| no comment necessary analysis was spot on. telcos will trump over the top providers such as netflix, as telcos own the most important piece of the value chain - the conduit. |
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iansltx
join:2007-02-19
Golden, CO
kudos:2 Reviews:
 ·Verizon Online DSL
 ·RoadRunner Cable
·Comcast
| What are they smoking? At 1.5 Mbps one hour of video is 675 MB. On Verizon's 10GB, $80 plan that works out to $5.40 in bandwidth costs. A full movie at 1.5 Mbps (120 minutes, let's say) would cost more than in-flight pay-per-view!
At $1 per GB we're talking about much more reasonable numbers as far as cost per streamed movie goes, but you're still better off swinging by the nearest Redbox (discounting gas costs) if you're going to watch a longer flick and your connection is in overage mode.
If you look in the wireless ISP forum, everyone over there is freaking out about how Netflix streaming is going to demolish their bandwidth and network infrastructure, because they're paying $300+ per megabit to get 'net access out to these places. The result may be that those WISPs will raise prices or implement caps because the cost of delivering ISP service with no caps and standard usage patterns just want way up :/
This is why a net-neutral, inexpensive middle mile is CRUCIAL to making stuff like Netflix et al work. Especially since everyone is likely to be watching Netflix at around the same time of day, pushing peak load to new highs... |
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| NetFlix would have a better run at this if they started trying to partner with ISPs and others- especially in the state. They could by-pass a lot of CDN deals by doing that. |
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 DavidTShe turned me into a newt
join:2006-09-01
Oakville, ON | Great Thanks for being the voice that we needed Netflix, well done. |
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 wifi4milezBig Russ, 1918 to 2008. Rest in Peace
join:2004-08-07
New York, NY | reply to iansltx
Re: What are they smoking? said by iansltx:This is why a net-neutral, inexpensive middle mile is CRUCIAL to making stuff like Netflix et al work
"Middle mile" fiber is dirt cheap these days, its the "last mile" that is more expensive. |
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 spewakR.I.P DadkinsPremium
join:2001-08-07
Elk Grove, CA
kudos:1
·SureWest Internet
| reply to misterjarret
Re: no comment necessary said by misterjarret :analysis was spot on. telcos will trump over the top providers such as netflix, as telcos own the most important piece of the value chain - the conduit.
That, and the Comcasts of the world will not let their Pay tv model be trumped by the Netflix's of the world. They will squeeze that pipe and only jack diddly s--- will come out. Netflix is delusional to think otherwise.
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The weekend is here, grab a can of beer!
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 thegeekPremium
join:2008-02-21
right here
kudos:2 | Why Would Netflix Worry? The consumer is still going to subscribe to Netflix if that is what they want. If they have a low cap then they end having to stream fewer movies. The fewer movies that Netflix has to deliver to the consumer the higher their profit margin. |
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 FutureMonAch Du LieberPremium,ExMod 2002-05
join:2000-10-05
Seaside, CA
·Suddenlink
| Netflix "bundled" with ISP Broadband plan? I wonder how long it will be before Netflix becomes part of a "bundled package" offered by ISP's.
The ISP can charge extra to allow unmetered Netflix streaming, and Netflix gets their (smaller) cut from the ISP as opposed to charging the consumer directly.
It could even be a package linked to the ISP's TV package as opposed to linking it to the internet access.
Much like you'd pay $9.99/month for showtime.
- FM
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This just in from the department of redundancy department... |
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 AkFubarAdmittedly, A Teksavvy Fan
join:2005-02-28
Toronto CAN.
·TekSavvy DSL
| reply to thegeek
Re: Why Would Netflix Worry? Plus they have no contractual obligations with carriers or overhead stock to deliver movies like they do in the states. If things don't work out, they load up the servers and move to Beverly.... you know the rest. 
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If my online experience is enhanced, why are my speeds throttled?? |
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| reply to FutureMon
Re: Netflix "bundled" with ISP Broadband plan? thats what i said above basically.....and would allow NF to connect direct to the ISP and not worry about CDN. |
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| reply to FutureMon
I could see Cable and Sat companies wanted to do this with their settop boxes and add to or possibly replace their expensive VOD installations.
If they could add Netflix to their settops and have their subscribers just stream Netflix through the settop, they could eliminate a lot of overhead.
Netflix should be trying to sell something like this hard if they aren't already. I'd suspect that they are looking for deals like this. |
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| Sat doesn't have a very good way to do this. The end user would have to have their STB on HSI. So there is still a middle man with that. if they did it with an MSO it would turn out better. Or even a DSL ISP. I could see an MSO or Indie ISP wanting to partner. |
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iansltx
join:2007-02-19
Golden, CO
kudos:2 | reply to wifi4milez
Re: What are they smoking? If you have fiber in a area, yes. If not then no. |
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| reply to hottboiinnc
Re: Netflix "bundled" with ISP Broadband plan? I believe directv is already doing on demand via hsi. |
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| reply to thegeek
Re: Why Would Netflix Worry? Exactly my thoughts. Netflix must be thankful for bandwidth caps. The "all you can eat" model has a limit and they get to blame ISPs for that limit. |
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openbox9Premium
join:2004-01-26
japan
kudos:2 | reply to hottboiinnc
Re: What are they smoking? Sure, bring on additional ESPN 360-like deals. No thank you. Or are you referring to utilizing each ISP an a CDN, hence having to negotiate several hundred deals opposed to a couple that they do now? That will likely drive up Netflix's costs even more than content distribution rights already have. Eventually ISPs will implement, and enforce, usage caps to minimize the impacts of services like Netflix. Consumer costs will rise and everyone in forums like this will complain about greedy ISPs and how they shouldn't offer services they can't provide. |
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openbox9Premium
join:2004-01-26
japan
kudos:2 | reply to FutureMon
Re: Netflix "bundled" with ISP Broadband plan? said by FutureMon:The ISP can charge extra to allow unmetered Netflix streaming, and Netflix gets their (smaller) cut from the ISP as opposed to charging the consumer directly. Thank you Disney for your ESPN 360 extortion. Now we have people wanting similar types of deals for other services. |
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 JfromKProblem
join:2010-10-30
Cobourg, ON
kudos:1
1 edit | This is why Net Neutrality is CRUCIAL! This is why Net Neutrality is CRUCIAL! ISPs should have no right in dictating what I use my paid for bandwidth allotment for be it NetFlix or... I dunno lesbian bondage.
ISPs also need to come to the table with a little more realistic numbers for what an average user is going to be now that there are so many sources of data on the net; from Youtube, to downloading multi-gigabyte games on Steam.
Sure there is a place for the 10gb plans, for Nana and Papa to get email and pictures from their family etc. There should be very high business rate plans for very heavy users. But these days 60gb a month (what Cogeco gives the Standard Package) is not enough for an "Average User" who is going to download Streamed Media. Who is going to download Multi-Gigabyte games from Steam. Who wants to send their family a home movie they made in Movie Maker or iMovie.. etc. etc. etc.
It feels like a day of reckoning is coming, and it's going to be the lobbyists and large ISPs that win the battle.. The only way to win is to tell these huge corporations to stuff their internet connectivity where the sun don't shine, but where does that leave us? Without *any* internet which kind of defeats the purpose of fighting for Neutrality and reasonable Rates and Caps in the first place... |
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| reply to openbox9
Re: What are they smoking? no its partner with the ISPs, especially like indie ISPs and offer them a TV product. read below and you'd understand instead of claiming another ESPN 360 deal. and by the way---It's not a bad deal. |
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| reply to fifty nine
Re: Netflix "bundled" with ISP Broadband plan? yes it is but you have to buffer the movies according to them. they download and then play. which is a waste when you can just do this. |
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