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Netflix signs streaming traffic deal with Verizon

2014-04-29 09:48 by
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Netflix has agreed to pay Verizon to ensure its video streams receive priority over the ISPs network. This is the second deal in which Netflix pays an ISP to ensure that its movies and TV shows stream more quickly; the first, with Comcast, was announced two months ago.

"We have reached an interconnect arrangement with Verizon that we hope will improve performance for our joint customers over the coming months," Netflix said in a statement. CNET has contacted Verizon for comment and will update this report when we learn more.

As the world's largest Internet video subscription service, Netflix has long supported net neutrality as a way to prevent online service providers from giving better treatment to websites willing to pay additional fees for the privilege. With this deal, the company shows they have changed their opinion.

The deal also intesifies debate over whether the Federal Communications Commission should draw up new rules to ensure that all online content providers are treated the same by Internet service providers. Observers also worry that such agreements with ISPs may deal a setback to Net neutrality, which aims to prevent broadband providers from blocking access or discriminating against Internet traffic traveling over their connections.

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