said by train_wreck:
yeah, this'll probably open the floodgates for incumbent ISPs to start charging all sorts of other companies for "premium" access to its customers (and by "premium", i might mean "usable"), particularly if those companies have competing interests with the ISP conglomerates.
oh, and i wouldn't be surprised to see netflix subscriber rates get hiked as an unfortunate "side-effect" of this.
The amount of money NetFlix pays anyone for transit is insignificant when compared to content I would imagine.
What this really means, in the long term, is rather than paying a third party (i.e. L3, Cogent) fees for transit, they will be paying the ISP directly. Depending on NetFlix's network and negotiation skills, it could in the long term save NetFlix quite a bit of cash.
This isn't exactly a new or unique situation, any Internet content provider once reaching a certain size has to make the transition.