Netflix Literally Wants To Make Data Caps Illegal, Sent A Letter To The FCC

Netflix sent a letter to the Federal Communications Commission last week, urging the government agency to make data caps illegal. The movie streaming service is also asking the FCC to do something about “zero rating,” which is a tactic that T-Mobile is using with regards to data free video streaming.

Netflix is one of the biggest data hogs on the internet, with high definition videos that last for 30 minutes to three hours blasting through data caps in no time at all. This is why the streaming company sent a letter to the FCC, which contained a list of things that it wants the agency to consider, Fortune reports.  

The movie streaming service insists that data caps are not in compliance with the Telecommunications Act mandate that requires telecoms to deliver their services “in a reasonable and timely fashion.” With movie streaming being considered a telecommunication service, implementing a data cap would make HD movie viewing via Netflix incredibly expensive.

"Data caps (especially low data caps) and usage-based pricing discourage a consumer’s consumption of broadband and may impede the ability of some households to watch internet television in a manner and amount that they would like," the letter reads.

Of course, the main argument by carriers like Comcast or T-Mobile is the restrictions that their limited technical capabilities place on how much data can be provided to the growing number of customers that they have. However, Netflix argues that this simply isn’t the case and that these companies are basically doing a “cash grab.”

The Verge notes how the move by Netflix comes at a particularly interesting time when the FCC has proposed the creation of apps by TV companies so that viewers can stream through them. With the data cap trend in place, this proposal would place Netflix at a distinct disadvantage if cable companies decide to also offer “zero rating.”