Web-Traffic Spat Over Netflix Highlights New Tensions

U.S. regulators are looking into a dispute between two large companies that shuttle traffic around the Internet, a business invisible to most consumers but increasingly fraught with tension.

The issue gets to the heart of a longstanding argument: Who should pay for the Internet? That debate is getting more pointed as a flood of video drives up the volume of traffic that companies such as Comcast Corp. must carry.

On Monday, Level 3 Communications Inc.–an Internet network operator that recently announced a deal to help Netflix Inc. stream and store its online movies and TV shows–complained that Comcast has slapped it with a new charge to deliver that video to customers.

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Along with original content and posts from across the Dow Jones network, this section of AllThingsD includes Must-Reads From Other Web Sites — pieces we’ve read, discussions we’ve followed, stuff we like. Six posts from external sites are included here each weekday, but we only run the headlines. We link to the original sites for the rest. These posts are explicitly labeled, so it’s clear that the content comes from other Web sites, and for clarity’s sake, all outside posts run against a pink background.

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