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funchords
Hello
Premium,MVM
join:2001-03-11
Yarmouth Port, MA
kudos:5

reply to karlmarx

Re: Internet has become a utility

I don't propose it, in fact I oppose it. But it's not an unworkable model and I don't let the fact that I personally don't like the idea keep me from talking about it objectively.

Bandwidth is a fixed cost product up to an ISP who acts as a bandwidth aggregater.

Because, as you rightfully point out, it doesn't cost any more or less to send 1 byte than it does 1 megabyte, an aggregater can take an amount of bandwidth (say 1000 Mbps) and divide it into subscriptions (say 10 Mbps each). And because not everyone will use those the Internet at the same time, he can sell more than 100 subscriptions and make more profit and/or lower subscription costs. As long as it works out that every user can admit or get his 10 Mbps, there's nothing wrong with this model.

So let's say he sells 101 subscriptions. After months of operations, he finds that he's not even close to using half of his 1000 Mbps connection.

So then he sells more and has 150 subscribers. Still not close

So then he goes for 250 subscribers. Now the numbers are comfortable. 95% of the time, his network and gateway are congestion free.
--
Robb Topolski -= funchords.com =- Hillsboro, Oregon
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