Verizon sent a cease and desist letter to Netflix threatening a lawsuit unless Netflix immediately stops sending notices to customers. Netflix said NO
Verizon – “Failure to provide this information may lead us to pursue legal remedies, and Verizon reserves all rights in that regard,” Verizon wrote.
Netflix VIA General Counsel David Hyman – “The current transparency test to which your letter relates is scheduled to end June 16 and we are evaluating rolling it out more broadly,” “Regardless of this specific test, we will continue to work on ways to communicate network conditions to our consumers. We’re also happy to work with you on ways to improve network transparency to our mutual customers.”
Verizon demanded to see the list of customers that received this message but Netflix’s response did not include the list of customers to whom it has sent the messages.
When asked why, Netflix had this to say: the “letter speaks for itself.”
The Real Issue: Verizon will not join Netflix’s Open Connect peering and caching program, which lets ISPs connect directly to Netflix or bring Netflix storage boxes into their own networks in order to improve quality.
Hyman On The Issue Of Peering; “You have chosen not to participate in the Open Connect Program, but instead have allowed your network connection to Netflix to degrade until we agreed to pay for augmented interconnection,” “We brought the data right to your doorstep…all you had to do was open your door.”
The Blame Game: Verizon blames Netflix for poor quality, saying that Netflix has chosen to continue sending its traffic over congested routes handled by other carries such as Cogent and Level 3.
Hyman “To try to shift blame to us for performance issues arising from interconnection congestion is like blaming drivers on a bridge for traffic jams when you’re the one who decided to leave three lanes closed during rush hour.”[SOURCE](http://arstechnica.com/tech-policy/2014/06/netflix-refuses-to-comply-with-verizons-cease-and-desist-demands/)