| uh A lot of the Internet was already paid for during the hey day of the .com bubble. Most fiber laid during that time is STILL dark (7 years later) and not being utilized. It got sold for pennies on the dollar to the Verizons and MCI's of the world. Pricing for the internet is the pricing for updating the LOCAL connections and trunks and CO not the Backbone. The backbone has more than enough capacity for IPV4 traffic of all kinds... even video.
Also its ISPs that provide more content/traffic than anyone else, comcast, time warners and Verizon all want to to are providing VOD so don't blame Youtube...
Now when IPV6 comes along and all devices worldwide within a house and car and your pocket are pinging the Internet for updates, patches, downloads etc or forwarding video applications then we may see stress on the backbone... she's about ten years too early with this red herring message... |
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openbox9
join:2004-01-26
Alexandria, VA
kudos:2 | Fiber is relatively cheap, it's the transceivers that cost money...for local as well as intra- and inter-country connections. They all need routine upgrades costing $$$. |
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| Its too late to charge by the byte. If thats what they wanted then they should have started that from the beginning. Besides it will never work. We already get service without any real customer service so they saved all they need there. If they need to save more then whats really happening is a gross mismanagement of their business. A smart person would never come out and say anything like this. |
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Reviews:
 ·Comcast
·Charter
| I take it you are not old enough and have not worked in the ISP space to remember when the ISP costs changed to 95%ile billing. This exact thing already happened. Back in the early 90's companies purchased bandwidth from ISPs in 1.5M (T1) or fractional T3s (portion of 45M). About the same speed that you get today from DSL and Broadband. This was all flat rate.
As web sites grew with richer content some companies (typically porn) started using 100% of the bandwidth while others were using a smaller portion. As more companies generated more bandwidth the ISPs margins started to reduce as the lower usage companies did not subsidize the base enough to avoid a loss in profits.
The ISPs did not want to raise their prices as the ISP market was getting competitive and they did not want to lose the "average" to lower usage user. This is where 95%ile billing came in. If you use a lot of bandwidth you pay for it and the average user's bill does not go up.
Many were concerned about this and how to budget for it... what if there was a DOS attack etc. Surprisingly it worked out that the average company paid the same or less over the years. They got to install faster pipes at the same or lower cost.
Sound familiar? |
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| Not really but Ill take your word for it since you seem to know what your talking about. Bottom line though Im not going to pay by the byte. I want a flat rate. Unless someone can show me how its going to save me money I dont even want to hear about it. Especially since the way it is now allows me to plan my finances better. I dont make a lot of money but I love my toys. I dont want to worry about how much this game of All Night Socom is going to cost me. |
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