A Yahoo-Google search outsourcing pact arguably faces even more problems with European antitrust authorities than the reported U.S. DOJ antitrust investigation, for two reasons:

Net neutrality proponents who argue broadband competition doesn't work and see a "duopoly" in every shadow, were confronted with powerful market evidence recently that their take on the broadband competitive facts is flat wrong. 

The big Wimax consortium announcement this week by Clearwire, Sprint, Google, Intel, Comcast, Time Warner Cable and Bright House, is obvious evidence that:

• National broadband competition and consumer choice continues to increase; and
• Congress' and the FCC's rejection of net neutrality legislation and regulation encourages investment in broadband deployment to all Americans most quickly.

This free-market, innovative business model development, which Google has embraced with a $500m investment, takes even more wind out of the sails of the net neutrality movement.

I have to admit that I was surprised by all the back-pedaling and calculated retreat by net neutrality proponents at the House Internet Subcommittee hearing on Chairman Markey's net neutrality bill HR5353.

Net neutrality proponents were clearly on the defensive, proactively responding to criticisms of the bill and not spending much time touting its benefits.

A consistent theme in my ongoing analysis of Google, has been Google's corporate refusal to overtly disclose the fundamental financial conflict of interest inherent in their business model, i.e that Google does not work for users like they routinely claim, but for advertisers and publishers. 

It's surprising that in the three months since Chairman Markey introduced his new net neutrality bill HR 5353, only nine members joined the original co-sponsors of Chairman Markey, and Rep. Pickering, who is a retiring Republican from Mississippi. And all of the new nine are Democrats. (see the list at Thomas.gov) 

Dominant #1 Google, in calling #2 Yahoo to discuss a slow competitive search surrender by Yahoo to Google, in order to thwart a purchase of Yahoo by #3 Microsoft, apparently succeeded.

Interested observers in the Microsoft-Yahoo-Google-AOL-Ask.com-MySpace incestuous soap opera called search advertising, would be wise to bone up on the fine line between acceptable industry collaboration and illegal collusion, if recent reports prove true.

• The Wall Street Journal reports that Yahoo may be days away from announcing "an agreement to carry search advertisements from Google.." and that Google feels "that the upside is much greater than the potential downside" from the arrangement."  
• The Financial Times broke the story that the Department of Justice was investigating Google's interaction with Yahoo and that "the prosecution of collusion is a top priority."     

The fine line between collaboration and collusion. 

CNBC's Maria Bartaromo had a rare in-depth TV interview with Google CEO Eric Schmidt.

The comments that have relevance to net neutrality were how Google's CEO, one of the biggest proponent for Net Neutrality legislation of broadband networks in the world, candidly admitted that all customers were not alike; that they have different needs; and that Google plans to charge those who want higher quality of service -- more money.

• Bartiromo: "What about the corporate customer? I understand that there are tests going on right now. What are you hearing from that customer?"

Google deserves some bona fide kudos from me for blogging yesterday with some very sound and practical advice about how their users or anyone who reads their blog - could avoid getting hooked/scammed by fraudsters.

• As a consumer, I learned a couple of new tips to better protect myself from phishing fraud.
• The advice was clear, practical, informative and useful.

However, I was surprised that they did not choose to link to other sites in and out of government that could also be useful to consumers looking to protect themselves better.

I was also surprised it took a month for Google to say anything about how users could better protect themselves from new fraud scams that were exploiting weaknesses in Google's search engine protections so that Google was unwittingly offering up scam pages as part of their search results.

Tom Sydnor of the Progress and Freedom Foundation has done a brilliant analysis of Professor Larry Lessig's book "Free Culture" in the important context of Professor Lessig's other works. 

• This analysis is outstanding foundational-thinking and a must read for anyone who cares about preserving a free market Internet.  

Let me highlight some gems:

First, his conclusion: