U.S. delegation to WCIT, led by
telecom veteran Ambassador Terry Kramer, will have its hands full keeping
international regulators away from the Internet. Amazingly, the processes of
the ITU are traditionally conducted without public transparency. WCIT is no
different. The future of the open and free Internet is being determined through
a secret closed process. Fortunately, the U.S. government is making the secret
submissions available to interested American parties. The open and free
Internet has also sprung to its own defense through the establishment of
“WCITleaks,” a Web site where the non-public submissions by various nations are
exposed to the sunlight. It is a poignant example of why international
regulators must not get their hands around the Internet’s throat.
What happens in Dubai is a Big Deal.
Far from “just another international meeting,” the consequences of WCIT could
be as far-reaching on our future as strategic arms negotiations. It is the most important meeting you’ve
never heard of.