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devnuller

join:2006-06-10
Cambridge, MA
Reviews:
·Comcast
·Charter

reply to Ahrenl

Re: Give Me A Break

said by Ahrenl:

More capital will be needed to add capacity, but I'm talking about the long haul resellers. They'll be earning greater revenue before more capital will be needed, thus providing the capital through retained earnings. Maintenance costs should only materially increase if you expanding the size of the network.
It is true that more bandwidth=more revenue=reinvest portions into capacity growth for the first mile and middlemen ISPs (who charge based on peek usage).

I think that is the point of a need to charge based on usage tiers (not bill-by-the-byte). If there is a drastic increase in demand, the revenue will follow to address the capital demands.

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