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fAcEtIOUs
Premium
join:2002-03-03
kudos:4

Is there competition or not ?

I get a kick out of reading the pundits who are saying COMPETITION will prevent ISPs from going to a per byte pricing model in one article.

And the very next week whining incessantly in another article about how there is no competition in the industry and that government must step in to force competition.

Well which is it? Is there competition or not? If there isn't competition(as we constantly read here and elsewhere), then all this talk about how a per byte model is impossible is pure BS.
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en102
Canadian, eh?

join:2001-01-26
Valencia, CA

In general, it would come down to pricing...
Eg. If Cable offered $30/month for a 6 Mbps tier for the first 10GB and 768kbps after that per month... would people use it?
This would be compared to the standard $55/month package for 6Mbps unlimited (essentially a 'powerboost' to the low end 768kbps tier). I think you might get a lot of people going for it.

The problem is typically that Cable doesn't want to have its price lowered.., and would rather give 16Mbps for $65 and then cap it at 100GB.
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bmn
? ? ?
Premium,ExMod 2003-06
join:2001-03-15
hiatus

reply to fAcEtIOUs
I think the complaint is a lack of competition based on the idea that more competition in services is better than less.

Yes, there is competition between the three main ways of getting broadband (four in some places) - MSOs, ILECs, Satellite (and in some places, wireless), but more would be much better.
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karlmarx

join:2006-09-18
iraq

reply to fAcEtIOUs
As usual, you are comparing apples to oranges. For the individual, there is no competition, they are FORCED to pay whatever the megacorp thinks they can gouge out of them.
For the GROUP, there is competition, because companies come and go all the time.

If there was TRUE competition, we wouldn't be having this discussion at all. If I had a choice of 10 providers, I would pick the one that DIDN'T charge me by the byte, and let me use what I pay for. That provider would get EVERYONE's business, because, if you read the article, NO-ONE LIKES BY THE BYTE.

The only reason the Australians put up with it, because.. (drum roll please), THEY HAVE NO COMPETITION.
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