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FFH
Premium
join:2002-03-03
Tavistock NJ
kudos:5
reply to rradina

Re: Laymans terms

said by rradina:

Applied to ISPs, it means going to 100% UBB where they charge less for off-peak hours and more for peak hours. There could even be "free" periods much like cell companies offer free nights and week ends. The free periods would cause the "hogs" to make sure their activity is performed when most other folks don't use the system.

That is an interesting idea on how to manage bandwidth usage and is worth a try by a big ISP just to see how it worked.
--
The nine most terrifying words in the English language are, I'm from the government and I'm here to help.
»www.politico.com/rss/2012-election-blog.xml


rradina

join:2000-08-08
Chesterfield, MO

Well don't hold your breath. Since there seems to be a quorum of negative opinions on ISPs ability to accurately track monthly usage, it seems a mighty big stretch to believe they could track it by the hour!



FFH
Premium
join:2002-03-03
Tavistock NJ
kudos:5

said by rradina:

Well don't hold your breath. Since there seems to be a quorum of negative opinions on ISPs ability to accurately track monthly usage, it seems a mighty big stretch to believe they could track it by the hour!

This analyst thinks UBB is coming from 1 major ISP next year:
»www.bloomberg.com/news/2011-11-3···ech.html

At least one major cable operator will institute so-called usage-based billing next year, predicts Craig Moffett, an analyst with Sanford C. Bernstein & Co. in New York. He said Cox Communications Inc., Charter Communications Inc. (CHTR) or Time Warner Cable may be first to charge Web-access customers for the amount of data they consume, not just transmission speed.

“As more video shifts to the Web, the cable operators will inevitably align their pricing models,” Moffett said in an interview. “With the right usage-based pricing plan, they can embrace the transition instead of resisting it.”

Rogers Communications Inc., the largest Canadian cable company, has been billing broadband customers based on consumption since 2008. U.S. providers AT&T Inc. (T) and St. Louis- based Suddenlink Communications LLC are experimenting with usage-based plans.
Cable companies see usage-based billing as a way to limit the appeal of online services like Netflix and Hulu LLC, and reduce the threat from new entrants like Amazon.com Inc. (AMZN) and Google Inc.

The incentives to focus on Web access are compelling. Cable’s broadband gross margins are about 95 percent, versus 60 percent for video, according to Moffett. As programming costs increase nearly 10 percent a year, video margins are crimped, he said.
Time Warner Cable is testing meters to measure broadband consumption for the purpose of tiered pricing, Chief Executive Officer Glenn Britt said in June. In April, he said usage-based billing is “inevitable.”

Charging by Web usage, cable companies may discourage customers from dropping traditional pay-TV service and slow the growth of Netflix, Hulu and an expanding list of online alternatives, Moffett said.
The possibility of usage-based pricing has brought protests from Los Gatos, California-based Netflix and warnings from Charlie Ergen, chairman of rival Dish Network Corp. (DISH), which operates the Blockbuster movie-rental business.

Cable’s best option is to find ways to profit from the online shift, said Moffett. If the companies were to lose all of their video customers, the revenue decline would be more than offset by a lower programming fees and set-top box spending, he said.
“In the end, it will be the best thing that ever happened to the cable industry,” Moffett said.


--
The nine most terrifying words in the English language are, I'm from the government and I'm here to help.
»www.politico.com/rss/2012-election-blog.xml


WernerSchutz

join:2009-08-04
Sugar Land, TX

Uh, Moffet, the great clown, always fun to hear his "thoughts".



elwoodblues
Elwood Blues
Premium
join:2006-08-30
Somewhere in
kudos:2
reply to FFH

UBB has been kiboshed for independents in Canada, it's not going to happen.

The incumbents can UBB folks to death, once the masses realise they're beeing taken to the cleaners, they'll defect to the IISP's



DaneJasper
Sonic.Net
Premium,VIP
join:2001-08-20
Santa Rosa, CA
kudos:9

1 recommendation

reply to FFH

said by FFH:

said by rradina:

Applied to ISPs, it means going to 100% UBB where they charge less for off-peak hours and more for peak hours. There could even be "free" periods much like cell companies offer free nights and week ends. The free periods would cause the "hogs" to make sure their activity is performed when most other folks don't use the system.

That is an interesting idea on how to manage bandwidth usage and is worth a try by a big ISP just to see how it worked.

But, it's not necessary to charge during peak time - the fix is simply to slow the fastest user down to the level of the next-heaviest user. Iterate until the link is not congested.

Cisco implements a "weighted fair queuing" solution that basically achieves this outcome. The "hog" is slowed down a little when others want to "use the road", but is otherwise unimpaired - and not billed for bogus excesses!

See also my article here:
»corp.sonic.net/ceo/2011/12/02/web-hogs/

-Dane


bear73
Metnav... Fly The Unfriendly Skies
Premium
join:2001-06-09
Derry, NH

1 recommendation

*said by greedy Verizon exec* Shhhh!!!! dammit don't tell them that we can effectively and inexpensively manage our existing network! then we can't make double-digit profits while simultaneously convincing the gov't that we need subsidies to bring affordable broadband to the rural US!