openNET Coalition Welcomes AOL-Time Warner Memorandum Of Understanding; Calls for National Standard for Open Access.

Business Editors/Hi-Tech Writers

WASHINGTON--(BUSINESS WIRE)--Feb. 29, 2000

Applauding today's commitment to open access by America Online and Time Warner, the openNET Coalition today called on the cable industry and to make the AOL-Time Warner open access principles the basis of a national standard of open access for the cable industry.

"Today AOL-Time Warner hit the fast forward button for open access," said Greg Simon, co-director of the openNET Coalition, "We call on the cable industry to make the open access principles contained in the AOL-Time Warner Memorandum Of Understanding a national standard of open access to the cable network. We urge AOL-Time Warner to implement these principles in a deliberate and visible manner as quickly as possible so that consumers can have choice and begin enjoying competition over the AOL-Time Warner network this year. In addition, we will work with Internet service providers (ISPs and AOL-Time Warner to ensure that the commercial negotiations are truly non-discriminatory and fair to all parties. We also will continue to work with government leaders to enact open access as a policy."

The AOL-Time Warner Memorandum pledged that the company would provide consumers with a choice of multiple ISPs on their cable network, that there would be fair commercial arrangements with no discrimination based on affiliation with the owner of the network, that there would be non-discriminatory network management, that users in the network could choose the backbone provider of their choice, that the ISPs using the network could have a direct relationship with the customer and that there would be no controls on content or video streaming. The company also pledged to negotiate immediately to revise the terms of its monopoly contract with RoadRunner.

"Today's announcement by AOL-Time Warner should set an example for the rest of the cable industry to adopt. In contrast to AT&T's earlier announcement promising half a loaf in two and a half years from now, AOL-Time Warner are promising to do the right thing and to do it soon. We will work with them and the cable industry to make open access a reality for customers and ISPs around the nation," said Rich Bond, co-director of the openNET Coalition.

The openNET Coalition has been promoting these principles of open access since its inception in December 1998. The AOL-Time Warner memorandum of understanding today represents the first time that a major cable provider has committed to full implementation of open access. Earlier this year, AT&T entered into a letter agreement with MindSpring regarding open access, but failed to provide access for all ISPs, non-discriminatory network management, and refused to accelerate the end of its monopoly contract with Excite@Home, which it controls.

The Coalition will work to make today's Memorandum between AOL and Time Warner a national standard for the cable industry and will call on the cable industry to begin adopting this principle immediately. At the same time the Coalition will continue to work with government leaders to ensure that cable open access becomes a reality.

The openNET Coalition represents more than 900 Internet service providers and other Internet-related companies around the United States. For more information on the coalition, visit our Web site at http://www.opennetcoalition.org.