Did Verizon accidentally admit it's slowing down Netflix traffic? Level 3 thinks so

What is causing the Internet congestion that is degrading service to Netflix consumers? Level 3 -- which helps carry that Netflix traffic to Verizon's network in Los Angeles -- says the problem could be solved in five minutes and for a very small cost, but that Verizon is refusing to make these upgrades, because it wants to extract a fee from Level 3 instead.

Verizon's story matches up pretty well with the one being pushed by Netflix and Level 3. It's saying that Netflix traffic has overwhelmed the points of connection between the ISP and the middlemen who deliver this data for the streaming video giant.

The key difference is that Verizon says Netflix could solve this problem easily by spreading its traffic over multiple transit providers. Level 3 is arguing that the best solution would be to simply upgrade Verizon's network, a process it claims to have offered to pay for.