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FactChecker
Premium
join:2008-06-03

Is Netflix driving the end of a la carte Internet?

With Netflix OpenConnect, Netflix passes through all their expensive infrastructure, facilities, network, transit, etc cost. Sort of a required "fee" for the privilege of new Netflix content, "Super HD", etc. The ISP in turn passes through these new costs to ALL subscribers (not just Netflix users).

This is kinda like the ESPN model where all users pay for the "channel" or content, whether you watch it or not.
We've already seen this tested with ESPN360.

I can see a lot of content owners LOVING this model and shifting their growing Internet costs to ISPs who must in turn spread these costs out to ALL customers. Not sure how this plays out however in the long run, but everyone sharing Netflix, ESPN, etc Internet costs may not be the best strategy.
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"Too often we... enjoy the comfort of opinion without the discomfort of thought." - John F. Kennedy


Swindle
Shattered Dreams

join:2006-07-24
Tampa, FL
Reviews:
·Bright House

2 edits
I've recently resubscribed to a Triple Bundle through BHN ... mainly due to my mother's lack of knowledge on how to operate something as simple as a DVD Player and the extra functions of a set-top box. She uses the Digital Set-Top for channel tuning only.

On the next round of rate hikes from BHN, I'll be downgrading to a double combo package without television unless a deal that I can't pass up comes along.
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B-Movie DVDs

Skippy25

join:2000-09-13
Hazelwood, MO
reply to FactChecker
Yet another poster that thinks they understand everything.

Why dont you take some time to educate yourself on OpenConnect and learn how it provides a win win situation for both the ISP and Netflix.

Keep in mind, that even if Netflix didnt do OpenConnect the user's of said ISP is STILL going to be requesting lots of packets from Netflix peering partner to get their content. How do you propose that the ISP deal with delivering the packets that their own customers are requesting?